Obama Hails 'Cliff' Deal, Warns of Next Fiscal Fight

Minutes after the House of Representatives approved a bipartisan Senate deal to avert the "fiscal cliff" and preserve Bush-era tax cuts for all Americans making less than $400,000 per year, President Obama praised party leaders and wasted little time turning to the next fiscal fight.

"This is one step in the broader effort to strengthen our economy for everybody," Obama said.

Obama lamented that earlier attempts at a much larger fiscal deal that would have cut spending and dealt with entitlement reforms failed. He said he hoped future debates would be done with "a little less drama, a little less brinksmanship, and not scare folks quite as much."

But Obama drew a line in the sand on the debt ceiling, which is set to be reached by March.

"While I will negotiate over many things, I will not have another debate with this Congress over whether they should pay the bills for what they've racked up," Obama said. "We can't not pay bills that we've already incurred."

An hour after his remarks, Obama boarded Air Force One to rejoin his family in Hawaii, where they have been since before Christmas.

AP Photo/Charles Dharapak

House Republicans agreed to the up-or-down vote Tuesday evening, despite earlier talk of trying to amend the Senate bill with more spending cuts before taking a vote. The bill delays for two months tough decisions about automatic spending cuts that were set to kick in Wednesday.

A majority of the Republicans in the GOP-majority House voted against the fiscal cliff deal. About twice as many Democrats voted in favor of the deal compared to Republicans. One hundred fifty-one Republicans joined 16 Democrats to vote against the deal, while 172 Democrats carried the vote along with 85 Republicans.

The Senate passed the same bill by an 89-8 vote in the wee hours of New Year's Day. If House Republicans had tweaked the legislation, there would have been no clear path for its return to the Senate before a new Congress is sworn in Thursday.

The vote split Republican leaders in the House. House Speaker John Boehner, R-Ohio, voted yes, and so did the GOP's 2012 vice presidential candidate, Rep. Paul Ryan, R-Wis.

But House Majority Leader Eric Cantor, R-Va., the No. 2 Republican in the House, voted no. It was his opposition that had made passage of the bill seem unlikely earlier in the day.

The deal does little to address the nation's long-term debt woes and does not entirely solve the problem of the "fiscal cliff."

Indeed, the last-minute compromise -- far short from a so-called grand bargain on deficit reduction -- sets up a new showdown on the same spending cuts in two months amplified by a brewing fight on how to raise the debt ceiling beyond $16.4 trillion. That new fiscal battle has the potential to eclipse the "fiscal cliff" in short order.

"Now the focus turns to spending," said Boehner in a statement after the vote. "The American people re-elected a Republican majority in the House, and we will use it in 2013 to hold the president accountable for the 'balanced' approach he promised, meaning significant spending cuts and reforms to the entitlement programs that are driving our country deeper and deeper into debt."

Republicans hope that allowing the fiscal cliff compromise, which raised taxes without an equal amount of spending cuts, will settle the issue of tax rates for the coming debates on spending.

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Helping VA rehabilitate those with multiple wounds of war

Micaela Cornis-Pop oversees more than 110 rehabilitation facilities around the country, helping the Department of Veterans Affairs (VA) stay at the forefront of developments in treating traumatic brain injury and other medical injuries and issues facing injured veterans and military service members.

With the increase in battlefield survival rates of military personnel serving in Iraq and Afghanistan, service members live with more complex casualties, which led the VA to coin the word “polytrauma” to describe multiple injuries to one person, the most prevalent of which is traumatic brain injury, but also can include post-traumatic stress disorder, multiple amputations, burns, auditory and visual impairments and mental health issues.

In 2005, Cornis-Pop helped conceive, develop and implement the VA’s Polytrauma System of Care, an integrated network of facilities that provide specialized programs to help wounded men and women recover, and move from acute care to outpatient rehabilitation and reintegration into the community. She now leads and manages the system, developing policies and procedures and monitoring their implementation.

“We have a direct impact on how health care is delivered and is impacting veterans and service members, and that is tremendously gratifying,” said Cornis-Pop, national program manager of the Polytrauma System of Care at the Veterans Health Administration, Rehabilitation and Prosthetic Services, at the VA.

She also is responsible for providing education opportunities for VA health care providers who treat traumatic brain injuries. And the system works with another 39 VA locations that provide some, but not all elements of comprehensive polytrauma rehabilitation care, to define the care those facilities can provide and help make the decision when to refer patients to another level of care.

In addition, Cornis-Pop was the lead author and editor of a “massive project” to publish a 166-page book that came out in April 2010, which serves as an accredited independent study course on traumatic brain injury for members of VA health care teams around the country, said Joel Scholten, director of Special Projects at the Physical Medicine and Rehabilitation Program Office (PM&R), which manages the Polytrauma System of Care. Nearly 12,000 clinicians have completed the course between April 2010 and July 2012, using either the book or a Web version of it.

Cornis-Pop “has the innate ability to pull people together and get focused on a task and think creatively, and, most amazingly, develop an end product that is useful and veteran-centric,” Scholten said. “She develops programs and projects that have been sustained because they are clinically relevant. It’s not just policy that is developed and sits there.”

Dr. David Cifu, national director of the PM&R office, not only relies on Cornis-Pop to coordinate the care programs around the country but also to respond to outside requests for information, including from Congress. “She’s the person who makes it all happen,” he said. “She doesn’t care about getting credit. She just gets things done. That’s gold.”

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Football: Brazil starlet Lucas relishing PSG challenge

DOHA: Brazilian international midfielder Lucas Moura said Tuesday he is ready to embrace the "challenge" at an evolving Paris Saint-Germain.

Lucas, 20, signed from Sao Paulo in the summer on a four-and-a-half-year deal worth 40 million euros as PSG held off competition from the likes of Manchester United and Real Madrid to snare a player hailed as one of the bright hopes of the Brazilian team.

"It's a real challenge for me," said Lucas, who has scored three goals in 22 appearances for Brazil.

"PSG is in full evolution. (Sporting director) Leonardo helped me a lot to take the decision to sign when I could have continued with my former team in Brazil until season's end.

"It's a very important step in my career. There are stronger competitions in Europe. PSG has a long history with Brazilian players and I hope I'll be able to write a new page in this history."

PSG president Nasser al-Khelaifi added: "We're very happy to start the year with one of the world's best players."

Lucas, who has joined his new teammates at a training camp in Qatar, could make his debut in a friendly against Qatari champions Lekhwiya on Wednesday, four days before PSG's French Cup round-of-64 match against Arras in Calais.

Khelaifi said the club was not planning to recruit any more players in the January transfer window, adding however that "anything could happen".

"We've got a great team with some great players, I don't think we need to recruit," he said.

"We've got a month ahead of us. For the moment, we're not planning on recruiting anyone but I don't know, there could be injuries, anything can happen."

Khelaifi added: "PSG today wants to build a big European club and place itself among the best in Europe and the world.

"We have to spend money for that and act like the other big clubs. If we hadn't have spent this much, we wouldn't be at this level."

- AFP/fa

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High speed train on Delhi-Mumbai route on track with speed as high as 200 km per hour

NEW DELHI: Railways today expressed optimism over progress in its plans to run passenger trains on busy Delhi-Mumbai corridor at 200 km per hour and launching for the first time train sets services on shorter routes.

Maintaining that global crisis is coming in the way from achieving higher growth, it said its earnings have, however, gone up by 20 per cent this fiscal.

Chairman Railway Board Vinay Mittal said even though there are several financial hurdles to overcome for materialising the high-speed corridor project, they are working towards achieving the objective of running train at 200 km per hour on Delhi-Mumbai route.

"Japan is involved in the study of the high speed train on Delhi-Mumbai route and things are progressing well," Mittal said here but did not give any time frame for its implementation.

Currently Rajdhani trains are expected to run at a maximum speed of 100 km to 120 km per hour while other express trains are running at an approximate speed of 80 km per hour because of the dense traffic condition.

Asked about the proposed train set project which will reduce travel time, he said that it was being studied but it will be launched in a limited scale in some Shatabdi routes.

However, on the proposed project on bullet train which will travel at 300 km per hour, he said "it is a long way to go as it involves heavy funding."

Even though railways' finances remain a big challenge, he said the bridge gap funding of Rs 3000 cr has been paid back with interest to Finance Ministry.

He said the foggy condition over north India have affected revenue earnings and the poor market condition led several of its rakes to lie idle.

Expressing optimism over the increased fund allocation, he said plan allocation in the 12th Five-Year Plan to railways has been increased to Rs 1.94 lakh crore from the Rs 77,000 crore in the 11th Five-Year Plan.

"Steps are being taken to curb expenditure as there is a need for fund renewal of assets and safety upgradation," he said.

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Space Pictures This Week: Ice “Broccoli,” Solar Storm

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  Happy Trails

  Photograph by Alex Cherney, TWAN

  Amateur astronomer Alex Cherney captured these star trails as they blazed above Lake Tyrrell, a salt lake in Victoria, Australia in October 2011 and posted to The World At Night website December 25, 2012.

  (See pictures of another Australian salt lake, Lake Eyre.)

  Published December 31, 2012

  
  











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  Tokyo From Space

  
  Image courtesy DLR

  The sprawling Japanese capital Tokyo looks like a funky computer chip in this image taken by Germany's Earth-observing satellite TerraSAR-X and released December 20.

  Launched in 2007, the satellite's radar sensors map Earth from 319 miles (514 kilometers) up in a near-polar orbit.

  Published December 31, 2012

  
  











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  Extreme View

  
  Image courtesy SDO/NASA

  NASA's Solar Dynamics Observatory snapped this extreme ultraviolet view of an active region on the sun as it rotated into view from December 16 to December 18. Ultraviolet light makes it easier to trace the whorls and loops created by superheated gas, or plasma, and the sun's magnetic field lines.

  Active solar regions such as this create space weather that, when aimed at Earth, can disrupt satellite communications and electronics. (See more pictures of solar activity and space weather.)

  Published December 31, 2012

  
  











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  Saturn’s Dark Side

  
  Image courtesy SSI/Caltech/NASA

  This image of the unlit side of Saturn's S rings, released December 24, was taken with visible light by NASA's Cassini spacecraft.

  The shadow of Saturn's innermost major moon, Mimas, is visible as a black oval south of the rings' shadow. For those with completely dust-free computer monitors, Janus, another Saturnian moon, is visible as a tiny white speck above the planet's north pole. (Learn about Saturn's major moons.)

  Published December 31, 2012

  
  











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  A River Runs Through It

  
  Image courtesy ESA/JAXA

  The European Space Agency released this picture—taken by Japan's satellite ALOS—of Italy's longest river on December 14.

  The Po river and its surrounding fields divide Italy into its northern and southern regions. The Japanese used ALOS, which they lost contact with in late April 2011, to generate precise land maps, monitor disasters, and conduct resource surveys. (Read an excerpt from National Geographic magazine about the Po river.)

  Published December 31, 2012

  
  











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  Glacial "Broccoli"

  
  Image from DigitalGlobe/Getty Images

  The Moshniy glacier, located on the Russian archipelago Novaya Zemlya in the Arctic Ocean, calves chunks of ice and debris into a pattern reminiscent of broccoli in an image released December 20.

  Novaya Zemlya was a sensitive military area during the Cold War, and was also the site of the most powerful nuclear device ever detonated. The energy released by the 50-megaton "Tsar" bomb was ten times that of all the explosions set off during World War II.

  Published December 31, 2012

  
  











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  Image courtesy Caltech/SSI/NASA

  Published December 31, 2012

  
  

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Senate Approves 'Fiscal Cliff' Deal, Sends to House

Two hours after a midnight deadline for action, the Senate passed legislation early New Year's Day to avert the so-called fiscal cliff with an overwhelming vote of 89-8.

Senate passage set the stage for a final showdown in the House, where a vote could come as early as today.

"While neither Democrats nor Republicans got everything they wanted, this agreement is the right thing to do for our country and the House should pass it without delay," President Obama said in a statement shortly after the vote.

"There's more work to do to reduce our deficits, and I'm willing to do it. But tonight's agreement ensures that, going forward, we will continue to reduce the deficit through a combination of new spending cuts and new revenues from the wealthiest Americans."

The bill extends Bush-era tax cuts permanently for individuals making less than $400,000 per year and couples making less than $450,000 but allows the top marginal tax rate on incomes above those levels to rise to 39.6 percent.

Capital gains taxes would rise to 20 percent from 15 percent.

The measure would raise the estate tax from 35 to 40 percent for estates larger than $5 million, prevent the alternative minimum tax from hammering millions of middle-class workers and extend unemployment benefits for one year.

'Fiscal Cliff': Lawmakers Scramble for Last-Minute Deal Watch Video

Lawmakers also decided at the last minute to use the measure to prevent a $900 pay raise for each member of Congress due to take effect this spring.

The steep "sequester" budget cuts scheduled to go into effect with the New Year -- a $1.2 trillion hit to defense and domestic programs -- would be postponed for two months.

"I've said all along our most important priority is protecting middle-class Americans, this legislation does that," Senate Majority Leader Harry Reid, D-Nev., said early this morning prior to the vote.

The deal at hand does little to address the nation's long-term debt woes, however, and does not entirely solve the problem of the "fiscal cliff."

Indeed, the last-minute compromise -- far short from a so-called grand bargain on deficit reduction -- could set up a new showdown on the same spending cuts in two months amplified by a brewing fight on how to raise the debt ceiling beyond $16.4 trillion. That new fiscal battle has the potential to eclipse the "fiscal cliff" in short order.

Reid said he is "disappointed" they were unable to achieve a broader deal but that the compromise was necessary.

"We tried," he said. "If we did nothing, the threat of a recession is very real."

Speaking after Reid, Senate Minority Leader Mitch McConnell, R-Ky., called the deal an "imperfect solution" and noted this should not be the model on how things get done in the Senate.

McConnell also thanked Vice President Joe Biden, who visited Capitol Hill late Monday night and brokered the deal with Senate Republicans.

The measure must now move to the Republican-led House.

Five Senate Republicans and three Democrats voted against the plan, but the large margin of passage was seen as boosting the bill's prospects in the House, even though fiscal conservatives were poised to vehemently oppose the deal when it comes to the floor for a vote.

House Speaker John Boehner of Ohio said the House would not vote on any Senate-passed measure "until House members, and the American people, have been able to review" it.

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Syria backs plan for talks to end conflict

DAMASCUS: Syria's government on Monday welcomed any initiative for talks to end bloodshed in the country, after UN-Arab League envoy Lakhdar Brahimi said he had a peace plan acceptable to world powers.

The Damascus regime's stand, expressed by Prime Minister Wael al-Halaqi, came amid a flurry of diplomatic activity led by Brahimi to find ways to end the 21-month conflict.

But the violence still raged, with activists reporting the gruesome discovery of dozens of tortured, headless corpses in the northern Damascus district of Barzeh and adding that nearly 90 percent of the 45,000 people killed so far died in 2012.

"The government is working to support the national reconciliation project and will respond to any regional or international initiative that would solve the current crisis through dialogue and peaceful means and prevent foreign intervention in Syria's internal affairs," Halaqi told parliament.

He said the revolt against the regime of President Bashar al-Assad must be resolved only by the Syrian people, "without external pressures or decrees."

Halaqi said the country was "moving toward a historic moment when it will declare victory over its enemies, with the goal of positioning Syria to build a new world order that promotes national sovereignty and the concept of international law."

His remarks came after Brahimi said the conflict was worsening "by the day."

Speaking after talks in Russia, the veteran Algerian troubleshooter said on Sunday he had crafted a ceasefire plan "that could be adopted by the international community."

"I have discussed this plan with Russia and Syria... I think this proposal could be adopted by the international community," Brahimi said, without going into detail.

"There is a proposal for a political solution based on the Geneva declaration foreseeing a ceasefire, forming a government with complete prerogatives and a plan for parliamentary and presidential elections," he said, referring to a peace initiative world powers agreed to in June.

That plan was rejected by Syria's opposition, which insists Assad must go before any national dialogue can take place.

Russia and China have so far vetoed three UN Security Council draft resolutions seeking to force Assad's hand with the threat of sanctions.

The violence has escalated, with activists reporting the discovery of 30 tortured bodies in Damascus.

"Thirty bodies were found in the Barzeh district. They bore signs of torture and have so far not been identified," said the Syrian Observatory for Human Rights, which relies on medics and activists on the ground in compiling its tolls.

The Syrian Revolution General Commission, a grassroots network of anti-regime activists, gave a higher estimate of 50 bodies, saying "their heads were cut and disfigured to the point that it was no longer possible to identify" them.

These reports could not be verified independently because of restrictions on international media.

The Observatory said three civilians were killed on Monday in air attacks on the town of Douma northeast of Damascus, while fierce clashes erupted in Daraya southwest of the city.

In Idlib province, fighters from Al-Nusra Front -- blacklisted by Washington as a terror group -- and other rebels who are besieging the Wadi Deif base also clashed with troops at a nearby military post, the Observatory said.

It said at least 160 people were killed on Sunday, including 78 civilians, and that nearly 90 percent of the 45,000 people killed so far died in 2012.

It put the 2012 death toll at 39,362 people, including 28,133 civilians.

On Sunday, regime forces unleashed a fierce offensive in the central city of Homs after overrunning Deir Baalbeh, a key neighbourhood, a day earlier in fighting which left dozens dead.

A video released by the Syrian Revolution General Commission showed the bodies of nine male victims from Deir Baalbeh lying on the ground, their faces bloody and mutilated.

- AFP/xq

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Armed forces cancel New Year parties, Sonia Gandhi to shun celebrations

NEW DELHI: The Armed Forces called off their Year's Eve parties while Congress president Sonia Gandhi will shun celebrations as the country numbed by the death of the gang-raped girl is set to usher in 2013 in a sombre mood.

Several hotels, clubs and residents associations in Delhi have decided to either cancel planned festivities or scale back parties in a show of sympathy for the 23-year-old physiotherapy student who died last Saturday in a Singapore hospital after she grimly fought for her life for nearly two weeks.

Several young protesters assembled at Jantar Mantar on a day when the Capital witnessed the season's coldest day at 13.3 degree Celsius said there will be no revelries for them and that they would light candles to express their solidarity with the victim.

Reports of toned down celebrations by business houses and star hotels were also coming in from across the country.

Defence Ministry and the three Services have decided against organising their New Year bashes, Defence Ministry officials said. Like on previous occasions, defence minister A K Antony will have a quiet new year this time too.

In view of the December 16 gang-rape incident here, Antony had not even accepted birthday wishes from anyone on December 28.

The Army has issued advisories to all formations that they should not organise New Year parties, Army officials said.

The Navy and the Indian Air Force have also told their formations not to organise any bashes this year in view of the death of the gang-rape victim.

"Sonia Gandhi has appealed to partymen and well-wishers against coming to her to extend New Year greetings in the wake of gang-rape incident," party general secretary Janardhan Dwivedi said.

Prime Minister Manmohan Singh and Gandhi were present at the airport when the mortal remains of the victim were flown in here from Singapore in the small hours yesterday. Both Singh and Gandhi had spoken to the family members and consoled them.

"December 28 is close to New Year. Normally, we wish each other but not so this time as our thoughts are with the young woman...," she had told reporters on the 127th Foundation Day of Congress at AICC headquarters here on Friday.

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Deal or No Deal, 'Cliff' Debate Will Linger Into 2013

Dec 31, 2012 6:00am

AP Photo/ Evan Vucci

Analysis

The fiscal cliff is just the beginning.

Regardless of whether Democrats and Republicans reach some kind of last-minute bargain to avoid the worst effects of tax hikes and spending cuts, the disaster that has been the fiscal cliff negotiations has broad implications for the Washington agenda in 2013 and beyond.

The tone has been set for the new year, and possibly for the rest of President Obama’s time in office: Washington’s divisions are the only point that matters anymore. Call if dysfunction or call it just plain broken, just don’t call it capable of even small legislative moves that involve compromise.

Hopes of a grand bargain on fiscal policy, involving entitlement spending, tax rates, and the debt ceiling, disappeared weeks ago. All that’s left are fading possibilities involving the delaying portions of tax increases and restoring some planned cuts.

Those are moves that actually make the deficit outlook worse. More saliently, they should be the politically easy things to get done, yet Congress is paralyzed and the president appears powerless to do anything meaningful to prod action.

The other items Obama ticked through this weekend as part of his second-term agenda – immigration reform, energy and environmental policy, infrastructure investments, gun control – look like dreams in this environment.

The causes are manifold, and the blame doesn’t have to be equally distributed for the ramifications to be real. The fact is that Republicans – who will control at least one house of Congress for at least half of the president’s second term – do not now and may not ever see sufficient political benefit to offer the types of concessions Democrats are insisting on.

If an election couldn’t change that, there’s precious little left that can. Name the issue and it’s all too easy to see similar dynamics derailing meaningful reform.

Washington is now broken beyond the point where bold individual leadership can even fix it. The forces at play are bigger than the ability of the president, House Speaker John Boehner, or any other person or persons to turn them around without the certain promise of a revolt in the party ranks that would leave them out of effective power.

The cliff metaphor suggests a jump into a void, but at least one that has a bottom. Yet as the nation watches this slow-motion wreck, the depths of dysfunction have yet to be fully explored.

SHOWS: World News

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Hotel occupancy rates rise during festive period

SINGAPORE: Despite the grim economic outlook, occupancy rates of hotels and budget hostels rose during the festive period this year.

Hotels which Channel NewsAsia spoke to say on average, room occupancy rates are more than 90 per cent.

Tan Ningxi, marketing communications manager at Royal Plaza on Scotts said: "During this festive period, our business travellers will be home for the holidays. So we'll have more leisure guests. These leisure guests come mainly from Asia Pacific and there are also some locals. There are about 5 to 10 per cent more of the locals and they're usually here for the countdown parties, shopping, or to see the Christmas light-up."

At a hotel located further from town, there are twice as many locals staying during the festive period, compared to non-peak periods.

Budget hostels have also seen occupancy rates rise by some 20 per cent.

As many venues at restaurants and hotels are may be fully booked at the end of the year, a youth hostel has decided to rent out its balcony.

This gives its guests or members of the public another option for events or gatherings.

With the arrival of more tourists and changing minds of locals, those in the hospitality sector feel demand for rooms during the festive season will remain strong.

- CNA/xq

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