No Budget, No Paycheck Say Lawmakers

A bipartisan duo of Hill lawmakers believe they have finally found a way to motivate Congress into passing a budget.

The No Budget, No Pay Act, sponsored in the House by Rep. Jim Cooper (D-Tenn.), would halt congressional pay if Congress fails to pass appropriations bills on deadline. The legislation would also negate retroactive pay.

Cooper’s plan is featured in a new proposal by the centrist group “No Labels” called, “Making Congress Work.”

“This would not necessarily cut congressional pay, it would make every Congressman or Senator a forceful advocate for getting our work done on time,” Cooper told me during a phone interview today.

“I bet you we would get our work done on time,” he added.

(Click here to listen to clips from our conversation)

Sen. Dean Heller (D-Nev.), who introduced the bill in the upper chamber, said “if Congress does not do its job, then Congress should not get paid.”

The federal government has been operating under a series of temporary spending bills since 2009, the last year Congress passed a budget. Lawmakers are reportedly close, however, on sending a nearly $1 trillion “omnibus” spending package to President Obama’s desk by the end of the year.

The current fiscal year began on October 1.

Pelosi Hits GOP For Adjourning Before Payroll Relief Is Passed

House Minority Leader Nancy Pelosi (D-Calif.) criticized Republicans Friday for choosing not to work through the weekend on payroll relief.

“Americans can’t wait,” Pelosi said during a press conference. “We must act now.”

Pelosi’s comments came on the same day that Republicans released their alternative to Democrats’ plans to extend the payroll tax cut.

Obama Annoyed By Senate Failure To Extend Tax Cuts

President Obama released the following statement in response to the Senate voting to reject a pair of bills aimed at preserving a payroll tax holiday for businesses and their employees:

“Tonight, Senate Republicans chose to raise taxes on nearly 160 million hardworking Americans because they refused to ask a few hundred thousand millionaires and billionaires to pay their fair share.  They voted against a bill that would have not only extended the $1,000 tax cut for a typical family, but expanded that tax cut to put an extra $1,500 in their pockets next year, and given nearly six million small business owners new incentives to expand and hire.  That is unacceptable.  It makes absolutely no sense to raise taxes on the middle class at a time when so many are still trying to get back on their feet.”

“Now is not the time to put the economy and the security of the middle class at risk. Now is the time to rebuild an economy where hard work and responsibility pay off, and everybody has a chance to succeed.  Now is the time to put country before party and work together on behalf of the American people.  And I will continue to urge Congress to stop playing politics with the security of millions of American families and small business owners and get this done.”

Fannie Mae And Freddie Mac CEOs Grilled Over Questionable Spending

By Lisa Kellman

The heads of Fannie Mae and Freddie Mac testified before a frustrated House panel Thursday.

Edward DeMarco, the acting director of the Federal Housing Finance Agency, Charles Haldeman, the CEO of Freddie Mac, and Michael Williams, the CEO of Fannie Mae were asked by the House Financial Services Committee to justify some of their spending decisions, including spending around $74,000 for dinners during a conference.

Chairman Randy Neugebaur (R-T.X.) voiced his concern with many of the spending decisions made by the CEOs and forced Williams to admit his company had no written spending plan.

“We do believe we are being good stewards with money” defended Williams in response.

Executive pay also came into question. Halderman and Williams justified paying their second highest paid employees between $2.8 and $3.5 million, saying that top professionals in their line of work must be payed that kind of money to make the necessary risky decisions.

“Do you understand the outrage the American people feel…It’s impossible to understand why an individual, working for an industry such as yours, has to make that kind of money, remarked ranking member Rep. Michael Capuano (D-Mass.).

House GOP: Senate Snubbing Jobs Bills

By Tim Young

Republican leaders continued to criticize Senate Democrats Wednesday for their apparent refusal to vote on legislation passed in the lower chamber.

“The House has [passed] 20 bills that would help create a better environment for job creation in this country and they are sitting in the United States Senate,” said Boehner, who was accompanied by fellow House Republicans Eric Cantor (R-VA), Kevin McCarthy (R-CA), Jeb Hensarling (R-TX), Cathy McMorris Rodgers (R-WA), John Kline (R-MN) and Kristi Noem (R-SD).

Boehner, who called on the Senate to consider all of the current legislation, said that three more bills would be passed this week with bipartisan support, similar to the previous 20.

Agreeing with the Speaker, House Majority Leader Eric Cantor said that by the end of this week, the House of Representatives will have passed 25 bills which would encourage job creation that Senate Majority Leader Harry Reid (D-NV) “refuses to take up.”

Boehner was asked if he would potentially switch up his approach after criticism from Senate Republican Lindsey Graham (SC) who stated, “Fifteen bills coming from the House that no one ever heard of — including me — is probably not the best marketing plan.”  

Boehner replied to this, insisting that his current plan will create jobs and that House Republicans “will continue to do the right thing for the American people.”