LI pols mixed on Obama tax cut compromise

WASHINGTON - President Barack Obama struggled Tuesday to prevent wholesale defections by fellow Democrats that could sink the tax deal he worked out with Republicans - angry opposition that could subject millions of Americans to a big holiday-season tax increase.

Many GOP lawmakers seemed ready to embrace the Obama-GOP compromise and declare victory.

The question was whether enough Democrats would join them in support, especially in the House, where liberal resentment of the president's concessions on tax breaks for the wealthiest runs strong.

Obama went on national TV with a ringing defense of his compromise, declaring it the necessary price for heading off a tax increase that neither taxpayers nor the weak economy could stand and for gaining more months of unemployment payments for millions of jobless workers.

The plan would extend unemployment benefits for millions of people, and reduce Social Security payroll taxes for a year. Workers would pay a 4.2 percent tax rate instead of 6.2 percent.

Among Long Island House members contacted Tuesday, only Rep. Peter King (R-Seaford) expressed support for the compromise. The Democratic members remained noncommital.

Rep. Tim Bishop (D-Southampton) said while he supports middle-class tax cuts and extension of unemployment benefits, he was "troubled" by extending tax cuts "in the top income brackets, that offer little economic 'bang-for-the-buck.' "

Rep. Gary Ackerman (D-Roslyn Heights), while declining to say how he would vote, said in a statement: "It does not seem fair that in order to help the hardworking middle class and assist those who are hurting the most due to the Bush economic policies, we have to cave in to the Republicans' demands and add billions to the deficit so that their billionaire friends get relief they don't need."Rep. Carolyn McCarthy (D-Mineola) said in a statement that she "will be evaluating the specific details of the proposed compromise to review what is included and what has been excluded. Middle class families are struggling to provide for their families during these difficult economic times. It is critically important that we extend middle class tax relief and unemployment insurance to support our Long Island families."

An aide said that, before commenting, Rep. Steve Israel (D-Dix Hills) was waiting to hear more about tax deal at a House Democratic caucus meeting that was being held last night.

Sen. Charles Schumer (D-N.Y.) declined yesterday to comment while Sen. Kirsten Gillibrand (D-N.Y.) said she was still studying the deal."We're going to have to do some more work," Senate Majority Leader Harry Reid said after a closed-door meeting with Vice President Joe Biden and other Democratic senators.

House Democrats will lose their majority in January, but they still hold a 255-179 advantage in the current Congress that has a few more days of life.

Democratic staff members speculated that, for now, more than half of House Democrats seem inclined to oppose the compromise plan. Republican aides said many GOP members probably would back it, because it grants their chief goal of extending income tax cuts for all Americans.

Some moderate Democratic lawmakers praised the plan. The office of Rep. Gerry Connolly, D-Va., noted that he long has supported "the position now embraced by President Obama for extending all of the Bush tax cuts, temporarily." But some of Obama's closest allies assailed the compromise.

"It lards the tax cuts for the top 2 percent with an indefensible cut in the estate tax - giving yet another bonus to the super-rich," said AFL-CIO President Richard Trumka. "It is unconscionable that the price of support for struggling middle class families and workers who have been unable to find jobs for months and months and months is yet more giveaways for our country's wealthiest families." The liberal group MoveOn said its 5 million members oppose the tax plan. "The president's commitment to bipartisanship should not mean leaving principles behind," MoveOn said.

With Tom Brune