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Tuesday, August 13, 2013

Tom Cotton's support for government shutdown would cost Arkansas

Posted By on Tue, Aug 13, 2013 at 6:50 AM

Republican Rep. Tom Cotton has resisted to date providing Arkansas media with an explicit answer on whether he'd support a federal government shutdown if Obamacare isn't repealed or crippled by delay.

But the Democratic Senatorial Campaign Committee has unearthed comments Cotton made on a rightwing radio show that sounds a great deal like support for a shutdown.

“I think that when we return from our August recess in September with our continuing resolution and then in October-November with the debt ceiling, those are important opportunities to strike another blow against Obamacare before that law takes effect, before the insurance marketplaces begin to open for enrollment on October 1 and before they open for business on January 1, and whether that takes the form of trying to defund it or trying to effectively defund it by delaying the core provisions for a year, two years — the individual mandate, the employer mandate, and the insurance exchanges — it’s something that we’re still debating internally but because those are two must-pass pieces of legislation, it gives us an opportunity to try to prevent Obamacare.”

Again Cotton spins a shutdown as the president's decision, not Congress. In other words, he gets his way on health care or the government shuts down and it would be President Obama's fault, not his.

The DSCC highlights the remarks by Cotton as a preface to listing the damage that could be done in Arkansas if it happens, particularly in shutdown of SBA lending to small businesses.

DSCC NEWS RELEASE


Poor Judgment & Arrogance: Cotton Threatening To Shut Down Government

Tom Cotton is threatening to shutdown the government, which could have devastating consequences for Arkansas small businesses and the workers they employ across the state. Tom Cotton’s arrogance and bad judgment reared its ugly head last week when he said on a conservative news show that he would support a government shutdown.

Despite ducking the topic when asked by Arkansas journalists, Cotton admitted to a right wing audience that he would threaten to shutdown the government and allow the country to default:

“I think that when we return from our August recess in September with our continuing resolution and then in October-November with the debt ceiling, those are important opportunities to try to strike another blow against Obamacare before that law takes effect, before the insurance marketplaces begin to open for enrollment on October 1 and before they open for business on January 1. And whether that takes the form of trying to defund it or trying to effectively defund it by delaying for a year or two…”

In 2012 nearly 200 Arkansans received nearly $94 million in financing to start and grow companies that created jobs across the state. A government shutdown would mean that small businesses in Arkansas would be denied the credit they need to start up because the Small Business Administration wouldn’t be able to process new loans. During the government shutdowns in the 90’s “more than $ 1 million in loans to small businesses were delayed because the Small Business Administration couldn't guarantee loans,” and 5,200 small businesses were delayed in receiving SBA guaranteed financing.

Cotton’s shutdown plan has been ripped by numerous Republican Senators, including John McCain.

“Tom Cotton’s plan to shut down the government would have devastating consequences for Arkansas small businesses that would be denied the financing they need to start up and employ hard-working Arkansans. Cotton’s plan displays the arrogance and bad judgment of an ideologue who does not have the best interests of the people of Arkansas in mind,” said Justin Barasky, spokesman for the Democratic Senatorial Campaign Committee. “Republican Senators have slammed Cotton’s position, which would stop the processing of new small business loans and result in small businesses failing and less jobs. Arkansans need leaders who are standing up for them in Washington, not self-serving politicians like Tom Cotton who care more about their personal political ambition instead of fighting for Arkansas.”

During the congressional recess the DSCC is highlighting the many ways in which Tom Cotton’s government shutdown plan would harm Arkansas and the country, starting yesterday with seniors who rely on Social Security.

Mark Pryor leads Tom Cotton by 8 in a new poll released last week.

BACKGROUND:

GOP’s Government Shutdown Could Hurt Small Businesses: The Small Business Administration would not be able to process new loans, denying small businesses the credit they need just as the economy is starting to grow again. The Dallas Morning News reported that, during the 1995-96 shutdowns, “More than $ 1 million in loans to small businesses were delayed because the Small Business Administration couldn't guarantee loans.” In all, approximately 5,200 small businesses were delayed in receiving SBA guaranteed financing during the last shutdowns. Thus far in 2013, SBA has approved more than 37,000 7(a) and ARC loans every, the processing of which could be delayed by a shutdown. [Christian Science Monitor, 4/8/11; Committee on Appropriations, 4/6/11; SBA Weekly Lending Report]

* "Close to 200 Arkansans received $94 million in SBA financing to start and grow their companies in fiscal 2012." [Arkansas Business, 12/5/12]

Hugh Hewitt Show On July 30th: Cotton Called A Continuing Resolution To Fund The Government And Raising The Debt Ceiling “Opportunities To Try To Prevent Obamacare.” On Hugh Hewitt’s show, Cotton said: “I think that when we return from our August recess in September with our continuing resolution and then in October-November with the debt ceiling, those are important opportunities to strike another blow against Obamacare before that law takes effect, before the insurance marketplaces begin to open for enrollment on October 1 and before they open for business on January 1, and whether that takes the form of trying to defund it or trying to effectively defund it by delaying the core provisions for a year, two years — the individual mandate, the employer mandate, and the insurance exchanges — it’s something that we’re still debating internally but because those are two must-pass pieces of legislation, it gives us an opportunity to try to prevent Obamacare.” [Hugh Hewitt Show, 7/30/13]

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