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Shutdown, Debt Ceiling Negotiations Break Down As House GOP Refuses Obama’s Counteroffer

Tea Party Cat

 

Washington, DC (WP) — On Friday morning, after months of refusing to negotiate on the budget or debt ceiling, the House GOP met with President Obama to discuss terms of a larger agreement to end the latest crisis in Washington.  But given the promising start, insiders say negotiations stalled, and no one knows where this leads.

Under pressure from conservative groups and the Koch brothers to end the standoff, Speaker John Boehner and House GOP began talks on a “grand bargain” that both sides could gain from.

President Obama and Speaker Boehner negotiate an end to the government shutdown and debt ceiling standoff

President Obama and Speaker Boehner negotiate an end to the government shutdown and debt ceiling standoff

Boehner offered the following:

GOP gets things they need for the good of the country which Ted Cruz says a majority of Americans support: Obama gets a few things that only he wants, which benefit no one else:
Full repeal of all entitlements including:

  • Obamacare
  • Medicare
  • Social Security
  • Disability
  • Medicaid
  • Food stamps
  • Welfare
  • Unemployment insurance

Plus additional GOP priorities such as

  • Approving the Keystone XL pipeline
  • A constitutional amendment forbidding abortion, contraception, or women being able to make decisions without approval from their husbands and clergymen
  • A national Voter ID law requiring voters to prove they are a citizen whose ancestors fought in the Civil War (either side)
  • Government reopened
  • Debt ceiling increased so world financial system doesn’t meltdown

 

President Obama counteroffered agreeing to GOP terms, but making an additional demand that millionaires and billionaires pay $1 more in taxes per year. Not 1%, but $1.

The House GOP refused offer, with John Boehner calling it “job killer”. House Budget Chairman Paul Ryan said there could be “no deal if President Obama insists on making hard-working Americans pay off all that debt he ran up since 2001.” Majority Leader Eric Cantor called the counteroffer “insulting” and “typical of how unreasonable and unwilling to negotiate this president is.”

But there’s still hope that a last minute deal can be reached to avert the debt default on 10/17– after returning to the Hill, GOP leaders consulted with their caucus and made a new counteroffer which includes all previous items (killing all New Deal and Great Society entitlements, end of Obamacare, Keystone XL, etc.) AND taxes raised on incomes under $50,000 to pay for capital gains taxes to be cut in half. At press time Obama had not yet responded. Ted Cruz reassured his colleagues in the House that “Obama will cave this time for sure.”


Comments (2)

  1. Nysssa says:

    Taxing under-$50,000 incomes is easy — national sales tax.

  2. […] Obamacare is the worst thing to ever happen to America, and the GOP were totally NOT dicks for shutting down the government and threatening to destroy the world economy to stop […]

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