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"McConnell says no ‘blue state’ coronavirus bailouts, effectively telling New York to drop dead"

missy

Super_Ideal_Rock
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The Coronavirus attacks both democrats and republicans. Perhaps the Senator doesn't realize this. Oh no wait, he just doesn't give a damn.






"
McConnell Says States Should Consider Bankruptcy, Rebuffing Calls for Aid
The majority leader’s comments drew a strong rebuke from Gov. Andrew M. Cuomo.


Senator Mitch McConnell’s objections of aid to the states were highlighted in a news release with a section focused on “Stopping Blue State Bailouts.”

Senator Mitch McConnell’s objections of aid to the states were highlighted in a news release with a section focused on “Stopping Blue State Bailouts.”Credit...Anna Moneymaker/The New York Times
Carl Hulse
By Carl Hulse
  • April 22, 2020


WASHINGTON — Senator Mitch McConnell took a hard line on Wednesday against giving cash-short states more federal aid in future emergency pandemic relief legislation, saying that those suffering steep shortfalls amid the coronavirus crisis should instead consider bankruptcy.
“I think this whole business of additional assistance for state and local governments needs to be thoroughly evaluated,” Mr. McConnell, Republican of Kentucky and the majority leader, said in an interview with the conservative radio host Hugh Hewitt. “There’s not going to be any desire on the Republican side to bail out state pensions by borrowing money from future generations.”
Mr. McConnell’s comments were an explicit rejection of a top priority of Democrats who have pushed to spend tens of billions of dollars to help states.

His staff members highlighted their partisan cast in a news release circulated a short time later, in which his statement appeared under the heading “Stopping Blue State Bailouts.” The phrase suggested that the top Senate Republican was singling out for scorn some of the hardest-hit, heavily Democratic states such as California, Illinois and New York.

The remarks drew a caustic reaction from Gov. Andrew M. Cuomo of New York, who called the bankruptcy suggestion “one of the saddest, really dumb comments of all time.”




“OK, let’s have all the states declare bankruptcy — that’s the way to bring the national economy back,” he said.
Updated 7m ago

Mr. Cuomo accused Mr. McConnell of hyperpartisanship, criticizing him for distinguishing among states based on their political leanings, rather than “states where people are dying. Why don’t we think about that? Not red and blue. Red, white and blue. They’re just Americans dying.”



Representative Peter T. King of New York, a fellow Republican, called Mr. McConnell’s remarks “shameful and indefensible.” “To say that it is ‘free money’ to provide funds for cops, firefighters and healthcare workers makes McConnell the Marie Antoinette of the Senate,” Mr. King said on Twitter on Wednesday night.
States do not now have the ability to declare bankruptcy to reduce their financial obligations, but Mr. McConnell raised the possibility of letting them do so rather than pouring federal money into rescuing them, which would push the federal government deeper into debt.
“I would certainly be in favor of allowing states to use the bankruptcy route,” he said. “It saves some cities. And there’s no good reason for it not to be available.”



The Democratic push for more federal aid to states and cities contending with a budget crunch because of the pandemic was a major sticking point in the latest round of legislation to respond to the outbreak, slated to clear Congress on Thursday, with Senate Republicans refusing to budge on the issue in negotiations.
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Mr. McConnell had already made it clear on Tuesday that he would approach the next round of emergency funding much more cautiously. He went further in his comments on Wednesday, saying that he did not want Washington rescuing the pension plans of states that were struggling to keep up with their commitments to an array of union workers.
“We’ll certainly insist that anything we’d borrow to send down to the states is not spent on solving problems that they created for themselves over the years with their pension programs,” he said.
Mr. McConnell is likely to run into considerable resistance to his position from the White House, congressional Democrats, governors of both parties and even some lawmakers in his own party.
After the Senate vote Tuesday, top Democrats said that President Trump was open to the idea of helping states with their pension issues and that Mr. McConnell had been the chief obstacle to getting money for local governments this time around.
In a pair of Twitter posts on Tuesday, Mr. Trump said that after he signed the latest round of emergency pandemic legislation, he was ready to open discussions on help for “State/Local Governments for lost revenues from COVID 19, much needed Infrastructure Investments for Bridges, Tunnels, Broadband, Tax Incentives for Restaurants, Entertainment, Sports, and Payroll Tax Cuts to increase Economic Growth.”
Democrats were also confident that Congress would move forward with more relief for states, with Democratic leaders of the House and Senate promising a robust program. Several Republican lawmakers have introduced or signed on to proposals to provide huge sums to struggling states.



In his rebuke to Mr. McConnell, Mr. Cuomo said the most recent round of coronavirus relief was woefully inadequate, complaining that the lack of money for states was ridiculous.
“They funded small businesses,” he said. “Great, good move. How about police? How about fire? How about teachers? How about schools?”

Mr. McConnell is a longtime rival of the labor movement and will be in no hurry to move forward with anything resembling pension relief for what he considers overly generous benefits that states mistakenly provided.
“We all have governors regardless of party who would love to have free money,” he said."



I watched Cuomo discussing this last night with his brother on his show and I was SMH. The senator actually said to Cuomo (according to Cuomo last night) that we aren't bailing out blue states who don't support us. WTH. So now it has come down to the lowest of the low. Federal government supporting those states who are Republican and saying F you to the states that vote Democrat. Wow.

:nono:
 
No pension bailouts is a huge difference than no cavid aid.
The states have been trying to shove their pension obligation onto the feds for years now and they are again trying to abuse a national tragedy to do so.
The pensions are a state obligation not a federal one.
The feds should not pay it.
 
@Karl_K, Please, McConnell is ridiculous. He said don't help NY state because it is a democratic state. Ugly ugly ugly statement and ugly ugly ugly behavior. 15K people died in NY but hey they were predominantly democrat so why should we help them. Partisan BS and pettiness. That is not who we are.


It is time for humanity and decency and not Bipartisan political obsessive bias BS. NYS puts more money into the Federal pot. 116 Billion more than it takes out!!! New York puts in more than it takes out and Senator McConnell state takes out way more than it puts it. Are you listening? Any comments on that? Your state is getting bailed out McConnell. Not our state.

His BS behavior is Irresponsible and reckless and it makes me SICK. Who the f cares about political party?

We should all support each other. This is not the time nor the place to start with divisive political BS. No red. No blue. We are talking about human lives. Democrats and Republicans should unite and fight against Covid 19.
 
If he said blue state then that is stupid especially in this time. But @Karl_K is right that states should not be using this virus to bail out their pension plans that were in crisis long before.
 
If he said blue state then that is stupid especially in this time. But @Karl_K is right that states should not be using this virus to bail out their pension plans that were in crisis long before.

Not if, he did. And he is stupid. Oops I mean his behavior is stupid. And mean. And stupid. Read what I wrote above. NY state contributes a lot more than his state. And in any case we are talking about lives here. And that always matters.

If NY state declares bankruptcy good luck to the whole country. We are all in it so deep.



But I do agree with you pensions have been mismanaged and yes the budget has been f'd up. I don't have an answer. Just wanted to acknowledge that yes you have a good point and I don't disagree with that.
 
Not if, he did. And he is stupid. Oops I mean his behavior is stupid. And mean. And stupid. Read what I wrote above. NY state contributes a lot more than his state. And in any case we are talking about lives here. And that always matters.

If NY state declares bankruptcy good luck to the whole country. We are all in it so deep.

Ok. We're not talking about lives on a pension bailout, Covid funds yes. I get you are angry at McConnell for saying something stupid. But there has to be a point where the Fed Gov says no to the asking for $ by the states. Bailing out pensions is that point.
 
NYS puts more money into the Federal pot. 116 Billion more than it takes out!!!
It is not the federal governments job to put money into a state.
The people pay federal taxes to fund federal expense that the government is so messed up that the federal government funds the states for anything is so wrong.
My state is trying to pull the same thing, get the federal government to fund the state pension obligations.
 
I don't find anything disagreeable with these general statements...It's not like any of these problems were caused by Covid. Lives are not at risk and it isn't the job of the federal government to bail out any state that for DECADES has mismanaged its budget and overspent while over-promising on pensions.

“There’s not going to be any desire on the Republican side to bail out state pensions by borrowing money from future generations.”
Mr. McConnell’s comments were an explicit rejection of a top priority of Democrats who have pushed to spend tens of billions of dollars to help states.

He went further in his comments on Wednesday, saying that he did not want Washington rescuing the pension plans of states that were struggling to keep up with their commitments to an array of union workers.
“We’ll certainly insist that anything we’d borrow to send down to the states is not spent on solving problems that they created for themselves over the years with their pension programs,” he said.

He didn't single out red or blue states there. Did any red states ask for a bailout??
 
No pension bailouts is a huge difference than no cavid aid.
The states have been trying to shove their pension obligation onto the feds for years now and they are again trying to abuse a national tragedy to do so.
The pensions are a state obligation not a federal one.
The feds should not pay it.

So the first responders that have been saving lives should lose their pensions, medical and jobs? Cuomo had the facts. NY contributes to the federal government more than it receives. KY, McConnell's state, takes more from the federal government then they contribute.
 
So the first responders that have been saving lives should lose their pensions, medical and jobs? Cuomo had the facts. NY contributes to the federal government more than it receives. KY, McConnell's state, takes more from the federal government then they contribute.

Come on now, that is exactly what Cuomo is doing by using this virus to get aid for their pension problems. So you are saying that taxpayers from the other states should pay for NY or IL pensions? It doesn't matter how much what state pays into fed gov when it comes to pensions and Cuomo knows that but he's play this virus.

ETA - the states need funds because of this crisis but it should have strict restrictions on where it is spent.
 
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So the first responders that have been saving lives should lose their pensions, medical and jobs? Cuomo had the facts. NY contributes to the federal government more than it receives. KY, McConnell's state, takes more from the federal government then they contribute.

Exactly.





"
Cuomo than highlighted McConnell's hypocrisy by pointing out that Kentucky is far more dependent on federal funding for its state budget than New York.

"His state, the state of Kentucky, takes out $138 billion more than they put in," Cuomo said. "New York puts in more money to the federal pot than it takes out . . . Senator McConnell, who's getting bailed out here? . . . Your state is getting bailed out — not my state."
 
No pension bailouts is a huge difference than no cavid aid.
The states have been trying to shove their pension obligation onto the feds for years now and they are again trying to abuse a national tragedy to do so.
The pensions are a state obligation not a federal one.
The feds should not pay it.

Kentucky takes more Federal $$ than it gives to the country - about $33k per person. We are a united country so NY and CA taxpayer $$ goes to Kentucky.

‘At another level, it’s also really something to see McConnell, whose state is heavily subsidized by the federal government, give lectures on self-reliance to states like New York that pay much more in federal taxes than they get back.

We’re not talking about small numbers here. According to estimates by the Rockefeller Institute, from 2015 to 2018 Kentucky — which pays relatively little in federal taxes, because it’s fairly poor, but gets major benefits from programs like Medicare and Social Security — received net transfers from Washington averaging more than $33,000 per person. That was 18.6 percent of the state’s G.D.P.‘

 
Come on now, that is exactly what Cuomo is doing by using this virus to get aid for their pension problems. So you are saying that taxpayers from the other states should pay for NY or IL pensions? It doesn't matter how much what state pays into fed gov when it comes to pensions and Cuomo knows that but he's play this virus.

ETA - the states need funds because of this crisis but it should have strict restrictions on where it is spent.
In IL the same thing is happening, it is a constant fight to keep the rest of the state from having to pay for Chicago and cps pensions.
It is not the rest of the states people's bill to pay.
 
In IL the same thing is happening, it is a constant fight to keep the rest of the state from having to pay for Chicago and cps pensions.
It is not the rest of the states people's bill to pay.

I don't know what happened in IL, but the State of Maine raided pension funds in recessionary times and used money that would have gone to future retirees to aid the entire state. So yes, in that case it IS the rest of the state's bill to pay.

I also don't know the particulars of what's going on now with NY and other states that McConnell thinks should file bankruptcy. But if they did the same, used pension funds to cover state needs while at the same time paying more than their fair share to the feds, then they should absolutely be helped out now.
 
I don't know what happened in IL, but the State of Maine raided pension funds in recessionary times and used money that would have gone to future retirees to aid the entire state. So yes, in that case it IS the rest of the state's bill to pay.

I also don't know the particulars of what's going on now with NY and other states that McConnell thinks should file bankruptcy. But if they did the same, used pension funds to cover state needs while at the same time paying more than their fair share to the feds, then they should absolutely be helped out now.
In Chicago/cps they just never funded the pensions.
I understand that is the case in NY also.

The US budget is not some number/number of states here is your bill. So a fair share as defined by the amount of money paid in federal taxes is not even a valid concept.
It is not a duty of the federal government to give money to states, it raises money and pays federal expenses.
If there are more federal expenses in one area than another that is not a fairness matter.
 
The Fed Gov is not a bank account from which states make deposits and withdrawals.

Edit - Bailing out states for fiscal problems of their own making is not something the Fed Gov should even start because where would that snowball stop?
 
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btw I am not disputing that some politician may or may not have said some stupid stuff, that's what they do.
I dont even care enough about it to research it.
I am talking about the core issue of trying to pass a state debt off to the federal government.
 
btw I am not disputing that some politician may or may not have said some stupid stuff, that's what they do.

I agree with you there @Karl_K.
I forget who said this but oh it’s true.
“Politics is a slimy thing”
 
Equating social safety net programs to pension deficits is apples and oranges. As a country we have agreed to provide food, housing, medical assistance etc. to the poorest among us. We have not all agreed to bloated pension obligations negotiated between individual states and their employees.

We also don’t have a system where you get out what you put in. Otherwise sign me to get all of my SS money back...just what I put in, not a penny more and I’ll be very happy.

If Cuomo and other governors want a bailout for pensions or anything state related the federal government should at least renegotiate those obligations for which they would be taking responsibility and the state governments give up any control/input. There can not be responsibility/accountability without authority.

ETA- I’d go so far as to say the federal government should have ability to have input/control over their entire budget. Not that the feds are any better at budgeting but there should be stronger overall oversight/management if a state can not manage it’s own obligations.
 
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