McConnell: We Can’t Afford To Fund Highways Unless We Cut Benefits For Seniors And The Disabled [View all]

[KamaAina]

http://www.occupydemocrats.com/mcconnell-we-cant-afford-to-fund-highways-unless-we-cut-benefits-for-seniors-and-the-disabled/

One of the most embarrassing failures of Congress over the last few years has been their complete inability to fund the federal highway system- or any other significant part of our country’s infrastructure. For years, the government has passed a series of short-term funding measures for the highway trust fund in order to pay for the upkeep of the interstates and highways that run through the country. Last month, two brilliant foolish, anti-government Republicans proposed a bill that would completely defund the interstate highway system and hand power over to the states; but, Mitch McConnell thinks he has a better idea: fund highways by taking money away from federal employees’ retirement funds, homeowners, the elderly and disabled Americans on Social Security Disability.

Senator Majority Leader Mitch McConnell promised America that he would introduce a long-term funding bill for the Highway Trust Fund this month, but his plans to fund it leave much to be desired. McConnell’s bill would raise about $80 billion and fund projects for up to four years, but almost half of that would be raised on the backs of federal employees. The Majority Leader’s proposal would raise $30 billion by cutting the return investment rate on a retirement investment plan that many of our government’s employees invest in. ...

The retirement plan that would bear the brunt of the cuts is the G-Fund option in the federal Thrift Savings Program. Democrats say that if they were to allow the cuts it would have devastating effects on return investments for employees. McConnell’s proposal would cut the program’s interest rate, which is based on a four-year average, to three months. This would make the returns much lower and not as safe as they are under the current system.

Another Republican option to raise the money for a long-term bill is to eliminate the Home Affordable Modification Program (HAMP). HAMP was established by President Obama in 2009 to help homeowners who were behind in their mortgage payments to refinance their loans by using funds from the 2008 bank bailout. The program has helped more than a million Americans stay in their homes; help that would no longer be available is the GOP has their way.

I'm getting a craving for turtle soup.