(CNN) - While President Obama continues to face backlash from members of his own party for negotiating a deal that includes extending the Bush-era tax cuts for millionaires, Republicans say the compromise is "encouraging."
Incoming Rep. Kristi Noem, R-South Dakota, said in the weekly GOP address Saturday that "it's certainly encouraging to see that Obama has proposed a potential agreement to stop all the tax hikes scheduled to take effect on January 1st."
"Failing to stop all the tax hikes would mean taxes would go up for small businesses all across this country, destroying more jobs," Noem added.
House Democrats want to extend the current lower tax rates only for those earning up to $200,000 a year, or families earning $250,000 a year, while raising the rates of those with higher incomes to 1990s levels.
But Republicans have insisted on extending the tax cuts, which expire at the end of the year, for all income levels, charging that it would be harmful to raise taxes in a weak economy.
In her address, Noem championed the tax compromise as a way forward in instilling confidence in the weak economic climate.
"While stopping all the tax hikes would be a good first step, this alone won't eliminate the job-killing uncertainty hanging over our employers and entrepreneurs," Noem said. "That's why we need to focus on cutting spending and reducing the size of government. The American people want us to stop spending dollars we don't have."
But in addition to Democrats who oppose extending the Bush-era tax cuts, some Republicans remain opposed to the deal, particularly conservatives who are upset that the compromise would increase the deficit and raise certain taxes.
The Congressional Budget Office estimated that the deal, which also includes a 13-month extension of unemployment benefits, tax credits and a payroll tax holiday, would add $893 billion to the deficit over the next five years. The CBO score released Friday showed that the provision extending the Bush-era tax cuts would increase the deficit by $400 billion, making the extension the highest-priced item in the compromise.
In his own weekly address Saturday, Obama acknowledged that the deal is not perfect.
"It wasn't easy, and it's by no means perfect. And as with any compromise, everybody had to live with elements they didn't like. But this is a good deal for the American people," Obama said.
Obama urged Congress to pass the tax compromise, warning that failure to do so would mean middle class families would have to pay about $3,000 more in taxes next year.
"That's unacceptable to me. Not when we know that it's the middle class that was hit the hardest by the recession. And not when we know that taking this money out of the pockets of working people is exactly the wrong thing to do to get our economy growing faster," Obama said.