Bipartisan Support Means Little As Jobs Bill Is Eviscerated

Reid does hack job on bill

By all accounts, the jobs bill was on the path to victory. However, Senate Majority Leader Harry Reid announced yesterday that he would be making massive cuts to the bill, cutting the $ 85 billion price tag down to $ 15 billion.

How did he do this? Fox News also reports that he cut key priorities of both Republicans and Democrats. Why did he do it? There isn't any official statements out from Reid, but plenty of people are certainly willing to speculate. If you asked Reid, Im sure hed say it was to save money.

What does the jobs bill do?

The jobs bill, in its stripped down form, doesnt make it easier for businesses to borrow money, but it does offer tax breaks to employers who make new hires. Fox News says:

The $ 15 billion bill includes a $ 13 billion payroll tax break for employers who hire new workers; $ 35 million for small business depreciation; $ 2 billion for Build America Bonds for infrastructure; and a one-year extension of the highway bill.

Reid excised many extensions, such as research and development spending, and provisions that would decreased estate taxes. The estate tax extension found wide support among Republicans.

Why did Reid take a chainsaw to the bill?

According to Fox News, Reid slashed the bill because of criticism that the Democratic-sponsored jobs bill would not primarily create new jobs. Christian Science Monitor says:

Senator Reid appears to be making a political calculation that the GOP will have a difficult time voting against his own, stripped-down version of jobs legislation. Thats because Reid has left the bills central job creation provisions intact, while jettisoning tax breaks and other provisions intended to win Republican support.

Reid only offered the following tidbit to explain the actions he took: We are going to move a smaller package than talked about in the press. Republicans are going to have to make a choice. We have a bipartisan bill that will create jobs, according to the CBO, immediately. He added I dont know in logic what they could say to oppose this.I guess well find out!