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Tuesday, December 11, 2012
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ICYMI: Rep. Dave Camp says he's optimistic country can avoid fiscal cliff
By Kathryn Lynch-Morin
Wednesday, December 05, 2012

MIDLAND, MI —  U.S. Rep. Dave Camp, who guides taxation in the House of Representatives, says he is optimistic the country won't fall over the fiscal cliff.

MLive spoke with Camp, R-Midland, chairman of the House Committee on Ways and Means, to get his thoughts on the current impasse between House Republicans and the Obama Administration.

Democrats are pushing for higher taxes on the wealthiest Americans. The GOP wants to see more spending cuts. No one is budging and each side is blaming the other.

If Congress and the White House don't reach a budget deal by Dec. 31, about $1.2 trillion in spending cuts and tax increases will automatically kick in starting Jan. 2, a scenario that's been dubbed the 'fiscal cliff,' because it is likely to send the economy back into recession and drive up unemployment.

MLIVE: What will it take to keep the U.S. from going over the fiscal cliff?
CAMP: We need a balanced approach, that means spending cuts and serious entitlement reforms along with revenues. This week, House Republican leadership put forward a bold offer to tackle these problems. I believe it is a bipartisan solution that can pass both chambers of Congress and be signed by the president.

MLIVE: Are these things going to happen in before the deadline?
CAMP: We need to make sure every American family is not hit with a tax increase at the end of the year. I am optimistic that we can work to a compromise; we just need the President and Senate to signal that they are willing to work towards a balanced approach that includes both spending and revenues.

MLIVE: Would you compromise on the raising of some tax rates?
CAMP: I believe there is a better path forward than simply increasing tax rates. Our most recent offer contained $800 billion in revenue through pro-growth tax reform. This proposal raises revenues by closing special interest loopholes, lowering rates and supporting job-creation. The problem with the president’s proposed tax hike is that while it may generate more revenue, it could also mean over 700,000 fewer jobs for American workers.

MLIVE: Where would you like to see the Democrats compromise?
CAMP: Democrats must address one of the biggest drivers of spending – entitlements. President Obama said he wants a “balanced” approach, but has taken entitlement reforms off the table. Now is the time to put important programs like Medicare and Social Security on a sustainable path so they can continue to serve current beneficiaries and exist for future beneficiaries.

MLIVE: What will happen if President Obama is given the ability to increase the nation's debt limit without the need for congressional approval?
CAMP: First, it will give the President unchecked and unprecedented power. Our government is set up as a system of checks and balances and that will remove a major part of that. Raising the debt ceiling means we must cut spending in other areas to manage the debt process.