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July 28th, 2011
04:50 PM ET

BLITZER’S BLOG: Obama’s chief of staff is confident there will be a deal

Washington (CNN) - White House Chief of Staff William Daley is still optimistic that some sort of deficit crisis deal will be worked out by Tuesday’s Treasury-imposed deadline. But he says he’s not so certain about the future of America’s AAA credit rating.

In an exclusive interview with me at the White House, Daley said, “The four leaders of the Congress have said that the debt ceiling will be extended” and he’s “confident that they will come together.”

However, Daley told me, “no one can guarantee” that the ratings agencies will keep America’s credit rating the same. He says they will be watching closely what Congress does in the coming days.

The stakes are clearly enormous. Daley confirmed that the Treasury Department is completing contingency plans on which bills to pay if there’s no deal.

He did insist that it’s critical that the Congress avoid going through another grueling credit ceiling debate within a few months. That’s why the president was so opposed to House Speaker John Boehner’s latest proposal in the House.

Daley, who endorsed Senate Majority Leader Harry Reid’s separate proposal, told me it’s been “a few days” since President Obama spoke with Boehner: “The truth is it looks as though the speaker is rather engaged in putting together his bill and getting the votes for his bill.”

The president’s chief of staff said that after the House and Senate wrap up their respective votes today and tomorrow, the two chambers will have to come together to work out a deal. That’s essential, he said, to ensure “the full faith and credit” of the United States.

The interview airs today in The Situation Room 5 p.m. ET.


RELATED STORY: Daley: Boehner and the president haven't spoken

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Filed under: Debt • Deficit • President Obama • White House • Wolf Blitzer
soundoff (58 Responses)
  1. lynn thomas

    Why aren't Americans upset that Canada and the World consider Americans Complete Morons?



    The entire world is laughing at you.




    Bet you cant say that on tv. Even though it is true.

    CNN must ShoW stupid moron Americans the tax rate for the rich compared to other countries. Make Graphs, Charts, whatever it takes to teach Moron Americans.

    Lynn Thomas

    Regina, Saskatchewan, Canada


    August 1, 2011 at 9:33 pm |
  2. Jacob Hershey

    Why are the Earmarks left out of the budget cuts. ? ?? They deserve to be cut out and the representatives sent home for the duration.

    August 1, 2011 at 4:57 pm |
  3. Perk

    Wait ! ! Stop the Great Depression of 2011....We don't have our Flapper outfits that say made in the USA ! Where is your Coquette ? "The Merry Go Round Broke Down" and Josephne Baker did the Deja Vo ! Mean while, the politicians still haven't run the numbers with this on going economic deal ! Find the combination to the economic" Looney Tunes" political economic crisis and we don't give a rats ,cats what political party you're with ! The Charleston step is on ! Our troops don't get paid and our Social Security Offices are closing early. Alabama small towns declare bankruptsy and good citizens are losing their pensions !

    July 31, 2011 at 6:00 pm |
  4. Perk

    Mr. Blitizer asked the best question I've heard yet ! Why aren't they all in one room together working this out ? All politicians report to Obama's office and get your economic plans on the table ! We the people are going to pick them all apart like buzzards and will not be left chewing the bone on this one ! Team Up Now for the Economic Combination to unlock the solution ! Harry Reid's Economic Plan,Boehner's Plan,Gang of 6,Penny Mack and the some smart bipartisian economists ! Move em in and move em out little Pilgrims ! What a freakin clusterbuster, dumb and disorganized situation ! Harry Reid says they have until 12:00 tonight to review his economic plan ? Guess we all turn into mice and the carriage to a pumpkin ! We've lost 700 billion dollars the last few days over this with stock values,IRA's and 401's. Poof and it's gone !No one even knows what's in this economic cluster of political confusion ! Open for the press and we have a right to know what they're doing ! It's not their money and it's the people's money ! Let's see the room they're working in all together ! Run the numbers by the American people ! We have hope ! Lock the door and don't let them out until they team up and fix it ! If checks don't get to the military these politicians are all fired ! Won't matter what party they're with ! "Dancing In The Streets".....what a song ! We'll play it Aug 2nd ! Every survival kit needs a sense of humor ! The 70's generation has a lot to look foward to in their old age ! Yeah right ! A Great Depression and no jobs cause we've sent them all to China ! Time to buy what says Made In The USA ! Is there anything left we still can make here ? NAFTA needs serious revision ! American citizens will make their point one way or another and especially when they vote. This is like nothing I've ever seen before and to weird ! The economic circumstances created ? Invoke the 14th Amendment ? Do something and no default ! Where is the meeting with everyone there that has an economic plan ? Team Up Washington or you'll all be fired !

    July 30, 2011 at 10:01 pm |
  5. stephanie

    It seems to me the crux of the problem is this: the American public is more than willing to make sacrifices to fix the current economic mess it's just that we have zero confidence that the knucklheads in washington will fix the problem and instead have every expectation that they will act in their own political self interest and make matters worse. The presedent

    July 29, 2011 at 5:27 pm |
  6. Raymond from Puerto Rico

    I I 'am still confident that this is going to be worked out before Tuesday. The problem is that the president and the republican congress are playing politics. They are concern about what are there approval ratings and about there re-election. I think that we should get this done as soon as possible and start talking about other problems that Americans face like job creation and a bad economy.

    July 29, 2011 at 4:55 pm |
  7. Nexialist

    The real battle isn't Democrat vs. Republican, but government/corporate partnership vs. the people. If the establishment politics ever lose the narrative, the country has a chance to return to greatness. Tea Party voters have it figured out. Break the corruption or be primaried.

    July 29, 2011 at 3:51 pm |
  8. John Hickey

    Our beloved ruler Barrack is foolish yet. He has no plan, other than my way or the highway. I thought that bills offered by the House were countered by the Senate and then the bill was subject to reconciliation. How can that happen when that little weasel Harry tables anything delivered from the House.

    July 29, 2011 at 3:36 pm |
  9. jane

    This mess reminds me of kids in the schoolyard, fighting over games...And this game is realli not fun at all...I have a question...No one seems to know who will be paid...Some joke, right? like realli, woh is important to the government wheels turning and turning is realli what is beinbg said!!! BUT;.. the "disability checks" are always delivered on or right before the first of each month...Now, if my old mind of sixty-seven years, serves me right, that time is NOT, in the default-line of non-reception!!! Is It!!!! so, seeing as how by laws we are still entitled, to this by, judgements of the courts, and seeing as how we are not within the relm of the default dead-line, why has it been mentioned that we will not receive our checks, if there is no "deal", made, prior to the dead-line? Sorri, but i as one who is disabled and a senior citizen also, have the right to my check on the first of August, and so are others in my condition...We should not be a pawn in this lunicy...Politics is a dangerous game, and there are virtually, peoples' lives depending on this one check to come on the first or before...Again, this check does not fall into the default lines...Maybe laws are being broken when they do not show up in the mail..And, it should be considered a default by us, against the government, who are looking to what is our legal right to have this payment... Someone should approach the governmental offices, and remind them of this!!!!!

    July 29, 2011 at 1:40 pm |
  10. jaymee

    Have we forgotten here that the voters have gotten us into this Tea Party mess and crippled their own party? This has got to come front and center before 2012. This is just a fraction of how government will be if we do not get them out.

    July 29, 2011 at 12:54 pm |
    • Greg

      There was a bill which passed the House. The democrats voted it down. Apparently, they thought breaking the bank was more important than balancing the budget and maintaining the country's credit rating. The Tea Party is not to blame here. The Democrats refused to compromise and are intent on driving the country further into debt.

      July 29, 2011 at 3:25 pm |
  11. Moses

    Note: The negative interest rates are considering the inflation created by these banks (in the form of their cartel arraignment, AKA The Fed.)

    July 29, 2011 at 7:17 am |
  12. Moses

    His problem is probably that he was educated in the public school system. Fear-mongering by the Dems. now. No surprise there. First off, no matter what happens, debt related the economy is not going to recover for quite some time. Also considering that fact that the 10 largest banks own 77 per cent of America's debt (private and public), who is going to benefit from the continued debt expansion? Morgan Chase, Citi, etc. The same crooks who who were beneficiaries of TARP, bail-outs, etc. are going to continue to get rich off the average Americans' back. Raising their taxes doesn't matter, because the money they receive both directly and indirectly (think FED's discount window @ a negative interest rate) is the cause of the problem. The debt bubble is going to collapse, and better now, than pushing it along any further.

    July 29, 2011 at 7:14 am |
  13. Ralph

    These so called TPP/ Tea Party "Patriots" are actually selfish, fools, who blindly follow dogmatic extremists. Unless these TPP's are in the top 2% in income, they will be slaughtered, (along with the rest of the country), by the extremist fringe of the Republican party if they get their way.

    July 29, 2011 at 6:29 am |
  14. Vonthello

    First and foremost the President has to have the worst desired position of any job in the world and has shown how different a man regardless of color but a real man and father and husband can withstand pressure. But pressure from the people that you're supposed to get along with and work with while millions of people are on edge about the future? As every second to min, hours and days pass why is it so difficult to do what's right for the people of this country? Why are kids not getting the proper education? Why are our seniors being neglected? It's wonderful to be rich, but I rather have class and dignity, money can't buy that.It's like all of the BS has caught up to Washington and it's so called people who really don't care about this country. Obama is great but the people of this country are greater than any tea party, gop, congress person, president, or whateva your title will be. WAKE UUUUUP! WAKE UUUUUUP! Dont let the people of this wonderful country suffer. If we lose, everybody loses. You guys are setting a very poor example on our youth. It feels like your the ones that's not a part of this country, but yall are running things? A bunch of non-compassionate, unsophisticated, un role model like, pompus idiots. Hope yall feel good about yourselves. The only time you guys are Happy in the House is when its WAR! Way to show what being real leaders is all about...

    July 29, 2011 at 1:29 am |
  15. Jamieson Segal

    We should be ashamed at these people in Washington and begin a national petition for term limits.Most Americans dont get it.We are owned by these people they do not represent this country they are owned by pharmacutical and oil companies n lobbyist. If this country of mostly struggling class of people do not nationally vote for 8 yr. term limits n Washinton n get those life term jerks retired this country and its people are and country will fail. Term limits people WAKE UP PEOPLE I KNOW U CARE LETS GIT UR DONE n put those guys out...

    July 29, 2011 at 12:29 am |
  16. [ Anonymous P@TRi0T (S3KShuN8) ]

    The way I see it, if there is no acceptable deal by oh, say, 5:00 PM (Eastern) on August 1st, then the President will be _forced_ to exercise Executive Privilege as _required_ by Amendment XIV. Failure to do so could cost him re-election (to say _nothing_ concerning the status of the economy or our nation's "AAA" credit rating).

    On a side note, I will be off the grid for a few days, with only sporatic (.PUB) internet access... [YAY]
    ...during this time I will be busy hacking back into an old programming project of mine that desperately needs my attention.

    July 28, 2011 at 11:27 pm |
  17. bornintheUSA

    Tent party girl Im with you. To the moron who wants to cut all programs cause he doesnt use them...obviously you didnt use our public education system either! Finance wise none of this affects me personally but morally I am outraged

    July 28, 2011 at 10:32 pm |
  18. Tea Party = Terrorist

    How can the GOP keep the countries debt under control when they can't keep their own party together?

    July 28, 2011 at 8:27 pm |
  19. Otis Herring

    The Tea Party is only good at opposing this President. Thats what got them elected this last mid-term. Now that its time to govern we see they know nothing about running a country that is a Super Power. They know nothing about running a country PERIOD.

    July 28, 2011 at 8:14 pm |
  20. jim manning

    i believe that President Obama needs to begin making a list of debts to be paid after default. At the top of the list Social Security checks because that money should be in a trust fund, then interest payments on loans if any is left then all the departments of federal government including the White Hours and staff, judges, including supreme court and their employees and at the very bottom of the list would be politicians–the senator, house of representatives along with employees of the congress and cost of running those branches of government. Of course, the senate and the house would all quit (no workey, no money), but we the people could elect a few good women and men to replace them.

    July 28, 2011 at 7:07 pm |
  21. S. Maxwell

    75% of the country support a balanced budget amendment. Tea Party Republicans have a problem have issues since the Boehner plan doesn't really balance anything. The government baseline is a 7% increase per year and the "draconian cuts" are only mild decreases in these huge increases.yet Wolf is painting tea Part republicans as recalcitrant. The president is petulant and childish. No plan . No budget by teh Senate in 800 days and yet wolf is calling the lack of vote embarassing. We know where he and CNN stands. Obams's pocket. And Caffertty only reads emails from liberals. What a joke!

    July 28, 2011 at 6:58 pm |
    • spydyee

      While I support a balanced budget i do not support holding the ability to pay the bills for the already appropriated funding hostage in the process. With regard to the remarks about Obama not giving you a budget that is crap he did give a budget, however, his budget gave all the extremists on both sides exactly what they wanted so they all in an unprecedented bi-partisan decision told the president to stick it. Personally I applaud them for this but have come to realize that Obama did this on purpose and that they missed his purpose. He showed the dems exactly what the repubs would never agree to and likewise he showed the repubs exactly what the dems would never agree to. Now the problem is that the repub/t-party crew doesn't care and is still demanding the very things that Obama proved the dems would never agree to. Compromise is not possible when you know what the other person's line in the sand is and you keep insisting on having it that way. The republican party can't even get the votes together to pass anything that that the dems will even look at even though Obama showed them through his budget that they all agreed was crap where the line in the sand was for each party. They need to pass the debt ceiling from now to 2012. Then get off their butts and clean up the tax code, maybe even pass a flat tax and reduce the bureaucracy at the IRS, and then pass a balanced budget amendment to the constitution and put it out for state ratification before the end of 2013. In the meantime they need to pass a Work For Welfare initiative where welfare recipients were put to work on infrastructure development, education improvement, and other support for state and local government agencies so long as they are able to work. Only people with specific types of hardship and disability situations would be exempted and then only one member per household could be exempted except under extreme hardship cases. Balance the budget but stop defending tax cuts for people and corporations that have income/ profits over $1M annually. No one that makes over a million a year needs the tax cuts they have been given. Our economy proves that they are not actually creating jobs so stop defending their money.

      July 28, 2011 at 7:30 pm |
      • S. Maxwell

        Obama's budget was defeated 97-0 because it was irresponsible and ridiculous. The American people want a balanced budget. The Senate has not provide da budget in over 800 days. Obama has no plan only slippery rhetoric and a desire to scare seniors for political reasons, when we all know there is enough revenue coming in to pay seniors and the interest on the debt. The Senate has done nothing. Reid's bill is phony with huge spending increases. It will still result in a downgrade in our bond rating since it does nothing to reform Washington's out of control spending. And despite CNN's propensity to ignore Obama and the Senate Democrat's failure to rein in gov spending, The failure of Keynesian spending plans that were political paybacks and the fact that we are about to implode due to irresponsible spending is ignored. Obama is a Socialist community organizer who essentially dislikes American capitalism and exceptionalism and is over his head in trem of being able to solve this mess. He has no plan, only rhetoric and simply wants a blank check and wants to get teh ceiling raised past Nov 2012 for political reasons. If teh US defaults, this will be on Obama's watch and hun around his neck in history like a albatross of epic proportions!

        July 30, 2011 at 12:44 am |
  22. franklin

    my question is will the polititions still get there paycheck ? maybe they can forfit there checks until this situation is resolved l.o.l

    July 28, 2011 at 6:44 pm |
    • spydyee

      There is actually a bill in a house committee that has bi-partisan support that is asking for Congress to be on the bottom of the list of bills paid if there is no resolution and decisions have to be made about what does and does not get paid. H.R. 2653 of the 112th congress. It has 23 co-sponsors and is in committee. Go here to learn more Contact you legislators and demand that they support this bill and move it out of committee and vote on it before the vote on the debt ceiling bill. We need them to realize that if they do not pay the country's bill they do not take home their paychecks either.

      July 28, 2011 at 7:46 pm |
  23. sammy

    Hey Wolf, get some dems on and ask them why they won't compromise? You are a very biased interviewer and you belong next to that Piers goof

    July 28, 2011 at 6:38 pm |
    • spydyee

      I am sure the dems will support a compromise they just have no actually been presented with one.

      July 28, 2011 at 7:48 pm |
      • S. Maxwell

        Piers is simply reading questions off a teleprompter designed to make Republicans look bad. never any tough questions for liberal Democrats, just regurgitation of their talking point. Reid's plan is a sham. Pot Poehner's plan to a vote Reid. Don't be scared. Stop tabling reasonable bills. Reid offers phony spending cuts. Obama has failed. The country needs a redo. CNN accepts without question that government spending we don't have is ok and reining in spending is unfair. There is an automatic 8% increase in the baseline spending every year. Democrats want power and want to give away your money to get votes. 47% of Americans don't even pay taxes. The American people have had enough and the tide is turning. Obama looks like a petulant teenager who wants his way. the fact is only about 25% of Americans agree with his liberal big government ways. States with Republican governors now have surpluses and are creating jobs!! Time for change!!!!!

        July 30, 2011 at 12:55 am |
  24. Bill

    The Republicans are acting like a bunch of deadbeat dads. If, as they claim, making the righ pay their fait share of the tax burden if "job-killing,' why hasn't their eight year old tax cut created any jobs? And remeber - the money they pay people for new jobs is tax deductible. Keep it up, Republicans, and your only constituents will be the rich. Good plan.

    July 28, 2011 at 6:33 pm |
  25. willard

    I'm belived that obama are bully his word. People are stiill complain about afracia amercian that I got check scam from afracia american but iwould like charge against obama what about afracia amercian I said mocked out of obama and afracian amercian

    July 28, 2011 at 6:19 pm |
    • vito

      What are you talking about. Please learn how to speak and write English

      July 29, 2011 at 12:52 pm |
  26. usaf2

    Blitzer!! You are so Ugly that only yu mamma loves you

    July 28, 2011 at 6:17 pm |
  27. Great Hype

    Interesting all the hype created soon to come with the 'oh so close deadline' but we 'saved' everyone at the end of the day. Now everyone involved will ask for a huge pay raise for making a decision. Perhaps they should all take 50% pay cut would be more helpful.

    July 28, 2011 at 6:11 pm |
  28. Bob Drew

    I don't think my taxes are going to down if they raise taxes on the rich, it seems to be a distraction and playing the vengance side of human nature.

    July 28, 2011 at 6:09 pm |
  29. Jana Rooke

    2 ways to help the debt and deficiet crisis:
    1) End 1974's baseline budgeting law immediately
    2) Immediately roll back all government departments budgets to 2009 levels.
    Why aren't these options ever spoken of? At this moment, we are not talking about cutting any spending, we are talking about cutting the INCREASE in spending. This is part of the UNREAL world that the politicians live within.
    GET REAL and quit all the lies and doubletalk.

    Jana in OHIO

    July 28, 2011 at 6:08 pm |
    • spydyee

      Capping spending is an excellent plan for the future budgets. Increasing the taxes on people/corporations who make over $1M per year is an excellent idea. Passing a balanced budget amendment is an excellent idea. Refusing to allow the treasury department to borrow more money to pay the bills we have already maid is a really really bad idea. Holding the ability to do this hostage to get your political agenda shoved down the throats of the people is a really really bad idea. elections have their consequences and I can promise we independents are watching and the nest major shift if something up there doesn't break is that we might actually decide to join together to kick both parties out of power and create a totally different climate in Washington. We do not have to support on party or the other. Look closely folks at the party affiliation of Bernie Sanders and Joe Lieberman should remind everyone that there is a potential for moe independent candidates to emerge and I can tell you that here in NC there is one who has announced that he will challenge Heath Shuler and I am considering opposing Patrick McHenry as an Independent. If the parties keep this up I can promise you that the Independents will com out of the woodwork and mount campaigns and possible even team together to get our names out there and mount real campaigns even if our philosophies differ because we want this pissing match in congress to stop. We can run on stopping the BS as a platform alone at this point in time.

      July 28, 2011 at 8:06 pm |
  30. Krissyandrews

    If congress cannot get this debt issue resolved, I think that we should round up everyone and I mean everyone who is unemployed, homeless on Social Security including disability pack up tents and sleeping bags and we all head to the steps of congress and start a TENT CITY to get through to these idiots so that they can see what they have done to the hard working Americans!

    July 28, 2011 at 6:07 pm |
  31. Bob Drew

    Wolf does get me fired up! this is fun.

    July 28, 2011 at 6:06 pm |
  32. becky

    Just cut all of Congress' pay.

    July 28, 2011 at 6:03 pm |
  33. chris

    DEMs should make this issue the focus of their 2012 campaign. It is winning case

    July 28, 2011 at 6:01 pm |
  34. chris

    Get these extreme kids out by 2012

    July 28, 2011 at 5:59 pm |
  35. chris

    GOP desire to see Obama out in 2012 is the reason we see this extreme few who think America belongs them to alone. But Obama is better off with his rating rising by d day

    July 28, 2011 at 5:57 pm |
  36. Nevada Silver

    Question: Polls say 72% of Americans want taxes raised on rich. Republicans say Americans don't want taxes raised. Who's right?
    from Nevada Silver, Carson City, NV

    July 28, 2011 at 5:52 pm |
    • MiamiDade

      At this point, we can trust the polls better as they are the best reflection fo the US people's opinion. The GOP is trying to manipulate and confuse the nation on a lie they have created.

      July 28, 2011 at 6:08 pm |
    • sickofitalltoo

      Wow, what a compelling poll, 72% want to take money from the other 5 or 10% that have more than they do...a true profile in courage and shared sacrifice. Along those lines; I don't use Medicare or Medicaid since I pay my own health insurance to the tune of 14k a year, let's cut those programs since they don't benefit ME, I don't collect Social Security so let's cut that program too. I don't get food stamps so yes let's kill that program...all the morons on the left know is how to take from those that do so those that don't can get a free ride...

      July 28, 2011 at 6:23 pm |
      • Zinger

        I don't use the airports, let do away with them.
        Instate highways out.
        Wall street, shut it down.
        SS I have paid into for 50 years, you take your and I will take mine.

        July 28, 2011 at 8:55 pm |
    • sickofitalltoo

      Wow, what a compelling poll, 72% want to take money from the other 5 or 10% that have more than they do...a true profile in courage and shared sacrifice. Along those lines; I don't use Medicare or Medicaid since I pay my own health insurance to the tune of 14k a year, let's cut those programs since they don't benefit ME, I don't collect Social Security so let's cut that program too. I don't get food stamps so yes let's kill that program..

      July 28, 2011 at 6:24 pm |
  37. usaf2

    Hey Blitzer!! have you ever think about getting a nose job? Blitzer "the wolf in a Armani suit"

    July 28, 2011 at 5:51 pm |
  38. Robert Maw

    I have become increasingly convinced that our "Debt Ceiling Crisis" primarinly brought about the group of fiscally and socially 'conservative' Repubilcans would not be a crisis if our President were white.

    July 28, 2011 at 5:49 pm |
    • babetoo

      i would be sad to agree with you, but it is certainly possible.

      July 28, 2011 at 6:21 pm |
  39. Fjr

    Wolf – I can't believe you let him get away with the lie about the president's plan. Go back and hear the answers. That's so pathetic. Why did you let him get away with that. It it were a Republican. Would you have done the same?

    July 28, 2011 at 5:48 pm |
    • Pay It Back

      Its not the Presidents plan you moron.

      July 28, 2011 at 6:05 pm |
  40. GOP = Greed Over People

    How can these people say that a deal will be made?

    Are they NOT listening to the GOP tea baggers in the House, that have pledged that they will seek to see that "America fails"?

    July 28, 2011 at 5:40 pm |
  41. edsr

    Here....CNN......stuff this in your Funk and you can protect your precious employee who is nothing more than a fire starter.

    July 28, 2011 at 5:37 pm |
  42. edsr

    Wolf likes to create statements and events that have not happened so he can suggest to the proponents that they do happen.............he is basically stir it up crazed news rep who likes to misquote and recommend ideas to people who are definitely his superior.

    July 28, 2011 at 5:36 pm |
  43. edsr

    Leave it to Wolf Bitcher to open his mouth at the wrong time by quoting something that is probably not true and only a figment of his own imagination that will cause more problems.

    July 28, 2011 at 5:34 pm |
  44. Cee.La.

    I guess I am missing something......I hear Republicans and the media including Wolf, yammering on about president Obama,s plan, the Congress legislates......NOT the president.....he can make persuade...but he doesnt write legislation......Why doesnt the media point this out.? If he wrote legislation we would,nt need a that may not be a bad idea.......

    July 28, 2011 at 5:18 pm |

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