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Top Trump Econ Adviser: We're Working on Rescinding Parts of $1.3 Trillion Omnibus

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White House chief economic adviser Larry Kudlow confirmed over the weekend that the Trump administration is looking into rescinding portions of the $1.3 trillion omnibus bill passed last month, as the Congressional Budget Office forecasts massive deficits.

When he signed the spending bill, President Donald Trump indicated he did so for the sake of getting badly needed defense spending increases.

“So if we take something for the military, (the Democrats) want something for, in many cases things that are really a wasted sum of money,” Trump said.

“There are a lot of things that I’m unhappy about in this bill,” he added. “There are a lot of things that we shouldn’t have had in this bill, but we were, in a sense, forced — if we want to build our military — we were forced to have.”

On “Fox News Sunday,” Kudlow was asked about White House plans to “undo” parts of the bill, cutting some expenditures through rescission legisiation.

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“It’s playing in the White House. My friend,” Kudlow told FNC host Chris Wallace. “(Office of Management and Budget) Director Mick Mulvaney, he and I are on.

“We are looking at an enhanced rescission package. I’m not going to use numbers. This is all around town.”

The former Reagan administration budget official went on to observe, “I think the Republican Party on the Hill has finally figured out that it’s really not a bad idea to trim some spending because, after all, spending can lead to deficits and spending interferes with the economy.”

Do you support rescinding portions of the omnibus bill?

On Monday, the Congressional Budget Office released a report forecasting deficits topping $1 trillion by 2020, which is two years earlier than previously projected, according to CNBC.

Further, the CBO is predicting a cumulative budget deficit of $1.6 trillion more during the next decade than earlier estimates, due to the impact of the omnibus bill and tax reform.

Fox News Capitol Hill producer Chad Pergram reported that passage rescission legislation is not unprecedented, but is a “rocky road.”

“The Congressional Budget Act of 1974 permits lawmakers and the president to take a mulligan on appropriations if everyone suffers from buyer’s remorse. Lawmakers may then vote to ‘rescind’ certain chunks of money,” Pergram wrote.

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In 1995, then-President Bill Clinton signed a $16 billion rescission bill, in the wake of the “Republican Revolution” that sweep the GOP to power in the House and the Senate for the first time since the 1950s.

A first step is for the Trump administration to submit a list to Congress of proposed cuts. The House Appropriations Committee must then craft the legislation.

Congress has 45 days to approve any or all rescission requests from the president.

Unlike last month’s omnibus spending bill, only a simple majority is required in the Senate (in addition to the House) to move the bill to Trump’s desk for signature.

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Randy DeSoto has written more than 1,000 articles for The Western Journal since he joined the company in 2015. He is a graduate of West Point and Regent University School of Law. He is the author of the book "We Hold These Truths" and screenwriter of the political documentary "I Want Your Money."
Randy DeSoto is the senior staff writer for The Western Journal. He wrote and was the assistant producer of the documentary film "I Want Your Money" about the perils of Big Government, comparing the presidencies of Ronald Reagan and Barack Obama. Randy is the author of the book "We Hold These Truths," which addresses how leaders have appealed to beliefs found in the Declaration of Independence at defining moments in our nation's history. He has been published in several political sites and newspapers.

Randy graduated from the United States Military Academy at West Point with a BS in political science and Regent University School of Law with a juris doctorate.
Birthplace
Harrisburg, Pennsylvania
Nationality
American
Honors/Awards
Graduated dean's list from West Point
Education
United States Military Academy at West Point, Regent University School of Law
Books Written
We Hold These Truths
Professional Memberships
Virginia and Pennsylvania state bars
Location
Phoenix, Arizona
Languages Spoken
English
Topics of Expertise
Politics, Entertainment, Faith




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