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Rep. Michael Burgess, (R-Texas), and Rep. Peter Welch, (D-Vt.), on what it will take to get a fiscal cliff deal.
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Oh thank you very much.
I -- -- business first reported house speaker John Boehner met with President Obama and secretary Geithner at the White House earlier today.
For the most latest round of fiscal cliff talks -- the meetings come right on the heels of speaker Boehner is new proposal.
Which calls for.
Raising a trillion dollars in tax revenue over ten years.
Increasing tax rates and families earning over one million dollars and that's the first time Republicans have offered any concession on taxes.
He's also propose cutting a trillion dollars from spending.
Yeah however the White House is not accepting this latest -- calls the president's proposal.
-- is only quote the balanced fiscal plan offered to date so.
That's three president said the proposals writes Brad yes so what will it take to get a deal done we've got both sides of this one Republican comes from Michael Burgess of Texas.
Democratic congressman Peter Welch all of them -- -- congressman thank you both for being here let me give you begin with -- -- congressman Burgess.
Luck is this a sign -- perhaps speaker Boehner caving a little bit giving some ground talking about the tax hike for those -- million dollars and more.
Are you happy with that proposal.
I've -- there I'm -- -- not -- characterize it is happy I think you know what we have seen the last couple of weeks as an absolute.
Refusal on the part of President Obama to engage on this so perhaps the good news is that -- at least -- There's some discussion going on I can't say that I'm thrilled with the direction of the discussion and and honestly I do wish it wasn't behind closed doors Peter and I both belong to a pretty important committee in congress and honestly these discussions should be should be in the committee room on.
On C span for all to see.
Congress who else I know you.
Want to increase revenues -- tax hikes would be part of your plan.
But the issue is shown us that our money is -- just wasted it seems over the course of the last.
Couple years through increased to take more money -- American's paycheck right now to pay off debts that while we -- -- create.
This summit fair to me.
Well it is the -- who -- who did created the fact is we always you know we went to war in Iraq and put it on the credit card.
Afghanistan on the credit -- the prescription drug plan.
Was a good plan but it was paid for by the credit -- so -- a lot of responsibility to go around the problem is.
We've got to dig our way out of this debt.
I do support the revenue increases I mean the president ran on that platform of the top 2% about 250000.
Dollars going back to the Clinton rates.
And I -- some -- -- courage by the program by the progress and I'm seeing the speaker.
Is not in favor raising taxes but he sees political realities working with the president on that.
And he's focusing on trying to get some spending reductions in you know what that's an important part of this.
And -- question for us is whether on health care we're gonna be able to find ways to save money.
That don't require us to basically cost shift on to beneficiaries.
And they may be struggling with that right now but my hope is that these two gentlemen who I think are working in good faith.
Can present something to Mike Burgess -- -- for consideration.
-- -- -- coming back to you you've already been very outspoken saying that taxes were already going up under Obama camp but know we're really talking about it.
Yeah exactly this three point 8%.
Tax on so called unearned income that kicks in January 1.
That's baked in the cake you know we -- -- not part of any discussion it's happening.
-- -- because of the four of the bill the president signed him in back into 2010.
All of the taxes that were embedded in obamacare were done so in a way to gotta be under the radar screen of the of the average American.
But look just across the board -- capital gains taxes are are likely to almost double in.
Under the Obama care regime and the taxes on dividends everything else being equal may go from 15% to 44% January 1 so these are big deal taxes that are happening.
And again they've been pretty much hidden from from the public -- Look if taxes would solve the problem then maybe we could talk about that.
But the president's talk about the top 2%.
He pays for two weeks of this fiscal year what do you do with the other fifty weeks and -- all the talk about the Greek yogurt before we came into this segment.
We're gonna be Greece that you don't have to get -- that spending under control.
Don't say that.
I congress in -- to go back to you on that because that's that seems to be -- sticking point now is spending.
What what are we gonna do about all these entitlements two thirds of the money that comes into our country and it basically goes right back out the door to pay for entitlements is we have so many.
Obligations to cover we can't even grow this country at this point.
Where well you really really you come in and it -- it John -- caved on taxes where you gonna keep on spending.
Well it in fact we need to bring down the -- health -- that's true in Medicare it's true our entire health care system employers are burdened by an enormous cost increase each year oftentimes gone up far faster than inflation.
Profits -- wages.
And it is because we have a pretty inefficient system and the incentives are wrong they did fee for service system.
Encourages volume we've got an immense amount of waste in our medical system even as we also have some of the best medical care.
In the world.
So that's a challenge that we face and Mike and I on the energy and commerce committee -- jurisdiction over health care so that's something that.
Is not going to be resolved in these discussions but has to be addressed if we're gonna be competitive in the world.
I agree with that.
-- ability don't don't don't include the of that especially -- health -- And it is you know Peter I've I've fought the battle against the Affordable Care Act from right from day one -- you don't isn't it interesting -- And I learned and are hearing last week.
That perhaps because of the reluctance to bring up the rules well on the so called essential health benefits prior to the election you may have -- Portable care act I -- governors can't can't partake.
I think there's a lot of issues with health care including the biggest was Nancy Pelosi saying we -- it now we should read it.
Yeah congressman you know who -- Burgess both of you thank you so much -- take the time being with us.
Thank you thank you -- -- Quickly time goes when you get into these issues never enough time -- -- what congress.
