# Federal Budget



IA-01, IA-02: Braley and Loebsack vow to fight for Rock Island Arsenal

Yesterday U.S. Secretary of Defense Leon Panetta revealed some proposed cuts to the military budget, part of a plan to save $487 billion over the next decade. Click here or here for details on the reductions, which will slow the rate of growth in defense spending but are far from the “massive cuts” opponents decry.

Representatives Bruce Braley (IA-01) and Dave Loebsack (IA-02) responded to yesterday’s news by promising to fight for defense-related jobs at the Rock Island Arsenal, a major employer in the Quad Cities area.

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IA-02: Loebsack on the Frontline, Republicans campaigning (updated)

In another sign that Iowa’s second Congressional district will be competitive next year, the Democratic Congressional Campaign Committee has added three-term Representative Dave Loebsack to its “Frontline” list of vulnerable incumbents. Meanwhile, Loebsack’s three declared challengers have been meeting and greeting Republican activists during the busy Iowa caucus season.  

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How the Iowans voted on year-end spending bills

Catching up on news from the weekend, the U.S. House and Senate averted a federal government shutdown by passing an omnibus spending bill for fiscal year 2012, which runs through September 30 of next year. The government had been operating on a continuing spending resolution, which was due to expire on December 17. Details on the last-minute appropriations deal and how the Iowans voted are after the jump, along with comments from some members of the Congressional delegation.

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Iowans split on party lines as House rejects Senate payroll tax cut bill

The payroll tax cut, extended unemployment benefits, and a “doc fix” affecting Medicare reimbursements look more likely to expire on December 31 after today’s votes in the U.S. House. Republicans voted to go to conference to resolve differences between their approach to extending the payroll tax cut and the bill the U.S. Senate approved on Saturday.  However, Democrats don’t plan to appoint anyone to the conference committee.

Details on today’s votes and reaction from members of Iowa’s House delegation are after the jump.

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Iowa Democrats support GOP payroll tax extension in House

Only ten Democrats in the U.S. House supported a bill approved last night to extend the payroll tax cut and some unemployment benefits. All three Iowa Democrats crossed party lines to vote for this legislation, which has drawn a rare veto threat from the White House.

UPDATE: Scroll down for Representative Dave Loebsack’s statement on this vote.

SECOND UPDATE: I’ve added a statement from Representative Steve King.

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Payroll tax extension news roundup

A year ago, former President George W. Bush’s income tax cuts for all brackets were due to expire on December 31. Republicans had President Barack Obama and Congressional Democrats on the defensive, not wanting to be seen as raising taxes in a tough economy. Now the tables are turned as a payroll tax cut benefiting all wage earners will expire at the end of the year unless Congress acts otherwise. Democrats in Washington and around the country see this issue as a political winner.

Last week the U.S. Senate defeated two more proposals for extending the payroll tax cut. Meanwhile, the Democratic Congressional Campaign Committee and the Iowa Democratic Party used the controversy to create bad publicity for Representative Tom Latham (IA-04) and Representative Steve King (IA-05).

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Nearly a quarter of Des Moines metro area bridges are deficient

Transportation for America released a new report today examining structurally deficient bridges in U.S. metro areas. Among communities with a population between 500,000 and 1 million, the Des Moines metro ranked fourth-worst with 24.3 percent of area bridges in the structurally deficient category.

UPDATE: Representative Leonard Boswell’s comments on this report are at the end of this post.

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Gas tax fight ahead for 2012 Iowa legislative session

Iowa House and Senate members have plenty of work to do during the next legislative session, scheduled to begin in January 2012. Governor Terry Branstad wants to pass a big education reform package as well as commercial property tax cuts he wasn’t able to get through the legislature this year. Lawmakers also face a deadline for adopting a new system for funding and delivering mental health services. Disagreements over the state budget pushed the 2011 legislative session two months beyond its original adjournment date, and I doubt Democrats and Republicans will find it easier to agree on spending priorities in 2012. Election years aren’t typically the most productive times at the state capitol.  

As if there weren’t enough contentious issues on the table, the governor’s transportation advisory commission will urge legislators to approve an 8-cent to 10-cent gas tax increase.  

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Latham votes yes, but House rejects government funding resolution

Less than 10 days before the current fiscal year ends, Congress has not approved any appropriations bills for fiscal year 2012. Yet again, continuing funding resolutions are needed to prevent the federal government from shutting down after September 30. Yesterday Representative Tom Latham was the only Iowan to vote yes as the U.S. House failed to approve a continuing resolution backed by Republican leaders.

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Weekend open thread and news from Iowa's Congressional delegation

All five Iowans in the U.S. House are co-sponsoring a bill that would require the U.S. Army Corps of Engineers “to revise the Missouri River Master Manual to increase the total amount of storage space within the Missouri River Reservoir System that is allocated for flood control.” After the jump I’ve posted more details on that bill and other news about the Iowans in Congress.

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CNN/Tea Party Express GOP debate discussion thread

Eight Republican presidential candidates will debate for the second time in less than a week tonight at 7 pm central time. I expect former Massachusetts Governor Mitt Romney and Representative Ron Paul to have a go at Texas Governor Rick Perry, like they did during last week’s debate. Representative Michele Bachmann has been trying to distinguish herself from Perry too lately. I see the other four candidates mainly fighting not to be ignored by the moderators.

I’ll update this post later, but meanwhile here’s a thread to talk about the debate or the presidential race in general.

UPDATE: First thoughts on the debate and excerpts from the transcript are after the jump.

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Grassley yes, Harkin no on motion to block debt ceiling hike

Both of Iowa’s senators voted against the deal to raise the debt ceiling in early August, but only one of them voted last night to block a $500 billion debt ceiling increase, which was part of that agreement.

Earlier on September 8, Senators Tom Harkin and Chuck Grassley helped send a patent reform bill to President Barack Obama. The president and Senate Majority Leader Harry Reid have characterized patent reform as a job creation measure. Follow me after the jump for more on yesterday’s Senate votes.

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Obama jobs speech thread, with Iowa political reaction

President Barack Obama just made his case for “an American Jobs Act” in a speech to both chambers of Congress. In the usual Obama style, he offered Republicans a lot of compromises, like corporate tax cuts and a tax credit for employers. He argued for a payroll tax cut as well and called on Democrats to support “modest adjustments” to Medicare and Medicaid as well. On the spending side, Obama is seeking more funding for infrastructure, such as repairing roads and bridges and fixing “at least 35,000 schools.”

The full transcript of the president’s speech (as prepared) is after the jump. I’ve also posted some Iowa reaction, and I’ll keep this post updated as other members of Congress weigh in.  

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Report exposes "massive CEO rewards for tax dodging" (updated)

Salaries for chief executive officers of major U.S. corporations rose sharply in 2010 despite the weak national economy, and various tax-dodging strategies allowed highly profitable companies to pay little or no corporate income taxes. That’s a small taste of the distubring news from the Institute for Policy Studies’ report on Executive Excess: CEO Rewards for Tax Dodging.

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Senate passes, Obama signs short-term FAA extension

While in pro-forma session for 59 seconds today, Senate Democrats passed a six-week extension of the Federal Aviation Administration’s authorization. Since the bill had already passed the U.S. House, it went straight to President Barack Obama. He signed it right away, ending the partial shutdown of the FAA that began on July 22. Furloughed FAA employees can go back to work, and airport construction projects put on hold can resume.

The short-term extension contains some cuts to the Essential Air Service program subsidizing service to small airports (including three in Iowa). House Republicans want to phase out that program, while most Democrats want to preserve it. The bill passed today does not include Republican-backed language that would make it more difficult for airline workers to join a union.

LATE UPDATE: The FAA shutdown delayed planned upgrades at the Southeast Iowa Regional Airport in Burlington, possibly until after the winter.

Senate approves debt ceiling deal; Harkin and Grassley vote no

The U.S. Senate approved the last-minute deal to raise the debt ceiling today by a vote of 74 to 26 (roll call). Iowa’s senators voted no for very different reasons. Democrat Tom Harkin reject the deal he called “a clear and present danger to the fragile, indeed faltering, economic recovery.” Republican Chuck Grassley said the plan “delays meaningful spending reductions, fails to address entitlement spending in a way that will save the programs for future generations of retirees, and leaves open the possibility of tax increases.” The complete statements from by Harkin and Grassley are after the jump.

Yesterday all five Iowans in the U.S. House voted against the debt deal as well. To my knowledge, no other state’s entire Congressional delegation rejected this national embarrassment.

After hailing passage of an austerity plan that will deeply cut domestic spending, President Barack Obama said today, “We’ve got to do everything in our power to grow this economy and put America back to work.” He missed that chance.

LATE UPDATE: Richard Kogan posted a helpful summary on “How the Potential Across-the-Board Cuts in the Debt Limit Deal Would Occur.”

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All Iowans vote against final debt ceiling deal in House

The House of Representatives passed the bill on raising the debt ceiling today by a surprisingly large margin of 269 to 161 (roll call). About three quarters of the Republicans recognized what a great deal they wrangled out of a weak president. However, Tom Latham (IA-04) and Steve King (IA-05) were among the 66 House Republicans who voted no.

Vice President Joe Biden spent part of Monday selling this raw deal to Democrats on the hill, and half the Democratic caucus ended up voting yes, including Gabrielle Giffords, making her first return to the capitol since she was shot in January. Bruce Braley (IA-01), Dave Loebsack (IA-02) and Leonard Boswell (IA-03) were all among the 95 Democrats who voted no.

Memo to Minority Leader Nancy Pelosi and all other stupid Democrats who voted for today’s deal: This is why no one powerful ever cares what House Democrats say. Republicans got President Barack Obama to meet almost 100 percent of their demands. They should have been forced to provide 100 percent of the votes to approve this bill. Pelosi claimed the deal protected Medicare, Medicaid and Social Security from cuts, but the “super-Congress” deficit-cutting commission will have other ideas. Some other Democrats pointed to large potential cuts in defense spending over the next decade. I have a bridge in Windsor Heights to sell anyone who believes those cuts will materialize.

After the jump I’ve posted statements on today’s vote from Braley, Loebsack, Boswell and Latham. I will add King’s when it appears. I have requested a comment from King’s Democratic challenger, Christie Vilsack, and if I receive a reply I will post it below. Click here for details about how Iowans voted on the debt ceiling bills that reached the House floor Friday and Saturday.

UPDATE: Added King’s statement slamming the debt limit deal below. Like Latham, he said the agreement didn’t do enough to limit future government spending. In their comments, Braley, Loebsack and Boswell all emphasized that the deal puts too much of the deficit-cutting burden on the middle class while protecting wealthy individuals and special interests.

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New thread on the debt ceiling sellout

President Barack Obama and Congressional leaders announced a deal on raising the debt ceiling in exchange for at least $2 trillion in domestic spending cuts. The agreement is complicated in many respects, but the gist is that Republicans will get almost everything they have demanded throughout this process (if they are smart enough to accept total victory).

After the jump I’ve posted the ludicrous White House talking points on why this deal is “a win for the economy and budget discipline.” They brag about putting the U.S. “on track to reduce non-defense discretionary spending to its lowest level since Dwight Eisenhower was President,” as if that’s a good thing. No economist would endorse big domestic spending cuts, given the current state of the economy. The deal calls for many of those cuts to happen in 2013 or later, but unemployment is not going down in any significant way before 2013–more likely, it will increase. Some Democrats claim the president will hold the line on extending the Bush tax cuts in late 2012, but that is a sick joke. Obama has no credibility on these issues. Only two weeks ago he said he would reject a $2.4 trillion spending cut plan that did not include any tax increases. Look where he is now, serving up a “sugar-coated Satan sandwich” and thanking Republican leaders for doing their part.

House Speaker John Boehner is trying to sell the deal to the House Republican caucus with this slide show (pdf file). House Minority Leader Nancy Pelosi hasn’t committed to supporting the deal, but I assume a significant number of House Democrats will be stupid enough to go along. Any Democrat who votes for this deal deserves to lose.

I will update this post with comments from the Iowans in Congress as those become available. Recent statements from most of the Iowa delegation are here, along with details on how our representatives in the U.S. House and Senate voted on the debt ceiling proposals offered since Friday.

UPDATE: The deal passed the House easily on August 1, but all of Iowa’s representatives voted against it.

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All Iowans vote no, but House passes Boehner debt plan (updated)

The U.S. House on Friday evening approved Speaker John Boehner’s latest bill to sharply cut federal spending as a condition for raising the debt ceiling. The bill barely passed by a 218 to 210 vote (roll call). Every House Democrat present voted no, including Bruce Braley (IA-01), Dave Loebsack (IA-02), and Leonard Boswell (IA-03). The big surprise for me was that both Tom Latham (IA-04) and Steve King (IA-05) were among the 22 Republicans who voted against the bill. I expected King to oppose the measure, because many of his Tea Party Caucus colleagues believe Boehner isn’t cutting enough spending. But Latham is one of the speaker’s closest friends, and I thought he would be one of the votes putting the bill over the top. It was a tremendous struggle for Boehner to line up enough support for this bill; he had to delay Thursday’s scheduled vote in order to rewrite some provisions today.

Sometimes in situations like these, the House speaker gives some members in the majority caucus permission to vote no, if they are in tough districts. Latham will face Boswell in the new third Congressional district next year, and some of the spending cuts in this bill would affect popular programs. It’s possible Latham voted no with Boehner’s consent, once the speaker knew he had 218 yes votes lined up. That insulates Latham against some potential attack ads. However, Latham was on WHO radio this afternoon saying something must be done to ensure that the government pays its bills. If he acknowledges the need to raise the debt ceiling, when does he think a better deal will come around than Boehner’s bill?

Incidentally, House leaders don’t seem inclined to move on Latham’s bill to prioritize certain types of spending in case no debt ceiling deal is reached.

The U.S. Senate is expected to table the latest House bill on the debt ceiling later Friday evening. Senate Majority Leader Harry Reid has been working on a new “compromise” that is depressingly similar to what Boehner proposed, so Congress is probably headed toward a total Republican victory–big spending cuts, no revenue increases. Notably, if the U.S. ever does pull out of Iraq and Afghanistan, all the savings would go toward deficit reduction, rather than investing in our own infrastructure or social programs. Never mind that the U.S. economy is sputtering and will probably go back into recession under fiscal austerity. That serves Republican political interests as well, because President Barack Obama will be blamed for the downward spiral. Obama’s approval rating on the economy is already low, and most Americans think job creation is more important than deficit reduction right now.

For some reason, Obama prefers this outcome to Senator Tom Harkin’s advice: raise the debt ceiling by invoking the 14th Amendment to the U.S. Constitution.

UPDATE: On Friday night six Senate Republicans voted with all 53 members of the Democratic caucus to table the motion on concurring with Boehner’s bill (roll call). Grassley was among the 41 Republicans who opposed the motion to table.

Statements released by Latham, King, Loebsack and Braley are now after the jump.

SATURDAY UPDATE: The House rejected Senate Majority Leader Harry Reid’s bill on July 30; it was a symbolic vote because Reid is still revising the proposal, which so far doesn’t have enough support to overcome a Republican filibuster in the Senate.

Most House Democrats voted for the Reid bill, including Boswell. However, Braley and Loebsack were among the 11 Democrats who voted with all Republicans present against that bill (roll call). I am seeking comment from Braley and Loebsack offices on why they voted against the Reid proposal. It’s worth noting that like Boehner’s bill, Reid’s plan would cut more than $2 trillion in spending over the next decade, with no revenue increases. A total disgrace.

UPDATE: Loebsack released this statement about Saturday’s vote: “We must get Iowa’s economy moving forward.  Today’s vote was not about a solution, it was about political leverage in Washington.”

FURTHER UPDATE: Here’s Harkin speaking on July 30:

“I’m talking about that there’s precedents for presidents to do things where the Constitution doesn’t give the president explicit authority but it doesn’t prohibit the president from doing it, and I believe there’s a basis in the 14th amendment as decided in Perry v. United States,” Sen Tom Harkin (D-IA) said on the Senate floor. “I think the president – barring action from the Congress – not only has the authority to do so, he has the responsibility to not let this country default.”

SUNDAY UPDATE: Senate Majority Leader Reid called a cloture motion on his horrendous compromise proposal Sunday afternoon. It needed 60 votes to pass but only received 50, mostly from Democrats (roll call). I don’t understand Harkin voting for cloture here, when the bill has none of the balance he has advocated. Maybe he planned to vote against the bill itself later–who knows? Grassley voted against cloture, as did every Republican present besides Scott Brown. I’ve added Grassley’s statement below.

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