Press Release

McHenry on Obama Commission: “Why Not Take Tax Increases Off The Table?”

We’ve Tried This Before and Obama’s Partisan Approach Is Doomed to Failure

Washington, February 17, 2010 | Josh Kahn (202.225.2576)
In anticipation of tomorrow’s expected executive order creating a new debt commission, Congressman Patrick McHenry (R-NC), a member of the budget committee and sponsor of the Commission On Reforming Entitlement (CORE) Spending Act, called on President Obama’s to reject the idea of tax increases and embrace a truly bipartisan approach.
In anticipation of tomorrow’s expected executive order creating a new debt commission, Congressman Patrick McHenry (R-NC), a member of the budget committee and sponsor of the Commission On Reforming Entitlement (CORE) Spending Act, called on President Obama’s to reject the idea of tax increases and embrace a truly bipartisan approach.

“Why not take tax increases off the table?” McHenry asked.  “Republicans want a truly bipartisan plan to get Washington’s unsustainable deficit and entitlement spending under control, but we can not raise taxes in the middle of a recession.  President Obama knows that tax increases will never get Republican support and we will not be able to take a decisive step toward true structural reform without both parties.”

Congressman McHenry’s CORE Spending Act focuses on finding ways to reform entitlement spending and establish long-term fiscal restraint, but does not allow for the creation of new taxes or the increase of current tax rates.  Specifically, the bill will do the following:

  • Establish a 15 member commission to examine entitlement benefit programs. 
  • Hold at least one town hall style public hearing in each Federal Reserve District. 
  • Offer a detailed report to Congress and the President no later than 180 days after enactment. 
  • Submit a legislative proposal to address areas of concern in a BRAC-style, up or down vote.

As part of the 1990 tax-increases for spending-cuts deficit deal struck at Andrews Air Force Base, Congress agreed to cut spending by $2 under the CBO baseline for every $1 in tax increases.  Not only were the cuts never made, but spending actually rose above the pre-deal CBO baseline.

 

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