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Obama slams GOP: Blames Republicans for upcoming tax increase

Wednesday, December 21, 2011

After efforts to agree on a yearlong extension sputtered, Senate Republicans and Democrats agreed on the two-month renewal, with the bill’s estimated US$35 billion cost to be covered by an increased fee on mortgages backed by Fannie Mae and Freddie Mac. That assured deficits wouldn’t rise, a key Republican objective.

Republicans also prevailed on their demand to require Obama to decide within 60 days the fate of a proposed Canada-to-Texas oil pipeline that promises thousands of construction jobs. The president’s political supporters are divided on the Keystone XL project, with environmentalists generally opposing it and labor unions in favor, and Obama had hoped to avoid making a decision until after the 2012 elections.

The measure quickly cleared the Senate on a vote of 89-10, with 39 of 46 Republicans in favor. Sen. Mitch McConnell of Kentucky, the Republican leader, said he was optimistic the House would go along.

Not so.

On a telephone conference call on Saturday, numerous House Republicans told Boehner and the leadership they opposed the Senate-passed measure and quickly developed their plan — reject the Senate bill and seek negotiations on a compromise.

At the end of their first year in office, there was no doubt about the ability of dozens of first-term Republicans to flex their muscle.

Copyright 2011 The Associated Press.

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