Take your seats, please, the curtain’s going up for the Big Finish

Since we last checked in with our heroes: Speaker Boehner, faced with his own proposal going down to defeat in the chamber he (ostensibly) leads, capitulated—he added a balanced budget provision to his plan for lowering government spending, reducing debt and raising the federal debt ceiling, to placate enough members to get the bill passed.  It worked; and as expected, and warned, the Senate rejected the plan; now Majority Leader Reid is trying to persuade Senate Republicans to let his plan come to a vote. [UPDATE 3:03 pm: The House rejected Reid’s plan before the Senate had a chance to vote on it.]

The Wall Street Journal editorial page wants Republicans to accept a plan now, and claim a victory, even if it’s one that doesn’t solve all the nation’s economic problems once and for ever.  (Why didn’t I think of that?)  An economy struggling to recover from recession doesn’t need the government to suddenly stop making some of its payments—and you can take comfort in knowing, there is a plan for who gets paid first in the event the debt ceiling is not raised by the deadline next Tuesday…the bureaucratic imperative prevails.

I still choose to believe that Congress may bring us to the edge of default but reason will prevail and the debt ceiling will be raised to prevent a default…that puts me in the company of an American conservative icon:

Socialists-7-27-11-color-640x469 

Thanks to David Horsey, seattlepi.com and Hearst Newspapers…click the cartoon to read Horsey’s commentary:

If it were not for their powerful recklessness, I would simply get a good laugh out of the alarmists on the right who see socialism in any tilt toward moderation in our politics.

(snip)

To ensure that his country does not follow Greece into a bottomless hole of debt, Tory Prime Minister David Cameron has implemented a budget balancing formula of three-to-one – that is, three parts spending cuts to one part revenue increases. These austerity measures have, not surprisingly, provoked rioting among leftists and students. Nobody in Europe would be silly enough to call this socialism.

Yet, when President Barack Obama proposes the same formula to rein in the debt in the United States, a mental riot goes off in the heads of Rush Limbaugh, Sean Hannity, the House Republican Caucus, the Tea Party and all the others who are somehow convinced Obama wants to turn America into Sweden.

Consumed by their fear of phantom socialists, these folks see politics in stark, black-and-white terms. If you are not with ’em, you’re agin’ ’em  and even the most staunch conservative risks charges of treason if he shows a willingness to bargain with the other side.

(snip)

Like ultra-conservatives of past decades, today’s reactionaries have scared themselves silly by demonizing their opponents: every liberal hates America, every Democrat is a socialist, every moderate is a dupe, every compromise is a pact with the devil. What is new is that this mindset now dominates the majority caucus in the United States House of Representatives. And because of that, there very well could be no deal to raise the debt ceiling, unless the president and the Senate choose to grant the militants everything they want.

(snip)

…to confuse the centrist economic policies of Barack Obama with socialism is as absurd as calling a conservative like Tom Coburn a RINO – Republican In Name Only. As clean cut, moral and upstanding as my fellow citizens on the right may be, I have to say they have become unhinged from economic and political reality and, in their delusion, they are about to take us all over a cliff.

In a Newsweek interview, Tom Coburn, a guy I disagree with about most things, summed it up frightening well:

“We’ve never been in this territory before. I mean, if we handle this wrong, we’re near the end of our republic as we know it.”

Gang of Six comes to the table with a plan, and some hope

A plan, a plan!  We have a plan, we just aren’t telling you what it is, not just yet.

And just because you and I don’t know what’s in it doesn’t mean that this budget plan from the Group of Six might not be a solid foundation for building a way to get the nation’s budget out of the ditch, and maybe get support for a debt ceiling increase before the government defaults on its loans in two weeks.

Today, a bipartisan group (or Gang) of six senators that has been meeting privately for months looking for a way out of the federal budget quicksand briefed Senate colleagues on a plan to cut about $4 trillion dollars from the budget deficit over the next 10 years.  The plan is said to be similar to the one presented by the president’s deficit study commission, and calls for spending cuts and tax increases (yeah, I said it—tax increases).  A number of Republicans and Democrats came out of the meeting with positive things to say about this effort.

President Obama praised the plan, noting that it’s “consistent” with the approach he’s been pushing in recent negotiations.  Now, that may be all it takes to doom the plan in the eyes of Obama-haters, but there’s still hope.  This plan will be there waiting for both houses to pick up after the GOP’s “Cut, Cap and Balance” plan fails to win approval; it wouldn’t be ready to be implemented right away, but could show enough good faith for enough Republicans to do what has to be done right away—raise the debt ceiling by August 2 to prevent government default and all the consequences that will bring to the economy, and to you and me.

Just for good measure, on that proposal for a balanced budget amendment: Dahlia Lithwick and Doug Kendall make an interesting case that amending the Constitution to require a balanced budget, in the way that Tea Party members are proposing to do, would actually “crash headlong into the very constitutional principles the Tea Party purports to cherish” and that if successful could hamstring the nation’s ability to defend itself.  Here’s hoping they’re still capable of seeing the irony of this situation.

You hate to see a grown legislator cry

It’s not a pleasant sight, but we should get used to it because it’s not over: across the country, and soon in Washington, D.C., elected representatives are finally struggling with making actual budget cuts.

Here in Texas we face the same problem as everyone else: not enough money to pay for everything we want.  Fact is, we’re $23 billion short of what we’d need to fund the last budget with no increases in anything—or in other words, we need to cut the last budget by more than 12%—and the Texas Constitution doesn’t permit deficit spending.  So our legislature is in the midst of that “adult conversation” we’ve heard so much about, making tough decisions about what to keep and what to cut.

No one’s really in favor of cutting state funding of public education by $8 billion (or in favor of what Tom the Dancing Bug down there is imagining), or short-sheeting projected growth in Medicaid caseloads by $4 billion, or running TDB onbombing schoolsthe risk of nursing homes closing because of the proposed cut in Medicaid reimbursement rates.  But all of that’s in the budget approved yesterday by the state House of Representatives, and that’s after getting the governor to agree to use $3.1 billion dollars from the savings account.

Republican leaders in the Texas House, who are still talking about finding some “non-tax revenue” source to ease the cuts, passed this budget because they believe the voters made it clear in November that they’re opposed to raising any taxes, and so far there’s been no groundswell of Texans begging to pay higher taxes to prevent these cuts…although there’s been plenty of complaints about what’s proposed to be cut.

Rep. Harold Dutton, D-Houston, likened the situation to entering a burning house and finding schoolchildren in one room and elderly people in another.

“I finally figured out that I couldn’t save anybody in this fire,” Dutton said, asking why lawmakers chose not to put out the fire by addressing the state’s underlying fiscal problems.

The same kind of tough decisions need to be made in Washington, and just like in Texas there’s no way to make real change without pain—a lot if it.  Most of the federal budget is tied up in Social Security, Medicare and Medicaid, and defense spending.  The deficit commission concluded that everything has to be on the table for discussion, and a small group of senators has been negotiating quietly to come up with a plan.

Tomorrow, House Budget Committee chairman Paul Ryan of Wisconsin releases his plan, and I hope that kicks off some serious discussion about our options for resolving the government’s financial problem.  I hope, but frankly I’m not overly optimistic about Congress solving the problem: you see, tomorrow another group of worthies meets at the White House to see if they can keep the government from shutting down on Friday, because Congress has repeatedly failed in its responsibility to pass a budget for the year that started October 1 of LAST YEAR!

C’mon, guys; cut the crap and get serious, wouldya?