Reply #3: he's assuming that would be dead on arrival in either House

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Senate leaders are looking to find a way to isolate the middle-class tax cuts - get them past a cloture vote. If that fails, they'll end up compromising right along the lines the President is negotiating. They are, of course, free to set their own course. One leads to compromise, the other threatens to end the breaks - something the majority of neither side will likely let happen.