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View Full Version : Coburn proposes $9 trillion deficit cut measure


Saul Good
07-18-2011, 09:25 PM
WASHINGTON (AP) One of the Senate's staunchest budget-cutters unveiled Monday a massive plan to cut the nation's deficit by $9 trillion over the coming decade, including $1 trillion in tax increases opposed by most of his fellow Republicans.

The plan by Sen. Tom Coburn, R-Okla., is laced with politically perilous proposals like raising to 70 the age at which people can claim their full Social Security benefits. It would cut farm subsidies, Medicare, student aid, housing subsidies for the poor, and funding for community development grants. Coburn even takes on the powerful veterans' lobby by proposing that some veterans pay more for medical care and prescription drugs.

Coburn would also eliminate $1 trillion in tax breaks over the coming decade, earning him an immediate rebuke from Americans for Tax Reform, an anti-tax organization with which Coburn has had a running feud. He would block taxpayers from claiming the mortgage interest deduction on second homes and limit it to homes worth $500,000. He would also ease taxpayers into higher tax brackets more quickly by using a smaller measure of inflation to adjust the brackets.

Coburn was a member of President Barack Obama's fiscal commission and voted for its plan to cut the budget by about $4 trillion over a decade. He recently dropped out of the closely watched "Gang of Six" senators seeking a bipartisan agreement to rein in deficits and break through the partisanship engulfing official Washington over the deficit.

His re-entry into the deficit debate comes as Obama and lawmakers struggle over increasing the so-called debt limit and avoid a first-ever default on U.S. obligations.

Coburn's $9 trillion savings figure doesn't include another $2.4 trillion in cuts to Social Security that are funneled back into the program. In addition to raising the retirement age gradually, he would peg future benefits to a less-generous measure of inflation and curb benefit increases even more for the top 40 percent of earners.

Cuts to the Medicare program for the elderly and the Medicaid health plan for the poor and disabled would total $2.6 trillion over 10 years, far more than proposed by the fiscal commission or House Republicans. He proposes raising the Medicare retirement age to 67 by 2027 and then gradually increasing it until the retirement age hits 69 in 2080. It would also raise Medicare premiums for doctor visits so that premiums pay 35 percent of such costs instead of the 25 percent currently covered.

Coburn would cut $1 trillion from the Pentagon budget over a decade. He would block military retirees from the Tricare Prime health care plan, the option with the lowest out-of-pocket cost, saving $115 billion, and he would raise the prescription drug copayment under the program, as well as require higher out-of-pocket fees. He also would reduce the fleet of aircraft carriers from 11 to 10 and Navy air wings from 10 to nine.

"I have no doubt that both parties will criticize portions of this plan, and I welcome that debate," Coburn told reporters. "But it's not a legitimate criticism until you have a plan of your own."

http://news.yahoo.com/coburn-proposes-9-trillion-deficit-cut-measure-192145582.html

Saul Good
07-18-2011, 09:26 PM
From what I've read so far, I can live with this.

Bewbies
07-18-2011, 09:40 PM
So his $9T comes from $8T in cuts and $1T in higher taxes?

2bikemike
07-18-2011, 09:50 PM
If we're going to get serious about getting our financial house in order this is the kind of talk we should be having. Cutting 2 or 4 trillion over 10 years is just a freaking joke.

petegz28
07-18-2011, 10:07 PM
I can go for 1tril in tax hikes for 8tril in cuts

Chocolate Hog
07-18-2011, 10:09 PM
Awesome.

johnny961
07-19-2011, 04:00 AM
If we're going to get serious about getting our financial house in order this is the kind of talk we should be having. Cutting 2 or 4 trillion over 10 years is just a freaking joke.

Exactly. The way I see it not only do we have to eliminate budget deficits, but at some point we have to work on paying down the huge debt that our government has racked up. It will take a combination of painful spending cuts as well as tax revenue increases to even make a dent. And, yes, 4 trillion over 10 years is indeed a joke when our nation is over 14 trillion in debt and the interest payment alone is around 300 billion IIRC.

RubberSponge
07-19-2011, 04:30 AM
Only problem I have with his proposal.

He would block military retirees from the Tricare Prime health care plan, the option with the lowest out-of-pocket cost, saving $115 billion, and he would raise the prescription drug copayment under the program, as well as require higher out-of-pocket fees.

I'd rather cut off the politicians rather generous benefits package than someone who has served atleast 20yrs in military.

Guru
07-19-2011, 04:36 AM
Only problem I have with his proposal.



I'd rather cut off the politicians rather generous benefits package than someone who has served atleast 20yrs in military.

Like still getting benefits once they are voted out?

Dave Lane
07-19-2011, 04:50 AM
Only problem I have with his proposal.



I'd rather cut off the politicians rather generous benefits package than someone who has served atleast 20yrs in military.

Not nearly enough cuts on military personnel, I think what every levels other entitlements get cut back theirs should match. Maybe exempt 40 year veterans.

RubberSponge
07-19-2011, 04:53 AM
Like still getting benefits once they are voted out?

Make them pay for a larger portion of their healthcare. No more pension. No more pay increases until they can balance the budget.

RubberSponge
07-19-2011, 05:02 AM
Not nearly enough cuts on military personnel, I think what every levels other entitlements get cut back theirs should match. Maybe exempt 40 year veterans.

40yr veterans are a anomaly. Almost Bigfoot-esque in a way. 20yrs serving your country is enough to earn the best benefits this country offers. Think how many guys right now serving, have served in Desert Storm, Iraq and Afghanistan, and whatever other shitty deployments they may have gone on in the meantime. 3 wars is enough to prove their worth.

I have no problem with the Govt. picking a base % and cutting everyone the exact same though.

RINGLEADER
07-19-2011, 05:42 AM
Someone made a good point on the talking heads shows today about this proposal and put it into a pretty easy-to-grasp point-of-view for everyone who thinks cutting government 20-25% is an impossible feat. If it is okay for Obama to increase the amount of discretionary spending by 20-25% in 2 years then why is it such a huge leap to roll government back to the pre-Obama levels by cutting the same amount?

Chief Henry
07-19-2011, 06:30 AM
Another plan proposed by the Republicans....have we seen any plan on "paper" by Obama or the dems ?

Amnorix
07-19-2011, 08:26 AM
I think this kind of blockbuster, pisses everybody off plan, is exactly what we need but is likely DOA because our politicians have no guts at all to do what's right. They're too busy pandering to their constituencies.

FTR, this includes Republicans and their absurd "not a single penny of new taxes no matter what" stance.

craneref
07-19-2011, 08:27 AM
Not nearly enough cuts on military personnel, I think what every levels other entitlements get cut back theirs should match. Maybe exempt 40 year veterans.

Spoken by someone who has never served. I routinely work 12-14 hour days and usually at least one day every weekend just to stay up with the workload that is left from cutting the military manpower. On top of that my last job had me ont he road over half the year, EVERY year, and that is not counting deployments when you are gone for months at a time. I have missed birthdays' anniversary's, children walking, graduations, first teeth and first words. I have seen military benefits continually erode of my 2 plus decades of service. There are few bases with an Emergency Room now and most just have clinics. My so called health care entitlement means that I can call and wait up to 30 days for a routine appointment, that is if they have any appointments. I get to see the dentist once a year, the dental insurance I pay on my dependents allows them twice a year, you read right the insurance I HAVE to pay for Dental, another cost saving effort by the government. Good luck on getting an appointment for a broken tooth, that can take weeks as well. At least we now get to take care of everything ourselves when it comes to moving, finances, Physical Health Assessment since they cut manpower to save money. Throw in the fact that my troops and I are buying our own office supplies just so we can keep the mission going. Our facilities for the most part are old and badly in need of renovation. My 12+ hours today in 90+ temps in the office with a broken air conditioner, but at least I am not on the flightline where the temps soar routinely over 100!! We are flying tankers that are at least 20 years old with some over 50 years old. It is a miracle that we keep planes flying, and that only to the incredible work of the maintainers on the line. Of course I know that you are against my 1.9% pay increase which will net me .37 an hour raise. The problems are NOT with military personnel, It is with the politicians that continually cut military for civilians or contracting positions in their districts, then pay those people 2 to 3 times what they do the military. The civilians get higher wages, they are union so they get better health care, matching 401K and liberal leave and sick plans. Then we are stuck buying supplies from companies that got politicians elected which charge exponentially higher prices than an object is worth.
I don't serve to get rich and I don't even need thanks. I do it because I believe in this country and what it represents. I have seen the many faces around the world look relieved when they see the American Flag, who look at us with reverence knowing that when the American Military shows up, it will be allright. I do it so my family can be safe getting on a bus or going to the mall, I do it so YOUR family can be safe doing the same thing. I do it because I am an American and am proud to be. I do it becasue a still feel proud in my uniform, get goosebumps when I hear the National Anthem and Taps. I do it so everyone has the ability to live they way the wish, worship they way the wish and say what they wish. So I apologize if I get a bit testy when you talk to me about sacrifice, because my family and I know full well what sacrifice is, it is our everyday lives. Is to much to ask that when it comes to sacrificing, that we count our sacrifices already, gives us a little credit for what we do without day in and day out and not take more away from us than what has already been taken, what was promised when we raised our hand.

mlyonsd
07-19-2011, 08:34 AM
I think this kind of blockbuster, pisses everybody off plan, is exactly what we need but is likely DOA because our politicians have no guts at all to do what's right. They're too busy pandering to their constituencies.

FTR, this includes Republicans and their absurd "not a single penny of new taxes no matter what" stance.

In Coburn's presser he said he understands there is a lot there and it all won't be agreed to. But he thinks there is enough there to pick and choose from to make a real difference.

With ideas like this coming forward I'm ready to increase the debt limit just enough the debate can continue. No need to ram something stupid down our throats with no time to vet it like they did with Obamacare.

If house republicans were smart they'd vote for a trillion dollar or so increase in the debt limit and take the true debt reduction fight to the 2012 election.

alpha_omega
07-19-2011, 08:44 AM
Sounds like a good place to start the discussion.

alnorth
07-19-2011, 08:50 AM
I'm sure there will be a minor detail here and there that I might not agree with, but in the big picture, I'm fine with this.

Saul Good
07-19-2011, 09:04 AM
This plan makes the Democrats look really bad. Wwhy can't the party in power even construct a budget when the minority party has a plan to cut trillions?

If the Dems are smart, they will tweak this plan very slightly, call it their own, and pass it before most people realize what happened.

patteeu
07-19-2011, 09:32 AM
I think this kind of blockbuster, pisses everybody off plan, is exactly what we need but is likely DOA because our politicians have no guts at all to do what's right. They're too busy pandering to their constituencies.

FTR, this includes Republicans and their absurd "not a single penny of new taxes no matter what" stance.

Republicans don't take that stance, with a small number of exceptions. As I pointed out to those who fawned over the President's vaporware proposal to make massive fake cuts in return for a large real tax increase, Republicans are willing to consider revenue enhancers like the elimination of many tax expenditures as a part of a broader tax reform that lowers marginal rates (ala Bowles-Simpson). That's effectively what Coburn is including in this plan.

FishingRod
07-19-2011, 09:44 AM
Just curious, Has anyone and I do mean anyone proposed a budget for the next year that does not spend more than the Government projects to take in. It just sounds like a logical place to start.

Chief Faithful
07-19-2011, 09:49 AM
This plan gives the House Repulicans a great out to the box they find themselves in today. This plan provides bigger cuts then anyone thought they could achieve, gives the Democrats additional revenues by closing loop holes, and doesn't raise any income rates so it could be argued the Republicans successfully held the line on tax increases. I think Coburn may walk away the hero in this debate.

donkhater
07-19-2011, 10:35 AM
Rather than cut benefits to military personnel, I propose that we have LESS military personnel to begin with.

Get the hell out of the 700+ bases we have around the world and the police occupations we are paying for.

BTW anyone criticizing the size of this proposal needs to realize that it is about half of what's needed to just balance the the budget in 10 years.

HALF IN TEN YEARS!!!!!

HonestChieffan
07-19-2011, 10:46 AM
I like it.

vailpass
07-19-2011, 11:52 AM
If we're going to get serious about getting our financial house in order this is the kind of talk we should be having. Cutting 2 or 4 trillion over 10 years is just a freaking joke.

+1

HonestChieffan
07-19-2011, 12:01 PM
Summary: http://coburn.senate.gov/public//index.cfm?a=Files.Serve&File_id=5d66088c-40d4-40e5-ad95-bc5d88774595

Full Report:http://coburn.senate.gov/public//index.cfm?a=Files.Serve&File_id=c6590d01-017a-47b0-a15c-1336220ea7bf


He nails a lot of very good common sense ideas. It will be vilified by every screamer on the hill.

He must be a racist.

Cave Johnson
07-19-2011, 12:13 PM
Sure, why not. We're headed for a Japan-style lost decade anyway.

mnchiefsguy
07-19-2011, 12:24 PM
I think this kind of blockbuster, pisses everybody off plan, is exactly what we need but is likely DOA because our politicians have no guts at all to do what's right. They're too busy pandering to their constituencies.

FTR, this includes Republicans and their absurd "not a single penny of new taxes no matter what" stance.

I am opposed to tax increases in general, but 8 trillion in cuts paired with 1 trillion in tax increases seems reasonable to me, provided that once the deficit is done, taxes would be lowered, and spending would continue to be curbed and kept at a reasonable, manageable level.

Chief Faithful
07-19-2011, 12:26 PM
Summary: http://coburn.senate.gov/public//index.cfm?a=Files.Serve&File_id=5d66088c-40d4-40e5-ad95-bc5d88774595

Full Report:http://coburn.senate.gov/public//index.cfm?a=Files.Serve&File_id=c6590d01-017a-47b0-a15c-1336220ea7bf


He nails a lot of very good common sense ideas. It will be vilified by every screamer on the hill.

He must be a racist.

Thanks for posting those reports. After reading I like the bill even more. These are the kinds of excesses and waste that can be trimmed off Federal spending without negatively impacting hard working Americans.

Chief Faithful
07-19-2011, 12:31 PM
I am opposed to tax increases in general, but 8 trillion in cuts paired with 1 trillion in tax increases seems reasonable to me, provided that once the deficit is done, taxes would be lowered, and spending would continue to be curbed and kept at a reasonable, manageable level.

What is good about this plan is it reforms loop holes without raising rates. This way small business income is not diminished giving them a chance to invest and grow.

I get sick of this mantra of get the rich when in truth wealth is not taxed only income / working capital is taxed. Taking away more working capital from the private sector is not a good idea for a struggling economy.

Amnorix
07-19-2011, 12:33 PM
Republicans don't take that stance, with a small number of exceptions. As I pointed out to those who fawned over the President's vaporware proposal to make massive fake cuts in return for a large real tax increase, Republicans are willing to consider revenue enhancers like the elimination of many tax expenditures as a part of a broader tax reform that lowers marginal rates (ala Bowles-Simpson). That's effectively what Coburn is including in this plan.

Ok, so I amend my prior statement to include the word "net" in the middle where appropriate. We good now? :D

Amnorix
07-19-2011, 12:34 PM
Just curious, Has anyone and I do mean anyone proposed a budget for the next year that does not spend more than the Government projects to take in. It just sounds like a logical place to start because I want to ensure the economy never recovers.


FYP

Taco John
07-20-2011, 11:17 PM
FYP

If our economic recovery is intrinsically tied to government spending, then let it burn, burn burn, and build a real economy from its ashes.

ThatRaceCardGuy
07-20-2011, 11:19 PM
If our economic recovery is intrinsically tied to government spending, then let it burn, burn burn, and build a real economy from its ashes.

you're a donk fan , you should be banned , and neutered..