NATION/WORLD
Thursday, October 26, 2017
East Oregonian
Page 7A
Trump, GOP at odds over using
401(k)s to pay for tax cuts
No GOP dam break:
Senators rally behind
Trump and his agenda
WASHINGTON (AP) — President
Donald Trump and Republicans were
at odds on Wednesday over changing
the 401(k) retirement program to help
finance tax cuts, with the president
insisting the middle-class favorite will
remain untouched and lawmakers open
to revisions.
Rep. Kevin Brady, the chairman of
the House’s tax-writing panel, wouldn’t
rule out changes to the program used by
55 million U.S. workers who hold some
$5 trillion in their 401(k) accounts, a
system that has become a touchstone of
retirement security for the middle class.
Earlier this week, Trump promised
the program would be left alone,
and appeared to bolster that pledge
Wednesday, saying he moved swiftly
to end speculation that the tax-deferred
program may be changed because it’s
vital for working Americans.
But he went on to muddy the waters,
when asked about Brady’s statements
hours earlier.
“Maybe it is, and maybe we’ll use
that as negotiating,” Trump said during
an impromptu news conference as
he left the White House for a trip to
Texas. “But trust me ... there are certain
elements of deals you don’t want to
negotiate with ... and Kevin knows it,
and I think Kevin Brady is fantastic, but
he knows how important 401(k)s are.”
Brady, head of the House Ways
and Means Committee, said earlier
Wednesday he’s discussing the issue
with Trump, who had shot down the
possibility of changes on Monday.
And a senior Republican senator
signaled he’d vote for a tax bill even if it
crimped 401(k) tax benefits.
The nearly $6 trillion GOP plan calls
for steep tax cuts for corporations and
promised reductions for middle-income
taxpayers, a doubling of the standard
deduction used by most Americans,
shrinking the number of tax brackets
from seven to three or four, and the
repeal of inheritance taxes on multimil-
lion-dollar estates. The child tax credit
would be increased and the tax system
would be simplified.
Crucial details of the plan have yet to
be worked out.
An Associated Press-NORC poll
released Wednesday found most Amer-
icans saying Trump’s tax plan would
benefit the wealthy and corporations,
and less than half believing his message
that “massive tax cuts” would help
middle-class workers.
WASHINGTON (AP)
— There was no dam
break of Republican rancor
against Donald Trump on
Wednesday, a day after a
pair of the party’s promi-
nent senators denounced
their president and invited
colleagues to join them.
Instead,
most
GOP
lawmakers rallied around
Trump and his agenda, with
one all but saying “good
riddance” to Jeff Flake of
Arizona and Bob Corker of
Tennessee.
“Maybe we do better by
having some of the people
who just don’t like him
leave, and replace them
with somebody else,” Sen.
Jim Inhofe of Oklahoma
told The Associated Press.
“And I think that’s what’s
happening.”
Trump heartily agreed,
declaring that both men
were retiring because they
couldn’t win re-election,
and “I think I’m probably
helped greatly in Arizona
by what happened with
Sen. Flake.”
Inhofe went further than
most GOP lawmakers, but
he had plenty of company
in his refusal to echo the
criticisms of Flake and
Corker. Trump himself
proclaimed he was leading
a party unified in its pursuit
of tax cut legislation.
“There is great unity in
the Republican Party,” he
contended as he left the
White House for a hurricane
briefing and other events in
Texas. Claiming a show of
affection at his appearance
at a Senate GOP lunch a
day earlier, Trump said: “I
called it a lovefest. It was
almost a lovefest. Maybe
it was a lovefest.” He’s
said repeatedly that he got
multiple standing ovations.
But if the lunch — no
outsiders
allowed
—
displayed unity of sorts, the
events that preceded and
followed it did the oppo-
site. First Corker and then
AP Photo/Evan Vucci
In this Sept. 26 photo, Rep. Kevin Brady, R-Texas, right, listens as Presi-
dent Donald Trump speaks during a meeting with members of the House
Ways and Means committee in the Roosevelt Room of the White House
in Washington.
With Republican leaders battling
to show themselves as true standard
bearers for the middle class, eyeing next
year’s midterm elections that are deemed
essential to retaining their majority, the
401(k) issue has become a flashpoint.
GOP lawmakers have been considering
changes to the 401(k) structure, such
as limiting the amount of tax-deferred
contributions employees can make, as a
way to help finance tax cuts.
Asked whether the retirement
savings program was still a possible
target, Brady said, “We’re working very
closely with the president.”
“We think, in tax reform, we can
create incentives for Americans to save
more and save sooner, which can help
them,” Brady told reporters at a Chris-
tian Science Monitor breakfast. “So we
are exploring a number of ideas in those
areas. ... We are continuing discussions
with the president, all focused on saving
more, saving sooner.”
Brady’s counterpart in the Senate,
Republican Orrin Hatch of Utah, also
indicated that possible changes to
401(k)s remain on the table. “I’m open
to looking at anything,” he said.
Another senior member of the
Senate Finance Committee, Sen. Chuck
Grassley, R-Iowa, went further. He
said although he’s opposed to reducing
401(k) tax benefits, he’d vote for such a
bill if the overall legislation brought the
needed tax overhaul and cuts. “We’ve
got to have tax reform, and I can’t fall
on the sword for one issue,” Grassley
told Iowa reporters on a call.
Rep. Richard Neal, the senior Demo-
crat on the Ways and Means Committee,
said of the Republicans, “Right now,
even as we speak, they appear to be
going wobbly on some of the issues
they’ve raised with great certainty in
previous weeks.”
The Republicans are straining to find
new revenue sources to pay for antici-
pated tax cuts exceeding $1 trillion.
While keeping open the possibility
of changing 401(k)s, Brady also said
he continues to seek a compromise
with rebellious GOP lawmakers from
high-tax states over the tax plan’s
proposed elimination of the federal
deduction for state and local taxes.
“I do expect to reach an agreement
with our high-tax (state) lawmakers,”
Brady said. “We’re making good prog-
ress.”
One compromise being considered
would cap the state-local deduction at a
single taxpayer’s adjusted gross income
of $400,000 and $800,000 for a married
couple.
The deduction is a widely popular
break used by some 44 million Ameri-
cans, especially in high-tax, Democrat-
ic-leaning states like New York, New
Jersey, Illinois and California.
Flake blistered Trump with
criticism, accusing him
of leading the nation into
a moral black hole. Both
lawmakers do plan to retire
at the end of next year,
a semi-bombshell Flake
dropped Tuesday, freeing
them to speak without fear.
Flake kept it up
Wednesday with an opinion
piece in The Washington
Post. He likened the current
moment to the red scare era
of the early 1950s when Sen.
Joseph McCarthy threw
accusations of communism
at a wide range of people.
McCarthy’s career ended
in disgrace, his downfall
hastened when an Army
lawyer, Joseph Welch,
confronted him at a hearing
with the question: “Have
you no sense of decency,
Sir, at long last?”
“We face just such a
time now. We have again
forgotten who we are
supposed to be,” Flake
wrote. “There is a sickness
in our system — and it is
contagious.”
“Nine months of this
administration is enough for
us to stop pretending that
this is somehow normal,
and that we are on the
verge of some sort of pivot
to governing, to stability.
Nine months is more than
enough for us to say, loudly
and clearly: Enough.”
Flake has contended in
interviews that the Repub-
lican Party is at a tipping
point, or close to one, and
others will start to speak
out, too.
There
was
scant
evidence of that Wednesday
on Capitol Hill, aside from
the few Republicans in
the House and Senate who
have already made public
their
grievances
with
Trump. Nearly everyone
else dodged questions on
the topic, voiced unquali-
fied support for Trump, or
answered by saying that the
GOP must remain focused.
BRIEFLY
Premiums rising
34 percent for most
popular health plan
WASHINGTON (AP) —
Premiums for the most popular
“Obamacare” plans are going up an
average of 34 percent, according to
a study Wednesday that confirms
dire predictions about the impact of
political turmoil on consumers.
Window-shopping on
HealthCare.gov went live
Wednesday, so across the country
consumers going online can see the
consequences themselves ahead of
the Nov. 1 start of sign-up season
for 2018.
The consulting firm Avalere
Health crunched newly released
government data and found that the
Trump administration’s actions are
contributing to the price hikes by
adding instability to the underlying
problems of the health law’s
marketplaces.
President Donald Trump
puts the blame squarely on
“Obamacare” saying the program
is imploding, while ignoring
warnings that his administration’s
actions could make things worse.
The Avalere analysis is for the
39 states using HealthCare.gov.
Along with the increase for silver
plans, premiums also are going up
by double digits for different levels
of coverage, including bronze (18
percent), gold (16 percent), and
platinum (24 percent).
Many states had higher
increases. Avalere found that
average plan silver premiums will
go up by 49 percent in Florida, 43
percent in Missouri, and 65 percent
in Wyoming.
Consumers eligible for income-
based tax credits will be protected
from rising premiums but those
who pay full-cost face a second
consecutive year of sharp premium
increases.
Only three states will see
declines — Alaska, Arizona, and
North Dakota.
Avalere said market instability
is driven by Trump’s recent
decision to end subsidy payments
to insurers, the continued debate
over “Obamacare” repeal and
replace, and a presidential
executive order that could open a
path for lower cost plans outside of
the Obama-era law.
Trump says Clinton
team funding for
Russia info ‘a disgrace’
WASHINGTON (AP) —
President Donald Trump and
fellow Republicans latched
onto revelations tying Hillary
Clinton’s presidential campaign to
a dossier of allegations about his
ties to Russia. The president said
Wednesday it was a “disgrace”
that Democrats had helped pay
for research that produced the
document.
“It’s just really — it’s a very
sad commentary on politics in this
country,” Trump said in addressing
reporters one day after news reports
revealed that the Clinton campaign
and the Democratic National
Committee, for several months
last year, helped fund research that
ultimately ended up in the dossier.
The document, compiled
by a former British spy and
alleging a compromised
relationship between Trump and
the Kremlin, has emerged this
year as a political flashpoint.
Law enforcement officials have
worked to corroborate its claims.
James Comey, FBI director at the
time, advised Trump about the
existence of the allegations, and
the ex-spy who helped assemble
the document, Christopher Steele,
has been questioned as part of
an ongoing probe into possible
coordination between Russia and
the Trump camp.
Trump has derided the
document as “phony stuff” and
“fake news” and portrayed himself
Wednesday as an aggrieved party,
posting on Twitter a quote he said
was from Fox News that referred
to him as “the victim.” The new
disclosure about the dossier’s
origins is likely to fuel complaints
by Trump and his supporters that
the document is merely a collection
of salacious and uncorroborated
claims.
“Well, I think it’s very sad
what they’ve done with this fake
dossier,” Trump said Wednesday,
adding without elaboration that
“they paid a tremendous amount
of money.” He contended that
Democrats had initially denied any
connection to the document, but
now, “they admitted it, and they’re
embarrassed by it.”
Separately Wednesday, the
editor of Wikileaks confirmed
that his group was approached by
Cambridge Analytica, a data firm
working for Trump’s campaign
during the 2016 election.
Julian Assange said Wikileaks
received a “request for
information” from Cambridge.
For more information, call 1-800-962-2819
2x3 EXAMPLE
Celebrate your loved ones in our
VETERANS DAY TRIBUTE
We are so
proud of you
for serving
your country.
Free Example:
Honoring those who have served
and those who are currently serving
our country!
They’ve served our country with
courage and honor. They’ve left
behind loved ones to risk their
lives while protecting our country.
They’ve defended our freedoms
and ideals. They make us proud to
be Americans. Help us honor them.
SALUTE E
1x4 EXAMPLE
Love
Evelyn,
We are
so
Joe
proud and
of you
Cheryl
for
serving
J OSEPH S MITH
your country.
J OSEPH B. D AVIS
Staff Sergeant
Joel Davis
US Marines
Veteran
This special section will print in the Hermiston Herald on Nov. 8 and
in the East Oregonian on Nov. 11, 2017. There is NO CHARGE to
be included. Bring us or send in photos of servicemen, servicewomen
or veterans, along with the information in the form to the right, by
November 2.
Thank you for
your service!
Love Evelyn,
Joe and
Cheryl
If you’d like to purchase a larger space to
include a special message, border, flags, or stars
and stripes, rates are $40 for a 1x4” space or $55
for a 2x3” space. Private party only.
Please call 1-800-962-2819.
Love always
Marcy, Julie &
Emily
Service Person’s Name
Military Branch
Your Name
Your Address
Your Phone Number
Military Rank
Currently Serving Veteran (Check One)
Deliver to:
East Oregonian
211 SE Byers Ave.
Pendleton, OR 97801
Hermiston Herald
333 E. Main.
Hermiston, OR 97830
or e-mail to classifieds@eastoregonian.com