As "cliff" clock ticks, lawmakers say they still need more time
Updated 9:52 p.m. ET
The Senate will not vote tonight on a "fiscal cliff" deal, Majority Leader Harry Reid, D-Nev., said early this evening, adding that he hopes to have more announcements when the session reconvenes at 11 a.m. Monday.
Reid said negotiations will continue, but the acknowledgement that they will not strike a deal in time for the Senate to vote tonight comes just over an hour after Senate Republicans said they were dropping a sticking point that Democrats said today was a "major setback" in negotiations to avert the so-called "fiscal cliff" by Jan. 1.
Assistant Senate Majority Leader Dick Durbin, D-Ill., and Sen. Tom Harkin, D-Iowa, told the Wall Street Journal that the most recent offers from the two parties are separated by about $100,000; Democrats propose raising taxes on couples whose incomes exceed $450,000, and Republicans want to extend the Bush-era tax cuts on couples whose incomes are less than $550,000. Durbin said the only new spending in the Democratic offer would be extensions of expanded jobless benefits for the long-term unemployed, and of a current law which allows companies to easily write off equipment investments.
Exiting a conference meeting this afternoon, Sens. John McCain, R-Ariz., and John Cornyn, R-Texas, told CBS News that Republicans would not be pursuing their proposed Social Security cut called "chained" consumer price index (CPI). The proposal, which would measure inflation at a different rate and result in lower Social Security payments for recipients, was derided by Reid today as being "a major setback" at the negotiating table, according to a Democratic source with knowledge of the talks.
McCain said Republicans had to drop the measure because it looked as if they were fighting for tax cuts for the wealthy, at the expense of Social Security recipients. "We cannot win that argument," he said. Cornyn added that Republicans knew all along it wouldn't make it into the final deal - "When you negotiate, you start big," he said.
Democrats had attacked the idea as being a "poison pill" - a non-starter - and said they wouldn't have the votes in their caucus for a plan that includes "chained" CPI.
During brief remarks on the Senate floor this afternoon, Senate Minority Leader Mitch McConnell, R-Ky., said his office submitted the offer Saturday at 7:10 p.m. ET, and "offered to work through the night to find common ground." Reid said he'd respond by 10 a.m. today, despite the "obvious time crunch," McConnell said, but added, "it's now 2 p.m. and we've yet to receive a response to our good-faith offer."
McConnell said he also placed a call to Vice President Joe Biden "to see if he could help jump start the negotiations on his side. ...The vice president and I have worked together on solutions before, and I believe we can again." During the Republican conference meeting this afternoon, McConnell excused himself briefly to take a call from the vice president.
"We all know that we're running out of time," McConnell said. "I'm willing to get this done, but I need a dance partner."
Immediately following McConnell's remarks, Reid took the podium to announce, "At this stage, we're not able to make a counter-offer. ...The Republican leader has told me that, and he's just said here, that he's working with the vice president," Reid continued. "I wish them well."
Twenty-five minutes later, Reid spoke again, saying that while there are "still serious differences" between Republicans' and Democrats' proposals, "we've made a lot of progress. I appreciate very much Sen. McConnell's good-faith efforts, and I'm confident that he feels the same way about me."
Still, Reid said, "The one thing I do want to mention is that we're not gonna have any Social Security cuts. At this stage, that just doesn't seem appropriate.
"We're open to discussion about entitlement reforms, but we're going to have to take it in a different direction," he continued. "We're willing to make difficult concessions as part of a balanced, comprehensive agreement. But we'll not agree to cut Social Security benefits as part of a smaller, short-term agreement, especially if that agreement gives more handouts to the rich."
Reid advised his fellow senators to "hang loose" in the event that a deal is reached and a vote comes up later this evening.
"At some point in the negotiating process, it appears that there are things that stop us from moving forward," he said. "I hope we're not there, but we're getting real close. And that's why I still hold out hope that we can get something done. But I'm not overly optimistic, but I am cautiously optimistic that we can get something done."
Meanwhile, during his prayer to open the Senate this afternoon, the Senate's chaplain appealed to a higher power to assist in the "fiscal cliff" fight.
"Let us feel your presence today on Capitol Hill," said Senate Chaplain Barry Black. "Look with favor on our nation and save us from self-inflicted wounds."
Following a brief recess for Christmas, members of Congress returned to Washington on Thursday, scrambling to patch together even a makeshift bridge across the "cliff" at year's end, when a series of tax hikes and spending cuts is scheduled to go into effect, potentially hurling the U.S. economy into a dangerous recession.
if the congress pass the deal does that mean it will be harder to get a job? i read a million articles seems like and none of them said it would be easier to get a job but alot of them did say and increase in unemployment, so if they pass the deal will it be harder to get a job
It's soo sad to watch you people bicker .You want to know why we can't get anything done? PARTY LINES!!! I can't begin to count the amount of posting that says "I will never vote Dem/Rep".. THAT'S THE FREAKING PROBLEM PEOPLE!!!
Vote based on the persons views, and not the party they are aligned with. If the politicians realize that they can no longer count on their diehard base, then they will start listening. Until then, they will keep voting along party lines.
How about we say F*** the republicans, F*** the Democrats, and start voting as an American people. And I don't mean the die hard tea baggers either.
I agree, we shouldn't even have a party affiliation. It is only used so people can continue to be lazy and not research their voting options before casting their vote. Heaven forbid we have to think for ourselves!
see thats the whole problem the new generation of voters have been brain washed all thoughtout their school years to let the Goverment deside what you are going to do in life
This is pure BS NEWS just released but CBS won't show it. Obama's latest executive order gives Biden and all of Congres A PAY RAISE !!! Talk about an insult to the American people.
Washington - Republican Sen. Rob Portman is urging President Obama to rescind a recent executive order granting pay increases to Congress and other federal officials, saying the move doesn't exactly jibe with the country's debt crisis.
Obama signed an executive order last week that will lift a ban on pay freezes for federal employees.
Rank-and-file members of Congress would all see a $900 bump next year -- up from $174,000. Congressional leaders will receive a slightly higher raise, with the House speaker receiving a $1,100 salary increase to $224,600. The top two Senate leaders will see pay rise $1,000, to $194,400.
Vice President Biden, meanwhile, will see his pay increase from $225,521 last year to $231,900 after his raise goes into effect March 27, 2013.
Read more: http://www.foxnews.com/politics/2012/12/31/obama-gives-congress-pay-raise/#ixzz2GfxaYZnh reported by Fox News
OldTimeTruth replies: The GOP didn't really want to bail out the car industry here in the US. WHY? Then the next question is "why is Americans buying all those non US made cars"? I think we have to give a good look at ourselves on all this. Just the other day I saw a Tea Party Union Jack bumper sticker on a new Toyata pickup. Yep that makes a lot of sense to. LOL ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Really??? You laugh? The Toyota pickup is the most american made truck. The Tundra was the only pickup in the 2011 index, ranking eighth among all cars and trucks with the most domestic parts content.
And guess what? Toyota didn't ask for a tax-payer bail-out to fund it's over-seas losses. Of course neither did Ford and guess who's truck is now matched with the Toyota as "most made in America".
Or domestic losses while shipping jobs overseas... But Toyota is not directly an American company, so should it be receiving any form of subsidy or handouts, any corporate welfare, in the first place? Not just in return for offshoring jobs like how some companies get?
You might want to look up how many bailouts (corporate welfare) these companies have received over the last 40~50 years or more. If you dislike taxpayer bailouts, you'll hate corporate welfare...
we could call are rep's and tell them to ear mark the white house plan with the rest of there pay raises then we might get their sorry a**'s to do something
fire every dam one of them in congress all they are concerned with is pading there own pockets. The american people are sick of the way you all act up on the hill. Besides that Most of the reps. on the hill are passed the of retirement they are out of touch with the real world.
I wish voters had spoken more clearly in last Nov. General Election. Though they voted for more Senate and Congressional seats for Democrats, they are not enough to wake up Republicans.
Hope 2014 brings in better results. Till then roller coaster will continue. Hang in.
"Brinksmanship" is just the way of politics. Expect a (limited) deal by the deadline or expect the deadline to be moved. The theatrical side of this business only disturbs every citizen's contentment and ability to reason.
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5 minutes ago
Vote based on the persons views, and not the party they are aligned with. If the politicians realize that they can no longer count on their diehard base, then they will start listening. Until then, they will keep voting along party lines.
How about we say F*** the republicans, F*** the Democrats, and start voting as an American people. And I don't mean the die hard tea baggers either.
NEWS just released but CBS won't show it. Obama's latest executive order gives Biden and all of Congres A PAY RAISE !!! Talk about an insult to the American people.
Obama signed an executive order last week that will lift a ban on pay freezes for federal employees.
Rank-and-file members of Congress would all see a $900 bump next year -- up from $174,000. Congressional leaders will receive a slightly higher raise, with the House speaker receiving a $1,100 salary increase to $224,600. The top two Senate leaders will see pay rise $1,000, to $194,400.
Vice President Biden, meanwhile, will see his pay increase from $225,521 last year to $231,900 after his raise goes into effect March 27, 2013.
Read more: http://www.foxnews.com/politics/2012/12/31/obama-gives-congress-pay-raise/#ixzz2GfxaYZnh reported by Fox News
++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Really??? You laugh? The Toyota pickup is the most american made truck. The Tundra was the only pickup in the 2011 index, ranking eighth among all cars and trucks with the most domestic parts content.
And guess what? Toyota didn't ask for a tax-payer bail-out to fund it's over-seas losses. Of course neither did Ford and guess who's truck is now matched with the Toyota as "most made in America".
Save the "car industry" my a**!
You might want to look up how many bailouts (corporate welfare) these companies have received over the last 40~50 years or more. If you dislike taxpayer bailouts, you'll hate corporate welfare...
Hope 2014 brings in better results. Till then roller coaster will continue.
Hang in.