Van Hollen: Supercommittee will ‘work all weekend’ to bridge differences

House Democrat Chris Van Hollen (Md.) said Thursday that Nov. 23 is the ‘hard deadline’ for the congressional deficit-reduction panel to reach an agreement. 

As the so-called supercommittee continues to wrangle over the inclusion of revenue-raising provisions, Van Hollen said the panel would “work all weekend to try to bridge these differences.”

The fundamental question on reaching a deal is whether the GOP is “willing to take that balanced approach,” Van Hollen said during an interview on WTTG, a Washington, D.C. Fox affiliate.

{mosads}”By that, I mean we have to make very tough cuts and reforms, but we also need to look at the revenue side of the equation,” he said. 

“There is this discussion going on within the Republican party about whether or not they are willing to do anything meaningful when it comes to the revenue side of the equation. And the next couple days will determine the answer to that question,” Van Hollen said.

Earlier Thursday, panel co-chairwoman Sen. Patty Murray (D-Wash.) said a Republican divide over tax revenue is preventing a supercommittee deal.

“I think the challenge is they have to resolve the differences on their side in terms of revenue. And that’s what we are waiting for,” she said before a meeting with supercommittee Democrats. 

Murray said it is time for the GOP to come forward with real revenue to achieve a deal that creates jobs.

A failure of the committee to find between $1.2 trillion and $1.5 trillion in savings would “be bad news because it would send a signal that Congress was unable the bridge these differences,” Van Hollen said.

{mossecondads}”It is not clear what the reaction in the markets would be, because if we do not succeed, there will be these automatic cuts, that would also achieve savings of $1.2 trillion,” he said. 

“But we remain working hard. We are still working hard to try to avoid that consequence,” he said.

Those automatic cuts would begin to take place in January 2013, although some lawmakers have signaled they would attempt to repeal or alter the legislation put in place that requires $1.2 trillion in specific cuts. 

Democrats want to use some of the deficit cuts from a supercommittee deal to fund stimulus measures, such as an extension of a deeper payroll tax cut for workers.

Republicans have offered a package that would lower tax rates while limiting deductions, which they say would raise $250 billion in new net tax revenues.

Democrats rejected that offer, saying it would place more of the tax burden on the middle class. They countered with a proposal that demands that the GOP agree not to extend or lower marginal tax rates.

As negotiations continue, 72 House Republicans sent a letter to members of the Joint Select Committee on Deficit Reduction on Thursday urging them not to raise taxes.

“Tax increases aren’t going to get our economy back on the right track,” Rep. Patrick McHenry (R-N.C.) wrote.  

“We need real solutions to address runaway spending,” he said. “Raising taxes will only further damage the economy, discourage private sector investment, and hurt Americans struggling to make ends meet.”

Republican Study Committee Chairman Jim Jordan (R-Ohio) added, “Cutting back the national debt will require stronger private sector job growth and less government spending.”

“Raising taxes would just take us further away from both goals,” he said.