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We’ve seen firsthand that once people learn what is in this harmful tax and budget bill, they strongly oppose it. When they turn out and demonstrate their opposition, or call or write their member of Congress, that makes a difference.
As the big, ugly GOP budget bill moves through Congress, advocates for a fair economy are hitting the road. Two organizations—Fair Share America and Unrig Our Economy—are bringing experts and stakeholders on a “Stop the Billionaire Giveaway” bus tour to publicize the high stakes in this budget debate. After a kick-off on June 21, the bus will travel to 14 states, from New York to California, to rally the public against a bill that would do more to increase inequality than any other single piece of legislation in U.S. history.
To learn more about the strategy behind the tour, we spoke to Kristen Crowell, executive director of Fair Share America, who plans to be on the bus for the whole 4,000 miles.
Inequality.org: This is a tough organizing environment, with Republicans in control of the Senate, the House, and the White House. How will you give people hope about the chances of influencing this budget debate?
We’ve seen firsthand that once people learn what is in this harmful tax and budget bill, they strongly oppose it. When they turn out and demonstrate their opposition, or call or write their member of Congress, that makes a difference.
Over 50% of people who voted for President Donald Trump a mere eight months ago are opposed to the tax and budget plans in this bill.
For each stop on our bus tour, we have worked with state and local partners to organize rallies, a roundtable, or a similar public event where people can speak out, share their stories, and take part in a growing national movement to oppose this bill and advocate for fair budgets that pay for the things we need and don’t give trillions of our tax dollars away to the billionaire class.
We can still stop this bill.
Inequality.org: Tell us more about the people you’ve already heard from in various states. What are they saying?
Over the past couple of months, I’ve had the privilege of speaking to thousands of people at town hall meetings, while knocking on doors, and while hosting tele-town hall meetings where over 200,000 people joined our lines to hear about what is happening in Washington.
People are angry and afraid about losing the lifelines they and their families depend on and they are mobilizing to make sure their voices of opposition are heard. In many communities, their own GOP member of Congress won’t meet with them, which is infuriating. This is one of the reasons Fair Share America has created public forums for people to show up, learn the truth, and speak out. That’s what we’re continuing to do this summer with the bus tour and beyond.
Inequality.org: We’ve seen the polling on both sides. Some of the tax provisions like “no taxes on tips” are pretty popular. How are you getting the message across that this bill would not benefit most Americans?
Public polling has been consistent. Nearly 80% of the public is opposed to this bill once they learn about what’s in it. We see this mirrored in our canvassing efforts as well. The opposition even crosses the political spectrum. Over 50% of people who voted for President Donald Trump a mere eight months ago are opposed to the tax and budget plans in this bill. While there may be support for some individual provisions, when presented with the whole package, voters understand that these giveaways are skewed to the ultra-wealthy and benefit working people very little.
States will either have to slash services or raise local taxes to make up the loss in federal funds.
There’s also a ton in this bill that working people would lose: When people realize that nearly 16 million people would lose healthcare coverage their opposition strengthens even further. It is crystal clear: The public largely does not support this budget and will not be bought off with small crumbs while the ultra-rich would have huge financial gains.
Inequality.org: Many states are finalizing their own budgets this month. How can states expect the reconciliation bill to impact their budgets?
The GOP reconciliation bill would shift massive costs onto states in several ways that would blow a hole in carefully crafted state budgets. It includes historic new cost-sharing rules that would force states to cover the costs for SNAP. It imposes costly and burdensome paperwork requirements on states and people for Medicaid, significantly reducing the federal funding for the key healthcare program.
In addition to the direct loss of federal funding to the states, the bill also blocks states from raising their own funds for essential programs, targeting provider taxes which fund Medicaid and undercutting the municipal bond market which funds local schools, hospitals, and infrastructure projects. In short, the GOP budget blows a hole in states’ budgets and ties their hands on key issues, just to fund $1.1 trillion in tax handouts to the rich.
States will either have to slash services or raise local taxes to make up the loss in federal funds. Many are already planning for special legislative sessions should this harmful GOP Budget pass.
Inequality.org: You’re planning to be on the bus for the full three weeks of the tour. What’s one tip you can share about how to keep up your energy over all those miles?
Over the past several months, being with and among the American public as Fair Share America and our local partners have held events around the country has been one of the greatest privileges of my organizing career (you can read more about Kristen’s organizing background here).
Hitting the road this summer and getting to be with people who are scared and hurting but doing something powerful together to make change keeps me going. Several of my children will also be joining me on the bus during this tour, and I want to show them a strong example of what it means to stand up for our values. I’ve been working in the tax justice space for a long time and look forward to seeing old friends and new allies along the route. It truly will be one of the greatest months of my life. My love of strong, black coffee doesn’t hurt!
Learn more and sign up for updates about the “Stop the Billionaire Giveaway” bus tour.
House Speaker Nancy Pelosi may have helped temporarily avert a looming fiscal crisis on Monday by striking a budget deal with the Trump administration, but progressives warned the agreement hands Republicans power to kneecap the next president's agenda by suspending the debt ceiling until after the 2020 elections.
"You can almost hear Ted Cruz yelling on the floor of the Senate that Congress shouldn't raise the debt limit by one more dollar unless President Bernie Sanders promises to drop his demand for Medicare for All."
--Paul Blest, Splinter
The debt ceiling is the legislative limit on how much the federal government can borrow. If the ceiling is not raised, the U.S. would risk defaulting on its debts and potentially sparking a global financial crisis.
Former congressional staffers and other critics said that by agreeing to suspend the debt ceiling until 2021, Pelosi gave Senate Majority Leader Mitch McConnell (R-Ky.) the ability to extract massive spending cuts and other concessions from a Democratic president in exchange for raising the debt limit.
Paul Blest of Splinter wrote Tuesday that "if the eventual Democratic presidential nominee defeats Trump in 2020, this will be one of the things they have to deal with in their first year in office."
"If you really listen," Blest wrote, "you can almost hear [Texas Sen.] Ted Cruz yelling on the floor of the Senate that Congress shouldn't raise the debt limit by one more dollar unless President Bernie Sanders promises to drop his demand for Medicare for All."
In the lead-up to Pelosi's agreement with Treasury Secretary Steve Mnuchin, a number of commentators called for abolition of the debt ceiling, arguing it is an arbitrary and "absolutely insane" restriction that serves no legitimate purpose.
Citing a Democratic source close to the negotiations, Blest reported that "the possibility of ending the debt ceiling came up and 'interest was expressed,' [but] it was decided that it was 'too difficult' to do in this particular agreement."
"The biggest win of Pelosi's second stint as Speaker so far was holding the line on the government shutdown earlier this year," Blest wrote. "So, Pelosi knows how to use leverage; she just didn't push hard enough this time, for whatever reason."
Adam Jentleson, who served as deputy chief of staff to former Senate Democratic Leader Harry Reid, echoed Blest's fears about the budget deal in an interview with Bloomberg, which reported Tuesday that 2020 Democratic presidential candidates are "quietly expressing consternation" that the agreement could set them up for a disastrous first year in the White House.
"The timing of it really bugs me," said Jentleson. "It sets up a crisis of the first year of the next president's administration. We're letting them light the fuse on another bomb and place it squarely in the middle of the next president's first year in office."
The Democratic leadership, said Jentleson, handed Republicans--who are favored to hold the Senate in 2020--"a major weapon" to completely derail progressive agenda items that 2020 Democrats have placed at the center of their White House bids.
As Jentleson pointed out on Twitter, Republicans weaponized the debt ceiling against former President Barack Obama in 2011:
\u201cIn 2011 Republicans used the debt ceiling to cripple Obama and impose trillions in cuts. Today, Dem leaders agreed to lift the debt ceiling for the remainder of Trump\u2019s presidency but reimpose it in 2021, when Republicans could again use it to cripple a Democratic president.\u201d— Adam Jentleson (@Adam Jentleson) 1563834151
\u201cI\u2019ve been asking around for defenses of this deal and the main rationale being offered is that top Democrats don\u2019t think McConnell will weaponize the debt ceiling against a Democratic president in 2021. \n\nWe saw him block Garland with our own eyes.\n\nIt\u2019s as bad as it looks.\u201d— Adam Jentleson (@Adam Jentleson) 1563834151
Pelosi's agreement with Mnuchin--which President Donald Trump applauded in a series of tweets Monday night--must be approved by the House and Senate. The deal would lift spending limits by $320 billion and hand the Pentagon a $738 billion budget, a $22 billion increase from the previous year.
In a joint statement, Pelosi and Senate Minority Leader Chuck Schumer (D-N.Y.) hailed the agreement as a bipartisan compromise "that will enhance our national security and invest in middle class priorities that advance the health, financial security, and well-being of the American people."
Brian Fallon, executive director of progressive advocacy group Demand Justice and former aide to Schumer, was not as enthusiastic about the deal.
"It was fun for a while to debate whether the Democrat who beats Trump should focus on election reform or climate change in 2021," Fallon tweeted. "Now Republicans will make it a fight over lifting the debt ceiling."
"The negotiations over the debt ceiling clearly illustrate the asymmetry between the two parties," Fallon added. "GOP is happy to preserve the debt limit because they know Dems will never hang it over a GOP president's head. On other hand, GOP is happy to play chicken with it when a Dem is in office."
Following the end of the longest legislative session in state history, which dragged on an extra 23 days, Kansas Governor Sam Brownback on Tuesday signed a massive budget deal into law that includes a $384 million tax hike--mostly on the poor.
It's the largest tax increase ever introduced in the state, and more than half of it will come from sales tax and cigarette tax, which financial experts have long warned are regressive and punitive for low-income people as they force them to pay a larger percentage of their earnings than someone in a higher bracket.
The deal upholds many of the tax cuts Brownback introduced in 2012, which gave an annual $24,000 windfall to wealthy Kansans--which they will keep--but drove tax rates up for the poorest 20 percent of the state. It also cuts $50 million from the state budget.
Brownback went whole hog to convince lawmakers to pass the deal, including crying and calling legislators from his granddaughter's birth.
Kelly Davis, midwest regional director at the Institution on Taxation and Economic Policy, explained the deal thusly:
Early on in his tax-cutting frenzy, the Governor offered that Kansas was a "real live experiment" for other states in terms of showing the positive impact of supply-side economics. Those words have come back to haunt him and other supporters of trickle-down economic theories. If Kansas is an experiment, Friday's vote makes it clear that the experiment failed.
...Kansas's tax changes, even the provision that allegedly exempts 380,000 low-income people from income taxes, will do nothing to alter the fact that the Sunflower State earlier this year earned a spot on ITEP's "Terrible Ten" list because it has 9th most regressive tax structure in the country.
As the Kansas City Star points out, the higher sales taxes could backfire in border towns, as residents could simply cross state lines to do their shopping in neighboring Missouri, where the food tax will soon be five times lower.
The move is part of a trend of Republican-led states pushing tax schemes that exclusively benefit the rich and exclusively burden the poor.
The budget becomes law just months after Brownback signed into a law a controversial welfare bill that places strict limits on benefits and how they may be spent.