House Debates Best Path Forward on the Budget
On May 10, 2012, the full United States House of Representatives passed a bill (H.R. 5652) that would replace automatic across-the-board cuts scheduled for January of next year with a package of alternative spending cuts. Congressman Todd Platts voted against H.R. 5652, preferring an alternative budget debated last month (see April E-Newsletter).
“The federal government is incurring unsustainable levels of debt. We are borrowing 40 cents for every dollar we spend. Congress must act to reverse the current trajectory of debt,” said Rep. Platts. “At the same time, Congress must protect the vital programs upon which working Americans, senior citizens, and at-risk children depend.”
Rep. Platts stated that many items in H.R. 5652 made sense, but that some cuts were unjustified. In particular, he cited a provision in H.R. 5652 which would eliminate a block grant that provides social services to the poor, including Meals on Wheels, day care for children and the disabled, transitional housing, and transportation services. He also noted that H.R. 5652 contained large reductions in spending on the Supplemental Nutrition Assistance Program (SNAP), while leaving untouched subsidies for large corporate farms. Finally, Rep. Platts stated that federal workforce attrition would be a fairer way to save money on government operations than H.R. 5652’s approach of increasing retirement costs on current workers.
The full House passed H.R. 5652 by a vote of 218-199. The bill is not expected to pass the Senate. “It is critically important that Congress now work together on a budget that reduces spending, preserves essential services, and spurs job creation,” Rep. Platts concluded.
Web Page Highlights
House Votes to Repeal Rationing, Enact Medical Malpractice Reform
On March 22, 2012, the House voted to pass the Protecting Access to Health Care Act (H.R. 5). Congressman Platts voted in favor of H.R. 5.
Part of the new health care law – which Congressman Platts voted against in 2010, but which was signed into law by President Obama – establishes an Independent Payment Advisory Board (IPAB) to cut costs in the Medicare program. The board is unelected, consisting of 15 individuals appointed by the President. There is no appeals process for the decisions made by the IPAB, nor are there checks-and-balances to ensure accountability. Concerns have been raised that the structure of the IPAB will result over time in the rationing of health care services for seniors.
H.R. 5 would repeal the IPAB. As an alternative means of controlling health care costs, H.R. 5 would instead enact medical malpractice reform. In part, H.R. 5 limits non-economic damages to $250,000; generally limits punitive damages to no more than twice economic damages; and, limits contingency fees for attorneys to no more than 40% of the total amount awarded.
H.R. 5 passed the full House by a vote of 223-181. The legislation is now pending in the Senate.
Web Page Highlights (www.house.gov/platts)
Opening Statement on Closing the Tax Gap On April 19, 2012, the Subcommittee on Government Organization Efficiency, and Financial Management (chaired by U.S. Congressman Todd Platts) held a hearing entitled, “Problems at the Internal Revenue Service: Closing the Tax Gap and Preventing Identity Theft.” Congressman Platts’ opening statement is posted to the web site. (http://www.house.gov/apps/list/speech/pa19_platts/st_closing_tax_gap_041912.shtml )
Other Key Votes
The following is a list of some additional key votes taken by the United States House of Representatives in recent weeks:
Violence Against Women Act (H.R. 4970)
The House voted 222-205 to pass legislation (H.R. 4970) to reauthorize a law that funds programs to assist the victims of domestic abuse, rape, and stalking. Critics of the measure argued that it rolled back protections for women in key areas. Rep. Platts voted against H.R. 4970.
Small Business Tax Cut Act (H.R. 9)
The House voted 235-173 to pass legislation (H.R. 9) which would allow businesses with less than 500 employees to deduct up to 20% of their income from their taxes in 2010 and 2011. Proponents argued that the measure would help provide a temporary boost to the economy, especially since small businesses generate most new jobs. Rep. Platts voted in favor of H.R. 9.
Interest Rate Reduction Act (H.R. 4628)
The House voted 215-195 to halt an increase in student loan interest rates scheduled to take place on June 30, 2013. If Congress does not act, the rate will double from 3.4% to 6.8% at a time that many recent graduates are having trouble finding work. The cost of halting the increase in interest rates would be offset by repealing part of the new health care law. Rep. Platts voted in favor of H.R. 4628.
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