The debt deal: who got what, vet benefits safe (for now), Pentagon concerned
Highlights of the debt deal: who got what?
Democrats sought:
* An initial request by President Obama to raise the debt ceiling without conditions was quickly set aside.
* A debt-limit increase large enough to provide the government borrowing power to pay bills through 2012.
* No cuts to Medicare, Medicaid or Social Security benefits.
* Reductions to military spending if domestic programs were to be cut.
* A "balanced approach" that would include tax increases for upper-income earners along with spending cuts.
Democrats got:
* A debt-limit increase large enough to provide the government borrowing power to pay bills through 2012.
* A special congressional committee to consider broad deficit reduction can consider tax reform along with entitlement changes.
* If the committee's recommendations are not adopted, half of the automatic spending cuts to follow would come from defense.
* If the committee's recommendations are not adopted, programs for the poor, including Medicaid and Social Security, would be shielded from the automatic spending cuts to follow.
Democrats gave:
* The deal includes immediate spending cuts of about $1 trillion but no tax increases.
* If the special congressional committee's recommendations are not adopted, consequences include spending cuts but no tax increases.
* If the special committee's recommendations are not adopted, Medicare provider payments are not shielded from the automatic spending cuts to follow.
Republicans sought:
* Spending cuts to match a debt-ceiling increase dollar for dollar.
* No tax increases.
* Limited cuts to defense.
* Entitlement reform.
* Congressional passage of a balanced-budget amendment to the Constitution.
* In recent days, a short-term increase in the debt ceiling that would require further spending reductions before the limit could be raised in the spring.
Republicans got:
* No tax increases.
* $1 trillion in cuts to discretionary spending over the next 10 years.
* A special congressional committee to consider broader deficit reduction can consider entitlement changes along with tax reform.
* The debt-ceiling increase will be matched dollar for dollar in deficit reduction, through adoption of the work of a new congressional fiscal committee or through automatic spending cuts that will occur if the committee's recommendations are not adopted.
* If the committee's recommendations are not adopted, half of the automatic spending cuts to follow would come from domestic programs.
Republicans gave:
* The immediate deal includes no entitlement reform.
* The immediate spending are cuts less than the GOP had sought.
* The special congressional committee could consider tax reform.
* If the special congressional committee's recommendations are not adopted, half of the automatic spending cuts to follow would come from defense.
More at source
White House: Vet benefits are safe
Representatives of veterans groups were assured by White House officials Monday that veterans benefits and compensation are safe from across-the-board spending cuts that could be triggered by the debt agreement under consideration.
The compromise includes a trigger mechanism to force automatic across-the-board cuts of $1.2 trillion to agency budgets over the next decade if a special congressional committee is unable to agree on a plan.
Jon Carson, director of public engagement for the White House, told veterans representatives at a White House briefing that veterans benefits would be exempt, according to a veterans’ representative at the meeting.
“If the trigger takes place, veterans benefits and compensation will be safe from across the board cuts,” said Joseph R. Chenelly, who represented the Disabled American Veterans at the meeting
“If what we heard was accurate, that veterans would be safe, we’re happy about that,” Chenelly added.
But he said the group remains concerned about what programs might be targeted for cuts by the special committee. “We’re anxious to see how that is assembled,” Chenelly said.
Source
The debt deal and defense spending
The fine print in the deal to raise the debt limit scares the daylights out of defense hawks - and even some middle-of-the-roaders on Pentagon spending - and not without reason.
Here’s how it’s supposed to work: Assuming passage of the first round of spending cuts, a joint bipartisan committee will set to work on recommendations for a second round, negotiating for about four months before reporting back. If the committee reaches agreement, great. If it doesn’t, a “trigger” mechanism kicks in.
And that trigger mechanism would force automatic across-the-board cuts of $1.2 trillion to agency budgets over the next decade, split half and half between domestic programs and defense.
To put that $600 billion in perspective, it’s worth noting that the federal government was already looking at reducing projected spending on national security by about $400 billion over the next 12 years. That has prompted the Pentagon to initiate a “comprehensive review” of its spending and, in doing so, to confront huge questions about how to trim costs while recalibrating the military’s ambitions.
More at source
Also:
Debt deal could trigger fed jobs, benefits cuts
What the debt ceiling deal means for the unemployed
Did Obama capitulate, or is this a cagey move?
Mods, I hope it's okay to combine a few WaPo blog posts like this.
Democrats sought:
* An initial request by President Obama to raise the debt ceiling without conditions was quickly set aside.
* A debt-limit increase large enough to provide the government borrowing power to pay bills through 2012.
* No cuts to Medicare, Medicaid or Social Security benefits.
* Reductions to military spending if domestic programs were to be cut.
* A "balanced approach" that would include tax increases for upper-income earners along with spending cuts.
Democrats got:
* A debt-limit increase large enough to provide the government borrowing power to pay bills through 2012.
* A special congressional committee to consider broad deficit reduction can consider tax reform along with entitlement changes.
* If the committee's recommendations are not adopted, half of the automatic spending cuts to follow would come from defense.
* If the committee's recommendations are not adopted, programs for the poor, including Medicaid and Social Security, would be shielded from the automatic spending cuts to follow.
Democrats gave:
* The deal includes immediate spending cuts of about $1 trillion but no tax increases.
* If the special congressional committee's recommendations are not adopted, consequences include spending cuts but no tax increases.
* If the special committee's recommendations are not adopted, Medicare provider payments are not shielded from the automatic spending cuts to follow.
Republicans sought:
* Spending cuts to match a debt-ceiling increase dollar for dollar.
* No tax increases.
* Limited cuts to defense.
* Entitlement reform.
* Congressional passage of a balanced-budget amendment to the Constitution.
* In recent days, a short-term increase in the debt ceiling that would require further spending reductions before the limit could be raised in the spring.
Republicans got:
* No tax increases.
* $1 trillion in cuts to discretionary spending over the next 10 years.
* A special congressional committee to consider broader deficit reduction can consider entitlement changes along with tax reform.
* The debt-ceiling increase will be matched dollar for dollar in deficit reduction, through adoption of the work of a new congressional fiscal committee or through automatic spending cuts that will occur if the committee's recommendations are not adopted.
* If the committee's recommendations are not adopted, half of the automatic spending cuts to follow would come from domestic programs.
Republicans gave:
* The immediate deal includes no entitlement reform.
* The immediate spending are cuts less than the GOP had sought.
* The special congressional committee could consider tax reform.
* If the special congressional committee's recommendations are not adopted, half of the automatic spending cuts to follow would come from defense.
More at source
White House: Vet benefits are safe
Representatives of veterans groups were assured by White House officials Monday that veterans benefits and compensation are safe from across-the-board spending cuts that could be triggered by the debt agreement under consideration.
The compromise includes a trigger mechanism to force automatic across-the-board cuts of $1.2 trillion to agency budgets over the next decade if a special congressional committee is unable to agree on a plan.
Jon Carson, director of public engagement for the White House, told veterans representatives at a White House briefing that veterans benefits would be exempt, according to a veterans’ representative at the meeting.
“If the trigger takes place, veterans benefits and compensation will be safe from across the board cuts,” said Joseph R. Chenelly, who represented the Disabled American Veterans at the meeting
“If what we heard was accurate, that veterans would be safe, we’re happy about that,” Chenelly added.
But he said the group remains concerned about what programs might be targeted for cuts by the special committee. “We’re anxious to see how that is assembled,” Chenelly said.
Source
The debt deal and defense spending
The fine print in the deal to raise the debt limit scares the daylights out of defense hawks - and even some middle-of-the-roaders on Pentagon spending - and not without reason.
Here’s how it’s supposed to work: Assuming passage of the first round of spending cuts, a joint bipartisan committee will set to work on recommendations for a second round, negotiating for about four months before reporting back. If the committee reaches agreement, great. If it doesn’t, a “trigger” mechanism kicks in.
And that trigger mechanism would force automatic across-the-board cuts of $1.2 trillion to agency budgets over the next decade, split half and half between domestic programs and defense.
To put that $600 billion in perspective, it’s worth noting that the federal government was already looking at reducing projected spending on national security by about $400 billion over the next 12 years. That has prompted the Pentagon to initiate a “comprehensive review” of its spending and, in doing so, to confront huge questions about how to trim costs while recalibrating the military’s ambitions.
More at source
Also:
Debt deal could trigger fed jobs, benefits cuts
What the debt ceiling deal means for the unemployed
Did Obama capitulate, or is this a cagey move?
Mods, I hope it's okay to combine a few WaPo blog posts like this.