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: War of Independence Against Corporate Politics
OurFuture.org's Richard Eskow: "We fought for the principles of self-representation and economic freedom. Those principles are under attack again today. But there's no place for rhetorical violence (or any other kind) in today's debate. When corporations intimidate us with economic pressure and distorted information, the best responses are communication and mobilization. We resisted Britain's state-sanctioned monopolies in 1776. Today's government-sanctioned corporations hang out on Wall Street, not by the chartered Thames. The spirit of the East India Company lives in the five banks which now control nearly 96% of the derivatives market in this country ... These economic injustices and others will continue as long as wealthy contributors corrupt our political process ... So we must wage a war for the mind - a war against corporate think tanks and TV talking heads who tell us our problems arise from self-indulgence and those in need, not corporate malfeasance and runaway greed."
Medicaid On Chopping Block In Debt Limit Talks
"Administration Offers Health Care Cuts as Part of Budget Negotiations" headlines NYT: "... the depth of the cuts depends on whether Republicans are willing to accept any increases in tax revenues. Administration officials and Republican negotiators say the money can be taken from health care providers like hospitals and nursing homes without directly imposing new costs on needy beneficiaries ... Negotiators said they were seriously considering cuts in Medicare payments to hospitals for uncollectible patient debt and the training of doctors; steps to eliminate Medicare 'overpayments' to nursing homes; a reduction in the federal share of some Medicaid spending; and new restrictions on states’ ability to finance Medicaid by imposing taxes on hospitals and other health care providers ... much to the dismay of many House Democrats [who] say the [Medicaid] cuts would impair access to care for the poor and shift costs to the states..."
Jared Bernstein worries that Dems will make revenue raisers, "revenue neutral": "...according to the reports, [GOP. Sen John] Cornyn at least has been saying these changes have to be revenue neutral, meaning any revenue gained from closing a loophole has to be given back through lower tax rates. In other words, no revenues for deficit reduction, and thus no real contribution to the budget negotiations. Democrats insisting on revenues in the deal can’t accept this. In fact, a deal that has trillions in spending cuts 'balanced' against a few hundred billion in revenues through a few loophole closures isn’t much of a deal at all."
Third Way's Bill Schneider argues any debt limit deal will hurt the economy, in Politico oped: "Democrats and Republicans are arguing over the correct balance between spending cuts and tax increases ... What they are both missing is that the exact mix doesn’t matter. What matters is how much money is taken out of the economy at a time when economic growth is desperately needed. Economic growth is necessary for any deficit-reduction plan to succeed ... What makes the most sense, and what Clinton recommended, is a delayed deal."
Dem leaders getting behind payroll tax cut extension, but Social Security defenders worry. The Hill: "Reps. James Clyburn (D-S.C.) and John Larson (D-Conn.) announced Friday that they'll throw their weight behind the extended payroll-tax holiday, which President Obama and some leading Senate Democrats are prescribing as an economic stimulant ... Earlier this month, [Rep. Lloyd] Doggett, Ted Deutch (Fla.) and Mark Critz (Pa.) urged their Democratic colleagues to oppose any additional payroll-tax breaks. The lawmakers warned that such measures threaten Social Security's ability to pay future benefits and defy the initial design of the program."
FIscal struggles of Wilmington, NC typify local budget crises. NYT: "That a place like Wilmington, until recently a real estate boom town, would defer a purchase as essential as a fire truck for even one year, much less five, speaks to the withering toll."
President to meet with Senate Dems this week, hold Twitter town hall Wed. reports The Hill.
Austerity Advocates Beg GOP To Claim Victory
NYT's David Brooks tells Republicans to concede on taxes and claim victory: "They have been tough and inflexible and forced the Democrats to come to them. The Democrats have agreed to tie budget cuts to the debt ceiling bill. They have agreed not to raise tax rates. They have agreed to a roughly 3-to-1 rate of spending cuts to revenue increases, an astonishing concession."
USA Today edit board rips GOP over refusal to consider new revenues: "Compromise is an essential part of democracy, but negotiating with Republicans over taxes has become as futile as trying to bargain with the Taliban over whether girls should be allowed to attend school ..."
Restless conservative voters fueling House GOP primary challenges. NYT: ".... At least half a dozen potential primary challengers to freshmen are considering a run, and there is heated chatter about more ... to some of the impatient and ideological voters who sent them to Washington to change things, the new House members may be seen as the establishment..."
Redistricting pitting incumbents against each other, pressuring GOPers to vote against any debt limit deal. The Hill: "In incumbent-versus-incumbent battles, a vote in favor of raising the debt ceiling could be used against an incumbent by someone who voted against raising the debt ceiling."
Breakfast Sides
HUD program aims to save 30,000 struggling homeowners. W. Post: "In June, a potential lifeline opened up. The newly launched $1 billion Emergency Homeowners’ Loan Program, or EHLP, is targeting homeowners who are among the most difficult to help: those who fell behind on their payments because of job loss or unexpected medical bills ... the government will subsidize ... mortgage payments for a maximum of $50,000 over two years. After that, the interest-free loan will be forgiven over five years..."
Obama administration cuts premiums for interim insurance pools serving people with pre-existing conditions, reports W. Post: "Consumer advocates and federal officials hope that the lower premiums will encourage more people to sign up for the plans, which are intended as a bridge to 2014, when most of the provisions of the new law take effect..."
Elizabeth Warren earns "grudging respect" from bankers, but no sign if she'll be nominated to run CPFB. NYT: "...with no clear signal as to who will run the bureau, many bankers are now worrying that the opposition to Ms. Warren may produce a leaderless consumer bureau. Without a director, the agency cannot regulate nonbank financial companies, including payday lenders, mortgage companies and consumer credit agencies. Those businesses compete directly with local banks, and bankers do not like the idea that their institutions will be regulated by the bureau while their chief competitors will not."
NEA shifts on teacher evaluations. NYT: "...the nation’s largest teachers’ union on Monday affirmed for the first time that evidence of student learning must be considered in the evaluations of school teachers around the country ... But blunting the policy’s potential impact, the union also made clear that it continued to oppose the use of existing standardized test scores to judge teachers, a core part of the federally backed teacher evaluation overhauls already under way in at least 15 states."
