By Bernie Becker - 07/27/11 10:16 PM EDT
The Boehner plan, which would force the $14.3 trillion debt limit to be raised again before next year’s election, got a shot in the arm late Wednesday, when the Congressional Budget Office said a tweaked proposal would cut spending ($917 billion) more than it raised the debt limit ($900 billion). The Speaker’s framework would also create a debt commission tasked with finding more deficit cuts.
On the other side of the Capitol, Senate Majority Leader Harry Reid (D-Nev.) is pushing a plan that would raise the debt ceiling through next year’s election. Reid and other top Senate Democrats have said the Boehner plan has no chance of making it through their chamber.
Conservative groups like Club for Growth, National Taxpayers Union and Heritage Action have all come out strongly against the Boehner plan this week, calling it second-rate in comparison to the “cut, cap and balance” proposal the House passed last week.
But the U.S. Chamber of Commerce and other business-friendly groups have given a full-throated endorsement of the House Speaker’s plan, also saying it was a credible path to avoid default. Crossroads GPS, the GOP group with ties to Karl Rove, also backed the Boehner approach on Wednesday.