Joint Select Committee On Deficit Reduction Update

The US Joint Select Committee on Deficit Reduction (JSCDR) is 30 days away from its November 23, 2011 deadline for producing a deficit reduction plan and referring it to Congress for an up or down vote by December 23, 2011. There is much speculation as to how the JSCDR will arrive at this decision, or if there is even enough support within the Select Committee to agree on a single plan.

There is also concern that there will not be enough time within the next month to effectively develop a comprehensive plan, especially given the complicated nature of potential tax and entitlement changes. The desire does seem to exist among Committee Members to reach an outcome and avoid sequestration. However, there is also a growing belief in Washington that the JSCDR may attempt to stretch its December 23 timetable. Outlined below are three potential paths that the Select Committee may take to discharge its duties under the Budget Control Act of 2011 (BCA).