Obama Sides with Tea Party Right-Wing Republicans and Independents
WASHINGTON & SANTA
FE, NM (By Glenn
Thrush and Carrie
Budoff Brown,
Politico) August 1, 2011
President Barack
Obama's road to debt
ceiling compromise
runs right through
the left wing of the
Democratic Party.
Much of the focus
Sunday centered on
House Speaker John
Boehner (R-Ohio),
who must wrestle
conservatives into
line to pass the
deal before
Tuesday's default
deadline. Yet team
Obama quickly found
out it is
confronting an
equally daunting
sales jobs with a
Democratic base
embittered by
compromise, ditched
policy priorities
and what many
liberals view as an
endless series of
Obama capitulations.
"If I were a
Republican, this is
a night to party,"
Rep. Emanuel
Cleaver, a Missouri
Democrat who chairs
the Congressional
Black Caucus, told
MSNBC Sunday night.
If Obama thought he
had problems with
liberals before
this, he'll have
even more now, no
matter how hard the
White House spins it
as a "victory for
bipartisan
compromise, for the
economy and for the
American people," as
the administration's
official talking
points claimed.
Obama himself,
appearing Sunday
night in the White
House briefing room,
seemed more
disgusted than
delighted.
"Is this the deal I
would have
preferred?" No,"
Obama said. "We
could have made the
tough choices
required on
entitlement reform
and tax reform right
now rather than
through a special
congressional
committee process.
But this compromise
does make a serious
down payment on the
deficit reduction we
need . and ensures
also that will we
not face this same
kind of crisis in
six months or eight
months or twelve
months."
Democratic leaders,
in general, seem
willing to back
their leader. But
it's not clear
whether House
Minority Leader
Nancy Pelosi (D-Calif.)
will be able to
rally her divided
caucus to deliver
the hundred or more
votes necessary to
compensate for the
loss of GOP backing.
"I look forward to
reviewing the
legislation with my
caucus to see what
level of support we
can provide," a
noncommittal Pelosi
said Sunday after
details of the deal
were released.
Even if the measure
passes, senior
administration
officials said the
president will hit
the road to make his
case for the
compromise. Unlike
his previous
jobs-centered
events, he'll have
to court the base
that delivered him
to the Oval Office
in 2008, not just
the independents he
covets for 2012,
many fellow
Democrats say.
Still, West Wing
officials tried to
downplay the
tension, saying many
liberals were
trashing the
compromise because
they didn't know its
actual contents.
"I don't think
Democrats do think
[he] gave away the
store," a senior
White House official
said.
"This was a balanced
package. . There are
some Democrats who
simply don't believe
in the necessity of
deficit reduction.
Most do. I think it
is important for us
as a party to show
the American people
that we are serious
about deficit
reduction, but we're
going to try to do
it based on
principles and
values," the
official added.
But progressives
aren't so sure.
"This is a very
tough deal . we're
not even focusing on
what matters most -
jobs," Jared
Bernstein, former
economic adviser to
Vice President Joe
Biden, told
POLITICO.
"Washington is now
focused exclusively
on austerity, which
we know doesn't
create jobs. It's
unbelievable."
An angry Rep. Raul
Grijalva (D-Ariz.),
co-chairman of the
Congressional
Progressive Caucus,
said, "This deal
trades people's
livelihoods for the
votes of a few
unappeasable
right-wing radicals,
and I will not
support it,"
lamenting what it
said about the state
of the party under
Obama's stewardship.
"The Democratic
Party, no less than
the Republican
Party, is at a very
serious crossroads
at this moment. .
This deal weakens
the Democratic Party
as badly as it
weakens the
country," he added.
"We have given much
and received nothing
in return. The
lesson today is that
Republicans can hold
their breath long
enough to get what
they want."
MoveOn.org came out
in opposition, and
the Progressive
Change Campaign
Committee said
200,000 Obama 2008
supporters might
withhold their
support this time in
protest.
Sen. Chuck Schumer
(D-N.Y.) and House
Minority Leader
Nancy Pelosi (D-Calif.)
spent much of Sunday
negotiating behind
the scenes, lobbying
against entitlement
cuts and ensuring
that raising taxes
on the rich or
closing corporate
loopholes weren't
explicitly excluded
from the deal,
according to
congressional
sources.
But senior
Democratic aides say
their bosses have
little option but to
support the deal
given Tuesday's
doomsday deadline,
even if it adds to
their bitterness
over previous deals
on the extension of
Bush-era tax cuts to
the wealthy and this
spring's budget
deal.
"This can only be
described as a cave
by the White House,
even if they view it
as a necessary one,"
said a top
congressional
Democrat who
requested anonymity
because he deals
directly with the
West Wing. "The only
way they sell it to
the base is by
telling them they
aren't as bad as the
Republicans. This is
another example of
the White House
hamstringing
Democrats in
Congress because
everyone knows they
will cave in the
end."
Another Democratic
staffer said the
deal allows Obama to
look like a
problem-solver
outside Washington,
which benefits him,
although at the
expense of his
party.
As the outlines of a
bipartisan deal to
raise the debt
ceiling were
becoming public,
senior Obama aides
fanned out across
the Sunday shows to
pre-empt their
critics and assert
that they are making
a down payment on
their core
principles, namely
that the rich pick
up more of the
burden for deficit
reduction.
"Any long-term
deficit reduction -
and I think the
American people have
spoken clearly about
this, too - if
you're a
middle-class family,
if you're a senior
citizen, you're
furious that the
answer to the
deficit reduction by
some here in
Washington, mainly
Republicans in the
House, is to ask you
to do everything,"
said Obama senior
adviser David
Plouffe on ABC's
"This Week."
The framework
announced Sunday
includes no revenue
increases; a vote on
a balanced-budget
amendment; $900
billion in cuts
immediately, many to
domestic spending
programs; and a
"trigger" mechanism
that would impose
$1.2 trillion in
cuts, divided
between domestic and
defense spending, if
a bipartisan
committee and
Congress can't agree
on reductions.
Revenue raising, a
bedrock Democratic
demand, wasn't
explicitly included
in the trigger
options.
But one senior White
House official said
the president has a
"revenue backstop."
The Bush tax cuts
expire in January
2013, which is also
when the $1.2
trillion in cuts
would kick in
automatically if
Congress can't reach
agreement on the
second wave of
deficit reduction in
late 2011. In the
White House's view,
the convergence of
these dates will
compel Congress to
do tax reform and
"force balanced
deficit reduction."
"Absent a balanced
deal, it would
enable the president
to use his veto pen
to ensure nearly $1
trillion in
additional deficit
reduction by not
extending the
high-income tax
cuts," the White
House said in a
release.
In terms of the
trigger,
administration
officials believe
the threatened
Pentagon cuts will
also serve as a
sufficient hammer
for conservatives,
who were already
balking at the
prospect Sunday. A
similar provision
forced former
President George H.W.
Bush to raise some
taxes, a violation
of his "read my
lips" pledge, White
House officials
said.
Some Democrats were
incensed that
Medicare was part of
the trigger,
although the
opposition faded a
bit as it became
clear that the
potential cuts would
come from health
care providers, not
cuts in services to
patients. There was
also relief that
Medicaid and Social
Security were not
included in the
trigger.
But to progressives,
the emerging deal
still felt lopsided.
"The absence of
revenues and the
spending-cuts-only
trigger is a gun
[pointed at] middle-
and working-class
people," Bernstein
said, adding that he
didn't "blame the
president" but
recalcitrant House
Republicans.
Administration
officials tried to
ease the sting of
possible Medicare
cuts by specifying
that reductions
would be taken in
savings from
providers.
For the moment, that
seemed to assuage at
least one
pro-entitlements
group. "If the
trigger deal is only
touching the
provider side on
Medicare and not
beneficiaries, while
not hitting Medicaid
or Social Security,
then Obama, [Senate
Majority Leader
Harry] Reid and
Pelosi will have
succeeded in almost
entirely protecting
these critical
programs from the
draconian Republican
budget," said Eddie
Vale, spokesman for
Protect Your Care, a
pro-entitlement
group.
Moreover, the White
House suggests it
will only gain more
leverage on the GOP
in future talks by
securing an
extension of the
ceiling until after
the 2012 election.
Some conservatives
opposed to the deal
make a similar case,
with RedState.com's
Erick Erickson
arguing that the
trigger might be one
big political trap
for the GOP that
will result in
politically
devastating defense
and Social Security
cuts.
"The defense-funding
cuts will be much
more massive than
the Medicare cuts,"
he predicted. "And
the GOP, in addition
to seeing defense
cut, would be
hacking off seniors
right before an
election," giving
Democrats an
electoral answer.
But Bernstein, now
with a liberal
policy think tank ,
the Center on Budget
and Policy
Priorities, thinks
the opposite has
happened. Obama, he
said, has already
lost the larger
policy argument by
embracing a flawed
premise: Budget cuts
will create jobs.
The anemic 1.3
percent GDP gain
last quarter was
caused by a drop in
government spending,
he said, and more
cuts "will sink an
economy that's
already gone from
fragile to frail."










