–Experts Worry Panel Dominated by Partisans of Budget Wars
–Darkening U.S. Fiscal Outlook Gives Urgency to Panel’s Work
–Experts Say Obama Could Use Ideas Even if No Agreement is Reached

By John Shaw

WASHINGTON (MNI) – As one studies the membership of the recently
established National Commission on Fiscal Responsibility and Reform, two
impressions form quickly.

First, the panel’s 18 members have considerable experience
regarding the huge fiscal challenges facing the nation.

Chaired by former senator Alan Simpson and former White House chief
of staff Erskine Bowles, the commission includes the chairmen and
ranking members of the Senate and House Budget committees, the chairman
of the Senate Finance Committee, and a former White House budget
director and vice chairman of the Federal Reserve Board.

Second, the panel includes some of the most relentless partisans of
recent budget battles, including six congressional Republicans who are
among the fiercest critics of the Obama administration’s budget
policies.

Budget experts say these two impressions lead to a simple
conclusion: it will be remarkably difficult for this commission to
produce a report in which 14 of the 18 members agree on specific
recommendations — but if they do, those findings are likely to attract
considerable attention in Congress.

Bob Bixby, executive director of the Concord Coalition, said the
group is experienced and influential, but not one that will come to an
agreement easily.

“This is not the group you would assemble if you were determined to
get an agreement. It is not a group that is designed for accommodation.
But the good news is that if they do reach an agreement, it will command
a lot of attention on Capitol Hill,” he said.

President Obama created the Fiscal Responsibility commission Feb.
18 by executive order after an attempt by lawmakers to create a panel by
statute failed in the Senate.

The panel is charged to issue a report by Dec. 1 that would cut the
deficit to about 3% of gross domestic product by fiscal year 2015 and
begin slowing the growth of debt over the long term.

In order for the panel to issue recommendations, 14 of the 18
members need to reach an agreement.

“Even if they don’t reach an agreement, this group could provide a
real service if they have a serious discussion and point out very
clearly what the tradeoff are,” Bixby said.

“I hope they take this seriously. If they come up with some good
ideas, even if they don’t have the support of the 14 that is needed, the
president could incorporate them into his next budget. Even that would
be a positive,” he added.

In addition to naming Simpson and Bowles as the panel’s co-chairs,
Obama appointed Alice Rivlin (former director of the Congressional
Budget Office, White House budget office and vice chair of the Fed),
David Cote (CEO of Honeywell International), Andy Stern (president of
the Service Employees International Union) and Ann Fudge (former CEO of
Young and Rubicon Brands) to the panel.

House Speaker Nancy Pelosi selected House Budget Committee Chairman
John Spratt and Reps. Xavier Becerra of the House Budget and Ways and
Means committees and Jan Schakowsky of the House Energy and Commerce
Committee.

Senate Majority Leader Harry Reid selected Senate Budget Committee
Chairman Kent Conrad, Finance Committee Chairman Max Baucus and Sen.
Richard Durbin, the Majority Whip.

Senate Minority Leader Mitch McConnell named Sen. Judd Gregg, the
top Republican on the Budget Committee, and Sens. Tom Coburn from the
Senate Health Committee and Mike Crapo from the Finance Committee.

House Minority Leader John Boehner selected Rep. Paul Ryan, the top
Republican on the Budget Committee, Rep, Dave Camp, the top Republican
on the Ways and Means Committee and Rep. Jeb Hensarling, a member of the
Budget Committee.

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

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