Sen. Angus King (I-Maine), a member of the budget conference committee, has offered a proposal that would replace roughly half of the sequestration scheduled through 2021 with savings from mandatory spending and revenue from corporate tax reform.
In place of $455 billion in scheduled cuts, the plan calls for $255 billion in savings from entitlement reforms, and $200 billion in revenue from closing corporate tax loopholes.
King named his proposal the “Grande” plan, after Starbuck’s mid-sized cup, to represent the “middle-of-the-road” approach to fiscal policy that has been sorely lacking in Washington over the last few years.
To attract support from both parties, King also calls for lower corporate tax rates and increased infrastructure spending. Both would be paid for by additional revenue from closing corporate tax expenditures, which are subsidies built into the tax code.
The senator’s proposal exemplifies the understanding that lawmakers must address both revenue and spending -- and be open-minded to a wide array of possible options.