Republicans Pledge New Standoff on Debt Limit (Prepare for another ratings downgrade)

New York Times ^ | 05/16/2012 | Jonathan Weisman

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WASHINGTON — Speaker John A. Boehner on Tuesday set the stage for a bruising election-year showdown on fiscal policy, vowing to hold up another increase in the federal debt ceiling unless it was offset by larger spending cuts.

His combative comments came on the same day the Republicans’ presumptive nominee, Mitt Romney, hit President Obama hard on his fiscal stewardship in a speech in Des Moines, suggesting that Mr. Romney and Congressional Republicans see an opening to attack the president on the mounting federal debt and the size of the government.

Mr. Boehner’s stance threatened to throw Congress back into the debt-limit stalemate that consumed Washington in 2011, but this time at the height of a campaign that Republicans are trying to make a referendum on Mr. Obama’s handling of the economy.

“A prairie fire of debt is sweeping across Iowa and our nation,” Mr. Romney said, “and every day we fail to act we feed that fire with our own lack of resolve.”

The Boehner comments, made at a fiscal summit meeting in Washington, were the first public shot in what promises to be the most consequential budget fight in a generation. On Jan. 1, nearly $8 trillion in tax increases and across-the-board spending cuts are scheduled to take effect.

Mr. Boehner said he would not allow Congress to duck tough decisions with another round of short-term measures. He also said the House would pass an extension of the Bush-era tax cuts before the November elections, and he urged lawmakers in both parties to reach a long-term deal on spending and tax changes — but no additional taxes — to head off a fiscal calamity.

“To get on the path to prosperity, we have to avoid the fiscal cliff, but we need to start today,” he said.

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How does holding spending to a certain level and not spending anymore threaten a credit rating? It should strengthen it. NYT has a rectal cranial inversion.

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Jonathan Weisman; @jonathanweisman
“Obama as divisive” line seems to B coordinated. I’ve heard it from Boehner, Paul Ryan, McConnell, now Ed Gillespie. Also no leadership line

Jonathan Weisman; @jonathanweisman
Republicans Pledge New Standoff on Debt Limit http://nyti.ms/JnghYG, @speakerboehner, @mittromney takes big swings at Obama’s fiscal record.