New US Congress set to convene

The new US Congress convenes today under pressure to deal with a worsening economy by passing a stimulus package that Barack …

The new US Congress convenes today under pressure to deal with a worsening economy by passing a stimulus package that Barack Obama could sign into law soon after being sworn in as president.

Obama, who takes office on January 20th, has vowed to work with Republicans as well as fellow Democrats to reach an agreement on a package that may cost up to $775 billion (€572 billion) over two years to stem a deepening recession.

"We are in a very difficult spot," Obama told reporters between meetings with congressional leaders on Capitol Hill yesterday. "The situation is getting worse."

Despite such challenges as the ailing economy, two wars and an estimated 46 million Americans without health insurance, the opening day of Congress promised to be something of a victory party for the Democrats who expanded their control of the Senate and House of Representatives in the November election.

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Newly elected members will be sworn in, and Nancy Pelosi, a California Democrat, will be elected to a second term as House speaker, which makes her the top ranking woman in American politics.

The Democratic celebration will be marred, however, with messy fights in the Senate over two would-be lawmakers.

Senate Democrats vowed to block, at least for now, the seating of a fellow party member, Roland Burris of Illinois, who was appointed by a governor engulfed in scandal.

And Senate Democratic leader Harry Reid put off an effort to swear in comedian Al Franken of Minnesota, also a Democrat, who is facing a legal challenge of his razor-thin victory.

If both were sworn in, the Democrats' majority in the 100-member Senate would swell to 59 -- their biggest margin in 30 years and just one short of the needed 60 votes to end Republican procedural roadblocks.

But with the possibility of court battles, back-room negotiations, Senate debates and procedural hurdles, it likely will take time to clear the way for Burris and Franken.

Democrats had hoped to have a fiscal rescue package ready for Obama to sign into law when he takes office. They now admit it will take at least a month or so longer.

Republicans -- who have been resistant to calls by Obama for increased spending on basics such as roads, bridges and health care -- said they were heartened that he wants his rescue package also to include up to $310 billion (€229 billion) in tax cuts for businesses and the middle class.

"There will be widespread Republican enthusiasm for having a significant percentage of the package be tax relief," said Senate Minority Leader Mitch McConnell of Kentucky. While the economic stimulus package is the first priority in Congress, there are scores of others.

Democrats aim to withdraw American troops from Iraq and redeploy many of them to the war in Afghanistan, expand health care, bolster regulation of the troubled financial services industry and develop alternative energy sources while curbing pollution that contributes to global warming.

Reuters