–Senate Minority Leader: Need ‘Trillions’ in Spending Cuts On Debt Bill
–Debt Hike Provides Chance To Do ‘Really Big Stuff’
–Tax Reform, Social Security Fix Won’t Be In Debt Hike
–Obama ‘Working It Hard’ On Debt Hike Bill
By John Shaw
WASHINGTON (MNI) – Senate Minority Leader Mitch McConnell said
Thursday that Senate Republicans had a candid conversation with
President Obama on fiscal issues earlier in the day and told him passing
a debt ceiling increase this year will require linking it to deep
spending cuts.
In a briefing after the Senate GOP meeting with Obama, McConnell
said he believes debt ceiling legislation this summer provides Congress
and the White House with a “major opportunity to do something important”
to reduce spending.
McConnell said the debt hike bill will not include tax reform or
Social Security restructuring.
“You can’t do tax reform in two months,” he said, adding that
Democrats have made it clear they are not willing to overhaul Social
Security as part of debt ceiling legislation.
“We are talking about spending reductions,” he said, adding that
any debt ceiling increase bill should ratchet back federal spending in
the short, medium and long-term and include both discretionary and
entitlement spending cuts.
“We’re looking for trillions, not billions,” he said.
McConnell said the options for cutting spending are well known and
were fleshed out in considerable detail by the Simpson-Bowles fiscal
commission late last year.
“We don’t need any more hearings. All the options are on the
table,” he said.
McConnell said that President Obama is actively engaged in trying
to build support for a debt ceiling increase, adding that the president
is “working it hard.”
“He’s doing it because he needs to,” McConnell said.
McConnell repeated that while there are “plenty of discussions” on
Capitol Hill on fiscal issues, he believes the budget talks hosted by
Vice President Biden provide the best venue to develop a bipartisan
budget agreement.
Biden will meet again with congressional leaders Thursday
afternoon.
McConnell said how much the debt ceiling might be increased this
summer will be critical part of the negotiations. He declined to
comment further on the matter.
** Market News International Washington Bureau: (202) 371-2121 **
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