04/25/2009 05:12 am ET Updated May 25, 2011

Democrats Want To Cut Down Obama's Budget

Alarmed by rising deficit predictions, Congressional Democrats prepared Tuesday to pare spending in President Obama's budget and limit some middle-class tax cuts even as Republicans stepped up their criticism of the plan as irresponsible.

The draft unveiled Tuesday by Senate Democrats reflected significant changes to Mr. Obama's proposal. It drops his appeal to set aside money for future bank bailouts, provides only a temporary fix for a mandatory income tax increasingly hitting the middle class and leaves open-ended the handling of major health care and energy initiatives. Administration officials sought to play down any differences, saying they were satisfied with the emerging plans.

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