–Senate Budget Chairman: Admin’s Budget ‘Gets It About Right’ First Yr
–‘We’re At A Critical Juncture’ In Fiscal Debate
–Tax Reform Is Critical For Fiscal Reform

By John Shaw

WASHINGTON (MNI) – Senate Budget Committee Chairman Kent Conrad
Thursday told Treasury Secretary Tim Geithner that the administration’s
fiscal year 2012 budget “gets it about right” for the first year or 18
months of the 10-year plan, but then falls well short of what is needed.

In a Senate Budget Committee hearing with Geithner, Conrad
continued his criticism of the administration’s budget — criticisms
that take on more weight considering that Conrad is a key committee
chairman from the administration’s own party.

“We simply have to do more to address our deficits and debt,”
Conrad said.

“We’re at a critical juncture,” he said.

Conrad said a deficit reduction plan is needed of the “size and
scope” of the Simpson-Bowles package that cut the deficit by $4 trillion
over a decade.

Conrad is involved in a bipartisan group of senators that is trying
to assemble a deficit reduction plan that uses the Simpson-Bowles
package as its template.

“We have to put together a package nobody likes,” Conrad
said, adding “it has to be done.”

Conrad said tax reform is a critical part of this effort, calling
the current code a “Chinese riddle.”

“You have to be a contortionist to deal with this tax code,” Conrad
said.

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

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