Kevin McCarthy's Debt Ceiling Cuts Could Hit California Preschool and Social Security: White House
Category: News & Politics
Via: jbb • 11 months ago • 27 commentsBy: Juliana Kaplan, Ayelet Sheffey (Business Insider)
S E E D E D C O N T E N T
The New McCarthy Era - Bad As The Last One!
- House Republicans want to enact sweeping cuts in exchange for raising the debt ceiling.
- The White House finds those cuts could hit thousands in Kevin McCarthy's home state of California.
- Currently, the US is hurtling towards a potential default as soon as June 1, as both sides negotiate a deal.
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The White House is taking a closer look at what the GOP's sweeping cuts could mean for Americans in every state — and for residents of House Speaker Kevin McCarthy's home state of California, Republicans' plan could mean less access to preschool, affordable housing, and Social Security assistance.
According to a new White House fact sheet, the bills House Republicans have put forward to reign in spending as part of a debt ceiling increase could have "devastating impacts" for Californians. California would see a $9 billion drop in federal grant dollars, per the analysis from the Office of Management and Budget, leading to cuts in childcare and making housing and college more expensive.
If the cuts were to go through, that would mean 68,500 fewer preschool and childcare slots, and 107,000 Californians losing help with rent, according to the White House. It would also mean that 6.9 million senior citizens and people with disabilities would contend with longer wait times when calling for Social Security and Medicare help.
That fact sheet comes after the Bipartisan Policy Center finds that Social Security and Medicare payments, alongside veterans benefits and SNAP, could be the first on the chopping block should the country default on its debts.
The US could be as soon as nine days away from a default, and there's never been more urgency for Congress to come to an agreement on a way to raise the debt ceiling and avoid the catastrophic outcomes in McCarthy's home state, and nationally. On Monday evening, Biden and McCarthy met to once again try to find common ground on a debt ceiling solution, and while both parties emerged from the meeting saying it was "productive," they still couldn't make a deal.
"I think we both agree that we want to be able to come to an agreement," McCarthy told reporters following the meeting. "We both agree on the areas that we know there's disagreement on, but I think it was productive and the professionalism, the honesty with one another, and the desire to fight try to find common ground."
House Minority Leader Hakeem Jeffries, however, suggested after the meeting that his party might be open to discussing "freezing spending at current levels. That's an inherently reasonable position many in our party might even be uncomfortable with, but President Biden recognizes we're in a divided government situation."
McCarthy said that discussions with Biden will continue throughout the week in the hopes of reaching a deal that can be turned into legislation and brought to the House floor as soon as possible.
Treasury Secretary Janet Yellen reiterated to McCarthy in a Monday letter that it is "highly likely that Treasury will no longer be able to satisfy all of the government's obligations if Congress has not acted to raise or suspend the debt limit by early June, and potentially as early as June 1."
It's unclear if McCarthy or Biden will make any compromises over the next few days to stave off a default, and while Biden and Democrats are continuing to hold the line on raising the limit without spending cuts, McCarthy has remained adamant that programs need to be cut in exchange for a debt ceiling deal.
"The president has to get serious. It's 10 days out from him defaulting on the debt," McCarthy wrote on Twitter on Monday. "I have been clear from the very beginning: Democrats' addiction to spending led to skyrocketing inflation, dependence on China, and record debt. Now, Washington must spend less."
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McCarthy, the one term Speaker of the House...
Hey, if California is worried about losing some federal tax dollars, they can always do what so many liberals want--TAX THE RICH MORE!!!!!!!!!!!
I thought anyone who could afford it has already left that 3rd world shithole.
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That comment is beyond delusional.
The whole purpose behind McCarthy's cuts is to piss off democrats to Biden. If Biden goes along with the cuts, democratic strongholds get screwed, if Biden doesn't go along with them the whole world gets screwed.
Personally I think Biden should add another clause to it. If he wants Biden to sign off on it, McCarthy should be required to have his republicans in the House agree to codifying abortion rights.
There is definitely something to be said for Biden to announce major, if not total, spending cuts in every district with a Republican in Congress and inform the citizens of those districts that is what their representatives demanded and voted for.
I sure wish he would actually do that.
Let the voters know how petty he can be.
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He won't do it because it would cause irreparable harm to many innocent and worthy people. The people that the Republicans despise and are intentionally trying to damage with their regressive policies.
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That's up to the states now.
By the Constitutional separation of powers he can't legally do that.
Not too sure legality or the Constitution were allowed to get in the way of partisanship.
Maybe not. Trump's transfer of military funds towards his wall was ruled to have violated the Constitution. I don't know if there has ever been a ruling about the constitutionality of not spending designated funds. Do you? Possibly there has been. My comment was merely rhetorical in the sense that it would be fitting if that was something Biden could do. He would never do it, of course, for the reason set forth in my Comment 1.2.4. above.
The whole purpose of McCarthy's cuts is to reign in irresponsible spending the Democrats have gone with for the last 2 years.
You want to add a clause then add one that has remotely linked to spending like restricting the money sent overseas.
Isn't California billions and billions of dollars in debt because of their ridiculous policies?
Why should the rest of the country bail them out?
Just a temporary glitch.
California can always tax the rich more. Should be enough for them to climb out of debt and still spend stupidly.
CA state and local government debt is only about $170B. Chump change for the Golden State,
Probably be able to tax that amount just in Nacy's district alone!
Is Nancy and her husband paying their fair share?
I think their combined net worth definitely lands them in the category the left always say isn't paying their fair share, and we know they have made an absolute killing in the stock market.
I wonder of the SEC ever looked into any Congress critters' stock dealings?
Or Dianne Feinstein who's supposed to have a net worth of $200 million.
We know who ever wrote the headline or made this statement is an outright liar, Period!
Kevin McCarthy's Debt Ceiling Cuts Could Hit California Preschool And Social Security: White House
This is from PBS.
The House GOP bill doesn’t affect spending on Social Security and Medicare. Such spending, referred to as mandatory, accounts for about two-thirds of all federal spending.
Here’s what’s in the GOP bill to lift the U.S. debt limit | PBS NewsHour
Democrats in the Whitehouse proving once again they have no integrity.
Californians may also lose some federal funding for colleges if they go through with their hare-brained scheme to hire illegal aliens at schools.
Why should the rest of the country subsidize California's schools and homeless population? California has the authority to fund these programs with its own tax revenue. Expecting West Virginia to subsidize California doesn't meet the standards of fairness and equity touted by Democrats. That only robs a poor state to give to a rich state.
Some would argue that the Federal support only sends Federal tax revenue back to California. The Federal government collecting taxes in a state only to send those taxes back to the state seems be nothing more than a circle jerk. So, why is the Federal government even involved?
Others will argue that California pays more Federal taxes than the state gets back from the Federal government. If California already subsidizes the rest of the country then that means money is already being taken away from these programs. Which only means the argument that Federal spending cuts will take money away from California is nothing more than a political lie.
The WH is lying, again.