The Herald Bulletin

Evening Update

Nation & World

October 13, 2013

Senate leads hunt for debt limit deal

WASHINGTON — Racing the calendar and the financial markets, Senate leaders have taken the helm in the search for a deal to end the partial government shutdown and avert a federal default.

"This should be seen as something very positive, even though we don't have anything done yet, and long ways to go," Senate Majority Leader Harry Reid, D-Nev., said Saturday, describing his opening conversation hours earlier with Senate Minority Leader Mitch McConnell, R-Ky.

"The real conversation that matters now is the one taking place between McConnell and Reid," said Sen. Bob Corker, R-Tenn.

Sens. Chuck Schumer, D-N.Y., and Lamar Alexander, R-Tenn., were also involved in the high-level bargaining.

Sunday marked the 13th day of a federal shutdown that has continued to idle 350,000 government workers, left hundreds of thousands of others working without pay and curtailed everything from veterans' services to environmental inspections.

More ominously, Thursday drew another day closer, the day the Obama administration has warned the U.S. will deplete its borrowing authority and risk an unprecedented federal default. Economists say that could send shockwaves throughout the U.S. and global economies.

The pressure was on both parties but seemed mostly on Republicans, who polls show are bearing the brunt of voters' wrath over the twin standoffs. And though the financial markets rebounded strongly late last week on word of movement in the talks, lawmakers of both parties were warily awaiting their reopening this week.

No. 2 Senate Democratic leader Dick Durbin of Illinois said the financial markets did better last week because they assumed that "eventually the damsel will be plucked from the tracks."

Referring to the approach of Thursday's deadline, he added: "As we start hearing the train whistle, I think that there may be a different view. I don't want to see it happen because it's going to hurt a lot of innocent people."

Republicans are demanding spending cuts and deficit reduction in exchange for reopening the government and extending its borrowing authority. President Barack Obama and other Democrats say they want both measures pushed through Congress without condition and would agree to deficit reduction talks afterward.

Out of play, for now, was the Republican-led House, where Speaker John Boehner, R-Ohio, told GOP lawmakers early Saturday that his talks with the president had ground to a halt.

Though the Senate was leading the search for a deal, the House and its fractious Republicans remained a possible headache in the coming week.

"At the end of the day, whatever they do still has to come through here," said Rep. Tom Cole, R-Okla., who is close to House leaders.

Also sidelined, at least for now, was an effort by Sen. Susan Collins, R-Maine, to assemble a bipartisan coalition for a plan to briefly fund the government and extend the $16.7 trillion debt limit, in exchange for steps like temporarily delaying the medical device tax that helps fund the health care law.

Democrats said Collins' plan curbed spending too tightly and Reid said it was going nowhere. Collins said she would continue seeking support for it.

Senate Republicans dealt Democrats an expected setback on Saturday by derailing a Democratic measure extending the debt limit through 2014 without any conditions. The vote was 53-45 to start debating the Democratic measure — seven short of the 60 votes needed to overcome GOP obstruction tactics.

1
Text Only
Nation & World
  • California firm issues nationwide fruit recall

    A Central California company is recalling specific lots of its fresh peaches, plums, nectarines and pluots sold nationwide over concerns of possible listeria contamination.

    July 22, 2014

  • Obama nominee McDonald pledges to 'transform' VA

    President Barack Obama's choice to lead the Department of Veterans Affairs pledged Tuesday to transform the beleaguered agency, saying that "systematic failures" must be addressed.

    July 22, 2014

  • Obamacare hit by ruling, but subsidies to continue

    President Barack Obama's health care law is enmeshed in another big legal battle after two federal appeals courts issued contradictory rulings on a key financing issue within hours of each other Tuesday.

    July 22, 2014

  • US airlines scrap Israel flights over missile fear

    Two U.S. airlines cancelled all flights to Israel until further notice, after a rocket landed near Tel Aviv's Ben Gurion Airport.

    July 22, 2014

  • Detroit retirees back pension cuts by a landslide

    A year after filing for bankruptcy, Detroit is building momentum to get out, especially after workers and retirees voted in favor of major pension changes just a few weeks before a judge holds a crucial trial that could end the largest public filing in U.S. history.

    July 22, 2014

  • US stock futures climb as earnings reports roll in

     U.S. stock futures pointed higher early Tuesday as more corporate earnings rolled in. Shares in the restaurant chain Chipotle and the cable company Comcast surged after they reported results that were better than Wall Street expected.

    July 22, 2014

  • Hopkins settles pelvic exam suits for $190 million

    Johns Hopkins Hospital has agreed to a $190 million settlement with more than 8,000 patients of a gynecologist who secretly photographed and videotaped women's bodies in the examining room with a pen-like camera he wore around his neck, lawyers said Monday.

    July 21, 2014

  • Train with plane crash bodies leaves rebel town

    A refrigerated train bearing the bodies of many of the 298 people killed in the Malaysia Airlines plane disaster pulled away Monday afternoon from a rebel-held town in eastern Ukraine.

    July 21, 2014

  • Obama gives protection to gay, transgender workers

    Federal workers and contractors who are gay and transgender are getting new protections from President Barack Obama.

    July 21, 2014

  • UN to vote on crash resolution; Russia has doubts

    The U.N. Security Council will vote Monday on an Australia-proposed resolution demanding international access to the Ukraine plane crash site and a cease-fire around the area, with diplomats pressuring a reluctant Russia to approve it.

    July 21, 2014

More Resources from The Herald Bulletin
AP Video
Judge Ponders Overturning Colo. Gay Marriage Ban Airlines Halt Travel to Israel Amid Violence NYPD Chief Calls for 'use of Force' Retraining VA Nominee McDonald Goes Before Congress Bush: Don't Worry, Sugarland Isn't Breaking Up US Official: Most Migrant Children to Be Removed Police Probing Brooklyn Bridge Flag Switch CDC Head Concerned About a Post-antibiotic Era Raw: First Lady Says `Drink Up' More Water Courts Conflicted Over Healthcare Law Holder Urges Bipartisanship on Immigration Raw: Truck, Train Crash Leads to Fireball US Airlines Cancel Israel Flights Obama Signs Workforce Training Law Crash Victims' Remains Reach Ukraine-held City Diplomatic Push Intensifies to End War in Gaza Cat Fans Lap Up Feline Film Festival Michigan Plant's Goal: Flower and Die Veteran Creates Job During High Unemployment
Parade
Magazine

Click HERE to read all your Parade favorites including Hollywood Wire, Celebrity interviews and photo galleries, Food recipes and cooking tips, Games and lots more.
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide
Helium debate
Helium