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Senate Vote Leaves Rebates In Limbo

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By JULIE HIRSCHFELD DAVIS and ANDREW TAYLOR, The Associated Press

Published: February 7, 2008

WASHINGTON - The fate of $600-$1,200 rebate checks for more than 100 million Americans is in limbo after Senate Republicans blocked a bid by Democrats to add $44 billion in help for the elderly, disabled veterans, the unemployed and businesses to the House-passed economic aid package.
GOP senators banded together Wednesday to thwart the $205 billion plan, leaving Democrats with a difficult choice either to quickly accept a House bill they have said is inadequate or risk being blamed for delaying a measure designed as a swift shot in the arm for the lagging economy.

The tally was 58-41 to end debate on the Senate measure. In a suspenseful showdown vote, eight Republicans joined Democrats to back the plan, bucking GOP leaders and President Bush, who objected to the costly add-ons.

Democrats presented their aid proposal as a take-it-or-leave-it proposition for Republicans and called back their presidential candidates to make a show of party unity behind their stimulus plan.

They calculated that Republicans would pay a steep price for opposing rebates for older Americans and disabled veterans, as well as heating aid for the poor, unemployment benefits and a much larger collection of business tax breaks than the House approved.

Even after their effort fell short Wednesday, Democrats seemed determined to keep the pressure on Republicans to accept the measure.

Majority Leader Harry Reid, D-Nev., is "going to give Republicans a chance to reconsider their vote against efforts to strengthen the economy by helping those who need it most," his spokesman, Jim Manley, said Wednesday night.

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