Harry Reid to Introduce $2.7 Trillion All-Cuts Spending Plan – No Tax Hikes …Update: Obama Shoots Down Deal?

Senate Majority Leader Harry Reid is set to introduce a $2.7 trillion all-cuts spending plan today with no new tax hikes. The plan meets GOP requirements that the debt ceiling be increased with dollar for dollar spending cuts.
The Politico reported:

Democratic leaders said on Monday that they are looking toward Senate Majority Leader Harry Reid’s upcoming new proposal to raise the debt ceiling as offering “hope” for a deal – and warned time is fast running out.

“I think we’ve got 48 hours within which to do something very, very meaningful,” Assistant House Minority Leader James Clyburn (D-S.C.) said on MSNBC’s “Morning Joe.”

The plan that leads to progress, he said, could be Reid’s Sunday proposal, which would cut at least $2.7 trillion in spending and be matched by an equal increase to the debt ceiling.

Citing Reid’s plan, Sen. Chuck Schumer (D-N.Y.), the third-ranking Senate Democrat, said, “I think there’s some hope today” for progress.

“Sen. Reid is going to put forth an offer that meets the Democrats’ main criteria, going past 2012, and the two Republican criteria — enough cuts to equal the amount you raise the debt ceiling and no revenues,” Schumer said on MSNBC. “And I think that has some hope.”

Reid’s as-yet-to-be-unveiled plan, Schumer said, has the potential to be sufficiently conciliatory to House Speaker John Boehner’s (R-Ohio) caucus that an agreement can be reached. “Hopefully it’s the kind of thing that Speaker Boehner can rally his tea party troops toward,” he said.

It’s also the kind of proposal that can get enough Democratic support to pass both the House and the Senate, Schumer said.

Jennifer Rubin reported that President Obama just turned down the last minute deal.

A Republican aide e-mails me: “The Speaker, Sen. Reid and Sen. McConnell all agreed on the general framework of a two-part plan. A short-term increase (with cuts greater than the increase), combined with a committee to find long-term savings before the rest of the increase would be considered. Sen. Reid took the bipartisan plan to the White House and the President said no.”

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  • Militant Conservative

    Not enough in the military budget for All of this.

    Look closely it’s a ruse.

    Powder is dry

  • paul52

    I want to see Harry’s “cuts”. Being a libtard, he probaly wants to disband the military. Why was he so opposed to cut, cap, and balance? Arrogant little weasel.

  • Joe College

    Why do they need to raise the debt ceiling by the amount they are cutting?

  • Mark1957

    Harry wants $2.7 trillion now, and will promise to cut spending in the future, which we all know is a big fat lie.

  • http://theundergroundconservative.wordpress.com The Underground Conservative

    Did Dingy Harry blink?

  • john03

    I smell a rat. A little “Harry” rat.

  • Bingo

    Harry wants $2.7 trillion now, and will promise to cut spending in the future, which we all know is a big fat lie.

    ^^^^^^^^^^^ THIS ^^^^^^^^^^^^^

  • Bitter Clinger

    Here’s why Dingy Harry blinked: Steve Wynn, a major democrat contributor in NV, got to him.

  • Mahdi Al-Dajjal

    Any deal which raises the debt ceiling TODAY in exchange for future spending cuts or commissions to look into ways of cutting spending MUST NOT get a vote in the House!

    Boehner should take Harry’s plan, go to the podium in the House of Representatives and state the following: “Harry Reid’s so-called plan is the worst piece of legislation EVER presented to the House for consideration and is a complete waste of the Chamber’s time, and thus won’t be given the time of day! When Harry Reid and Senate Republicans are SERIOUS about cutting spending, they need to tell us which items in the budget they intend to cut and by how much so we can all look at the REAL numbers.”.

    Then, Boehner dismisses the entire Chamber for the rest of the week.

  • Jerry C

    One step forward, one step back. Is there any intelligence on planet earth?

  • gorgo

    1. What/where are the cuts?
    2. When do they take place?

    I know we all know this but if answer to #2 is “not immediately” and if the House OKs it, Repubs are screwed and Obama gets his 2nd.

  • Finncrisp

    As always, let’s read the fine print. These guys lie like a rug. Suspect it is just smoke and mirrors to allow the press to release thier prepared attacks on the Speaker’s office. Cracks me up. Harry is such a poor communicator, but they still paint him as the voice of reason. Stranger than fiction, to be sure. Orchestrated, to be sure. Depends on what the word “Revenue” means, No?

  • NeoKong

    The debt increase will be real and immediate while the “cuts” are just promises and will no doubt be renegotiated later when no one is watching.

    Remember how we were going to secure the border first and then talk about immigration reform later….?
    We were promised a fence.
    Never happened

  • vagabond trader

    One of those “gotta pass it to know whats in it” ploys without a doubt.


    all cuts…no increase…NO WAY GOP don’t fall for this crap

  • Auntie Em

    hmmmm….not comfortable with anything Harry Reid would propose. He lies and cheats and can’t be trusted. Plus, he met with obama and pelosi….no telling what it truly is….but be assured it in not in Americans’ best interest.

  • Tom

    The cuts are about how much the wars in Iraq and Afgahnastan are and those wars will be ending in the next ten years. No real cuts in spending or entitlement reform.

  • dunce

    Obama has said that he has plan, reid says he has a plan, and both talk about the numbers in their plans, but they will not let anyone see the plans on paper. This is political cloud computing, the plans in the sky. This does not have the assonance of pie in the sky, but the substance is the same. Maxwell Smart had a recurring line in a situation comedy “would you believe”, but this is not a joking matter and no one believes them and no one is laughing.

  • Guy in Ohio

    For God’s sake … how many times are they going to kick this can down the road? The message from the American public to the GOP has been clear …. NO increase in the debt ceiling, no tax increases, and BALANCE THE DAMN BUDGET!! If Reid and Obama want this plan, it has to be bad. Giving them a debt ceiling increase that extends PAST the 2012 election … are you kidding me? Any fool can see what the result of that would be. It simply gives them 2.4 trillion dollars of OUR money, which will be used to prop up the failing economy and fund campaign bribes and handouts over the next year. What kind of an idiot would agree to THAT?

    The American people understand what is at stake, and what Obama is trying to do. Cut the bastards off, let the chips fall where they may. If the world markets begin to stumble, and the Dems STILL won’t give in and sign Cut, Cap and Balance, then it will be on them …

  • saveus

    never trust Reid