Doc fix

GOP Looks Set To Block Dem Fix For Medicare Doctors

Sahil Kapur | February 8, 2012, 10:00AM

Rep. John Boehner (R-OH) and Rep. Eric Cantor (R-VA)

House GOP leaders are set to shoot down a silver-bullet pay-for to fix Medicare physician payment rates, sources close to leadership tell TPM, even though the idea has strong support among Democrats and some key Republican lawmakers. The so-called "doc fix" is being negotiated as part of the payroll tax cut package and momentum to use war savings to eliminate the Medicare flaw has recently halted due to GOP divisions over the idea.

The idea of using unspent Overseas Contingency Operation (OCO) funds from troop withdrawals Iraq and Afghanistan has the support of top Democrats as well as influential Republicans like Senate Minority Whip Jon Kyl (AZ) and GOP Doctors Caucus chairman Rep. Phil Gingrey (GA). While President Obama and Dems want to tap into the $838 billion fund for infrastructure as well, GOP backers say it shouldn't be used for anything other than a doc fix.

But two former Republican staffers turned health industry lobbyists say House GOP leaders are now opposed to tapping into the money even for that.

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Defense Spending

The GOP's Plan To Avoid Defense Cuts Without Raising Taxes

Brian Beutler | February 2, 2012, 12:00PM

Senate Minority Whip Jon Kyl (R-AZ) walks from his office to a policy lunch with fellow GOP members on Capitol Hill in Washington, D.C. on September 7, 2011.

Senate Republicans unveiled a proposal Thursday to avoid or delay looming, automatic cuts to defense and security programs by reducing the federal work force by five percent and freezing federal pay for two and a half years.

In a bid to recruit Democratic support for their legislation, the authors of the plan say it saves enough money to forestall automatic cuts to domestic programs, also set to kick in on January 2013. But they continue to oppose using any new tax revenues to offset any of these costs -- and in so doing they exposed a contradiction at the heart of their fiscal policy. They oppose tax increases, they say, because of their impact on economic growth -- yet their plan to avoid tax increases involves deliberately shrinking demand for jobs.

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