The liberal media has already reported a slew of false facts about today’s debt limit vote in the House. Yesterday, NBC News reported that the House would be voting on a Balanced Budget Amendment today. That is false. The Cut, Cap, and Balance Act that will be voted on does call for a Balanced Budget Amendment to be passed, but it does not include the actual amendment in the legislation. In fact, no vote for am actual Balanced Budget Amendment is even on the House Schedule.
Time Magazine, among many outlets, reported yesterday that the CCBA capped federal spending at 18% of gross domestic product (GDP). That is false. The CCBA caps federal spending at 19.9% of GDP, which is actually higher than the 19.6% of GDP that government spent all the way back in … 2007.
But after the House passes the CCBA, it increasingly looks like Democrats are coalescing around the McConnell-Reid Debt Hike. If the Senate rejects the CCBA and then sends the House a McConnell-Reid debt hike laden with fake long-term spending cuts and real short-term spending increases, what will the House do? Are they really ready to be the ones who start a government shutdown? If not, House leaders are going to have to put together a package, maybe even a clean short-term debt hike, that puts the onus of a shutdown back in Obama’s hands.
Around the Bigs
The Washington Examiner, Obama vows to veto GOP balanced budget bill: Obama officially issued a threat to veto the Cut, Cap, and Balance Act through the White House Office of Management and Budget yesterday. Obama argues that the spending caps in the bill would require drastic cuts to entitlements programs and that a Balanced Budget Amendment is not needed to bring deficits under control.
The Wall Street Journal, Debt Worries Roil Markets: The debt limit debate may be beginning to effect markets. The Dow Jones Industrial Average ended at its lowest level since late June yesterday and Treasury bonds are not increasing in value at the same rate as other investing safe-havens like gold are.
The Wall Street Journal editorial board, A balanced budget amendment is the wrong debt solution: Citing the fact that the 1981 Kemp-Roth tax cuts under President Ronald Reagan could not have happened under a Balanced Budget Amendment, The Wall Street Journal renewed their opposition to any BBA. The WSJ advises House Republicans to, instead, repeal the impounding restrictions included in the 1974 Congressional Budget and Impoundment Control Act.
The Washington Post, Debt-ceiling crisis still eludes compromise: Minority Leader Mitch McConnell, R-Ky., and Majority Leader Harry Reid, D-Nev., plan to unveil their debt limit hike compromise later this week and may even begin to consider it Saturday with final passage coming as early as July 29th. That would leave the House only four days to reject the measure and offer a counter proposal.
Bloomberg, Moody’s suggests U.S. eliminates debt ceiling: Claiming that the law creates “periodic uncertainty,” Moody’s suggested that the United States eliminate the debt limit entirely Monday. Instead, Moody’s suggest the Congress adopt a “fiscal rule” that constrains but does not limit debt issuance like in Chile.
The Hill, Coburn unveils $9T deficit-reduction plan: Sen. Tom Coburn, R-Okla., proposed a deficit-reduction package yesterday that would reduce the debt by $9 trillion over ten years by slashing $1 trillion in defense spending and raising taxes by another $1 trillion.
The New York Times, Dodd-Frank Under Fire a Year Later: One year after Obama signed the law, there are at least twelve bills in Congress seeking to repeal parts of the Dodd-Frank Act. The Senate has also refused to confirm nominees for many financial regulatory posts, including the head of the Consumer Financial Protection Board, which Dodd-Frank created.
The Los Angeles Times, U.S. Supreme Court again rejects most decisions by the U.S. 9th Circuit Court of Appeals:The Supreme Court overturned 19 of the 26 9th Circuit Court of Appeals cases it heard this term, far more than any other circuit. Many 9th Circuit opinions, which are written by far left judges, were even rejected by all twelve Supreme Court justices.
South Carolina: According to a new ARG poll, former Massachusetts Gov. Mitt Romney is the frontrunner in South Carolina where 25% of Republicans name him as their top choice in the GOP primary. Former Alaska Gov. Sarah Palin comes in second at 16% and Rep. Michele Bachmann, R-Minn., comes in third at 13%. No one questioned by ARG named either former Utah Gov. Jon Huntsman or former Minnesota Gov. Tim Pawlenty as their top choice.
Bachmann: A Daily Caller story posted late Monday night alleges that Rep. Michele Bachmann, R-Minn., “suffers from stress-induced medical episodes” that “can incapacitate her for days at time” and are only managed through “heavy pill use.”
Bachmann: Rep. Michele Bachmann, R-Minn., signed her name on to the Cut, Cap, and Balance, pledge, but only after adding her own stipulation that the legislation also must repeal Obamacare. The added stipulation allows Bachmann to claim she supports the Cut, Cap, and Balance cause without having to actually vote for it.
Because Minority Leader Mitch McConnell “is yet again screwing both the Republican Party and the country,” RedState‘s Erick Erickson instituted a new policy yesterday: “In the future, as we support candidates for the U.S. Senate in Republican Primaries, we will not support any candidate who goes on the record supporting Mitch McConnell as Senate Republican Leader.” The split between McConnell and movement conservatives will only grow if the McConnell Debt Hike becomes the basis for raising the debt limit.
The Corner‘s Yuval Levin pokes fun at Obama’s call for “shared sacrifice” pointing to Obama’s claim that budget cuts to his own Executive Office of the President would hurt his ability to “carry out his constitutional duties as head of the Executive Branch.”
The Heritage Foundation links to A Service Employees International Union “contract campaign manual” recently released as part of an ongoing lawsuit against the union. The manual encourages employees to break the law, and undermine company financial health, and intimidate individual managers.
The Progressive Change Campaign Committee has started a draft-Elizabeth Warren for U.S. Senate effort. She would run against Sen. Scott Brown, R-Mass. PCCC has already raised $15,000 for Warren.
The New Republic‘s Jonathan Cohn talks to experts who support Obama’s plan to get a deficit deal so liberals can then jack up spending.
Daily Kos‘ DemFromCT celebrates a CBS poll showing that 71% of Americans disapprove of the way congressional Republicans are handling the debt limit debate.