Wednesday, August 31, 2011

Obama Draws Line on Possible Cuts to Veterans Programs

August 30, 2011

Obama Draws Line on Possible Cuts to Veterans Programs

MINNEAPOLIS — President Obama vowed on Tuesday that he would not allow cuts in programs for veterans as Congress and the administration look for ways to balance the budget.
In a somber speech to the annual convention of the American Legion that dwelled on the need to tackle unemployment among veterans, but offered little in the way of specifics about his overall economic proposals that are due next week, the president repeated his assertion of earlier this summer that after a decade of war, it was time to turn the country’s attention to domestic prosperity.
“It’s time to focus on nation-building here at home,” Mr. Obama told 6,000 members of the country’s largest veterans group, who clapped politely. Mr. Obama singled out the “9/11 generation veterans,” who, he said, “have the skills and dedication to help lead the way.”
He praised “all who have worn the uniform in these wars” and said it was time, now, for the government to help these veterans find a place at home.
“Far too many of our veterans are unemployed,” the president said.
He said he had directed the federal government to hire 100,000 more veterans. But at a time of restricted budgets, overall government employment is constrained.
“As a nation, we’re facing some tough choices as we put our fiscal house in order, but I want to be clear,” Mr. Obama said. “As a nation, we cannot, we must not and we will not balance the budget on the backs of veterans.”
By the end of the year, Congress and the administration must agree to significant cuts in the 10-year deficit, with spending cuts shared among domestic and security programs, or face severe automatic across-the-board cuts that would fall particularly hard on military programs.
Mr. Obama, meanwhile, has proposed a Returning Heroes Tax Credit for companies that hire unemployed veterans, and a Wounded Warrior Tax Credit for companies that hire unemployed veterans with a disability. “When Congress returns from recess, this needs to be at the top of the agenda,” he said.
The administration has long championed employment for returning veterans; the unemployment rate among those who joined the military after Sept. 11 was 13.3 percent in June.
But Mr. Obama is also facing a looming battle when Congress returns. He has promised to unveil his own jobs proposals next week after Labor Day, which administration officials say will most likely include an expansion of the payroll tax cuts and tax credits for companies that hire the unemployed. Viewed as devices to stimulate the economy, tax cuts would also worsen the budget deficits.
It remained unclear just how far Mr. Obama would go in picking a fight with a Republican-controlled House of Representatives, where Tea Party supporters have demanded deficit-reduction measures and balked at compromising with the president on offsetting revenue increases, like raising taxes on the rich.
“We have to create more jobs, and do it faster,” Mr. Obama said. “Most of all, we have to break the gridlock in Washington that’s been preventing us from taking the action we need to get this economy moving. That’s why, next week, I’ll be speaking to the nation about a plan to create jobs and reduce our deficit, a plan I want to see passed in Congress. We need to get this done.”
That might be a tall order; Congress thus far has not shown much interest in Mr. Obama’s budget proposals.
The president will attend ceremonies next month in New York, Pennsylvania and Washington — including a prayer service at the National Cathedral — for the 10th anniversary of the Sept. 11 attacks. In his American Legion speech, he said it was imperative for the country to take care of its Sept. 11 veterans and all of its veterans “as well as you’ve taken care of us.”
The American Legion meeting, in a cavernous hall at the Minneapolis Convention Center, was filled with the veterans of Vietnam, Korea, the gulf war and the current conflicts in Afghanistan and Iraq. Before Mr. Obama spoke, the group heard polka tunes and sang patriotic songs. Most of the men in the audience wore hats with their military ranks and badges.
Hatted, too, in her own way, was a speaker who spoke before Mr. Obama: the reigning Miss America, Teresa Scanlan. Ms. Scanlan wore a crown and gave a speech in which she talked about her grandparents escaping from Yugoslavia during the Communist era.
Mr. Obama worked a rope line after his speech, shaking hands and posing for pictures.

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