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Politico: Five ‘Takeaways’ From Obama’s Budget

From the Politico:

Obama’s budget: 5 takeaways

By JONATHAN ALLEN | April 10, 2013

President Barack Obama rolled out his budget Wednesday — with few new blockbuster ideas to show for the extra two months he spent on it…

In fact, it is remarkably like all of his previous budgets. (Which did not get a single vote in Congress.)

Here are POLITICO’s top five budget takeaways:

[1] Obama’s top priority isn’t a grand bargain… The White House has presented the budget as a final offer on deficit reduction, but it’s the same one Republicans rejected last December. The president said it’s already a “compromise,” so he’s leaving no room for negotiation…

And yet the rest of the mainstream media have been touting it for weeks as a big compromise.

The president’s trying to send the message that he’s the one who offered a “compromise,” as he said in the Rose Garden roll out Wednesday, and that it’s Republicans who are uncompromising…

Naturally. He will use this false compromise as a way to beat up on the Republicans during the mid-terms.

[But] there’s… a sweetener or two buried in its pages. Obama offered up Ways and Means Committee Chairman Dave Camp’s “mark to market” financial derivatives plan as part of his own tax reform proposal, for example…

Wow. That is some sweetener.

[2] Obama may not get to implement any of these policies, but he’d like everyone to know he wants to buy better education and infrastructure with money raised by taxing millionaires, cigarettes and oil, gas and coal companies, at higher rates.

Oddly enough, the Politico fails to mention that Obama’s budget increases taxes by $1.2 trillion. Or that he is proposing $300 billion in new spending. Nor do they mention that his budget does not reduce the deficit. In fact, his budget increases the deficit from $16 trillion to $20 trillion.

Apparently, none of this is an important ‘takeaway.’

[3] Another easy target: federal employees, who have been living under a pay freeze and would be required under the new budget to pay more into their retirement system without increasing benefits.

Federal employees have not been under a freeze. They have still received their annual automatic ‘in grade’ pay raises.

Oh, and according to the Washington Post, under Obama’s plan "federal employees would pay an additional 1.2 percentage points of their pay, spread out over three years — 0.4 percent annually" towards their lavish retirement pensions. Which is hardly a sacrifice.

[4] The Pentagon’s estimated budget authority would drop roughly $75 billion — from $622 billion to $547 billion — between fiscal 2014 and fiscal 2015, under the president’s plan. That’s about 12 percent…

Remember all the crocodile tears Obama shed over the sequester destroying the military? The sequester only cuts the Pentagon budget by $46 billion a year. His budget cuts the Pentagon’s budget by $75 billion.

[5] The biggest firecracker in the budget is a proposal to rewrite the way Social Security cost-of-living-adjustments are calculated.

Obama’s proposal, known as “chained CPI,” is anathema to the political left. The organized progressive movement, from unions to seniors groups, is up in arms. Rep. Alan Grayson (D-Fla.) even said the plan “could end up dragging down the entire party.” …

Alan Grayson, the lunatic. In reality, future COLAs would be reduced by, at most, a quarter of a cent on a dollar. Meaning that these ‘chained CPI cuts’ would at most take $5 away from a $2,000 monthly check.

This article was posted by Steve on Thursday, April 11th, 2013. Comments are currently closed.

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