Boehner sees jumping- off point for ‘ fiscal cliff’ talks
Suggests stopgap while broader plan worked out
WASHINGTON — House Speaker John Boehner made an opening offer to avert a year- end fiscal showdown, softening the GOP’s confrontational tone with the White House the day after Republican electoral losses— even as he stood by its core no- newtaxes pledge that has prevented a deal.
The Ohio Republican shunned the bombastic approach favored by his tea party wing and instead sought to portray hisHouse majority as ready to work with newly re- elected President Barack Obama as Congress returns forwhatis expected to be an intense lame- duck session.
Lawmakers and the White House are racing to strike a year- end deal that would prevent automatic tax hikes and spending cuts that economistswarn could throw the economy into a recession.
“Let’s rise above the dysfunction and do the right thing together for our country in a bipartisan way,” Boehner saidWednesday at the Capitol.
Democrats welcomed the conciliatory overture but panned the substance of Boehner’s offer, particularly the tax proposals that echoed those Mitt Romney put forward in his failed presidential bid that experts have said do not add up.
“The election’s over,” noted Senate Majority Leader Harry Reid of Nevada, who said Americans are tired of Washington gridlock.
Obama called top officials from both parties for what will likely be the first of many private conversations about the daunting fiscal mess awaiting them all.
“The president said he believed that the American people sent a message in yesterday’s election that leaders in both parties need to put aside their partisan interests and work with common purpose to put the interests of the American people and the American economy first,” the White House said in a statement.
Democrats want Obama to swiftly unveil a proposal to fix the fiscal mess, believing his victory provides a unique mandate to steer negotiations. They expect him to make the case to the American public, which polls have shown largely prefers the Democratic approach — a balance of tax hikes on wealthier households along with spending reductions to balance the budget. By getting out in front on the issue, Boehner not only opened the door for the president but also challenged the White House to make the next move.
In his offer, Boehner suggested a stopgap measure that would buy time for negotiations to continue on a broader deal in 2013 that would reform the tax code and entitlement spending on programs like Medicare andMedicaid in a so- called grand bargain that has eluded leaders.
Boehner’s proposal would extend current tax rates for another year for all Americans, including those for thewealthy set to expire Dec. 31.
Obama has vowed to veto any proposal that does not allow top rates to rise, from 35 percent to 39.6 percent, on incomes greater than $ 250,000 for couples and $ 200,000 for singles.
Boehner also proposed temporarily halting automatic budget cuts across federal departments that both sides agreed to last year in a deal to reduce the debt but nowwant to undo.
But the substance of Boehner’s proposed tax overhaul reliesoneconomic growth to produce revenue, similar toRomney’s proposal.
“There is no mandate for raising tax rates on the American people,” said Rep. Eric Cantor of Virginia, the House majority leader. “There is a mandate for avoiding the fiscal cliff,” referring to the cuts and tax increases.
At least one Republican, outgoing Sen. Olympia Snowe of Maine, urged her party table.
“I also imploremy fellow Republicans to take the lead in setting the tone for a results- oriented lame- duck session, by reaching across
to
the
negotiating
the political aisle,” she said.