Yesterday, Robert Costa of the National Review interviewed Leader Cantor on his position in the ongoing negotiations over the President’s request to increase the nation’s debt limit. As Leader Cantor said: “The path ahead is for us to focus on delivering a result. We will see a balanced-budget amendment come to the floor when we come back next week…I remain focused on trying to meet the objectives that we are trying to achieve in the House.” Next week the House Republicans will bring the Cut, Cap and Balance bill to the floor, which is our balanced approach to begin to manage down our debt and deficit, get this economy growing, and give people confidence that we are changing the system in Washington.
Today In History: In 1903, the newly formed Ford Motor Company takes its first order from Chicago dentist Ernst Pfenning: an $850 two-cylinder Model A automobile with a tonneau (or backseat). The car, produced at Ford's plant on Mack Street (now Mack Avenue) in Detroit, was delivered to Dr. Pfenning just over a week later.
Birthdays: Rep. Ileana Ros-Lehtinen, Rep. Mac Thornberry, Paul Kane, MSNBC, Jesse Ventura, Brian Austin Green, and Kim Alexis
Here is what’s in today’s Ledger ...
State Of Play: Republicans Continue To Focus On Achieving Results By Balancing the Budget and Cutting Spending
Leader Cantor: Cut, Cap and Balance Will Come The Floor Next Week. “The path ahead is for us to focus on delivering a result,” he says. “We will see a balanced-budget amendment come to the floor when we come back next week. We’ll see about ‘Cut, cap, and balance,’ and where that lies in all of this,” he adds, in reference to the fiscal plan proposed by the Republican Study Committee. National Review
- Cantor: President Obama Continues To Walk Back The Cuts Agreed To In The Biden Negotiations. Cantor, who last month got frustrated and left the sessions, tells me that he thought Biden was smart in how he moderated the closed-door discussions. It was only when Democratic leaders began to complain about the cuts being proposed that he began to lose faith in the White House’s commitment to solving the problem with Republicans. “I’ve given the vice president credit and will continue to give him a lot of credit,” Cantor says. “He was able to keep apart philosophical differences and focus on how we can reduce spending. But after about six weeks, he began to hear marching orders from the other side of this building. They began to sound the alarm that the cuts had gone too far.” Since then, Cantor says, the discussions have gone downhill, with the White House chipping away at the cuts it had openly considered during the Biden meetings as parts of a possible debt-limit package. Coming out of the Biden talks, Cantor says, “I believed that we were at a $2.2, $2.3 trillion–type number, Well, the president said that he felt like we were more at $1.7, maybe $1.8 trillion if you massage it. Then, yesterday, after staff members met at the White House, we get a paper telling us that the number is barely at $1.4 trillion.” National Review
Leader Cantor Continues To Negotiate In Good Faith, Fight For The Largest Spending Cuts Possible. The biggest lie is that President Obama has agreed to savage cuts in spending while stubborn Republicans such as House Majority Leader Eric Cantor of Virginia refuse even to negotiate. That is simply false. Richmond Times-Dispatch
Blue Dogs Cower, Refuse To Push For The Necessary Spending Cuts. Moderate House Democrats, long presumed to be the linchpin voting bloc needed to seal a debt-limit deal, are watching the latest breakdown in negotiations and coming to a new conclusion: Don’t count on us. ... members who have defined their legislative careers as deal makers are in no mood for deal making is an index of just how intransigent the politics of the debt ceiling have become. Politico
The Road Ahead: 807 Days Have Passed Since Leader Reid and Senator Schumer Last Passed A Budget
Reid Resorts To Name Calling To Divert Attention From His Desire To Raise Taxes and Unwillingness To Cut Spending Or Pass A Budget. Partisan tensions over debt ceiling talks hit a new low Thursday with Senate Majority Leader Harry Reid (D-Nev.) and House Majority Leader Eric Cantor (R-Va.) trading barbs over each other's performances during recent White House meetings. .Reid appeared to start the brawl by calling Cantor "childish" on the Senate floor Thursday, saying Cantor isn't taking the risk of a debt default seriously. ... Cantor spokesman Brad Dayspring hit back at Reid. "It's not surprising that Harry Reid doesn't want to cut spending and wants to raise taxes with so many Americans out of work," he said. "This isn't a question about personalities — Eric, President Obama or Harry Reid — it's about doing what is right for the country and trying to find a productive solution that finally demonstrates Washington is serious about America's fiscal health." Roll Call
Reality Check: Even Democrats In The Senate Won’t Vote For Harry Reid’s Tax Hikes. If Democrats think it is a national priority to raise taxes to lower the deficit, why don't they take a stand in the Senate and do it? ... Instead, Mr. Reid continues to put any Democratic budget with tax increases in the deep freeze even as the party keeps saying the polls show that Americans support a tax hike as part of a debt plan. Why not go for it? The answer is Senator Reid can't rally his own caucus to get anywhere near 51 votes for a big tax increase. Even as President Obama and Mr. Reid continue to push for a closed-door bipartisan agreement to raise taxes, the only bipartisan consensus in the Senate on taxes right now is . . . against raising them. The Wall Street Journal
The Economy: President Obama’s Unprecedented Spending Spree and Refusal To Make The Necessary Cuts Puts The Nation’s Credit At Risk
The Obama Downgrade: After His Unprecedented Spending Binge, President Obama’s Resistance To Cutting Spending Puts America’s Credit Rating At Risk. Then came the Obama blowout, in league with Nancy Pelosi's Congress. With the recession as a rationale, Democrats consciously blew up the national balance sheet, lifting federal outlays to 25% in 2009, the highest level since 1945. (Even in 1946, with millions still in the military, spending was only 24.8% of GDP. In 1947 it fell to 14.8%.) Though the recession ended in June 2009, spending in 2010 stayed high at nearly 24%, and this year it is heading back toward 25%. ... The President is now claiming to have found fiscal virtue, but notice how hard he has fought House Republicans as they've sought to abate the spending boom. First he used the threat of a government shutdown to whittle the fiscal 2011 spending cuts down to very little. Then he invited Paul Ryan to sit in the front row for a speech while he called his House budget un-American. Now Mr. Obama is using the debt-ceiling debate as a battering ram not to control spending but to command a tax increase. We're told the White House list of immediate budget savings, the ones that matter most because they are enforceable by the current Congress, are negligible. His offer for immediate domestic nondefense discretionary cuts: $2 billion. The Wall Street Journal
Manufacturing In New York State Weakens. A gauge of manufacturing in New York State showed the sector unexpectedly contracted for the second month in a row as new orders worsened, while core inflation rose at its highest pace in three years. The pace of manufacturing decline did moderate somewhat in July from the month before, with the New York Fed's "Empire State" general business conditions index rising to minus 3.76 from minus 7.79 in June. However, it was still weaker than expected, since economists polled by Reuters had expected a reading of 4.50. Reuters
Off The Beaten Path
Redskins Can’t Sell Out
MLB All-Star Game TV Ratings Hit Record Low – Bloomberg
Cookie Monster Is Over Zombies – Wired