–Senate Majority Leader Reid: New House GOP Bill ‘Bizarre’
–Revised House Debt Bill Worse Than Earlier Bill
–‘No Agreement’ If It Has Short-Term Debt Extension
–House Expected To Vote On Debt Ceiling Between 8-9 P.M. Friday

By John Shaw

WASHINGTON (MNI) – Senate Majority Leader Harry Reid Friday said he
is ready to move his debt ceiling bill later today and implored Senate
Minority Leader Mitch McConnell to join him in crafting a bipartisan
budget accord.

In a briefing, Reid ripped into the new House Republican debt limit
plan, calling it a “right wing leading” bill that is unacceptable to all
Senate Democrats.

He ridiculed as “bizarre” the House Republican plan’s new
requirement that the second installment of the debt ceiling increase
would be conditioned on Congress passing and sending to the states a
balanced budget constitutional amendment.

The House is expected to vote on its revised debt ceiling bill
between 8 p.m. and 9 p.m. EDT Friday.

Reid also dismissed the GOP’s call for a two-step debt ceiling
increase, with the initial increase only extending until early 2012.

“There will be no agreement if there is a short-term extension,”
Reid said.

“We cannot be in this battle all the time,” Reid said.

Reid said he is “confident” McConnell will “come back” to talks. He
invited all Republican senators to “call me and see him” about modifying
his plan.

He made it clear he is very eager to begin working with McConnell.

“We need him to come back today,” Reid said.

Congressional staffers have said McConnell will not begin active
talks with Reid until after the House passes Boehner’s debt hike bill
late Thursday night.

Sen. Chuck Schumer, the third ranking Democrat, said the Senate
could hold a key procedural vote on the debt limit around midnight
Saturday.

He urged Senate Republicans to drop their support of the Boehner
debt limit plan. “The time for providing cover for the Speaker is over,”
Schumer said.

Reid’s plan would cut spending by $2.4 trillion over ten years and
allow for passage of a $2.4 trillion debt ceiling increase.

The U.S. has already reached its $14.29 trillion debt ceiling.
Treasury Secretary Tim Geithner has said that Congress must pass
legislation increasing the debt ceiling by August 2.

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

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