fiscal cliff

See below — from my FNC colleague Chad Pergram.  This is a rough draft of what the House Republicans sent President Obama a few minutes ago:


Urgent: House GOP leadership sends “bold counter-offer” to the president on the fiscal cliff


Per Pergram-Capitol Hill


House Republican leaders today sent what aides term as a “bold counter offer” to the president in an effort to avoid the fiscal cliff.


It’s based on the Bowles plan.


A senior House Republican aide said “it took the White House three weeks to producer an offer. Hopefully they can do better next time.”


A senior aide says they are “working off a framework which both sides equally detest.”


From the letter to the president, they criticize his plan. “We cannot in good conscience agree to this approach, which is neither balanced nor realistic.”


The GOP says “if we were to take your administration’s proposal at face value, then we would counter with the House Budget Resolution.”


That’s the Ryan budget. But senior aides say they won’t do that because there’s simply not the time.


The GOP they wanted a “fair, middle ground.”


Now, we have off-cam comments from House Speaker John Boehner (R-OH):



Going over the cliff will hurt job creation in our country.



Unfortunately the White House responded with their la-la land offer that couldn’t pass the House. Couldn’t pass the Senate.



We could have replied in kind. But we decided not to do that.



We are putting forth a credible plan.


Boehner about whether he could talk to Obama about this at the Christmas Ball tonight at the White House:

I might run into him.


Here are the caps:


House GOP counter-offer:

Revenue through tax reform: $800B

Health Savings: $600B

Other Mandatory Savings: $300B

Revision to CPI: $200B

Further discretionary savings: $300B


Net savings: $2.2T

White House Accounting: $4.6T


* Note, the House GOPers are saying if the WH offer is $4 trillion last week, using their accounting methods, the GOP plan would come in at $4.6.


Sr aide:

The White House uses bullshit numbers.


Sr aide:

There will be a lot of wrestling over this


When asked if this would turn off the sequester, a senior aide said “There are ample savings in this.”


Aides said that “there’s not a lot here that conservative members would be jumping up and down about.”


* No one should interpet this as a “down payment” this year and then another portion for next year.


On what sort of a legislative vehicle this would take:

We believe we have enough creative members to figure it out.


The plan is silent on the debt ceiling.


They would have to have a separate vehicle to shut off the sequester. But remember, this exceeds


All of this would be subject to CBO scoring.



It’s not as though we haven’t learned anything from the past 15 months.



How you raise revenue would be important…when you get into a tax refrom process, we believe it’s possible rates could even go lower than where they are today.