Phony Republican current policy baseline says Trump tax cuts will cost $0 going forward, Congressional Budget Office says $3.5 trillion

 Graham claims sole authority to decide if GOP megabill complies with budget laws

... Sen. Jeff Merkley (D-Ore.), the ranking member of the Budget Committee, immediately appealed the ruling of the chair.

He pointed to a letter he received from Congressional Budget Office Director Phillip Swagel asserting that the Finance portion of the bill would increase federal deficit by $3.5 trillion between 2025 and 2034 and increase deficits beyond the 10-year budget window, which ends in 2034.

“The ability of the chair to create a phony baseline has never been used in reconciliation, not ever,” Merkley argued.

“This breaks a 51-year tradition of the Senate for honest numbers,” he declared.

Merkley’s appeal of the chair’s ruling empowering Graham failed by a party-line vote. Senators rejected it by a vote of 53 to 47. ...

Republicans are doing an end-run around the Senate parliamentarian to make novel use of the current policy baseline instead of current law, asserting a Democrat precedent from 2022

 Senate GOP declines to meet with parliamentarian on whether Trump tax cuts add to deficit

... Republicans, however, say that the parliamentarian doesn’t have a role in judging how much the tax portion of the One Big Beautiful Bill Act would add to the deficit within the bill’s 10-year budget window or whether it would add to deficits beyond 2034.

They argue that Budget Committee Chair Lindsey Graham (R-S.C.) has authority under Section 312 of the Congressional Budget Act “to determine baseline numbers of spending and revenue.”

Ryan Wrasse, a spokesperson for Senate Majority Leader John Thune (R-S.D.), pointed to a Budget Committee report published when Democrats were in the majority in 2022 stating that the Budget Committee, through its chair, makes the call on questions of numbers, not the parliamentarian.

Graham received a letter from Swagel [CBO Director] on Saturday stating that the Finance Committee’s tax text does not exceed its reconciliation instructions or add to deficits after 2034 when scored on the “current-policy” baseline that Graham wants the Joint Committee on Taxation (JCT) and CBO to use.

Taylor Reidy, a spokesperson for the Budget panel, asserted on the social platform X that “there is no need to have a parliamentarian meeting with respect to current policy baseline because Section 312 of the Congressional Budget Act gives Sen. Graham — as Chairman of the Budget Committee — the authority to set the baseline.” ...

All you really need to know is that whatever these yokels end up passing, the country will be $50-$60 trillion in debt ten years from now because they spend too much and tax too little.

GOP in both House and Senate seem to agree that re-upping the 2017 Trump tax cuts won't cost anything even though it did the first time lol, $1.9 trillion over ten years according to the CBO

The Party now says ignore the evidence of your memory.

Reported here:

 ... At this point, senior House Republicans privately say they think House Republicans will accept the Senate’s push to use the “current policy baseline” accounting tactic to extend the 2017 tax cuts and claim it costs nothing. The biggest hurdle now is the vast discrepancy between the Senate’s targeted spending cut minimums and the House’s $1.5 trillion spending cut target. ...

Biden's forgiven student loans are nothing but new spending obligations of the American taxpayer financed by more borrowing: Big jump in the 2024 deficit due to student loan bailouts

 

 Student loan relief contributing to 27% jump in projected federal budget deficit, per CBO 

The federal budget deficit will hit $1.9 trillion this fiscal year according to the Congressional Budget Office. That’s $400 billion larger than the agency estimated in February.

 

Compromise spending bill passes US House 286-134 bringing fiscal year 2024 federal discretionary spending to $1.659 trillion through September

 WASHINGTON — The House voted 286-134 on Friday to pass a sweeping $1.2 trillion government funding bill, sending it to the Senate just hours before the deadline to prevent a shutdown. ...

The bill, released early Thursday, funds the departments of Homeland Security, State, Labor, Defense, Health and Human Services and various other agencies. Together with the $459 billion bill passed earlier this month, it fully funds the federal government to the tune of $1.659 trillion through September, after months of stopgap bills and negotiations.

More here.

The Roll Call Vote is here, if you want to check how your representative voted. 

The argument is perennially NOT about deficit spending, but deficit spending on WHAT. 

The projected tax shortfall for all programs for fiscal 2024 is $1.582 trillion, more than half of which will be net interest expense of $0.870 trillion on the exploding national debt. Interest payments on what we have already borrowed now exceed defense outlays of $0.822 trillion.

CBO in early February estimated fiscal 2024 discretionary spending at $1.739 trillion, so today's bill "saves" a mere $80 billion off that.

Mandatory spending on Social Security, Medicare, Medicaid, etc. is estimated at $3.908 trillion for fiscal 2024.

It's obvious that spending should be cut and taxes raised, but no one has the courage for either.

They should just agree to do both and let the chips fall where they may. Everyone out here will be pissed, vote accordingly, and it would be a wash politically.

Current national debt is $34.5612 trillion and rising.

The US House passed the debt ceiling compromise 314-117 this evening

 

Seventy-one Republicans and 46 Democrats voted against the bill in the House — mostly liberals and conservatives protesting specific provisions of the bill. Their numbers, however, were never a threat to the bill’s passage because of a hodgepodge of moderates and leadership allies who — despite some acknowledging the bill wasn’t exactly what they wanted — threw their support behind the measure. ...

The Congressional Budget Office (CBO) Tuesday estimated that the bipartisan debt limit deal could reduce projected deficits by about $1.5 trillion over the next decade, a meager assessment compared to the roughly $4.8 trillion the nonpartisan scorekeeper said the GOP bill would save. ...

While votes on rules, which govern debate over legislation, typically break along party lines, 29 Republicans broke from the GOP and opposed the rule on Wednesday as a way to boycott the debt limit bill. Shortly before the vote closed — as the bill was poised to be blocked — 52 Democrats threw their support behind the rule, bringing the final vote to 241-187 and allowing the debt limit bill to advance to the floor for a full vote.

More.

The Federal Government has been collecting record taxes for months, but that's not good enough for The Beast: The Manchin inflation bill gives the IRS $80 billion to collect even more, $204 billion extra in the next ten years

Meanwhile Sean Hannity on the radio is talking about anything but.

FEDS COLLECT RECORD TAXES... ^

FEDS COLLECT RECORD TAXES... ^ 

FEDS COLLECT RECORD TAXES... ^  

FEDS COLLECT RECORD TAXES... ^  

FEDS COLLECT RECORD TAXES... ^ 
 

Reconciliation bill includes nearly $80 billion for IRS including enforcement, audits: What that means for taxpayers :

Collectively, those improvements are projected to bring in $203.7 billion in revenue from 2022 to 2031, according to recent estimates from the Congressional Budget Office.

 

$2.2 trillion Build Back Butter bill Democrats insisted would cost nothing CBO estimates would cost $367 billion over ten years

 

 

 

 

 

 

So-called Democrat moderates in the House voted for it anyway, 220-213, undermining Republican claims their votes could be peeled away once the infrastructure bill had been passed separately.

Between the $250 billion cost of the infrastructure bill and the $367 billion cost of the Build Back Better bill, the optimistic CBO estimated combined ten year costs will dig a $617 billion hole in addition to the $6.8 TRILLION in fiscal year deficits for 2020 and 2021 spent since the onset of the pandemic to alleviate it.

The pandemic spending orgy, which was bipartisan, makes this all seem like a kerfuffle about relatively little.

Already pared back from $3.5 trillion or more in spending, the BBB faces an uncertain future in the Senate. The wild spending dreams of progressives may have been dashed, but anyone who pretends any of this makes any sense is crazy.

The country is currently holding at $28.9 TRILLION in debt, and is set to explode higher pending the raising of the debt ceiling. 

From the story: 

The final outcome wasn't much in doubt after centrist Democrats' deficit concerns largely melted away.

The vote came hours after the Congressional Budget Office issued its official cost estimate of the sweeping legislation, which moderate Democrats eagerly awaited to ease their concerns over the fiscal impact. The Biden administration and Democratic backers of the bill have insisted it would pay for itself and not add to federal deficits.

The nonpartisan CBO, the official scorekeeper, offered a cost estimate with a little wiggle room. It said the measure would increase deficits by $367 billion over 10 years — but that doesn't count additional revenue that could come from increased IRS tax enforcement.

How much new revenue that effort would yield has been hotly debated. The White House has said increased enforcement, aided by an additional $80 billion in IRS funding, would produce $480 billion in new revenue over a decade. The CBO took a more cautious view, saying the effort might produce $207 billion.

Republicans voted for the Biden infrastructure bill despite the CBO's estimate it would add $250 billion+ to the national debt over 10 years

 Is $25 billion a year a big deal?

We're already paying $500 billion+ EVERY YEAR in interest expense on the debt.

Nobody cares.

 

 

Bipartisan Senate infrastructure plan authorizing $550 billion in new spending passed the House late last night and goes to Biden for his signature

The bill was opposed in the House by almost all Republicans, and by six far-left Democrats who were outmaneuvered by thirteen moderate Republicans who threw their support to the plan, which 19 Republican US Senators had voted for earlier this summer. 

The House progressives had insisted that the infrastructure plan be voted on together with Biden's social spending plan in order to force moderate Democrats to go along with the latter. The House Republican votes for the Senate bill ended up thwarting that linkage, making it even more likely that the House version of the social spending plan will have to be much less ambitious.

A small group of House Democrats have insisted the Congressional Budget Office score the impact of the separate social spending plan, which would have been standard operating procedure under Republicans but which Democrats under Pelosi have been avoiding until now. They don't give a damn about the true costs. They've even claimed absurdly a $3.5 trillion social spending plan will cost NOTHING. Ha ha ha ha ha.

That ranks among the most shameless attempts to change reality through a talking point ever attempted.

Whatever comes out of the House on that will face the hard scrutiny of Democrat Senators Manchin and Sinema regardless. 

Roll Call:

The bipartisan bill would reauthorize surface transportation and water programs for five years, adding $550 billion in new spending. 

It includes $110 billion for roads, bridges and major projects; $39 billion for transit and $66 billion for rail; $65 billion for broadband; $65 billion for the electric grid; $55 billion to upgrade water infrastructure and $25 billion for airports.

WaPo:

The bill includes more than $110 billion to replace and repair roads, bridges and highways, and $66 billion to boost rail, making it the most substantial such investment in the country’s passenger and commercial network since the creation of Amtrak about half a century ago. Lawmakers provided $55 billion to improve the nation’s water supply and replace lead pipes, $60 billion to modernize the power grid and billions in additional sums to expand speedy Internet access nationwide.

Many of the investments aim to promote green energy and combat some of the country’s worst sources of pollution. At Biden’s behest, for example, lawmakers approved $7.5 billion to build out a national network of vehicle charging stations. Reflecting the deadly, costly consequences of global warming, the package also allocates another roughly $50 billion to respond to emergencies including droughts, wildfires and major storms.

"two-year suspension of the debt ceiling expired at the end of July"

Pure gobbledygook.

The limit, a facet of American politics for over a century, prevents the Treasury from issuing new bonds to fund government activities once a certain debt level is reached. That level reached $22 trillion in August 2019 and was suspended until Saturday. 

The new debt limit will include Washington’s additional borrowing since summer 2019. The Congressional Budget Office estimated in July that the new cap will likely come in just north of $28.5 trillion.

More gobbledygook.

The government's bookkeeping shenanigans here are always amazing, but especially now given the orgy of spending during the pandemic, and the reporting is nearly as bad.

The debt ceiling was "set" at $22 trillion in August 2019, but it wasn't "reached" until April 2021.

Add in the ever present "intragovernmental" borrowings and the total debt is now $28.46 trillion at the end of July. Intragovernmental holdings is code for raiding the Medicare and Social Security Trust Funds. It's one of the weird things about how bureaucrats think that the extent to which they must raid those funds plus the "normal" public debt becomes the sum they'll use to set the new "public" portion, the debt ceiling, when Congress gets around to it.

They all should be in jail. Instead we are.

CBO says overturning individual mandate would mean 15 million would drop health insurance in a heartbeat, so to speak

Reported here.

I got your frickin' CBO score right here

Government at all levels now costs 36% of GDP.

We can't afford another pencil.

The servile Kim Strassel has no fight in her, thinks the Senate healthcare bill simply comes down to pre-existing conditions

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

From the story here, where Strassel counsels bowing to federal mandates, which means bowing to the left-wing extremist who bankrupted America:

Republicans lost this argument nearly a decade ago, when Mr. Obama won. More than 90% of Senate Republicans understand this.

Which is another way of saying that protections for pre-existing conditions are here to stay, and conservatives face a choice. They can work with their colleagues to minimize the costs of the mandates (there are innovative ways to do this) and build in different free-market reforms to lower premiums. The Congressional Budget Office estimates that the current Senate bill will reduce premiums by about 30%, and the GOP can and should build on this.

Yes, the simple solution is always to bow, to submit, whether to the king, or to Allah.

Real Americans don't settle for easy.

US House hasn't sent Obamacare repeal to Senate, waiting for budget score from CBO

It's been two weeks already. These people are soooooooooooooooo unserious.

Story here.

WaPo and White House, but I repeat myself, lie about Obamacare enrollments by 100%

WaPo implies more than 20 million are enrolled in a story out today here:

White House press secretary Josh Earnest said that Obama told Democrats that they are well positioned to defend the law, which has extended insurance to more than 20 million Americans.

Extended. As in offered. Here's the reality.

The Motley Fool said in November it checked in June and the number actually enrolled and paying was 10.4 million:

The fourth open enrollment period of Obamacare, Officially known as the Affordable Care Act, kicked off this past Tuesday, Nov. 1, and it's slated to run through the end of January. At last check in June 2016, 10.4 million people were enrolled through the various marketplace exchanges, according to the Centers for Medicare and Medicaid Services. The Congressional Budget Office has stuck by its forecast that roughly 10 million people will be enrolled and paying by Dec. 31, 2016.

A month earlier the number was 11.1 million, meaning some people who enrolled early in the year subsequently stopped paying and fell out:

As a reminder, 11.1 million people remained enrolled and paying customers as of March 31, 2016 per the Centers for Medicare and Medicaid Services . . .. 

Since last October it has been widely reported that the Obama Regime, soon to be history, has been predicting just 13.8 million sign-ups by the end of January 2017, which means Josh Earnest is nothing but a Stalinist stooge for the Regime, nothing but a salesman, and WaPo its willing accomplice in continuing to report the highly fanciful figure of 20 million.

Fake news, you see.

Obamacare has failed utterly and will be lucky to hit the 10 million mark this time around before President Trump ends the farce that it is.

The Obamacare failure: 10 million buy plans on exchanges, 9 million buy off-exchange

Sally Pipes, here:

These off-exchange plans were never expected to be popular, especially compared to the government's marketplaces. As recently as 2013, the Congressional Budget Office was projecting that 24 million Americans would buy insurance through ObamaCare's exchanges by 2016. The CBO didn't even bother to predict enrollment figures for off-exchange plans.

Those projections missed the mark. Last year, off-exchange enrollment — 9 million — was within 1 million of that inside the exchanges. Some 2.5 million people have purchased off-exchange coverage even though they would've qualified for income-based subsidies through the exchanges. Almost half this group may also be eligible for additional federal subsidies aimed at reducing out-of-pocket costs for low-income individuals.

Democrats broke nearly every promise about ObamaCare

Jack Kelly here:

Nearly every promise Democrats made has been broken. The average family pays more (some much more) for insurance, not $2,500 less. About 9 million Americans (so far) have learned they couldn’t keep the health plans they had if they wanted. Or some of their doctors.

Federal spending for health didn’t go down. It’s zoomed upward. So have emergency room visits. Overhead costs are exploding.

The Congressional Budget Office estimates that Obamacare will lower full-time employment by 2.3 million in 2021, compared with what might have been without reform.

The ACA has hurt millions more than it’s helped. The worst is yet to come. President Barack Obama delayed or altered (mostly illegally) unpopular provisions at least 50 times. If they’re implemented fully, up to 100 million who get insurance from their employers could have their policies canceled, the American Enterprise Institute has estimated.

Congressional Budget Office quietly predicts 1.5% real 2014 GDP one day before BEA.gov announcement

Is 2Q2014 GDP of 4% just a memory?

The Canadian Broadcasting Corporation (!) had the story here:

"The Congressional Budget Office on Wednesday forecast that the U.S. economy will grow by just 1.5 per cent in 2014, undermined by a poor performance during the first three months of the year."

Low Wage Workers Get Reduced Hours, Probably Due To ObamaCare, The Rest Work More

So says Jed Graham for Investors.com, here, echoing our posts on part-timers who represent just 20% of the usually employed and are too few in number to ding the customary measures of hours, which are aggregate measures, when they are reduced because of ObamaCare considerations by their employers:

Low-wage workers clocked the shortest workweek on record in December — even shorter than at the depth of the recession, new Labor Department data showed Friday.

The figures underscore concerns about the ObamaCare employer insurance mandate's impact on the work hours and incomes of low-wage earners.

It's impossible to know how much of the drop relates to ObamaCare, but there's good reason to suspect a strong connection. The workweek has been getting shorter in many of the same industries where anecdotes have piled up about employers cutting hours to evade the law's penalties. ...

IBD's gauge of the low-wage workweek, now at 27.4 hours, includes the 30 million nonmanagers working in private industries where pay averages up to $14.50 an hour. ...

[T]he workweek has moved higher for non-low-wage workers. This group, including managers and those in higher-paying industries, is now clocking a longer week than prior to the recession.

That divergence explains why many economists and nonpartisan arbiters like the Congressional Budget Office have concluded that ObamaCare has had no impact on part-time employment. The effect doesn't show up in aggregate workforce data, but that is the wrong place to look.