Senate Democrats to Offer Alternative to Automatic Spending Cuts
February 11, 2013
Senate Democrats plan to unveil this week a series of targeted spending cuts and tax increases on the top-earners to replace deep, across-the-board federal spending cuts due to begin on March 1, a senior Democratic aide said on Monday.
The proposals are expected to be rejected by Republican leaders, who so far have fought any new tax increases to help bring down budget deficits that have topped $1 trillion since 2009.
As a result, the planned spending cuts known as "sequestration," which would total $1.2 trillion over a decade, are expected to trigger in about three weeks. The first round of cuts would total about $85 billion over seven months.
The Democratic aide, who asked not to be identified, said the approximately $120 billion in combined new tax revenues and spending cuts would allow for a 10-month delay - until December 31 - to the indiscriminate spending cuts contained in a budget law enacted in 2011.
The Senate Democrats' proposals are similar to ideas floated by Democrats in the House of Representatives.