Congressional conservatives gird for battle with Biden over debt ceiling and spending

Samantha-Jo Roth

March 22, 05:42 PM March 22, 05:42 PM

House Freedom Caucus members and "Breakfast Club" senators held a rare joint news conference, chomping at the bit to start budget and debt limit work with President Joe Biden, with the deadline to raise the nation’s borrowing limit looming.

"We're ready to go right now," Rep. Scott Perry (R-PA), the House Freedom Caucus chairman, said during the press conference. "If the president wants to solve this, we're all here."

FREEDOM CAUCUS REVEALS LIST OF DEMANDS IN DEBT CEILING FIGHT AFTER BIDEN BUDGET RELEASED

The group recently released a blueprint for budget cuts as a condition for a vote to raise the debt limit. The exhaustive list of demands includes measures that would cut current spending and place a cap on future spending. It would also rescind unspent COVID-19 funds, end student loan bailout programs, and repeal increased funding for the Internal Revenue Service that was part of President Joe Biden’s Inflation Reduction Act.

“All we are saying is, 'Hey, let’s check under the couch cushions, maybe. Let’s see if we can find some money hanging around somewhere that doesn’t need to be spent on some wants and put it toward some actual needs of the federal government,'” said Rep. Michael Cloud (R-TX).

The White House called the House Freedom Caucus’s budget proposal a "five-alarm fire," arguing that its spending cuts would endanger the safety of the public. The Biden administration claims the proposal endangers public safety, raises costs for families, weakens national security, and hurts seniors. Democrats are also utilizing Congressional Budget Office analysis to argue that the Republican push for a balanced budget would impose devastating cuts to important federal programs.

WHITE HOUSE LAUNCHES MEDIA BLITZ AGAINST FREEDOM CAUCUS 'FIVE-ALARM' BUDGET PROPOSAL

“To the press secretary over at the White House, who said our plan is to create a five-alarm fire, you’re lying,” said Rep. Byron Donalds (R-FL). “I wish he would just take an economics course because spending money the way Joe Biden wants to, that is the five-alarm fire.”

A House budget resolution is expected to be delayed in order to allow for negotiations between Biden and House Speaker Kevin McCarthy (R-CA) on a debt limit increase in exchange for spending cuts, according to Roll Call. Biden continues to say he won’t negotiate conditions to raise the debt limit.

McCarthy and Biden met initially in February and agreed to keep the lines of communication open, but no further meetings have been scheduled. "Show us your plan" has become a rallying cry from Senate Majority Leader Chuck Schumer (D-NY) as he and other Democrats raise the specter of cuts to food stamps, Medicaid, and other federal programs. Schumer has even goaded Republicans by questioning whether the GOP wants to cut funding to veterans and first responders.

Lawmakers still have a couple months to work out a deal. The Congressional Budget Office estimates they have between June and September to find a resolution before the nation defaults on its bills.

“We need to stop getting into a position where they can hold us up to force us to pass an omnibus, or say they’re going to shut down everything. That’s wrong,” said Sen. Rick Scott (R-FL). “What the Freedom Caucus proposed is to stop this whole process where they hold this up and then get more and more spending.”

The looming debate will likely be one of McCarthy’s most difficult challenges as speaker as he attempts to negotiate with Biden without upsetting his right flank. After the chaos of the speaker’s election, members of the caucus are standing firm on their demands, firing a warning shot at the Biden administration.

“I’d like to remind Mr. Biden that America saw what the House Freedom Caucus is made of in January,” said Rep. Lauren Boebert (R-CO). “Lies don’t move us. Media coverage doesn’t move us. Attack ads don’t move us. Policy moves us.”

As the deadline draws closer, Senate Republicans are making it clear a plan to raise the debt ceiling must originate in the House, leaving negotiations to McCarthy.

“What Senate Republicans are doing, we’re supporting our counterparts in the House of Representatives and leadership and their efforts to negotiate a deal with the White House. I can’t speak to the current progress of that,” said Sen. John Thune (R-SD), the No. 2 Republican in the Senate during a press conference on Wednesday. “Sometimes, all it takes is a little bit of pressure in order to get people to the table.”

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.

SVB COLLAPSE: BIDEN RISKS RENEWED ECONOMIC WORRIES AND ANTI-BAILOUT BACKLASH

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.”

McCarthy elected House speaker following high-drama floor fight

Juliegrace Brufke

January 07, 12:31 AM January 07, 12:51 AM

Rep. Kevin McCarthy (R-CA) won enough votes to become the next speaker of the House on Friday night after a heated, dayslong stalemate that broke when the GOP leader finally agreed to a series of concessions to his Republican opponents.

All of the remaining GOP holdouts voted "present" on the 15th ballot, lowering the threshold enough for McCarthy to get a majority of the votes. The vote followed a high-drama 14th ballot in which Rep. Richard Hudson (R-NC) could be seen pulling Rep. Mike Rogers (R-AL) back as he appeared to nearly get in an altercation with Gaetz over his vote, which tanked McCarthy in that round.

The GOP leader ultimately received 216 votes, to incoming Minority Leader Hakeem Jeffries's (D-NY) 212.

The California Republican’s path to the speakership was rocky, with a group of conservatives withholding their support unless their demands for substantial rules changes were met. Multiple members cast doubt that he could ever get across the finish line after coming up significantly short on the first 13 rounds. But after reaching a consensus with the conservative hard-liners, caving to the majority of their asks, McCarthy was able to gain momentum on the fourth day of ballots, leaving just six "no" votes for his allies to flip.

After days of negotiations, McCarthy reached an agreement with most of his critics to allow a single member to force a vote to oust a sitting speaker; place more conservatives on coveted committees, including the powerful Rules Committee; cap discretionary spending at fiscal 2022 levels; establish a “church”-style committee to investigate the “weaponization” of the federal government; require that a raise in the debt ceiling be paired with spending cuts; and ban McCarthy’s super PAC from interfering in open primaries.

House Republicans falling short of their projected red wave in November left McCarthy with little room for error.

Thirty-six GOP lawmakers voted against him during their internal conference election on Nov. 15, putting before him a daunting task, as he could only lose four votes to get to 218 unless critics voted "present."

Five conservative hard-liners — former House Freedom Caucus Chairman Andy Biggs (R-AZ) and Reps. Bob Good (R-VA), Matt Gaetz (R-FL), Matt Rosendale (R-MT), and Ralph Norman (R-SC) — quickly came out against him as “Never Kevin" members.

While the group pledged they would vote as a bloc and would not vote present to bring down the threshold, McCarthy was ultimately able to pick them off.

MCCARTHY CRITICS TAKE AIM AT SPEAKER HOPEFUL'S TACTICS TO SWAY VOTES

For weeks, the California Republican held forums on rules changes and meetings with members hesitant to back him, making compromises on an array of issues in hopes of flipping defectors. As his opponents dug in, he insisted he would bring the battle to the floor until he got the votes.

His efforts ultimately proved successful, with pro-McCarthy lawmakers working up until the final hours ahead of the vote late Friday evening.

“Persistence paid off,” House Foreign Affairs Committee Chairman Michael McCaul (R-TX) told the Washington Examiner.

Former President Donald Trump was enlisted to make calls in hopes it would get conservatives on board, with McCarthy also enlisting the help of lawmakers popular among the base such as incoming House Judiciary Chairman Jim Jordan (R-OH) and Rep. Marjorie Taylor Greene (R-GA).

McCarthy has long sought the speaker’s gavel, unexpectedly dropping out of the race to succeed former Speaker John Boehner (R-OH) prior to the internal leadership elections in 2015 amid conservative opposition. Critics at the time took aim at a gaffe related to the Benghazi committee and raised questions about his personal life.

McCarthy was first elected to Congress in 2006 and saw a swift ascent in the leadership ranks, first being tapped to serve as chief deputy whip in 2009, then elected to serve as whip in 2011 before becoming House majority leader in 2014 and minority leader in 2019.

McCarthy critics say concession on motion to vacate doesn't go far enough

Juliegrace Brufke

January 01, 11:23 PM January 01, 11:23 PM

House Minority Leader Kevin McCarthy (R-CA) is continuing to struggle to lock down the votes needed to become the next Speaker just two days ahead of the floor vote, with conservatives stating that his major concessions laid out on a New Year’s day conference call fell short of what is needed to secure their support.

McCarthy told GOP lawmakers that he would lower the threshold for the motion to vacate the chair — a procedural tool used to oust a sitting Speaker that was changed under Democrats in 2019 from allowing any single member to initiate the motion to only be able to be brought up for a vote over the objection of leadership — down to five members despite pushback from moderates in his conference. While his defectors — who laid out a series of demands including the motion to vacate, placing more GOP hard-liners on “A” committees, a ban on leadership playing in primaries, cuts to spending and a return to regular order — said that changes to the rules is a step in the right direction, the California Republican still does not currently have the 218 needed to get him over the finish line.

MCCARTHY CRITICS TAKE AIM AT SPEAKER HOPEFUL'S TACTICS TO SWAY VOTES

During the course of the call, multiple members “said they won’t vote for it [the rules package] if Kevin is not Speaker,” one lawmaker told The Washington Examiner. Another member said moderates expressed grievances with the changes to the motion to vacate despite pro-McCarthy lawmakers attempting to sell the package to defectors in hopes it would shift critics' support toward the California Republican.

“They started [the call] with this new rules package that we're all about to see and are obviously saying the rules package - it's great, everyone worked so hard, we got all these great things and they're gonna be historic. And then [Gaetz] got on there and said, 'Well, if everyone wants the rules package, we should accept it no matter who the speaker is because if these are good rules are good rules, right?’” the lawmaker said. “But then the mods piled on and said actually, we hate the rules package."

The member said that McCarthy floated lowering the threshold down to a single lawmaker after Rep.-elect Mike Lawler (R-NY) asked Gaetz — one of the five “Never Kevin” members to initially come out against the California Republican — if it would change his position.

McCarthy stated "Well, if it's one will you vote for me?" Gaetz responded: "Is that an offer?" to which McCarthy responded: "There's other people that don't like five so they'll really not like one."

Shortly after the call, a group of conservatives released a letter stating the changes had fallen short of what they see as necessary to support him.

“Regrettably, however, despite some progress achieved, Mr. McCarthy’s statement comes almost impossibly late to address continued deficiencies ahead of the opening of the 118th Congress on January 3rd. At this stage, it cannot be a surprise that expressions of vague hopes reflected in far too many of the crucial points still under debate are insufficient,” they wrote.

“This is especially true with respect to Mr. McCarthy’s candidacy for Speaker because the times call for radical departure from the status quo — not a continuation of past, and ongoing, Republican failures. For someone with a 14-year presence in senior House Republican leadership, Mr. McCarthy bears squarely the burden to correct the dysfunction he now explicitly admits across that long tenure.”

The letter — spearheaded by House Freedom Caucus Chairman Scott Perry (R-PA) — asserted that “there continue to be missing specific commitments with respect to virtually every component of our entreaties, and thus, no means to measure whether promises are kept or broken.”

Due to the slim majority after Republicans fell short of their anticipated red wave, McCarthy can lose just four votes on the floor unless his critics opt to not vote or vote present to bring the threshold down from 218.

'Irresponsible and catastrophic': Democratic leader hammers Kevin McCarthy over omnibus opposition

Ryan King

December 21, 05:41 PM December 21, 05:41 PM

Outgoing House Majority Leader Steny Hoyer (D-MD) ripped into Minority Leader Kevin McCarthy (R-CA) for working to scuttle the $1.7 trillion omnibus spending bill being considered in Congress.

Hoyer warned that if the measure fails to clear Congress and avert a government shutdown by Friday at midnight, the consequences would be "catastrophic." Seemingly unfazed by the alleged risks, McCarthy has vehemently opposed the bill and threatened to torpedo legislation from Senate Republicans who back it.

12 WOKE EARMARKS IN OMNIBUS SPENDING BILL

"I don't know what Mr. McCarthy is doing on the deadline. I choose to believe that he understands how irresponsible and catastrophic it will be. He's in a difficult position right now," Hoyer contended, according to a WHD News producer. "The ramifications of playing games with the deadline, and even if ultimately you approve it, the ramifications leading up to the uncertainty that is creating are damaging."

Under pressure from his conservative flank, McCarthy has called for a stop-gap measure to avert a government shutdown so that Republicans can negotiate a longer-term solution after they retake the House in January. Notably, Rep. Kay Granger (R-TX), ranking member of the House Appropriations Committee, did not participate in negotiations for the omnibus, unlike her Republican counterpart in the Senate.

Senate Minority Leader Mitch McConnell (R-KY) voted to advance the bipartisan bill along with almost two dozen Republican senators. Some GOP senators such as Kevin Cramer (R-ND) have publicly cast doubt on the ability of their colleagues in the House to get a funding bill through after the January takeover, given the chaotic nature of McCarthy's quest for the speaker's gavel.

"Hopefully, the Senate can move it back tonight. It will save the Senate, which has difficulty in getting things done because ... their rules allow very small numbers up to individual members to slow things down," Hoyer added.

Democratic leaders in the House, including Hoyer and outgoing Speaker Nancy Pelosi (D-CA), have courted their fellow Democrats to coalesce behind the bill, underscoring increased domestic spending and a handful of liberal wins.

The bill had been negotiated by Senate appropriators Sens. Patrick Leahy (D-VT) and Richard Shelby (R-AL), as well as Rep. Rosa DeLauro (D-CT), who leads the House Appropriations Committee. Both Hoyer and Pelosi are set to remain in the new Congress despite stepping down from their leadership perches.

Rick Scott revolts against McConnell over spending bill as Dec. 16 shutdown looms

Cami Mondeaux

November 30, 05:10 PM November 30, 05:10 PM

Sen. Rick Scott (R-FL) is leading a coalition of Republican senators in opposing Senate Minority Leader Mitch McConnell’s agreement to pass an omnibus funding bill that is necessary to avert a government shutdown before the Dec. 16 deadline.

In a letter addressed to McConnell (R-KY) on Wednesday, a group of Republican senators led by Scott vowed to reject a government spending bill until the party takes control of the lower chamber in January. Instead, the Republicans are seeking to pass another continuing resolution that would temporarily delay the budget deadline by keeping spending levels flat.

RICK SCOTT SLAMS MCCONNELL AND GOP LEADERSHIP FOR ‘COMPROMISING OUR PRINCIPLES’

“We believe it would be both imprudent, and a reflection of poor leadership, for Republicans to ignore the will of the American people and rubber stamp an omnibus spending bill that funds ten more months of President Biden’s agenda without any check on his reckless policies that have led to a 40-year high in inflation,” the group wrote in the letter.

"Since taking office, President Biden has overseen a $4.8 trillion increase in the national deficit, costing the average American household an estimated $753 more a month. It should be up to the new Congress to set spending priorities for the remainder of this fiscal year," they said.

The letter was signed by three other Republican senators, including Sens. Ted Cruz (R-TX), Mike Lee (R-UT), and Mike Braun (R-IN).

Right now, the government is funded through Dec. 16 thanks to a continuing resolution passed in September, after which the government will be forced to shut down if officials don’t reach an agreement on a budget for the next fiscal year. Lawmakers could alternatively pass another continuing resolution, giving Republicans more power over the budget once they take the House majority next year.

“We must not accept anything other than a short-term Continuing Resolution that funds the federal government until shortly after the 118th Congress is sworn in,” the GOP lawmakers wrote. “No additional spending, no additional policy priorities should be included. Any urgent items that require the Senate’s attention should be considered separately and under their own terms.”

The letter comes one day after President Joe Biden met with top congressional leaders to discuss passing an omnibus spending bill, which would combine multiple agency budget bills into one and attach various lawmaker priorities.

McConnell has indicated he would support an omnibus bill, citing “widespread agreement” that it would be a better option than passing another stopgap bill.

“If you were interested in reducing spending, probably the best way to do that would be a one-year CR. If, on the other hand, you're concerned about the defense of our country and the funding of the Ukraine war, you are somewhat hesitant to go in that direction,” McConnell told reporters Tuesday. “I have members in a variety of different positions on this.”

“I think the way forward is to continue to discuss it and to see what's in the best interests of the country, see how many people we can bring together on both sides of the aisle, and figure out how to finish up this year, sometime before Christmas,” he added.

The letter of opposition is Scott’s latest break from McConnell just two weeks after he challenged the Kentucky Republican for his top leadership position, marking the first contested race for a Senate leader for either party since 1996. McConnell fended off the challenge in a 37-10 vote, with one senator voting present.

However, Scott said his failed leadership bid wouldn’t stop him from trying to reform the Republican Party, declaring that an insurgent crop of senators was already ascendant.

“The old Washington establishment Republican path of never having a vision is over. It’s dying,” Scott wrote in an exclusive op-ed for the Washington Examiner. “A new wave of bold and aggressive Republicans who will stand up and fight is demanding change from our leaders in Washington. It is happening. It will happen. Count on it.”

Democrat signals trouble for McCarthy: GOP defectors may vote Trump for House speaker

Daniel Chaitin

November 13, 01:36 PM November 13, 01:43 PM

Republicans fed up with House Minority Leader Kevin McCarthy (R-CA) may just vote for former President Donald Trump for speaker, a prominent Democratic member said on Sunday.

Rep. Jamie Raskin (D-MD), a member of the Jan. 6 committee who led the second impeachment effort against Trump, pointed to frustrations harbored by members of the conservative Freedom Caucus, which reportedly has not yet settled on an alternative candidate, while some Democrats have signaled openness to striking a deal with McCarthy.

"It's a real problem for Kevin McCarthy now, because there are certain pro-Trumpists within his House caucus who refuse to accept that he's really with Trump, and they want to get rid of McCarthy," Raskin said on CBS News's Face the Nation.

DEMOCRATIC LAWMAKERS FLOAT STRIKING DEAL WITH MCCARTHY FOR SPEAKER'S VOTE

He told the show's moderator, Margaret Brennan, that some members' names are early in the alphabet, including Rep. Andy Biggs (R-AZ), who could steer the course of the vote for other members of the group. They reportedly want concessions from McCarthy if they are to back him.

"They might just vote for Trump, when they take the roll call for speaker, so we know that the hard-right Freedom Caucus people are in search of another candidate, and one potential candidate whose name has been floated is Donald Trump himself, because the speaker of the House does not have to be a member of the House. And they are talking about putting Trump right there," Raskin said.

Brennan posited that Trump for speaker is "not a real option," but Raskin did not seem convinced that some of his GOP colleagues wouldn't try it.

"They talk about it repeatedly," Raskin replied. "And if Trump decided he wanted to do it, it would pose a profound problem for their party because they refuse to do the right thing," he added, before getting into the question of whether the Republican Party remains under firm control by Trump after weaker-than-expected midterm elections for Republicans.

Republicans are still expected to win control of the House, but the margin appears tighter than what was predicted before the midterm elections, and there is still room for Democrats pulling an upset to maintain the lower chamber. Steve Kornacki, national political correspondent for MSNBC and NBC News, has revised his House projection to show Republicans winning 219 seats, just one more than the 218 needed to get a lock on the chamber. He "stressed" that this new reading is within the margin of error, which was four seats.

Despite talk of Trump for speaker, which has been floated by House Republicans including Matt Gaetz, the former president himself has dismissed the idea. And further, he is slated to deliver a big announcement on Tuesday, which is widely expected to be his entry into the 2024 presidential race.