Tag Archives: Senate bill

Progress?

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Yesterday Hot Air reported that Speaker of the House Nancy Pelosi has agreed to pass the Senate border funding bill after the House bill was defeated in the Senate. The bill has now passed the House by a vote of 305-102. Some Democrats want to be re-elected in 2020.

The article reports:

“Behind the scenes,” noted CNN, “moderates were encouraging members of the Blue Dog and Problem Solvers caucuses to vote against a procedural vote that governed floor debate and force Pelosi to pass the bipartisan Senate bill, as the White House and Hill Republicans have been demanding.” Per Politico, 18 centrist Dems were prepared to tank her revised bill on the floor if she didn’t hurry up and pass the Senate bill instead. The reason Democrats hold the House majority right now is because a bunch of centrists knocked off a bunch of Republican incumbents last year in purple districts. Those centrists are frightened of perceptions back home that Democrats don’t want to do much of anything to ease the crisis at the border except complain about how immigrants are being treated, and they know how potent Trump’s messaging on this topic can be. In the end, if Pelosi wants to keep her majority, those members need to be protected even if it makes AOC cry. So Pelosi made a hard choice: Hand the centrists a win, even at the price of being steamrolled by Mitch McConnell, even knowing how lefties will caterwaul, and get immigration off the table for now.

That choice was made slightly easier for her by the fact that McConnell’s Senate bill wasn’t a party-line matter.

The Senate border bill passed the Senate by a vote of 84-8. It has bipartisan support.

According to UPI:

The Senate passed the bill Wednesday, setting aside nearly $3 billion in humanitarian aid and increasing security measures at the border. The Democratic-controlled House passed its version of the bill earlier this week with a stronger focus on protecting migrant children.

At some point we need to understand that the more liberal Democrats are not interested in increasing security  measures at the border.

Fake News Abounds About The Repeal/Replace ObamaCare Bill

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I have stated before that I do not support the current bill to repeal and replace ObamaCare. I believe that what we need is straight repeal. Then we need to teach Congress about the free market and let them apply those principles to healthcare and health insurance.

On Friday, Investor’s Business Daily posted an article about the current repeal-replacement bill on ObamaCare.

Here are some observations from the article:

Look at any story about the Senate health bill, and you’ll see words like those describe its supposed cuts to Medicaid. What if we told you there are no such cuts?

First, the Senate bill doesn’t change Medicaid at all for three years. That means spending on the program will continue to grow, just as it is slated to now — at an annual 5% clip — until 2021.

What does that mean in dollar terms? Under the Senate’s “shredding” reform, Medicaid’s budget in 2021 will be $85 billion bigger than it is this year, and $209 billion (or 79%) bigger than it was in 2013.

What about after that? Under the Senate plan, there’d be a three-year transition to a new way of financing Medicaid.

And then, starting in 2025 federal Medicaid spending would be capped each year, with the cap set to grow at the overall inflation rate.

If you plot annual spending out over the next 10 years, what you see is that spending is never actually cut — at least not in the sense that most people think of a spending cut. Instead, it would grow at a slightly slower rate.

Even under the more restrictive House bill, Medicaid’s budget would still climb 20% over the next decade. So growth will end up higher still under the more generous Senate version.

This is the usual game that Congress and the media play with budget issues–only in Washington could a 5% increase be considered a cut!

The article explains the problems with Medicaid:

As a result, Medicaid now consumes about 20% of state general fund spending — and it’s rising. Next year, the 32 states that expanded Medicaid under ObamaCare will see their costs climb by an additional $9 billion.

Meanwhile, a Government Accountability Office investigation found that improper payments accounted for more than 10% of all Medicaid spending last year.

And for all this, Medicaid grossly underpays doctors and provides lousy care to many of its enrollees. In California, for example, the Medicaid expansion resulted in a flood of patients into emergency rooms because they can’t find a doctor willing to treat them.

In short, Medicaid is in dire trouble, and the Senate and House bills offer smart, prudent — and relatively modest — fixes.

Clean up the fraud, and encourage people to actually get jobs that will help them obtain medical insurance. We need less people riding in the wagon and more people pulling the wagon.

What We Didn’t Know About The Senate Payroll Tax Extension Bill

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Fox News posted a story yesterday about exactly what was in the payroll tax extension bill passed by the Senate. It seems that the bill that the Senate passed was unworkable.

The article reports:

The Senate bill did not cleanly extend the current Social Security employee share of 4.2 percent for two months. Instead, it created a two-tiered payroll tax with a rate of 4.2 percent for the first $18,350 of income in those 60 days, with a 6.2 percent rate above that.

This establishment of multiple rates of payroll tax presents serious logistical challenges for payroll processors. In fact, the National Payroll Reporting Consortium strongly opposed to the Senate bill based on this feature, writing:

“The difficulty is in establishing a new Social Security Taxable Wage limit of $18,350 for the two-month extension period. More than ten percent of the workforce is likely to meet that limit, and would be subject to the higher 6.2% tax rate for earnings over that amount. However, many payroll systems are not likely to be able to make such a substantial programming change before January or even February. The systems affected tend to be highly complex, normally requiring at least ninety days for a change of this magnitude for software testing alone; not to mention analysis, design, coding and implementation.”

To me, that explains why the Senate did not simply pass the House version of the payroll tax extension–they were using the bill as an instrument of class warfare.

Please follow the link above to read the entire article. It explains the actual process that resulted in a workable bill being passed. This bill was a victory for the taxpayers and for the companies having to deal with payrolls. It was a small victory, but it was a victory.

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