Speaker Mike Johnson is facing a lot of criticism over a $1.66 trillion deal with Democrats. Let’s discuss the current state of affairs, then go back to where it all started.
Mike Johnson Sticks With Budget Deal
The Wall Street Journal reports Mike Johnson Sticks With Budget Deal, Rebuffing GOP Hard-Liners
House Speaker Mike Johnson (R., La.) said that he was sticking for now with a budget deal he struck with Senate Majority Leader Chuck Schumer (D., N.Y.) setting top-line fiscal 2024 spending levels at $1.66 trillion, siding with the faction of the GOP conference that favors more robust military spending over a hard-line group pushing for deeper cuts.
Doing a full-year continuing resolution, as it is called, would trigger a provision of the Fiscal Responsibility Act, last year’s debt-ceiling deal, for across-the-board cuts in discretionary spending. Military spending for all of fiscal 2024 would total $850 billion, well below the $886 billion specified by the top-line agreement that Johnson and Schumer reached earlier this week. It would also mandate deep cuts in nonmilitary spending, which Democrats oppose.
Rep. Bob Good (R., Va.), chairman of the hardline House Freedom Caucus, told CNN he continued to “vehemently” oppose the current deal but said it was a “ridiculous supposition” that Johnson’s job be in danger over it.
“We’re going to put a strategy forward that puts us in the driver’s seat rather than accepting whatever the Senate does,” said Rep. Kat Cammack (R., Fla.), who is proposing that the House put together a package containing border-security measures. [Well that is more bullsheet because Republicans will not do a damn thing.]
Republican Hypocrites
If Republicans really wanted to do something good for the budget (they don’t as a class), they would doo a full-year continuing resolution that would make actual cuts across the board, military and nondefense.
But they won’t. Nor is Johnson’s job at risk for proposing something even worse than what got then-speaker Kevin Johnson ousted.
Let’s go back to the beginning for a recap.
House Republicans Make a Huge Mess, for What?
MishTalk September 24, 2023: House Republicans Make a Huge Mess, for What? Replace McCarthy with Whom?
We are headed for another government shutdown debacle that will end with Republicans making fools of themselves again.
Politically Nonsensical Demands
A group of hard-right conservatives are now making demands that would only be tenable if their party had big majorities in the House and Senate, with a White House that would sign.
None of those conditions are in place. Democrats control the Senate and the White House.
Republicans have a scant 4-seat majority in the House.
What’s the Fight Over?
The answer is peanuts, and styrofoam ones at that.
- McCarthy proposes discretionary spending bills for fiscal 2024 totaling $1.526 trillion
- The hardline conservatives want a budget of $1.471 trillion
- The House Appropriations Committee authorized $1.59 trillion.
$1.526 trillion – 1.471 trillion = $0.055 trillion ($55 billion). That’s what the bickering is about. And the result would be a trillion dollar deficit.
Defense Spending
Republican fiscal deficit hypocrites want a staggering $826 billion for defense spending.
But even that vote stalled because the same pack of hypocrites demand all the cuts to come elsewhere.
Sorry guys, it does not work that way.
Where’s This All Going?
That’s the easiest question I asked today. Nowhere. Republicans will capitulate like they always do, with Democrats laughing all the way.
The only real question is how much damage Republicans do to themselves along the way.
McCarthy’s House Bill Goes Down in Embarrassing 198-232 Vote
MishTalk September 29, 2023: McCarthy’s House Bill Goes Down in Embarrassing 198-232 Vote
21 GOP lawmakers joined all the Democrats in voting against McCarthy’s bill to avoid a government shutdown.
The McCarthy proposal would have extended government funding through Oct. 31, but at a $1.471 trillion annual rate, down from $1.6 trillion in fiscal 2023. The bill also included strict new border-security measures and the creation of a fiscal commission charged with coming up with ways to balance the budget and improve the country’s fiscal outlook.
McCarthy Ousted
MishTalk October 3, 2023: McCarthy Ousted, House Essentially Frozen, There Is No Path Forward, For What?
Four percent toppled the 96 percent. But the four percent have no plan and the GOP is weaker.
Written on the Wall
When McCarthy agreed to let a single GOP House member push a call to vacate the house he sealed his own fate.
The Journal cites McCarthy’s accomplishments including a debt-ceiling deal that put a cap on domestic discretionary spending and clawed back some unspent pandemic money. He also moved to restore some bipartisan comity to the Intelligence Committee after Adam Schiff’s partisan manipulation. [January 12, 2024 Note: Mike Johnson is bragging about clawing back unspent funds. Hells bells, that was a battle McCarthy won.]
McCarthy could have accomplished more but the gang of eight would rather have had nothing rather than something.
Rules of the Game
The rules of the game are simple. You can only push for big changes when you have the Senate, House, and White House.
In this case, the GOP does not hold the Senate, does not hold the White House, and barely holds the House.
Trump had two full years to press for major changes and failed. Whose fault is that?
Adults in the Room
One of my readers commented that Gaetz is the adult in the room. What a hoot. No, dear reader, Gaetz is like the kid who threatens to take the bat and ball away unless he is pitcher.
Please note that we only see these childish ball games and demands to fix the budget when Democrats are in control, never when Republicans are in a position to do something.
I would rather have bigger budget cuts. I would also like to see the Republican hypocrites who want to balance the budget also cut military spending. And I certainly would not have voted for the preposterously named Inflation Reduction Act.
Shutting down the government only to capitulate when risk of default is imminent is crazy. Voters would blame the GOP and rightfully so.
Irony of the Day
The eight who pulled off the ouster of McCarthy are cheering along with all the Democrats!
OK guys, you have the ball and the bat, and sided with 100 percent of the Democrats in a historic vote. All 208 Democrats in attendance voted against McCarthy.
Now what are you going to do with the Democrats for an encore?
Surprise, Surprise, Surprise!
MishTalk November 11, 2023: No Surprise, House Speaker Johnson Proposes Same Plan as McCarthy
There are likely big surprises elsewhere, but there is no surprise in this corner regarding Johnson’s plans to keep the government running.
“It’s…100% clean. And I 100% oppose,” said Rep. Chip Roy (R., Texas) on social media.
What a Hoot
Johnson proposed the same plan that got McCarthy ousted. If more that 4 republicans republicans vote against the measure it will require Democrats to vote for it.
Many people told me Johnson would be different.
Will they pretend Johnson is different or will they act surprised?
209 Democrats and 127 Republicans Pass Clean Spending Bill
MishTalk November 14, 2023: Hoot of the Day: 209 Democrats and 127 Republicans Pass Clean Spending Bill
New Republican House Speaker, Mike Johnson, just passed the exact same bill that got former House speaker Kevin McCarthy booted.
Three Things
Ahead of the vote to oust McCarthy I said three things: 1) Some gains are better than none 2) The eight people who ousted McCarthy would not set policy 3) The GOP would get nothing out of ousting McCarthy.
Correct on all three counts.
Many people thought that meant my statements meant that I like McCarthy. I don’t. I was just offering a pragmatic view of what was going to happen.
Total Clown Show
McCarthy offered to try for some things the Gaetz wanted. Gaetz’s hero replacement, Mike Johnson, did not even try.
I am pretty confident McCarthy could have at least gotten a victory regarding the border. Some Democrats would have voted for that.
Maybe at some future date Johnson gets what McCarthy was willing to try for. Don’t count on it.
And let’s repeat that last paragraph again.
Maybe at some future date Johnson gets what McCarthy was willing to try for. Don’t count on it.
Spending Deal Reached, the Republican Freedom Caucus Condemns It
MishTalk January 7, 2024: Spending Deal Reached, the Republican Freedom Caucus Condemns It
We have a $1.6 trillion budget deal. What’s Inside?
The deal does not address the border at all!
“This is total failure,” the House Freedom Caucus, an ultra conservative group of about three dozen Republicans, said on social media after news of the deal broke.
“Unfortunately there are only microscopic concessions made by the D.C. Cartel in this new spending ‘deal,’” said Rep. Matt Rosendale (R., Mont.) on social media.
The canceled spending comes from mandatory funds that were never going to be spent in the first place.
“A total failure, even worse than we thought”, said the Freedom Caucus.
Gee, who could has possibly predicted that?
The deal does not address the border at all!
To get any border funding (that Biden will try to find a way to not honor), Republicans will have to further cave in on both Ukraine and Israel.
The total funding will be well in excess of the deal that Kevin McCarthy once had on the table.
Another Stopgap Needed
Adding insult to injury the WSJ reports Spending Bill Won’t Be Done in Time
Congress may need to pass another short-term bill to avoid a partial government shutdown in less than two weeks, potentially forcing House Speaker Mike Johnson (R., La.) to break a vow he made to GOP colleagues swearing off such measures.
Senate Minority Leader Mitch McConnell (R., Ky.) said the dwindling days left before the deadline meant Congress would have to take up a stopgap bill, known as a continuing resolution or CR, to keep the government open as work continues on full-year fiscal 2024 legislation. The current interim spending law funds some parts of the government through Jan. 19 and the rest through Feb. 2.
“Obviously we’re going to have to pass a CR,” McConnell told reporters Tuesday. “It’s up to the speaker and the majority leader to determine the length of the CR,” referring to Johnson and Schumer. With 10 days until Jan. 19, McConnell said that “the simplest things take a week in the Senate. I think frequently, the House doesn’t understand how long it takes to get something through the Senate.”
Current Deal on the Table
And today, the current deal on the table is now up to $1.66 trillion with Johnson bragging about clawing back funds that McCarthy negotiated months ago.
The McCarthy proposal would have extended government funding through Oct. 31, but at a $1.471 trillion annual rate, down from $1.6 trillion in fiscal 2023. The bill also included strict new border-security measures and the creation of a fiscal commission charged with coming up with ways to balance the budget and improve the country’s fiscal outlook.
That was not good enough for the hard-liners who then ousted McCarthy. And I took a lot of flack for for saying what I thought would happen.
Today’s deal on the table that Johnson is pushing hard for does not include funding for Ukraine, Israel, or the border.
So, don’t be surprised if the ultimate total hits or exceeds $1.8 trillion.
What a fiscal clown show. Not only that, it’s a Republican clown show. Anyone disagree with me now?
Vote Democrat or Republican. Hasten our demise.
Mike Johnson is a nasty degenerate bigot. the kind that picnics watching a lynching
– House Speaker Mike Johnson (R., La.) said that he was sticking for now with a budget deal he struck with Senate Majority Leader Chuck Schumer
> “For Now” being the key words. Not a bad overall deal, and much better than any recent deal for sure, because there is NO CR! We Do Not Want a CR. Anything but a CR. They get a blank check with a CR!
– Military spending for all of fiscal 2024 would total $850 billion, well below the $886 billion specified by the top-line agreement.
> Wow! A whole whopping 36B clawed back. What a disaster… NOT!
– It would also mandate deep cuts in nonmilitary spending, which Democrats oppose.
> More cuts!! Cuts are good where and when you can get them, and especially when you ONLY HOLD 1 of 3 pillars.
– If Republicans really wanted to do something good for the budget (they don’t as a class), they would doo a full-year continuing resolution that would make actual cuts across the board, military and non-defense.
> No they wouldn’t. They would play the long game like they are doing. No CR under any circumstances! There is a great chance that a Republican will have the Presidency in 2024! They already have the house, and look to pick up more seats right now! There is now talk that the Senate looks possible as well. Even if we only get 2 of 3 we will be all set for 2024. I think a clean sweep is in the offering, and as such stay the course, and play the long game! If they lose 2 or 3 out of 3 then they are toast anyway…
Some CR Information:
– CR’s continue the level of funding from the prior year’s appropriations or the previously approved CR from the current year.
– A CR can include changes from the prior year’s budget, extend an expiring program authority, or provide a specific dollar amount of funding to a program during the CR.
– We looked at how three federal departments were impacted by CRs. Officials from HHS, USDA, and Education. They told us that CR’s have resulted in administrative inefficiencies and limited management options in areas such as hiring and travel for their agencies. For example:
– HHS officials said each time a CR is about to expire without another CR or final appropriation in place, they spend time planning and preparing for a potential shutdown rather than their regular responsibilities.
> The Government has had so many shut downs already, so if they are spending any time preparing for one, they should be fired immediately. Talk about digging a hole and filling it back up again!
– USDA officials said CR’s can slowdown or stop hiring activities.
> Um, you are requesting a damn CR, so should you be Hiring? JS…
– Education officials told us that travel funds may be inaccessible during a CR.
> Um, you are requesting a damn CR, so should you be Traveling? JS…
You just can’t make this stuff up…
Just to offer a contrary view, perhaps there was never any intention to cut – especially the border – and the McCarthy deal was a “cut” so he had to go. It’s all theatre.
“Trump had two full years to press for major changes and failed. Whose fault is that?”………..That was the fault of the Republicans, especially the House Speaker, a RINO, Paul Ryan. The Republicans held all three branches of
government When President Trump was elected, and they squanderd that opportunity, bercause RINOs like John McCain got scared when Democrat and the mainstream fraudulent media attacked President Trump with the lies and fraud that was “Russian Collusion. Here Again, Speaker Johnson is caving to the Left when he absolutely doesn’t have to. The House can put up border stipulations, and then they MUST hold the Democrats feet to the fire, and with the illegal immigration issue now polling at the number 2 position, right behind the Democrats failed economy, it has traction. Too many Republicans are scared of bad mainstream media print, but the mainstream media hates them and will abuse them no matter what they do, so they should do the right thing and bring the economy and illegal immigation to the forefront, it is a winner for them…………….Scared Republicans are as worthless as Leftist Democrats in solving America’s problems, getting rid of McCarthy was a great thing to do, he was a failure, and unfortunately Speaker Johnson is doing any better.
At least the Republicans have stopped Biden and the democrats from continuing to overpsend by the trillions with more insane spending such as student loan “forgiveness” cost shifting from private individuals to the taxpayers and never ending “green” energy waste. Governor Abbott of Texas has done more to prove the absolutely idiotic and irresponsible illegal border crossings allowed by democrat voters. Everyone with common sense knew there was not nearly enough housing for millions more people.
GOP is only concerned with deficits when a Dem is in WH, otherwise “deficits don’t matter”. They’d rather bitch about border security than pass bipartican act(s) to improve border security. trump sycophants in House will do anything to help keep him out of prison including using budget impass to crash the economy, trump is rooting for a recession/crash – whatever it takes to get around 91 felony charges.This yo-yo act will continue as long as mian stream GOPers value their portfolios over trumps prison avoidance.
No money for Israel and Ukraine : no problems. Lloyd Austin replenished Israel and
Ukraine from the DOD arsenal. New bombs ==> more jobs. Half a million to W. PA on top of the ten is a small price to be elected. Who will stop him : gov Josh Shapiro or senator Fetterman. PA population declined since 2021< 13M. The boomers have been moving to FL and Orange beach AL. In PA doctors feast on the elderly. PA is old. two millions on SNAP. Old farmers and 155mm have to be replaced. Fetterman is pro Israel/against Hamas. He isn’t against Palestinians.
S. Africa, Hamas DA, sued Israel for genocide. Hague ICJ court is about the BRICS against the west.
McCarthy garbage. Johnson garbage.
Next!
House Republicans must be the most pathetic House majority since this Republic exists. They have no idea what fiscal policy they want, and now they start to realize that they would have been better off with McCarthy.
He has no doubt asked god to save him. Lets watch what happens.
No money for Israel, Ukraine or any other country until the southern border is secure. Nobody gets through without a visa, Green Card or US Passport. After that we’ll talk.
I do not much care about a few tens of billions here or there in the budget battle. You know if Schumer and Hakeem Jeffries endorsed it immediately it is really bad
What will sink Johnson is if he caves on funding for Ukraine. If they send ANY more money to pay the US Supported Nazies there Johnson should be removed immediately
It interesting that $55 billion is now considered peanuts. It just goes to show how out of control government spending is.
And what do we get for all this reckless spending? We get: open boarders, crumbling infrastructure, endless wars, fraying social cohesion, schools that don’t work, expensive/shity healthcare, big cities that look like war zones, and a major economic catastrophe in the offing that will drive much of the middle class into poverty. Are we to believe that if only these scoundrels cooperate and pass more rotten legislation, it will all be okay?
“Are we to believe that if only these scoundrels cooperate and pass more rotten legislation, it will all be okay?”
That’s what the Indoctrinati keeps falling for. Over and over again. No different from Argentina.
Of course, in reality, there is simply not one single redeeming feature left of the once-was US which is worth even attempting to save. Not one. But fat chance the indoctrinati figuring that one out. Instead of mindlessly clinging to whatever nonsense about “saving the syyyyystem” and “we’re the best country” that whomever they are told will be their next Peron in Shining Trillion Dollar Armor keep telling them to mindlessly regurgitate. All while absolutely all and everything crumbles around them, and they themselves are reduced to live in squalor even North Koreans would not accept.
Wow! 55 billion is 0.2% of the US GDP. It does sound like peanuts when you look at it that way.
GDP….a more that 50% chimera created and paid for by the government, raising the ‘real’ debt/GDP ratio to a whopping 200% disaster…. Evwythin’ s jus’ fine in the western lands of Oz !
$55 billion is $150 per capita. $600 for a family of 4. Squandered for no purpose.
No purpose? That depends on what the purpose is. If it is for money for Hamas, then it is squandered. If it is for Ukraine, then it is for good use.
“If it is for money for Hamas, then it is squandered. If it is for Ukraine, then it is for good use.”
Just because I arbitrarily say so…..
New sh!t show is pretty much the same as the old sh!tshow. Just a different clown and a different week.
“What a fiscal clown show. Not only that, it’s a Republican clown show. Anyone disagree with me now?” — well said!
McCarthy has practically loaded a firearm in his sleep, taken off safety, and handed it to the FC daring them to shoot the GOP in the foot. Anyone with sense in their brains most likely predicts the FC will dutifully shoot the GOP in the foot, rather than make some form of compromises. This is US politics, after all.
HR strikes back. HR cut Citi’s 20K. Googl cut hardware engineers. In deflation income is up, but full time and part time wages earn only 70%/80% of the previous income. The Fed controls the long duration. The Fed spikes the o/n market. If the long duration is under the CPI long term debt deflate.
Will regime media be forced into deploying their, “dysfunctional Congress” euphemism again if the beltway’s tax largesse demands are threatened for a few hours? Government shutdown chaos seems to be good for the citizenry but bad for the beltway. What’s irresponsible is not defending your own borders while obsessing over everyone else’s across the globe…
If they cut that $1.66b spending bill to $0 would that even balance the budget? That’s how bad things are. Back of hand calculation, if you wall off social security and medicare, which have their own funding mechanism, and assume interest on debt will be paid, then the rest of the government including defense would need to be cut by 75% to balance the budget.
And that still requires massive indirect transfers in the form of debasement driven artificially low interest rates.
Of course: “Walling off” arbitrary, unaffordable drivel, is just as silly as the rest of the childbrain games. The US Federal government IS insolvent. Hence should, for the betterment of all Americans not directly profiteering from the theft rackets, be liquidated wholesale: Social security, carrier groups and all the rest (perhaps remove the nuclear bits before shipping the scraps to the highest bidder..).
Just as has been the case everywhere else it has been tried: Totalitarian socialism failed here as well. Keeping it’s remains propped up as some sort of world’s-largest-zombie-organization effigy, does nothing but cause undifferentiated harm to both Americans and the world at large.
Mike Johnson might send the Dow to 43K/45K. Biden go home. From the river to the sea. If Biden settles half a million Palestinian refugees in Fetterman & Trump territory, in W. PA, ==> Gen Z might vote for him.