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. rs

    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
    ________________________________
    If you hold a gun to my head and demand my wallet and I refuse, am I guilty "not negotiating"? I may be unwise, but I am only guilty of not allowing myself to get robbed. The House GOP is perpetrating the outrage here, not the President and not the Senate.
    The GOP perpetrated the shutdown, it didn't work, they lost- get it?

    October 15, 2013 02:16 pm at 2:16 pm |
  2. Rudy NYC

    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
    ------------------------
    When the opponent's negotiating terms are "what's mine is mine, and what's yours is negotiable", then it is wise to walk away.

    October 15, 2013 02:17 pm at 2:17 pm |
  3. Mike Lorts

    There needs to be an intervention similar to what Barry Goldwater did with Nixon. Reasonable Republicans must let Boehner know that he needs to do what is best, not only for his party, but for the country. The Tea Party does not seem to care how much damage they do to the country as long as they get their way. It is time for Boehner to step up.

    October 15, 2013 02:20 pm at 2:20 pm |
  4. The REAL Truth...

    @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
    -------------------------------
    As a right-leaning independent, I have to say it's both sides fault. However, changing parlimentary procedures in the House on Oct 1st to prevent anyone other than Cantor (R) or his designee from bringing legislation to a vote indicates a pre-planned effort to go over the cliff. Neither side will agree to cuts in their pet projects, and – lets be honest here – the GOP has done nothing but throw mud at Obama and Reid since 2010. Sure, it resonates with the faithful who fear big government, but it's time for the Republicans to grow up and stop trying to do their utmost to repeal ACA. It's is (after all) conservative legislation... to extort and hold the country hostage over ideological differences is unconscionable, definitely NOT patriotic and treasonous (according to some).
    This is Congress issue to resolve.. not the POTUS. Agree on a resolution and send it to the POTUS for signature. If he veto's it, the the GOP can use their majority in both Houses to override it. That's how Government process is supposed to work. It's time they started acting like adults..

    October 15, 2013 02:26 pm at 2:26 pm |
  5. Freedom Storm

    So … Just 3 or 4 weeks ago, tyranny had enough money to wage war against Syria …

    … but today, tyranny “doesn’t have enough money” to keep the WWII Memorial Open.

    October 15, 2013 02:32 pm at 2:32 pm |
  6. tom l

    @Rudy
    "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."? "

    Ummm, those were not sequestration levels. They were new levels about sequestration. But that's ok. I'm sure you guys can keep defending everything that our president and dems do. Just like defending the website. Even Robert Gibbs said there were problems but all the usual suspects here, including rs, Sniffit, Rudy, Data Driven, The Real TP, DMFO and an unmentioned person from Minnesota, were so adament how there was nothing wrong and these were just typical glitches. Now, I don't have any confirmation especially since I saw this on the internets, but if it's true that this was a "no-bid" contract and liberals on here don't have a problem with that then it just shows how deeply partisan and how intellectually dishonest you are. Unless, of course, you were ok with the no-bid contracts during the Iraq war.

    October 15, 2013 02:35 pm at 2:35 pm |
  7. EP

    What happened to we the people? What happened to the UNITED States? The solution our government needs to find is not partisan politics. Partisan politics is entertainment, but we need serious discussion. You need to turn that blame spotlight inwards, like Pogo says, "We have met the enemy and he is us."

    Everyone can agree that we spend too much for the revenue we take in. There is no magic solution, either we reduce spending or we increase revenue. Bringing the nation to the brink gives the world great theater, but at dramatic increase of costs for the American people. If we default on our debt the full faith and honor of the United States will be lost and the dollar will plummet against major currencies, increasing the costs of imported goods, causing inflation to rise, and interest rates to climb. Credit will dry up from US banking. Large investors would protect their wealth by switching to foreign currencies and gold. The small guys will be left holding the bag. The US won't be able to borrow more money except at exorbitant rates. Think it is bad now? It will be nearly impossible for the government to function if the they allow America to default on its debt. The government and all programs will cease to function.

    Raising revenue through increasing economic output is the happiest method towards a solution. The much maligned business community is our best hope for a solution. Increasing revenues from commercial enterprise allows us breathing room, room to cut government spending. We should consider government spending a part of the economic balance keeping America going when business slips. But when business picks up the opposite should be true as well, government spending should fall as commercial business picks up the slack.

    The crux of the current debate is cutting programs that would make people unhappy vs raising taxes that would make people unhappy. This is very UN-American. As Americans we always find a way to have it all and to demand more. As Americans we move forward together, divided we fall. Let us find an American solution to this problem, let's find a solution where everyone wins.

    October 15, 2013 02:38 pm at 2:38 pm |
  8. tom l

    @Sniffit

    I don't find "it's the law" to be a compelling argument."

    I don't find "it's the law THIS TIME" to be a compelling argument.

    FIFY

    One of the major major issues I have with President Obama is found right here on these comment sections. People like Data Driven and The Real TP used to be very reasonable and listened to both sides. Now, and this is absolutely partially due to the rhetoric from our president, I'm a rebel and support hostage takers. You have become even more hardened in your stance and way less reasonable. I mean, Data, you KNOW that the website is an issue. You have to. It's your line of work. Yet you defend defend defend. And I looked up how much Facebook cost to run. It took them 6 years to spend 500 million, and that was for the whole company, not just to buld a website. Wish you guys on the left would calm down and not let the president get you all so worked up into a frenzy. Sheeesh.

    October 15, 2013 02:42 pm at 2:42 pm |
  9. GatorDude

    Democrats and Republicans – You are running this country into the ground together! Unfortunately, you are our only two choices at the ballot box. We just don't know how to remove you and put you on trial.

    Democrats – The GOP is right when they demand spending cuts. You must cut spending and submit a balanced budget. When you continue to run deficits, interest will continue to consume more of the federal budget each year.

    Republicans – Your stubborn antics are damaging the lives of our nations civil servants, military personnel, and veterans. If you cause the nation to default on debt obligations, we will see stock market investments tank and interest rates rise to untenable levels. You are beyond irresponsible.

    Third parties – If you aren't tremendously weird and you are fiscally responsible, and if you have executive-style hair, you will get my vote in the next election.

    October 15, 2013 02:43 pm at 2:43 pm |
  10. Thomas

    @NameJone Jonds
    Why aren't they reporting on this impeachment hearing headed by Michelle Bachman????

    ========

    When did she stop ?

    And if she thinks the end of the world time is upon us , why wast time on an impeachment hearing !

    Fact , the lady is not all there . Once she is out of office she can be the poster lady for Jin DeMint and the Heritage Foundations " Crazy Lady Lobby ".

    October 15, 2013 02:48 pm at 2:48 pm |
  11. Sniffit

    "procedural rules were re-written in September to allow a shutdown vote to occur"

    In fact, the GOP/Teatrolls in the House rewrote those rules over objection on September 30, 2013, the very night when the shutdown would happen at midnight....all so they could make sure that the shutdown happened and that nobody could force a vote on the "clean" CR bill that would have prevented the shutdown (i.e., they knew it would pass).

    October 15, 2013 02:50 pm at 2:50 pm |
  12. BADGUY

    It should be OBVIOUS to EVERYBODY that MOST Republicans, elected to Congress, want to GUT the federal government...NOT make it work. Every ONE of them is a "saboteur" for the REAL power brokers, "behind the scenes"...the top .1%. It's THEY who feel THEY should be running things.....NOT the federal government!

    October 15, 2013 02:57 pm at 2:57 pm |
  13. Paul

    Say what you want. The political arena is corrupt and they all need to go

    October 15, 2013 02:59 pm at 2:59 pm |
  14. Veritas

    Recent polling shows that even when Republicans act like total idiots...and they have sure done that during this shutdown nonsense...Americans STILL trust them more than Democrats to run our government. Ouch, that has got to hurt...if you are a Democrat.

    USAToday (Pew Research Center poll) – "And while there's anger directed at Republicans right now over the shutdown, the Pew poll shows 42% say the GOP can better manage the government vs. 39% who pick the Democrats."

    October 15, 2013 03:00 pm at 3:00 pm |
  15. shut it down

    shut the whole government down and let the states run themselves. The federal government under obama is corrupt and self destructive anyways. Shut it all down!

    October 15, 2013 03:02 pm at 3:02 pm |
  16. shadow

    As the speaker of the house, which is the only person that can bring a bill up for a vote on the floor, even at this late stage still hasn't should tell us all it's still about which side wins in the end. Which side ends up with a better deal for their party! When have the American people ever been in any of these equations!!!!. Why did we let our rep. bounce checks, vote for a full retirement ( we get half), be able to afford personal jets, lavish vacation homes, and free medical care (at military hospitals head of the line no less) just to name a few examples. We were hopeful they were going to represent our interests not rob us blind, and be nowhere to be found when trying to call them with our concerns. With all of this why would they care about interests of common folk. We are all fed up and justly so. Suddenly the song "No we ain't gonna take it" comes to mind.

    October 15, 2013 03:03 pm at 3:03 pm |
  17. Rudy NYC

    tom l.

    Ummm, those were not sequestration levels. They were new levels about sequestration. But that's ok....
    ---------------------
    Yes, they were. The Republicans passed funding levels to continue spending at sequestration levels, and the Democrats didn't fight it. To suggest spending in that bill, $968B, was not at sequestration means that they *raised* the spending levels, which we all know is the last thing that the Tea Party would do.

    You see, the problem is that you have been bamboozled into the Republican narrative that Democrats don't want sequestration level spending. They'd agreed to it, and sent it back to the House without a fight.

    October 15, 2013 03:06 pm at 3:06 pm |
  18. Rudy NYC

    GatorDude

    Democrats and Republicans – You are running this country into the ground together! Unfortunately, you are our only two choices at the ballot box. We just don't know how to remove you and put you on trial.

    Democrats – The GOP is right when they demand spending cuts. You must cut spending and submit a balanced budget. When you continue to run deficits, interest will continue to consume more of the federal budget each year.
    ------------------
    Psst, stop listening to what Republicans are saying. The original bill passed by the Senate, minus defunding the ACA, had spending cuts built into it. The problem is that the Tea Party wanted a fight, didn't get one, and figured that was way too easy. They figured that they could hold out for even more, which is when the Democrats said, "Sorry, no negotiations. You asked for a certain spending level and we gave it to you without a fight."

    October 15, 2013 03:10 pm at 3:10 pm |
  19. Rudy NYC

    EP posted:

    Everyone can agree that we spend too much for the revenue we take in. There is no magic solution, either we reduce spending or we increase revenue. ... ... ...
    --------------------------
    What's wrong with doing both? That's how we got into this mess in the first place. The Republicans dramatically increased spending by while reducing the revenue.

    October 15, 2013 03:16 pm at 3:16 pm |
  20. Thomas

    freedom
    This is one evil administration.

    =========

    Hey , what's the weather like outside your bunker today ?

    Any ideas for Halloween , do you own a Ted Cruz mask ? You get many trick or treaters ?

    October 15, 2013 03:16 pm at 3:16 pm |
  21. rs

    Freedom Storm

    So … Just 3 or 4 weeks ago, tyranny had enough money to wage war against Syria …

    … but today, tyranny “doesn’t have enough money” to keep the WWII Memorial Open.
    ________________________________
    Funny, that's just one more impact of not passing a spending bill, and shutting down the government!

    October 15, 2013 03:17 pm at 3:17 pm |
  22. Thomas

    @Veritas
    Recent polling shows that even when Republicans act like total idiots...and they have sure done that during this shutdown nonsense...Americans STILL trust them more than Democrats to run our government. Ouch, that has got to hurt...if you are a Democrat.

    USAToday (Pew Research Center poll) – "And while there's anger directed at Republicans right now over the shutdown, the Pew poll shows 42% say the GOP can better manage the government vs. 39% who pick the Democrats."

    =========

    Did Romney win the election ?

    Unless your TeaParty , the majority of Americans want a clean spending bill on the House for a vote .

    October 15, 2013 03:22 pm at 3:22 pm |
  23. The Real Tom Paine

    -tom l

    @Sniffit

    I don't find "it's the law" to be a compelling argument."

    I don't find "it's the law THIS TIME" to be a compelling argument.

    FIFY

    One of the major major issues I have with President Obama is found right here on these comment sections. People like Data Driven and The Real TP used to be very reasonable and listened to both sides. Now, and this is absolutely partially due to the rhetoric from our president, I'm a rebel and support hostage takers. You have become even more hardened in your stance and way less reasonable. I mean, Data, you KNOW that the website is an issue. You have to. It's your line of work. Yet you defend defend defend. And I looked up how much Facebook cost to run. It took them 6 years to spend 500 million, and that was for the whole company, not just to buld a website. Wish you guys on the left would calm down and not let the president get you all so worked up into a frenzy. Sheeesh.
    *******************
    We're unreasonable? Please. Your tone has become increasingly shrill in recent weeks, as you insist on defending the right to shut the government down over a law that was duly past. As far as rhetroic is concerned, the GOP started out by saying they were going to make sure Obama failed. When that little strategem failed, they reverted to this. As far as the subject of tone is concerned, you lost whatever credibility you had in terms of being reasonable when you began to engage in pointelss pi$$ing matches with people. Out of respect, I held my fire, but when you have personalized it to the extent you have, it becomes impossible not to say something. Your dismissal of peoples' right to believe as they see fit belies your claims of being an independent thinker. You lapse all to readily into FOXspeak. You tell people when they are specialists in their field that they are wrong: you're a marketing exec, which mean that you really can't cut it sales or IT. With regards to my nome de plume, you cherry picking phrases from "Common Sense" without referencing the other works of Paine shows only that you've been reading the Glen Beck approved version of one of his works. Paine clearly advocates for government intervention to help people in need and he clearly despised elites, the sort of elites who support the GOP and are only interested in pulling all teh power they can to themselves. Paine anticipated the arguments of the Progressive movement by a century. If you bothered to read his other works you would know that, including " The Age of reason" where he goes to great pains to attack organized religion, but not the right to believe. Read a little more before you shoot your mouth off. You only come off as shrill and shallow.

    October 15, 2013 03:28 pm at 3:28 pm |
  24. B

    "It's the end of the world as we know it
    It's the end of the world as we know it
    It's the end of the world as we know it, and I feel fine"

    October 15, 2013 03:34 pm at 3:34 pm |
  25. Houston Stevens

    Alert to CNN, ( Wolf Blitzer) White House, ( coomunications team, President) ect.....

    Please call this fiasco of shutting down our government,( in particular by the "Tea Party" Lead by the dishonorable Ted Cruz & company,) for what they are... Toxic!!!

    They are poisonous to our nation. The evidence is " crystal clear!" I can't for the life of me understand why they aren't being called" toxic!"

    Please!!!

    October 15, 2013 03:38 pm at 3:38 pm |
1 2 3 4 5