–Senate Majority Leader, Minority Leader Exchange Jabs On Jobs Bill
–Sen. Reid: Urges McConnell To Back Bill To ‘Hire Heroes’
–Sen. McConnell: ‘Maybe We’re Making Some Progress Here’

By John Shaw

WASHINGTON (MNI) – Senate Majority Leader Harry Reid and Senate
Minority Leader Mitch McConnell confirmed Tuesday a fact many have long
suspected: the two Senate leaders are fully capable of disagreeing over
legislation they agree on.

In back-to-back speeches on the Senate floor, Reid and McConnell
managed to exchange jabs on a bill they both support.

The Senate voted 94 to 1 Monday evening to begin debate on a
House-passed bill that would repeal a tax withholding requirement for
federal contractors. Specifically, the bill would repeal a law requiring
federal, state and local governments to withhold 3% of most payments to
contractors.

The withholding law was passed in 2006 and is set to take effect in
2013.

There is bipartisan support in the Senate to repeal this
withholding provision and to pay for it by adjusting a Medicaid
eligibility formula.

In his remarks on the Senate floor, Reid said that he would like to
amend the withholding bill by adding a provision that would provide tax
credits to employers that hire unemployed veterans.

Reid challenged McConnell to say clearly that he supports the “Hire
Heroes” amendment which Reid said is “free of even a whiff of
controversy.”

McConnell then responded by hammering President Obama for drafting
a jobs package that was a “rehash … disguised as a bipartisan
overture.”

“It was actually designed to fail,” McConnell said, charging that
Obama’s initial $447 billion jobs package was a political ploy.

But McConnell added that Republicans do indeed support both the
measure repealing the withholding provision and the veterans job credit.

“We’re making some progress here,” McConnell said with what
appeared to be at least a touch of sarcasm.

“Why don’t we just keep it,” he added.

Several weeks ago, Senate Democrats tried and failed to pass a $35
billion package to assist state and local governments to hire and
retrain teachers and first responders. The package would have been paid
for by a surtax on those making more than $1 million.

Senate Democrats also failed to pass a $60 billion package for
transportation projects and a new national infrastructure bank which
would also have been paid for by a surtax on those making more than $1
million.

Senate Republicans tried several weeks ago to pass the withholding
repeal provision, and proposed to pay for it by cutting discretionary
spending for the 2012 fiscal year. Senate Democrats objected to this.

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

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