–House Speaker Boehner Says House GOP Seeks ‘Largest Spending Cuts’
–Rep. Boehner: ‘Our Goal Is To Keep The Government Open’ W/Cuts
–Senate Majority Leader Doesn’t Seem House GOP Wants Spending Deal
–Sen. Reid: ‘Not Real Optimistic’ About Spending Cut Accord’
–Speaker Boehner, Senate Reid To Meet At 4 PM On Budget
–Obama: Determined To Keep Meeting Until Both Sides Reach Agreement

By John Shaw

WASHINGTON (MNI) – In back-to-back briefings Tuesday, House Speaker
John Boehner and Senate Majority Leader Harry Reid painted a gloomy
picture about the status of negotiations on the 2011 fiscal year, with
Boehner saying Republicans want the “largest spending cuts possible”
while Reid charged that House Republicans continue to “move the goal
posts” on what constitutes an acceptable spending agreement.

Meanwhile, President Barack Obama warned of his determination to
keep both sides at the negotiating table until an agreement could be
reached.

Speaking first outside his office, Boehner said he had a “good
discussion” with President Obama and several other congressional leaders
at the White House earlier in the day about a final FY’11 spending bill,
but “no agreement was reached.”

Boehner said House Republicans are seeking “the largest spending
cuts possible.”

Boehner repeated that there has never been an agreement on $33
billion in spending cuts as Democratic leaders have said. He added that
Democrats propose reaching this spending cut goal by employing “smoke
and mirrors.”

“We want an agreement,” he said, adding “our goal is to keep the
government open.”

Boehner said that passing another temporary spending bill “remains
an option.”

House Republicans have drafted another temporary spending bill that
would fund the Pentagon for the rest of FY’11 and fund the rest of the
government for one week while cutting an additional $12 billion.

Speaking moments later outside the Senate chamber, Reid said that
he is “not real optimistic” that a FY’11 spending agreement can be
secured.

Reid said that Democrats have given House Republican leaders “many
different alternatives” to cut spending, but none have been accepted.

House GOP leaders, Reid said, continue to “move the goal posts” on
the FY’11 spending bill.

“They are not trying to reach the finish line,” Reid said.

“We can’t give any more,” he said, referring to additional cuts on
discretionary spending.

Reid dismissed as a non-starter” a House Republican temporary
spending bill that would fund the Pentagon for the rest of FY’11 and
fund the rest of the government for one week while cutting an additional
$12 billion.

The 2011 fiscal year began on Oct. 1 and the government has run on
six short-term funding bills.

Congress’ most recent temporary spending bill for the 2011 fiscal
year will keep the federal government funded until Friday.

Boehner and Reid are set to meet at 4 p.m. to resume talks on the
budget, but Reid appeared unclear what is on the agenda.

“I was invited to a meeting,” he said. When asked where the meeting
will take place, he managed a little humor. “At a pizza place.” He later
said it will be on the House side of the Capitol — presumably Boehner’s
office.

In an impromptu press briefing following the meeting, President
Obama made it clear that he would push both sides to reach an agreement.

“My understanding is that there’s going to be a meeting between
Speaker Boehner and Harry Reid this afternoon at 4:00 p.m.,” he said,
“And we are prepared to put whatever resources are required in terms of
time and energy to get this done.”

And the president warned that “if that issue does not get resolved
and we don’t start seeing progress, I want a meeting again tomorrow here
at the White House … . And if that doesn’t work, we’ll invite them
again the day after that.”

“Right now there’s no reason why we should not get this done,”
Obama said, with a hint of exasperation. “What we can’t be doing is …
use this budget negotiation as a vehicle for every ideological or
political difference between the two parties.”

** Market News International Washington Bureau: (202) 371-2121 **

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