Connect with us

Congress

Trump backs key Senate tax plan strategy in struggle with House

Published

on

President Donald Trump indicated to GOP senators during a White House meeting Thursday that he supports using an accounting method that would treat trillions of dollars in tax cuts in a massive GOP package as costing nothing, according to three senators who attended the meeting and three other people familiar with the conversation.

“If you are going to make the tax code permanent, by definition it’s going to be with current policy,” said Sen. Steve Daines (R-Mont.), who affirmed that Trump is on board with the accounting tactic. “The aperture is opened up a bit in thinking more broadly around how we continue to find additional reductions in federal spending.”

House and Senate Republicans are split on the controversial accounting tactic, though Speaker Mike Johnson is increasingly open to using it. The move would make it easier for GOP lawmakers to make the math work on their costly plan.

But many hard-liners are suspicious of the tactic and want to stick with Congress’s traditional accounting method, which would show that extending the tax cuts, and adding other provisions Trump wants, would cost trillions of dollars.

Settling the matter will be key as the House and Senate try to reconcile vast differences in their approaches to the massive Trump agenda bill spanning border, energy, taxes and defense spending. But it is likely to run into trouble with deficit hawks, especially in the House, who insist that tax cuts must be accompanied by spending reductions.

Trump also reiterated he wants the 2017 tax cuts he presided over to be extended permanently. And, he raised his Gold Visa card concept as a way to pay for the vast package, along with tariffs and other options.

The GOP senators in the room also discussed the politically complex issue of raising the debt ceiling, which Trump has pushed to be in the package because he doesn’t want to negotiate a separate deal with Democrats.

Sen. Ron Johnson (R-Wis.) said he made clear in the meeting he still wants incredibly steep spending cuts in order to back a debt limit increase, adding Trump was receptive to his pitch to pare back a vast swath of federal spending to pre-COVID levels.

“I don’t know that we solved anything. We got what we needed — just some kind of direction and feel for where the president wants all this to land,” Senate GOP leader John Thune (R-S.D.) told reporters when he returned to the Capitol.

The Republicans who met with Trump on Thursday are all members of the Senate Finance Committee who are trying to work through a host of complex and arduous tax talks in order to decide what they can fit into their party-line bill.

“It’s kind of along the lines of what we’ve been talking about for some time,” Thune said.

Sen. Thom Tillis said the conversation with the president helped to act as “a funnel” for the vast list of tax policies that GOP senators are trying to squeeze into the package.

But some senators in the meeting appeared less enthusiastic that they had made any major progress.

“Talk, talk, talk, talk,” Sen. Chuck Grassley (R-Iowa) said. “Just like the last 10 weeks.”

House and Senate Republicans are stuck in an increasingly bitter impasse over how to advance Trump’s vast legislative agenda and how quickly to move.

Many House Republicans were livid earlier this week when Tillis emerged from a meeting of Senate Finance Republicans on Monday evening and suggested August was the real timeline for passing a budget reconciliation bill, citing the tax talks.

Heading to the White House meeting on Thursday, Senate Finance Chair Mike Crapo again declined to predict any timeline for the Congress to advance or pass the package and its many tax provisions.

Other members of his panel hoped the meeting with Trump and his advisers would help start to bridge the divide between the two chambers — something Trump has struggled to do.

“I’m not even going to joke about it,” the normally soft-spoken Crapo said, with a smile.

Thune has been organizing meetings all week with small groups of his conference as he and GOP leaders try to hear from a cross-section of GOP senators about what they want to see in a reconciliation bill, which would allow Republicans to short-circuit a Democratic filibuster in the Senate.

Those meetings, according to senators in attendance, have focused on the tax provisions — including measuring support for using the current policy baseline accounting method to make the extension of the Trump-era tax cuts appear to cost nothing.

Senate Republicans are also using the meetings to discuss how big they should go on spending cuts and outline the challenges of the major task ahead.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Congress

Republicans air misgivings about redistricting push after Virginia vote

Published

on

A group of House Republicans openly questioned the mid-decade redistricting war sparked by President Donald Trump on Wednesday, a day after a Democratic victory in Virginia threatened the GOP’s chances of holding onto its slim House majority in November.

The recriminations are not new — plenty of GOP lawmakers had private doubts about Trump’s aggressive push to draw maps in Texas and other red states. But now members are growing increasingly vocal as it appears the tit-for-tat he started could now result in a Democratic advantage.

Tuesday’s vote paves the way for as many as four Virginia Republicans to lose their seats.

Rep. Jay Obernolte (R-Calif.), recently elected to a junior House Republican leadership post, said “it was a mistake to go down this road.”

“Virginia does not change my opinion — I thought that Texas was a mistake. I thought California was a mistake on the part of the Democrats,” he said. “The problem is, at the end of the day, whatever party wins, we all have to govern. And it’s harder to do when we’ve eroded our constituents’ trust in our democracy and the fairness of our elections — which is what mid-cycle redistricting does.”

Rep. Brian Fitzpatrick (R-Pa.) said in an interview he warned the White House months ago the effort could backfire, while Rep. Don Bacon (R-Neb.) suggested the outcome of the nearly yearlong saga should have been utterly predictable.

“Chess players think three to four moves ahead,” he said. “It doesn’t appear this happened.”

Even the man charged with preserving the House GOP majority, NRCC Chair Richard Hudson (R-N.C.), declined to say the redistricting push was worth pursuing.

“It wasn’t my decision,” he told reporters.

Republicans are holding out hope that the state Supreme Court might still invalidate the Virginia vote, which used a ballot initiative to temporarily suspend a constitutional provision handing redistricting powers to an independent commission.

But both parties are now focused on Florida, where GOP Gov. Ron DeSantis appears intent on proceeding with his own redistricting effort in the coming weeks. House Minority Leader Hakeem Jeffries vowed Wednesday to take DeSantis and his allies head-on.

“Trump and Republicans launched this gerrymandering war, and we’ve made clear as Democrats that we’re going to finish it,” Jeffries said at a news conference.

House Republicans from the Sunshine State have already griped about pursuing an overly aggressive gerrymander, and several renewed those objections Wednesday.

“I don’t think it matters what the results are,” said one, Rep. Daniel Webster.

Hudson said “it’s not really my role” to tell the state how to proceed and that Florida legislators “have to decide what’s best for Florida.”

But Speaker Mike Johnson told reporters Wednesday that he would support Florida Republicans pushing ahead, saying they have “the right and the intention to do it, and my view is that they should.”

Earlier Wednesday, the speaker blasted the Virginia effort as “a hyperpartisan gerrymandering boondoggle.”

Rep. John Rutherford, a Jacksonville-area Republican who has previously warned against Florida redistricting, said the Virginia results could force the GOP’s hand.

“I don’t like this redistricting in the middle of the census,” Rutherford said. “But in light of what Virginia is doing, we may need to respond to that.”

Riley Rogerson contributed to this report.

Continue Reading

Congress

House Democrat pushes DOJ on possible pardon for Ghislaine Maxwell

Published

on

Rep. Raja Krishnamoorthi wants answers from the Justice Department about internal communications regarding a possible pardon for Jeffrey Epstein’s co-conspirator, Ghislaine Maxwell.

In a letter sent Wednesday to acting Attorney General Todd Blanche, the Illinois Democrat pointed to a recent POLITICO story where Maxwell’s attorney, David Oscar Markus, said there was “a good chance and for good reason that [Maxwell] would get a pardon” from President Donald Trump.

Maxwell is currently serving a 20-year sentence for her role in the sex trafficking scheme. The Supreme Court recently denied a bid to review her case, leaving presidential clemency the only obvious reprieve that could be available to her. Trump has not ruled out granting her clemency.

As Blue Light News reported earlier this month, Markus said in an extensive interview he had reached out to Blanche last year to set up a meeting for his client to answer questions about the Epstein case. They met in Tallahassee for a two-day meeting in July, and Maxwell was moved to a minimum security prison camp in Texas shortly afterward. Blanche and Markus have both maintained that she was transferred because she was unsafe at her former facility.

“It is unacceptable that DOJ would be engaging at all with such an outrageous request,” Krishnamoorthi wrote to Blanche, who has known Markus for years.

Krishnamoorthi asked Blanche to promise he would not engage with the convicted sex offender around a pardon and requested to view communications with Maxwell or Markus related to a pardon.

DOJ did not immediately return a request for comment.

Continue Reading

Congress

Georgia Democratic Rep. David Scott, 80, has died

Published

on

Rep. David Scott (D-Ga.) has died at the age of 80, according to Rep. Gregory Meeks (D-N.Y.), who disclosed his death at a committee hearing on Wednesday.

First elected to the state Assembly in Georgia in 1974, Scott’s career in politics spanned decades. The 12-term lawmaker became the first Black chair of the House’s powerful Agriculture Committee when he was tapped to lead the panel in 2020.

Scott faced criticism for seeking reelection in 2024 even as declining health imperiled his ability to negotiate a $1.5 trillion farm bill. Scott was also seeking reelection to his Atlanta-area district later this year.

Continue Reading

Trending