The Blue Dog Coalition Wednesday endorsed the Democratic budget plan, saying its priorities of cutting waste and balancing the budget were included in the blueprint.

“We finally have a leadership that’s listening to us and agreeing with us,” said Rep. Mike Ross (D-Ark.), a leader in the group of fiscally conservative Democrats, at an afternoon news conference.

Debate on the budget began Wednesday and is expected to finish Thursday with votes on the Republican and congressional progressive budget alternatives, along with final passage.

The budget plan passed by the House Budget Committee would balance the budget by 2012 and includes “pay-go” provisions that require spending increases to be offset with cuts or tax increases.

But the budget also includes a plan to “patch” the Alternative Minimum Tax. It would pay for it with a $70 billion tax increase that would use the budget reconciliation maneuver, which in the Senate requires only 51 votes for passage, to avoid a filibuster.

Republicans have blasted the Democratic budget as the “largest tax increase in history.”

The Democratic budget does not address the topic of earmarks. The Republican substitute, which is unlikely to pass, does include a moratorium on earmarks.

Blue Dogs have not taken a position on earmarks. Rep. Jim Cooper (D-Tenn.) has forgone earmarks for the year, but other Blue Dogs at Wednesday’s news conference spoke in support of them.

“If you’re going to turn the appropriations process over to the executive branch, then you don’t need us up here,” said Rep. Allen Boyd (D-Fla.).

House Speaker Nancy Pelosi (D-Calif.) has been encouraging lawmakers to support an earmark moratorium to confront what she considers Republican hypocrisy on the issue.

“If some of the activities that we’ve seen generated continue, I don’t know how we could have earmarks this year,” she said Wednesday.