Senate Democrats Meet To Find More Cuts For Long-Term Funding Deal With GOP

WASHINGTON - Democratic leadership and Appropriations Committee staffers are meeting Thursday afternoon to find ways to cut social spending from the remainder of the fiscal year 2011 budget, a Senate Democratic aide told HuffPost. The object of the gathering is to identify cuts that will satisfy House Republicans' demands for drastic spending reductions despite the flagging economy.

Multiple leadership aides, however, said that the cuts will be made to a long-term budget resolution, rather than a short-term spending bill, as Republicans insist. That the two parties are now arguing merely over how quickly to make cuts indicates that their positions may be drawing close enough to avoid a government shutdown - without the GOP giving much up yet.

"It sounds like Senate Democrats are making progress towards our goal of cutting government spending to help the private sector create jobs," said Michael Steel, a spokesman for House Speaker John Boehner (R-Ohio). "Hopefully, that means they will support the short-term CR with spending cuts that we will pass next week, rather than shutting down the government."

Boehner is traveling on a fundraising tour.

House Republicans have proposed a measure that would keep the government funded for two more weeks past the March 4th deadline -- when money runs out--asking for $4 billion in cuts. Democrats have not budged in insisting any stopgap be drawn along the lines of current funding levels.

The compromise offered to the GOP on Thursday would not change that. "This is not about a short-term CR," said a leadership aide. "We are planning to make a serious offer to the House Republicans on a long-term CR that contains deeper cuts than were originally proposed. And if the Republicans will meet us in the middle of this offer we might be able to avert the need for a short-term CR."

Senate Democrats are hoping that by offering the first concession, House GOPers will either respond in kind or take the blame for a shutdown. Yet each Democratic negotiating tactic has led to additional cuts. As the talks drag on, Republicans get closer and closer to their full goal. Meanwhile, the wrangling over a stopgap measure to temporarily avert a shutdown has the capacity to confuse the debate.

"Someone should pressure them and say 'Why are you so focused on the short term CR when it is it long term CR that matters?" said a top Senate Democratic aide.

The long-term goal would be reached by cutting $8.5 billion in earmarked projects. An additional roughly $25 billion could be cut, said Democratic aides, by moving up reductions that Obama had proposed for the next year so that they take effect sooner. During Thursday afternoon's meeting, lawmakers will discuss what specific programs will be set aside for targeting.

UPDATE (Friday, 11:20 a.m.): Majority Leader Eric Cantor (R-Va.) unveiled additional details about the House bill on a conference call on Friday. The two-week stopgap bill will take its cuts not from the same programs as the House funding bill passed last week, but instead will target projects created by earmarks and accelerate spending cuts proposed in President Obama's fiscal year 2012 budget.

First, though, the GOP leadership must get its short-term measure past its own caucus, as many members are pushing for the two-week bill to include measures that de-fund health care, the Environmental Protection Agency and other politically motivated cuts.

House leaders said they want to avoid government shutdown, which could occur if the House and Senate cannot compromise on a funding bill by the end of next week.

"Let me be clear, a government shutdown is not a responsible or acceptable option," Majority Leader Eric Cantor (R-Va.) said on a conference call on Friday.

Comments

[Richard Winkel]

01:46 AM on 02/27/2011

"We hold these truths" by Richard Clark.

The American Monetary Act (monetary.org)

Crisis and opportunity always go together. The above represent the opportunity, historically unprecedented in all of human history. Like the impending financial catastrophe. The paradigm shift is fundamental. A new understanding of money. The dawn of a new civilization worthy of the name. Get informed and get going.

[Dmpolis]

02:23 PM on 02/26/2011

The GOP has piled on the bills none of which is to creatre anything but a huge mess. They have attacked women's healthcare, unions, and every social program that keeps the unemployed and the eldery and sick going.. I read a Wisconsin treacher's average salary is $48 K. Well, a gallon of milk costs $3,45, a gallon gas is on the way up headed to $4.Prices in the supermarket have gone up. They are bent on instaling their religious ideology into government. Make women breederes for the nation and when the last job has left the country we will be third world people. The Koch brothers should read 1776. And we were worried about the Russians and the never ending cold war?

[DHFabian]

12:49 PM on 02/26/2011

So, the Clinton administration sold out the poor, and now, predictably, the Obama administration is selling out the working class -- always in the name of working cooperatively with the right wing extremists.

Guess what, folks. We don't have a government. The US no longer has a representative government. You, whoever you are, have no choice now but to surrender or fight back. Which will you choose?

[Claireify]

05:51 PM on 02/26/2011

What comment has been removed? How about the first four words so we know what you're talking about?

[somsoc]

06:55 PM on 02/25/2011

Finally, the tax income from the Federal Estate tax, coupled with the income from removing the FICA and Medicare/Medicaid cap that the wealthy forced the government to place upon their outrageous salaries, would allow the budget to be balanced within less than 10 yrs and would make SSN and SDI solvent for the next 100yrs +, and medicare could be open to every citizen of this nation by the end of 2013.

[DHFabian]

12:59 PM on 02/26/2011

Actually, yes, this is correct, but we aren't the ones who have ANY power over government decisions now, and those decisions are merely the continued redistribution of America's wealth (from the people, to the ruling class). We are simply seeing the continuation of Reagan's right-wing revolution/coup. The first post-Reagan Dem to be president took an ax to the New Deal by ending basic aid to our poorest, turning them into a super-cheap, involuntary replacement workforce, and significantly increased poverty via NAFTA (used to finance the relocation of US jobs to foreign countries). To now attack labor/the working class was a natural progression, and many of us were very concerned that the next Dem in office would be the one to steal Social Security while crushing the working class.

None of this is possible, however, without the apathy (or cowardice) of the American people. If we had the common sense of our European neighbors, we would launch an indefinite national strike until representative government is restored. We have nothing to lose by doing this, and everything to lose by doing nothing.

[Dmpolis]

01:58 PM on 02/26/2011

Say where and when I am with you.

[Ronald Williams]

06:51 AM on 02/27/2011

DHFabian-
Great ideas, but the American people have become lazy for the most part and don't like to fight anymore, even if it's to save the middle-class. With one exception, the brave people of Wisconsin who have decided to fight back. They've decided to enough is enough. If we all try to find some ways to lend a helping hand, maybe it will spark that feeling of stand up for your rights, etc.

[somsoc]

06:50 PM on 02/25/2011

More follows ---

The Federal Estate Tax, just so everyone knows, has not, at least since 1975, if ever, caused the forced sale of a single FAMILY owned business or farm in this nation. That was a clever but untrue fiction put out by Raygun and his cohorts when they came up with the label 'death tax'. The Estate Tax was designed to preclude the establishment of long term generational buildups of inherited wealth that would pass on for generations creating a two class system which the Founding Fathers and the first citizens of this nation, so vehemently despised. As they witnessed, and as we witness now, the off-spring of these generations are productive, they do not benefit the country, they simply believe that they are above the rest of the little people. This nation was founded upon a radical concept of equality, equal justice, equal citizenship, equal rights, no ones rights, justice or equality is better than anyone else's. But money, vast wealth can and has warped that playing field.

[somsoc]

06:40 PM on 02/25/2011

The only cuts that the Democrats should consider is a cut in the continued expenditure for unnecessary battle fleets and more military hardware. Stop all advanced weapons platform construction and shut down every single no-bid contract. Increase military pay and allowances by 50% for those up to and including grades of E-6 and 0-4, and by 20% for those in grades E-7 thru First Sgt., and 0-5 and 0-6.

Bring an immediate end to both wars and close 70% or more of our foreign military installations within the next year.

Those are the only budget cuts that need to be made.

Now, cut all tax credits and write-offs to any and all corporations or entities that paid their officers in excess of $500mil in bonus, salary, deferred compensation, stock options, health benefits, vacations, life-insurance or any other method of secretive payment, like paying for personal counsel, homes, air-fare, private jets, vacation homes, tax services to include evasion assistance.

Immediately initiate a transaction tax on all stock, bond and commodities transactions of not less than 0.001% of the value of the transaction or for transactions under $500k, 5.0%.
Re-write the Federal Tax code and eliminate the tax deduction for all but one primary residence, re-instate the deduction for credit card interest and interest on personal loans, and re-impose the progressive tax rate structure that existed in 1955.
Finally, re-institute the Federal Estate Tax. more follows

[DHFabian]

01:16 PM on 02/26/2011

The military today is draining an unprecedented 50%+ of the federal budget. No other country on Earth spends this much. At the state level, government has been in a frenzy building a prison system comparable to/exceeding the old Soviet gulag. Virtually all spending for the maintenance of the United States was already cut to the bone. While draining US resources into mindless military spending (far exceeding, incidentally, what the military leaders themselves said is needed), the taxes we pay continue to be used to pay for massive annual corporate tax cuts, which have (for some 30 years) been used to export US jobs; in other words, taxpayers have been covering the costs of shutting down their own jobs. Dumb, huh?

Our system is utterly unsustainable, Washington knows this, and we don't see the president or vice-president (is Biden still around?) stepping forward to save the US from collapse. The only way to cut costs is to cut those two things that have drained the budgets, destroying the US economy. Draw down the ludicrous over-kill of the military, and tell the rich that they're on their own. Those in power refuse to do that. So, what do we, ordinary people, do from here?

[JDM73]

04:23 PM on 02/25/2011

You thought Social Security was off the table? Think again. The slashing of SS benefits is what they're working towards...Democrats just don't want to take the blame for it, so they'll say that Republicans tied their hands and they had no choice.

[DHFabian]

01:20 PM on 02/26/2011

After a Dem president took an ax to the New Deal/Great Society programs that caused such a huge increase of the middle class, we feared that the next Dem president would take an ax to Social Security. Just as the facts about the consequences of welfare "reform" have been censored out of the media, the consequences of Social Security "reform" will be censored out.
We do seem to have single-party government in the US, and we either need to get to our feet or accept that the US no longer has a representative democracy. Doing away with elections, incidentally, would be a great way to reduce the deficit, right?

[Dmpolis]

02:09 PM on 02/26/2011

We were warned by the founders not to let America become a corporation. but we are one and it has been dismanteled over many years starting with Reagan. The attack on labor began when Reagan allowed 15%of our garment industry to be handed over to Cnina and we might manufacture 5%. but then everything else went to. so what is left but to make America a third world country. They had better watchout which side they choose. We out tnumkber the rich by about 95%. We can rid the country of the republicans next election. Then we can repeal all the crap they took away.They have allowed the rich to buy america but they cannot buy Americans. Read the book "the Family" it is not the Muslims who we should fear.

[jdaron23]

04:15 PM on 02/25/2011

Stop grappling! Refuse the cuts!!! Fight for your beliefs!!

[MaryJane]

04:49 PM on 02/25/2011

They haven't any.
What they need to do is fight for OUR beliefs.

[wrabbitt]

04:11 PM on 02/25/2011

Nero fiddled while Rome burned, Boerner played golf. The same Boerner who chastised Clinton for the same thing. Guess he has his own priorities .

[oldngrumpy]

04:27 PM on 02/25/2011

His green fees and expenses are more than his salary in congress. No wonder he wanted the speaker's chair so badly.

[wrabbitt]

04:37 PM on 02/25/2011

Did he get Nancy's plane?

[DHFabian]

01:29 PM on 02/26/2011

...and we don't see the Democratic leadership bringing in a fire extinguisher.

[wrabbitt]

01:46 PM on 02/26/2011

Leadership? Where did you see leadership? In the dictionary maybe, but no where else.

[nothingchanges]

03:44 PM on 02/25/2011

Proof positive that the theory of evolution is a fraud.

Democrats, even when in the majority, are STILL invertebrates.

[higCCBC]

03:38 PM on 02/25/2011

The government shutdown is looming, and all both sides of Congress are doing is leveraging the media to make sure the other side takes the blame. Obama has never looked weaker in my eyes. First he settles on the Bush tax cut extensions, and now he is doing more of what he's been doing the entire time in office; NOTHING! He should be stark raving mad trying to fire up both sides to settle this budget crisis out. And who has to pay the price when its all said and done? us, the lowly peasants.

[oldngrumpy]

04:03 PM on 02/25/2011

I agree completely. I said when President Obama preemptively caved (again!!) on the tax cut extension that our next shift to the right would be in austerity measures because of the diminished revenues of government. America allows (and cheers) this tax cut trend in spite of the overwhelming evidence of the harm it does to our nation. TEA baggers, that probably pay little in taxes and collect from federal programs, are pushing a national dialogue of smaller everything, not just government. They want American workers to make less, American government to do less, and America in general to settle for less, when the rest of the world is expanding. We will shrink ourselves into obscurity in the world to satisfy the most ignorant among us. Democracy has failed because the citizens were never forced to hold up their required end of the bargain, to be educated and aware of the issues facing their own government.

[higCCBC]

04:21 PM on 02/25/2011

To reference what is going on in Wisconsin at the moment: What sort of person doesn't think there is anything wrong with asking teachers, police, and firefighters to take a 20% cut on a $50,000 annual salary, but thinks it's a terrible idea to ask millionaires to pay an extra 3% more in taxes? There is something wrong with that type of thinking.

[DHFabian]

01:32 PM on 02/26/2011

Is President Obama still there? What about...oh, what's his name. Biden, isn't it? Last I heard, the National Democratic Party leadership stepped out to join a tea party somewhere.

[BobbiefromTexas]

03:26 PM on 02/25/2011

Solution for short term budget: Look at budget, find monies expended in Red States. Cut in half. Problem solved.

[justwannaseehisface]

02:37 AM on 02/26/2011

Texans tend to get right to the point. Funny AND good.

[Todd Guardin]

03:22 PM on 02/25/2011

Two wars, an empire, jobs outsourced to sweatshops overseas, .1 % of the population in control of both token political parties, and the beat goes on.

[lvdragonlady]

03:11 PM on 02/25/2011

The government needs to start taxing incomes over 100k for social security and cuts that will destroy many seniors would not be necessary.
WHY are incomes over 100K not being charges social security taxes?

[oldngrumpy]

04:12 PM on 02/25/2011

Because Social Security was, and is, a stand alone, self funding program that wasn't meant to be welfare. Taxing people who will not collect from their investment will make that jump into general welfare and make it subject to the whims of short term thinking politicians. If we raise the cap, the additional revenue MUST be returned in benefits. You do realize that "EVERYONE" pays SS tax on the first $106k of yearly earnings, right? Those who make more aren't excluded from paying up to the max.

[bfraser]

11:04 AM on 02/26/2011

Well, it's true that the government would pay out more in benefits (eventually) if it collected SS tax on the whole amount of earned income. However, it is also true that it would be a net gain for the government, as Social Security payments are proportionally smaller as income rises.

[Claireify]

05:47 PM on 02/26/2011

I was not aware that incomes over $100K were not taxed for SS; however, I do know that once you start receiving SS, if a job opportunity comes along and that job pays more than you're allowed to earn according to SS rules and regs, you get nicked on your SS income. It's just like savings accounts in the good old USA. WTF are we getting penalized for, for SAVING money? (not that we have any left to save) And why are people with incomes over $100,000 a year even receiving FULL social security benefits when little people like me can't even make more than $1200 a month or the feds take a dollar for every two dollars I make over "the sacred limit." Such crap.