With only five days left to a possible default, there is yet no unity in the US senate with Republicans and Democrats rejecting each other’s proposal to end the 12-day-old government shutdown.
On Saturday the focus of efforts to end the shutdown shifted to
the Senate, where the two sides held negotiations in a bid to
resolve the stalemate. However, the talks yielded no agreement.
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The US Senate Republicans rejected a Democratic plan to raise the
debt ceiling through 2014 without making any cuts or changes to
Obamacare. Voting 53 against and 45 in favor, Republicans, who
want the extension to be accompanied by spending cuts, blocked
the bill, which needed at least 60 votes to overcome the
objections.
The move was followed by Senate Democratic leaders’ opposition to
Republican proposal to end the fiscal stalemate.
Rejecting an offer by Sen. Susan Collins, R-Maine, to end the
budget impasse, Democrats argued that her offer asks for too much
in return for too little, the POLITICO cited senators and aides.
The so-called Collins plan, which has bipartisan support, offered
a six-month extension of government funding and an increase in
the government's borrowing limit through January. It was also
calling for a two-year delay on Obamacare's medical device tax as
well requiring income verification for Americans seeking
subsidies for President Barack Obama’s Affordable Care Act.
Democrats say a new medical device tax that would raise $30
billion over 10 years for the President's healthcare law.
After discussing the plan with the President Friday, Collins said
Obama called the proposal "constructive”, but she, at the
same time, did not “want to give the impression that he
endorsed it."
Speaking to reporters after the vote, US Senate Democrat leader
Harry Reid said he would like negotiations with Republican
leaders to result in a deal by Monday. He will meet with
President Barack Obama later on Saturday, White House officials
said.
The White House said the Senate rejection of the debt plan was
unfortunate and urged Congress to find a solution to reopen the
government and raise the debt ceiling.
"Congress must do its job and raise the debt limit to pay the
bills we have incurred and avoid default," said White House
press secretary Jay Carney.
Without action by Congress, the United States could default on
its bond payments by Thursday, for the first time in country’s
history.