‘Fiscal cliff’ deal passes Senate, 89-8

WASHINGTON (AP) – Hours past a self-imposed deadline for action, the Senate passed legislation early New Year’s Day to neutralize a fiscal cliff combination of across-the-board tax increases and spending cuts that kicked in at midnight. The pre-dawn vote was a lopsided 89-8.

Senate passage set the stage for a final showdown in the House, where a vote was expected later Tuesday or perhaps Wednesday on the measure, which also raises tax rates on wealthy Americans.

Even by the recent dysfunctional standards of government-by-gridlock, the activity at both ends of historic Pennsylvania Avenue was remarkable as the administration and lawmakers spent the final hours of 2012 haggling over long-festering differences.

“It shouldn’t have taken this long to come to an agreement, and this shouldn’t be the model for how we do things around here,” said Senate Republican leader Mitch McConnell, who negotiated the agreement with Vice President Joe Biden.

Under the deal, taxes would remain steady for the middle class and rise at incomes over $400,000 for individuals and $450,000 for couples – levels higher than President Barack Obama had campaigned for in his successful drive for a second term in office.

Spending cuts totaling $24 billion over two months aimed at the Pentagon and domestic programs would be deferred. That would allow the White House and lawmakers time to regroup before plunging very quickly into a new round of budget brinkmanship certain to revolve around Republican calls to rein in the cost of Medicare and other government benefit programs.

Officials also decided at the last minute to use the measure to prevent a $900 pay raise for lawmakers due to take effect this spring.

“One thing we can count on with respect to this Congress is that if there’s even one second left before you have to do what you’re supposed to do, they will use that last second,” the president said in a mid-afternoon status update on the talks. Yet when the roll was called nearly 12 hours later, only six Republicans and two Democrats opposed the measure.

As darkness fell on the last day of the year, Obama, Biden and their aides were at work in the White House, and lights burned in the House and Senate. Democrats complained that Obama had given away too much in agreeing to limit tax increases to incomes over $450,000, far above the $250,000 level he campaigned on. Yet some Republicans recoiled at the prospect of raising taxes at all.

Democratic senators said they expected a post-midnight vote on the measure. They spoke after a closed-door session with Vice President Joseph Biden, who brokered the deal with Senate Republican leader Mitch McConnell.

“The argument is that this is the best that can be done on a bipartisan basis,” said Sen. Dianne Feinstein, D-Calif., when asked about the case the vice president had delivered behind closed doors.

Passage would send the measure to the House, where Speaker John Boehner, R-Ohio, refrained from endorsing a package as yet unseen by his famously rebellious rank-and-file. He said the House would not vote on any Senate-passed measure “until House members – and the American people – have been able to review” it.

Numerous GOP officials said McConnell and his aides had kept the speaker’s office informed about the progress of the talks.

The House Democratic leader, Rep. Nancy Pelosi of California, issued a statement saying that when legislation clears the Senate, “I will present it to the House Democratic caucus.”

Without legislation, economists in and out of government warned of a possible recession if the economy were allowed to fall over a fiscal cliff of tax increases and spending cuts.

And while the nominal deadline for action passed at midnight, Obama’s signature on legislation by the time a new Congress takes office at noon on Jan. 3, 2013 – the likely timetable – would eliminate or minimize any inconvenience for taxpayers.

A late dispute over the estate tax produced allegations of bad faith from all sides.

After hours of haggling, Biden headed for the Capitol to brief the Democratic rank and file.

Earlier, McConnell had agreed with Obama that an overall deal was near. In remarks on the Senate floor, he suggested Congress move quickly to pass tax legislation and “continue to work on finding smarter ways to cut spending” next year.

The White House and Democrats initially declined the offer, preferring to prevent the cuts from kicking in at the Pentagon and domestic agencies alike. A two-month compromise resulted.

Officials in both parties said the agreement would prevent tax increases at incomes below $400,000 for individuals and $450,000 for couples.

At higher levels, the rate would rise to a maximum of 39.6 percent from the current 35 percent. Capital gains and dividends in excess of those amounts would be taxed at 20 percent, up from 15 percent.

The deal also would also raise taxes on the portion of estates exceeding $5 million to 40 percent. At the insistence of Republicans, the $5 million threshold would rise each year with inflation.

Much or all of the revenue to be raised through higher taxes on the wealthy would help hold down the amount paid to the Internal Revenue Service by the middle class.

In addition to preventing higher rates for most, the agreement would retain existing breaks for families with children, for low-earning taxpayers and for those with a child in college. Also, the two sides agreed to prevent the alternative minimum tax from expanding to affect an estimated 28 million households for the first time in 2013, with an average increase of more than $3,000. The law originally was designed to make sure millionaires did not escape taxes, but inflation has gradually exposed more and more households with lower earnings to its impact.

The legislation leaves untouched a scheduled 2 percentage point increase in the payroll tax, ending a temporary reduction enacted two years ago to help revive the economy.

Officials said the White House had succeeded in gaining a one-year extension of long-term unemployment benefits about to expire on an estimated two million jobless.

It was unclear whether the legislation would prevent a 27 percent cut in fees for doctors who treat Medicare patients was unknown.

Also included is a provision to prevent a threatened spike in milk prices after the first of the year.

Even as time was running out, partisan agendas were evident.

Obama used his appearance not only to chastise Congress, but also to lay down a marker for the next round of negotiations early in 2013, when Republicans intend to seek spending cuts in exchange for letting the Treasury to borrow above the current debt limit of $16.4 trillion.

“Now, if Republicans think that I will finish the job of deficit reduction through spending cuts alone – and you hear that sometimes coming from them … then they’ve got another think coming. … That’s not how it’s going to work at least as long as I’m president,” he said.

“And I’m going to be president for the next four years, I think,” he added.

Obama’s remarks irritated some Republicans.

Sen. John McCain of Arizona they would “clearly antagonize members of the House.”

THE ASSOCIATED PRESSs Julie Pace, Andrew Taylor, Alan Fram and Ben Feller contributed to this report.

ad-high_impact_4
News
Nye County detectives pursue suspects
A swarm of Nye County deputies, at the request of Las Vegas police, surrounded a hotel room in Pahrump last week to take two fugitives into custody. (Nye County Sheriff's Office)
Taxpayer-funded LVCVA boss negotiating exit pay despite criminal investigation
CEO Rossi Ralenkotter is the third-highest-paid public official in the state He has a pay and benefits package valued at $863,000 annually. Ralenkotter does not have an employment contract He announced his retirement in mid June, amid a scandal over airline gift cards LVCVA bought $90,000 in Southwest Airline gift cards between 2012 and 2017. Now auditors can’t account for more than $50,000 of the cards. Ralenkotter and his family used $16,207 in gift cards on 56 trips. Brig Lawson, the senior director of business partnerships, was responsible for buying and distributing the cards. He recently resigned. Ralenkotter's retirement settlement package could cost taxpayers thousands of dollars.
Bicyclists ride empty Interstate 11 before it opens Aug. 9
Southern Nevada Bicycle Coalition sponsored a 25-mile ride on the yet-to-be-opened Interstate 11 to highlight bicycle and motorist safety. (K.M. Cannon/Las Vegas Review-Journal)
Paul Fronczak on his search for truth
Paul Fronczak, man mistaken for stolen baby in 1964, talks about the long search for his twin sister and the real Paul. (Marcus Villagran/Las Vegas Review-Journal) @brokejournalist
1 dead after shooting near Sahara and the Strip in Las Vegas
Lt. Ray Spencer briefs the news media on a shooting at Sahara Avenue and Las Vegas Boulevard South that left one dead. (K.M. Cannon/Las Vegas Review-Journal)
Family remembers deceased mother
Family members of Adriann Gallegos remember her. (Marcus Villagran/Las Vegas Review-Journal) @brokejournalist
2 in custody after chase
Two people were in custody after a chase involving Nevada Highway Patrol and Nye County Sheriff"s office deputies ended in southwest Las Vegas. Las Vegas police blocked off Rainbow Boulevard north of Tropicana Avenue around 1 a.m. Wednesday. Law enforcement personnel prepared to tow a black sedan as part of their investigation. It's not certain what precipitated the chase or where and when it started. Check back for updates.
Police Officer's Vehicle Was Taken During Shooting
Video from body worn camera footage released by the Las Vegas Metropolitan Police Department Wednesday shows an officer realizing his police vehicle has been taken during the chaos of the Route 91 shooting. It was later recovered at Sunrise hospital with the keys in the ignition and nothing removed. (Madelyn Reese/ Las Vegas Review-Journal)
See Kitty Hawk’s flying car cruise over Lake Las Vegas
Kitty Hawk takes their flying car for a ride in the company’s hidden test facility in Lake Las Vegas. (Marcus Villagran/Las Vegas Review-Journal) @brokejournalist
Watch Las Vegas police wild pursuit through busy Las Vegas streets
An intense chase near Downtown Las Vegas ends after gunfire is exchanged as the suspect flees on busy streets and ends up near an elementary school. (Las Vegas Metropolitan Police Department)
Man shot strolling through park
A man was hospitalized early Tuesday morning after being shot while walking in a central Las Vegas park. Las Vegas police say the man and a woman were in Molasky Park just after midnight when the man was shot. The pair ran to a nearby supermarket where a security guard called for help. The man was hospitalized and as of 3 a.m. was in stable condition. Police have yet to identify the shooter and no suspects are in custody.
Police investigating shooting at east valley apartment complex
No one was injured late Monday night after someone fired shots at a vehicle at an east valley apartment complex. Police responded just before midnight to the Hamptons Apartments, 3070 S. Nellis Blvd. Someone fired shots at a vehicle that was leaving the complex, and struck the vehicle. Another bullet struck a nearby apartment building. The shooter or shooters remain at-large.
Suspect fires at Las Vegas police before officers shoot, end wild pursuit
An intense chase near Downtown Las Vegas ends after gunfire is exchanged as the suspect flees on busy streets and ends up near an elementary school. (Las Vegas Metropolitan Police Department)
Hundreds Attend Slides, Rides and Rock and Roll in North Las Vegas
Hundreds attended the inaugural slides, rides and rock and roll event in North Las Vegas Saturday. The event featured a car show, water slide park and live music. (Madelyn Reese/ Las Vegas Review-Journal)
It's All Rainbows At The Center's New Cafe
The Gay and Lesbian Center of Southern Nevada (The Center) introduced its new coffeeshop, Little Rainbow Cafe, in June. Rainbows are everywhere, even in the lattes and toast, and employees wear t-shirts with the quote "Be a rainbow in someone's cloud." Owner Ben Sabouri said the concept is "built around the idea of, you know, be kind and treat everybody the same." (Madelyn Reese/Las Vegas Review-Journal)
Get a Rainbow Latte at the The Center's Little Rainbow Cafe
The Center, a community center for the LGBTQ community of Southern Nevada, has a new cafe. Little Rainbow Cafe serves up a pride-inspired signature "Rainbow Latte." (Madelyn Reese/Las Vegas Review-Journal)
Pedestrian killed trying to cross Sahara
A pedestrian was killed Friday trying to cross Sahara Avenue near Maryland Parkway about 5 a.m. A sedan struck the pedestrian while the person was outside the crosswalk between Maryland Parkway and Pardee Place, according to Las Vegas police. Police also said the driver of the sedan remained at the site of the crash. The pedestrian was pronounced dead at the scene. This is the 75th fatal crash that Las Vegas police have investigated in 2018.
Man shot multiple times
Las Vegas police are investigating after a man was shot multiple times early Friday morning. The shooting was called in about 3:20 a.m. at the Harbor Island Apartments, 370 E. Harmon Ave., near Koval Lane. The man was hospitalized and is expected to survive, but police are still searching for the shooter.
Former Military Police Corps Officer Celebrates 100th Birthday
Summerlin resident Gene Stephens, who served as a military policeman in WWII and escorted then-Gen. Dwight Eisenhower and President Roosevelt during the war, turned 100 on July 13, 2018. He credits his longevity to living a normal life, exercising regularly and eating three square meals a day. (Madelyn Reese/Las Vegas Review-Journal)
Motorcyclist suffers serious injuries
A motorcycle rider was seriously injured Tuesday night after a crash on Charleston Boulevard. The crash was reported just before 10 p.m. near Durango Drive, according to Las Vegas police. The motorcyclist was hospitalized with unknown injuries but is expected to survive. Las Vegas police are investigating the cause of the accident.
CCSD Superintendent Jesus Jara Has Lunch With Students
New Clark County School District superintendent Jesus Jara continued his listening tour by having lunch with students at Red Rock Elementary School as part of the district's summer lunch program. In conjunction with the U.S. Department of Agriculture, children under the age of 18 can find a free lunch at 104 different locations across the valley through the summer months. Jara highlighted the free program and the importance of eating healthy during his visit. (Madelyn Reese/ Las Vegas Review-Journal)
Timeline Leading Up to Scott Dozier's Execution
Scott Dozier is set to be executed by lethal injection the night of July 11 at Ely State Prison. Dozier was convicted of the April 2002 killing of 22-year-old Jeremiah Miller and was given the death penalty in Oct. 2007. In 2016 Dozier asked in a letter to District Judge Jennifer Togliatti requesting that he “be put to death.” A three-drug cocktail of midazolam, a sedative; the painkiller fentanyl; and cisatracurium, a paralytic, is expected to end his life. (Madelyn Reese/Las Vegas Review-Journal)
New Program Helps Mothers Battling Addiction
Jennifer Stanert has battled drug addiction on and off for the last 21 years. It caused her to lose custody of one of her children, Alec, after she gave birth while high. A new program at Dignity Health St. Rose Dominican Hospitals aims to connect mothers like Stanert with community resources and provide case management services while still pregnant to get connected to lactation and parenting classes, group peer support and education on neonatal abstinence syndrome. (Madelyn Reese/ Las Vegas Review-Journal)
Felon caught with guns in Mandalay Bay room 3 years before Las Vegas shooting
A felon was caught with guns in a Mandalay Bay hotel room three years before the October 1st mass shooting. Six weapons were found inside Kye Aaron Dunbar’s 24th floor room in November 2014. Four were semi-automatic. One was a scoped rifle pointing toward the Strip, according to court documents. Dunbar was sentenced to 40 months in federal prison for unlawful possession. The case just came to light in a lawsuit accusing Mandalay Bay of negligence in connection with the Oct. 1st shooting.
Illegal fireworks in the Las Vegas area garner complaints
Clark County received nearly 25,000 complaints over the Independence Day holiday on a new illegal fireworks site. Reports from the site led to at least 10 illegal fireworks busts across the valley overnight. As of Thursday morning, the county is still compiling the total number of citations issued.
House fire displaces 2 people
Two people were displaced after a house fire early Thursday morning. The fire, at 963 Temple Drive in east Las Vegas, was reported just after midnight, according to a battalion chief from the Clark County Fire Department. Crews from the North Las Vegas and Las Vegas fire departments also were called in to help. The cause of the fire is still under investigation.
"Red White and Boom" July 4 Fireworks at the Stratosphere
Full video of the Fourth of July "Red White and Boom" fireworks show at the Stratosphere as seen from the 8th floor Elation Pool. (Madelyn Reese/ Las Vegas Review-Journal)
July 4th fireworks at the Eureka Casino Resort in Mesquite
July 4th fireworks at the Eureka Casino Resort in Mesquite. (7-04-18) (Bizuayehu Tesfaye/Las Vegas Review-Journal)
Las Vegas Crowds Enjoy Fireworks at the Stratosphere
Revelers enjoyed watching fireworks displays from the Stratosphere's 8th floor Elation pool on July 4. (Madelyn Reese/Las Vegas Review-Journal)
Pedestrian killed in Henderson
A pedestrian trying to cross St. Rose Parkway at Bermuda was hit by a vehicle on Tuesday night and later died. The crash was reported around 11:30 p.m. Las Vegas police responded initially, but handed over the investigation to Henderson police once it was determined the accident happened in their jurisdiction. Las Vegas police did respond to a report of a pedestrian being hit by a vehicle on the Strip. The person, who was hit by a BMW near Fashion Show mall, suffered serious but not life-threatening injuries.
TOP NEWS
News Headlines
Add Event
Home Front Page Footer Listing
Circular
You May Like

You May Like