It’s Official: A Government Shut Down Has Been Averted (For Now)

UPDATED with House vote

Senate Majority Leader Harry Reid told reporters Tuesday that he will accept House Republicans’ two-week extension of government funding that comes with $4 billion in cuts. The House this afternoon passed the bill 335-91 with overwhelming bipartisan support. Reid says he will push that measure through the Senate “in the next 48 hours.” Without congressional action current government funding lapses on Friday.

Reid said he discussed “a number of options” with Republicans, including a 30-day $8 billion-in-cuts deal floated today by White House Press Secretary Jay Carney but “they rejected that.”

Democrats have been hammering Republicans that two weeks is a curt deadline to reach a deal on longer-term spending and that running a government on a biweekly basis is, as House Minority Whip Steny Hoyer put it today, “unproductive, inefficient, demoralizing and extremely disruptive.”

Reid said he expects that President Obama will step up to the debate. House Republicans have mocked Obama for his “absenteeism” in tackling the nation’s mounting debt.”I think [the Administration] should be more involved and they will be,” Reid said.

More than 100 Democrats voted with House Republicans to pass the stopgap measure, including 51 Blue Dogs and New Democrats — a voting block Houser Speaker John Boehner may need if his freshmen ultimate reject whatever the Senate finally passes in the long term.

The stopgap agreement does little to resolve the underlying conflict. Republicans want to slash $61 billion from the seven months remaining in the 2011 budget. While Democrats agree that cuts are needed, they argue such precipitous chopping would be dangerous not only to the fragile economic recovery but to specific programs such as port security, poison control and meat and drug inspections. The $4 billion in cuts in the short-term bill are mostly bipartisan proposals endorsed by Obama, such election assistance grants, the Smithsonian Legacy Fund and $1.24 billion in previously passed earmarks. But these cuts are low hanging fruit. Republicans and Democrats have some bitter fights coming over tens of billions of dollars worth of more controversial chops proposed by House Republicans. Which means, that though Republicans have won this battle, the war over the size and role of government is far from over.

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Related Topics: Budgets, Congress, Democratic Party, Harry Reid, John Boehner, Republican Party, Senate, White House
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  • http://tisias.wordpress.com tisias

    I predict a huge battle over some specific program that is being proposed to cut. You thought Madison, Wisconsin was bad? Imagine if someone proposes to cut something that is held a little too securely.

  • deconstructiva

    Alas, Jay, what did the R’s really give up? They got some cuts, next CR they hold out for more / hold their breath and bluff another shutdown, and repeat as needed ‘till they get their way. Do you see Hoyer’s complaint as a prophecy: this entire year will literally be run biweekly? Or will there be a final showdown / likely shutdown? I still bet on that. Your updated tea leaves, Jay? Who do YOU think will be most likely to push back, enough already, besides the commentariat? Thanks.

  • afguy

    Yes, THAT’s inevitable.
    .
    Part of me thinks the TP governors and CongressCritters are just trying to
    do as much for their patrtons as they can BEFORE it “hits the fan”.
    .
    Whatever they can get passed, they’re hoping that those can be declared “off-limits” and the compromises will occur with the remainder.
    .
    Witness extension of the “tax cuts”. No one’s talking about them any more as being part of any solution.
    .
    We’re heading for a major implosion. One party’s supposedly trying to head that off… the other’s trying to position itself to pick up the best pieces remaining AFTER it’s happened.
    .
    You know what they say… in chaos, there is opportunity.

  • afguy

    Supposed to be a reply to tsias at 1.

  • http://www.twitter.com/jnsmall Jay Newton-Small

    I think it’s likely there will be another 2-week extension. But I don’t think it’ll go much beyond that. Boehner and the GOP recognize you can’t run the government like that. And Gates is out there lamenting how this harms national security — so I don’t think they can do it beyond a months or so.
    JNS

  • deconstructiva

    Thanks, Jay, appreciate the reply. Gates’ comments would make a good followup post: more thoughts on how a shutdown would hit us hard besides Soc. Sec. checks stopped, parks closed, visas not processed, etc. …especially from a security angle.

  • 53_3

    Best use for a Republican I have ever seen!

  • Ivy_B

    decon, I read somewhere that if there were a shutdown, they would likely exempt Homeland Security and some other areas deemed essential to national security from the shutdown.

  • http://gum0nshoe.wordpress.com gumOnShoe

    I think the Republicans, if they let this one issue go will just find another hostage. First it was the middle class and the bush tax cuts. Now its the budget unless they get government cuts.

    Even if this isn’t a 2 week episodic thing (which I wouldn’t be surprised to see happen), it will still be more of the same.

  • nflfoghorn

    I think that was embellished a little ;)
    but that’s OK!

  • 53_3

    I almost died of laughter.
    .
    Got one of kittys too, but I don’t want to stop anyones’ hearts…

  • square1

    The GOP won. This fight was about forcing the Democrats to accept the narrative that spending cuts in an economic crisis, with unemployment at close to 10%, are acceptable.
    .
    If $60 in cuts would amount to approx. 700k in job losses, presumably the $6B that the Democrats just agreed to will result in 70k in job losses. That should serve the Democrats wonderfully in 2012.

  • artraveler

    Next time, let them shut it down. Start with the socialist cafeteria and gym in the House and Senate and then add the computers at Treasury (no congressional pay or SS or Medicare checks or transfers) and FAA air traffic control and AMTRAK. The mail will work and the post office, once the government is shutdown, should immediately stop Saturday service and start to close all those offices that Congress has stopped. Stop all imports of goods all all ports. Stop all plant inspections by FDA and USDA. The Corp of Engineers should stop all lock-and-dam operations as well as power plant generation including TVA.

    Defense should stop paying all contractor immediately as they aren’t critial or they would be uniformed military.

    Then we will see how fast American business can work without all the “socialism” they benefiit from. With all those people without pay, maybe even the Koch brothers will feel the hurt.

  • truevcu

    Hi, I actually work as a contractor at a military hospital. Unless you’d like to pay my rent and utilities and tuition I’d appreciate you not playing politics with my paycheck.

  • apr2563

    Was that Boehner in the chair after a night out on the town?

  • apr2563

    truevcu: I think artraveler was illustrating what the consequences of a shut down would mean. The Republican’s ARE playing politics and they have done before. Believe me, I depend on my Social Security check and do not want a shut down.

  • 53_3

    That was his assistant. He’s next.
    .
    They’re working on a version where they can use ‘em to shoot down incoming missiles with…

  • truevcu

    @apr: no I get that, but at this point I’m just getting tired of either the GOP threatening to hold the government hostage until they get what they want or the Democrats wanting them to do it so it blows up in their faces. I’m no fan of what the tea party freshmen are doing but I’m tired of both sides playing chicken with my job.

  • rwbbinla

    @ 6.3.. I would find another line of work. There is no end in sight for this paradigm.

  • 53_3

    teh kittys. I had to:

  • http://nakedempire.wordpress.com nakedempire

    $100 trillion in unfunded liabilities. should america default? read here,

    http://nakedempire.wordpress.com/

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