Quantcast

House rejects conservatives' deficit-cutting plan

By Alan Fram

Associated Press

Published: Thursday, March 29 2012 11:56 a.m. MDT

House Minority Leader Nancy Pelosi of Calif., holds her weekly news conference on Capitol Hill in Washington, Thursday, March 29, 2012.

J. Scott Applewhite, Associated Press

Enlarge photo»

WASHINGTON — The House rejected a budget pushed by its most conservative members on Thursday and moved toward approval of a plan written by Republican leaders that would revamp Medicare, slice everything from food stamps to transportation and reject President Barack Obama's call to raise taxes on the rich.

The conservatives' package, defeated 285-136, featured sharp reductions in planned spending for Medicaid and other domestic programs. It claims to turn this year's $1.2 trillion federal deficit into a balanced budget in five years — which most analysts consider unachievable because few lawmakers would vote for the package's proposed cuts.

None of the competing budgets by Ryan, President Barack Obama or House Democrats claim to balance the budget within the next decade.

Underlining the growing influence of tea party and other conservative Republicans, a clear majority of GOP lawmakers voted for the conservatives' plan. It was defeated because virtually every Democrat voted against it.

The main GOP blueprint by House Budget Committee Chairman Paul Ryan, R-Wis., was headed for all but certain House passage Thursday, mostly along party lines. It faces a demise that is just as sure in the Democratic-run Senate, which plans to ignore it, but the battle remains significant because of the clarity with which it contrasts the two parties' budgetary visions for voters.

Republicans were focused on sharper deficit reduction and starkly less government than Democrats wanted and were proposing to lower income tax rates while erasing many unspecified tax breaks. Obama and Democrats were ready to boost taxes on families making above $250,000 and on oil and gas companies, add spending for roads and schools and cull more modest savings from domestic programs.

"This is the American taxpayers' money, and we ought to be more protective of it," House Speaker John Boehner, R-Ohio, told reporters Thursday.

Democrats said they, too, were eager to stanch deficits that now exceed $1 trillion annually. But they said it needed to be done in a more balanced way, with rich and poor alike sharing the load.

"It's a path to greater prosperity — if you're already wealthy," said Rep. Chris Van Hollen of Maryland, top Democrat on the Budget panel, mocking the "Path to Prosperity" title Ryan has given his document. "Because our Republican colleagues refuse to ask millionaires to contribute one cent to deficit reduction, they hit everyone and everything else."

In another vote expected Thursday, Democrats were pushing a measure featuring pumped-up spending for education and new tax credits for companies creating jobs and raising wages, while claiming savings from winding down the wars in Iraq and Afghanistan, government waste and reductions in farm payments. It was destined for defeat.

Underscoring the prickly partisan gulf over how to tackle the budget's drastic imbalances, the House late Wednesday on a 382-38 vote easily shot down a compromise, bipartisan deficit-cutting plan by moderates of both parties that mingled tax increases with spending cuts.

The measure was modeled roughly on a package produced by Obama's deficit-reduction commission. The commission's plan drew praise from prominent deficit foes but was treated coolly by Obama and congressional leaders of both parties.

The House also voted 414-0 Wednesday to reject Obama's budget, with Democrats accusing the GOP of forcing the vote to embarrass them. Democrats were concerned Republicans would use campaign ads to link Democrats who supported Obama's plan to all of its details, including tax increases and boosts for unpopular programs.

Congress' budget is a nonbinding road map that suggests tax and spending changes that lawmakers should make in separate, later legislation.

Particularly with voters deciding control of the White House and the Capitol in November, the two parties are sure to stalemate each other's budgetary priorities until after the election.

Get The Deseret News Everywhere

Subscribe

Mobile

RSS