Thompson Questions Treasury Secretary Mnuchin on Proposed Fiscal Year 2021 Budget - YouTube

[Chairman Neal] Let me recognize the gentleman from California,

Mr. Thompson, to inquire. [Congressman Thompson] Thank you, Mr. Chairman.

Thank you for holding the hearing.

Mr. Secretary, thank you for being here.

Just quickly on the coronavirus issue,

one of the issues in my district and my state,

folks are really concerned about the problems we're having with the test kits.

Why do we have these problems?

Why didn't they work?

And, when can we expect to get an adequate number of test kits?

[Secretary Mnuchin] Well, let me just say, we did get an-

the Task Force did get an update on that issue yesterday.

I can assure you that the test kits - both the quality of the test kits -

is being monitored very carefully -

and the amount.

I believe we're trying to get out close to a million test kits.

Obviously, we are ramping up our capabilities quickly

and I can assure you getting proper test kits- [Thompson] Any idea as to when we'll get these?

[Mnuchin] I think very quickly.

This is a top priority and, uh, very quickly.

[Thompson] Thank you, Mr. Secretary.

I believe we must govern in a fiscally responsible manner

and, as such, I obviously didn't support

the $2.3 trillion deficit- and debt-busting Republican tax bill.

I see that your budget includes proposals to extend some of the temporary cuts,

mostly related to individuals,

to the tune of an additional $1.4 trillion.

The 2017 Act included several provisions that raise taxes on businesses,

but they aren't enacted until later in the budget window.

This includes spreading out cost recovery on research expenses,

raising the GILTI rate

and further limiting interest deductions.

As you can imagine, my staff - and I suspect yours too - has been hearing from a very vocal business community

that they'd like to delay those tax increases or repeal them altogether.

And, um, yet, this is critical to the "pay-for."

What's the Administration's position on retaining, as written under current law, these tax increases?

And can you affirmatively state that these offsets will actually take effect

and you will oppose adding further to the deficit by repealing these offsets?

[Mnuchin] Well, let me just say that we are contemplating Tax 2.0.

We haven't, in any way, come out with a plan that is Tax 2.0,

so yes, I can commit that - as of now - our expectation is to leave everything in place.

[Thompson] So you have no intention of repealing or further delaying these business provisions?

[Mnuchin] Again, as of now, that is the case.

Again, it may be something we'd consider down the road,

but that's not on the agenda at the moment.

[Thompson] I don't find that particularly comforting as you can probably imagine.

[Mnuchin] OK, I was just trying to put on the necessary disclaimer that things could change.

[Thompson] OK, um, thank you.

During his State of the Union speech, the President said, and I'll quote,

"We will always protect your Medicare and we'll always protect your Social Security.

Always."

Then, six day later, the President released his budget that contradicts the very promises he made

to protect Medicare and Social Security.

This proposal includes cuts to Social Security and related Supplement Security Income benefits,

totaling $90 billion over 10 years.

On top of these steep safety net cuts, the Administration's budget proposal would also

slash Housing and Urban Development by 15 percent.

We're in a housing crisis right now.

How can we possibly think slashing the budgets

are gonna help us with this terrible homelessness problem we have

and this housing shortage that we have?

[Mnuchin] Well, let me comment on the Social Security and Medicare, which I'm much closer to,

and be very clear that

the President very much supports Social Security and Medicare, as you said as he commented.

I'm looking at the budget and in every year,

Social Security Medicare and go up.

Matter of fact, Social Security goes from $109.2 to $190.6 within the budget window,

so I think that what there's really built in is some savings as a result of the economy doing better

and getting rid of some fraud.

But in now way are we looking to cut Social Security benefits.