Winehole23
07-31-2015, 02:25 PM
Congress is leaving Washington for the summer by putting in place all the elements for another debt and spending showdown in the fall, when funding deadlines for federal agencies and highway programs are expected to collide within weeks of when the Treasury’s borrowing authority will expire.
Add to the mix the desire to extend billions of dollars in special tax breaks by the end of December and a rising call from some lawmakers for a rewrite of the international tax laws in order to fund federal programs, and the likelihood of a government shutdown looms larger by the day.
Congress set the latest piece of this potential logjam in place Thursday, when the Senate approved an extension of highway funding that lasts at least until Halloween but might have enough money to make it into mid-December. That vote followed the House’s approval of the same plan Wednesday, after the GOP majorities in the chambers fought for weeks and eventually deadlocked over competing plans for a longer-term plan.
The prospect of the collision has some lawmakers envisioning December as a mini-replay of the “fiscal cliff” of 2012, when trillions of dollars in tax cuts were set to expire on New Year’s Day and tens of billions in automatic spending cuts, known as sequestration, were slated to kick in two days later.
Despite the major pileup ahead, no serious talks have begun about the fiscal clash. The House left Wednesday for a 40-day break and will return after Labor Day; the Senate’s recess begins late next week. “When we come back after August, we’ll discuss the way forward on getting the government funded,” Senate Majority Leader Mitch McConnell (R-Ky.) told reporters Thursday.
http://www.washingtonpost.com/politics/congress-departs-for-the-summer-setting-up-a-fall-showdown/2015/07/30/b41f1178-36d5-11e5-9d0f-7865a67390ee_story.html
Add to the mix the desire to extend billions of dollars in special tax breaks by the end of December and a rising call from some lawmakers for a rewrite of the international tax laws in order to fund federal programs, and the likelihood of a government shutdown looms larger by the day.
Congress set the latest piece of this potential logjam in place Thursday, when the Senate approved an extension of highway funding that lasts at least until Halloween but might have enough money to make it into mid-December. That vote followed the House’s approval of the same plan Wednesday, after the GOP majorities in the chambers fought for weeks and eventually deadlocked over competing plans for a longer-term plan.
The prospect of the collision has some lawmakers envisioning December as a mini-replay of the “fiscal cliff” of 2012, when trillions of dollars in tax cuts were set to expire on New Year’s Day and tens of billions in automatic spending cuts, known as sequestration, were slated to kick in two days later.
Despite the major pileup ahead, no serious talks have begun about the fiscal clash. The House left Wednesday for a 40-day break and will return after Labor Day; the Senate’s recess begins late next week. “When we come back after August, we’ll discuss the way forward on getting the government funded,” Senate Majority Leader Mitch McConnell (R-Ky.) told reporters Thursday.
http://www.washingtonpost.com/politics/congress-departs-for-the-summer-setting-up-a-fall-showdown/2015/07/30/b41f1178-36d5-11e5-9d0f-7865a67390ee_story.html