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Senate Kills House GOP Deficit Plan

Senate Kills House GOP Deficit Plan

WASHINGTON — The Senate Friday killed the House Republican “cut, cap and balance” bill, and Majority Leader Harry Reid called off a weekend session.

The party-line Senate vote was 51-46, The Hill reported.

The Republican-led House passed the measure, which would have cut spending by $111 billion in 2012, capped spending over the next decade and barred more borrowing until Congress passes a balanced-budget amendment to the Constitution, by 234-190 Tuesday.

Senate rejection was expected, and President Barack Obama had promised a veto, but the vote was seen as necessary before reaching a larger deal to raise the $14.3 trillion national debt ceiling by Aug. 2.

Reid, D-Nev., then told senators to take the weekend off.

“It looked earlier this week like the Senate would have to originate legislation perhaps as soon as today to avoid default,” he said. “Circumstances have changed. The Speaker of the House and the President have been working to reach agreement.”

Obama’s proposed deal with Speaker John Boehner, R-Ohio, envisions $1.5 trillion to $3 trillion in U.S. spending cuts but few tax changes for two years, officials said.

News of the proposed deal angered Reid, who confronted White House budget director Jack Lew during a meeting about secret talks with Boehner, The Hill reported earlier Friday.

“I’m the Senate majority leader — why don’t I know about this deal?” Reid demanded Thursday as Lew walked into the Mansfield Room for a meeting with Senate Democrats, a lawmaker who witnessed the exchange said.

Lew replied, “If there’s a deal, then the president doesn’t know about it, the vice president doesn’t know about it and I don’t know about it.”

Boehner, at a news conference Friday before the Senate vote, also said there was no agreement.

“So the House has done its job and I hope that the Senate will do theirs. And if they don’t like our version of cut, cap and balance, guess what? That’s what the legislative process is for,” he said.

“They can amend it. They can change it. They can send it back over to the House. And, frankly, they ought to take action on that bill.”

Democrats were angry Obama was apparently willing to accept big spending cuts in exchange for reforming the tax code at some time in the future as part of a proposal to raise the $14.3 trillion debt ceiling.

The Democratic President and Republican House Speaker are coming together on a plan to make sharp cuts in Federal agency spending, including at the Pentagon — perhaps around $1.5 trillion in 10 years. But it would postpone tax-overhaul legislation and cuts to so-called entitlement programs until next year, an election year, pushing back the end to most special tax exemptions, tax deductions and tax credits until at least 2013, the officials told The Washington Post and The Wall Street Journal.

The tax-code overhaul would lower personal and corporate income-tax rates while eliminating or reducing an array of popular tax breaks, such as the deduction for home mortgage interest, the officials said.

One thing Obama said he would not do is use the 14th Amendment to raise the debt ceiling on his own, as former President Bill Clinton and others have urged him to do, using the section saying Congress must honor the Federal debt.

The president told a crowd at a “town hall” in Maryland Friday, “I have talked to my lawyers” about the section. “They’re not persuaded that that is a winning argument.”

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  • Dan az

    Well it didn’t surprise me that I could see that one coming.The problem now is will he try to use the 14th amendment unconstitutionaly and use a prez order behind the backs of the congress?We shall see.

  • Dan az

    Oh Reid are you going to pout now?Maybe you should carry obumers golf bag around for him.Beoch!

  • s c

    Besides a bunch of career criminals abusing their power in the Senate, we have a prez (who’s an ex-lawyer himself) ‘conferring’ with other lawyers. So what is The Anointed Shyster doing now? What’s he trying to do to America THIS time?
    We have yet another situation that the Founding Fathers warned us against. Do you get the feeling that there’s a whole lot more to this convention of CRIMINALS than meets the eye? Where’s the farkin’ “social justice” in being saddled with a herd of losers who make organized crime seem like a better deal?
    Reid, you’re a putz. When the good people of Nevada finally get rid of you, it will be time for a nationwide party – and you’re NOT invited.

  • http://deleted Claire

    I surely did not expect anything “good” to happen–the powers that be are concentrating on the next election and neither party wants to see the other pull off any accomplishments. It is simply a war between the parties. One of the parties may win, but we are and will remain the losers.

    • Dan az

      Chin up girl,Its not over until the fat lady sings! :)

  • Thinking About

    Somewhere there should be a requirement for Congress members to study American history and civics. Maybe they should have to take weekly classes in negotiation ability. When union negotiations breaks down and members refuse to work they are not paid. Perhaps Obama should issue an executive order to halt their pay and make it retro active for this year.

  • Cawmun Cents

    Gubment yells the most about the shyte ceiling!You are stopping them from defecating on you and handing them all the toilet paper they need.They are used to getting preferential treatment.Now that you are waking up under a steaming pile of debt,you are of course,asking why it stinks so much.
    But since you let them shyte upon you,and gave them the means to wipe thoroughly,now its about a,”where are we going to drop our horkin growlers now?” attitude.Tell them to shyte upon each other,they seem to be adept at that already.But tell them that they will have to wipe each others bottoms,because you arent ponying up the ultra plush anymore.No!…to raising the shyte ceiling.No!…to giving away the rolls.Tell them they have made you the bluehouse target for the last time.
    Someday you will thank yourself that you took away the giant gubment posterior that hovered over you and dropped its loads with impunity.But if you give in,then dont expect things to smell pretty when its all said and done.The only way you will ever get out of the steaming pile,is to make sure that no more lands on you.-CC.

  • pete the simian

    The first week of August is sure going to be interesting ! I wonder what the Obama admin is going to do ? Maybe cut the Social Security checks for Senior and/or stop military pay and veteran benefits ?

    It’s going to be an interesting August.

    • http://deleted Claire

      pete the simian– Your post—this is exactly what Congress and the House wants to happen. Cut SS and stop military and veterans benefits. If this happens, then the Democrat party will lose come 2012. There is ALWAYS a method to the madness of a political party. The Republicans and the Democrats are doing nothing more than fighting each other to see who comes out ahead. Do you think for one moment that these political parties are truly tryng to do what is good for America? As I have said before over and over again, they are trying to destroy each other and we the taxpayers are the losers. It really gripes me to that my tax dollars pay their salaries. Talk about an inept bunch of sorry politicians.

  • mickey

    The checks he is talking about are the “mommie” checks, they come out on the 3rd. Civil Service and Military get paid on the 1st and SSA checks are scattered on Wednesdays throughout the month.

  • malcolm1943

    Have any of you folks on this site figured out what a “debt ceiling” would be called in your everyday normal life?
    That would be your credit limit as provided by your debtor.
    Do you think your debtor would like the system the gov’t. is using where every so often you tell them my credit limit isn’t high enough so as of today I’m raising it by 100%. Then next years you do that again and again and again? They would cancel your credit instantly.
    This is exactly what your gov’t. is doing year after year after year.
    When they talk of cuts in spending, it’s always spread over ten or twenty years, why not in one year like every other american must.
    Oh! My God, that would cause extreme consequences, such as all of congress losing money in wall street, having to pay higher interest rates on their mansions, or not being able to afford homes and autos in two places [home&DC]. Yes we will all be hurt to some extent but if done at once it will get better much quicker than the “bailout” helped unemployment. We all need to “man up” and take the heat for our troubles, as we are also responsible for the idiots we sent to congress.


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