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After Historic Deal, Battles Loom Over DEBT CEILING, 2012 Budget – FoxNews.com

April 9, 2011

After Historic Deal, Battles Loom Over Debt Ceiling, 2012 Budget

Published April 09, 2011 | FoxNews.com

Thursday: President Obama and Vice President Biden enter the White House briefing room to speak to the media after a meeting with House Speaker John Boehner, R-Ohio, and Senate Majority Leader Harry Reid, D-Nev., on the budget and possible government shutdown.

With a last-minute budget deal, Congress averted a federal government shutdown Friday night. But the epic clash between Democrats and Republicans was just the first of a series of fiscal fights to come in this new era of divided government.

The next battles? The national debt ceiling and then the 2012 budget.

“We’re gonna have a fight in a couple of months over the debt ceiling. We’re gonna have a fight over the 2012 budget,” Rep. Adam Kinzinger, R-Ill, told Fox News Saturday. “This is not basically the last fight here. This is the first opening salvo in a real attempt to bring back the size of government and start living within our means.”

The Treasury Department has told Congress it will hit its $14.3 trillion borrowing limit no later than mid-May and Republicans hope to use the issue to force President Obama to accept long-term deficit-reduction measures.

“The president’s asked us to raise the debt ceiling and Senate Republicans and House Republicans, and I hope many Democrats as well, are going to say, Mr. President, in order to raise the debt ceiling, we need to do something significant about the debt,” Senate Republican Leader Mitch McConnell said on the Senate floor Friday night.

The White House has warned that not lifting the debt ceiling could lead to a default on the national debt and harm the economy, which appears to be picking up steam. If there is a stalemate, the Treasury could avoid defaulting for several weeks by using a number of tricks but it would eventually run out of options.

Lifting the debt ceiling is never easy and in this political environment, where Tea Party activists are pressuring Republican leaders to slash federal spending, a rough fight is all but guaranteed.

The fight over the 2012 budget won’t be a picnic either. The budget deal that Republicans and Democrats negotiated Friday night is for 2011 and funds the government through the end of September with $38.5 billion in spending cuts.

via After Historic Deal, Battles Loom Over Debt Ceiling, 2012 Budget – FoxNews.com.

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One Comment
  1. April 10, 2011 9:43 AM

    ENOUGH IS ENOUGH!

    Please sign my petition to tell Congress to tell the GOP to go fly a kite. tell the Democrats that we wont bribe the GOP to do the right thing and that we dont think the GOP is crazy enough to destroy the world economy if they dont get their way.

    I am tired of these people thinking they can get away with anything. Thinking they need to be bribed to do their job and do the right thing. As long as we keep caving they will keep coming, it is time to put a stop to their threats.

    http://www.change.org/petitions/tell-the-democrats-not-to-negotiate-with-the-gop-on-the-debt-ceiling

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