Senators Call For Task Force To Repair Debt

By Leah Valencia, University of New Mexico- Talk Radio News Service

Sens. Kent Conrad (D-N.D.) and Judd Gregg (R-N.H.) called on Congress Wednesday to repair the national debt, introducing legislation to create a bipartisan task force to address the long-term budget crisis.

“The biggest threat that faces our nation today is our fiscal situation at the federal level,” Gregg said during a press conference. “We are on a path to bankruptcy as a nation.”

The Task Force for Responsible Fiscal Action Act would be made up 16 Congressional Members and two officials from the Obama administration, including the Secretary of the Treasury. The task force would deliberate to create recommendations to solve fiscal imbalances.

The commission would function under a supermajority. For recommendations to be submitted for a vote, 14 of the 18 members would have to approve it.

“What we have outlined here has the best prospect of success but what is absolutely essential is that there be a special process, that it be bipartisan and that it lead to an assured vote on the work product of the task force,” Conrad said.

Both Senators said they want the bill to be a part of the upcoming vote to increase the debt limit, adding that they will not vote to raise the federal debt limit unless Congress commits to the task force.

“We’re saying very clearly that we’re not going for debt limit extension without an approach like this being included,” said Conrad. “We’re not going to relent on this and we’re not going to agree to any kind of long-term debt limit extension.”
 
The bill has 24 bipartisan co-sponsors thus far: nine Democrats, 14 Republicans and one Independent.

Obama's Budget creeps towards the Senate

By Michael Ruhl, University of New Mexico – Talk Radio News Service

Office of Management and Budget Director Peter Orszag testified before the Senate Committee on the Budget concerning President Obama’s FY2010 Budget. Committee Chairman Kent Conrad (D-N.D.) praised the transparency and initiatives set forward in the budget, which included healthcare reform, a revamping of education, and a shift away from dependence on foreign oil.

Ranking Member Judd Gregg (R-N.H.) criticized the costs associated with the budget. Gregg pointed out that the debt to GDP ratio in 2013 will be 67% and questioned how sustainable such a costly plan could be. He said that it would double the publicly held national debt in 5 years.

Orszag stated that this budget accounts for $2.7 trillion in costs not accounted for in previous budgets, and although it would see some increases in mandatory spending, but this is partially due to baseline changes in this spending. He continued that healthcare reform would help, because one of the problems with entitlement spending is that a disproportionate amount of it is in Medicare and Medicaid.

Global economy crisis +stimulus bill = frustrated Senate Budget Committee

Today's Senate Budget Committee meeting titled "The Global Economy: Outlook, Risks, and Policy Implications" started off with Senator Kent Conrad (D-N.D.) reading off today's headline from the Financial Times entitled, "Economic Pain to be 'worst for 60 years." Conrad said "That is a story in the Financial Times today, pretty sobering."

The meeting consisted of witnesses, Simon Johnson, professor at the Massachusetts Institute of Technology's Sloan School of Management, Brad Setser, fellow for geoeconomics with the Council on Foreign Relations and Tim Adams, managing editor of The Lindsey Group. Their testimonies included information and statistics about the housing and economic crisis in general.

Senator Lindsey Graham (R-S.C.) asked each witness if they thought the first $350 billion bailout fund was spent wisely and Adams stated that the money should have been used for what it was supposed to be for. Graham agreed and said "People are running out of trust and patience with us up here."

Several Senators felt contrary to what was stated. Senator Debbie Stabenow (D-Mich.) said that she favored the bill. "I think it's important to say that the reality is our country, our government should have acted sooner on the issues in front of us...We have to do something different...I believe we need to act as quickly as possible to begin this because everyday the numbers get worse and worse and worse."

by Christina Lovato, University of New Mexico-Talk Radio News Services

The “Gang of 10” create a “New Era” to tackle soaring gas prices

Members of a bipartisan coalition of Senators known as the “Gang of 10” held a news conference to discuss their plan to reduce gas prices, lessen the nation’s dependence on foreign oil, and strengthen America’s economy. The “Gang of 10” is led by Senate Budget Chairman Kent Conrad (D-N.D.) and Sen. Saxby Chambliss (R-Ga.), and includes Sen. Mary Landrieu (D-La.), Sen. Lindsey Graham (R-S.C.), Sen. Blanche Lincoln (D-Ark.), Sen. Johny Isakson (R-Ga.), Sen. Ben Nelson (D-Neb.), Sen. John Thune (R-S.D.), Sen. Mark Pryor (D-Ark.), and Sen. Bob Corker (R-Tenn.).

All of the members of the “Gang of 10” said that the U.S. is facing a “critical challenge” because of skyrocketing energy costs and that this growing crisis undermines the budgets of families across the nation. They agreed that the issue is neither Republican or Democratic, but rather “an issue that affects us all.” Conrad explained that the “Gang of 10” is working together in a bipartisan manner to develop comprehensive energy legislation. He also explained that the New Energy Reform Act of 2008, better known as the New Era Bill, is an intensive effort to transition vehicles to non-petroleum based fuels by using “robust” federal commitment to conservation and energy efficiency. Conrad said that the bill addresses all aspects of the energy issue by aiming to convert vehicles to non-oil fuel sources, enhancing conservation, and creating responsible domestic energy production.

Chambliss said that the “Gang of 10” epitomizes what the Senate is all about. He said that they are making a true bipartisan effort to solve the two critical issues: supply and demand of oil and conservation. Landrieu said that the bill will do more to lower the price of gas at the pump than anything Congress has previously done. Isakson said that this is America’s second and last chance to solve the energy problem, and the security of the nation depends on this solution.

Thune explained that the group is focused on “going where the energy is.” He said that in 2007 1.7 billion gallons of ethanol were produced and 9 billion gallons are expected to be produced this year. Nelson said that the question “to drill or not to drill” is no longer that important because the U.S. needs to “do it all.” Corker said that the group recently sent a letter to Majority Leader Harry Reid (D-Nev.), Republican Leader Mitch McConnell (R-Ky.), Finance Chairman Max Baucus (D-Mont.), and Finance Ranking Member Chuck Grassley (R-Iowa) asking them for their cooperation in the effort and the bill. Pryor said that the U.S. is facing a very tough time where people can either “come together or be torn apart.” He explained that the “Gang of 10” decided to “come together and lead the way forward.”