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Obama: Let’s Have An Up Or Down Vote On Fiscal Cliff

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Looks like Obama doesn’t want to go over the cliff after all.

Here’s more from NBC News…



So, the heads of the Senate went to work…

After weeks of fruitless negotiations between the president and Speaker John A. Boehner, Mr. Obama turned to Senator Harry Reid, the majority leader, and Senator Mitch McConnell of Kentucky, the Republican leader — two men who have been fighting for dominance of the Senate for years — to find a solution. The speaker, once seen as the linchpin for any agreement, essentially ceded final control to the Senate and said the House would act on whatever the Senate could produce.

“The hour for immediate action is here. It is now,” Mr. Obama said in the White House briefing room after an hourlong meeting with the two Senate leaders, Mr. Boehner and Representative Nancy Pelosi, the House Democratic leader. He added, “The American people are not going to have any patience for a politically self-inflicted wound to our economy, not right now.”

But what are they not addressing?

Despite the new optimism, it was clear that any deal in the next three days would only alleviate the worst aspects of the “fiscal cliff” while leaving big decisions on taxes and spending to the next showdown, most likely by February when Congress must raise the government’s debt limit. A Republican aide briefed on the meeting said the speaker told the other negotiators that House Republicans would not turn off $100 billion in automatic military and domestic spending cuts in 2013 without equivalent cuts elsewhere. Also likely to be left out of a deal is any agreement to raise the debt limit.

Those three things could really grind this fledging recovery to a halt if they don’t get figured out…especially raising the debt ceiling. But just remember who brought all of this on our heads. We could easily raise the debt ceiling, but Tea Party House members refuse to do it. And if we default…wow. Bad news.

More as it develops…