USA Government shutdown avoided!

[w000t]

WASHINGTON – Perilously close to a government shutdown, President Barack Obama and congressional leaders reached a historic agreement late Friday night to cut about $38 billion in federal spending and avert the first federal closure in 15 years.
Obama hailed the deal as "the biggest annual spending cut in history." House Speaker John Boehner said that over the next decade it would cut government spending by $500 billion, and won an ovation from his rank and file _tea party adherents among them.
"This is historic, what we've done," agreed Senate Majority Leader Harry Reid, D-Nev., the third man involved in negotiations that ratified a new era of divided government.
They announced the agreement less than an hour before government funding was due to run out. The shutdown would have closed national parks, tax-season help lines and other popular services, though the military would have stayed on duty and other essential efforts such as air traffic control would have continued in effect.
On side issues — "riders," the negotiators called them — the Democrats and the White House rebuffed numerous Republican attempts to curtail the reach of the Environmental Protection Agency and sidetracked their demand to deny federal funds to Planned Parenthood.
Anti-abortion lawmakers succeeded in winning a provision to ban the use of federal or local government funds to pay for abortions in the District of Columbia.
Lawmakers raced to pass an interim measure to prevent a shutdown, however brief, and keep the federal machinery running for the next several days. The Senate acted within minutes. The House worked past midnight, so the federal government was to be technically unfunded for a short period of time, but there would be little — if any — practical impact
The deal came together after six grueling weeks and an outbreak of budget brinksmanship over the past few days as the two sides sought to squeeze every drop of advantage in private talks.
"We know the whole world is watching us today," Reid said earlier in a day that produced incendiary, campaign style rhetoric as well as intense negotiation.
Reid, Obama and Boehner all agreed a shutdown posed risks to an economy still recovering from the worst recession in decades.
But there were disagreements aplenty among the principal players in an early test of divided government — Obama in the White House, fellow Democrats in control in the Senate and a new, tea party-flavored Republican majority in the House.
"Republican leaders in the House have only a few hours left to look in the mirror, snap out of it and realize how positively shameful that would be," Reid said at one point, accusing Republicans of risking a shutdown to pursue a radical social agenda.
For much of the day, Reid and Boehner disagreed about what the disagreement was about.
Reid said there had been an agreement at a White House meeting Thursday night to cut spending by about $38 billion. He said Republicans also were demanding unspecified cuts in health services for lower income women that were unacceptable to Democrats. "Republicans want to shut down our nation's government because they want to make it harder to get cancer screenings," he said. "They want to throw women under the bus."
Boehner said repeatedly that wasn't the case — it was spending cuts that divided two sides.
"Most of the policy issues have been dealt with, and the big fight is about spending," he said. "When will the White House and when will Senate Democrats get serious about cutting federal spending."
By midday Friday, 12 hours before the funding would run out, most federal employees had been told whether they had been deemed essential or would be temporarily laid off in the event of a shutdown.
Obama canceled a scheduled Friday trip to Indianapolis — and a weekend family visit to Colonial Williamsburg in Virginia — and kept in touch with both Boehner and Reid.
The standoff began several weeks ago, when the new Republican majority in the House passed legislation to cut $61 billion from federal spending and place numerous curbs on the government.
In the weeks since, the two sides have alternately negotiated and taken time out to pass interim measures.
Originally, Republicans wanted to ban federal funds for Planned Parenthood, a health care services provider that is also the nation's largest provider of abortions.
Federal funds may not be used to pay for abortions except in strictly regulated cases, but supporters of the ban said cutting off government funds for the organization — currently about $330 million a year — would make it harder for it to use its own money for the same purpose.
Democrats rejected the proposal in private talks. Officials in both parties said Republicans returned earlier in the week with a proposal to distribute federal funds for family planning and related health services to the states, rather than directly to Planned Parenthood and other organizations.
Democrats said they rejected that proposal, as well, and then refused to agree to allow a separate Senate vote on the issue as part of debate over any compromise bill.
Instead, they launched a sustained campaign at both ends of the Capitol to criticize Republicans.
"We'll not allow them to use women as pawns," said Sen. Patty Murray, a fourth-term lawmaker from Washington who doubles as head of the Democratic senatorial campaign committee.
For Congress and Obama there are even tougher struggles still ahead — over a Republican budget that would remake entire federal programs, and a vote to raise the nation's debt limit.

source:http://news.yahoo.com/s/ap/ap_on_re_us/us_spending_showdown

 

[appstore]

That's just great? =|

 

[Kristian4th]

What would that mean in plain English if the government were to shut down? No benefits or anything for the public etc?

 

[wtp]

What would that mean in plain English if the government were to shut down? No benefits or anything for the public etc?

It basically means all non-essential government agencies would close until they agree on a budget. Like museums, parks, tax help offices.

 

[Tezlin]

Maybe if America hadn't turned into one big consumerism, we wouldn't have this problem.

 

[malakadang]

Maybe if America hadn't turned into one big consumerism, we wouldn't have this problem.

Maybe if America didn't try to enforce corruptionacy... ahh I mean democracy across the world they would've averted this inevitable crisis years ago.

 

[WowTube]

Americans are just crazy, don't they have a black president? that's so cool

 

[Tmoe]

It basically means all non-essential government agencies would close until they agree on a budget. Like museums, parks, tax help offices.

As well, serving military personnel's next paycheck would be cut in half. On top of that, the wouldn't receive a paycheck on the next pay day.

 

[neo coolboy]

With the debt near 13 trillion budget cuts were needed.. People Now in days pay more taxes proportionally then ever. More spending just leads to tax hikes etc...

The government is inefficient. Cut down on taxes and let the small businesses that actually have something to work for due the work.

Its all about laissez-faire

 

[Rsaccounttrader]

With the debt near 13 trillion budget cuts were needed.. People Now in days pay more taxes proportionally then ever. More spending just leads to tax hikes etc...

The government is inefficient. Cut down on taxes and let the small businesses that actually have something to work for due the work.

Its all about laissez-faire

Laissez-faire is a strictly macro-economic policy; therefore not relevant to your point. It says transactions should not be taxed or have any tariffs. It does not analyse the social and defensive purposes of government, and therefore has nothing to do with standard taxes like income and property tax.

 

[ChristmasCracker]

Sick of the "budget cuts"
We are over 7trillion in debt, so I've heard.
This 38billion a year saving, is like.
Hundreds of years until we're out of debt.

 

[Rsaccounttrader]

Sick of the "budget cuts"
We are over 7trillion in debt, so I've heard.
This 38billion a year saving, is like.
Hundreds of years until we're out of debt.

We made 38bill cut. We still have over a trillion dollars in deficit for each year the budget continues. Plus we are 14 trillion in debt

 

[oblivion9032]

What really irritates me is that both parties (imo) don't have a real grasp of the dangers of this problem.

Can't wait to see whats going to happen with the debt ceiling vote though.

 

[Deacon Frost]

Wait... so... are you telling me that people in Washington actually accomplished something? Huh... so that's what we're paying them for? Interesting...

Nevertheless, I know how we can get ourselves instantly out of debt...

STOP FUCKING STEALING FROM THE DAMN CITIZENS YOU ASSWIPES.

That is all.


BTW: Our debt is only shown to us as a collected amount of what we owe. For all we know, that 38 billion will send us back to getting new jobs, starting up a sweet economy, advances in technologies... hell, 38 billion less is like... 2 years ago. In 5 years, we'll be back to how much we owed around 2007. Which may not seem like much, but taking that down allows for us to balance our feet and eventually work on paying more and more off.

 

[mikede1515]

Americans are just crazy, don't they have a black president? that's so cool

wtf hes black when did this happen!!!!!!!!!!

 

[mikede1515]

Wait... so... are you telling me that people in Washington actually accomplished something? Huh... so that's what we're paying them for? Interesting...

Nevertheless, I know how we can get ourselves instantly out of debt...

STOP FUCKING STEALING FROM THE DAMN CITIZENS YOU ASSWIPES.

That is all.


BTW: Our debt is only shown to us as a collected amount of what we owe. For all we know, that 38 billion will send us back to getting new jobs, starting up a sweet economy, advances in technologies... hell, 38 billion less is like... 2 years ago. In 5 years, we'll be back to how much we owed around 2007. Which may not seem like much, but taking that down allows for us to balance our feet and eventually work on paying more and more off.

well said buddy