Senate Minority Leader Mitch McConnell, R-Ky., is now proposing that, essentially, both sides give in to the other in the payroll tax fight. Under his plan, the House would pass the Senate’s two month payroll tax extension as long as the Senate agrees to appoint negotiators to work on a full-year compromise before the year is up. Senate Majority Leader Harry Reid, D-Nev., has said he wouldn’t enter into negotiations until the House passed the two-month extension, so it’s not impossible that this could happen. The problem is, if the House extends the payroll tax until the end of February, it’s not clear why Democrats would be motivated to make consessions toward the one-year extension in the next 10 days, knowing they’ll have an additional 60 days to fight for a better deal.
In any event, here is the McConnell statement:
