Pence warns of entitlement and debt 'iceberg' sinking US in break with Trump

Ryan King

March 21, 07:00 PM March 21, 07:00 PM

Former Vice President Mike Pence struck a dire tone about the looming threats of insolvency in Medicare and Social Security while blasting politicians who shy away from reform.

Warning about an impending debt crisis, Pence argued that the longer Congress waits to act, the worse the outlook will become. He argued that there are ways of remedying entitlement programs with "compassionate reforms" that will "give younger Americans a better deal."

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"We often hear that Medicare is just five years away from insolvency, Social Security's 10 years away, but that's just the tip of the iceberg," Pence said. "That's only the beginning of a debt crisis that your generation will face. If this generation doesn't face it today, that iceberg could sink American prosperity by the time you reach my age."

Refraining from detailing or providing too many specifics on how he'd tackle entitlement reform, Pence noted that it's a dicey political issue to address in a speech that reflected on the outlook for future generations.

"In 30 years, Americans will be faced with either cutting programs that seniors depend on at the point of the need or doubling middle-class taxes and crushing our economy under a taxation system that would look more like European taxes than our own," Pence fretted.

His remarks came during a featured address at an event for Washington and Lee University's Mock Convention, a 115-year custom in which students gather to predict who the nominee will become for the party out of power. They have successfully predicted the Republican nominee for over 70 years in a row.

Pence has previously beckoned his party not to shy away from entitlement reform, warning that both Social Security and Medicare are projected to run into insolvency.

Entitlements have emerged as a key flashpoint in the budding 2024 brawl. President Joe Biden, who has yet to declare his 2024 campaign, has pummeled the GOP on entitlements, chiding that "their dream is to cut Social Security and Medicare" and vowing to be their "nightmare" on that issue.

"Joe Biden's policy is insolvency," Pence contended during his address. "The American people deserve to know that President Biden won't even discuss commonsense reforms of Social Security and Medicare."

Republicans have increasingly balked at the prospect of venturing into the political minefield of entitlements. House Speaker Kevin McCarthy (R-CA) has deemed Medicare and Social Security off the table during debt ceiling negotiations. Republican National Committee Chairwoman Ronna McDaniel has conveyed a similar sentiment as well.

"Too many leaders in my political party take the same position. But that's just not acceptable. Now, if that frustrates you, good. It should because it'll be your generation that's robbed of your dreams and opportunities," Pence said.

Former President Donald Trump has drawn battle lines with his 2024 foes on entitlement reform, illustrating a schism within the GOP.

“Under no circumstances should Republicans vote to cut a single penny from Medicare or Social Security to help pay for Joe Biden’s reckless spending spree, which is more reckless than anybody’s ever done or had in the history of our country,” Trump proclaimed in a Truth Social video in January.

Other 2024 aspirants, such as former U.N. Ambassador Nikki Haley, who launched her campaign in February, have been more receptive to entitlement reform. Haley, who has made paring back the federal "spending binge" a core tenet of her campaign, has underscored that she won't "take from anyone that's been promised" but is keen on keeping programs solvent.

Last week, Pence stopped in New Hampshire and Iowa, key early primary states.

Pence is currently running in third place in a hypothetical GOP primary, per the latest RealClearPolitics polling aggregate. He previously indicated he and his wife are "continuing to give prayerful consideration to entering the race" and eye spring as a timeline for a decision.

Biden goes to war against Freedom Caucus ahead of debt ceiling showdown

Naomi Lim

March 15, 05:57 AM March 15, 06:20 AM

President Joe Biden has a new boogeyman as he and congressional Republicans draw their political battle lines over the 2024 budget and debt ceiling.

But as Sen. Rick Scott (R-FL) did before it, the House Freedom Caucus is defending its budget against a well-coordinated attack as the country contends with the prospect of a default this summer.

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When it comes to being honest with the public, Biden "never fails to fail," according to House Freedom Caucus Chairman Scott Perry (R-PA) of his influential group's "budget," which, more accurately, summarizes its negotiation demands.

"Confronted with his abysmal economic record and doubling down on his crippling spending proposals, Biden goes right to another fear and smear campaign," Perry told the Washington Examiner. "For him to fearmonger using firefighters, police officers, and healthcare as his pawns is a disgusting and disingenuous distraction from the real issues facing American families and job creators.”

The House Freedom Caucus and Perry have at least one partner in the Senate: Scott. Biden, in addition to some Republicans, has spent the past year criticizing Scott for his "Rescue America" plan, a response to Biden's "American Rescue" framework, which originally pitched reauthorizing federal laws every five years. Biden responded by saying this would regularly put Social Security and Medicare on the chopping block. In reaction to the scrutiny, Scott edited his website to read that the reauthorization provision "was never intended to apply to Social Security, Medicare, or the U.S. Navy."

"We need to bring fiscal sanity back to Washington and I’m standing with my colleagues in the House who are showing that they give a damn about this country and will fight to fix it," the senator wrote in a statement Tuesday. "The debt ceiling is our opportunity to get something done and we cannot squander it by caving to the reckless and dangerous wishes of Biden and the Democrats.”

But Perry and Scott have not dissuaded Biden and Democrats from undermining the House Freedom Caucus's budget, particularly in the absence of a formal counteroffer from the House Budget Committee Republicans, which is expected later this spring.

Denouncing the House Freedom Caucus's budget, which, among other ideas, seeks to reintroduce “Clinton-era work requirements on welfare programs," overlooks how many members will be able to raise money off of Biden and Democrats' complaints. At the same time, they hope condemning the 45 lawmakers will pressure House Speaker Kevin McCarthy (R-CA) to deal with them on the debt ceiling, at a minimum.

The House Freedom Caucus's budget "speaks" to McCarthy's "political weakness," according to one senior Democratic official.

"He essentially sold his soul to win over the speakership to the likes of Marjorie Taylor Greene, and Matt Gaetz, and Scott Perry, and all of these people, like Chip Roy, people who, at the end of the day, they feel, rightfully, can flex political muscles on the speaker of the house," he said.

For the official, the budget and debt ceiling "are intrinsically linked" to the 2024 election cycle, with Biden having "a positive, affirmative case to make," while Republicans "cannot figure out what they want to cut the most." For instance, Republican presidential candidate Nikki Haley and speculated White House hopeful Mike Pence have endorsed Social Security and Medicare reductions on the campaign trail, he added.

"These things all go hand in hand, and what House Republicans, Senate Republicans are demonstrating to the American people is that if Republicans have the White House, if Republicans gain control, these are the priorities that they will have that are just wildly out of step with what voters are looking for and what families are looking for from their government," he said.

Biden reiterated how budgets reflect values during a fundraiser Monday night after releasing his almost $7 trillion request last week. In that document, Biden repeated his support for an expanded child tax credit, a universal $35 insulin price cap, and a 12-week national paid family and medical leave program, as well as a 25% billionaires minimum tax, a 28% corporate tax, and a 4% stock buyback tax.

Biden asserted Monday that the House Freedom Caucus represents "the extremes" and its budget would decrease veterans benefits, but "it won't cut subsidies for Big Pharma" or the deficit.

"They're not the majority, but they will be able to, I think, in [the] House, be able to be successful in terms of what they're going to do," he said. "What we're going to do is make sure that they have to make their case. ... Look, the stakes are too high for our economy, for our democracy, for our standing in the world. And I intend to build on the progress and finish the job we set out to do."

White House Office of Management and Budget Director Shalanda Young, in addition to top spokespeople from White House communications director Ben LaBolt, press secretary Karine Jean-Pierre, and deputy press secretary Andrew Bates, has amplified Biden's message. In a Tuesday memo, for example, Bates emphasized how the House Freedom Caucus aims to dismantle the Inflation Reduction Act's manufacturing and energy initiatives. Young has also accused the group of "playing politics with the full faith and credit of the United States."

"When it comes to spending and what the appropriate level is, this president's happy to talk to anyone," she told CNN last weekend. "As a matter of fact, we funded the government on a bipartisan basis in December. Let's do it again. But let's not hold the debt ceiling hostage to really draconian cuts, all to help the wealthiest in this country, which we saw released by the Freedom Caucus.”