Dueling Stimulus Plans On Capitol Hill

After Bailing Out Wall Street, Members Of Congress Push Economic Relief For Main Street

(AP)  House Democrats and Republicans pushed dueling economic aid plans Monday as they jockeyed for political advantage on addressing a crisis that is shaping the last weeks of a high-stakes election.

Democrats scheduled hearings to consider a postelection stimulus package that could cost as much as $150 billion. Republicans, spooked by an issue that has damaged their presidential nominee John McCain as well as GOP House and Senate candidates, searched for traction in the debate, calling for more tax cuts and energy exploration to stabilize the economy.

Leaders of both parties appeared eager to pivot, three weeks from Election Day, from backing a $700 billion bailout for Wall Street firms, to advocating more economic aid for their constituents.

"We're at a time where we have to tighten our belt, take ourselves into survival mode," said House Speaker Nancy Pelosi, D-Calif., after a meeting with economic experts at the Capitol. "We plan to go forward expeditiously, but not hastily" after being "steamrolled" on the financial industry rescue.

Pelosi would not put a pricetag on the package, but she said it might have to be larger than a $61 billion bill that passed the House mostly along partisan lines last month but died in the Senate. She has said a plan costing $150 billion is needed.

Extending jobless benefits and spending federal money on infrastructure projects like roads and bridges, as well as sending food aid to the poor and money to states to pay their Medicaid bills, are "priorities," Pelosi said. She did not rule out sending another round of tax rebates to follow the $600-$1,200 checks most individuals and couples received through the stimulus package enacted in February.

In a letter to Pelosi, House Republican leader John Boehner of Ohio said he agreed "wholeheartedly that Congress should take additional measures to get our economy back on track, and we should not wait until January."

But Boehner said none of the Democrats' ideas would stabilize the economy, and called their approach "irresponsible." Republicans are instead calling for corporate and investment tax cuts, more energy exploration, and federally insuring 100 percent of bank transaction accounts, among other measures.

GOP leaders, who were initially planning to insist that Congress return before Nov. 4 to pass an aid package, scrapped that idea just before releasing their proposal. Kevin Smith, Boehner's spokesman, said the switch was made "to put a premium on the merits of the policy proposals we're putting forth."

The swift about-face highlighted the tricky politics Republicans are facing, as they work to show a sense of urgency on addressing economic woes that are largely associated with their own party's president.

It also pointed up a stark difference between congressional Democrats, who are coordinating with presidential nominee Barack Obama on the stimulus measure, and Republicans, who were pushing their own proposal even though McCain on Monday shelved plans to call for new tax cuts or other measures to bolster the economy.

Democrats, increasingly confident of capturing the White House and increasing their congressional majorities, could call Congress into a lame-duck session shortly after the elections to start work on a stimulus bill. That would allow the package to become law much sooner than it would if it had to wait the customary two months - sometimes longer - that it takes for a new Congress and new president to begin turning out legislation.

On the other hand, a postelection session might limit Democrats' ability to get what they want in a stimulus measure, since they would have to negotiate with President Bush, who's in office until January, and Senate Republicans, who could block it.

"Losing an election rarely has a good effect on one's personality. It doesn't generally make a person more agreeable," said Rep. Barney Frank, D-Mass., the Financial Services Committee chairman.

And Democrats signaled that their appetite for another bipartisan negotiation with the Bush administration and Republicans in Congress is waning.

Pelosi noted that bailout measure was a Republican idea - proposed by the Bush administration - pushed through with mostly Democratic votes.

"If it's going to happen that way, we might as well write the bill ourselves and do the right thing for the American people," she said.

[au_fait]

NO MORE TAX CUTS PERIOD.
What is wrong witht the GOP this is the same garbage that got us into this mess.
God they get dumber every day.
I repeat this warning to the hardliners if you do not moderate we the swing voters will moderate you. If you continue on this venture we will break you.
We must pay our debt borrow and spenders.

YES TAX CUTS ARE NEEDED!, But you place restrictions. You must bring youroverseas jobs back to the US. Most companies that can leave due to the high taxes the US gov''t charges. Lower taxes on that condition and keep taxes the same on our middle and lower class. More jobs means more taxes. The Dem''s do not understand the principle, tax the rich and they leave or move the money out of reach. I don''t blame them.

[docpeter1953]

The Republican plan is far superior and doesn''''t amount to a free cheese giveaway by a bunch of socialists. The Republican plan puts the money in the hands of the wealthy where it can be efficiently trickled down to the unclean masses.

Posted by paidGOPshill at 09:50 AM : Oct 14, 2008
________________

DANG GOP! You never fail to provide me with humor.

[jackp32]

Gee! Obama will get to preside over the demise of America. The Repubs want him to win the election because nothing can now stop the coming train wreck. The Repubs will rise from the ashes in 4 yrs., or maybe a viable third party will be born.

[jackp32]

Will Bill Ayers become President Obama''s Director of Homeland Security? How about Barney Frank as Sec. of the Treasury and Senator Dodd in charge of the mortgage bailout? Sounds good to me.

[navyjimfl]

The blood shed by men and women who fought for our country over the past two and a quarter centuries to keep all of us free was wasted on you, and for that you should be ashamed. They sacrificed their very lives to keep us free, but you would sell all of it and all of us out for socialized medicine and your preference for nationalized industries. John43218

bunch of BS grap above....The Irag war is Bush''s personal war and has nothing to do with 911.....the socialized medicine you are so afraid of can actually be a good thing for the millions of americans who need it and who swamp the local emergency rooms anyway.....socialized medicine works in countries like the UK, Canada and the Czech Republic.......no system is perfect but for a lot less than we are paying for a fool''s war we could provide all our citizens with health care......

[antoniof123]

1st year psych students could have a heyday with nancy

Posted by jamesm12341 at 08:50 AM : Oct 14, 2008

Physiatrists would have work for a lift time with you.

[antoniof123]

NO MORE TAX CUTS PERIOD.

What is wrong witht the GOP this is the same garbage that got us into this mess.

God they get dumber every day.

I repeat this warning to the hardliners if you do not moderate we the swing voters will moderate you. If you continue on this venture we will break you.

We must pay our debt borrow and spenders.

[checkthepast]

Why do so many people who hate America endorse this man?
Posted by john43218

Just read their post and you can figure it out.

[checkthepast]

urine trouble.
Posted by ibsteve2u

We have different views, but still that was pretty punny! You might have your prostrate checked though. ;)

[checkthepast]

A vote for Barack Obama is a vote for the demise of what this country has stood for since the Declaration of Independence was signed over 232 years ago.

Posted by john43218

AMEN JOHN!!!!