White House brands Freedom Caucus deficit plan as ‘tax breaks for the super wealthy’

The White House branded the House Freedom Caucus’ deficit plan as “tax breaks for the super wealthy and wasteful spending for special interests,” as the two sides continued to trade jabs amid an escalating debt ceiling battle.

“MAGA House Republicans are proposing, if spread evenly across affected discretionary programs, at least a 20 [percent] across the board cut,” White House Communications Director Ben LaBolt said in an initial analysis of the proposal.

LaBolt pointed to several typically Republican issue areas that would be impacted by such cuts, including law enforcement, border security, education and manufacturing.

“The one thing MAGA Republicans do want to protect are tax cuts for the super-wealthy,” he added. “This means that their plan, with all of the sacrifices they are asking of working-class Americans, will reduce the deficit by…$0.”

The Freedom Caucus on Friday unveiled its initial spending demands for a possible debt ceiling increase, as the potential for default looms this summer. The proposal would cap discretionary spending at fiscal 2022 levels for 10 years, resulting in a $131 billion cut from current levels. Defense spending would be maintained at current levels.

LaBolt claimed that the proposal would also defund police and make the border less secure, turning around two accusations that Republicans have frequently lobbed at the Biden administration. 

Such spending cuts would, according to LaBolt’s analysis, eliminate funding for 400 state, local and tribal police officers and several thousand FBI agents and personnel and “deny the men and women of Customs and Border Protection the resources they need to secure our borders.”

He also criticized the Freedom Caucus’s calls to end President Biden’s student loan forgiveness plan and to rescind unspent COVID-19 and Inflation Reduction Act funds, claiming they would increase prescription drug and energy costs and ship manufacturing jobs overseas.

The analysis also accused the group of hard-line conservatives of making plans that would actually increase the federal deficit by $114 billion, and allow “the wealthy and big corporations to continue to cheat on their taxes.” Biden’s $6.8 trillion budget released on Thursday included tax hikes on the wealthy.

LaBolt’s 20 percent number represents a slight adjustment from Biden’s claim on Friday that the plan would require a 25 percent cut in discretionary spending across the board.

“If what they say they mean, they’re going to keep the tax cuts from the last president … no additional taxes on the wealthy — matter of fact reducing taxes — and in addition to that, on top of that, they’re going to say we have to cut 25 percent of every program across the broad,” Biden said during remarks on the economy. “I don’t know what there’s much to negotiate on.”

House Freedom Caucus Chairman Scott Perry (R-Pa.) hit back at the president on Friday, accusing him of misrepresenting their proposal.

“For him to mention things like firefighters, police officers and health care — obviously, either he didn’t watch the press conference, he can’t read, or someone is, you know, got their hand up his back and they’re speaking for him, because those are just abject lies,” Perry told The Hill. “It’s the same old, you know, smear-and-fear campaign by the Biden administration.”