Obama Suggests He’ll Include Social Security, Medicare, and Medicaid Cuts in 2014 Budget Due in April

obama_cuts

Thanks to Susie Madrak and Joseph Cannon for catching this White House trial balloon–naturally floated right before a long holiday weekend. From The Wall Street Journal:

The White House is strongly considering including limits on entitlement benefits in its fiscal 2014 budget—a proposal it first offered Republicans in December. The move would be aimed in part at keeping alive bipartisan talks on a major budget deal.

Such a proposal could include steps that make many Democrats queasy, such as reductions in future Medicare, Medicaid and Social Security payments, but also items resisted by Republicans, such as higher taxes through limits on tax breaks, people close to the White House said.

These measures would come as President Barack Obama continues his courtship of the Senate GOP in an effort to thaw tax-and-spending talks. The White House’s delayed annual budget is scheduled to be released April 10, the same day Mr. Obama plans to dine with a group of Senate Republicans to discuss the budget and other issues….

People close to the White House believe a proposal to slow the growth rate of such benefits would use a variant of the Consumer Price Index to measure inflation. The new inflation indicator would cut overall spending by $130 billion, according to White House projections, and raise $100 billion in tax revenue by slowing the growth of tax brackets. The White House earlier called for an additional $800 billion or so in cuts on top of those resulting from the inflation adjustments.

“We and all of the groups engaged on this are starting to feel it may well be in the budget,” said Nancy LeaMond, executive vice president at AARP, an advocacy group for seniors that opposes such changes.

According to the WSJ article, the White House would “insist” that if cuts to safety net programs are included, the entire budget package would have to get an up or down vote. I’m not sure how they would enforce that.

From Susie’s post at Crooks and Liars:

Get your dialing fingers ready. There’s a reason they let this story out on Good Friday, they’re counting on you not noticing or being too busy to do anything about it. The White House switchboard is 202-456-1414, the comments line is 202-456-1111 (be prepared to hold) or you can email here.

ChainedCPI


14 Comments on “Obama Suggests He’ll Include Social Security, Medicare, and Medicaid Cuts in 2014 Budget Due in April”

  1. bostonboomer says:

    This is HUGE!

    The Grand Betrayal leaked on Good Friday. Assholes!

  2. bostonboomer says:

  3. Riverbird says:

    Thanks very much for the heads-up. I will post on Facebook and email the White House.

  4. prolixous says:

    What is strategically inane about this is, mark the date down because the Republican caucus is thinking about this as we speak, the House will pass a legislation incorporating each and every cut Obama will propose in his budget and then some without a cent of corresponding revenue. Strategically he will then be a position of “explaining” why those cuts are good in his budget and not good in the Republican budget.

    This whole move is so ludicrously stooopid — he might as well say, “Go ahead and put the entire Democratic caucus on the defensive.” Might as well call this “sequestration plus.”

  5. Delphyne says:

    2008 stretches into 2013 – he’s never been on the side of real people, he’s flipped on everything that liberals and progressives hold dear. People – regular people like you and I mean absolutely nothing to him.

    This POTUS can never to be trusted to be on the side of We, The People. Never.

  6. NW Luna says:

    Traitor. Politician of Many Colors. FDR is rolling in his grave now.

  7. Fannie says:

    I got a hot news tip for Obama, we are gonna do more than send emails and letters…………it’s time to March up to his door, and get in his face.

    Time to organize, I know lots of folks who are pissed at him for protecting monsanto……….people aren’t happy with this kind of crap, especially when we voted him in.

  8. Fredster says:

    Yeah, perfect that he does it on Good Friday. 👿

  9. dakinikat says:

    From Reich’s Facebook page:

    Robert Reich
    Word from my moles in the White House is the President will be calling for a “chained-CPI” for Social Security in his April 10 budget. That’s a lower inflation adjustment than currently — meaning future Social Security recipients will be getting far less than otherwise, especially when compounded over their retirement years. This makes no sense either politically or economically. Politically it’s absurd for the President to offer the Republicans a concession on the budget they haven’t even asked for, before bargaining has even begun, and which most Americans — who have paid into Social Security for years — will oppose. Economically it makes no sense because the typical senior spends 20 to 40 percent of his or her income on health care, whose costs have been rising far faster than inflation — meaning even the current inflation adjustment understates the true needs of seniors.

  10. Propertius says:

    You can dial the White House until your finger falls off, BB. You gave up the only real leverage you had in 2012 when you fell for the Obama FUD campaign.

    The deal is already done, he’s just paying off his real constituents.

    • bostonboomer says:

      Please. I’ve never had any leverage except as part of the mass of Americans. Who did you vote for–Romney? Or someone else who couldn’t win? Where’s your leverage?

      The Senate voted against cutting SS, Medicare, and Medicaid last week, you probably missed it. They’re not going to support something that 80% of voters are against. Even Republicans. Obama is out there on his limb all alone. He can’t do anything without Congress.