DEBT CEILING

Monday Talks Conclude With Little Movement

Updated: July 12, 2011 | 11:34 a.m.
July 11, 2011 | 6:42 p.m.

From left Speaker of the House John Boehner, R-Ohio, President Barack Obama and Senate Majority Leader Senator Harry Reid, D-Nev., sit before a meeting in the Cabinet Room of the White House July 10, 2011 in Washington, D.C.  President Obama met with Speaker of the House John Boehner R-Ohio, Senate Majority Leader Senator Harry Reid, D-Nev., and other Congressional leaders to negotiate increasing the United States's debt ceiling in order to avoid the nation defaulting on its debt. (Brendan Smialowski/Getty Images)

President Obama continued to campaign both publicly and privately on Monday for a $4 trillion "grand bargain" mix of spending cuts, entitlement reforms, and revenue increases, even though Republicans continued to reject his offer. The president hit that theme in his morning press conference and delivered the same message when he got congressional leaders behind closed doors later in the day at the White House.

According to Democrats familiar with the negotiations, the president stressed that there was no way of getting to the level of cuts desired by House Speaker John Boehner without some revenue changes. And, with at least 80 House Republicans ready to vote against any increase in the debt limit, he noted that nothing will pass the House without a “significant” number of Democratic votes so any package has to be able to get Democrats. 

The talks will resume at the White House on Tuesday afternoon, with a tentative start time of 3:45 p.m.

More than once Monday, Obama told the leaders that they would all feel political pain no matter how small a package of spending cuts they come up with. “So,” he said, “we might as well do something big and noble.” He also told them that any package that does not include new revenue would only bring the deficit savings to about $1.5 trillion, less than what Boehner has said he needs.

But the Republican leaders gave no sign of yielding to the White House pressure. “There was not movement,” one Democratic official conceded glumly.

Democrats on Monday also made clear to the Republicans that any agreement by the president to trim spending on popular entitlements is good only if seen as part of a big deal. Along those lines, Democrats confirmed that a big deal would include a possible increase in the Medicare eligibility age, possibly rising to 67. The official confirmed that the eligibility age is “on the table,” but he said that would only be the case in the big deal and said the president is only willing to talk about a “very slow phase-in” with the final age not becoming law until 2036.

The officials also stressed that the president sees a higher age as possible only because his health care reform law would provide care for somebody before they reached the new age.

The Monday session, which lasted 90 minutes, was described as the most detailed yet of the meetings held at such a high level. “It was very detailed,” said one Democrat, adding, “This was one of the wonkier discussions that you’ve had at the leadership level.” For the Republicans, House Majority Leader Eric Cantor, R-Va., did most of the talking, going over in detail numbers that had been agreed to in earlier talks led by Vice President Joe Biden.

The Democrats disputed reports that Sunday night’s meeting of the group had been tense. They insisted that in that 75-minute session, there was one instant where Sen. Jon Kyl, R-Ariz., raised his voice. But they said he quickly apologized and the meeting continued at what they called a “civil” level. Tuesday’s meeting, they said, was similarly civil if not very exciting. “This was a 90-minute discussion of fiscal policy,” one said, “not necessarily high drama.”

No one in Monday’s meeting disputed that August 2 is a hard deadline, though there is less unanimity about how many days before that deadline will be needed to work out the legislation and move it through Congress. The White House has set July 22 as the action date.

 

 

 

Get the latest news and analysis delivered to your inbox. Sign up for National Journal's morning alert, Wake-Up Call, and afternoon newsletter, The Edge. Subscribe here.


Leave A Comment
The National Journal Group has the right (but not the obligation) to monitor the comments and to remove any materials it deems inappropriate.
Comments powered by Disqus
Follow National Journal
Most Read Articles
Expert Opinions
Transportation Experts

Do We Suddenly Hate Driving?

10:52 p.m.

Latest Response by Brigham McCown: Hold Your Horses

Transportation Experts

Do We Suddenly Hate Driving?

11:44 a.m.

Latest Response by Keith Laughlin: A Breath of Fresh Air

Energy Experts

What's at Stake with Natural-Gas Exports?

May 24, 2013

Latest Response by Brigham McCown: U.S. Lacks Coherent LNG Policy

More Expert Opinions »
Columns
Charlie Cook: The Cook Report

No Wonder Republican Criticism of Obama Isn’t Working

May 23, 2013
They’re attacking the president where he’s least vulnerable at a time when they have minimal credibility.
Ronald Brownstein: Political Connections

Smaller Schools Aren’t Always Better

May 23, 2013
The universities best able to expand access to education are the ones with the most students.
Reid Wilson: On the Trail

Parties Push For House Retirements

May 23, 2013
Campaign committees utilize scare tactics to pressure members to step aside.
More Columns »