Harkin looking for reason to support tax cut, jobless pay plan

He's not ready to say “yes,” but Sen. Tom Harkin is looking for a reason to support President Obama's deal with Republicans to extend tax cuts and unemployment benefits.

Harkin has been inclined to vote against the deal the president struck with Senate GOP leaders to extend the Bush tax cuts for two years and unemployment until the end of 2011. However, the Iowa Democrat said Dec. 9, he's waiting to see the whole package before making up his mind.

He's hoping Senate Democrats can make a bad deal better.

“There are lots of behind-the-scenes negotiations going on,” he said. “I'm involved in some of that myself.”

Harkin said he didn't want to pile on Obama, but had nothing good to say about the compromise the president's agreement with Senate Republicans or how he went about negotiating it.

It galls him that Republicans got what they wanted – the tax cuts extension for the wealthiest Americans – without a fight, Harkin said. All 42 Senate Republicans pledged to block extending unemployment benefits unless the Bush tax cuts are extended.

“Call that what you will – hostage-taking or blackmail – it worked,” Harkin said.

“Every reasonable person, including me, was willing to compromise,” he said. However, the president did not negotiate well. “He was willing to negotiate too soon. A good lawyer compromises on the courthouse steps, not back in the conference room.”

Obama also struck the deal without consulting senior Democrats, Harkin said. Now, as a result of the pushback from Democrats in the Senate and House, some modifications are being suggested.

Harkin wants to see more help for taxpayers claiming the Earned Income Tax Credit, more help on the child care tax credits for low income families and he'd like a provision to automatically extend unemployment benefits if the jobless rate is at 6 percent or more a year from now.

He's also working on extending tax credits for ethanol and wind energy production, although that's more likely to be a part of an omnibus appropriations bill the Senate must take up before going home for Christmas.

It's not clear if those are deal breakers, Harkin said.

“How do you know until you try?” he said.

In the meantime, Harkin will continue to look for reasons to support the president's compromise.

“Around this place I've learned that you don't say something until you see the final package,” Harkin said. “I take heart that the deal isn't final.”