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Republicans Lose First Objection of Reconciliation Bill and a Major Loss for Republicans

Senate Democrats get favorable ruling

By MANU RAJU | 3/22/10 10:26 PM EDT


A ruling by Senate parliamentarian Alan Frumin handed Democrats a major victory Monday night, beating back a GOP push to declare a key tax proposal in the health care bill out of order.

After hearing arguments on both sides, Frumin said that Democratic plans to push back an excise tax on so-called Cadillac insurance plans until 2018 was within the purview of budget rules allowable under the filibuster-proof reconciliation process. The GOP had challenged the language on the grounds that it violated a 1974 budget law because of its impact on the Social Security statute, and was thus subject to a point of order that would doom the bill in the Senate.

Now Republicans say there are a series of other challenges they plan to levy against the bill in the coming days, and believe there is still a chance to knock out the Cadillac tax by arguing it violates the so-called Byrd rule, named after Sen. Robert Byrd (D-W.Va.), which states that extraneous provisions not related to the budget can be stripped from reconciliation packages. Frumin has not yet ruled on that objection.

http://www.politico.com/news/stories/0310/34840.html

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