Senate hits another impasse on federal jobless benefits

WASHINGTON — It was back to the drawing board on Tuesday as the Senate once again hit an impasse on extending federal benefits to the long-term unemployed.

Democrats rejected a proposal by Republican moderates led by Sen. Dean Heller, R-Nev., that would renew payments to job seekers for three months, retroactive to when they expired on Dec. 28.

Republicans in turn rejected a counteroffer from Senate Majority Leader Harry Reid of Nevada. Reid offered the GOP debate on five amendments, but Republicans complained each would have required a 60-vote majority to advance, an all but impossible hurdle.

“We are back at ground zero,” Heller said.

In a series of procedural votes, the Senate blocked two bills that had been proposed to address more than 1.4 million Americans whose unemployment checks were cut off.

A three-month extension proposed by Heller and Sen. Jack Reed, D-R.I., was rejected because its estimated $6.5 million cost was not offset with budget cuts or savings elsewhere, a key demand of Republicans.

An 11-month extension proposed by Democrats was rejected because Republicans contended it was offset with budget cuts they said were more of an accounting gimmick.

The latest proposal by Heller and seven other GOP senators would have extended benefits for three months, paid for by spreading offsetting budget cuts over 10 years. The cuts would not touch Medicare or defense, they said.

Heller said the bill, which also would repeal a cut in cost-of-living increases for military retirees, would have been accepted by GOP leaders in the House of Representatives.

But Reid said Democrats would accept a three-month extension only if it was declared “emergency” spending not requiring cuts elsewhere.

That left the Senate with nothing left on the table. While members of both parties said they wanted talks to continue, Reid did not signal what was next.

The new logjam was accompanied by a fresh round of recriminations.

Senate Republican leader Mitch McConnell of Kentucky said Reid had not negotiated in good faith. Reid said Republicans were mounting a filibuster because “they want to have their cake and eat it too” on amendments.

The path ahead remained up in the air.

The Senate was expected to spend some amount of time this week on a must-pass appropriations bill. Then lawmakers go on recess next week.

Heller said he was uncertain when the Senate will take up the issue again.

“The sooner the better I hope,” he said. “I am not the leader and I don’t negotiate timetables. But hand me the gavel and I’d be able to answer the question.”

Contact Stephens Washington Bureau Chief Steve Tetreault at stetreault@stephensmedia.com or 202-783-1760. Follow him on Twitter @STetreaultDC.