What: All Issues : Fair Taxation : Democrats forced a vote on a motion instructing House conferees working to reconcile their chamber's Republican-drafted fiscal year 2005 budget with that of the Senate to adopt the Senate's bipartisan pay-as-you-go (PAYGO) rules, which require that both spending increases and tax cuts are paid for somewhere else in the budget, either through spending cuts or revenues increased. (2004 house Roll Call 97)
 Who: All Members
[POW!]
 

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Democrats forced a vote on a motion instructing House conferees working to reconcile their chamber's Republican-drafted fiscal year 2005 budget with that of the Senate to adopt the Senate's bipartisan pay-as-you-go (PAYGO) rules, which require that both spending increases and tax cuts are paid for somewhere else in the budget, either through spending cuts or revenues increased.
house Roll Call 97     Mar 30, 2004
Progressive Position:
Yea
Progressive Result:
Loss

House conservatives twisted arms in a big way to ensure a narrow defeat of a Democratic motion to instruct conferees on the budget on a tie vote, 209-209. After holding a five-minute vote open for 28 minutes, Republicans defeated a Democratic request that House conferees working with the Senate to reconcile their differing fiscal year 2005 budget resolutions to adopt the Senate's bipartisan pay-as-you-go (PAYGO) rules, which require that both spending increases and tax cuts are paid for somewhere else in the budget, either through spending cuts or revenues increased. Conservative Republican leaders in the House demanded that such rules apply to spending only. A unanimous Democratic Caucus was joined by 11 Republicans in voting for this Democratic motion. However, an additional eight other Republican members had cast 'yes' votes before Republican leaders, trying to stave off a defeat, twisted their arms and convinced them to change their votes. Progressives charged that the vote was evidence that Republicans "have neither the will nor the courage to make tough budget choices, as they shamelessly pretend that tax cuts have no impact on the exploding budget deficit that their failed policies have created." Pay-as-you-go rules do not preclude tax cuts, but require that they are paid for by cuts in other programs or increases in revenue. Senate Republican moderates supported their chamber's plan (S Con Res 95) only after winning a vote to restore now-expired pay-as-you-go rules requiring that the cost of additional tax cuts or new entitlement spending be offset with revenue increases or spending cuts. However, such a requirement is strongly opposed by House Republican conservatives, who feared it would imperil their ability to eventually make temporary tax cuts enacted over the past three years permanent law. "I'd rather not have a budget resolution than have PAYGO for taxes," said House Majority Whip Roy Blunt (R-Mo.). Conservatives' success in squeaking out this victory ensured the House bill contains no language directing House budgeters to pay for tax cuts via spending cuts or revenue increases elsewhere in the budget.

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