Stopgap Predicted to Pass This Week

Politico

Senate leaders from both parties predicted Tuesday that a three-week stopgap budget measure will pass this week, making the specter of an imminent government shutdown unlikely.

“We’re anxious to get this over here, get this out of here, and move on to a long-term CR,” said Senate Majority Leader Harry Reid (D-Nev.) to reporters.

Senate Minority Leader Mitch McConnell confirmed the same. “I think we’ll pass the short-term C.R. later in the week, one that clears the House tonight,” said McConnell. “And in all likelihood, as House Republican leadership has indicated, we’ll then negotiate a final agreement for the balance of this fiscal year."

Half and Half GOP

Politico

The White House unsurprisingly welcomed the House's passage of a three-week spending bill on Tuesday, while arguing that the temporary measures to stave off a government shutdown can't be used excessively.

Somewhat defiantly, press secretary Jay Carney repeated in a statement that the White House has "met Republicans halfway" in budget negotiations, a claim the GOP has disputed wildly.

President Obama "urges" the Senate to pass the House's spending bill, Carney said in the statement. 

"The short-term funding bill passed in the House of Representatives today gives Congress some breathing room to find consensus on a long-term measure that funds the government through the end of the fiscal year. The President urges the Senate to pass this bill to avoid a government shutdown that would be harmful to our economic recovery. But the President has been clear: with the wide range of issues facing our nation, we cannot keep funding the government in two or three week increments. It is time for us to come together, find common ground and resolve this issue in a sensible way. There is no disagreement on whether to cut spending to put us on a path to live within our means, but we can’t sacrifice critical investments that will help us out-innovate, out-educate, and out-build our global competitors to win the future. We have already met Republicans halfway, and we are optimistic that Congress can get this done."

Republicans Poising for a Hit

As Wisconsin Unions and the government duke it out, the last few groups join sides of this polarized issue. This time, facing high opposition, a conservative group under the name of GOPAC joins the side of the Republican governor to promote the death of unions within the state. Politico reports: 

The fight for control of the Wisconsin state Senate looks increasingly like a toss-up, as national groups continue gearing up for the recall campaign triggered by anti-union legislation passed last week. 

GOPAC has bought airtime to defend Republican state Sen. Randy Hopper for his vote to scale back collective bargaining rights for most government workers. 

 “Amid all the shouting and contention in Madison, let’s remember these facts: State government is broke. Wisconsin has lost over 150,000 jobs,” says the ad. “Without these reforms, taxes will go up and more jobs will be lost."

The Republicans should prepare to take a blow on the chin for this in the next elections. Democrats and 'undecideds' will decidedly go against the now 'anti-union' right. If the Republicans plan to run for re-election in the state of Wisconsin, they are clearly delusional.

Jerry Brown's Obama Condition

 Toyota's climb back to the top looks like a few short steps compared to what California is going to have to do. Even with a recent bill passed to close up a $19 billion dollar shortfall, California managed to fall into deeper budgetary crisis. Much like Bush's gift to Obama, Schwarzenegger will be passing California on to Brown in less than 'spick and spack' fiscal condition. The New York Times reports:

Five weeks after the Legislature passed a budget that promised to close a $19 billion budget shortfall, California has sunk back into yet another fiscal crisis, this time facing a $26 billion gap that is posing a major new challenge for the incoming governor,Jerry Brown, and seems almost certain to force deep cuts in a state already reeling from three years of financial turmoil.

The departing governor,Arnold Schwarzenegger, has called a special session of the Legislature for Dec. 6 to begin dealing with one part of the problem: a projected $6 billion shortfall in the $126 billion budget passed in October, a record 100 days late. Mr. Schwarzenegger’s aides said the governor, a Republican who has fought repeatedly with Democrats in pushing through deep spending cuts, would propose another round of reductions to get the state through the end of this fiscal year in June.

 While Schwarzenegger's administration is packing and telling everyone they've done their best, Brown must propose a new budget in January for 2011. California's estimated budget shortfall for next year is an estimated $38 billion including the shortfalls of the propositions Californians voted in this November. Brown's pledge not to raise taxes without voters' approval may be a hard pledge to follow through with in the next several years.