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Subscribe to RSSThe House narrowly passed on Friday the Interest Rate Reduction Act by a vote of 215-195 -- largely along party lines. The White House has already threatened to veto the legislation.
The bill, introduced by House Republicans, would postpone, for a year, the doubling of interest rates on student loans to 6.8 percent on July 1st. Those interest rates currently sit at 3.4 percent as a result of a five-year bill passed by Democrats in 2007.
The Republican's bill would offset the almost $6 billion price-tag for the year-long interest rate freeze by taking money from programs established by President Barack Obama's health care overhaul -- including those for prevention, wellness, and public health.
Democrats oppose that plan, saying they would rather pay for the bill by taking away subsidies for oil companies.
The legislation now goes to the Senate, which is expected to pass its own version in May. After that, both chambers will likely end up going to conference on the bill, to negotiate a way to fund the proposal that's amenable to both sides.
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The GOP knew it will be vetoed. And once again they waste the taxpayers time and money " VOTE THESE BUMS OUT" !
They wasted more of the tax payer’s time and money on a bill with a “pay for” that will never get accepted by the Senate or the Whitehouse. What is that now 70+ bills that will go never go anywhere? Back home the tax payers wonder why they are home/on vacation 1 of every 3 weeks.
Obama/Biden 2012
Clinton/ Villaraigosa 2016
The Weeper Part-Time Speaker always has to grandstand with faux outrage before he exits for vacation.
Disgusting behavior for a do nothing speaker!
GOP wants to pay for the student loans with money from another program amid at helping the poor and middle class. Isn't this CLASS WARFARE??Isn't this what they oppose. They want to reduce the debt/deficit but can't come up with a plan that comes up with money to help reduce it. Instead their plans are to take from one program and put back into another program. WHERE ARE THEY SAVING ANY MONEY???? Instead of getting money from the oil companies or the rich and wealthy people to off set the expects.
What has the GOP done over the past three years to help the economy??? And I don't mean passing some 30 bills that reduces regs or the EPA. I mean wants plans have they come up with that the DEM and the President would agree on??? NONE! All they want is to make Obama a one term president. Don't want to compromise with the other side on anything. And don't try and tell me the DEM or the President hasn't compromised. Just look at the votes in the House today. There was votes for and against the bill on both sides.
Clinton/ Villaraigosa 2016
Clinton, of course. I used to live in LA. Villaraigosa would be a great choice too.
derf and others on the left-- just saw a story from the LA Times that contains this paragraph regarding the source of funding the GOP is proposing to stop the increase on new (not existing) student loans:
More important, Congress has already cut $5 billion from this fund to help pay for this year's extension of unemployment benefits, reduced payroll taxes and higher fees for Medicare doctors -- with broad support from Democrats. And Obama's budget proposal this year proposed cutting $4 billion more from the fund by prioritizing investments. So even proponents of the healthcare reform law don't consider the fund sacrosanct.
Small Business Owner,
Unless his goal is to be Governor first and then run for President.
Obama/Biden 2012
Clinton/ Villaraigosa 2016
Once again Boehner, et al, have put yet another "poison pill" in the legislation of paying for the lower rates on student loans by robbing the ACA for preventative immunization and cancer screening. This is yet another attempt to make it look like they are the ones supporting students, and the evil Dems are the ones blocking efforts in Congress.
Unfortunately, those in the right-wing Echo Chamber and Cone of Silence of FOX Noise/Hate Radio, and those who don't pay much attention to politics may fall for the stunt.
This is more of the Republican plotting and planning the day of President Obama's inauguration -- The GOP plan to manufacture crisis and create gridlock causing voters to lose faith in government. The Teapublicans know their only chance of winning is to create fear and desperation in this country.
Those paying attention and getting facts from credible sources know better. We just need to get the truth out to as many folks as we can.
Patriot, did the Dems also rob the ACA with a poison pill when they used this SAME FUND to get money for unemployment and DOC fix money? I'm sure you said the same thing about the Democrats when they supported taking money out of it? Right? It's basically a slush fund and Obama has proposed taking more out of it. It's OK when he proposed taking money out of it, but now it is draconian when the R's propose to take money out. Imagine that huh?
BigATC -- Prove it with a credible source. Your tinfoil hat is on a little too tight.
The Dems wanted to pay for the payroll tax cuts, unemployment extension, and "doc fix" with savings from withdrawal from the Iraq war. It was the Teapublicans in the House who wanted to go after Medicare and ACA -- imagine that!
In regard to student loans:
Stop getting your misinformation from far-Right websites!
It was the OCO, overseas contingency operation, they wanted to take it from. Had bipartisan support for awhile until stuff started to get added in Senate proposals that killed it. They were starting to make it a mini stimulus raiding the OCO so the R's said no.
The far right document i found the Obama proposal to take 4.5 Billion from the Prevention and Public Health Fund (the above mentioned slush fund) was Obamas own 2013 Budget proposal. It's easy to find.
This fund is where with bipartisan support the doc fix and unemployment money came from.
If you remember the debate last summer over what ended up being i think an agreed to 50 Billion in cuts, this is the fund that 37 Billion of the so called cuts came from also. It was funny because the 37 Billion was "allocated" on paper, but never funded. Then it was "de-allocated" and bada-bing ....an instant 37 Billion in cuts. LOL I don't remember which party, or both, was implementing that math but it was confusing, while funny, while sad.
amenable to both sides? there's an oxymoron!
Subsides to oil companies - $5 billion
Taxes paid by oil companies - $5.7 billion
Net profits of oil companies - $30 billion
Figures for 2011. (rounded)
So who is more important? Someones widowed grandmother or oil company execs?
What is more important, Apple and Microsoft or someones widowed Grandmother. Thier profit margins are over twice as much as oil.
Can you point me to some data that shows how much they receive in subsidies?
I can't seem to find any hard data.
Frank,
oil companies dont get subsidies, they get tax deductions basically the same deductions as all businesses have.
Dont like tax deductions, then support a simplified flat tax system.
You clueless socialist, it is the oil companies' property, they earned it.
You cant steal it and give it away, Che Guevera style.
Well said Bob, I think some of the people on this left wing website are just plain crazy!!
Bob, I own a business.
I don't get credits or deductions based on "deepwater production royalty relief"--in other words, free royalties on my oil leases.
I don't get to deduct "intangible drilling costs" as current expenses rather than capitalizing those expenses--in other words spreading that writeoff over the life of the oil well.
I don't get to use "percentage depletion" whereby my deductions can EXCEED my investment.
Clueless socialist? You really don't know what you're talking about do you?
"Subsidies" is thrown around almost as loosely as "loopholes" ..... all the libbies refer to it like it's a sacred fact of life, no one and I mean NO ONE ...... clearly knows what in the hell they're talking about ..... but they are swallowing it anyway ! GULP !!!!! If Obama says it, we must believe it.
"Subsidies" includes exploration and research costs, a normal cost of doing business. Then there are "intangible drilling costs" which are a cost of doing business.
Would any libbie like to delve further into the truth about these so-called "subsidies" and why they are allowed as deductions in arriving at taxable income ? I didn't think so.
There you go Bob. You never get tired of getting smacked down or shown just how little you actually know, do you? Do your kids just how full of it you are? If not, they will soon.
You right wing nut jobs (i like to spell it out, looks so much better) are so devoid of fact or reality that you honestly do not know it.
Notice how none of you friggin' idiots have even attempted to provide information backed posts, only your stupid opions.
Frank H -- I presume you meant "stupid opinions" and not "stupid opions"? Before using stupid in a sentence you might want to proof read before posting.
Your numbers may be off. Please provide your source so that I can compare what you said to what I see on the web.
Frank, If we add $6 billion in taxes to the oil companies, who pays, we all do at the pump. The taxes just go into the price nof gasoline and it is that much higher.
Jim, you guys are probably all gone, but if an oil company gets to write off a bunch of stuff THIS year that everyone else has to capitalize over 5 (or 20) years, that's a subsidy. If an oil company gets "royalty relief" that mean they don't have to pay a royalty when they otherwise would have, that's a subsidy.
Bruce, actually, the price at the pump is market-driven. If the oil companies had to pay more tax, that would eat into their profit, not boost the price at the pump.
You'd think the so called "fiscal conservatives" would know something about the "fiscal" part.
SmBus Owner, The cost of gas is dependent upon a mixture of fixed and variable costs. The price of oil is ~ $104 per bbl and the wholesale price of gas is current ~$2.61 per gallon when it leaves the refinery. When the added tax/lower depletion write off or whatever you wish to call it is set by the government at $6 billion to offset a subsidy of student loans. It adds not to the variable costs but to fixed costs.
If the oil companies fixed cost goes up, they are still going to make $30 billion in net profits, the cost just goes up by $6 billion or about 6 pennies per gallon. Now if demand goes down in the world market (unlikely) API estimates that it will demand will go from 89 million bbl per day in 2012 to 91 million bbl per day in 2013; only then would the extra cost be offset by the lower demand and only then would the oil companies have to eat the $6 billion.
Taxes are embedded in the price of everything we buy. The average embedded tax is 22% including employer's payroll taxes and corporate income tax. Do you lower the profits on your small business to cover what you pay on your small business' income taxes or do you set your prices to cover all your expenses including income taxes?
If your cost of goods sold is driven by market forces to under the amount of your fixed costs and variable costs, you will lose money and eventually go out of business. The oil producers are likely to set a price floor before they allow themselves to be driven into losing money.
The point is if we tax something the consumer pays for it has embedded taxes within the cost, if we cut spending somewhere and there is plenty of waste to cut whether in the ACA, Dept of Ed or some other agency; then we save the taxpayer money.
Sm Bus Owner, Your description of the way a tax works sounds almost like Carter's windfall profits tax on oil. Is there a reason that we have not done a windfall profits tax, in over 30 years?
Did we perhaps create a disincentive for exploration, by taxing profits that we consider excessive there was no reason to find new oil and increase supply. As supply goes down and demand remains even (or increases) then prices will go up. The money from a windfall profits tax just goes to the government not the business.
Nothing is done to increase production in the future to hold down costs. I would rather have the oil companies have an incentive to produce at levels that could lower prices to $2.50 a gallon, even if they are making $30 billion in net profits;rather than charge $6 billion in windfall profits tax (that they cannot recoup) and have no incentive to move production to a level that supports lower prices.
GOP bast@rds!!
GOP bast@rds!!
Kay - Good job.. Thats what I call summing up the situation in two words or less..LOL
Obama/Biden - 2012
GOP rep 1: "...and the best part is, because those uppity peasants die young we save even more of that 'student loan' money and we don't have to send cops to them at those damn Occupy protests!"
GOP rep 2: "Guffaw haw haw! You're a genius, old chap!" *puffs cigar* "Send it Obie's way, let's have some fun!"
you guys need to look at other places for information, not just here at the democrat talking points site. The congress raided this same fund for tax savings and Obama is proposing further cuts in his DOA budget so the fund did not seem very important then.
just saw a story from the LA Times that contains this paragraph regarding the source of funding the GOP is proposing to stop the increase on new (not existing) student loans:
More important, Congress has already cut $5 billion from this fund to help pay for this year's extension of unemployment benefits, reduced payroll taxes and higher fees for Medicare doctors -- with broad support from Democrats. And Obama's budget proposal this year proposed cutting $4 billion more from the fund by prioritizing investments. So even proponents of the healthcare reform law don't consider the fund sacrosanct.
Kay>- My sentiments exactly. Kay, you have a talent for putting it so succinctly.
Oil companies get no subsidies....but the class warfare, anti capitalist zealots continue their War on the Private Sector.
L.O.L.
I agree. Its NOT subsidies. Its just welfare, for corporations that don't need it. But hey. Why not oppose welfare for the poor. Flipp Romney's Bud's need a few more houses, and a couple more offshore accounts for their silver spooned inbred offspring. :-)
"Its NOT subsidies. Its just welfare, for corporations that don't need it"
Wow, moonbats really are that stupid.
They dont know the difference between a tax and a subsidy.
They are just spoon fed the "hate the rich" mantra, and they eat it up like the lemmings they are.
Thankfully, we have Romney taking office in January. Can you imagine the damage Obama would do in a second term?
No. BUT. I can imagine what Flipp won't do. Make a decisive decision on anything. For such an accomplished "business man". He sure made one hell of a bad call on the auto industry. But then again. He probably shops in Paris anyway. American made products are beneath him. Romney's bumper sticker. Vote Romney, and I'll guarantee Europe will flourish. :-)
Leave it to the Republicans to screw over the American people. We as a nation must vote out this Republican Congress, because they are the worst ever.
Are we calling it something else now?
Hey Rocco, have you got that information yet? I 've got some more numbers I'm just itching to dump on you.
John Boehner ranting for the position of the cave-man coalition of Republican house-nuts derided President Obama for the fake-fighting over student loans. Those are the same student loan increases memorialized in the Ryan Budget Plan which the Republican house-nuts passed by a unanimous vote.
He then scampered into an official session of congress and got his house-nuts to approve the much needed student loan relief to be funded by cuts to programs that care for needier groups of people, thus turning a real fight into a great big fight.
No sense asking oil corporations making tens of billions to give up their four billion dollars subsidy. The house-nuts really believe there is someone out there that is buying this nonsense. Of course, Sean Hannity would approve of this. When the house-nuts wanted to deny funding for food programs for the needy, Sean Hannity trotted out his POW diet plan in support of the crazies! But all you normal people, Democrats, Republicans and independents alike take heart, our relief is coming in November!
They dont know the difference between a tax and a subsidy.
Apparently Corporate "Welfare". Is a tax? But "food stamps" is a hand out? So if its 125 dollars to a family to help buy food its welfare. But, 5+ billion tax free, is a Tax. Hmm. You're right. I don't get the logic. But then again, I'm just an ignorant voter, with amnesia. Romney 2012. Better known as Bush 2.0 Look out world economy! He's back! :-)
That is GREAT!
Putting the specific of oil companies aside, and looking at the "tax write offs" that all businesses are legally accorded, it would seem that you advocate the notion that if a business succeeds, it should be put under a different set of rules and laws than a business that runs poorly. (which kind of seems to be where the TARP and Stimulus money went) Anyway.....what you are failing to take into account is that successful businesses have larger payrolls, more people working to meet demands of the business, which should translate into fewer needing the $125 of grocery money in the form of food stamps
Sue, you are definitely right. The stimulus spent $400,000 for every job created. That is a lot of money wasted and not targeted where it could help the most.
New estimates show TARP may not be paid back in full when GM and Chrysler are taken into account. The only different outcome from TARP and bankruptcy was that Chapter 11 would have probably given the bondholder's (IRA's,401K's and institutional accounts such as pensions) more protection; whereas, Obama's TARP bailout gave the UAW more control and ownership.
No one is talking about cutting government programs from current levels. The Ryan plan slows growth in all government programs until revenues catch-up. The idea is tht we allow the private sector to grow jobs again and not be in fear of where the $2 trillion the have to invest may have to be spent (such as on the ACA). Then we add jobs, we add people to benefits such as health insurance and we decrease the need for programs such as food stamps (since a family earning $-0- from employment may be on food stamps and a family making $60000 or [$30000 for each partner] will not need food stamps).
Bruce,
[The stimulus spent $400,000 for every job created. That is a lot of money wasted and not targeted where it could help the most.]
Totally inaccurate – see where the stimulus dollars went:
http://www.recovery.gov/Transparency/fundingoverview/Pages/fundingbreakdown.aspx#ContractsGrantsLoans
Paul Ryan’s plan is dependent on an unemployment rate of 3% which our country has not scene in over 40 years – unrealistic at best. It also continues to borrow money for the next 27 years before it is balanced.
The only department that is not cut is Defense. As for Medicare there are several other ways to fix it without essentially privatizing it – voucher system.
The money is a slush fund set up on a health care law that is in waiting. Its the right way to go here. Don't buy into the crap of its going to take money out of care. Its in a slush fund right now. It is not being spent, its waiting. Take the money from oil incenteives will only drive up the cost of gas more.
And … When the ACA law is upheld and goes into effect, then where do the funds come from?
No – this is just another attempt to defund the law.
Obama/Biden 2012
Clinton/ Villaraigosa 2016
And I hope it works. And don't hold too tight on that "upheld" dream you have. I think the days of the "I can do what I want" are close to over. Witness the leaning of the SCOTUS on upholding the Arizona immigration law.
x
Its a slush. Just like the one from which he gave to Solyndra. This one is under the ACA. Which if you look at the current budget that does not exist, it has many of these funds. Which he has used for other projects.
Citation(s) Please
Obama/Biden 2012
Clinton/ Villaraigosa 2016
Stimulus. That is a slush fund. Obamacare is a slush fund based on stimulus money. What citations to you need.
Citation please !!
Obama/Biden 2012
Clinton/ Villaraigosa 2016
Dennis don't be such a dork. You do know that not even half of the stimulus money has been spent don't you? Where have you been the last 3+ years?
To quote MRWSR below:
Talk to,
All but $17 billion has been spent.
http://www.recovery.gov/Pages/default.aspx
Obama/Biden 2012
Clinton/ Villaraigosa 2016
Wrong Dennis. You have to look at the slush funds too. If you do that and add it up. You will come up with just over half is still out there.
And the key words Dennis are "paid out". Paid out includes "commitments" to the future usage. Not necessarily cashed in.
Dennis,
Clinton / Villaraigosa 2016? If you are serious and you want Clinton in 2016, pick a different VP. Villaraigosa will not pass the smell test.
Once again, provide proof (citation) that there are any slush funds because there are none.
Obama/Biden 2012
Clinton/ Villaraigosa 2016
Dennis I am not going to list them all. Obamacare would be the biggest. Just google government slush fund and look around. This is not a secret or a conspiracy. They have been around for a long time. There are hundreds.
It appears that the only way a student can pay off their student loans is to run for elected public service!! So!! I say to "Occupy Wall Street" Citizens, who are protesting, you can have employment by running for public office and once elected you can pay off your student loans. You see it is our elected public servants who have continue to receive higher economic salaries!! Just my thoughts!!
Its a slush. Just like the one from which he gave to Solyndra.
You do realize that the President has absolutely nothing he can do monetarily, unless "congress" approves it right? The congress controls the check book. Not the executive branch. I learned that back in tenth grade, some 30 yrs ago. Guess they can't afford to teach that class anymore in public schools. :-)
Yes, the congress did pass 3 stimulus packages, that created hundreds of slush funds. A democratic congress.
Do you really belive the slush funds were not put there to support his programs by congress.
Oh, they teach it allright, but only to the required consitution test, and promptly forgotten afterwards.....that is why everyone expects government to solve every single one of their problems in life, because nobody ever emphasized that the constitution and divisions of government exist to limit and inhibit the growth of government, so that the individual can exercise the greatest level of personal self determination.
I'd rather see investment in American industry any day, over doing absolutely nothing. Don't worry. GM and Chrysler are set to repay their "loans" by next year. With interest. So he recouped that pocket change. But hey, if Teapublicans no longer believe in the American worker, fine. Just quit bitching on the same tired subject. Most importantly, vote! If that is, you're living in a state that you have all the "proper" paper work. Lets not even go down the "constitutional" route. Ask those living under the Teapublican dictator in Michigan, about how they love the "constitution. :-)
What the hell are you ranting about, nothing you just posted makes sense.
What the hell are you ranting about, nothing you just posted makes sense.
Obviously you don't live in Michigan. And are as clueless as Flipp Romney. And it wasn't a rant. I don't rant. I simply state the facts. Which is probably why you can't understand it. :-)
Tell them to move to DC. They will fit right in.
Hagran,
You left the original point. Then started to ramble about, what I assume was the auto bailout, then saying the constitution does not work for the people in Michigan. Then a Romney remark.
Sorry, but you totally went off on a rant and I have no idea what that has to do with the original post.
Actually it was a loan to the auto industry. And again. You have no clue. But. Enjoy! I have to get ready to go to work. Something I'm still able to do thanks to our President. :-)
Thank me, I paid for it. It was a bailout and should not have happend.
The national government is the most important part of citizen's lives. A safe food supply can only be guaranteed nationally. Railroads and highways the same thing.
A highway system built and funded by states could not rationally exist. The roads wouldn't be contiguous, built to the same standards or funded to be finished at the same pace. More likely than not they would not line up at the state borders.
Someone told me that it was unfair that seniors had to pay for public school systems that they clearly will never use. I pointed out to the person complaining that his education had been funded by the seniors of the prior generation. These examples exist in every modern society.
Seniors paying for public schools? I barely get by on SS, and sweat it when my property tax bill comes every year. The major chunk goes to the local school district. My kids are grown. I do not begrudge one penny I pay.
You are spot on. I received an excellent K-12 public education because of my parents and grandparents looking ahead. I want this for the kids in my community now.
College is a different can of worms and I totally support Obama. When I went to college-way back- I only had to take out one student loan. For $1, 000. I went back to college part time, when still working, a few years ago and the tuition was staggering!
Thanks for your post. I expect to get slammed by the regular right wing posters. But oh well. They tend to creep out on the weekends.
Republicans are determined to ruin somebody's lives with each piece of legislation. This time they are after health care for women and babies, a mere "slush fund". These are the "You have no right to life" folks.
So now in order to help students keep the interest rates of there loans from doubling the Republicans are going after little pieces of the health care law, that won't thrown out anyway huh???!!! Man they're really looking to get run out of town real quick!!!!
The schizophrenic Democrats. The true party of NO.
But reading the comments here from the left I can see that, true to form, they have no idea what just occurred.
It is the party of NO we will not kick those least fortunate more in order to make the rich richer.
Obama and another one of his Gomer Pyles!
Typical of the Democrats. They cut the loan rate years ago just to have a fight for an election year. Now, when the republicans pass a bill to keep the loans at the present rate, the dumbocrats want to fight about it. Typical of the so called leadership that this so called president has supplied. The speaker was right yesterday when he said that the presidents job is the biggest in the world, but this clown in the white house has made it the smallest.
GOP always has to find a group of people they can kick down more in order to pass anything. But never will they raise taxes on the ultra wealthy. Why of course we can take away from cancer research, birth defects research, and immunizations for children! But we have to make sure the ultra rich can afford more houses, cars, yatchs, islands, jets, and jewelry.
Do you get headaches from being so uninformed, caused by the extreme vacuum in your head?
Typical comment from the right wing on a weekend. Very well thought out. Geesh.
How many times will you liberals go to the Robin Hood routine? Let's think this through. Cut subsidies to the oil companies. Where do you think the lack of subsidies will come from. Oh yes, they will raise prices and we will get even higher gas prices. It will cost us more to drive to work or vacations and it will cost more to get products, like groceries, to get to the market and their prices will go up. We all know that the rich are the only ones that drive or buy groceries and that the rich will pay all of the extra taxes.
I wonder why the right wingers come out on week ends. Duh, do they have jobs or something?
This just shows that the Republicans have the student's welfare at heart. For Obama to veto this will cost him hundreds of thousands of student votes.
He can't spin his way out of all his lies.
Obama shelved in 2012.