More ‘Stimulus?’ Obama Expected to Seek $300 Billion in New Tax Cuts & Federal Spending
- Posted on September 7, 2011 at 7:53am by
Billy Hallowell
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WASHINGTON (AP) — The economy weak and the public seething, President Barack Obama is expected to propose $300 billion in tax cuts and federal spending Thursday night to get Americans working again. Republicans offered Tuesday to compromise with him on jobs – but also assailed his plans in advance of his prime-time speech. CBS News has a “preview” of the speech:
In effect, Obama will be hitting cleanup on a shortened holiday week, with Republican White House contender Mitt Romney releasing his jobs proposals on Tuesday and front-running Texas Gov. Rick Perry hoping to join his presidential rivals Wednesday evening on a nationally televised debate stage for the first time.
Lawmakers began returning to the Capitol to tackle legislation on jobs and federal deficits in an unforgiving political season spiced by the 2012 presidential campaign.
Adding to the mix: A bipartisan congressional committee is slated to hold its first public meeting on Thursday as it embarks on a quest for deficit cuts of $1.2 trillion or more over a decade. If there is no agreement, automatic spending cuts will take effect, a prospect that lawmakers in both parties have said they would like to avoid.
According to people familiar with the White House deliberations, two of the biggest measures in the president’s proposals for 2012 are expected to be a one-year extension of a payroll tax cut for workers and an extension of expiring jobless benefits. Together those two would total about $170 billion.
The people spoke on the condition of anonymity because the plan was still being finalized and some proposals could still be subject to change.
The White House is also considering a tax credit for businesses that hire the unemployed. That could cost about $30 billion. Obama has also called for public works projects, such as school construction. Advocates of that plan have called for spending of $50 billion, but the White House proposal is expected to be smaller.
Obama also is expected to continue for one year a tax break for businesses that allows them to deduct the full value of new equipment. The president and Congress negotiated that provision into law for 2011 last December.
Though Obama has said he intends to propose long-term deficit reduction measures to cover the up-front costs of his jobs plan, White House spokesman Jay Carney said Obama would not lay out a wholesale deficit reduction plan in his speech.
In a letter to Obama on Tuesday, House Speaker John Boehner and Majority Leader Eric Cantor outlined possible areas for compromise on jobs legislation. Separately, Senate Majority Leader Harry Reid said last month’s unemployment report – it showed a painfully persistent 9.1 percent jobless rate and no net gain of jobs – “should be a wakeup call to every member of Congress.” Watch a CNBC discussion and debate, below, surrounding job creation:
Whatever the potential for eventual compromise on the issue at the top of the public’s agenda, the finger pointing was already under way.
Senate Republican leader Mitch McConnell predicted Obama’s Thursday night speech to Congress on jobs legislation would include “more of the same failed approach that’s only made things worse over the past few years.”
He spoke a few moments after Reid had said that Republicans, rather than working with Democrats to create job-creating legislation, insist on “reckless cuts to hurt our economic recovery.”
The Senate returned to Capitol Hill on Tuesday after an August recess. The House comes back Wednesday.
Left largely ignored in the latest political remarks was a remarkable run of late-summer polls that show the country souring on Obama’s performance – and on Congress’ even more.
A Washington Post-ABC survey released Monday found that 60 percent of those polled expressed disapproval of Obama’s handling of the economy. Thirty-four percent said his proposals were making the situation worse and 47 percent said they were having no effect – dismal soundings for a president headed into a re-election campaign.
Only 19 percent said the country was moving in the right direction.
Not that Republicans, or Congress as a whole, are in good odor with the voters.
The Post-ABC News poll found only 28 percent approval for the job the Republicans are doing, and 68 percent disapproval.
An AP-GfK survey last month put overall support for Congress at 12 percent – the lowest level ever in the survey’s history.
The tea party has also been hurt, according to the same poll, which found that 32 percent of those surveyed have a deeply unfavorable impression of the movement that helped give Republicans control of the House in the 2010 elections.
In their letter to Obama, Boehner and Cantor wrote that neither party would win all it wants from the coming debate over jobs legislation. “We should not approach this as an all-or-nothing situation,” they said, striking a conciliatory tone in the first moments of a post-summer session of Congress.
But it was unclear what, if any, concessions they were prepared to make.
“We are not opposed to initiatives to repair and improve infrastructure,” they wrote, saying they favor repeal of a current requirement for 10 percent of highway funds to be spent on items such as museums or bike trails.
But they did not say they would support any additional funding for construction, and aides declined to provide any additional details.
Boehner and Cantor also said the House was ready to pass free trade agreements negotiated with Colombia, Panama and South Korea measures, which they noted the White House estimates would create 250,000 jobs.
The administration wants the trade deals approved simultaneously with legislation to provide job training and other benefits for workers who lose their job to imports, and the letter from the Republican leaders promised they would consider such measures rather than pledging to pass them.
There was maneuvering on another front during the day.
Democrats won approval in a Senate subcommittee for legislation adding $6 billion in spending to pay victims of Hurricane Irene and past disasters dating to Hurricane Katrina, including $4 billion for the 2012 budget year.
Republicans did not object, even though the legislation did not include other cuts to offset the cost and the new spending would exceed levels permitted in a sweeping compromise passed last month to cut future deficits by nearly $1 trillion over a decade.
It is unclear when the measure will come to the Senate floor, and whether Republicans will attempt to offset the increase when it does.
In comments in recent weeks, Cantor has said any increase must be offset.
For his part, Romney chose Nevada, where unemployment stood at a nationwide high of 12.9 percent in July, for a campaign speech in which he outlined numerous proposals to create jobs.
He called for lowering the maximum corporate tax from 35 percent to 25 percent and abolishing the tax on dividends and investment earnings for anyone making less than $200,000 a year. He also said any new government regulation that raises costs for businesses should be accompanied by other steps to reduce the burden by an identical amount.
“America should be a job machine, jobs being created all the time,” he said.
The elements Romney outlined – lower taxes and less regulation – are the same as those advanced by Republicans in Congress.
McConnell said Republicans “will spend the next weeks and months arguing in favor of a robust legislation agenda aimed at blocking or repealing some of the most pernicious rules and regulations.”
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Comments (182)
let us prey
Posted on September 7, 2011 at 8:54amHe is not lightening the boat, he is filling it it with rocks.
Report Post »NHwinter
Posted on September 7, 2011 at 9:21amWe are being overwhelmed by evil all they while they are calling us every name in the book. There is a hysterical side to the Democrats/Liberals, you can see it in their faces and hear it in their screams. Evil has been stired up. Pray as you have never prayed before. The 60′s radicals, communists, and muslims running things in the White House are making their final push.
Report Post »chazman
Posted on September 7, 2011 at 9:38amListen up, OBAMMY. Tax cuts and cuts in federal spending is not enough!!! We want wasteful government agencies abolished! The Education dept!! The Dept of Energy!! The EPA!! The Ag Dept!! AMTRAK!!!! THE USPS!!! ETC, ETC!!! Shrink the federal government until we can barely see it anymore!! DO AS YER TOLD!!!!!!!!!!!!!
Report Post »AmericablessGod
Posted on September 7, 2011 at 10:02amWhat this is for those of us who has this guy’s number is another way to line his own campaign pockets with borrowed money funneled to unions who in turn donate heavily to Obama.
Only this time, he can’t buy his way into a second term!
Report Post »smithclar3nc3
Posted on September 7, 2011 at 10:46amHe trying to start a national infrastructure trust fund as well. Another way to funnel money to bribe unions and voters as well as funnel pork spending. Think SOCIAL SECURITY and what happened to it once it was moved from private accounts to a trust fund. Though it was not his intention this adminstration has certainly become very transparent.
Report Post »GA Rebel
Posted on September 7, 2011 at 11:21amBO only cares about unions; not the 14 million unemployed.
Report Post »Remember black protests that went into restaurants that wouldn’t
treat them equally, sat and refused to leave? Ghandi kind of protests…
Wouldn’t 14 million make a nice, sit-in protest in DC!?
Do they have enough cops & jails to hold em? At least you’d have a
roof, bread & water.
AvengerK
Posted on September 7, 2011 at 12:17pmObama keeps making the same mistakes…typical academic he believes a formula over the reality of the world. He can pay business all he wants to hire “unemployed” but if the cost of payroll andbenefits, costs of manufacturing and supplies all exceed the nominal one-time saving for simply hiring- it’s not worth it to the employer. Obama keeps trying to create “markets” where there’s no demand for them. You can’t make business hire with a little smell of a one-time tax break if regulations, costs, overheads and demand don’t justify an employer expanding and hiring.
Report Post »Let me give you an example of the madness of Obama’s jobs agenda…
Solyndra was in the news recently. It was a model “green” project for Obama. They received an astonishing $535 million in loan guarantees. The company is now filing for bankruptcy.
But Stephen Chu believes it was a success. Mr. Chu’s spokesman argued that “the project that we supported succeeded. The facility was producing the product it said it would produce, and consumers were buying the product.”
Steven Chu’s is a Nobel Prize-winning physicist at Berkeley. He regarded Solyndra as some kind of experiment, to prove that the process was viable (in the sense of physically possible).
The entire question of how much it cost apparently was irrelevant to him. This is a powerful argument for keeping academics out of policy positions. Academics have a tendency to fall in love with their analytical frameworks while ign
WeeDontNeedNoSteenkingBadges
Posted on September 7, 2011 at 6:22pmMarxist Obama! Progressives (communists) Democrats! RINO (progressives) Republicans!
Report Post »READ OUR LIPS !!
STOP THE SPENDING !!!
Gold Coin & Economic News
Posted on September 7, 2011 at 6:24pmJobs plan, no, it’s a complete freakin joke. he has no jobs plan and he doesn’t have a clue on how to create a single job. He’s going to try and use it against the republicans. He’s a joke:
Report Post »http://www.usgoldcoinauctions.com/gold-coin-blog/2011/09/why-obamas-jobs-plan-will-never-work/
Jaycen
Posted on September 7, 2011 at 9:17pmAt this point in his presidency, FDR was in the same boat. He was desperately looking for ways to spend more money “to keep the economy from collapsing”.
Roosevelt was upset that states didn’t want more schools and courthouses, because after the “federal government paid to build them” the states were stuck staffing them and paying for upkeep.
Progressives keep using the same old ideas and getting the same bad results.
Report Post »SREGN
Posted on September 8, 2011 at 8:25amBlah, blah, blah, tax the rich, blah, blah, blah, invest in infrastructure, blah, blah, blah, shovel-ready jobs, blah, blah, blah, it‘s Bush’s fault, blah, blah, blah, fox news, blah, blah, blah, blah, blah……….
Report Post »marthasusan40
Posted on September 8, 2011 at 8:39amSo true, so sad…
Report Post »AnAmerican111
Posted on September 7, 2011 at 8:49amGreat! It did not work the first time …………..so lets do it again!
Report Post »Are you kidding me?
…OBUMA is like a bad nightmare that keeps reappearing!
338lapua
Posted on September 7, 2011 at 9:01am“Groundhog Day” meets “Nightmare on Elm Street”
Report Post »Who is Freddy gonna wack today?
Who is Freddy gonna wack today?
Who is Freddy gonna wack today?
…………
……….
When is this gonna end!!!!!
Blackhawk1
Posted on September 7, 2011 at 9:10am338lapua
When is this gonna end?
January 2013 after we kick Obama out of office!
Report Post »smithclar3nc3
Posted on September 7, 2011 at 9:49amThat’s the very difinition of INSANITY.
Report Post »stablepar
Posted on September 7, 2011 at 10:35amanother 300 billion going to hussein’s friends
Report Post »AJAYW
Posted on September 7, 2011 at 8:47amSpend – Spend is all this man knows or should I say SOB knows as he did not object to Tea Party folks being called SOB’s by one of the biggest Union Thugs in our country.
Report Post »marthasusan40
Posted on September 7, 2011 at 8:46amIf he had one shred of integrity he would resign…he can not govern…all he knows how to do is play the blame game and even the left is getting sick of it. I can not even imagine him speaking about anything real , his speeches are a bunch of teleprompter campaign sound bites. I become ill when I try to listen to him live…I actually fell sick to my stomach…he is evil and his plan is to bring down this country….so it can be saved by the Big government that he hopes to be in charge of forever. May God help America.
Report Post »AJAYW
Posted on September 7, 2011 at 9:10amYou are correct -Bush – Congress- just anyone except himself
Report Post »jakartaman
Posted on September 7, 2011 at 8:45amClueless!
Report Post »The only thing an ideologue socialist knows is how to spend other peoples money!
Hope we can hold on until 2012.
If the republicans had any grit they would boycott this joke or at least turn their backs on him at the big speech event!
UlyssesP
Posted on September 7, 2011 at 9:00amCommunity Organizer knows only how to pit one group of people against another group of people.
Report Post »CountFunkula
Posted on September 7, 2011 at 8:43am$300 billion? that equates to 14 jobs that last for 4 months and achieve absolutely nothing. Except a union gets most of it and gives it back to Obama. All while the union worker claims its the Republicans who are mistreating them.
Report Post »ropati
Posted on September 7, 2011 at 8:43amSame old same old. More of the same failed policies. Einstein called this insanity.
Report Post »Anonymous T. Irrelevant
Posted on September 7, 2011 at 8:43amNO MORE Contributions (stimulus) to the dumbocrat party!
Report Post »matt708
Posted on September 7, 2011 at 8:43ami can’t understand these polls which state the repubs in congress have a low approval rate when the dems had complete control of congress for 2 years and did nothing but spend with no tangible results. This appears to be polls which purposly want to have reps look bad.
Report Post »Mateytwo Barreett
Posted on September 7, 2011 at 11:19amCorrection- 4 years. But who’s counting. I just hard that the EPA has filed charges against a farmer in Kansas for NOT storing his hay ( horse, and cattle feed you you city folks) in a “pollutant cantainment” structure. See! You JUST thought they couldn’t be dumber!
Report Post »Gonzo
Posted on September 7, 2011 at 8:42am“Jay Carney said Obama would not lay out a wholesale deficit reduction plan in his speech.” Uh, that would be because he has no plan (or intention).
Report Post »Mandors
Posted on September 7, 2011 at 9:00amExactly, but, hey, he IS making a speech which is the only thing the lecturer-in-chief knows how to do.
Report Post »wewantchillywilly
Posted on September 7, 2011 at 8:37amPresident Obama is making this too easy for the republicans. Is he trying to lose? seriously?
Report Post »countryfirst
Posted on September 7, 2011 at 8:32amBHO is like a new party balloon, at first flying high and strong, the air will somehow dissipate, only to be kicked around by the children that were once in owe of it. And thrown out by the adults after the party is over. And to think the adults had to pay for the balloon in the first place.
Report Post »IAMRIGHT
Posted on September 7, 2011 at 10:55amLol. Awesome!!!
Report Post »Tickdog
Posted on September 7, 2011 at 8:27amimpeach this idiot!
Report Post »UpstateNYConservative
Posted on September 7, 2011 at 8:26amMore spending? The last stimulus of a trillion dollars didn’t do a thing. And what is this constant line that tax cuts ‘cost’ the government? If this joker wins in 2012, I wouldn’t be surprised if he proposed a stimulus package for the EU if it implodes.
Report Post »Obama_Sham
Posted on September 7, 2011 at 8:58am“And what is this constant line that tax cuts ‘cost’ the government?”
My thought exactly… I guess the government views it as their money…
Report Post »TomFerrari
Posted on September 7, 2011 at 10:21amTHANK YOU!!!
If the govt doesn’t cut a check – it is not a “COST”
If it were a COST, then, allowing individuals to keep ANY of their money is a “COST” to the govt.
So, to eliminate all that “cost”, we would just become communists, and ALL of us would be employed by the govt, who would dole out money AS OUR RULERS SEE FIT.
What a sorry state we have allowed our Great Nation to reach.
Report Post ».
.
cemerius
Posted on September 7, 2011 at 8:24amInstant Job creation? The immediate and complete resignation of the BO Administration including the VP and the “annointed one”!
Report Post »momsense
Posted on September 7, 2011 at 8:23amWhen is this idiot going to realize that the purse is EMPTY?
Report Post »drbage
Posted on September 7, 2011 at 8:40amProbably about the same time that the Chinese realize that they are paying Americans NOT to work and cut off the credit card. How many more times are we going to fall for the Dem meme of spend now and cut later. 30+ years down the road, we are still waiting and waiting and waiting for the $3 in cuts the Dems promised President Reagan when they raised the debt ceiling. Just like the supposed “doc fix,” does anyone seriously believe that it will happen?
Report Post »tobywil2
Posted on September 7, 2011 at 8:21amMore payoffs to Obama’s cronies and Capital to extort political support. Cartoon that exposes Obama’s objective, click on: http://commonsense21c.com/images/MIDDLEAGES.jpg
Report Post »Detroit paperboy
Posted on September 7, 2011 at 8:21amIf the govt. Could create jobs…….unemployment would be
Report Post »0 %. Welcome to Detroit !!! Wake up people !!!
beenaroundyaknow
Posted on September 7, 2011 at 8:15amBut no Washington spending cuts ! Just more spending and debt added on. Obama still thinks FDR ENDED the depression rather than extending it.
Report Post »Ron Staiger
Posted on September 7, 2011 at 8:15amRepublicans had better remember their mandate:
Report Post »REPEAL
DEFUND
INVESTIGATE
SUBPOENA
IMPEACH
boncarbo7
Posted on September 7, 2011 at 5:25pmI certainly agree with all of your ideas, but I would change IMPEACHMENT TO TREASON. Obama has no legal right to be President, his father was not a born citizen of the United States, yet not one Senator or anyone else in Congress has called Obama on this fact, my question is why?
Report Post »rambosharley
Posted on September 7, 2011 at 8:15amWhat more can you expect from a communist!
Report Post »13th Imam
Posted on September 7, 2011 at 8:13amRepublicans,
Report Post »BARRY“S failure is tho only option to AMERICA”S success. Just say no.
Steve
Posted on September 7, 2011 at 8:11amCONGRESS. You better not spend one more penny then absolutely necessary. We don’t need anymore turtle bridges or investing in green companies that fail……….
Report Post »fertlmind
Posted on September 7, 2011 at 8:06amBo = bs
Report Post »Marcobob69
Posted on September 7, 2011 at 8:15amThat’s the spirit, Barack! When the country is reeling and your approval ratings are in the toilet, propose MORE SPENDING! Like an addict in need of a “fix”, these tax and spend liberals just can’t get enough spending to satisfy their habit! They won’t be happy until the United States of America is a THIRD WORLD country(and we are not far from being that now)!!! How much more BS do the people need to have foisted on them until they see this regime for what it is?
Report Post »lovenfl3
Posted on September 7, 2011 at 8:02amWe all know exactly what this “plan” will be. It will only be more of the same. Tax the rich, grease the unions, Republicans are to blame for all of his failures, it was all Bush’s fault, blah blah blah. There is no plan. Check out this video for all you need to know about the upcoming campaign speech.
Report Post »http://www.youtube.com/watch?v=sbJylJQ3JGE
PPMStudios
Posted on September 7, 2011 at 10:11amAgreed! I think you pretty much hit the nail on the head!
Report Post »