Posted on 07/26/2011 3:54:11 PM PDT by RummyChick
CBO: Boehner plan cuts deficits by $850B By Erik Wasson - 07/26/11 06:03 PM ET The Congressional Budget Office has told House Speaker John Boehner (R-Ohio) that his debt ceiling fallback plan will reduce the deficit by about $850 billion over ten years.
House GOP rank-and-file have been waiting eagerly for the score since they are worried the bill would not measure up to claims made about it by House leadership. Leadership on Monday said the bill would reduce discretionary spending by $1.2 trillion over ten years.
The CBO revealed the score in a Tuesday letter to the speaker.
The score is against the latest CBO baseline as adjusted to reflect the 2011 spending cuts deal between Congress and the White House that cut $38 billion in budget authority. Those 2011 cuts have ripple effects over the budget window.
The CBO has also determined that taking that earlier deal into account, the spending levels in the Boehner plan is a $1.1 trillion cut in the deficit.
Most of the effects of the Boehner plan come from caps it imposes on discretionary spending. Next year the cap is $1.043 trillion, a $6 billion drop from current levels.
Actual federal spending outlays in the ten-year period would be reduced by $710 billion relative to that March baseline, CBO says, if the discretionary spending caps in the Boehner plan are instituted.
Overall, savings in discretionary spending is cut $695 billion, mandatory spending is cut by $20 billion, and the savings in interest equals $135 billion.
CBO also looked at other more minor provisions in the Boehner bill. One would provide extra funding for Pell Grants to students and this costs $17 billion, while another would limit other student loans saving over $30 billion.
The Boehner plan is a two-step process whereby the debt ceiling would be raised before Aug. 2 and then again next year.
The CBO score reflects part one of the process, which grants President Obama the right to request a $900 billion increase in the debt ceiling, slightly more than the amount CBO says the Boehner plan cuts from combined deficits compared to the March baseline.
Boehner this spring said Congress would only raise the debt ceiling if spending cuts exceed the amount by which the debt ceiling is raised.
CBO does not assign a score to the second phase of the Boehner plan which would require a joint committee to come up with a plan to cut $1.8 trillion from the deficit by Nov. 23.
Last night, in his response to Bowbama, Boehner sounded so terrific! What a difference a few hours makes.....
Boehner HAD to know this wouldn’t fly.
So what’s his game?
What are the Vegas odds that boner (pronounced “bay-ner) will cry when he announces he was forced to cave? I’d say at least 10-1.
And the news at the top of the hour said the Rats, the vermin they are, are spreading the word that SS and Medicare charges won't be paid after July 2. They are planning to panic the 47% who don't pay taxes into the system but who get the rewards. GRRRRR....
It does not take a brain doctor to see the writing on the wall.
They say, and I believe, past history is the best indicator of future decisions.
Anybody with the ability to look at the recent CR Deal by Bonehead could predict what this “Deal” would be like. And guess what, it’s a sham too.
It really is the DC Elites on both sides vs America
Not yet! The Tea Party congresscritters are holding to their promise of decreasing spending and are causing headaches for the establishment Republicans.
It’s not just the GOP Establishment, it’s the entire “DC Establishment”
It seems the lapping up of left-wing propaganda is alive and well on FR these days.
____________________________________________________________
No, most of us aren’t falling for your left-wing propaganda.
Absitively!
Moveon.org warns Dems if they vote for Boehner’s plan
AND
Heritage and others warned Republicans they would include it in their scorecard.
And then there is this
http://www.huffingtonpost.com/2011/07/26/tea-party-coalition-debt-boehner_n_910271.html
No,
U don’t get it. It doesn’t matter if it’s 850 billion or 2 Zillion.
It is NOT binding for a future congress. It’s a sham, just like the CR Deal. Bonehead said he had the votes to pass it. NOT!
FiestaBuckeye Tim Adams
Jim DeMInt: “Boehner’s plan won’t even come close to balancing budget, as the debt is expected to grow by as much as $10T over next decade.”
read the letter from Real Conservatives....well at least for this go around.
http://www.politico.com/blogs/glennthrush/0711/GOP_Senators_dismiss_Boehners_plan.html
/rolling eyes
So that little dog-and-pony show Boehner and Obama put on last night was all for OUR little benefit?
DC is a freakin’ cesspool. I am so tired of these RinoCrat clowns peeing all over Americans and telling them its raining out!!
Some posters here who have been defending Bonehead still refuse to see the sham, even after the CBO has scored Boneheads Deal. A lot of us have been warning that this too would be a sham bill. And it is.
Looks like Allen West and Paul Ryan should have held their support until the CBO numbers came out. They look like fools now.
850 Billion over 10 years? And we all know these are phantom cuts.
More and more people will start to see through you if you keep this up. So far only about 3 or 4 posters know something is off with you.
Dear Colleagues:
We write you today in strong opposition to the Debt Limit extension you will be considering in the House tomorrow. For many reasons, we cannot support this bill and urge you to protect the American taxpayers by strongly opposing this bill.
1) The bill will lead to an increase of our national debt of at least $7 trillion in the next 10 years, assuming the maximum cuts in the bill actually materialize. Using less optimistic CBO numbers, new debt could easily approach $10 trillion.
2) The first year “cuts” are inadequate. The first year is the only really enforceable number without a Balanced Budget Amendment. The first year cuts are a paltry $7 billion.
3) The bill would clearly produce a downgrade to our AAA rating, as reported by multiple sources today. To raise the debt ceiling without adequate reforms would do more harm to our economy than not raising it at all.
4) The bill does not make specific cuts, so it is impossible to assess where the cuts will come from or whether they are gimmicks.
5) The budget never balances under this scenario.
6) The special committee process set up under this bill could fast track potential tax increases. Despite what some have said, there are no protections in the bill against tax increases.
7) The bill clearly does not fulfill the principles of “Cut, Cap and Balance”. Saying that it does is a gross distortion and attempt to peel off votes of skeptical members.
There remains one way to raise the debt ceiling that can both solve our long term debt crisis and avert a short term down grade – passage of Cut Cap and Balance or similar legislation that specifically ties the debt limit increase to a BBA. We urge you to hold the line for real reform, to vote no on the Debt Limit extension, and to urge House leaders to stand up for taxpayers and our economic future.
I think Boehner just HAD to know this wouldn’t fly. Hell, 6 billion? It seems obvious he did it on purpose.
So I’m left wondering what may be going on.
Boehner had done well in this negotiation until, it seems, now.
We shall see.
THE TEA PARTY: HOLDING THEIR FEET TO THE FIRE SINCE 1773
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