–Senate Minority Leader: Tax Hikes Are ‘Simply Not Going To Happen’
–Sen. McConnell: ‘The President Does Not Seem To Get It’
–Sen. McConnell Invites Obama To Hear About GOP’s Opposition To Taxes

By John Shaw

WASHINGTON (MNI) – Senate Minority Leader Mitch McConnell Thursday
invited President Obama to come to Capitol Hill anytime during the day
and meet with Senate Republicans to hear first hand their opposition to
including tax increases in any deficit reduction plan.

In remarks on the Senate floor, McConnell said the president’s call
Wednesday for additional revenues as part of a deficit reduction plan is
misguided.

“It’s simply not going to happen,” McConnell said.

“The President does not seem to get it,” he added.

Obama met with McConnell Monday evening to discuss the budget.

McConnell made his invitation to Obama about an hour after Senate
Majority Leader Harry Reid announced the Senate’s Fourth of July recess
next week will be canceled.

“There’s still so much to do to put Americans back to work, to cut
our deficit and (get) our economy back to work … . That moment is too
important, the obstacle is too steep and the time is too short to waste
even a moment,” Reid said.

The Senate’s change in schedule is in response to the criticisms by
President Obama about the recent congressional schedule.

At his news conference Wednesday, Obama urged Congress to stay in
Washington and hammer out a deficit reduction and debt ceiling
agreement.

Many have observed that it has been the House’s pattern of three
weeks in Washington and then one week off that has made budget
negotiations so difficult over the past several months.

The House has been off this week and is scheduled to be in a recess
the week of July 18. It seems likely that House GOP leaders will cancel
that recess if the debt limit impasse continues.

Democrats in the Biden budget talks argued that additional revenues
should be part of the discussion. Republicans have said tax increases
should not be part of the agenda.

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

Budget experts expect high volume budget jousting to continue, but
also expect quiet talks to resume on the fiscal framework that Biden
developed during six weeks of budget talks with congressional leaders.

According to one member of the Biden group, Republican senator Jon
Kyl, the talks led by the vice president identified between $1 trillion
and $1.5 trillion in discretionary savings and between $500 billion and
$1 trillion in entitlement savings over a decade.

Kyl said the Biden talks broke down over a Democratic push to
include about $400 billion in additional revenues.

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

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

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