A weekend of talks among members of
the congressional committee charged with coming up with $1.2 trillion in budget
cuts appeared to produce no last-minute compromise ahead of Monday's practical
deadline.
Democratic and Republican aides told
CNN on Sunday that discussions had turned to how to announce the failure to
reach a deal.
A senior Democratic aide said talks
are focused on a Monday announcement.
Another senior Democratic source
said, "No decisions or agreement has been reached concerning any
announcement or how this will end. But, yes, the likely outcome is no agreement
will be reached."
A Republican aide added, "I
don't think they've decided when they will do it."
Members of the 12-member bipartisan debt
committee said Sunday a wide chasm remains.
A late Monday deadline looms for some
kind of plan to move forward, with a vote required by Wednesday.
The mood on the morning news shows
was somber, with just a glimmer of hope.
Murray: "I'll be waiting all day"
Romney: I reject debt deal tax hikes Paul: Congress needs the 'or else' Explain
it to me: The 'Super Committee'
"I'm going to be waiting all
day," Washington Sen. Patty Murray, Democratic co-chair of the committee
told CNN's Candy Crowley on "State of the Union."
"I'll be at the table, as I've
been, willing to talk to any Republican who says, look, my country is more
important, this pile of bills is not going to go away, the challenges that we
have is not going to disappear. We need to cross that divide," said
Murray.
Her Republican counterpart, Rep. Jeb
Hensarling of Texas, said "nobody wants to give up hope."
"Reality is to some extent
starting to overtake hope," Hensarling told "Fox News Sunday."
But there were 12 good people who invested a lot in this trying to find common
ground to try to achieve the goal of this committee."
Murray took harsh aim at Republicans
who took a pledge not to raise taxes created by the president of the
conservative group Americans for Tax Reform.
"I'll tell you one of the
problems has been a pledge that too many Republicans took to a Republican
wealthy lobbyist by the name of Grover Norquist, whose name has come up in
meetings time and time again," Murray said, adding she was optimistic a
compromise would be reached.
Sen. Pat Toomey, R-Pennsylvania, said
things weren't looking good for a deal.
"There is still an opportunity.
There's a plan on the table that would at least take us halfway to our
goal," he told CBS' "Face the Nation."
Sen. Jon Kyl, R-Arizona, reiterated
the GOP mantra that Bush-era tax cuts should continue and entitlement spending
be cut. Democrats are keen on letting the Bush-era cuts expire for the
highest-income Americans in 2012.
"In Washington, there are folks
who won't cut a dollar unless we raise taxes," he said on NBC's "Meet
the Press."
"If you want to get serious
about the deficit, our country has to grow economically," Kyl said.
"You can't grow, if you raise taxes in the middle of a recession."
Meanwhile, an interfaith group held a
prayer vigil Sunday in Lafayette Park near the White House to urge Congress not
to make budget cuts that would likely impact the poor.
"We gather this time with an
audacious purpose, and that is to ask God ... to move the hearts of policy
makers that they will act and make decisions with compassion and
fairness," the Rev. Dr. Michael Kinnamon, general secretary of the
National Council of the Churches of Christ, said in leading the crowd in
prayer.
Similar vigils will be held this week
in Los Angeles; Richmond, Virginia; Philadelphia and Dallas.
While the 12-member panel's deadline
for a final vote is Wednesday, any blueprint must be made available 48 hours in
advance of a committee vote and must be accompanied by a Congressional Budget
Office analysis scoring how much it would reduce deficits.
To stave off automatic spending cuts
known as a sequester, the super committee must propose ways to reduce deficits
by at least $1.2 trillion over 10 years. At least seven of its 12 members must
approve a plan in order to send it to the House and Senate in the form of
legislation.
Then, both chambers must vote on the
bill, without amendment, by December 23. For the plan to pass, a simple
majority in each chamber must vote in favor.
A failure to pass any agreement would
result in $1.2 trillion in automatic spending cuts across much of the federal
budget starting in 2013, evenly divided between defense and non-defense
spending. Defense Secretary Leon Panetta warned Congress this week that such
cuts could cripple the American military establishment.
Since Congress made the law governing
the sequester, it can also amend or repeal it, as some lawmakers are pushing
for.
Rep. Xavier Becerra, a Democrat from
California, said Sunday the challenge of reaching an agreement would require
putting aside egos and special interest pledges.
"None of the 12 of us took this
job so we could end up with sequester," Becerra told CNN after appearing
on the Fox News program. "I was always taught when you play a sport you
don't give up until the buzzer sounds, and there's still time on the clock.
It's too early to talk about failure."
While Democrats have expressed
concern about deep cuts in social spending, programs such as Social Security,
Medicaid, food stamps and veterans' benefits would be spared the budget ax.
On Friday, Republicans floated a $640
billion package, including roughly $540 billion in savings and fees that would
allow negotiators to claim at least partial success and hold down the amount of
the automatic cuts.
That plan hits the middle class too
hard and offers no solution for job creation, Becerra said.
The plan features mandatory spending
cuts and some revenue from closing one tax loophole for corporate jet owners
along with some government fees. This would only address about half of the
super committee's mandate to cut at least $1.2 trillion.
Key Republicans broke with their
party's anti-tax orthodoxy this week with news of a proposal by Toomey that
includes $400 billion in increased revenue, including tax hikes.
Toomey's plan would lower overall tax
rates while limiting tax breaks in a way that would raise $250 billion.
Republicans estimate that the reform would lead to economic growth generating
another $110 billion. A change in how tax brackets are adjusted for inflation
would raise another $40 billion.
The plan also includes $800 billion
in spending cuts, thereby hitting the minimum threshold of $1.2 trillion in
deficit reduction.
Democrats have proposed a solution
that would generate $400 billion from increased tax collections and $700
billion in spending meant to boost the economy, including an extension of the
payroll tax cut, extended unemployment benefit payments and money to
permanently prevent cuts in payments to doctors who treat Medicare patients.
Democrats want to offset those costs
with money saved from winding down the wars in Iraq and Afghanistan, a move
some legislators in both parties characterize as an accounting gimmick.
By Lisa Desjardins and Kate Bolduan, CNN
CNN's Kevin Liptak, Jeanne Sahadi, Bethany Crudele and Phil Gast contributed to this report.
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