–Member of Biden Group Sees Meetings Tues, Wed, Thurs and Maybe Friday
–Rep. Van Hollen: ‘Plan A’ Is For Debt Ceiling Hike Until End of 2012
–Rep. Van Hollen: Need To Cut Deficit In ‘Steady, Predictable Way’

By John Shaw

WASHINGTON (MNI) – Rep. Chris Van Hollen, a Democratic member of
the budget negotiations led by Vice President Joe Biden, Monday said
that administration officials and lawmakers are trying to assemble the
framework of a deficit reduction package by the end of June.

“We’re working hard … . We’re making progress,” Van Hollen said
in an interview on MSNBC.

Van Hollen said the Biden group will meet Tuesday, Wednesday,
Thursday and possibly Friday.

He downplayed suggestions that Congress might be prepared to pass a
series of short-term debt ceiling extensions this summer.

“We’re focused on Plan A,” he said, adding that this is to pass a
debt ceiling increase sufficiently large to extend until after the 2012
November elections.

Various lawmakers and administration officials have put this number
at $2.4 trillion.

Van Hollen also repeated the importance of passing the debt ceiling
increase in a timely way. “Nobody should be playing the game of chicken”
with the debt ceiling, he said.

Van Hollen said the package that the Biden talks are trying to
craft should cut the budget deficit in a “steady, predictable way.”

Vice President Biden has said he is “convinced” the White House and
Congress will able to reach an agreement on a deficit reduction plan
that leads to $4 trillion in savings over 10 to 12 years. Biden said
there is already an agreement in the talks on “well beyond” $1 trillion
in savings.

The Biden talks are seeking a deficit reduction package that can be
developed to coincide with this summer’s vote on debt ceiling
legislation.

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

Biden is negotiating with House Majority Leader Eric Cantor, Kyl,
Senate Appropriations Committee Chairman Dan Inouye, Senate Finance
Committee Chairman Max Baucus, Assistant House Minority Leader Jim
Clyburn and Van Hollen, the top Democrat on the House Budget Committee.

The administration is represented by Biden, Treasury Secretary Tim
Geithner, White House budget director Jack Lew and the director of the
National Economic Council Gene Sperling.

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

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