Thursday, June 13, 2019

Nancy, you have reached the natural debt limit

WASHINGTON (AP) — Speaker Nancy Pelosi said Thursday that the Democratic-controlled House won’t pass must-do legislation to increase the government’s borrowing cap until the Trump administration agrees to boost spending limits on domestic programs.
The California Democrat said she’ll agree to increase the so-called debt ceiling, which is needed to avoid a market-cratering default on U.S. government obligations this fall. But she says she’ll do so only after President Donald Trump agrees to lift tight “caps” that threaten both the Pentagon and domestic agencies with sweeping budget cuts.
“When we lift the caps then we can talk about lifting the debt ceiling — that would have to come second or simultaneous, but not before lifting the caps,” Pelosi told reporters.
The next debt limit increase breaks the Senate, they cannot go along as the risk to their own small states is too large.  No one in their right mind is relying on Nancy to keep the balance.

Nor does Nancy understand the dynamics of a tax increase on Gavin.  Having Nancy announce new taxes on California all but kills any Prop 13 revision. Californians are not voting for two tax increases, one from Nancy and one from Gavin.

Note the bold face is mine.  To increase the caps means increasing taxes on Cuomo and Gavin, and they two are already in a years long battle to keep state taxes out of federal hands. Nancy is nuts if she thinks this is sustainable.  Suggest another infrastructure week and call it a day.

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