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GOP Leaders Demand Dems Drop Paygo On Econ Package

It's a rare moment when the White House, congressional Republicans and Democratic Hill leaders all seem to be on the same page, as they are on the need for an economic stimulus package.

But of course nothing's that easy in Washington these days.

Republican House leaders have fired off a letter demanding that Democrats ditch any pay as you go rules in an economic stimulus package, saying they will withhold support from any legislation if these so-called "paygo" rules include tax increases.

"In the interest of true bipartisan accord, we request that you and the Democratic leadership in both the House and Senate agree to take tax increases – in any form – off the table as we negotiate an economic stimulus package," Minority Leader John A. Boehner (R-Ohio) and Minority Whip Roy Blunt (R-Mo.) wrote in a letter to Speaker Nancy Pelosi (D-Calif.) this afternoon.

Democrats campaigned in 2006 on a promise of pay as you go budgeting, which requires either spending cuts or revenue raisers (read: tax increases) in order to balance the budget. There is a serious internal debate among Democrats right now about whether a fiscal stimulus package should be paid for or whether they should ditch paygo as they did on last year's alternative minimum tax bill.

Democratic leaders are meeting Tuesday afternoon to discuss the stimulus package.

The Crypt will update with their response to the GOP demands.

 

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