Thank you!
Your support is sustaining the future of local news in our communities.

The Republican budget problem

Occasional Observer by Mac Gordon

For the past several weeks, House Republicans had been studying and debating proposals for the upcoming federal budget which is being taken up by both houses of Congress this month. The House Budget committee created a fifty page document showing potential cuts to the budget with estimated savings and costs for possible new additions.

The major cost items were for interest on the national debt, defense, Social Security, Medicare and Medicaid. Oh, and also the permanent extension of the giant 2017 tax cut. The budget committee’s hope was that the hundreds of smaller cuts minus the additions like not taxing tips or overtime pay would reach a target number that would not increase the National Debt more than a number to be agreed on by a majority of the members of the House and subsequently the Senate, currently two trillion dollars.
But strangely, none of the Republican leaders seemed ready to speak about the other major element in the budget that, by silent acceptance was to be left alone: the massive tax cuts that were set to expire at the end of the year and President Trump and all the rest of the leadership insisted be renewed.

The tax reductions were in two sections. The corporate tax had been reduced in 2017 as a permanent reduction from 35% to 21%. But Trump demanded that it be further reduced this year to 15% at a major additional cost. The proposal by the Finance Committee to extend the personal income tax and other miscellaneous additional tax cuts was estimated by the Budget Committee at $4.2 trillion! Where would they possibly find items in the budget to offset these enormous expenditures?

Proceeding on a totally different track but in certain respects toward the same goal was Elon Musk’s “Department of Government Efficiency," a not really legal entity created by Trump and run by Musk, to fire a large number of employees at most federal agencies. There is no record yet of how many civil servants have been dismissed and no record of plans for future terminations. While many cases are now in the courts challenging these dismissals, all of which were done with Trump’s blessing (but without legal justification), still no one seems to know where it will all end and when. Trump and his supporters have been trying to sell these acts as a necessary trimming of the federal budget. But as various observers have pointed out, government salaries make up less than 6% of the Federal budget and even if Trump and Musk were to fire half the federal workforce it would be nowhere near enough of a cost reduction to balance the federal budget. And the ruthless and thoughtless way the Musk team has been proceeding may well bring the whole federal government to a halt before the “Department of Government Efficiency” gets much further.

The most obvious place to find places to cut the budget would be in Social Security or health care. Yet recently Musk’s ‘DOGE” operation has reduced the already understaffed Social Security Administration workforce by 12% and Trump insists it be further cut to 50%.

Both Medicare and Medicaid are extremely popular; Medicaid exists primarily for the elderly and poorer part of the population serving over 70 million people. But now the House bill is calling for massive cuts in Medicaid. Almost everyone receiving Social Security feels they are already getting less than they deserve; any further cuts will make untold millions of people very angry.
Foolishly, the DOGE committee cut the budget for the long underfunded IRS where a significant increase in additional inspectors to audit high income taxpayers would yield several times the expense of hiring and training in previously uncollected taxes. But apprehending tax cheats has not been a high priority for Republican members of congress and with a government now more dominated than ever by billionaires this is unlikely to change anytime soon. But despite Musk‘s and Trump’s claims to the contrary, most Democrats see this cost cutting charade mostly as a strategy to cripple democracy and bring on totalitarian government.
The Republicans have arranged it so that the Senate vote on the budget bill will be a Special Reconciliation bill requiring only a majority to pass with no opportunity for a filibuster which would require a sixty vote majority to become law. Indications are that Senate Democrats will all vote against the bill if the tax cut section stays as planned. With a current 53 to 47 vote majority, the Republicans can still win the vote if no more than 3 of their party defect.

The income tax reduction that the Republicans insist on extending is heavily weighted in favor of the highest earners, with more than 40% of the entire amount going to the top 01%, a modest benefit for the simply “well to do” and very little for everyone else. As U.S. Senator Chris Murphy (D-Conn.) said recently: “If you’re in the top 1%, your average tax cut is about $70,000. Why do people making $600,000 a year need $70,000 while only a hundred bucks goes to everybody else?”

Architect and landscape designer Mac Gordon lives in Lakeville.

The views expressed here are not necessarily those of The Millerton News and The News does not support or oppose candidates for public office.

Latest News

Libraries, Town Halls open as cooling centers during heat wave

North East Town Hall will be open on Thursday, July 2, for people who need a cool place to sit and sip water. The Town Hall is located at 19 N. Maple Ave. in Millerton.

Photo by Aly Morrissey

Community cooling centers are opening across Dutchess County as extreme heat brings temperatures into the high 90s.

Many libraries, town halls and community facilities are serving as cooling centers, offering air-conditioned spaces, drinking water and restrooms. Temperatures are expected to reach triple digits in some areas of the county this week.

Keep ReadingShow less

The nature of Upstate Art Weekend

The nature of Upstate Art Weekend

On Thursday, June 25, a collection of eager art enthusiasts gathered at Olana State Historic Estate in Hudson to kick off the seventh annual Upstate Art Weekend (UAW).

Helen Toomer, founder, was joined by sculptors Ellen Harvey, Jean Shin and Gabriela Salazar to discuss their work and the legacy of painter Frederic Church. Church, whose 200th birthday is being celebrated this year, is widely credited as one of the founding members of the Hudson River School of painting. The discussion took place at Olana, Church’s grand estate, where the three artists’ installations are on view.

Keep ReadingShow less
google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.

Benjamin Reynaert and the art of layered living

Benjamin Reynaert

Jennifer Almquist
Creating a home is, at its core, an act of love.
— Benjamin Reynaert

Benjamin Reynaert is focused on creative direction and interior styling. He is market director at Elle Décor, a design consultant, and author of “The Layered Home: Inspiration for Crafting Cozy, Collected Rooms,” published this year by Clarkson Potter. He co-founded Ticking Tent, a market featuring antiques, luxury items and vintage treasures. The biannual event is held in New Preston, Connecticut, and Bedford, New York.

Adopted from South Korea at 3 months old, Reynaert grew up in Bloomfield Hills, Michigan. He always knew he wanted to be an artist. “I just loved drawing. I loved making things with clay,” he said. “Remembering what it felt like to be creative as kids and applying that to our creativity as adults is essential.” A graduate of the Rhode Island School of Design (RISD), where he earned a BFA and a degree in architecture, Reynaert also studied bookbinding in Rome. His attention to detail and aesthetic sense reflect years of training and a finely tuned eye for objects. “Attending RISD nurtured my creativity and taught me how to problem-solve,” he said.

Keep ReadingShow less
Beneath the surface: Delano Dunn and Mickalene Thomas explore history, memory and art

Mickalene Thomas and Delano Dunn at Wassaic Project.

Lucia Landolo

Before “Echoes in the Margin,” Delano Dunn’s new solo exhibition at Troutbeck in Amenia opened, the artist sat down with curator and artist Mickalene Thomas for a conversation at the Wassaic Project on Wednesday, June 24. Their wide-ranging discussion offered an intimate look into Dunn’s practice while situating the work within broader questions of history, memory and representation.

Presented by the Wassaic Project, the exhibition brings Dunn’s richly layered paintings into conversation with Troutbeck itself, the historic estate long associated with artists, writers and civil rights leaders, including W.E.B. Du Bois, Langston Hughes and many more.

Keep ReadingShow less
After a Hollywood career, Scott Siegler turns failure into fiction

Scott Siegler at his home in Sharon.

D.H. Callahan

Scott Siegler is bored of success stories. But Scott Siegler has had the kind of successful Hollywood career that people write books about.

Before he was 30, he’d earned three degrees. Before he moved to Hollywood, he’d already won an Emmy for one of the nine documentaries he directed and produced. Before he helped launch Netscape, bringing the Internet to the public, he’d already started his own Hollywood studio.

Keep ReadingShow less
google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.

google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.