Dems: We're not overreaching in debt negotiations with Republicans

[Wehrwolfen]

Democrats: We're not overreaching in debt negotiations with Republicans​

By Bernie Becker
12/01/12

Congressional Democrats say they're not afraid of overreaching with President Obama’s tax-and-spending offer to Republicans. ​

Republicans ripped Obama’s recent proposal of $1.6 trillion in tax hikes combined with $400 billion in spending cuts as a joke, and GOP lawmakers have said the framework could make it harder for House Speaker John Boehner (R-Ohio) to get his members to agree to a deal.

But Democrats say the Republican response is little more than faux outrage, and that the White House offer is simply how negotiations are conducted, especially given that Obama comfortably won reelection after campaigning for higher taxes on the wealthy.

And with just a month left until the economy would absorb more than $500 billion in spending cuts and tax increases, Democrats across the political spectrum say they don’t believe the White House offer hurts their leverage or makes it harder to get a deal.

Rep. Barney Frank (D-Mass.), for instance, called that premise “ridiculous,” and said that early offers have “no effect” on whether either side gets too dug in on cliff negotiations.

“What harm comes from him asking for more than he thinks he’s going to be able to get?” said Frank, who did not seek re-election this year.

In fact, some Democrats said that the Obama framework blunted a favorite Republican criticism in the current fiscal debate – that the White House was shying away from specific proposals, especially on the spending side.

And party leaders pressed ahead Friday as if they still believe momentum is on their side, with House Minority Leader Nancy Pelosi (D-Calif.) lobbying once more for House Republicans to schedule a vote to lock in tax rates for family income under $250,000 a year.

"Elections have consequences," Pelosi told reporters at a news conference.

House Minority Whip Steny Hoyer (D-Md.) even went so far as to agree that the president’s proposal looked little different than a Democratic wish list.

But Hoyer also said that was wholly appropriate for an opening bid.

"I don't think it's a take-it-or-leave-it offer. I think it is, frankly, responsive to what the Republicans said they wanted, which is a specific offer," Hoyer added during his weekly press briefing in the Capitol. "That doesn't mean they have to like the offer. It does mean that they should put a very specific offer back on the table.”

But Republicans have chafed at the policy prescriptions from the administration, which Treasury Secretary Timothy Geithner offered to Boehner and Senate Minority Leader Mitch McConnell (R-Ky.).

McConnell, according to aides, even laughed when Geithner laid out the administration offer on Thursday, and Boehner said Friday that negotiations are at a “stalemate.” Top Republicans have said that, while they are open to higher revenues, they cannot support allowing any current tax rates to rise.

In addition to the $1.6 trillion in revenue, the White House is also pushing for an additional $50 billion in stimulus spending and another year of the payroll tax cut or a close substitute, as part of what the administration casts as a $4 trillion package.


[excerpt]

Read more:
Democrats: We're not overreaching in debt negotiations with Republicans - The Hill's On The Money

 

[Rozman]

Democrats: We're not overreaching in debt negotiations with Republicans​

By Bernie Becker
12/01/12

Congressional Democrats say they're not afraid of overreaching with President Obama’s tax-and-spending offer to Republicans. ​

Republicans ripped Obama’s recent proposal of $1.6 trillion in tax hikes combined with $400 billion in spending cuts as a joke, and GOP lawmakers have said the framework could make it harder for House Speaker John Boehner (R-Ohio) to get his members to agree to a deal.

But Democrats say the Republican response is little more than faux outrage, and that the White House offer is simply how negotiations are conducted, especially given that Obama comfortably won reelection after campaigning for higher taxes on the wealthy.

And with just a month left until the economy would absorb more than $500 billion in spending cuts and tax increases, Democrats across the political spectrum say they don’t believe the White House offer hurts their leverage or makes it harder to get a deal.

Rep. Barney Frank (D-Mass.), for instance, called that premise “ridiculous,” and said that early offers have “no effect” on whether either side gets too dug in on cliff negotiations.

“What harm comes from him asking for more than he thinks he’s going to be able to get?” said Frank, who did not seek re-election this year.

In fact, some Democrats said that the Obama framework blunted a favorite Republican criticism in the current fiscal debate – that the White House was shying away from specific proposals, especially on the spending side.

And party leaders pressed ahead Friday as if they still believe momentum is on their side, with House Minority Leader Nancy Pelosi (D-Calif.) lobbying once more for House Republicans to schedule a vote to lock in tax rates for family income under $250,000 a year.

"Elections have consequences," Pelosi told reporters at a news conference.

House Minority Whip Steny Hoyer (D-Md.) even went so far as to agree that the president’s proposal looked little different than a Democratic wish list.

But Hoyer also said that was wholly appropriate for an opening bid.

"I don't think it's a take-it-or-leave-it offer. I think it is, frankly, responsive to what the Republicans said they wanted, which is a specific offer," Hoyer added during his weekly press briefing in the Capitol. "That doesn't mean they have to like the offer. It does mean that they should put a very specific offer back on the table.”

But Republicans have chafed at the policy prescriptions from the administration, which Treasury Secretary Timothy Geithner offered to Boehner and Senate Minority Leader Mitch McConnell (R-Ky.).

McConnell, according to aides, even laughed when Geithner laid out the administration offer on Thursday, and Boehner said Friday that negotiations are at a “stalemate.” Top Republicans have said that, while they are open to higher revenues, they cannot support allowing any current tax rates to rise.

In addition to the $1.6 trillion in revenue, the White House is also pushing for an additional $50 billion in stimulus spending and another year of the payroll tax cut or a close substitute, as part of what the administration casts as a $4 trillion package.


[excerpt]

Read more:
Democrats: We're not overreaching in debt negotiations with Republicans - The Hill's On The Money

“What harm comes from him asking for more than he thinks he’s going to be able to get?” said Frank, who did not seek re-election this year.

What harm is there in laughing in their faces and walking away... right?