The Incredible Shrinking Speaker: The Inmates Have Taken Over The Asylum
On Thursday, President Obama asked the top eight officials in Congress — four from each party — and Vice President Biden to express a preference about a debt-reduction target. Should the negotiations focus on a more modest series of cuts ($2 trillion), a larger package in line with the Biden-led talks ($3 trillion to $3.5 trillion), or a more ambitious approach (roughly $4 trillion)?
Of the 10 people in the room, eight, including all the Democrats, said they want to go big. House Speaker John Boehner (R-Ohio) was one of them, “enthusiastically” endorsing the notion of a grand bargain, telling Republican lawmakers that bold action is necessary, and that this is why he wanted to be Speaker in the first place.
Two of the 10 balked. House Majority Leader Eric Cantor (R-Va.) and Senate Minority Whip Jon Kyl (R-Ariz.) said there’s no point in trying to strike a grand bargain because rank-and-file Republicans will never accept a compromise on revenue.
As of yesterday, Boehner abandoned his plan and came around to Cantor’s and Kyl’s way of thinking. The Speaker discovered his caucus just wasn’t willing to follow him.
The sweeping deal Obama and Boehner had been discussing would have required both parties to take a bold leap into the political abyss. […]
[Some] Republicans said Boehner had finally realized that he could not sell the tax framework within his party. Many House Republicans, particularly the influential 87-member freshman class, won elections vowing to never raise taxes. At a Thursday meeting at the White House, Cantor said the tax package could not pass the House. And at a Friday morning news conference, every member of Boehner’s leadership team denounced the idea of including tax increases in the debt legislation.
As a substantive matter, the anti-tax extremism that dominates Republican politics is well past the point of being farcical. Given a chance to cut the debt by $4 trillion, GOP leaders who claim to be frantic about a non-existent debt crisis have been exposed as frauds.
But the political issue that stands out for me is realizing just how weak a Speaker Boehner really is.
He started this debt-limit process saying, “We’re going to have to deal with it as adults. Whether we like it or not, the federal government has obligations and we have obligations on our part.” Republicans proceeded to ignore him. This week, Boehner believed he had the power and influence to convince at least most of his caucus to rise to the occasion. Republicans proceeded to ignore this, too. Even the Speaker’s own leadership team didn’t want to follow him, and in the end, it looks like Cantor understood the extremist attitudes of the caucus far better than the Speaker did.
The Speaker of the House is arguably one of the most powerful offices in the government, at least in theory. It’s supposed to be within Boehner’s power to simply tell his caucus what they have a responsibility to do, and demand their fealty.
But a leader with no followers is, by definition, weak. Boehner may be the Speaker, but as he’s quickly realizing, he’s taking the orders, not giving them.
In the asylum known as the House of Representatives, is there any doubt as to the inmates’ power?
By: Steve Benen, Contributing Writer, Political Animal-Washington Monthly, July 10, 2011
Leader Of A Cadre Of Children: It Sucks To Be John Boehner
Mea culpa.
I confess that I have often picked on, made fun of, and generally disparaged Speaker of the House John Boehner only to now find myself feeling a measure of remorse for having done so.
It turns out that Speaker Boehner may be the only semi-reasonable man left in the Republican Party.
Yes, I know that Boehner has himself to blame for the role he played in opening the doors of Congress to the unyielding and unreasonable Members swept into office by the Tea Party rebellion in 2010. Yes, Boehner has spent far too many years cozying up to Wall Street and protecting the interests of big business at the expense of the middle class.
And just in case you’re wondering, I have not forgotten that John Boehner has long been quick to condemn the White House for the jobs crisis while doing absolutely nothing to assist in creating policy that would help solve the problem. Boehner has been a continuing impediment to growing American jobs by working with Obama on infrastructure legislation or any other valuable stimulus that could make a big difference for the many who are suffering from extended unemployment.
Still, you have to admit that it sucks to be John Boehner.
Imagine if you had to make decisions regarding the successful operation of your own home and your three year old, five year old and two year old each had a full vote in the decisions that are ultimately taken.
Say it’s time to buy the new family car. The two eldest of the three kids decide that the only sensible vehicle to purchase would be an ice cream truck filled to the top with Good Humor ice cream bars and, as an added option, comes with the happy song that streams from the scratchy PA system perched on the roof.
From the point of view of children of such an age, this choice makes total sense.
Yet, when the grown-ups must point out that such a purchase would neither be practical nor in the best interest of the family and cast their votes for a new, American made family minivan, it is left to the two year old to break the tie.
That can’t be good.
Welcome to John Boehner’s world – a world where he is the leader of a cadre of children who have yet to mature to the point where they warrant election to the post of school hall monitor let alone the halls of Congress.
As David Brooks wrote in his New York Times column earlier this week complaining about the GOP’s inability to just say yes to a good deal on the deficit-
That’s because the Republican Party may no longer be a normal party. Over the past few years, it has been infected by a faction that is more of a psychological protest than a practical, governing alternative.
The members of this movement do not accept the logic of compromise, no matter how sweet the terms. If you ask them to raise taxes by an inch in order to cut government by a foot, they will say no. If you ask them to raise taxes by an inch to cut government by a yard, they will still say no.
The members of this movement do not accept the legitimacy of scholars and intellectual authorities. A thousand impartial experts may tell them that a default on the debt would have calamitous effects, far worse than raising tax revenues a bit. But the members of this movement refuse to believe it.” Via New York Times
I don’t know about your experience, but what Brooks describes sounds an awful lot like my own kids before they were old enough to reason and make adult decisions.
If these immature Members of Congress were not enough of a problem for an old school deal maker like Boehner, the Speaker has to contend with a scheming GOP Majority Leader in Eric Cantor who waits behind every door with a dagger aimed squarely at his boss’s heart.
I wouldn’t bet against Cantor’s ultimate success in playing Brutus to Boehner’s Caesar as the Speaker remains caught between a Ba-rack and a Tea Party with nowhere to turn to get out of the mess.
Speaker Boehner knows the debt ceiling must be raised and has been willing to publicly say so as recently as this morning. He also knows that Congress must take great care to do nothing to further stifle the struggling economy just as he realizes all too well that he will need Democratic votes to get whatever deal he cuts with the President through the House as he won’t be able to count on his own Members.
This leaves Boehner to walk an impossible line between doing what he believes is necessary for the nation he is charged with governing and those who would ride the country into the ground in order to protect wealthy industries from losing a few unnecessary tax subsidies or, even worse, support keeping the economy mired in quicksand in order to better evict Barack Obama from the White House.
E.J. Dionne summed it up this way –
I’d actually feel bad for Boehner — an old-fashioned sort who’d normally reach for a deal — if he and his party had not shamelessly stoked the Tea Party to win power. The GOP is now reaping the whirlwind, and Boehner may be forced to choose between his country and his job. Via Washington Post
Unlike Dionne, I actually do feel badly for Boehner as he tries to make a deal and still hold onto his job. And I will feel more than badly for the entire nation should we find ourselves with Eric Cantor sitting in the seat of the Speaker of the House of Representatives.
Whether you sympathize with the man or, like Dionne, believes he is just getting what’s coming to him, you have to to agree on one thing –
It truly does suck to be John Boehner.
By: Rick Ungar, The Policy Page, Forbes, July 8, 2011
Taxes and Billionaires: The “Carried Interest” Loophole Has To Go
The House speaker, John Boehner, suggests that the Republican threat of letting the United States default on its debts is driven by concern for jobs for ordinary Americans.
“We cannot miss this opportunity,” he told Fox News. “If we want jobs to come to America, we’ve got to give American businesspeople the confidence to invest in our economy.”
So take a look at one of the tax loopholes that Congressional Republicans are refusing to close — even if the cost is that America’s credit rating blows up. This loophole has nothing to do with creating jobs and everything to do with protecting some of America’s wealthiest financiers.
If there were an award for Most Unconscionable Tax Loophole, this one would win grand prize.
Wait, wake up! I know that “tax policy” makes one’s eyes glaze over, but that’s how financiers have gotten away with paying a lower tax rate than their chauffeurs or personal trainers. Tycoons have bet for years that the public is too stupid or distracted to note that in many cases they’re paying just a 15 percent tax rate.
What’s at stake is the “carried interest” loophole, and President Obama is pushing to close it. The White House estimates that this would raise $20 billion over a decade. But Congressional Republicans walked out of budget talks rather than discuss raising revenues from measures such as this one.
The biggest threat to the United States this summer probably doesn’t come from Iran or Libya but from the home-grown risk that the nation will default on its debts. We don’t know the economic consequences for America or the world, and some of the hand-wringing may be overblown — or maybe not — but it’s reckless of Republicans even to toy with such a threat.
This carried interest loophole benefits managers of financial partnerships such as hedge funds, private equity funds, venture capital funds and real estate funds — who are among the highest-paid people in the world. John Paulson, a hedge fund manager in New York City, made $4.9 billion last year, top of the chart for hedge fund managers, according to AR Magazine, which follows hedge funds. That’s equivalent to the average per capita income of 184,000 Americans, according to my back-of-envelope calculations based on Census Bureau figures.
Mr. Paulson declined to comment on this tax break, but here’s how it works. These fund managers are compensated mostly with a performance bonus of 20 percent or more of the profits they make. Under this carried interest loophole, that 20 percent is eligible to be taxed at the long-term capital gains rate (if the fund’s underlying assets are held long enough) of just 15 percent rather than the regular personal income rate of 35 percent.
This tax loophole is also intellectually vacuous. The performance fee is a return on the manager’s labor, not his or her capital, so there’s no reason to give it preferential capital gains treatment.
“The carried interest loophole represents everyone’s worst fear about the tax system — that the rich and powerful get away with murder,” says Victor Fleischer, a law professor at the University of Colorado, Boulder, who has written about the issue. “Closing the loophole won’t fix the budget by itself, but it gets us one step closer to justice.”
At a time when the richest 1 percent of Americans have a greater collective net worth than the entire bottom 90 percent, there are other ways we could raise money while also making tax policy more equitable. The White House is backing some of them in its negotiations with Congress, but others aren’t even in play.
One important proposal has to do with founder’s stock, the shares people own in companies they found. Professor Fleischer has written an interesting paper persuasively arguing that founder’s stock is hugely undertaxed. It, too, is essentially a return on labor, not capital, and shouldn’t benefit from the low capital gains rate.
Likewise, Europe is moving toward a financial transactions tax on trades made in financial markets. That is something long championed by some economists — especially James Tobin, who won a Nobel Prize for his work — and it would also raise tens of billions of dollars at a time when it is desperately needed. It makes sense.
The larger question is this: Do we try to balance budget deficits just by cutting antipoverty initiatives, college scholarships and other investments in young people and our future? Or do we also seek tax increases from those best able to afford them?
And when Congressional Republicans claim that the reason for their recalcitrance in budget negotiations is concern for the welfare of ordinary Americans, look more closely. Do we really want to close down the American government and risk another global financial crisis to protect the tax bills of billionaires?
By: Nicholas Kristoff, Op-Ed Columnist, The New York Times, July 6, 2011
“Norquistism”: Republican Zeal Runs Amok
To watch Republicans in action today, in Washington and in legislatures around the country, is to be reminded of Casey Stengel’s amazed query to the 1962 Mets, whom he had the cosmic misfortune to manage: “Can’t anybody here play this game?”
In California, in Minnesota and here on Capitol Hill, Republican legislators in divided governments seem incapable of taking half or even three-fourths of a loaf — of recognizing when they’ve won. By holding out for more when they’ve already attained plenty, they run the risk of coming away with nothing for themselves or inflicting avoidable calamity on everyone else. As Daniel Bell once said of American socialists, they act as if they’re in but not of the world.
In California, for instance, where Republicans hold just over a third of the seats in each legislative house — enough to block any tax increase, which requires two-thirds support — Democratic Gov. Jerry Brown told reporters on June 16 that he was willing to submit to voters proposals to reduce both state pensions and business regulations if Republican lawmakers agreed to let voters also decide whether to extend some tax increases. Brown’s goal was to avoid having to cut more deeply into spending on schools, universities and medical care. California businesses, which have complained of overregulation for decades, were hot for the deal, but the
Republicans refused to budge. In consequence, in the state budget passed last week, without the tax extensions, the state’s public universities will have to raise tuition roughly 10 percent (on top of another 10 percent increase that will take effect in September); and the poor will pay more for medical care. Pensions and regulations will remain unrevised.
What makes the California Republicans’ intransigence so loony — “idiotic” is, I think, not too strong a term — is that they are likely to lose legislative seats as soon as next year as a result of redistricting, and they are sure to lose legislative seats over the next decade because of their ongoing estrangement of the state’s Latino voters. When Republicans drop beneath one-third representation in the statehouse, Democrats will be able to raise taxes without their support. In other words, this may well have been Republicans’ last chance to extract concessions they considered vital. And they blew it off.
What we have here is an extreme world view — let’s call it Norquistism — that ensures impasse, paralysis or perverse outcomes whenever control of government is divided. It’s the doctrine preached by GOP activist and lobbyist Grover Norquist, who trots around the country collecting pledges from GOP candidates and elected officials that commit them to never, ever raise taxes, no matter what they may be offered in return. In Minnesota, a state with a Democratic governor and a Republican legislature, Gov. Mark Dayton sought to raise taxes on only the relative handful of Minnesotans with annual incomes in excess of $1 million. The legislature opposed that, insisting on cuts (including to services for those with disabilities) that Dayton wouldn’t countenance. Absent a budget, most state services in Minnesota closed down on July 1; it’s not clear when, or how, some compromise can be reached to reopen the state.
In the nation’s capital, Republicans also seem to have lost their capacity for compromise — even when that compromise looks to be a GOP victory. Senate Republicans, for instance, have been urging President Obama since before he took office to finalize three trade accords — with South Korea, Colombia and Panama — and bring them before Congress. Obama has now done so, asking in return only that Republicans approve the renewal of Trade Adjustment Assistance, a program that aids workers who lose their jobs as a result of these kinds of trade deals. But Republicans are balking — boycotting last week’s meeting of the Senate Finance Committee at which these treaties were to be taken up — because they don’t like TAA. This is hardly a major program, mind you, but the GOP’s loathing of any program that provides government assistance to workers (who really shouldn’t need any assistance, as free trade is good for us all) has eclipsed its long-term commitment to American corporate priorities.
When zeal runs amok, the sense of proportion suffers. Today’s Republicans remind me of some leaders of the American Communist Party whom I got to know decades ago, after they’d left the fold. “We believed in the party line, in its infallibility, so completely,” one ex-commie told me, “that we’d forget the larger strategy for the momentary tactic.” So it was with Communists of yore; so it is with Republicans today.
By: Harold Meyerson, Opinion Writer, The Washington Post, July 5, 2011
112th Congress Is One Of The Least Productive In Years
Freshman Republican Sen Kelly Ayotte is often asked what surprises her most about serving in the esteemed upper chamber of Congress. The earnest, 43-year-old conservative from New Hampshire has come up with an uncomplicated reply:
“I thought that we would vote on a lot more bills.”
She most recently offered this answer from her Senate office at 3:45 on a Thursday afternoon. Senate Majority Leader Harry Reid (D-Nev.) had just announced that the Senate was done voting for the week. Senators wouldn’t be needed until the following Tuesday.
In the lobby outside Ayotte’s office, a television tuned to C-SPAN was showing an empty Senate chamber. In offices up and down the hallway, aides were booking flights home.
So it goes these days on Capitol Hill, a place of many headlines and much drama but not a whole lot of legislating.
The 112th Congress is on pace to be one of the least productive in recent memory — as measured by votes taken, bills made into laws, nominees approved. By most of those metrics, this crowd is underperforming even the “do-nothing Congress” of 1948, as Harry Truman dubbed it. The hot-temper era of Clinton impeachment in the 1990s saw more bills become law.
There is no shortage of explanations for the apparent lack of legislative success. Political observers see hyperpartisanship and perpetual campaigning that makes once-routine steps politically perilous.
Experts cite the rise of a brand of conservatism that aims for a government that governs least. Historians note that it’s not unusual for Congress to take a breather after a period of hyperactivity like the one Washington completed last year.
Lawmakers have a long list of politically tinged reasons: Republicans who control the House blame Democratic leaders in the Senate for refusing to hold votes that might prove problematic for members up for election next year; Democratic leaders in the Senate blame Republicans in both chambers for not working with them on legislation that has a shot of winning a presidential signature.
Perhaps the only group seeing a bright side is the Democratic minority in the House, which supports virtually none of the bills voted on in that chamber but doesn’t have to worry about them ever becoming law.
President Obama called out Congress when he argued last week that members have to “be here” to make progress on its top priority: negotiating a deal on the debt that can pass the Republican-led House and Democratic-led Senate.
But it’s not necessarily time spent in Washington where this Congress is falling behind. It’s how little it accomplishes when it’s here.
“I put it this way: no harm done yet,” said Rep. Henry A. Waxman (D-Beverly Hills). “But nothing accomplished yet — with a lot of ominous things that still may happen.”
To be sure, lawmakers are grappling with big issues, such as the Aug. 2 deadline to raise the government’s debt ceiling. Action on that front, however, has been behind closed doors in on-again off-again budget negotiations. Nearly all other major priorities — tax reform or a 2012 budget — have been delayed while lawmakers work on a deal.
And so the legislative trickle has slowed to a drip. From January until the end of May, the last date for which comparable statistics are available, 16 bills had become law — compared with 50 during that period last year, or 28 in 2007, also a time of divided government.
The Senate has taken 84 “yea and nay” votes and the House 112, roughly half the number as in 2007. The Senate by the end of May had confirmed just over half the administration’s nominees; recent congresses typically have been near the end of the list by this point.
The bills that have passed this year largely have been extensions of expiring laws. Also on this year’s list was a must-pass deal to keep the government from shutting down, which essentially was a piece of unfinished business from the previous Congress.
Then there were three laws naming public buildings, a resolution appointing a member of the Smithsonian Institution and one extending the life of the Ronald Reagan Centennial Commission.
The inertia might be best observed at the Senate Budget Committee.
When Ayotte was named to the committee after Sen. John Ensign (R-Nev.) abruptly resigned in April, it was a coveted “get” for a conservative who won office by promising to cut spending. She came out of her first planning meeting with a list of proposals, only to hear Reid say Democrats would not introduce a budget until after the deficit talks.
“I got appointed. I was excited about it. I had one good meeting and then it was done. That’s been my experience on that committee,” Ayotte said. The committee has not met since April 5.
But it’s not just Democrats putting a drag on legislative activity. Republicans on Thursday boycotted a hearing on a series of free trade deals, derailing what was considered a bipartisan effort.
Meanwhile, Sen. Ron Johnson (R-Wis.) held his own protest to highlight the Democrats’ missing budget. Although Democrats say a budget plan is coming next week, Johnson used a procedural move to keep Reid from scheduling a vote on a resolution authorizing military involvement in Libya — the rare issue likely to find bipartisan agreement.
The “tea party” freshman, who says he’s used to working in business “where you focus on accomplishing things,” said he realized he was stalling “a very important issue.”
“But the fact of the matter is it simply doesn’t address the fact that we’re bankrupting this nation,” he said.
Much of this has been taken in stride by folks who’ve been around for a while.
“If you’re not comfortable with delay, frustration and impatience, get out of the Senate,” said Sen. Richard J. Durbin (D-Ill.). “It’s the nature of the institution, but I think we’ve taken it to an art form.”
At the other end of the building, the House isn’t exactly breaking records.
The 50 bills it has passed in the first five months of 2011 represent the lowest such number in more than 15 years. Republicans’ anti-Washington rhetoric translated into a schedule intended to keep lawmakers out of Washington. The result has been fewer days in session and fewer votes.
Reid, borrowing the critique usually aimed at him, recently complained that Senate bills — a patent reform measure and reauthorization of the Federal Aviation Administration — had fallen into the “big black hole” of the House.
In fact, each side is piling bills on the other’s doorstep while they wait for a deal to come out of the debt talks.
That package could prove that legislative activity doesn’t necessarily correspond to substance.
“Obviously, if they reach some kind of deal that results in a sweeping change in the scope of government and the tax rates, they don’t have to do much else to go down as a consequential Congress,” said Norman Ornstein, an expert on Congress at the American Enterprise Institute for Public Policy Research. “Most everywhere else, their influence is puny.”
With an Aug. 2 deadline, it may take much of the summer to find out. After that, both bodies leave for a long summer break and return after Labor Day.
By: Kathleen Hennessey, Staff Writer, Chicago Tribune, July 3, 2011
Share This Blog
Unknown Feed- An error has occurred; the feed is probably down. Try again later.
mykeystrokes.com 