It appears House Republicans are prepared to agree to raising the debt-ceiling for a three-month period if Democrats will agree to pass a budget in the U.S. Senate – something they have not done in more than three years. Under the plan, if the Senate refuses to pass a budget, the House will simply not allow funds to be used to pay the salaries of members of Congress.
Here is video of the GOP Senate Minority Leader – Mitch McConnell – on ABC News’ “This Week” where he said today that moving forward, there will be no further tax increases as part of the Debt-Ceiling Battle with President Obama. McConnell said the Fiscal Cliff deal just passed raised tax rates on the top earners, but that now “the tax issue is finished, over, completed.” What now must be worked out are spending cuts and reform of entitlements:
“Oh, yeah, the tax, the revenue, the tax issue is finished – over – completed. That’s behind us. Now the question is, what are we going to do about the biggest problem confronting our country and our future? And that’s our spending addiction. It’s time to confront it. The President surely knows that. I mean, he has mentioned it both publicly and privately. The time to confront it is now.”
This is the line they need to hold.