|Kathleen Hunter and Roxana Tiron|
Obama now must decide how to contend with opposition from congressional Republicans who demand a tax-cut extension for all income levels.
Obama defeated Republican
Emboldened by the election results, Obama “will offer a brand-new plan of his own,”
Bell said one option the Obama administration is considering is pushing anew for a “balanced” plan to cut as much as
Congressional aides have previously said that lawmakers in both parties are discussing fallback plans for
Senate Finance Chairman
“There’s a mandate for a balanced approach, and that means it’s got to be a combination of revenue and cuts,” former Representative
To help bring Republicans to the table, Obama also may propose “minor changes” to entitlement programs, such as a temporary change in the formula used to calculate annual benefit adjustments, Bell said.
“Obama will certainly be very proactive,” he said.
A big question is the degree to which Republicans will back off from their opposition to tax increases.
“For two years, our majority in the House has been the primary line of defense for the American people against a government that spends too much, taxes too much and borrows too much when left unchecked,” House Speaker
Boehner indicated before the election that the House may be willing to pass short-term legislation to make time for broader talks on reducing the deficit and averting automatic spending cuts over the next decade.
“The American people re-elected the president, and re- elected our majority in the House,” Boehner of
Ueland said Obama’s victory increases pressure on him to reach across the aisle.
“While he’ll have the ability to argue that he received an endorsement of his positions, he also has the responsibility of working with the Republicans in the House and Senate,” Ueland said.
Some congressional Republicans, especially in the
To the extent that Obama “wants to move to the political center, which is where the work gets done in a divided government, we’ll be there to meet him halfway,” Senate Minority Leader
Obama wants to boost top income tax rates to the levels they reached when President
In July, the
‘Gridlock and Delay’
Senate Majority Leader
“This is no time for excuses,” Reid said. “This is no time for putting things off until later. We can achieve big things when we work together, and the middle class is counting on us to achieve big things in the months ahead.”
The Republican-led House passed legislation in May to avert defense spending cuts and voted in July to extend all of the expiring tax cuts. Neither measure advanced in the Democratic- controlled
The automatic cuts over 10 years would be split equally between defense and non-defense programs. Democratic and Republican lawmakers have raised concerns about the cuts and say they want to avert them.
“The keys are in the Republican hands,”
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