Each morning, Bill Scher and Terrance Heath serve up what progressives need to effect change on the kitchen-table issues families face: jobs, health care, green energy, financial reform, affordable education and retirement security.
MORNING MESSAGE: Social Security Haters Show Contempt ... For You
OurFuture.org's Richard Eskow: "We're talking about complete and utter contempt, a repugnance so white-hot it feels like it could melt your face off. How else are we to interpret remarks like these from John Boehner: 'People in Washington assume that Americans understand how big the [Social Security problem is, but most Americans don't have a clue." ... Robert Samuelson's essentially calling the American middle class, whose pension plan was funded through a government-managed trust fund, 'welfare queens.' ... Alan Simpson has now insulted younger Americans - the ones who would be most hurt by his draconian anti-Social Security proposals - with another logorrheic rant against people 'walking on their pants with the cap on backwards listening to the Enema Man (presumably meaning Eminem) and Snoopy Snoopy Poop Dogg.'"
Senate To Vote On Spending Cut Plans
Senate leadership may hold votes on both Dem and GOP spending cut plans, hoping for GOP defectors. The Hill: "...Democrats are hopeful they’ll get more yes votes than the GOP. If that happens, Democrats argue, Republicans need to come closer to their budget-cutting number ... It is unlikely that Susan Collins (R-Maine), Scott Brown (R-Mass.), Mark Kirk (R-Ill.) or Lisa Murkowski (R-Alaska) will support the Democratic plan, but they might balk at the House GOP proposal."
But Dems may defect too. Politico: “'I feel strongly that the cuts are not large enough, but there are some cuts, so I don’t know whether I’ll be for it or against it,' Sen. Claire McCaskill (D-Mo.) told reporters Monday night ... Sen. Ben Nelson (D-Neb.) [said] that he’s been reviewing both proposals, and he would make his decision known Tuesday ... Sen. Joe Manchin (D-W.Va.) said he hadn’t made up his mind about how he’ll vote ... Sen. Debbie Stabenow (D-Mich.), who is up for reelection in 2012, also demurred when pressed about how she would vote."
Another stopgap measure is possible if no deal is struck next week. W. Post: "...asked at Monday's White House press briefing if Obama would sign another short-term agreement if necessary, Press Secretary Jay Carney was noncommittal."
In a shutdown, congresspeople would have to decide who on their staffs are "non-essential" employees. W. Post: "...key lawmakers are already weighing how Congress could stay in business. House Administration Committee Chairman Dan Lungren (R-Calif.) said that while his committee has been planning for the possibility of a shutdown, 'we haven't discussed it publicly,' lest Republicans be accused of wanting one."
As poverty increases, GOP cuts anti-poverty programs. Wonk Room's Tanya Somanader: "[CBS reports] 'it is estimated the poverty rate for kids in this country will soon hit 25 percent' ... By drastically slashing programs including Head Start services and the Nutrition program for Women, Infants, and Children (WIC), the GOP cut off thousands of children from vital food packages; 218,000 children from comprehensive health, educational, and family support; 975,000 low-income students from academic support; 5 million children from access to anti-poverty services ... "
President to tout public investment in innovation on trip to Boston today. Politico: "...Obama will unveil the Advanced Research Projects Agency for education, a federal innovation research initiative designed to create and promote technology-based education tools."
"Put High Income Tax Cuts Back on the Budget Negotiating Table" says CBPP's Chuck Marr: "In December, congressional Republicans demanded that Congress enact a two-year extension of President Bush’s tax cuts for people making over $250,000 – which will cost about the same amount as their proposed cuts to non-security discretionary spending for this year ..."
Senate moderates hedging on raising debt limit. Politico: "Does all this posturing and hedging mean the centrists will kill a vote on raising the $14.3 trillion debt limit? It’s unlikely. But the calibrated language and painstaking explanations from key senators show just how difficult life has become on the debt limit vote — something that used to be a routine vote for Congress."
Bipartisan group of six Senators start public campaign for deficit reduction compromise. W. Post: "'Everything is on the table,' [GOP Sen. Saxby] Chambliss said. 'For a Republican to put revenues on the table is significant. For a Democrat to put entitlements on the table is significant' ... about 30 other senators are watching from the sidelines to see whether the talks produce a politically viable deficit-reduction plan ..."
Mark Thoma slams Robert Samuelson's claim that "Social Security is Welfare": "Since he is rolling out the same old column (and apparently getting paid for it), I'll just roll out the same old response ... Just because an economic activity transfers income from one person or group to another does not make it welfare. Fire insurance transfers income. Some people pay premiums for their whole lives and collect nothing. Others, the unlucky few who suffer a fire, collect far more than they contribute. Does that make it welfare? Of course not."
Gov. Walker Insults Wisconsin Dems
WI Dems harden after new attacks from Gov. Walker. Milwaukee Journal Sentinel: "Walker lashed out at Senate Minority Leader Mark Miller (D-Monona), saying Miller's request to meet with him was ridiculous because Miller hasn't delivered a deal with Republicans despite several meetings ... he said that Miller is 'standing in the way' of compromise by preventing a deal discussed with [other Dems] Jauch and Cullen from going forward ... Jauch said Monday that he was angered by Walker's claim that Jauch and Cullen had sought to make a deal on their own with Republicans to come back to the state."
Midwest congresspeople shying away from clear positions on union attacks. Politico: "It’s not clear who’s going to win the union fights, and being on the wrong side of the debate could hurt these politicians in 2012 with a wide swath of the voting public."
GOPers turning on FL Gov. Rick Scott and his draconian cuts. NYT: "Mr. Scott’s go-it-alone style of governing was on display vividly last month when he chose to unveil his two-year budget 200 miles from Tallahassee, in the rural town of Eustis, at a rally jammed with Tea Party supporters. Mr. Scott ... proposes slashing $4.1 billion in spending and cutting property and corporate income taxes ... Lawmakers, though, are decidedly less optimistic about Mr. Scott’s budget plan, and even less enthusiastic about his uncongenial approach to Tallahassee. "
Foreclosure Fraud Settlement Weeks Off
Possible deal in two months, predicts lead negotiator. NYT: "A broad agreement could be struck within two months ... [Iowa AG Tom] Miller played down that prospect [of an imminent deal], citing thorny issues like the question of just which homeowners should benefit from the proceeds of any settlement ... Mr. Miller said the attorneys general were 'very concerned of people taking advantage' of any program intended to help people facing the loss of their homes."
Government officials give banks 27-page list of demands. LAT: "The term sheet, as it is called, did not specify the amount of any fines, restitution or mortgage forgiveness to be made as part of a settlement or how it would be paid to affected homeowners. Instead, the terms addressed broad mortgage servicing issues, such as how homeowners are treated when they try to modify their loans."
Demands would amount to "massive changes" for mortgage industry. HuffPost: "Currently, servicers have wide discretion in how they process payments and treat distressed borrowers and the investors who own those mortgages. If the state attorneys general had their way, that discretion would be narrowed, incentives would be altered, and a new system would emerge in which deserving homeowners would see their payments reduced and investors would experience decreased losses as a result of avoiding foreclosure."
Reuters' Felix Salmon sees the proposal as "reasonable" in theory but missing key component: "[The proposal is] setting the servicers up to fail, since few if any of them have the ability to implement all of these changes ... the big question here isn’t whether the settlement is reasonable — yes, it’s entirely reasonable. Instead, we should ask what the penalties for non-compliance are, since just about every servicer will be non-compliant for the foreseeable future. Those penalties come at the end of the document and they’re extremely vague..."
Banks making headway in lobby fight to soften new debt card fee caps. NYT: "Banks contend the proposed cut in fees — to 12 cents per transaction from an average of 44 cents — will leave many of them unable to afford to issue debit cards to customers or will force them to raise other consumer banking charges to cover the costs ... Several lawmakers who supported the debit card amendment or the broader financial regulation bill as a whole are now reversing course, as the antibank climate here softens. 'I believe the Fed was given too narrow of set of rules' with which to draft the regulation, said Representative Barney Frank..."
GOP Struggles To Find Health Care Position
GOPers face deficit hypocrisy charges after accusing Dems of cruel cuts to Medicare. Politico: "...as Republicans move to tackle the country’s gaping debt, they are weighing changes to Medicare — from higher premiums to spending caps — that open them to the same attacks they leveled only months ago against Democrats over the health care law. And Democrats haven’t forgotten it."
W. Post's Ezra Klein argues it's time for the GOP to propose an actual health reform policy: "Conservatives once offered solutions competitive with what the Democrats were proposing, but over the past 30 years, they've abandoned each and every one of them to stymie Democratic presidents. Confronted with a challenge to provide broader access to better health care at a lower cost, they're reduced to complaining that those aren't the right goals for health-care reform. But we've yet to see how 'less comprehensive insurance for fewer people' would play in Peoria."
Sen. Ben Cardin tapped by Dems to defend health reform. Politico: "...Cardin recounted the familiar Affordable Care Act high points: closing the 'doughnut hole' for seniors’ prescription drugs;eliminating co-pays for preventive care; covering children with pre-existing conditions; and allowing young adults up to age 26 to remain on their parents’ insurance. But he also revealed tactical, grass-roots politicking he believes will turn the tide. He said Democrats need to have message discipline and to keep it local. 'We’re going block to block,' he said."
Senate Dems could accept GOP-proposed health care tax penalties on middle-class to pay for 1099 tax provision repeal. HuffPost: "[Under the GOP proposal,] individuals who receive subsidies to help purchase insurance would be subject to heightened penalty from (or payback to) the IRS, starting in 2014, should they move up income brackets. Up until last weekend, it seemed likely that Senate Democrats would balk at such an approach, wary that it would come off as penalizing the poor and discouraging those in need from taking subsidies to purchase insurance. But now, sources with knowledge of the conversations say, the party is leaning toward adopting the House GOP language..."
Medicare chief, installed by recess appointment, unlikely to be confirmed to serve next year. NYT: "..., 42 Republican senators urged Mr. Obama to withdraw the nomination of Dr. Berwick [which is enough to] block confirmation ...The president has nominated Dr. Berwick three times, most recently in January. No confirmation hearings have been held, and none are scheduled. Reid Cherlin, a White House spokesman, said the president would not withdraw the nomination ... 'Everybody here admires Don and the work he’s done, but he is not going to be confirmed,' a supporter said ... 'There’s not a lot of optimism that the White House can do anything about it.'"
House To Move Anti-EPA Bill
House subcmte may move anti-EPA bill. The Hill: "While a markup has not officially been scheduled, a House Republican aide tells The Hill that a House Energy and Commerce subcommittee could consider and vote on the legislation Thursday ... The legislation is the latest effort by Republicans to limit EPA’s authority [on greenhouse gas emissions.]"
GOP looks to pin gas price spike on Obama. Politico: "...they’re taking to the Senate floor, issuing news releases and chatting up constituents back home to make clear that the recent spike in gasoline prices could be lessened by lowering taxes and easing restrictions on domestic drilling."
