Reid strips bipartisan ‘jobs bill’, cuts Unemployment and COBRA extensions from bill…

Smooth move Harry. I am sure the unemployed people and folks who need the COBRA subsidy will appreciate your newfound ‘toughness’ on spending. Especially since you found your cojones against members of your own party on an actual bipartisan bill.

Whadda maroon.

FDL! while complimenting Harry, notes he tossed the UE and COBRA extension:

...Reid set aside the social safety net spending, extending unemployment benefits and the COBRA subsidy, into a separate bill. That would net another $25 billion. Reid has promised to take that up later in February, after the Senate recess….

Politico notes that Reid pulled the rug from under the WH’s big bipartisan jobs bill announcement (headline calls WH ‘stunned’) and pixxed off his caucus at the same time:

Senate Majority Leader Harry Reid led colleagues and the White House to believe he supported a bipartisan jobs bill — only to scuttle the plan as soon as it was released Thursday over concerns it could be used to batter Democratic incumbents, according to Senate sources.

Senate Finance Committee Chairman Max Baucus (D-Mont.) and Sen. Charles Grassley (R-Iowa) worked for weeks with Reid’s blessing and frequent involvement to craft an $85 billion jobs bill, a measure that seemed destined to break the partisan logjam that has ground the Senate to a halt.

But as Baucus, Grassley and President Barack Obama were preparing to celebrate a rare moment of bipartisan Kumbaya on Thursday, Reid stunned a meeting of Senate Democrats by announcing he was scrapping Baucus-Grassley, replacing it with a much cheaper, more narrowly crafted, $15 billion version.

Sounds like members of the Dem caucus were pretty pixxed too:

…But people who were in the room painted a somewhat different picture, saying Reid’s proposal was met with a mixture of confusion and outrage from senators upset about having their pet projects redacted – even after Reid promised to include their proposals in subsequent jobs bills.

And Iowa Democratic Sen. Tom Harkin argued passionately that, if lawmakers plan to extend corporate tax breaks, they should also extend employment insurance.  “[Reid’s] trying to keep it simple,” Harkin said emerging from the meeting, “but what I think ought to be in the package is unemployment insurance for one year.”..

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February 12, 2010. Tags: , , , , , , . Economy, Finance, Healthcare, Obama Administration, Politics, Unemployment Statistics. 3 comments.

The Hill: Dem jobs proposal may add 300 billion in spending…

Update: jobless claims in, another 457,000 jobs lost in November w/e 11/21; Q3 productivity revised down to up 8.1% still huge. Continuing claims 5.464 million w/e 11/21. Monthly number is manyana.

$300 Billion in ideas, and yet they still manage not to have a payroll tax holiday for workers in there. Unbelievable.

TheHill:

A number of the  jobs proposals backed by Democrats make up a $230 billion package proposed by Mark Zandi of  Moody’s Economy.com, who made a presentation to  Senate Democrats Wednesday. The provisions supported by Zandi along with new spending on infrastructure, a favored approach of top House Democrats, would cost between $291 billion and $299 billion, according to estimates by lawmakers and economists.

…The Hill arrived at the $300 billion figure by adding up the following provisions:

Lawmakers are looking to extend unemployment insurance and COBRA healthcare benefits for the unemployed through 2010 at a cost of $100 billion alone, according to the sponsor of House legislation, Rep. Jim McDermott (D-Wash.).

House Transportation and Infrastructure Committee Chairman Jim Oberstar (D-Minn.) and Rep. Peter DeFazio (D-Ore.) pushed Wednesday for $69 billion for highway and transit projects that could be started almost immediately with funding. Oberstar had criticized the earlier stimulus bill for not including enough infrastructure spending, and House Speaker Nancy Pelosi (D-Calif.), House Appropriations Committee Chairman David Obey (D-Wis.) and Sen. Kent Conrad (D-N.D.) have voiced support for more infrastructure spending to create jobs.

And the reason no infrastructure was in the damned shovel ready stimulus is Larry Summers, “doesn’t believe in infrastructure”. Like he thinks roads come from the Tooth Fairy or something. Does he believe in China cause they spent their trillion in stimulus on infrastructure.

Democrats would also increase loans from the Small Business Administration (SBA) at a cost of $20 billion, according to Zandi. He called for raising limits for the SBA loans, removing the interest rate cap on them in order to allow credit to be given more freely and using leftover bank bailout money as small-business credit.

Hey that SBA funding is actually a good idea! But the tax credits for new hires is a waste. 3K is a drop in the bucket. PAYROLL TAX HOLIDAY DAMMIT!

Tax credits for businesses that hire new full-time workers would cost about $27 billion under a proposal by Sen. Russ Feingold (D-Wis.) and the Economic Policy Institute, a left-leaning policy group. A new hiring tax credit has received extensive discussion and is under consideration by President Barack Obama, according to his economic team.

Providing more aid to states, a move to stem further job losses, also has support among lawmakers, The New Republic reported Tuesday. Zandi, noting that the state governments will have a $150 billion budget shortfall in fiscal 2011, has called for $75 billion in federal aid for states.

A federal work-share program backed by Sen. Jack Reed (D-R.I.) and four other Democrats would cost about $600 million. The total cost of all of those proposals would be $291.6 billion.

Zandi has called for a $230 billion job-creation package that includes the small-business loans, state fiscal aid, hiring tax credit, work-share program, unemployment and COBRA insurance and state fiscal aid. His cost estimates for most of the programs are similar to those given by lawmakers.

Adding the Oberstar-DeFazio infrastructure proposal to that sum would bring the total to $299 billion….

December 3, 2009. Tags: , , , , , , , , , . Economy, Finance, Obama Administration, Politics, Unemployment Statistics, Wall St. Comments off.

Krugman: the trillion dollar boondoggle stimulus was not BIG enough, so let’s spend a few hundred billion on a WPA jobs program for the low skilled, but under no circumstances should you cut taxes…

Utterly backwards. The boondoggle spendulus failed (EPIC FAIL!), so they want to dilute hundreds of billions more by pouring it through government’s oh so inefficient hands again. I think it is intellectually dishonest of Krugman to suggest if the stimulus were only BIGGER it would have done more to stimulate job creation., No matter how BIG they make it, the pockets of those who do NOT create jobs would be filled that much bigger we would STILL not have created jobs. Where did all that money go? The way it was STRUCTURED not the AMOUNT was the problem. The proof is that 2/3 of it are unspent and they have already GIVEN UP on getting any jobs from it.

If they would simply stop the overregulation and taxation and do something like a PAYROLL TAX CUT that goes DIRECTLY to WORKERS with no government mishandling, we would be doing much much better..but the academics and govt lackeys would prefer ANYTHING over giving us back OUR OWN MONEY to spend OUR OWN WAY.

Krugman is among those invited to Thursday’s jobs summit on Mount Obama so we can expect more of this kind of thing from their jobs bill. More state bailouts thereby allowing the states to continue to avoid the real job of CUTTING SPENDING and STATE GOVERNMENT PAYROLLS AND BENEFITS which is where all the bleeding is happening across the country on state balance sheets….

Krugman:

(…) So our best hope now is for a somewhat cheaper program that generates more jobs for the buck. Such a program should shy away from measures, like general tax cuts, that at best lead only indirectly to job creation, with many possible disconnects along the way. Instead, it should consist of measures that more or less directly save or add jobs.

One such measure would be another round of aid to beleaguered state and local governments, which have seen their tax receipts plunge and which, unlike the federal government, can’t borrow to cover a temporary shortfall. More aid would help avoid both a drastic worsening of public services (especially education) and the elimination of hundreds of thousands of jobs.

Meanwhile, the federal government could provide jobs by … providing jobs. It’s time for at least a small-scale version of the New Deal’s Works Progress Administration, one that would offer relatively low-paying (but much better than nothing) public-service employment. There would be accusations that the government was creating make-work jobs, but the W.P.A. left many solid achievements in its wake. And the key point is that direct public employment can create a lot of jobs at relatively low cost. In a proposal to be released today, the Economic Policy Institute, a progressive think tank, argues that spending $40 billion a year for three years on public-service employment would create a million jobs, which sounds about right.

Finally, we can offer businesses direct incentives for employment. It’s probably too late for a job-conserving program, like the highly successful subsidy Germany offered to employers who maintained their work forces. But employers could be encouraged to add workers as the economy expands. The Economic Policy Institute proposes a tax credit for employers who increase their payrolls, which is certainly worth trying.

All of this would cost money, probably several hundred billion dollars, and raise the budget deficit in the short run. But this has to be weighed against the high cost of inaction in the face of a social and economic emergency….

November 30, 2009. Tags: , , , , , , , , , . Economy, Finance, Obama Administration, Politics, Taxes, Unemployment Statistics, Wall St. 3 comments.

Steny Hoyer: House to pass Jobs Bill by Dec 18th, to include further unemployment extension, COBRA addition and infrastructure & Is Obama planning a 3 trillion dollar tax increase?, plus the rationing begins, women first

(We are combining posts for time under the light blog schedule for the Holidays)

Job Creation Bill:

iMarketNews:

House Majority Leader Steny Hoyer Tuesday said that Democrats want to pass a jobs creation bill in the House by December 18, the day he hopes Congress will adjourn for the year.At his weekly briefing, Hoyer said House Democrats are now reviewing “a lot of options” to boost job creation, including infrastructure spending, a highway bill, business tax credits for job creation, another extension of unemployment insurance, an adjustment to COBRA and assistance to state governments.

Hoyer said he “would not characterize” the package that is being developed as the second stimulus bill of 2009. Congress passed a $787 billion fiscal stimulus bill in February. The measure, he said, would be “targeted on jobs.” “We’re moving ahead,” he said.

The House Majority Leader said the package will be devised to boost job creation in the short-term, suggesting that any offsets would occur later after the economy picks up speed. The bill, he said, would spend funds early and then “flatten out” our expenditures as the economy grows.

He said the overall size of the package has not been determined. “I don’t have a figure,” he said, when asked about the cost of the bill. Hoyer said that unless the American economy begins to create jobs “we will not have the kind of recovery we want.”…

Continues after the break:

(more…)

November 17, 2009. Tags: , , , , , , , , , , . Economy, Finance, Healthcare, Obama Administration, Politics, Taxes, Unemployment Statistics, Wall St. Comments off.

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