President Obama Urges Congress to Prevent Tax Hikes on Middle Class Americans

Colleen Curtis
Colleen Curtis
December 28, 2012
07:16 PM EDT

President Obama delivers a statement to the press, Dec. 28, 2012.

President Barack Obama delivers a statement to the press in the James S. Brady Press Briefing Room of the White House, Dec. 28, 2012. (Official White House Photo by Chuck Kennedy)

With just four days left before tax rates are scheduled to rise, President Obama met with Senate and House leaders at the White House to talk about how Congress can prevent every American from seeing a smaller paycheck next week.

Speaking in the Brady Press Briefing room after that meeting, the President characterized the discussion as "good and constructive" and said that he is optimistic an agreement that can pass both houses will be reached in time. But he warned Congress that the American people are losing patience, and that they must act now: 

if an agreement isn’t reached in time between Senator Reid and Senator McConnell, then I will urge Senator Reid to bring to the floor a basic package for an up-or-down vote –- one that protects the middle class from an income tax hike, extends the vital lifeline of unemployment insurance to two million Americans looking for a job, and lays the groundwork for future cooperation on more economic growth and deficit reduction. 

I believe such a proposal could pass both houses with bipartisan majorities as long as those leaders allow it to actually come to a vote. If members of the House or the Senate want to vote no, they can –- but we should let everybody vote.  That’s the way this is supposed to work. If you can get a majority in the House and you can get a majority in the Senate, then we should be able to pass a bill. 

Related Topics: Middle-Class Tax Cuts, Economy

President Obama Makes a Statement on Averting Tax Hikes for Middle Class Families

December 28, 2012 | 6:06 | Public Domain

The President tells the press that leaders in Congress may be able to reach an agreement that can pass both houses in time.

Download mp4 (228MB) | mp3 (15MB)

Read the Transcript

Statement by the President

James S. Brady Press Briefing Room

 

5:52 P.M. EST

THE PRESIDENT:  Good afternoon, everybody.  For the past couple of months, I’ve been working with leaders of both parties to try and forge an agreement that would grow our economy and shrink the deficit -- a balanced plan that would cut spending in a responsible way but also ask the wealthiest Americans to pay a little more, and, above all, protect our middle class and everybody who is striving to get into the middle class.

I still want to get this done.  It’s the right thing to do for our families, for our businesses, and for our entire economy.  But the hour for immediate action is here.  It is now. 

We’re now at the point where, in just four days, every American’s tax rates are scheduled to go up by law.  Every American’s paycheck will get considerably smaller.  And that would be the wrong thing to do for our economy, it would be bad for middle-class families, and it would be bad for businesses that depend on family spending.  Fortunately, Congress can prevent it from happening if they act right now.

I just had a good and constructive discussion here at the White House with Senate and House leadership about how to prevent this tax hike on the middle class, and I’m optimistic we may still be able to reach an agreement that can pass both houses in time.  Senators Reid and McConnell are working on such an agreement as we speak.

But if an agreement isn’t reached in time between Senator Reid and Senator McConnell, then I will urge Senator Reid to bring to the floor a basic package for an up-or-down vote –- one that protects the middle class from an income tax hike, extends the vital lifeline of unemployment insurance to two million Americans looking for a job, and lays the groundwork for future cooperation on more economic growth and deficit reduction. 

I believe such a proposal could pass both houses with bipartisan majorities as long as those leaders allow it to actually come to a vote.  If members of the House or the Senate want to vote no, they can –- but we should let everybody vote.  That’s the way this is supposed to work.  If you can get a majority in the House and you can get a majority in the Senate, then we should be able to pass a bill. 

So the American people are watching what we do here.  Obviously, their patience is already thin.  This is déjà vu all over again.  America wonders why it is that in this town, for some reason, you can't get stuff done in an organized timetable; why everything always has to wait until the last minute.  Well, we're now at the last minute, and the American people are not going to have any patience for a politically self-inflicted wound to our economy.  Not right now. 

The economy is growing, but sustaining that trend is going to require elected officials to do their jobs.  The housing market is recovering, but that could be impacted if folks are seeing smaller paychecks.  The unemployment rate is the lowest it’s been since 2008, but already you're seeing businesses and consumers starting to hold back because of the dysfunction that they see in Washington. 

Economists, business leaders all think that we’re poised to grow in 2013 –- as long as politics in Washington don’t get in the way of America’s progress. 

So we've got to get this done.  I just want to repeat -- we had a constructive meeting today.  Senators Reid and McConnell are discussing a potential agreement where we can get a bipartisan bill out of the Senate, over to the House and done in a timely fashion so that we've met the December 31st deadline.  But given how things have been working in this town, we always have to wait and see until it actually happens.  The one thing that the American people should not have to wait and see is some sort of action.  

So if we don’t see an agreement between the two leaders in the Senate, I expect a bill to go on the floor -- and I've asked Senator Reid to do this -- put a bill on the floor that makes sure that taxes on middle-class families don’t go up, that unemployment insurance is still available for two million people, and that lays the groundwork, then, for additional deficit reduction and economic growth steps that we can take in the New Year. 

But let's not miss this deadline.  That’s the bare minimum that we should be able to get done, and it shouldn’t be that hard since Democrats and Republicans both say they don’t want to see taxes go up on middle-class families. 

I just have to repeat -- outside of Washington, nobody understands how it is that this seems to be a repeat pattern over and over again.  Ordinary folks, they do their jobs.  They meet deadlines.  They sit down and they discuss things, and then things happen.  If there are disagreements, they sort through the disagreements.  The notion that our elected leadership can't do the same thing is mind-boggling to them.  It needs to stop. 

So I'm modestly optimistic that an agreement can be achieved.  Nobody is going to get 100 percent of what they want, but let's make sure that middle-class families and the American economy -- and, in fact, the world economy -- aren't adversely impacted because people can't do their jobs. 

Thank you very much, everybody.

END
5:57 P.M. EST

Close Transcript

The White House

Office of the Press Secretary

For Immediate Release
December 28, 2012

Notice - Waiver from Rescission of Unobligated Funds Under the American Recovery and Reinvestment Act of 2009

NOTICE

- - - - - - -

WAIVER FROM RESCISSION OF UNOBLIGATED FUNDS UNDER THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009

Consistent with the authority provided to me under the American Recovery and Reinvestment Act of 2009 (Public Law 111-5), as amended by section 1306 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Public Law 111-203), I have determined that it is not in the best interest of the Nation to rescind after December 31, 2012, the unobligated amounts made available in Division A of the American Recovery and Reinvestment Act with respect to the accounts with the following Treasury Account Fund Symbol codes and names, not to exceed the amounts stated:

Department of Defense: 97-0501 -- Military Construction, Defense-wide, $104 million;

Department of Energy: 89-0209 -- Title 17 Innovative Technology Loan Guarantee Program, $96 million;

Social Security Administration: 28X8704 -- Limitation on Administrative Expenses, $148 million; and

Small Business Administration: 73-4268 -- Surety Bond Guarantees Revolving Fund, $15 million.

My determination is based on the following consideration:

The retention of these unobligated balances will allow the executive agencies to continue to execute projects vital to the national interest in a fiscally responsible manner.

Therefore, in accordance with section 1306 of Public Law 111-203, I am waiving the requirements for repayment for the stated amounts of unobligated funds made available in the American Recovery and Reinvestment Act with respect to the accounts described above.

In accordance with section 1603(b) of the American Recovery and Reinvestment Act of 2009, as added by section 1306 of Public Law 111-203, all amounts that are rescinded pursuant to section 1603(b) shall be returned to the General Fund of the Treasury where such amounts shall be dedicated for the sole purpose of deficit reduction and prohibited from use as an offset for other spending increases or revenue reductions.

This notice shall be published in the Federal Register.

BARACK OBAMA

The White House

Office of the Press Secretary

For Immediate Release
December 28, 2012

Statement by the Press Secretary on H.J. Res. 122, H.R. 3477, H.R. 3783, H.R. 3870, H.R. 3912, H.R. 5738, H.R. 5837, H.R. 5954, H.R. 6116, H.R. 6223, S. 285, S. 1379, S. 2170, S. 2367, S. 3193, S. 3311, S. 3315, S. 3564, and S. 3642

On Friday, December 28, 2012, the President signed into law:

H.J. Res. 122, which establishes Friday, January 4, 2013, as the date for the counting by Congress of the electoral votes for President and Vice President cast by the electors in December 2012;

H.R. 3477, which designates the facility of the United States Postal Service in Crosby, Texas, as the Army First Sergeant David McNerney Post Office Building;

H.R. 3783, the "Countering Iran in the Western Hemisphere Act of 2012," which develops a strategy to counter Iran's growing presence and activity in the Western Hemisphere;

H.R. 3870, which designates the facility of the United States Postal Service in Rose Bud, Arkansas, as the "Nicky 'Nick' Daniel Bacon Post Office";

H.R. 3912, which designates the facility of the United States Postal Service in Mastic Beach, New York, as the "Brigadier General Nathaniel Woodhull Post Office Building";

H.R. 5738, which designates the facility of the United States Postal Service in Macomb, Michigan, as the "Lance Cpl. Anthony A. DiLisio Clinton-Macomb Carrier Annex";

H.R. 5837, which designates the facility of the United States Postal Service in Baldwinsville, New York, as the "Corporal Kyle Schneider Post Office Building";

H.R. 5954, which designates the facility of the United States Postal Service in Ellwood City, Pennsylvania, as the "Sergeant Leslie H. Sabo, Jr. Post Office Building";

H.R. 6116, which authorizes the U.S. Supreme Court, at its discretion, to review all final judgments rendered by the Virgin Islands Supreme Court;

H.R. 6223, which establishes that:  the period of continuous residence and physical presence in the United States required for an alien to be eligible for U.S. citizenship is not broken by absence from the United States due to employment by a Chief of Mission or the Armed Forces as a translator or interpreter or in a security-related position; and no portion of that time would have to be spent in Iraq or Afghanistan;

S. 285, which makes Sopuruchi Chukwueke eligible for adjustment of status to that of lawful permanent resident;

S. 1379, the "D.C. Courts and Public Defender Service Act of 2011," which authorizes the Superior Court of the District of Columbia to delay judicial deadlines in the event of natural disasters; and modifies other authorities of the District of Columbia Courts;

S. 2170, the "Hatch Act Modernization Act of 2012," which modifies penalties under the Hatch Act to provide for a range of possible disciplinary actions in addition to removal for Federal employees; provides explicitly that various provisions of the Hatch Act that are applicable to State and local governments are in the same way applicable to the District of Columbia; and applies the prohibition against State and local employees being candidates for elective office only to employees whose salary is paid completely by Federal loans or grants;

S. 2367, the "21st Century Language Act of 2012," which strikes the word "lunatic" and the phrase "committee of estates of lunatics" from the rules of construction of the U.S. Code and from certain banking law provisions, respectively;

S. 3193, the "Barona Band of Mission Indians Land Transfer Clarification Act of 2012," which amends the Native American Technical Corrections Act of 2004 to revise the description of the land to be held in trust for the Barona Band of Mission Indians of California;

S. 3311, which designates the United States courthouse in Billings, Montana, as the "James F. Battin United States Courthouse";

S. 3315, the "GAO Mandates Revision Act of 2012," which modifies or eliminates several current law requirements for Government Accountability Office reports, reviews, and audits;

S. 3564, the "Public Interest Declassification Board Reauthorization Act of 2012," which reauthorizes the Public Interest Declassification Board for two years through December 31, 2014;

S. 3642, the "Theft of Trade Secrets Clarification Act of 2012," which makes it a Federal crime for an individual or an organization to steal, attempt to steal, or conspire to steal a trade secret related to a product or service used in or intended for use in interstate or foreign commerce; and

S. 3687, which reauthorizes the Lake Pontchartrain Basin Restoration Program through FY 2017, conveys the McKinney Lake National Fish Hatchery, modifies a provision of the Lacey Act with regard to a Texas Water District, and designates or re designates specified Federal buildings. 

The White House

Office of the Press Secretary

For Immediate Release
December 28, 2012

Statement by the President

James S. Brady Press Briefing Room

5:52 P.M. EST

THE PRESIDENT: Good afternoon, everybody. For the past couple of months, I’ve been working with leaders of both parties to try and forge an agreement that would grow our economy and shrink the deficit -- a balanced plan that would cut spending in a responsible way but also ask the wealthiest Americans to pay a little more, and, above all, protect our middle class and everybody who is striving to get into the middle class.

I still want to get this done. It’s the right thing to do for our families, for our businesses, and for our entire economy. But the hour for immediate action is here.  It is now. 

We’re now at the point where, in just four days, every American’s tax rates are scheduled to go up by law. Every American’s paycheck will get considerably smaller.  And that would be the wrong thing to do for our economy, it would be bad for middle-class families, and it would be bad for businesses that depend on family spending. Fortunately, Congress can prevent it from happening if they act right now.

I just had a good and constructive discussion here at the White House with Senate and House leadership about how to prevent this tax hike on the middle class, and I’m optimistic we may still be able to reach an agreement that can pass both houses in time. Senators Reid and McConnell are working on such an agreement as we speak.

But if an agreement isn’t reached in time between Senator Reid and Senator McConnell, then I will urge Senator Reid to bring to the floor a basic package for an up-or-down vote –- one that protects the middle class from an income tax hike, extends the vital lifeline of unemployment insurance to two million Americans looking for a job, and lays the groundwork for future cooperation on more economic growth and deficit reduction. 

I believe such a proposal could pass both houses with bipartisan majorities as long as those leaders allow it to actually come to a vote.  If members of the House or the Senate want to vote no, they can –- but we should let everybody vote. That’s the way this is supposed to work.  If you can get a majority in the House and you can get a majority in the Senate, then we should be able to pass a bill. 

So the American people are watching what we do here. Obviously, their patience is already thin. This is déjà vu all over again. America wonders why it is that in this town, for some reason, you can't get stuff done in an organized timetable; why everything always has to wait until the last minute. Well, we're now at the last minute, and the American people are not going to have any patience for a politically self-inflicted wound to our economy. Not right now. 

The economy is growing, but sustaining that trend is going to require elected officials to do their jobs. The housing market is recovering, but that could be impacted if folks are seeing smaller paychecks. The unemployment rate is the lowest it’s been since 2008, but already you're seeing businesses and consumers starting to hold back because of the dysfunction that they see in Washington. 

Economists, business leaders all think that we’re poised to grow in 2013 –- as long as politics in Washington don’t get in the way of America’s progress. 

So we've got to get this done. I just want to repeat -- we had a constructive meeting today.  Senators Reid and McConnell are discussing a potential agreement where we can get a bipartisan bill out of the Senate, over to the House and done in a timely fashion so that we've met the December 31st deadline. But given how things have been working in this town, we always have to wait and see until it actually happens. The one thing that the American people should not have to wait and see is some sort of action.  

So if we don’t see an agreement between the two leaders in the Senate, I expect a bill to go on the floor -- and I've asked Senator Reid to do this -- put a bill on the floor that makes sure that taxes on middle-class families don’t go up, that unemployment insurance is still available for two million people, and that lays the groundwork, then, for additional deficit reduction and economic growth steps that we can take in the New Year. 

But let's not miss this deadline.  That’s the bare minimum that we should be able to get done, and it shouldn’t be that hard since Democrats and Republicans both say they don’t want to see taxes go up on middle-class families. 

I just have to repeat -- outside of Washington, nobody understands how it is that this seems to be a repeat pattern over and over again.  Ordinary folks, they do their jobs. They meet deadlines. They sit down and they discuss things, and then things happen. If there are disagreements, they sort through the disagreements. The notion that our elected leadership can't do the same thing is mind-boggling to them. It needs to stop. 

So I'm modestly optimistic that an agreement can be achieved. Nobody is going to get 100 percent of what they want, but let's make sure that middle-class families and the American economy -- and, in fact, the world economy -- aren't adversely impacted because people can't do their jobs. 

Thank you very much, everybody.

END                5:57 P.M. EST

President and Mrs. Obama Visit Troops on Christmas Day

Colleen Curtis
Colleen Curtis
December 28, 2012
11:04 AM EDT
President Obama and First Lady Michelle Obama visit with members of the military at Marine Corps Base Hawaii, Dec. 25, 2012

President Barack Obama delivers remarks as he and First Lady Michelle Obama visit with members of the military and their families at Marine Corps Base Hawaii in Kaneohe Bay, Hawaii, Dec. 25, 2012. (by Pete Souza)

Continuing what has become an annual tradition that is a highlight of their holiday celebrations, President Obama and First Lady Michelle Obama spent some time on Christmas Day at the Marine Corps Base in Kaneohe Bay, Hawaii. 

The First Couple was there to visit with military families, and to thank them for the extraordinary work they do each and every day:

Obviously, the greatest honor I have as President is being Commander-in-Chief. And the reason it’s an honor is because not only do we have the finest military in the world but we also have the finest fighting men and women in the world. And so many of you make sacrifices day in, day out on behalf of our freedom, on behalf of our security.  

And not only do those in uniform make sacrifices, but I think everybody here understands the sacrifices that families make each and every day as well.  And Michelle, working with Dr. Jill Biden, has done a lot of work to focus attention on our military families to make sure that you get the support that you have earned and that you deserve.

So I’m not going to make a long speech. Obviously, we’re still in a wartime footing. There are still folks, as we speak, who are overseas, especially in Afghanistan, risking their lives each and every day. Some of you may have loved ones who are deployed there.  Some of you may be about to be deployed there. And so we know that it’s not easy. But what we also want you to know is that you have the entire country behind you, and that all of us understand that we would be nowhere without the extraordinary service that you guys provide.

And so we want to say thank you, we love you. 

Watch the President's full remarks

 

Related Topics: Veterans, Hawaii

West Wing Week: 12/28/12 or "Best of the West (Wing Week)"

Adam Garber
Adam Garber
December 28, 2012
12:00 AM EDT

Welcome to the "Best of the West (Wing Week)!"  That's right, folks, West Wing Week took some time over the holidays to reflect on a busy year in video, and to bring you some highlights from the archive. But first, a quick wrap up of the President's week.

Related Topics: Inside the White House, Hawaii, Pennsylvania

West Wing Week: 12/28/12 or "Best of the West (Wing Week)"

December 27, 2012 | 3:36 | Public Domain

Welcome to the "Best of the West (Wing Week)!" That's right, folks, West Wing Week took some time over the holidays to reflect on a busy year in video, and to bring you some highlights from the archive. But first, a quick wrap up of the President's week.

Download mp4 (119.2MB)

The White House

Office of the Press Secretary

For Immediate Release
December 27, 2012

Executive Order -- Adjustments of Certain Rates of Pay

EXECUTIVE ORDER
 
- - - - - - -
 
ADJUSTMENTS OF CERTAIN RATES OF PAY
 
 

     By the authority vested in me as President by the Constitution and the laws of the United States of America, including section 114(b) of the Continuing Appropriations Resolution, 2013 (Public Law 112–175), which provides that any statutory adjustments to current levels in certain pay schedules for civilian Federal employees may take effect on the first day of the first applicable pay period beginning after the date specified in section 106(3) of Public Law 112-175, it is hereby ordered as follows:

     Section 1. Statutory Pay Systems. The rates of basic pay or salaries of the statutory pay systems (as defined in 5 U.S.C. 5302(1)), as adjusted under 5 U.S.C. 5303, are set forth on the schedules attached hereto and made a part hereof:

     (a) The General Schedule (5 U.S.C. 5332(a)) at Schedule 1;

     (b) The Foreign Service Schedule (22 U.S.C. 3963) at Schedule 2; and

     (c) The schedules for the Veterans Health Administration of the Department of Veterans Affairs (38 U.S.C. 7306, 7404; section 301(a) of Public Law 102-40) at Schedule 3.

     Sec. 2. Senior Executive Service. The ranges of rates of basic pay for senior executives in the Senior Executive Service, as established pursuant to 5 U.S.C. 5382, are set forth on Schedule 4 attached hereto and made a part hereof.

     Sec. 3. Certain Executive, Legislative, and Judicial Salaries. The rates of basic pay or salaries for the following offices and positions are set forth on the schedules attached hereto and made a part hereof:

     (a) The Executive Schedule (5 U.S.C. 5312–5318) at Schedule 5;

     (b) The Vice President (3 U.S.C. 104) and the Congress (2 U.S.C. 31) at Schedule 6; and

     (c) Justices and judges (28 U.S.C. 5, 44(d), 135, 252, and 461(a), and section 140 of Public Law 97–92) at Schedule 7.

     Sec. 4. Uniformed Services. The rates of monthly basic pay (37 U.S.C. 203(a)) for members of the uniformed services, as adjusted under 37 U.S.C. 1009, and the rate of monthly cadet or midshipman pay (37 U.S.C. 203(c)) are set forth on Schedule 8 attached hereto and made a part hereof.

     Sec. 5. Locality-Based Comparability Payments. (a) Pursuant to section 5304 of title 5, United States Code, and my authority to implement an alternative level of comparability payments under section 5304a of title 5, United States Code, locality-based comparability payments shall be paid in accordance with Schedule 9 attached hereto and made a part hereof.

     (b) The Director of the Office of Personnel Management shall take such actions as may be necessary to implement these payments and to publish appropriate notice of such payments in the Federal Register.

     Sec. 6. Administrative Law Judges. Pursuant to section 5372 of title 5, United States Code, the rates of basic pay for administrative law judges are set forth on Schedule 10 attached hereto and made a part hereof.

     Sec. 7. Effective Dates. Schedule 8 is effective January 1, 2013. The other schedules contained herein are effective on the first day of the first applicable pay period beginning after the date specified in section 106(3) of Public Law 112–175.

     Sec. 8. Prior Order Superseded. Executive Order 13594 of December 19, 2011, is superseded as of the effective dates specified in section 7 of this order.

 
BARACK OBAMA
 
 
THE WHITE HOUSE,
       December 27, 2012.

The White House

Office of the Press Secretary

For Immediate Release
December 27, 2012

Statement by the President on EPA Administrator Lisa Jackson's Announcement that She Will Leave the Administration Early Next Year

 

Over the last four years, Lisa Jackson has shown an unwavering commitment to the health of our families and our children. Under her leadership, the EPA has taken sensible and important steps to protect the air we breathe and the water we drink, including implementing the first national standard for harmful mercury pollution, taking important action to combat climate change under the Clean Air Act, and playing a key role in establishing historic fuel economy standards that will save the average American family thousands of dollars at the pump, while also slashing carbon pollution. Lisa has been an important part of my team, and I want to thank her for her service in my Administration and her tireless efforts to benefit the American people. I wish her all the best wherever her future takes her.