–House Minority Whip Hoyer: Still Trying To Resolve Offsets
–Full Agreement on Extending Payroll Tax Cut
–Also Accords On UI, Doc Fix Provisions

By John Shaw

WASHINGTON (MNI) – House Minority Whip Steny Hoyer said Wednesday
that while there are “still some moving parts” regarding the payroll tax
cut package, he is hopeful a final accord will soon be in place.

Speaking on MSNBC, Hoyer said there is a bipartisan agreement to
pass a payroll tax cut extension. He said there is also an agreement on
how to renew unemployment insurance benefits and to adjust Medicare
payments to doctors.

Hoyer hinted that the main issue yet to be fully resolved is how to
offset the $50 billion cost for the UI extension and the so-called “doc
fix.”

House Speaker John Boehner said Wednesday morning that there is an
“agreement in principle” on the payroll tax cut extension package, but
added that a some issues still must be nailed down.

The main discussion is about the $50 billion offset package.

The tentative agreement is to get about $20 billion from health
care savings. About $15 billion would be secured by auctioning a portion
of the spectrum used by TV broadcasters. About $15 billion would be
saved by requiring federal employees to contribute a larger amount to
their pensions.

One of the final issues to be fine-tuned is how the unemployment
insurance program will be restructured. Republicans are trying to reduce
the maximum length of jobless benefits, cutting them from 99 weeks to 63
weeks.

Hoyer did not speak to this provision specifically but said there
is an agreement to provide UI benefits for a “reasonable length of
time.”

Once the package is completed, it will be considered by the
House-Senate conference committee that has been working on the various
issues for weeks.

The conference committee is expected to approve the package as
early as Wednesday night as a conference report. This will give the
bill certain procedural protections as it is considered by the House and
Senate. Most critically, a conference committee can not be amended on
the floor of either chamber.

Congress is scheduled to leave at the end of the week for a
week-long recess and congressional leaders seem determined to pass the
package before departing Washington.

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

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