White House looking for "petite bargain" on budget

With close to $2.5 trillion in deficit reduction already accomplished, the Obama administration says it's no longer aiming for the "grand bargain" over the budget it once sought to reach with Republicans, but something a little smaller.

"It may be the 'petite bargain,' I guess, if you go all French," White House spokesman Jay Carney told reporters today.

President Obama called Democratic and Republican members of Congress over the weekend, Carney said, to try and find "common ground" in their attempts to reduce the deficit. He's seeking out lawmakers who could agree to a "balanced solution" that includes both entitlement reform and tax reform -- lawmakers who could comprise a "caucus of common sense," as Mr. Obama said last week.

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W.H. now seeking a "petite bargain" on budget

Mr. Obama attempted to reach a "grand bargain" of entitlement reforms and tax reforms with House Speaker John Boehner, R-Ohio, in 2011. Those talks, however, fell apart. The end result of those talks was the Budget Control Act -- the bill that created the indiscriminate sequester spending cuts that went into effect on Friday.

Ahead of his first second-term meeting with his full cabinet, Mr. Obama reiterated today that the sequester is "an area of deep concern."

"We are going to manage it as best we can to try to minimize the impacts on American families, but it's not the right way for us to go about deficit reduction," he said. "It makes sense for us to talk a balanced approach that takes a long view and doesn't reduce our commitment to things like education and basic research that will help us grow over the long term. And so I will continue to see out partners on the other side of the aisle so that we can create the kind of balanced approach of spending cuts, revenues, entitlement reform that everybody knows is the right way to do things."

• With sequester in place, what's next?
• Boehner: No one tried harder than me to avert sequester
• Complete coverage: The sequester

In the latest example of the sequester's effects, the Defense Department said today it will be forced to furlough around 15,000 military school teachers and staff around the world because of the automatic budget cuts. In another example, Homeland Security Secretary Janet Napolitano said at a discussion this morning that there were "very long lines" over the weekend at some airports due to overtime cutbacks among Customs staffers.

Carney said today that Mr. Obama's weekend conversations were both about replacing the sequester cuts and a bigger deficit reduction plan. He explained, however, that the broader conversation is not as ambitious as it was in 2011, since the Washington has already achieved around $2.5 trillion in deficit reduction -- nearly $1.5 trillion in spending cuts were enacted in the Budget Control Act, while the "fiscal cliff" bill signed on Jan. 1 brought in around $600 billion in new revenue. Related savings in interest payments makes up the rest of the deficit reduction.

"The big deal has been partly accomplished," Carney said. Mr. Obama's latest proposal, he said, would achieve $1.8 trillion more in budget savings.

"There's no question that more work going forward will need to be done as we deal with our fiscal challenges," Carney said. "But the $4 trillion in deficit reduction set as a goal by Speaker Boehner and President Obama and by many economists on the inside and the outside of government, can be achieved and then some if Republicans would embrace the president's compromise proposal."

[antiglobal13]

here is a solution abolish Obama care

this is nothing compared to the damage obamacare is going to do. While meeting with my accountant this weekend I asked her why there was an amount listed on my wife's W-2 saying how much her company paid toward her health care plan. The answer was starting next year it will be taxed like income. It will also send a lot of people into a higher tax bracket.

I joked since they cannot deny pre-existing conditions I will just forgo insurance and if I get sick I'll pick up a policy. My accountant went on her computer and said because of your HHI this is what you will pay as a penalty. It almost as much as it would cost to purchase a plan. I said how can this be, We were told it would be a few hundred the first year and a thousand after that. Her reply was only if you are poor, if you make a decent living they take a percentage of your income.

Then I said we will all be o the exchanges anyway. She agreed saying they are purposely giving employers a penalty lower then the amount they will pay for the employees insurance. They need as many people as possible on the exchanges to make it work. Those with money are needed to pay for those without. She then informed me the health insurance providers will be working with the IRS to determine what you will pay based on what you make. She said the bottom line is everyone in the middle class and above will be paying more for an inferior plan. She also mentioned illegals would qualify for free coverage.

This country is turning into an arm pit like mexico

[Nelson_Piquet]

That is incorrect. The amount listed is for informational purposes only. It will NOT be taxed as income. You need to find a new accountant.

Do some research before you bloviate.

[peter_out]

Unemployment is up because the demand for jobs is high and the supply of jobs is low.

OK, regulations are up and new job starts are down. Taxes are up and new job starts are down. And U.S. loses in competition for the location of new manufacturing facilities also as a result of more attractive foreign competition less burdened by regulations and taxes than the U.S.

Assuming government won't come off their high horse on regulations and taxes, it follows that the jobs picture won't improve.

So, participation will stay depressed unless all Americans agree to share equally the job supply. This could happen as a result of going to, say, a 30 hour work week, and spreading the jobs that we do have around amongst everybody.

When everybody participates then everybody pays taxes plus everybody is not on welfare.

[peter_out]

Every dollar extracted by raising the tax rate on job producers (a.k.a. "the wealthy") results in a $4 net decrease in revenue.

[smileyhere]

How about getting a budget passed for the fist time in this presidents reign? We havent had a real budget in years, How can they balance something that does not exist?

[24lomas]

More cuts are needed. Cut the salaries of all federal workers and their benefits. Cut the salaries and benefits of all politicians. Do not give pension to politicians who serve 1/2/3 terms. Do not give money to countries and illegal aliens.That will solve the budget problem.

[Ulgnud]

Still trying for more tax increases? Sorry Obama. You already got that. Now it is time to deliver on the spending cuts. Either by choice or the Sequestration which was your idea in the first place. You had your chance.

[wfw3536]

Funny, if Obama has cut so much money from our budget why is that each of his budgets include a trillion dollar deficit? And if you look at his own government projections this will continue to happen for the next several years, which by that time we will look like some of the poor European countries facing significant financial problems.

[gmh45069]

RepubliCon_Liar_RobMe is probably not even an american... He has been posting spam mostly on CBSNEWS.com for a long time.

[mjvwsr]

LIAR is just that, a liar. No original thought, just cut and paste cBS.

[gmh45069]

RepubliCon_Liar_RobMe is not even an american... He has been posting spam mostly on CBSNEWS.com for a long time.

[jschm2681]

If Janet keeps releasing illegals that will turn off a lot of people. It is Obama blackmail to get more taxes. WASHINGTON — Homeland Security Secretary Janet Napolitano promised to release more illegal immigrants into the United States, saying the budget sequester has left her no choice.

Several hundred detainees have already released because of the sequester, she insisted. They were released on bail, or because their legal status had changed, she said.

"We're going to continue to do that ... for the foreseeable future," Napolitano said at a March 4 breakfast meeting hosted by Politico. "We are going to manage our way through this by identifying the lowest risk detainees, and putting them into some kind of alternative to release."
http://dailycaller.com/2013/03/04/napolitano-promises-to-release-more-illegals/

[Henri_Rochard]

Obama has the Repubs by the short hairs. He will get everything he wants.

The Repubs better figure out how to change direction pronto or they may likely find themselves as the permanent minority party.

[highlndr55]

Hey Henri: I guess you have not been listening to OBAMA backpedaling faster the Michael Phelps can swim. The Repubs are sticking to their guns, pun intended. The Dems are the biggest bunch of spenders. All they can do is spend, spend, and spend somemore.