Reid Backs Tentative Debt Deal, Conservatives Voice Concern

[WestVirginiaRebel]

Fox News:

Washington – Senate Democratic Leader Harry Reid has signed off on a tentative debt-ceiling compromise, saying he hopes lawmakers can finalize a deal and move to a vote as early as Sunday.

At the same time, concerns were spreading on the conservative side that the emerging plan could cut too deeply into defense spending, raising questions about whether the framework can attract enough bipartisan support.

One congressional source said the deal is not yet sealed. But Reid, becoming the first congressional leader to publicly endorse the plan, said late Sunday afternoon through a spokesman that he had signed off on it "pending caucus approval."

With pressure intensifying to produce a bill that can somehow sail through both chambers in the next two days, leaders on both sides are now scrambling to not only finalize the package but loop in their rank-and-file members.

Already, liberal groups and lawmakers were raising alarm about the possibility of entitlement cuts in the package. House Democratic Leader Nancy Pelosi, without taking a position, said she'd have to review the details, looking ahead to a meeting with Democrats on Monday.

"We all may not be able to support it. And maybe none of us will be able to support it," she said.

But as Reid tried to build support on the Democratic side, GOP leaders were dealing with mounting concerns from party conservatives about possible defense cuts.

Under the framework, the plan would immediately cut spending by about $900 billion over the next decade, and then task a commission to recommend another set of cuts that would, taken together, add up to the size of the debt-ceiling increase. If the committee's recommendations are not approved by the end of the year, a "trigger" in the proposal would automatically enact across-the-board cuts -- with roughly half of the cuts coming from defense, sources said.

One Republican source warned that a "large bloc" of GOP lawmakers would oppose the deal if those cuts are too deep, noting that there are dozens of Republicans on the House Armed Services Committee alone who "agree with the unanimous chorus from senior military leadership -- we're at the bare minimum for (defense) spending without deeply damaging an already stressed force."
________

Did the Republicans capitulate, or the other way around? Either way, Obama is sure to take credit for any deal reached.

[Pepper]

Tar and feathers all around.

[righteousmomma]

Tar and feathers all around.

Have no idea if true or not but sounds like Rush is right once again re:

RUSH: This entire process is deceptive and I don't think everybody's being told the facts. Yesterday I pretty much put forth a conspiracy theory that we've been set up from the start, that we're a bunch of saps being played as saps. Remember when Boehner broke off talks with Obama, said he was going to try to make a deal with the leaders in the Senate. Maybe he did do exactly that and maybe he's been quietly working with McConnell, Reid and Biden, all along behind the scenes. The Boehner and Reid plans are remarkably similar except for the timeline and the BBA. The timeline could be easily extended by just adding in the phony defense cuts from Reid's bill. It could well be that Reid called the Boehner bill dead on arrival to give Boehner cover on the right. Maybe it's all been kabuki theater after all.

 

The reason that I say this is there's a Fox News story by Ed Henry. The real deal Boehner was working on while asking his members to vote for a deal that he knew would be used to bring this all about, potential debt limit Plan C emerges. Plan C. "Democrat officials are cautiously optimistic." This is from yesterday. "Democratic officials are cautiously optimistic that the outlines of a potential compromise -- a 'Plan C' -- are emerging that could bridge the differences between plans pushed by House Speaker John Boehner, R-Ohio and Senate Majority Leader Harry Reid, D-Nev. The officials said President Obama has spent the past couple of days quietly reaching out to leaders in both parties to try and start hammering out the details, though it's clear this is still only in the discussion phase and they are not close to a deal yet. Senate Budget Chairman Kent Conrad, D-N.D., hinted at such a compromise earlier Thursday during an interview on Fox News. 'Let me just say behind the scenes there are discussions underway to find a way forward,' said Conrad. 'To how would you harmonize what Leader Reid has come up with and Speaker Boehner has come up with and I'm increasingly of the view that we can do that.'"

 

They're not telling us about this, folks. We think that Boehner is talking to the Republican caucus to try to come up with something to get Republican votes. But really Boehner's talking with Reid. And I'm sure McConnell is part of the deal, too. So I wonder if this is true. I wonder how Republicans in the House feel if they might think that they're not being told fully what's going on. The vote has been delayed twice. I think largely that's because of people in this audience and elsewhere are letting it be known that this is unacceptable. They don't care what the big names at Krauthammer Review Online, believe and the crystal standard. The Wall Street Journal called its subscribers hobbits yesterday. The Wall Street Journal, the people who subscribe to that are conservatives, in an editorial they're calling you hobbits. The subscribers!

 

They just want a deal. That magic word compromise. That's the magic. Obama's remarks this morning seem to be addressing this plan C. If you knew that there's a plan C being talked about, then it makes what Obama said a little bit clearer. So essentially, ladies and gentlemen, what's going on is what I thought was going on yesterday, and that is a way for Reid to take whatever the Republicans come up with and all of a sudden say, "You know what, now this I can work with." Make it his bill in the Senate and then send it back to the Republicans. The theory on why this will work is because everybody thinks the Republicans are acting out of fear. They're so desperate to get this signed and off the table and to move on that they'll sign whatever's in it. That's where they're wrong and I think they are figuring this out even now as we speak.

BREAK TRANSCRIPT

 

RUSH: Sticking point of Plan C is the "trigger," and what triggers it? That's the sticking point. Here's the Politico version, ladies and gentlemen, of the story: "Democrats are aiming for a debt limit compromise similar to the House Republican plan with at least one major difference: The second vote on raising the debt ceiling would not depend on Congress passing a broader deficit-reduction package." That's the trigger. I'm talking about version C. That's not Boehner 3.0 with his new Balanced Budget Amendment. It's the one they're really talking about, behind closed doors. "Democrats are aiming for a debt limit compromise similar to the House Republican plan with one major difference: the second vote, meaning next year, we gotta raise the debt limit again."

 

How ridiculous is this that we're going to raise the debt limit here and raise it next spring? I know we're trying to deny him one giant raise so Obama doesn't get his lifeline. But the whole point is we're supposed to be cutting it! Anyway, "The second vote on raising the debt ceiling would not depend," this is the Democrat demand, "on Congress passing a broader deficit reduction package," meaning the Democrats don't like this idea that there have to be spending cuts equal to the debt increase the second time next spring. That's the trigger they disagree. "The shape of this potential compromise meshes major elements of the proposals offered in recent weeks by [boehner, Mitch McConnell and Dingy Harry], according to Democrat officials familiar with the negotiations."

 

So there's two stories on this version C out there. Fox and Politico. "Under the possible compromise Congress could still get a second crack at voting on the debt limit within months, but rather than linking the vote to Congress approving the recommendations of a new 12-member committee, as it would be in the Boehner bill, Democrats prefer McConnell's proposal that allows Obama to lift the debt ceiling unless two-thirds of both chambers override his veto." So what the Democrats want is for Obama to be able to raise the debt limit on his own during the second tranche would be some time earlier next year without any corresponding spending cuts.

 

The only stop would be a veto: Two-thirds of both houses opposing it (which, in the Senate, you can forget about). So essentially what is actually being talked about is not Boehner 3.0, but Plan C, and if they come to an agreement on that trigger, Boehner 2.0, well, it will get passed and get sent over there and it will become Plan C. That's the game that's being played. "To force action on a deficit-reduction package, the White House would agree to strengthen the mechanism that compels Congress to pass the special committee's recommendations. According to these Democrat officials. The officials would not detail proposals for so-called trigger that acts at an incentive for both parties to bargain in good faith and reach agreement," because there won't be one!

 

Democrats want the trigger to include taxes. That's what they're holding out for. Boehner 2.0, Boehner 3.0, Plan C, the Democrats are holding out for taxes -- and that's why they'll not put it on paper. It is why they don't have a specific plan. Well, they do. They just won't commit it to paper. When Obama went out there today, this morning, in his remarks, he said that he would support a trigger mechanism that would implement future spending cuts as long as it's done in "a smart and balanced way." Now, "smart and balanced way," I am so sick of this kind of Washington-speak! There's nothing "smart" about this administration, and there's nothing "balanced" about it. The fact that we let them get away with owning the notion that they're smart and they have balance in what they're doing is absurd!

 

They are the most leftist, destructive administration this country has had in the modern era. Maybe ever! I can't think of a regime which has led an assault like this on the US private sector, relentlessly, and not even lightened up on it. So Obama will support the trigger as long as it's done in "a smart and balanced way." That means any plan will have to include higher taxes to get his support, because whenever he talks about a balanced approach, he means higher taxes. The Democrats want there to be automatic taxes that kick in if the Republicans don't agree with their cuts. It's always about taxes with the Democrats. Always. And we're supposed to compromise? We have been compromising every day of this whole silly process -- with ourselves -- to try to please them, because we are acting out of fear. We are afraid of somebody who would lose in a landslide if the election were held today. So there it is: Plan C.

 

Hold onto your back pocket. It's about tax increases...

Go to www.rushlimbaugh.com for more

[saveliberty]

The Corner

‘The Best We Could Get’

July 31, 2011 10:49 P.M.

By Andrew Stiles

 

House Speaker John Boehner (R., Ohio) told GOP members on a conference call Sunday evening that he had reached a deal with congressional leaders and the White House, but that it wouldn’t happen “unless we have membership on board.” It remains to be seen how many House Republicans will end up supporting the final package, but members on the call told National Review Online they thought it would ultimately pass with bipartisan support. “I’m not sure I’m going to support it but I think it will probably pass,” said freshman Rep. Dennis Ross (R., Fla.). Members described the tone of the call as overwhelmingly positive, with many praising Boehner’s efforts in the negotiations. Despite his concerns about the final deal, Ross said “leadership has done a very good job of getting it to this point,” and described a sense of relief among members, many of whom may not love the deal, but are nonetheless happy to be moving on to the next fight.

 

According to sources, Boehner said the deal was “the best that we could get.” In particular, he thanked the 87 freshman members for their input, without which “we wouldn’t have gotten this far.” Ross concurred. “I think the freshman class has been very valuable to this process,” he said.

[righteousmomma]

This is NOT a victory for the Country, us conservatives and us who support the Tea Party agenda of cutting spending and having a balanced budget. We are being sold a bill of goods that will come back to bite us big time.

I know the media is hyping it blah blah but i hope we vote NO. Just more of the same old same old. There is no need for panic nor compromise on our side. Our credit rating was already lowered over the weekend as certain people have been saying it would be because of spending for 5 years now.

Just now listening to Beck on the radio as I clean my art room and I agree with every point he has made. (He's against it too)

THIS IS NO VICTORY for the TEA PARTY as it is being proclaimed now.

[Argyle58]

This is NOT a victory for the Country, us conservatives and us who support the Tea Party agenda of cutting spending and having a balanced budget. We are being sold a bill of goods that will come back to bite us big time.

I know the media is hyping it blah blah but i hope we vote NO. Just more of the same old same old. There is no need for panic nor compromise on our side. Our credit rating was already lowered over the weekend as certain people have been saying it would be because of spending for 5 years now.

Just now listening to Beck on the radio as I clean my art room and I agree with every point he has made. (He's against it too)

THIS IS NO VICTORY for the TEA PARTY as it is being proclaimed now.

 

Hear, Hear!!! This whole debate was supposed to be about deficit reduction. There is none of that here. There are no spending cuts, only caps on the increase in spending, which will slow the growth of the deficit, but does nothing to reduce it.

[SrWoodchuck]

Via ZeroHedge.com

 

CBO Scores "Bipartisan" Plan At Half Of S&P Required Savings; Only 2% Of Total Cuts To Take Place Before Obama Reelection

 

Submitted by Tyler Durden on 08/01/2011 12:06

 

 

It was only a week ago that S&P said anything under $4 trillion in deficit cuts would be an automatic downgrade for the US. So according to the CBO's just released score of the bipartisan budget, the S&P will have to cut its rating of the US in half, since the total budget cuts will be just over 50% of what S&P demanded previously. And here's the funny part: of the $917 billion in known cuts (the other $1.2 billion is factored but not even the CBO has any clue what it will look like), a whopping 2% in cuts will take place before the Obama election. 2%! This whole charade is there only to make sure the president is reelected. Oh, and of course to make sure S&P does not downgrade the US. Which is where we get back to the fun. THE FUN. Because as it turns out, that whole $4 trillion thing.... S&P was only kidding. "It appears that the perception Standard & Poor's seemed to harbour, that the U.S. needed to find a $4trn sized package in order to keep its triple A rating, is unfounded. Two credit research reports published today point to the testimony given by S&P president Deven Sharma to the Congressional House Financial Services subcommittee on Wednesday, where he seems to believe his firm has been misquoted in media reports." There you go: to S&P $2.1 trillion (of which $1.2 trillion may never even materialize) will end up being just as good, if not better than $4 trillion. And that, ladies and gentlemen, is how a rating agency regains credibility and stuff.

[Valin]

This is NOT a victory for the Country, us conservatives and us who support the Tea Party agenda of cutting spending and having a balanced budget. We are being sold a bill of goods that will come back to bite us big time.

I know the media is hyping it blah blah but i hope we vote NO. Just more of the same old same old. There is no need for panic nor compromise on our side. Our credit rating was already lowered over the weekend as certain people have been saying it would be because of spending for 5 years now.

Just now listening to Beck on the radio as I clean my art room and I agree with every point he has made. (He's against it too)

THIS IS NO VICTORY for the TEA PARTY as it is being proclaimed now.

 

Breitbart.tv’s Larry O’Connor Talks Debt Deal and Al Sharpton with Dennis Miller

 

 

Looks like a win to these tired old eyes.

[righteousmomma]

Recently I posted somewhere here Rush's take on all this and what he called "Plan C"

 

Thought it was the only funny moment of today when he said:

 

"Republican Votes for Boehner Bill Produced Plan "C (I Told You So)"

 

Have to say the best analysis of this new compromise (that I heard today) for now and the future was by Glenn Beck and Rush Limbaugh.

[clearvision]

Deal clears House vote.