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Chastened US Congress aims to avert spending fight

Wed, 7 Sep 2011 22:35 GMT

Source: reuters // Reuters

* Congress likely to extend temporary government funding

* Cantor says budget concerns won't delay disaster aid

* Lawmakers aim for orderly resolution to spending bills

By Andy Sullivan

WASHINGTON, Sept 7 (Reuters) - U.S. lawmakers, facing rock-bottom approval ratings after a bruising series of budget battles, worked on Wednesday to head off another disruptive fight over government spending.

With the Republican-controlled House of Representatives and the Democratic-held Senate at odds over funding levels for the fiscal year that starts Oct. 1, lawmakers and aides from both parties said they would try to resolve their differences in an orderly manner rather than the brinkmanship that marked earlier disputes.

"I haven't heard a whole lot of talk about confrontation over this," said Representative Steny Hoyer, the No. 2 Democrat in the House of Representatives. "I don't think there's any inclination on either side to shut down the government."

House Republican Leader Eric Cantor said he would schedule a vote during the week of Sept. 19 to keep the government running for several months. That would buy more time for the House and Senate to resolve their differences.

Congress has yet to pass any of the 12 spending bills that keep the government running when the new fiscal year starts in a few weeks. Many agencies would be forced to shut down if lawmakers do not act by then.

Congress brought the government to within hours of a partial shutdown in April as the two parties battled over spending cuts. In August, lawmakers pushed the government to the edge of default as they struggled to raise the debt ceiling.

The debt ceiling fight rattled investors, spooked consumers and worsened Congress' already-dismal reputation.

Voters "are sick of the rancor in this town," Cantor said.

PRESSURE ON DISASTER AID

Lawmakers also face pressure to quickly approve billions in disaster aid to help victims of floods, tornadoes and a hurricane that raked the East Coast last week.

The Senate will vote on $6 billion in disaster relief, said the chamber's top Democrat, Harry Reid.

Cantor, who faced fierce criticism last week after he suggested that disaster aid should be offset with additional spending cuts, said the House will act quickly as well and budget concerns would not cause a delay.

"I am not for holding up any money. I am not for taking any hostages here," Cantor told reporters.

The House has passed six of its 12 spending bills but the Senate has passed only one. The two chambers have agreed on the total amount of money to be spent -- $1.043 trillion -- but do not agree on how that money should be allocated.

The Senate Appropriations Committee approved an outline on Wednesday that provides less money for the military and more money for domestic programs than the House has provided.

The Senate outline would give $17 billion less to the Defense Department than the bill that has passed the House. The Senate outline would provide billions of dollars more for diplomacy, health and labor programs.

Aides from both committees said they will probably be able to reach agreement in a relatively orderly fashion, as the debt-ceiling deal enables House appropriators to scale back some of their planned spending cuts.

Transportation and housing programs got a $7.5 billion increase under a revised House bill released on Wednesday, nearly matching the levels approved by the Senate panel.

"No one wants a food fight," said Jim Dyer, a former Republican appropriations staffer.

(Additional reporting by Deborah Charles; Editing by Bill Trott)