E-mail updates
Follow on Twitter
Subscribe to RSSKey staffers huddle behind closed doors against the backdrop of a snowy capital as they attempt to hammer a last-minute deal to avoid going over the so-called fiscal cliff. NBC's Kristen Welker reports.
Updated 6:30 p.m. ET -- President Barack Obama tasked the United States Senate with trying to resolve the “fiscal cliff” in the waning hours before the New Year following a meeting between congressional leaders and the president.
Senate Majority Leader Harry Reid, D-Nev., and Minority Leader Mitch McConnell, R-Ky., will lead the last-minute effort to avert the automatic tax hikes and spending cuts set to take effect on Jan. 1 unless Congress acts.
And Obama said he is “optimistic” they can reach an accord before midnight on New Year’s Eve, the point at which the government would hit the fiscal cliff.
Absent that, the president said he had asked Reid to instead advance a bare-boned proposal that would extend the 2001 Bush tax cuts for income under $250,000.
Related -- Cliff Notes: Five things to watch at today's White House meeting
“I still want to get this done,” Obama said after his discussions with congressional leaders. He said “the hour for immediate action is here. It is now."
The president will appear exclusively on Sunday on NBC's "Meet the Press," where he's expected to further outline steps toward reaching a final deal.
The White House talks -- at which Obama presented no new offer to Republicans in Congress -- yielded “no concrete proposal,” Reid told reporters at the Capitol following the meeting.
President Barack Obama meets with NBC's David Gregory on Meet the Press Sunday morning. Gregory explains that for the president, this has become a matter of principle.
But in the waning hours before the end-of-year deadline, senators are now scrambling to produce a bipartisan package, at the request of Speaker John Boehner, R-Ohio, that can muster enough support in the House.
Reid, McConnell, Boehner, and House Minority Leader Nancy Pelosi, D-Calif., spent the meeting “discussing potential options and components for a plan that could pass both chambers of Congress,” according to a Boehner aide.
But the most significant development appeared to be the emerging consensus that any final agreement would have to emerge from the Senate. That deal would necessarily require a “bipartisan approach,” according to the office of McConnell, the Republican leader in the upper chamber.
Among the major sticking points, senior Democratic aides told NBC’s Kelly O’Donnell, involve the income threshold at which tax rates would be allowed to rise and the level at which estates are taxed.
Boehner’s failed effort last week to push through a fallback plan with only Republican votes laid bare the internal GOP divisions after conservatives balked at supporting a plan from the speaker to allow tax rates to rise on income over $1 million.
The unsuccessful effort suggested that Boehner would need to lean upon Pelosi for Democratic votes if a deal -- which has eluded Obama and Congress for the better part of the last two years -- is to pass.
A Senate-led agreement, though, faces no surefire guarantee of passage in the House.
“The speaker told the president that if the Senate amends the House-passed legislation and sends back a plan, the House will consider it -- either by accepting or amending,” Boehner’s aide emailed reporters.
One of the biggest sticking points in the fiscal cliff negotiations has been which income level ought to be required to pay additional taxes. On Friday, Democratic and Republican leaders met for an hour at the White House. NBC's Peter Alexander reports.
The protracted stalemate between Obama-led Democrats and congressional Republicans had prompted Friday's last-ditch meeting at the White House. It lasted just over an hour, and included Vice President Joe Biden and Treasury Secretary Tim Geithner.
Sources familiar with the meeting said that Obama made no new offer to Republicans, urging them to hold an up-or-down vote on a Democratic proposal to preserve existing tax rates for income under $250,000 and extend unemployment benefits (among other unresolved issues).
It’s that very proposal which Obama said he would ask Reid to advance should he and McConnell fail to strike a deal.
“I believe such a proposal could pass both houses with bipartisan majorities, as long as those leaders actually allow it to come to a vote,” he said.
Republicans had previously rejected such a proposal, but could feel pressure to relent to administration pressure in order to forestall across-the-board tax hikes in just a few days. The source familiar with the meeting told NBC's Peter Alexander and Kristen Welker that Obama asked Republicans what they would be willing to support, if not that proposal.
Amid negotiations toward a final deal, the House was set to return to Washington on Sunday at Boehner’s request, and remain at work through Jan. 2 -- the final day before the 112th Congress concludes and the next batch of lawmakers are sworn into office.
In the meanwhile, Obama voiced frustration toward the repeated pattern in Congress these past few years of lurching from crisis to crisis before reaching a last-minute deal to stave off catastrophe.
“The American people are watching what we do here. Obviously, their patience is already thin. This is deja vu all over again,” Obama said. “America wonders why, for some reason, in this town you can’t get stuff done in an organized timetable ... The American people are not going to have any patience for a politically self-inflicted wound to our economy.”
Leave a Comment:
Just think, you Party of Haters, if your man Mittens had won...we would be in global nuclear War with China.
The economy would be booming (not a pun).
what
Your Avatar says it all. Dumb and Dumber and Dumberer
First it's been abundantly clear who belongs to the "haters" party for many years, if the ears fit...
Second, if Governor Romney had been elected, he wouldn't even be sworn in yet.
Might not have been so bad if Romney/Ryan had won. My transvaginal ultrasound business would be booming. And that 20% tax cut would have helped too.
Any of you who are surprised at the stalemate and the lack of compromise by our elected officials shouldn't be. Nothing has changed and nothing ever will as long as we keep putting the same corrupt two parties back in office year after year. Get a clue.
"It's 11:00 P.M.,,, do you know where your CHILDREN are? Probably somewhere having a drink,,, on us!
Washington is clearly out of touch! Enough of the BS, posturing, earmarks, pork barrelling, and especially the partisanship to make your own party look good and the other look bad... act on what is truly in the best interest of your country and it's people! POLITICIANS... keep in mind that if you worked a normal everyday job, you back end would have already been fired!
We can point fingers left, or point fingers right. The truth is that there are total Aholes on both sides of the aisle. We have elected people who have done nothing but throw darts at each other. There is a country full of people, who have demanded compromise. We have instructed our politicians to work out a deal. To give and take, to make it work. Nobody gets the whole pie. Its the way of the world. Thats life. We all learn this when we are little kids. Mama said you don't always have to like it, but you still have to DO it! WTF is wrong with these people?
Im my 56 years on this planet, I have never seen such BS posturing, and refusal to work a deal. If these people ran a business, it would collapse and be bankrupt overnight. I would not hire one Congressman or Senator to clean my toilet today. These jerks are where they are because they have yet to learn how to WORK for a living. Disgusting pols, all of them.
Move along, this is Jedi Business, there is nothing here for you.
The House will most likely allow the economy to go over the fiscal cliff. Since the GOP represents the wealth class, whether they agree on a budget that will allow a tax increase on those making $250,000 and over, or just going over the cliff will not make any bit of difference to them. Since they are going to pay one way or the other anyway, they might as well take everyone else with them. It's called making everyone pay, including the poor. Isn't that what you want?
The wealthy can ride out the recession, just like they did before since they have reserve assets and they actually gained wealth during the last recession. The poor and middle class, who are already weakened by the last recession, will feel the brunt of the cliff with lost jobs and declining wages again.
The class warfare Obama has started is going to cost all people, as all wars do. When those who pay nothing dictate to those who do that they need to pay their fair share, there is going to be a rebellion. When those who do leave the country, who is going to pay for those who don't.
As the liberals continue to make the successful people out to be the bad guys, the successful people will continue to be successful, only somewhere else.
As Buffett once implied, the wealthy won a long time ago.
The Obama agenda for America:
It's all coming true. Priceless.
You are living in a world of fantasy and fear. How does that feel?
athiest, you start.
Idiot
It's fear. Republicans are primitive people and are afraid of everything they don't understand. Which is pretty much everything. They are violent and superstitious. Guns and bibles. But we must continue to drag them into the 21st century kicking and screaming as usual but it's for their own good.
Put down the crack pipe, I think most of you right wringers are mental, to bad Regan got ride of most the mental hospital in the 70's, we need them more now than ever before.
Idiot.
So, the old adage is true--If you want to anger a conservative, lie to him. If you want to anger a liberal, tell him the truth.
You're delusional,,,,
American Girl.......You are probably the most ignorant person on this site. The Dem's never lie..do they! Like Obama saying that he is for a balanced approach and will include spending cuts in his "Balanced" approach. Obama has not submitted a budget in over 2 years because the last one he did submit, nobody, Dem's nor Rep's, voted for it. That is how far out of touch with reality Obama is.
You are by no doubt one of the 47% freeloaders who pay no taxes while screaming to the rich that they need to pay their fair share!
Congress does the budget.
Presidents don't make budgets Mr Retard!
I'm opening a parachute factory – I think 2013 will be a good year for the company.
LOL. You guys buy the show they are selling. Dems vs. Repubs. It's all a big manipulation. If you are too busy arguing among yourselves, you will never rise up against the corruption as a whole. The games aren't dems vs. repubs... the games are those guys seeing how much of this dog and pony show we will buy.
Do you guys really think that ONE MAN has that much power? Really? They have you snowballed.
The Republican party members of congress are only doing what they were sent there to do by their supporters and constituents. If they go against their wishes they will be toast in the next election. The Republican congressmen want to retain their jobs and so, they MUST capitulate to the people who sent them there. Just like the last election, the majority of the House was re-elected to represent their voters and their wishes. There is no leeway for them, they must vote as they are instructed by their electorate.
Change in the House can only be accomplished by their local voters who decide who will represent them.
And the TRAITOR in chief just signed an order to give all them all a raise??? You have got to be kidding me. And I dont see a word about it on msnbc. this is who so many voted for because they believe him to be the savior in chief. What a joke. The working class and jobless are suffering, Washington cant get a deal done on anything then pat themselves on the back at our expense. When will we hold them accountable? If any of them worked in the real world they all would be out of a job due to incompetence. What a huge f.U. to the american people, Rich, Middleclass and poor.
Thanks obama for being the big liar you are. Only 8 weeks ago you ran for relection promising no tax hikes for poor & middleclass!!! Did you forget that already???
Tiny Tim, he forgot nothing. Trust me. This is what he knew would happen and this is exactly what he wanted.
I got your tiny tim hanging there hand job. Come get it.
Hey, I am on your side. If you took offense at the Tiny sorry. He did forget. He never intended for it to be settled. Are you a sheep or what?
He gets his tax hikes, has to deal with the cuts (which he will curtail shortly through his executive order) and reinstate tax cuts (not to the extent they rose though) and will walk away with a leadership perception (to his minions only) that will ingratiate him in their eyes.
Obama is no leader.
This headline change says it all. He wants the tax increases, he wants the cuts, then he can swoop in and become the hero by proposing immediate cuts in taxes (which just increased) of a lesser percent than the increase and retain the cuts that he and only he, sees as "politically correct". Gotta admit, this guy is a player. Hope you libs enjoy what you voted for in oh, say, two years from now.
In 2014 we the people will be voting out 40 of the sheets the TEA BAG'GERS hold, see ya, don't won-ta be ya!
Redneck and hillbillies love their tea party. They seem to have taken over the entire republican party.
Yeah, good luck with that when your savior is sitting on 10% unemployment on his inauguration day.
onermailiw, you got that right. When will the libs learn. He is not what he appears to be. In the line from the wizard of Oz, "Pay no attention to that man behind the curtain".
We need to change how the government works its out dated, just one congress and one Senator for each State, and the Unite state votes on each person, not the State at hand, know more high jacking the government. Tell this happens the President needs to bring a balanced bill to Congress, a dollar spent, a dollar in revinue in, he needs to bring it in person and fight with the House and Congress in person! Like Nike says, JUST DO IT!
Republicans need to stop trying to punish businesses who employ 65 and 66 year old Americans.
Raising the age of Medicare eligibility from 65 to 67 means every American business who employs them will see a significant increase in health insurance premiums for employees.
Tell the Republicans that Medicare is cheaper than a business having to pay for private health insurance for someone 65 and 66 years old.
Tell that to Owebamacare. There is where your problem lies.
No they will not Debbie. What they will get is two more years worth of work from a well trained person who will make the company much more money than they pay out. I am a business owner, and I am 66 years old. Your concepts of Return on Investment for employee salaries is way off base. Paying taxes however, to this government in order for them to do what they are doing, pays no dividends whatsoever.
The only place a 65 year old can get a job is in congress.
Exactly! If your over 65 and need a Job and your corrupt, run for Congress!
So no one cares that they worked a Whole Hour on this. Really..just walk away and then say he didn't put anything on the table..well what did you put on the table. You had a whole hour. Now lets see...how much did you get paid for that whole hour? Just remember a whole hour!!!
Obama intended to go over the cliff from day 1. Those foolish to have voted him, based on the expiationof handouts, will now get their just reward--- Depression, not recession--layoffs--end of freebie programs, exorbitantly high food -gas prices. You libs won't get your free everything-----
98% of America wants to go over the cliff if the Republicans wont raise taxes on the 2% those who can afford to pay more to bring down the deficit, the rich in America have become corrupt and spoiled, I make $128,000 a year and have know problem paying my share to live in the greatest country in the World!
Chris, no one is stopping you from paying more. Do you really think that they would try to pay down the deficit? The government is one big crack addict. That money would be pissed away in minutes on more bull sh%t
What is your share Chris. Whatever it is, go ahead and pay it....Nobody is stopping you.
I think you should pay 98% of your salary in taxes Chris. I am sure that when you and the rest of you pay more, the Government will be healed and money will be spent wisely.
Boner had to leave, have a few pops,and go tanning.
Government spending for 2012 is about 6.2 trillion dollars, revenues is about 5.1 trillion. To get to a balanced budget you need to cut 1.1 trillion, you would need to cut 17.7% (1.1/6.2 =0.177), from every single Federal funded program, this would mean defense, Social Security, Medicare, Medicaid, EPA, FDA, etcetera. If you are unwilling to cut in any one program or agency, then you will have to cut that much more everywhere else. Even if you do cut everything by 17.7%, that just gets you to break even, you still have a debt of 16.4 trillion to pay.
My point is this, you aren’t going to be able to just cut spending to get anywhere, you are going to have to raise revenue. IMO, you won’t be able to just raise revenue on the income of 2%, they’re going to have to raise revenue on the incomes of the 100% and the profits from business as well.
Now you can keep arguing who caused what, who’s preventing what, but when it’s all said and done, it will still come back to these basic numbers and something has to be done. Either you face the reality and try to make a plan that won’t damage the economy, will not adversely affect people trying to make ends meet, and restricts business from growth, or you do nothing and watch it all fall apart.
If elected leaders can’t lead, then why should they be re-elected? Ask yourself the next time you vote for an incumbent, did this person show leadership and should I vote for them again? Screw the party politics, if you keep voting for the same people expecting a different result, then who truly is the one to blame.
Based on watching the House & Senate, I can’t find more than about 5% that should be re-elected (this excludes the first time office holders just elected).
Oh and that F.U. does cross party lines. finally he did something they all agreed on. lmfao.
The end game of capitalism is feudalism. A small extremely wealthy elite and poor everyone else. A small group who hold all the cards and power and their servants who do all the work for them, grow their food, make their possessions and die for their causes.
We see in Monopoly at the end of the game, a winner with everything and the losers with nothing. In real life, the losers keep paying to the winner as they get forever richer and richer, while the losers keep getting poorer and poorer.
The middle class has declined by 8% becoming the lower class while there are more millionaires and billionaires than ever before. Once being middle class was defined as owning your own home. Now it is being defined as having a steady job with home ownership falling to 4th place, meaning being a lifelong renter (serf) to the landlord.
Drama Queens every last 1 of them. Let's hit the cliff. Bring on the pain. Cut off the 2 years of Unenjoyment. 3.1 million jobs lost. Oh yeah, it's gonna happen and Owebama is gonna own it. Canada is hiring if you got skills. Now would be a good time to submit that application
If I was not doing my job I would be fired no budget in 4 years they all should go home