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G.O.P. Senators See Outline for Debt Deal After Obama Meeting G.O.P. Senators See Outline for Debt Deal After Obama Meeting
(35 minutes later)
WASHINGTON — Republican senators emerged from a meeting at the White House on Friday afternoon expressing confidence that a deal could be reached in a matter of days that would end the government shutdown and extend the nation’s borrowing authority, but cautioning that details of an agreement, including the length of an extension, still needed to be worked out.WASHINGTON — Republican senators emerged from a meeting at the White House on Friday afternoon expressing confidence that a deal could be reached in a matter of days that would end the government shutdown and extend the nation’s borrowing authority, but cautioning that details of an agreement, including the length of an extension, still needed to be worked out.
“I’m glad we had the discussion,” said Senator Kelly Ayotte, Republican of New Hampshire. “Now we have to put the words into action and get this resolved.”“I’m glad we had the discussion,” said Senator Kelly Ayotte, Republican of New Hampshire. “Now we have to put the words into action and get this resolved.”
Senator Rob Portman, Republican of Ohio, said there was no breakthrough, but a general sense that at least the two sides were listening to each other now. “The president was willing to listen as well as give his point of view,” he said. “So I think it was helpful.”Senator Rob Portman, Republican of Ohio, said there was no breakthrough, but a general sense that at least the two sides were listening to each other now. “The president was willing to listen as well as give his point of view,” he said. “So I think it was helpful.”
One proposal discussed at the meeting, presented by Senator Susan Collins, Republican of Maine, would reopen the government through a six-month stopgap spending measure, repeal a tax on medical devices that is part of the health care law, and provide government agencies some flexibility on how to carry out the across-the-board spending cuts known as sequestration. Attendees said that the president listened carefully, and indicated that the proposal could serve as a good starting point for an agreement. Significantly, the president signaled that he could be flexible in reaching a deal, said Senator Lisa Murkowski of Alaska. He said he was open to the idea of giving Republicans something on their policy wish list, Ms. Murkowski said, if they in turn agreed to give Democrats something but only on the condition that the government reopens and the debt ceiling is raised.
“He said ‘space for trading,'” Ms. Murkowski said. “So apparently we are not talking about negotiation, we’re talking about some trading space.”
After the White House meeting, Senator Susan Collins, Republican of Maine, and Senator Joe Manchin III, Democrat of West Virginia, continued work on a proposal they hope could get bipartisan support in the Senate. The plan, according to an aide with knowledge of the discussions, would extend the nation’s borrowing limit through the end of January and include a stopgap spending measure at sequestration levels that would reopen the government and finance it through the end of March. Government agencies would have flexibility on how to handle the across-the-board spending cuts.
The plan also would call for an immediate bipartisan conference for the House and the Senate to begin negotiations over a budget, with the expectation of producing an agreement by the middle of January.
The aide added that there also would be either a delay or an easing of a tax on medical devices that is part of the health care law, but that the repeal of the tax was now off the table.
Attendees at the White House meeting said that when a version of the proposal was discussed, the president listened carefully, and indicated it could serve as a good starting point for an agreement.
“He described it as constructive, as having elements that could be worked on, but I don’t mean to give you the impression that he endorsed it and said, ‘What a great plan.’ He didn’t,” Ms. Collins said.“He described it as constructive, as having elements that could be worked on, but I don’t mean to give you the impression that he endorsed it and said, ‘What a great plan.’ He didn’t,” Ms. Collins said.
Negotiations over the proposal among a bipartisan group of senators have received the blessing of Senator Harry Reid of Nevada, the majority leader. Both Senator Mitch McConnell of Kentucky, the minority leader, and Senator Charles E. Schumer of New York, the No. 3 Senate Democrat, are involved in the talks a dynamic aides point to as a sign of optimism. Negotiations over the proposal among a bipartisan group of senators have received the blessing of Senator Harry Reid of Nevada, the majority leader.
Though Republicans in both chambers have largely tabled the effort to “defund Obamacare,” as its proponents call it, Senator Ted Cruz, Republican of Texas and a leader of the movement, said he reiterated his view to the president that changes to his health care law should be part of any deal.Though Republicans in both chambers have largely tabled the effort to “defund Obamacare,” as its proponents call it, Senator Ted Cruz, Republican of Texas and a leader of the movement, said he reiterated his view to the president that changes to his health care law should be part of any deal.
“The outcome needs to be we should fund the government, and we should provide real relief to the millions of people who are losing their job or forced into part-time work or losing their health insurance because of Obamacare,” Mr. Cruz said. “That should remain the focus, and I hope it does.”“The outcome needs to be we should fund the government, and we should provide real relief to the millions of people who are losing their job or forced into part-time work or losing their health insurance because of Obamacare,” Mr. Cruz said. “That should remain the focus, and I hope it does.”
Any path to compromise remains uncertain, given how firmly Democrats have insisted that they will accept nothing other than debt ceiling and budget bills that contain no Republican add-ons.Any path to compromise remains uncertain, given how firmly Democrats have insisted that they will accept nothing other than debt ceiling and budget bills that contain no Republican add-ons.
Senator Lindsey Graham, Republican of South Carolina, said he sensed some flexibility in the president’s willingness to step back from the no-negotiations line he has taken as a condition for reopening the government.Senator Lindsey Graham, Republican of South Carolina, said he sensed some flexibility in the president’s willingness to step back from the no-negotiations line he has taken as a condition for reopening the government.
“Here’s what I mentioned to the president: ‘Listen, I understand where you’re coming from protecting the presidency, but you can’t tell the Congress you will reopen the government, you will pass a continuing resolution and you will raise the debt ceiling, then I will talk to you,'” Mr. Graham said. “As a body, we can’t give that authority away.” Mr. Graham added that he believed the president was receptive.“Here’s what I mentioned to the president: ‘Listen, I understand where you’re coming from protecting the presidency, but you can’t tell the Congress you will reopen the government, you will pass a continuing resolution and you will raise the debt ceiling, then I will talk to you,'” Mr. Graham said. “As a body, we can’t give that authority away.” Mr. Graham added that he believed the president was receptive.
“I think he understands that’s a point of view that he used to hold when he was over here,” he said.“I think he understands that’s a point of view that he used to hold when he was over here,” he said.
Though some senators said that any plan they put forth would also need to pass muster in the Republican-controlled House, Senator Jeff Flake, Republican of Arizona, was eager for the Senate to take the lead in negotiating with Mr. Obama on reopening the government.Though some senators said that any plan they put forth would also need to pass muster in the Republican-controlled House, Senator Jeff Flake, Republican of Arizona, was eager for the Senate to take the lead in negotiating with Mr. Obama on reopening the government.
“House Republicans so far don’t want to get rid of the shutdown and I don’t know in what world we’re faring well in the shutdown in terms of policy or politics, so in that sense, yeah I’d rather have the Senate,” he said. “House Republicans so far don’t want to get rid of the shutdown, and I don’t know in what world we’re faring well in the shutdown in terms of policy or politics, so in that sense, yeah, I’d rather have the Senate,” he said.
Mr. Flake also said that while a repeal of the medical device tax unpopular with some Democrats came up, the issue was “not resolved.” But he added, the president did show some willingness to tweak other aspects of his signature health care law: “He said individual things that needed to improve the act — not gutted — that he’d look at, but obviously not in the context,” Mr. Flake said. Mr. Flake also said that while a repeal of the medical device tax, which is unpopular with some Democrats, came up, the issue was “not resolved.” But he added that the president did show some willingness to tweak other aspects of the health care law. “He said individual things that needed to improve the act — not gutted — that he’d look at, but obviously not in the context,” Mr. Flake said.
Though no specific agreement was reached, Senate Republicans described the meeting as productive, and said they were feeling, in the words of Senator Mike Johanns of Nebraska, “optimistic.” Attendees said they discussed potential spending cuts and changes to entitlement programs that Mr. Obama had previously proposed — such a means testing for Medicare and a new way of calculating inflation to slow the growth of benefits — but were unable to agree on any specifics. Though no specific agreement was reached, Senate Republicans described the meeting as productive, and said they were feeling, in the words of Senator Mike Johanns of Nebraska, “optimistic.” Attendees said they discussed potential spending cuts and changes to entitlement programs that Mr. Obama had previously proposed — like means testing for Medicare and a new way of calculating inflation to slow the growth of benefits — but were unable to agree on any specifics.
“We talked about what he has in his own budget,” Mr. Flake said. “The question was: Do you do that without revenue? And what context? Is it just sequester replacement or relief? There was much said but no definitive answer there. That was a bit frustrating on our part.”“We talked about what he has in his own budget,” Mr. Flake said. “The question was: Do you do that without revenue? And what context? Is it just sequester replacement or relief? There was much said but no definitive answer there. That was a bit frustrating on our part.”
There was also movement, the senators said, towards a two-pronged approach that would both end the shutdown and extend the debt-ceiling deadline, while setting the stage for broader, bipartisan negotiations over the budget. There was also movement, the senators said, toward a two-pronged approach that would both end the shutdown and extend the debt ceiling deadline, while setting the stage for broader, bipartisan negotiations over the budget.
“The key is how do we get reforms in savings that enable us both to agree on reopening the government and address the debt ceiling?” said Senator John Hoeven, Republican of North Dakota. “The discussion was about doing all of the above, both getting the government open and addressing the debt ceiling. The question is: how do we bring these ideas together in the right combination to get all of it done?” “The key is how do we get reforms in savings that enable us both to agree on reopening the government and address the debt ceiling?” said Senator John Hoeven, Republican of North Dakota. “The discussion was about doing all of the above, both getting the government open and addressing the debt ceiling. The question is: How do we bring these ideas together in the right combination to get all of it done?”
Even as negotiations showed some signs of progress, the Senate prepared to debate a proposal to raise the debt ceiling through next year, a move that Democrats have designed to pressure Republicans in both houses of Congress to act swiftly to avert what could be a devastating default.Even as negotiations showed some signs of progress, the Senate prepared to debate a proposal to raise the debt ceiling through next year, a move that Democrats have designed to pressure Republicans in both houses of Congress to act swiftly to avert what could be a devastating default.
The move to open debate on the debt ceiling plan, which could come as early as Friday afternoon, is only the first step in a long procedural process that would set up a final vote in the Senate early next week. Senate Republicans could still object, pushing the preliminary vote to Saturday.The move to open debate on the debt ceiling plan, which could come as early as Friday afternoon, is only the first step in a long procedural process that would set up a final vote in the Senate early next week. Senate Republicans could still object, pushing the preliminary vote to Saturday.
But whether enough Republicans would join Democrats in support of the debt ceiling increase is unclear. And a vote to shelve the plan would be yet another setback in the slow and inconclusive talks that continue with few signs of real progress.But whether enough Republicans would join Democrats in support of the debt ceiling increase is unclear. And a vote to shelve the plan would be yet another setback in the slow and inconclusive talks that continue with few signs of real progress.
Six Republicans would need to break ranks with their leadership for the debt limit bill to move forward. But so far the Republican leadership has objected to any proposal that raises the debt limit with no conditions — something Democrats have insisted on, saying that they will not be pressured into making concessions with a default looming.Six Republicans would need to break ranks with their leadership for the debt limit bill to move forward. But so far the Republican leadership has objected to any proposal that raises the debt limit with no conditions — something Democrats have insisted on, saying that they will not be pressured into making concessions with a default looming.
House Republicans continued to try to find a way to reach a deal with the White House, after they failed to agree on Thursday on a Republican plan for a six-week extension of the nation’s borrowing authority. The two sides continued to pursue other options throughout the night and into the day Friday.House Republicans continued to try to find a way to reach a deal with the White House, after they failed to agree on Thursday on a Republican plan for a six-week extension of the nation’s borrowing authority. The two sides continued to pursue other options throughout the night and into the day Friday.
Mr. Reid reiterated on Friday that the House plan was going nowhere in the Senate.Mr. Reid reiterated on Friday that the House plan was going nowhere in the Senate.
“They’re talking about extending the debt ceiling for two months,” Mr. Reid said. “Please.”“They’re talking about extending the debt ceiling for two months,” Mr. Reid said. “Please.”
Doing so, he said, would only plunge the country into economic crisis right before the busy holiday shopping season.Doing so, he said, would only plunge the country into economic crisis right before the busy holiday shopping season.
“Using their theory,” he said, “we would have another one of these periods of bedlam here in Washington right before the most important purchasing season at any time during the year: Christmas.”“Using their theory,” he said, “we would have another one of these periods of bedlam here in Washington right before the most important purchasing season at any time during the year: Christmas.”
With Washington inching toward a resolution to the budget standoff, Republicans grappled with new polls showing that the public overwhelmingly blames them for the fiscal dispute. In an NBC/Wall Street Journal survey released Thursday evening, 53 percent of the public blamed Republicans, while 31 percent blamed Mr. Obama. Just 24 percent of those surveyed said they had a favorable opinion of Republicans.With Washington inching toward a resolution to the budget standoff, Republicans grappled with new polls showing that the public overwhelmingly blames them for the fiscal dispute. In an NBC/Wall Street Journal survey released Thursday evening, 53 percent of the public blamed Republicans, while 31 percent blamed Mr. Obama. Just 24 percent of those surveyed said they had a favorable opinion of Republicans.
The survey found that just 21 percent of Americans view the Tea Party movement favorably, while it suggested that Mr. Obama has received less blame for the nation’s fiscal problems. The president was viewed favorably by 47 percent of those surveyed, while 41 percent viewed him unfavorably.The survey found that just 21 percent of Americans view the Tea Party movement favorably, while it suggested that Mr. Obama has received less blame for the nation’s fiscal problems. The president was viewed favorably by 47 percent of those surveyed, while 41 percent viewed him unfavorably.
Perhaps motivated by those numbers, Republicans on Friday sounded more conciliatory than they had during weeks of often angry words from both sides in the tense budget standoff.Perhaps motivated by those numbers, Republicans on Friday sounded more conciliatory than they had during weeks of often angry words from both sides in the tense budget standoff.
“We decided that it would be best moving forward if we focused on moving forward,” said Representative Howard “Buck” McKeon, Republican of California, on MSNBC’s “Morning Joe” program. “People here want to do what’s right.”“We decided that it would be best moving forward if we focused on moving forward,” said Representative Howard “Buck” McKeon, Republican of California, on MSNBC’s “Morning Joe” program. “People here want to do what’s right.”
He added, “At the end of the day, we are going to get this worked out, and hopefully it will be good for the nation.”He added, “At the end of the day, we are going to get this worked out, and hopefully it will be good for the nation.”
Economists across a broad spectrum agree that breaching the debt limit would damage the economy. Any temporary extension of the borrowing authority could temporarily remove that threat.Economists across a broad spectrum agree that breaching the debt limit would damage the economy. Any temporary extension of the borrowing authority could temporarily remove that threat.