Today after United States Speaker of the House John Boehner delayed the vote on his U.S. Debt Deal plan, a possible “plan C” has emerged. Boehner delayed the vote after concerns were brought up dealing with whether it would have enough votes to pass both the House of Representatives and the United States Senate.
Republican lawmakers backed by freshman that are a lot more fiscally conservative than the past few decades of congressman and senators that have led the United States to near default, are pushing John Boehner and Republican leaders to push for large spending cuts, deficit cuts and even reforms to the tax code as part of the agreement to raise the debt ceiling. Democratic leaders while agreeing to cuts in the deficit have held up the U.S. Debt deal from passing for month by refusing to agree to a plan that does not include tax increases.
Obama officials originally set a July 22nd deadline for a bill to be brought forth so that it may pass both houses by August 2nd to prevent the U.S default. Raising the debt ceiling will allow the United States to continue to make payments and not default on its interest payments.
Over the recent weeks many proposals have been brought forth by Republican lawmakers that meet the criteria of raising the debt ceiling to prevent default, but ones such as the Cut, Cap and Balance proposal were voted down by the Democrats in the Senate.
The Plan C U.S. Debt Deal is supposed to be a compromise between Harry Reid and John Boehner’s proposals as a last minute effort to pass a bill as just days remain before the August 2nd deadline. Consisting of three parts, the plan essentially says this:
Part 1: Bridging the spending cuts in the Senate and House versions and the differences between Harry Reid and John Boehner
Part 2: Establish and bridge the differences between both parties for a committee to seek further spending cuts while also allowing the possibility for tax changes.
Part 3: Place trigger mechanisms in to force both parties to commit to the talks. If either side walks out then a mechanism triggers that would entice both sides to stay in the discussion.
This Plan C U.S. Debt Deal may not pass however. It would need 60 votes to prevent a Republican filibuster if the compromise is nto as advertised, and in the event of it passing the Senate, the U.S. House of Representatives is in a Republican majority.