October 15th, 2013
09:15 PM ET
11 months ago

Shutdown lowdown day 15: What you need to know

(CNN) – A dramatic day began in the Senate and ended there following a series of excruciating twists and turns in the House.

Speaker John Boehner failed to round up enough support to pass a leadership plan to end the shutdown and avert a possible debt default, so it was never put to a vote.

Emboldened conservatives want more substance, and Boehner instead kicked it all to the Senate, which had suspended its own talks on a compromise to first see if anything would pass the House.

President Barack Obama said Boehner can’t control his caucus while the President had House Democrats over to the White House where Minority Leader Nancy Pelosi said her conference was buttoned up tight in opposition to the Republican plan.

As night fell and the House initiative fell apart, Harry Reid and Mitch McConnell resumed talks on their effort that supporters hope will garner enough bipartisan backing to ultimately pass and pressure reciprocal action in the House – with Democrats and a strong enough helping of Republicans going along.

But things must happen quickly and there’s new and serious pressure bearing down on the Capitol. The Obama administration says it runs out of borrowing authority on Thursday and Wall Street is now pretty spooked. Stocks snapped a win streak and a major bond rating house, Fitch, is talking downgrade of the gold-plated U.S. credit rating unless Congress acts immediately.

Here’s what you need to know:

Up to speed

Boehner pulled the bill and the Senate went home – although talks continued at the staff level.

Key components of the ill-fated House bill, according to multiple sources:

-Fund the government through December 15
-Increase the debt ceiling until February 7
-Prohibit federal health care subsidies for members of Congress, their staff, the President, Vice President and administration officials and staff.
-Prohibit the Treasury Department to implement “extraordinary measures” to extend the debt ceiling deadline.

Republicans dropped demands to include two other provisions related to Obamacare. One would have delayed a tax on medical devices and the other would have tightened income verification of those seeking subsidies to purchase health insurance.

The main components of the Senate plan, which House Republicans have panned.

-Fund the government until January 15
-Extend the debt limit until February 7
-Set up a committee to address budget and entitlement issues by December 15
-Create income verification for health care subsidies

But a hand shake between the two Senate leaders is a major, but only one, step in the process.

What’s next? Deal is just the start

Watch out in the Senate. Any agreement must still clear its procedural hurdles where tea party darling, Senator Ted Cruz, R-Texas, might still have something to say. Boehner has to sign off and pass it through the raucous House. Then, of course, Obama, who meets with Treasury Secretary Jack Lew on Wednesday, has to sign off. A whole host of things – filibusters and amendments – could slow it down, bringing Congress’ action awfully close to Thursday’s debt limit deadline.

Deal decoded

CNN’s John King laid out on CNN’s ‘New Day’ the enticements for Republicans and Democrats to sign on.

For the Democrats: “They get the government reopened pretty quickly and the debt ceiling extended for a couple moths. The House Republicans… believe there are very few concessions.”

For the Republicans: “[Y]ou can reopen the government, extend the debt ceiling and put this story behind you. You hope they can make up for the political damage already.”

But King said the right wing of the Republican Party, including Redstate.com, is already advising Republicans to “reject this deal.”

Debt Refresher

Debt default fears haven’t gone away yet

If the debt ceiling is hit, the government can’t pay about one-third of the billions of dollars worth of bills it has each day. The major things at risk of being paid out include Social Security, Medicaid and interest payments on the debt.

By the numbers

$20 billion: The amount economist Mark Zandi said the government shutdown and debt ceiling fears have cost the American economy.

1,000: Number of consumer safety inspections by the Consumer Product Safety Commission that have been halted.

74: The percent of respondents who blame the Republican Party for the government crisis, according to a fresh poll from ABC News and the Washington Post.

61: The percent of respondents who disapprove of Congressional Democrats

53: The percent who disapprove of the President.

3.8 million: The number of veterans who might not get their benefits on November 1 if Congress doesn’t resolve the stalemate soon.

Wall Street: The Dow closed down 133 points.

World chastises U.S. as debt ceiling looms

Citizens stepping up

Along with the threat of losing benefits, the government shutdown has also exasperated a long-standing problem The Veterans Affairs Departments disability claims backlog has gone up, with 435,000 vets now have longer wait times as applications are slowed because the agency has had to stop paying overtime to processors working through the applications.

A coalition of 33 veterans groups holds a rally in Washington today to protest the shutdown.

In Hawaii, two weeks of the shutdown has left the Arizona Memorial grounds unkempt. Members of the military spent Monday cleaning and grooming it, KOHN reports.

Decay

The shutdown is having a deleterious effect on Michelle Obama’s Veggie Garden, according to the Obama Foodorama blog.

Outrage(s) of the Day

Senator Barbara Boxer, D-California, on the Senate floor “I have to say, when you start acting like you’re committing domestic abuse, you’ve got a problem. ‘I love you dear, but you know, I’m shutting down your entire government. I love you dear, but I’m going to default and you’re going to be weak.’ Something is dreadfully wrong.”

Larry Klayman of Freedom Watch at weekend tea party rally: "I call upon all of you to wage a second American nonviolent revolution, to use civil disobedience, and to demand that this president leave town, to get up, to put the Quran down, to get up off his knees, and to figuratively come out with his hands up.”


Filed under: Congress • Debt • Government Shutdown
soundoff (102 Responses)
  1. They ought to change from the elephant to the hippo...

    Any of these clowns that profits from any associated swings on Wall street due to a threatened government default should be prosecuted for fraud!

    October 15, 2013 01:17 pm at 1:17 pm |
  2. Brenda

    Die repugs and your KKK members. DIE NOW

    October 15, 2013 01:18 pm at 1:18 pm |
  3. tom l

    I keep being told that the ACA is the law of the land and can't be changed. Well, you might not like it but sequesstration is ALSO the law of the land. Why is that ok to change yet the ACA isn't allowed to be touched? Let the rationalization from the left begin!

    October 15, 2013 01:26 pm at 1:26 pm |
  4. rs

    It is the Democrats and Obama who are causing this shut down not the House Republicans.
    _______________________
    Crazy talk.

    October 15, 2013 01:29 pm at 1:29 pm |
  5. NATHAN WIMBERLY

    Don't change a single thing Guns over People tea potty terrorists. Americans love you.

    October 15, 2013 01:41 pm at 1:41 pm |
  6. Rudy NYC

    tom l

    I keep being told that the ACA is the law of the land and can't be changed. Well, you might not like it but sequesstration is ALSO the law of the land. Why is that ok to change yet the ACA isn't allowed to be touched? Let the rationalization from the left begin!
    ----------------
    Did you know that the original bill passed by the Senate, the one which was stripped by the Senate of the defund amendment, had sequestration spending levels? But, Boehner still won't bring it to the floor. Now do you understand Sen. Reid's remark, "Spkr Boehner won't take 'yes' for an answer."?

    The Democrats had agreed to the sequester, but the Tea Party got greedy and wanted to go for more. Why? Because they Tea Party wanted to have a fight so that they could throw mud at the Democrats in order to make themselves look good.

    October 15, 2013 01:42 pm at 1:42 pm |
  7. Patricia Price

    This shut down is a real crime for the American people and the United States as a whole. The Tea Party Republicans,are traitors to the United States.They need to leave these shores and get an island they can run like they wish.Ted Cruz is no "hero" he is a shameful example of a human. This shutdown is real and many many citizens are being affected, Not one person in Congress is going to have to decided how in the world they can pay their rent,mortgage,power bill and buy food. I have not recieved my social security retirement check for September.I hope my landlord understands. It is time for the children in Congress to shut up and let the adults reopen the government.You MUST raise the debt ceiling, we have no other option. Let the pride go and do the right thing.We have already lost ability
    to pay our debts on time in the rest of the worlds eyes. Putin called Obama a child. He needs to quit begging congress and act like to Commander in Chief he is SUPPOSED to be.Heaven help if we get attacked there is NO one running the government. Washington the lights are on but no one is home. WAKE UP!!!!!!!

    October 15, 2013 01:44 pm at 1:44 pm |
  8. Sniffit

    "I keep being told that the ACA is the law of the land and can't be changed. Well, you might not like it but sequesstration is ALSO the law of the land. Why is that ok to change yet the ACA isn't allowed to be touched? Let the rationalization from the left begin!"

    I don't find "it's the law" to be a compelling argument. The laws are made through proper systems and procedures and there are proper systems and procedures to follow in order to change, amend or repeal them. The GOP/Teatrolls tried 46 times to use those systems and procedures and lost every time because they lost the elections. They've now resorted to shutting down the gov't and threatening the nation's credit rating and the global economy by holding the debt ceiling hostage...which is not part of the proper systems and procedures....and the only reason the GOP/Teatrolls are pulling these stunts is because the proper systems and procedures won't get them what they want, i.e., the elections had consequences and the GOP/Teatrolls are trying to make an end-run around them. The only elections they respect are the ones they win, and the only time they feel democracy is working is when they get their way completely.

    October 15, 2013 01:44 pm at 1:44 pm |
  9. rs

    Me

    rs

    Keith ..... in Oregon

    I knew right away I was going to read an unbiased "report" instead of an opinion when I read the first sentence.

    "On the 15th day of this manufactured crisis". Way to go CNN, might as well get your bias right out in front. Although I guess you could make a good case for the President having made this into a crisis.
    _____________________
    Sorry, sir. The GOP forced this crisis on America- and worse for the GOP 75% of Americans believe that fact.
    ______________________
    You are so brain washed is it sick!!!! This is your liberal thugs fault you know the ones in the white house!!! The GOP has come a long way but will Obama even budge a bit, I bet not, ENTIRELY Obama and the senate's fault!!!! Man you need to open your mind and stop spewing the FALSE liberal talking points but I am sure you won’t.
    _____________________
    As I am not dealing with someone rational- I'll lay this out as simply as I can.
    1. The GOP made campaign promises around shutting down the government
    2. They re-wrote rules in the House to enable a shutdown
    3 On Oct. 1st they in fact, shutdown the Gov't
    4. They were told tying the gov't shutdown to the ACA (two unrelated items was bad bacause it would back file, and because it would be a really bad precident
    5. The GOP HAS NOT ONCE negotiated in good faith with the President or the Domocrats, and Boehner has failed to deliver any promised vote.

    Face it: the GOP is little better than a criminal organization- but a very stupid one- threatening to kill the economy, and causing lots of wasted spending because of a law they FEAR (no proof) will hurt the economy, is well insane. As are you sir.

    October 15, 2013 01:44 pm at 1:44 pm |
  10. Anonymous

    The president should stand firm. The republicans are responsible for the debt of GW Bush. The Wars, The Bailout that were already planned and much more. They should pay the bills without question. They are a renegade bunch of republicans who want your retirement accounts, they want your veteran's benefits and they don't care. The money owed doesn't fall into Obama's lap, it belongs to the Republicans.

    October 15, 2013 01:44 pm at 1:44 pm |
  11. Patricia Price

    rs
    Check your facts. Ted Cruz started this shut down, he and the entire Tea Party Republicans. They should not be able to call themselves Republicans. I am totally ashamed of the entire far right and far left.

    October 15, 2013 01:46 pm at 1:46 pm |
  12. Sniffit

    "The GOP has given A LOT, the liberals, NOTHING!!!!"

    Moving to unacceptable non-starter positions from an unacceptable non-starter position is a lateral move, not vertical.

    October 15, 2013 01:48 pm at 1:48 pm |
  13. Patricia Price

    Obama care here in virginia has risen the cost of health care for an adult man 20-30 67%.

    October 15, 2013 01:49 pm at 1:49 pm |
  14. jOE

    The tea party people hate Obama more than they love America and that is why they are on the verge of destroying this country.

    October 15, 2013 01:49 pm at 1:49 pm |
  15. They ought to change from the elephant to the hippo...

    Laws CAN replace other laws... right tom?

    October 15, 2013 01:51 pm at 1:51 pm |
  16. rs

    tom l

    I keep being told that the ACA is the law of the land and can't be changed. Well, you might not like it but sequesstration is ALSO the law of the land. Why is that ok to change yet the ACA isn't allowed to be touched? Let the rationalization from the left begin!
    ___________________
    No justification, Tom, except that the Sequestration was judged by both sides to be so bad that neither party would let it be enacted in place of dealing rationally with the Debt Limit. Something the GOP apparently will not do. The ACA is not so universally judged. And as a matter-of-fact the ACA has about a 50% approval-and its going up. I think if you compare that to the GOP's 27% (and sinking) approval, the logic around holding the economy hostage over their irrational hatred of a "settled law", the ACA, becomes quite clear. There wasn't any. Even Bill Bennett (a very conservative guy in a very conservative state in a very conservative newspaper) today said the GOP "shot themselves in the foot".
    The only thing left to see is how much damage will the brain-addled anti-American TEA Party in the House decide to inflict on America for their current disaster, and how America responds.

    October 15, 2013 01:53 pm at 1:53 pm |
  17. rs

    Me

    rs

    Facts:
    1. There were some in the GOP campaigned on shutting down the Government in 2010
    2. There were some in the GOP who ran on shutting down the Government in 2012
    3. The House GOP member who wrote the letter demanding a shutdown of the Government by Boehner in September was signed by 80 GOP House members
    4. procedural rules were re-written in September to allow a shutdown vote to occur
    5. On Oct. 1st, the House GOP shut down the Federal Government
    6. Between Oct. 1 and Monday, GOP approval ratings fell from 38% to 28%, with evidence it is even lower now. More imprtantly, more than 75% of Americans disapprove of the shutdown

    The GOP planned this little coup d'etat, and they executed it, and now they are paying the price. If they push our nation into default, they will not like the results.
    _________________
    I assume you have legit sources for all these, of course you don't AS USUAL, stop spewing your lies!!! Also you are only telling one side of the story for your polling numbers, well over half of America DISAAPROVED of the senate and Obama too but let’s not mention that or anything. Well over half of America disapprove of the job Obama is overall not just with this crisis but of course you will have some lame excuse pushing blame to anyone but where it belongs, typical liberal! Brain washed beyond help buddy!!!
    __________________
    Virtually all of those facts appear (many times more than once) in this very blog. Do you read?I find foreign media quite useful too. The Guardian, BBC Americ do a fine job exploring the GOP's recent insanity. Perhaps you sir, need to "open your mind" instead of immitating Glenn Beck.

    October 15, 2013 01:57 pm at 1:57 pm |
  18. WIll D

    If any of us ran our private finances this way we would lose our shirts. I don't agree with the shutdown or either side (both have are not faultless in this but it is mostly the GOP) but barrowing from another Gov is NOT the way to go. You can only barrow so much, just like regular people and the bank. It will not and can not go on forever.

    And to that one poster CNN is pretty liberal. With all due respect of the Internet If you can't see that your nuts. (yes I am aware I'm on cnn's site and no I don't watch fox news they do propaganda like all the rest.) I'm a Democrat have been since the first day I could vote and I can see it.

    When reelections come people vote all these SOBs out. Anyone who help keep this thing held up as long as it has been going. (both parties)

    October 15, 2013 01:57 pm at 1:57 pm |
  19. anthony ross

    The GOP does not want to see the Democrats succeed in any bill. The primary reason they are voting against the President is due to his color.

    October 15, 2013 02:05 pm at 2:05 pm |
  20. Walt

    "Force members of Congress, the Cabinet and the President into the government health exchanges with no employee contribution or government subsidies. "

    Nice idea, but the President, as Command-in-Chief, gets military medical. Supposedly the same as any solder on the front line.

    I don't think it would be best, for the Republicans to also put solders into their budget battle, by making them PAY for their medical benefits while fighting for their country.

    October 15, 2013 02:08 pm at 2:08 pm |
  21. Tony

    Tom I, because Republicans think that they can force Democrats to change the ACA after Republicans lost the 2012 election, Democrats can force Republicans to change the sequestration after Democrats won the 2012 election.

    As John McCain said, what goes around, comes around.

    October 15, 2013 02:08 pm at 2:08 pm |
  22. Rick M

    It is something where the GOP gets blamed for it all when the democrats only they will negotiate ONLY if the GOP accepts what the democrats demand. That is a dictatorship, not a democratic negotiation

    October 15, 2013 02:08 pm at 2:08 pm |
  23. Willa45

    The problem is twofold:
    GOP House Members refuse to vote (i.e. do their job) unless certain demands are met (blackmail?)

    Secondly, the House has enough YES votes to pass a (clean) bill but now can't. Why? Because of a little known resolution (Res 368) which was very quietly and preemptively implemented October 1st, just before the crisis began (was there bad faith?)

    So under the new rule, House members can't vote unless House (GOP) majority/minority leaders say they can. Why? Because under new RES 368, individual House Members (Democrats or sane Republicans) can't bring up a vote without the express approval of GOP majority/minority speakers John Boehner or Tea Party ringleader, Eric Cantor

    October 15, 2013 02:12 pm at 2:12 pm |
  24. Kit

    He lost me when he kept saying Obama is a Muslim. Obama is a Congregationalist. He belongs to the United Church of Christ, the same church I grew up in. If Larry Klayman can't get that easy-to-research fact right, why would I trust him with anything else?

    October 15, 2013 02:13 pm at 2:13 pm |
  25. Kram

    Interesting how Veterans having to wait for benefits is now a major issue. This is ironic considering last week it was okay to not pay survivor benefits or let our World War II heroes into OUR memorial. C'mon Leigh Ann and Bryon... you are smarter than this... and taking the speech of ONE person out of thousands as the one word spoken by the masses is simply dishonest journalism. Perhaps you do not see the disintegration of our rights, but the pendulum always swings and you will be screaming loudly when a non-progressive enters the White House and Senate / House. I am not sure if you will have any credibility by then, so it may not matter.

    October 15, 2013 02:14 pm at 2:14 pm |
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