Deal at Last Minute Averts Shutdown; $38 Billion in Cuts to Spending This Year

Big cuts on Welfare


WASHINGTON — Congressional leaders and President Obama headed off a shutdown of the government with less than two hours to spare Friday night under a tentative budget deal that would cut $38 billion from federal spending this year.

After days of tense negotiations and partisan quarrelling, House Republicans came to preliminary terms with the White House and Senate Democrats over financing the government for the next six months, resolving a stubborn impasse that had threatened to disrupt federal operations across the country and around the globe.

Speaker John A. Boehner, who had pressed Democrats for cuts sought by members of the conservative new House majority, presented the package of widespread spending reductions and policy provisions and won a positive response from his rank and file shortly before 11 p.m.

Both Democrats and Republicans proclaimed they had reached a deal and would begin the necessary steps to pass the bill and send it to Mr. Obama next week.

Democrats said that under the agreement, the budget measure would not include provisions sought by Republicans to limit environmental regulations and to restrict financing for Planned Parenthood and other groups that provide abortions. But Mr. Boehner said in a statement that the agreement included a restriction on abortion financing in Washington.

“This has been a lot of discussion and a long fight,” Mr. Boehner said as he left the party meeting. “But we fought to keep government spending down because it really will in fact help create a better environment for job creators in our country.”

Speaking from the White House after the Republican meeting ended, Mr. Obama said that both sides gave ground in reaching the bargain and that some of the cuts accepted by Democrats “will be painful.”

Read more at The New York Times.

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~ by Rafael Martel on April 9, 2011.

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