As we continue with the debate over how to move forward with the President’s request for a debt limit increase, House Republicans’ goals are clear: Any deal must include spending cuts equal to or greater than the increase, binding budget reforms, and no new taxes. With the current state of the economy, achieving these goals is that much more important. We must cut spending and begin to get our fiscal house in order to foster long-term growth without raising taxes on working families and the very small businesses we are counting on to create jobs. But the President and Congressional Democrats continue to demand tax hikes and are refusing to address our nation’s fiscal woes without them. The President has finally admitted that we need to address our insolvent entitlement programs and we agree with his prescriptions – we just can’t raise taxes to do so. It is time for the President to stop kowtowing to the liberal wing of his party and get serious so that we can move forward on a package that can garner 218 votes in the House of Representatives.
Looking down the road, we need to make changes that ensure that our country does not face these dire fiscal circumstances again, and next week, we will consider a balanced budget amendment. As Leader Cantor and Chairman Jordan wrote in this morning’s editorial, “House and Senate passage of the Balanced Budget Amendment will make reckless borrowing a thing of the past and will ensure that our children enjoy futures full of opportunity. Let Democrats and Republicans join together to do the right thing and make a real difference for the future.”
Today In History: In 1930, France defeats Mexico 4-1 and the United States defeats Belgium 3-0 in the first-ever World Cup football matches, played simultaneously in host city Montevideo, Uruguay. The World Cup has since become the world’s most watched sporting event.
Birthdays: Rep. Rob Bishop, Jack Kemp, Patrick Stewart, Harrison Ford, Cheech Marin, and Spud Webb
Here is what’s in today’s Ledger ...
State Of Play: Republicans Are Focused On Reforms To Get Our Fiscal House In Order
Op-Ed: Leader Cantor & RSC Chairman Jim Jordan: It’s Time To Get Serious About The Debt and Pass A Balanced Budget Amendment. Near-term spending cuts are necessary to alter the course, but they will not be enough without long-term changes. Likewise, promises of cuts 10 years from now mean little without a way to enforce them. The only way to truly guarantee delivery from future politicians is if the Constitution demands it. That's why the House will vote next Wednesday on a balanced budget amendment that would require supermajorities in both chambers to run a deficit, raise the debt ceiling, raise taxes and spend more than 18% of GDP. With the balanced budget movement gaining momentum, members of the spending lobby want to argue that Congress and the president already have the ability to control spending. Ability and discipline are not the same. If Washington actually had the discipline to live within its means over the long term, every American citizen would not owe $46,000 toward the national debt. USA Today
Leader Cantor: President Obama Should Release His Plan For Entitlements. After returning from White House talks Tuesday, House Majority Leader Eric Cantor said the White House should allow Congress to pass Obama’s entitlement reforms without including new revenue... “We both agree on entitlements,” Cantor said. “And in fact, we would both agree on what the president’s prescription for entitlement reform is, and we know what that is. So why don’t we do that?” Cantor said in an interview. Cantor said no other plan can pass the House. “Nothing can get through the House right now,” the Virginia Republican said. “Nothing.” Politico
- Cantor Demands Specifics On White House Entitlement Savings. House Majority Leader Eric Cantor (R-Va.) hectors Obama to come forward with the specifics of his promised proposals to cut entitlement benefits. (“The president ‘says he’s willing to . . . raise the age of eligibility in Medicare [from 65 to 67], he’s talked about his desire to increase or adjust the inflator for Social Security, which would reduce benefits in the out years for retirees,’ Cantor told reporters after his keynote address. ‘If he’s willing to do that, let’s see it. Because he keeps talking about it, but it’s always a speech; we don’t have any indication of where the details are.’ ”) The Washington Post
The Obama Economy: President Obama’s Policies Are Slowing Economic Growth, Private Sector Hiring
Trade Gap Widens – Economists Lower Growth Expectations. The U.S. notched its widest trade deficit in more than two and a half years in May as imports rose and exports declined, suggesting trade would provide less of a boost to second-quarter growth than previously expected. ... The deficit in international trade of goods and services jumped 15.1% to $50.2 billion in May from $43.6 billion a month earlier, the Commerce Department said Tuesday—the biggest gap since October 2008. ... Economists had forecast the trade deficit would widen, but by far less—and several said the news caused them to lower their estimates for second-quarter growth. Imports subtract from GDP—the sum of goods and services the country generates—because they substitute for American production. Macroeconomic Advisers lowered its forecast to 1.6% from 2%, while Goldman Sachs said the trade report increased the likelihood that GDP will come in lower than its 2% forecast. The government will report second-quarter GDP on July 29. The Wall Street Journal
The Downward Spiral: Small Business Hiring Continues To Slide. Hiring and the mood among small business owners continued their downward spiral, according to survey results from an industry group. The survey found that only 11% of small businesses expect to add jobs in the next three months, which is down from 13% in May, compared to 16% in April and 18% in March, according to the National Federation of Independent Business. CNN
President Obama’s Policies Are Impeding Economic Growth, Job Creation. Obama talked Monday of the need for compromise to reach a solution. That had to sound a hollow ring for Republicans who recall how Obama and the Democrats shunned bipartisanship as they jammed through Congress on a party-line vote their cherished goal of remaking American health care. Obama¬Care is not only unpopular with a huge swath of the electorate and constitutionally suspect, it foists on business massive new job-destroying regulations and costs. Add to that the Democrats’ other new regulations on business, the administration’s hostility to oil drilling and coal, the NLRB’s assault on Boeing’s new plant in right-to-work South Carolina, the NLRB’s heavy-handed promotion of union organizing, and the White House’s anti-business rhetoric against “fat cats” and “millionaires and billionaires.” Obama says the debt ceiling fight casts uncertainty for business, impeding economic growth. That sounds like buck-passing from the actual culprit — his own policies. The Chicago Sun-Times
Getting To Know The Freshmen
Steve Stivers: Rep. Steve Stivers represents Ohio’s 15th Congressional District and resides in Columbus, Ohio with his wife, Karen and 22-month-old daughter, Sarah; who just walked in her first 4th of July parade this month. Previous to serving in Congress he served in the State Senate and has served more than 26 years in the Army National Guard. He recently introduced the DEBT Contribution Act which clarifies payments made by taxpayers to reduce the public debt should be treated as charitable contributions for tax purposes. Little Known Facts: Most folks don’t know that Stivers is a twin and is most proud of the fact that he brought home safely every person who served in his battalion in Iraq during Operation Iraqi Freedom.
Off The Beaten Path
Orbital Outsourcing To Fill Space Shuttle Void – The Miami Herald
Coming To A Fair Near You ... The Maggot Melt – The Sacramento Bee
This Gator Means Business – The Sun