Brinkmanship

Having failed to pass a reauthorization bill, Congress has only a few hours to extend the current law, which expires on Saturday. On Tuesday, however, the House failed to pass a 90-day extension to the law. On Wednesday, it failed to pass a 60-day extension to the law.

Supporters of an extension are are making all kinds of dire predictions of what will happen if the law isn’t extended: states won’t get federal dollars, so they will have to cancel or postpone projects, which will put people out of work, etc. No doubt these claims are exaggerated: states typically borrow money and eventually repay it with their share of federal formula funds. A delay of a few days is not going to make much of a difference.

Curiously, the main opponents of an extension are Democrats who are holding out for the House to support the Senate bill. But, as Ken Orski describes in two articles, the Senate bill is unsustainable and Congress will have to face budget shortfalls by raising taxes, increasing deficit spending, or reducing spending.

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The House needed support from Democrats because Speaker Boehner wanted to suspend the rules to quickly pass an extension, which requires a two-thirds vote. Having failed that, the House will try to pass an extension today without suspending the rules, which means having various committees quickly review and pass the bill.

Democrats have accused Republicans of “political games and brinkmanship,” but it seems it is really the Dems who are holding things up. If they can’t spend more than is available, they are going to make sure nothing is spent at all. There is a fundamental difference between the two parties that wasn’t visible when the 2005 bill was passed–at which time members of both parties were hungrily going for the pork–and that difference won’t be resolved until one party dominates both houses of Congress.

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About The Antiplanner

The Antiplanner is a forester and economist with more than fifty years of experience critiquing government land-use and transportation plans.

8 Responses to Brinkmanship

  1. C. P. Zilliacus says:

    The Antiplanner wrote:

    There is a fundamental difference between the two parties that wasn’t visible when the 2005 bill was passed–at which time members of both parties were hungrily going for the pork–and that difference won’t be resolved until one party dominates both houses of Congress.

    Funny how the Republic Party in Washington suddenly becomes the party of fiscal restraint when the President is a Democrat, but is happy to deficit-spend like drunken sailors if the President is from their own party.

    • craig says:

      I prefer both parties in power and gridlock with little or nothing getting done. When President Clinton and the Republicans clashed, they made President Clinton look like fiscal conservative.

      The republicans in Washington DC, have too many members that are big spenders. Like the Democrats, they seem to believe they can buy support or votes. I think there is something in the water, that they serve in the capital.

      • C. P. Zilliacus says:

        Craig, when the people in charge in Washington are funding things with taxpayer dollars and and loans from the Red Chinese that do nothing for the national interest except increase government spending (light and other passenger rail lines funded (at least in part) by the Federal Transit Administration are collectively Exhibit A), then I agree with you.

        But the national highway system, which we are still maintaining largely with federal and state motor fuel taxes, is something that every citizen depends on, even if they do not drive a private motor vehicle, and it needs constant improvement and repair, even as people that I respect (such as Randal and Gabriel Roth) have made strong cases that it should be funded in a different way, the highway network still needs that money on a daily basis – at least until those very same Congresspeople and the Administration agree to go in a different way.

        It’s interesting to note that the very same Republic Party politicians that are absolutely opposed to any increase in the motor fuel tax rate seem to get equally upset when it comes to funding highway construction and maintenance with tolls.

        Examples of GOP opposition to tolls and toll increases here, here, here, and here.

  2. LazyReader says:

    Republicans chant fiscal responsibility like it’s an eleventh commandment. The 2001 federal budget submitted by President Bush was 2 trillion dollars. Current budget is 3.7 trillion dollars. Even if you adjust for inflation that’s a lot more money. I don’t think any Republican politician in both Congress or the White House has successfully cut spending. It’s no wonder Congress doesn’t listen to the common man. They must think they’re special; just look at their surroundings. I visited The U.S. Capital building on tour. A building of marble columns and antique plaster, bronze busts and statues; all the while Congressmen give lectures on frugality. That place was a palace. Look at nearly any state capital building, it’s equally grandiose and ornate.

    • C. P. Zilliacus says:

      Lazy, the U.S. Government under George W. Bush and the Republic Party in charge on Capitol Hill presided over a true spending orgy, even as taxes were cut and deficits increased enormously.

      So I don’t believe claims about fiscal responsibility from that party.

  3. Sandy Teal says:

    Since “bringing home the pork” is important in many elections, Congress will always find a way to get this bill passed. But it is fun to watch the machinations they go through to get credit and avoid blame.

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