A party showdown continues as President Barack Obama threatened to veto a Republican bill proposal which would attach an oil pipeline to a bill already renewing payroll tax cuts and unemployment coverage on Wednesday, officials said.
The threat signaled an unclear end to the struggle of renewing tax deductions and jobless benefits that expire Jan. 1 if congress does not act, coincidentally marking the start of the 2012 election year.
The AP said, “Top House Republicans are laboring to overcome conservative resistance to GOP legislation extending this year’s 2 percentage point reduction in the 6.2 percent Social Security payroll tax for another year.”
The long-term unemployed would receive renewed benefits, however new rules would be imposed. The AP said Republicans suggested granting states waivers to use some funds to experiment with programs like job training.
Supported by unions but opposed by environmentalists, a proposed Keystone XL pipeline stretching from Canadato the Midwestwas added by House GOP leaders to attract more votes.
According to the AP, Obama said, “Any effort to try to tie Keystone to the payroll tax cut, I will reject.”
Junior education major Danielle Jenkins said, “I can see why he doesn’t want the Republicans to sneak in the pipeline provision, but I think at this point it’s more crucial to act on something. The Jan. 1 deadline is coming up soon, and if the tax cuts aren’t renewed, that’s going to affect a lot of people.”
Mike Steel, spokesman for House Speaker John Boehner, R-Ohio, said, “We are working on a bill to stop a tax hike, protect Social Security, reform unemployment insurance and create jobs. If President Obama threatens to veto it over a provision that creates American jobs, that’s a fight we’re ready to have,” said the AP.
Obama refuted, “My warning is not just specific to Keystone. Efforts to tie a whole bunch of other issues to what’s something that they should be doing anyway will be rejected by me,” said the AP.
Senior family science major Corrine Schultheis said, “If Obama is going to veto this bill, he needs to do it soon so that the legislators can re-write the provision so that the payroll tax cuts are extended. I think time is of the essence in this case and someone needs to act soon.”
A 2 percent payroll tax cut would save $1,000 for a family earning $50,000 yearly.
Junior education major Tricia FitzGerald said, “The pipeline could go either way. It’s a controversial issue, for sure, but I think it’d be best for the country if Obama would just pass the bill with the pipeline provision to ensure that the tax cuts are renewed by Jan. 1. It wouldn’t be fair to a lot of people relying on those cuts to get by. They need the financial help.”