Govt Shutdown Threatened Again

Written by FrumForum News on Sunday March 27, 2011

The Washington Post reports:

A breakdown late last week in closed-door negotiations between congressional leaders and the White House on funding the federal government makes it increasingly possible that Congress will not agree on a long-term funding resolution or another temporary measure by an April 8 deadline, aides from both parties said.

That means that the threat of a government shutdown —which had receded in recent weeks because of congressional approval of several stopgap funding measures — appears to be back on the table.

Problems with the negotiations became public late Friday, as revealed in comments from Sen. Charles E. Schumer (D-N.Y.) and the top three House Republican leaders. The apparent breakdown followed a Tuesday meeting among staff members for House Speaker John A. Boehner (R-Ohio) and Senate Majority Leader Harry M. Reid (D-Nev.) and representatives of the White House budget office on a possible deal for funding the government through the end of the fiscal year in September.

Democratic aides said talks had been underway for nearly two weeks between Boehner’s staff and the White House budget office, with steady progress leading to an agreement that the two sides would meet halfway between the $61 billion in cuts approved by the House and Democrats’ preference for maintaining current spending levels.

Since $10 billion in cuts had already been approved in two temporary funding resolutions, that position would require Democrats to come up with only an additional $20 billion to $25 billion, some of which Democrats hoped to take from health-care and agriculture subsidies programs.

But on Tuesday, according to Democrats, House Republicans changed the terms, insisting that negotiations start with the House-passed bill and that Democrats identify the cuts they couldn’t accept.

Such a move would force Democrats to go on record defending programs that Republicans had identified as wasteful. In the meeting Tuesday, White House Budget Director Jacob J. Lew balked at the terms and the parties agreed to later return to the negotiating table, Democratic aides said.

Republican aides blamed Lew for the impasse, saying it was the White House that had demanded unreasonable terms.

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Category: The Feed