Senate GOP Offers Alternative Stimulus Plan

By: Brian Montopoli
Topics: Economy

(CBS)

Senate Republicans, led by John McCain, are offering up an alternative stimulus package to counter the Obama administration's stimulus plan, which was passed in the House of Representatives last week with no GOP support.

The total cost of the GOP plan, as laid out in the working draft linked below, is $713 billion – significantly less than the Obama administration's $800 billion-plus plan. The majority of the alternate plan, $430 billion, comes in the form of tax cuts. Republicans have criticised the Obama administration's plan as too reliant on spending.

This morning, McCain said "we're a long way away" from agreement on the plan. The president, by contrast, describes the differences between Republicans and Democrats as "very modest."

Senate Democrats need at least some GOP support since they are slightly shy of the 60 votes they would need to override a Republican filibuster.

To read the GOP's seven-page working draft, click here. (PDF)

UPDATE: The complete text of the stimulus bill is now available on the Senate Finance Committee site. Read it here> (PDF), if you have some time -- it presently clocks in at 736 pages. (This document combines the packages approved by both the Finance and Appropriations Committees.)

Brian Montopoli
Brian Montopoli is the senior political reporter at CBSNews.com.
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by Sharkdog2000 February 3, 2009 6:12 AM EST: "Too bad the Democrats didn''t demonstrate bipartisanship in their approach."

Seriously...how can any GOP supporter say that with a straight face. ''Coz the former administration was all about country over party? LOL, good one!!!; Reply to this comment


by Sharkdog2000 February 3, 2009 6:09 AM EST: Really? STILL sticking with the "tax-breaks" plan? Wasn''t the election enough of a clue for you? Stop with the kicking already! That idea, for anyone not keeping score, is the Mother of all "Redistribution of Wealth" plans - only it feeds up, not down. Not so fun when it''s coming out of your pockets, eh? Welcome to our last 8 years!!!; Reply to this comment


by cliffyworld February 3, 2009 3:28 AM EST: Please read the related article titled "Welcome to the U.S.S.A" posted at http://www.cliffyworld.com; Reply to this comment


by boatdocster February 3, 2009 2:04 AM EST: McSame''s 450 Billion in tax cuts for his rich buddies, at a time when we are looking at record deficits and record debt.

Only McSame and his shameless crew of stooges could buy off on this as good for America.

Banks won''t lend money, and when the USA is loosing 100,000 jobs a week, regular people (read not the super wealthy) will use that money for savings, to pay bills or other needs, not wants.

Too bad McSame and the GOP did not spent the 3-6 Trillion dollars here in the USA, instead of squandering it in Iraq over the last 8 years...; Reply to this comment


by baigge February 3, 2009 1:39 AM EST: Glad McCain & co. are at work doing constructive things for our country. Too bad the Democrats didn''t demonstrate bipartisanship in their approach.; Reply to this comment


by pmts2 February 3, 2009 12:36 AM EST: Mr. President,
I believe I can speak for every unemployed person in the country when I ask you to please include the suspension of Federal Income Tax on unemployment benefits for 2008 and 2009 to your stimulus plan. We promise not to spend the money in foreign lands on expensive vacations,or for extravegant remodeling of our homes which in many cases we are in danger of no longer owning. Thank you, and all our best hopes to you and your administration.; Reply to this comment


by velma179 February 2, 2009 11:03 PM EST: raflin0010,

Because of the economic situation unique to the time (1980''s) Reagan''s tax cuts had some effect. However, that was then and this is now.

Our economic situation is decidedly different - note: the whole world''s economic situation included, as we have become a far more interdependent planet.

Trickle down economics with the "cut taxes, cut taxes" mantra is not the best answer TODAY. Certainly, some tax incentive is appropriate - along with a big jump start to the economy that will be most effective with spending based stimulus.

The American people are required to be "in on" stimulating the economy through tax manipulation... but we are seeing a decided amount of fear moving this economy right now and people are terrified to let go of their money whether they get more from a tax credit or not.
Thus, we are in a crisis of confidence, for one.

The Republican''s have some good points regarding some of the items in the Democratic bill that could easily be shelved right now -- but doing their darndest to fight the plan by demanding the theories be followed that a whole lot of Americans said NO!to... with their votes... that is irresponsible.; Reply to this comment


by raflin0010 February 2, 2009 6:23 PM EST: The Republicans just can''t seem to grasp the fact that trickle-down DOES NOT WORK. It didn''t work under Reagan and it didn''t work under Bush, and it won''t work now. Besides, what good are tax cuts if banks won''t even extend loans for people to buy houses and cars?; Reply to this comment