–Senate Majority Leader Says Bill Will Avert Large Teacher Layoffs
–Sen. Reid: ‘Just A Question of Timing’ On Passage of Small Biz Bill
–Sen. Reid: Senate May Complete Summer’s Work Thursday

By John Shaw

WASHINGTON (MNI) – Senate Majority Leader Harry Reid said Thursday
that the Senate will pass a $26 billion aid package in the early
afternoon to help state governments with their Medicaid expenses and to
retain more than 100,000 school teachers.

At a briefing, Reid said that passage of this assistance package
will help bolster communities and stabilize the economy.

Reid said congressional Republicans have been “rooting for failure”
for the U.S. economy. He charged that a strengthening economy would
complicate their “campaign message” before the mid-term elections.

The bill the Senate will pass Thursday provides $10 billion to
states to prevent teacher layoffs and $16 billion for the Medicaid
health insurance program for the poor.

It is paid for by tapping funds from an innovation program, cuts
from the food stamp program, and scaling-back a foreign tax credit used
by multinational corporations.

The House, which has already begun its August recess, will return
to Washington next week and take up the bill Tuesday.

On another matter, Reid said that he is still trying to find a way
to pass a small business bill, but did not say if he felt that could be
done today.

“We’re working on a way forward on small business,” he said, adding
that he is confident that a package the Senate has been working on will
pass.

“It’s just a question of when,” he said.

Senate Democrats have been pushing a small business package that
includes a $30 billion small business lending fund and $12 billion in
tax breaks. The measure has been stalled for several weeks.

Reid said he is working with Republican leaders to set the time
later in the day for the Senate vote to confirm Elena Kagan to the
Supreme Court.

The Senate is scheduled to begin its August recess Friday.

Reid said it’s possible that the Senate could complete its work
Thursday evening.

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

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