WASHINGTON (Reuters) ? Lead congressional negotiators on Wednesday reached a sweeping tax-cut deal, but Republicans refused to immediately sign off on it, raising new hurdles, aides said.
A senior Democratic aide said Senate Republicans were demanding changes be made to ease newly imposed restrictions on physician-owned hospitals. Aides said some Democrats were also reluctant to sign the deal, apparently because of concerns about proposed pension cuts for federal workers.
Republican and Democratic aides held out hope, however, that differences could soon be resolved and the deal put back on track toward congressional approval.
The deal to extend the payroll tax cut, set to expire on February 29, was crafted by lead negotiators for a special committee composed of seven members of the Democratic-led Senate and 13 members of the Republican-led House of Representatives.
The accord would also renew expiring jobless benefits and prevent a steep cut in payments to doctors of elderly Medicare patients.
The deal can only be cleared for consideration by the full House and Senate if a majority of the 20 Democratic and Republican negotiators approve it.
Earlier in the day, it appeared as if the House and Senate would vote on it by Friday. But the dispute over physician-owned hospitals placed in doubt what the final deal may look like and when there would be a vote.
Both sides seem to want to find an agreement soon since lawmakers are set to leave on Friday for a week-long recess. Their departure could get delayed.
A deal on a payroll tax cut extension would be a big victory for President Barack Obama and his fellow Democrats and free Republicans of an issue that threatened to hurt them in the November 6 elections.
The tax cut divided Republicans and risked further angering voters, who already hold Congress in low regard, if they were seen as blocking renewal of the tax relief.
"We're determined to put this to an end," said Republican Representative Renee Ellmers, one of the 20 negotiators. She said Republicans want to "move on to the real issues: the president's failed policies" to support the ailing economy.
House Speaker John Boehner and fellow Republican leaders cleared the way for a deal on Monday when they dropped their demand that there be spending cuts to pay for a reduction in the payroll tax in order to avoid an increase in the federal debt.
DODGING THE BLAME
The decision showed Boehner's pragmatic side since his party would have been blamed for any failure to extend the tax cut, which many of his members initially opposed.
Since becoming speaker in January 2011, Boehner has had problems keeping some conservative members in line, particularly those who see deficit reduction as their chief mission.
A number of House Republicans criticized Boehner's decision on the tax cut, but others said it was needed to protect their constituents against a tax hike.
The agreement would extend the payroll tax cut, first implemented in 2011 at the request of Obama, until the end of this year for about 160 million U.S. workers.
Passage would end a battle that has raged since last year over legislation some economists say is vital to keeping the U.S. recovery on track by injecting more consumer spending into the economy.
The payroll tax cut is estimated to put $1,000 in additional money in the hands of the average working family over one year. And extending unemployment benefits is seen by economists as one of the most effective ways of encouraging consumer spending because the unemployed use their benefit checks for basic needs.
Democrats described House Republicans' new willingness to let the payroll tax cut be extended without offsetting spending cuts by saying they had "caved" and "folded."
Long known as the party of low taxes, Republicans initially fought the payroll tax cut that largely helped low- and middle-income workers, saying temporary tax cuts did little to stimulate the economy.
With economists disagreeing and Democrats simultaneously forcing Republicans to go on the record in favor of tax cuts for the wealthy, Republicans found themselves in a losing position.
As their leaders tried to move into winning territory, it only stoked Republican infighting as conservatives, including Tea Party activists, resisted handing Democrats a victory.
Analysts said opinion polls showing public disgust with a gridlocked Congress may have helped drive lawmakers, many of whom are up for re-election this year, toward a deal.
"A lot of people in Washington, D.C., know that Congress is not enjoying such a great reputation and here's an opportunity to reach agreement to show that we can get our work done," said Democratic Senator Max Baucus, a lead negotiator.
(Additional reporting by Donna Smith and David Lawder; editing by Cynthia Osterman and Todd Eastham)
pharrell silver bullet russell simmons russell simmons joseph kony joseph kony 9 9 9
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.