Posted at: 01/01/2013 11:56 PM
Updated at: 01/02/2013 12:02 AM
By: Amanda Ciavarri
House representatives worked late Tuesday night to get a deal done that would avert the effects of the fiscal cliff.
The Senate was able to come to agree overnight, but the bill still faced a major hurdle: the House of Representatives. Republicans said the deal doesn't do enough to stem spending and cut the 16 trillion debt. While most democrats like it because it raises taxes on those making $400,000 and it prevents tax increases on the middle class.
Members of the House say Tuesday has been like a rollercoaster with many twists and turns. The deadline has passed but both sides are working on Tuesday night to get a deal done. A deal that would have a major impact on the country and the Rochester area.
News10NBC spoke with Brighton Securities President and CEO George Conboy about the pending resolution. He says even if a deal is passed, the compromise still might not be a good thing. Though it would avoid the cliff, he says there are still spending cuts that need to be made.
"The bill on the table, right now, does allow for taxes to rise," says Conboy. "It doesn't address spending cuts, it actually increases spending."
That's where Conboy says the problem lies: the lack of spending cuts.
"The current bill causes a couple of small problems," says Conboy. "Number one there is uncertainty because only half of it gets done. Tax increases and the spending cuts are put off."
But if the House is unable to agree with the resolution, Conboy says that might not be a horrible thing.
"If the legislation isn't passed we will end up with spending cuts and tax increases across the board," says Conboy. "In the end it might not be such a bad thing because at least something will get done."
Even if the House passes the bill, Conboy says there are still things that need to be worked out.
"If Congress can actually come back in sixty days and make those spending cuts then in the end it might just work out," says Conboy. "But one gets a little suspicious when Congress says we'll do something today and we will wait and do this later. Sometimes later never comes."