Debate coming on using surplus for tax cuts

Debate coming on using surplus for tax cuts

Democrats and Republicans worked Thursday at shoring up their troops in anticipation of the debate over a proposed tax cut the House will take up this weekend.

Republican leaders are continuing to assume they will lose four of their members over the principle that the $80 billion cut would violate budget rules. A half dozen others might not be on hand to cast a vote during the unusual Saturday session.

As for Rep. Mark Neumann, R-Wis., and a handful of others who say they will not agree to skirting budget rules, Deputy Majority Whip Dennis Hastert, R-Ill., said, "We'll work on them."

Neumann told reporters Thursday that enough GOP members share his concern about using funds piling up in the Social Security Trust Fund for a tax cut that only the defection of large numbers of Democrats will make passage of the bill possible.

One GOP aide said there had been "dozens" of Republicans who have voiced concern over using the projected budget surplus for a tax cut but House Republican Conference Vice Chairwoman Jennifer Dunn of Washington predicted that most will vote yes in the end.

Neumann's cause was dealt a setback Thursday when the Rules panel rejected an appeal by Rep. Charles Stenholm, D-Texas, to offer a substitute measure for the GOP's bill.

Stenholm proposed a trigger mechanism so that implementation of all but a few of the tax cuts in the GOP bill would be delayed until a surplus actually materialized outside the Social Security Trust Fund.

That approach may have appealed to some GOP members who want to be on record favoring a tax cut that would kick in sooner than later.

Instead, the Rules Committee agreed to let the Democrats offer a substitute that has a trigger allowing the tax cuts to become law only after a long-term Social Security reform measure is in place.

So far, Democrats have affirmed their unity, more or less. Asked how many Democrats could vote for the popular tax relief measure, Ways and Means ranking member Charles Rangel, D-N.Y., said, "Not enough to override a veto." Pressed for more specifics, he said, "I don't do numbers. It's getting better all the time."

Rep. Steny Hoyer, D-Md., said reports of 40 Democratic defections are inflated. He suggested that all but 10 or 20 Democrats will oppose the bill. The first step in moving the tax bill will come in a vote today on a measure Ways and Means Chairman Archer will offer that would wall off for Social Security the 90 percent of the surplus not used for tax cuts.

Democrats will offer a substitute that would shield 100 percent of the surplus dollars until Social Security reform is in place.