Posted on 08/03/2006 7:43:08 AM PDT by Reagan Man
When House members departed last weekend for summer vacation, they handed a painful choice to senators left behind in 100-degree Washington heat. The haughty Senate could either rubber-stamp two complicated bills passed by the House or face real-life consequences. When it took the former course, the Republican-controlled Congress again had abandoned conservative doctrine.
This abandonment bears the imprint of Rep. Bill Thomas, the domineering House Ways and Means Committee chairman, in his farewell congressional performance. He combined GOP-sought estate tax relief with the minimum wage increase long blocked by Republicans as job-killing wage fixing. In accepting this, Republican lawmakers cast doubt on what they really believe.
A lame-duck committee chairman overpowering Congress connotes weak leadership in both House and Senate and a president detached from legislative activity. As the summer break approached, Congress was going nowhere on immigration and lobbyist controls, and long ago gave up on Social Security and tax reform called for by President Bush. But non-passage of two bills would bring real-life consequences.
The first such bill dealt with private pension plans, now $450 billion in the hole. Missing a Sept. 13 deadline would mandate a federal bailout of two airlines, Northwest and Delta. The other measure is the "extenders bill," continuing some 40 expiring corporate tax breaks. Unless passed by the Sept. 15 tax deadline, many corporations must restate their earnings -- antagonizing executives as Republicans dun them for 2006 campaign contributions.
I first heard on July 12 that House Republicans were planning to merge minimum wage and estate tax legislation. Thomas last week combined them with the extenders bill. Arrogant, acerbic and authoritarian, the chairman was going out with a bravura performance (refusing to walk across the Capitol to meet with senators). Last week, senators cooled their heels for hours while waiting for Thomas and other House members to attend a meeting.
Sen. Charles Grassley, Thomas's counterpart as Senate Finance Committee chairman, was furious. He had planned to sweeten his pension bill with the popular extender measure. An enraged Grassley burst uninvited into a meeting of House Republican leaders. He and Thomas, long locked in mutual contempt, attacked each other face-to-face at a Thursday night meeting. But Grassley was undercut by Senate Majority Leader Bill Frist's support of Thomas's plan.
House Republican leaders next swallowed the 41 percent minimum wage hike -- under duress. Moderate Eastern and Midwestern House members, many threatened for re-election and embarrassed by failure to raise minimum wages, issued a ultimatum: Without the minimum wage, they would block scheduled House adjournment last Friday. The moderate tail again was wagging the conservative dog in the House.
Conservative Republican Reps. Mike Pence and Jeff Flake tried to soften the higher minimum wage's impact on small businesses by joining it with a plan to cut their health care costs. They were told this would be doomed in the Senate by the "Big Blues" (Blue Cross and Blue Shield).
"It's about time we increased the minimum wage!" Thomas told the House. That triggered instant conversion by Republican debaters, extolling the minimum wage as a positive good, with or without estate tax relief. When fellow Republicans tried to convince Pence that this was shrewd politics, the third-term congressman from Elwood, Ind., replied: "I didn't come here to pass wage controls." But only 20 other Republicans joined Pence and Flake in voting against Thomas's concoction. The consensus at a Senate Republican conference Monday was positive (though Grassley did not attend).
Thomas, the fabled legislative mechanic, added $3.9 billion over 10 years for the "abandoned mine lands" program to attract mining state Democrats (perhaps including Sen. Robert Byrd of West Virginia). He also put in the bill state and local tax deductions and writeoffs for higher education expenses, among other goodies. Earlier, the bill took on a timber tax break intended to snare Democratic Sen. Maria Cantwell, facing a vigorous re-election challenge in Washington state.
At this writing, it appears all this will pass the Senate untouched by week's end. But most Democrats are opposed, chiding Republicans that they embraced a higher minimum wage only if tied to the estate tax. Having abandoned its principles, the GOP can't even get credit from its opposition.
Once again, conservatism is smacked down.
And they wonder why they are going to lose seats this November?
As much as I despise the Dems, I really think the only way the Repubs will get the message that being "Liberals Light" is going to cost them.
And I guess better to do that in 2006 than in 2008.....
The degeneration of the Washington government is clear. No one can dispute that with any credibility. The things that are important to the people, who they are SUPPOSED to be working for, are of little interest to only a few remaining conservatives. The GOP is a total disappointment.
Bill Thomas has never had any "principles". I live in his district and am darn glad he is leaving.
Among those voting for the minimum wage increase - Pete Sessions. Appears he's decided to completely sell out to get a chance at the leadership. I can't wait to vote in November and kick these jerks out of office!
Since when ever have the democrats given credit to the GOP on anything, except for when they smear fellow Republicans? I am stuned after all these years people are shocked that the democrats act like they do.
Yeah, but unfortunately he has his poster boy in place for the November election.
Yeah I don't like him either. He is like Arnie....whichever way the wind blows. Say one thing, do another. ;(
Dropping the estate tax completely is going to allow many business owners to pass their companies to family members intact, rather than selling off pieces to pay this onerous tax.
Who says?
Many states have minimum wage levels which exceed the federal minimum wage anyway. That is certainly the case here in California, which accounts for a goodly percantage of our national GDP.
Also, without the bundling, it's unlikely estate tax reform would have passed, and it really is a good bill, in that it recognizes that general increases in real wealth and asset inflation have caused many basically middle class estates to be subject to the tax.
Besides, the Founders intended that our system work this way. They never expected that one party or faction would be so dominant that it could enforce its will on every issue. In fact, that result was one of there great fears. They designed our system of government to discourage single party rule and to encourage compromise between competing factions on different issues.
I hate to say it, and I would not have said it 2 months ago but it's looking more likely every day that we will be saying "Speaker Pelosi" in January.
But, the Pubbies have no one to blame but themselves.
They never expected that one party or faction would be so dominant that it could enforce its will on every issue. In fact, that result was one of there great fears. They designed our system of government to discourage single party rule and to encourage compromise between competing factions on different issues.
Needs repeating. Thanks!
That is correct. Only about 3-4% of workers are paid the minimum wage. Eliminating the estate tax will benefit the economy far more than a hike in the minimum wage will harm it. Again, we are hearing from conservatives who think politics is about imposing one's views. Politics by its very nature is compromise. If these conservatives don't like compromise than they ought to move up into the mountains and start "us-four-and-no-more" little communities, or move to Iran, not a bit of compromise there. If you live in a free society with another party of nearly equal size that does not share your ideology, you will inevitabley have to compromise and accept some of the opposition's positions.
Hopefully, this increase in the minimum wage will motivate more Americans to do the jobs that Americans don't want to do.
Now we need to find a way to start drilling in ANWR.
right on the money...another plus is, it takes away a RAT wedge issue for the campaigns & election.
Your post is convoluted. The estate tax, or death tax, should be abolished. Period. However, the proposed reductions in the death tax, should not have been linked to a raise in the minimum wage. The minimum wage deserves to stand on its own. The minimum wage is a significant factor in the economic functions and internal finances of America's small businesses. Truth is, any raise in the minimum wage hurts small businesses. The minmum wage was created by socialists and later spread throughout western societies. Its always been a tool in the arsenal of liberal social engineering. The GOP keeps advancing the Democrat agenda with crap like this and PresBush is responsible. The GOP Congresses leftward tilt in matters like this are directly attributed to Bush`s dumb strategy to take issues away from the Democrats. Thankfully this issue has been politicized to such an extent, it will probably be killed off in the Senate.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.