House GOP Releases Extenders Package with Offsets
Today, House Republicans have officially released their plan to extend the current payroll tax holiday for a year, two years of doc fixes, and a year of extended unemployment insurance. Encouragingly, the proposal joins the ranks of other plan presented over the past week or so in that specific offsets are also included to pay for the costs of policy extensions. CBO has also released a cost estimate of the proposal.
Below is a brief overview of the plan's costs and offsets.
|One-year extension of current payroll tax holiday||$120 billion|
|Two-year doc fix||$39 billion|
|Extended unemployment benefits (condensed # of weeks)||$34 billion|
|Extend 100% bonus depreciation & other tax provisions||$8 billion|
|Extend expiring Medicare provisions||$3 billion|
|Sub-Total, Gross Costs||$204 billion|
|Increase fees that Fannie/Freddie charge||-$36 billion|
|Raise Medicare premiums for higher-earners||-$31 billion|
|Extend federal civilian pay freeze for another year (through 2013)||-$26 billion|
|Reform federal civilian retirement||-$39 billion|
|Auction spectrum licenses||-$16 billion|
|Reduce child tax credit fraud||-$9 billion|
|Reform national flood insurance||$0 billion|
|Reduce Social Security overpayments||-$3 billion|
|Reduce Medicare payments for bad debts||-$22 billion|
|Reduce Medicare waste, fraud, & abuse in Affordable Care Act||-$13 billion|
|Reduce spending in prevention & public health fund in Affordable Care Act||-$8 billion|
|Eliminate food stamp & unemployment benefits for millionaires, & other provisions||<-$1 billion|
|Sub-Total, Offsets||-$205 billion|
|Total Deficit Impact||-$1 billion|
Note: Numbers may not add due to rounding.