Senators Reach Agreement to Avert Fight Over Filibuster

http://www.nytimes.com/2013/07/17/us/politics/senators-near-agreement-to-avert-fight-over-filibuster.html

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WASHINGTON — Senate leaders reached an agreement on Tuesday to preserve the filibuster in exchange for confirmation votes on President Obama’s stalled nominees, ending, at least for now, months of partisan warfare that threatened the stability of several federal agencies and a generation of procedural traditions.

The deal, which paved the way for votes on seven nominees, was a classic Senate outcome: an inconclusive result that left both sides claiming some vindication. It was sealed with congratulations and awkward hugs among members who praised a private meeting Monday night attended by 98 senators for averting a parliamentary crisis.

The immediate result was the confirmation, in a 66 to 34 vote, of Richard Cordray as the first permanent director of the Consumer Financial Protection Board after his nomination for a five-year term had languished for months. His approval, a decisive victory for frustrated Democrats who pushed to establish the agency in the aftermath of the financial crisis, will expand the powers of the new watchdog agency, allowing it to move forward with plans to regulate a variety of consumer lending programs.

Senator Harry Reid of Nevada, who as the majority leader had forced the agreement by threatening to upend filibuster rules, said he believed the tussle had not only cleared the way for the approval of Mr. Cordray and others but had also changed the environment in the Senate for the better.

“This must be a new normal,” Mr. Reid said after the Senate allowed consideration of Mr. Cordray. “Qualified executive nominees must not be blocked on procedural supermajority votes.”

Any new Senate spirit will be severely tested in the weeks ahead as the chamber moves toward the politically charged nominations of a series of federal appeals court judges as well as a nominee for secretary of the Department of Homeland Security, a position tied closely to the immigration legislation sought by Mr. Obama.

Unlike a 2005 agreement on judges that limited filibusters to “extraordinary circumstances,” the new deal did not put in place any framework for restricting such procedural tactics in the future or address the larger question of how to unclog the Senate.

The deal began to take shape during late-night talks on Monday between Democrats and a Republican, John McCain of Arizona, who appeared to bypass his own leadership. They ended with early-morning commitments in the Senate gym.

A clear winner was Mr. Obama, who gained a functioning consumer agency created on his watch, resurrected a defunct labor board and secured confirmation of a new E.P.A. chief and a disputed labor secretary. The Senate will also vote Wednesday to confirm Fred P. Hochberg to a new term at the helm of the Export-Import Bank.

Democrats withdrew two nominees for the National Labor Relations Board whom the president had appointed during a Senate recess. On Tuesday Mr. Obama nominated as replacements Nancy Schiffer and Kent Hirozawa. Ms. Schiffer retired last year as an associate general counsel at the A.F.L.-C.I.O., and Mr. Hirozawa is the chief counsel to the board’s chairman.

Most important to Republicans, Mr. Reid dropped his plan to change Senate rules to limit the filibuster — for now.

The agreement came after a meeting on Monday night where 98 Senators vented for over three hours. Members of both parties admitted some culpability in the political fighting, with Democrats conceding that their headlong drive to alter the rules may have been overly aggressive.

“We’re not without sin,” said Senator Claire McCaskill, Democrat of Missouri.

Many Republicans admitted their efforts to hobble executive agencies by denying confirmation of their leadership was wrongheaded. “Cordray was being filibustered because we don’t like the law” that created the consumer agency, said Senator Lindsey Graham, Republican of South Carolina. “That’s not a reason to deny someone their appointment. We were wrong.”

The two parties ended the day in essence like a married couple making up after a nasty fight, knowing that the next shoe could still drop. “Is it a panacea? No,” said Mr. McCain. “But I think it’s an important step forward.”

Though the agreement did nothing to change or save the filibuster in the future, negotiators insisted the deal — and the difficult process that created it — would have far-reaching ramifications in restoring comity and cooperation in the Senate and could create an atmosphere for reaching larger legislative agreements.

Senator Jeff Merkley of Oregon, one of the more junior Democrats pressing to change the filibuster rules, called the agreement “a milestone on the path to restoring the functionality of the Senate.”

In the end, Republicans got little. The withdrawal of the president’s two labor board nominees was more a face-saving move than a fundamental shift. Senator Mitch McConnell of Kentucky, the Republican leader who was virtually left out of the final deal by other Republican negotiators, defended it: “You can pick at it if you want to, but I think it was an important moment for the Senate.”

On Friday, Mr. McCain first broached Senator Charles E. Schumer, Democrat of New York, with what would be the final deal. Mr. McConnell had been pressing Democrats for months to withdraw Mr. Obama’s labor board nominees, but the new proposal marked a critical shift, allowing union leaders to recommend replacements who would then not be blocked.

The agreement began coming together on Saturday as Mr. Schumer, the No. 3 Democrat, was bicycling around Martha’s Vineyard during a meeting of the Democratic Senatorial Campaign Committee. Mr. McCain called him repeatedly during the ride to urge him to bring Democratic leaders to the table.

On Monday, Mr. McConnell offered Mr. Reid an up-or-down vote on all seven nominees in exchange for a promise that Democrats would not change the filibuster rules on their own in the future. Mr. Reid demanded that Republicans refrain from any future filibusters of executive branch nominees. Neither of those offers were accepted.

Senator repaired at 6 p.m. to a meeting in the Old Senate Chamber, appealing to one another to come together. Especially eloquent, many said, was Senator Susan Collins, Republican of Maine, who said she “felt a great sense of sadness” at what she believed would undermine the fundamental purpose of the Senate.

After the all-Senate meeting, Mr. McCain remained behind in the chamber to meet with top Senate Democratic leaders. Senators McCain, Graham and Kelly Ayotte, Republican of New Hampshire, retired to Mr. McCain’s office in the Capitol.

The Democratic leaders went to Mr. Reid’s suite, and negotiations began in earnest around 10 p.m. Democrats were initially incredulous that Mr. McCain was offering acceptance to any nominee they would come up with for the labor board, but Mr. McCain insisted he would stick to that.

By 7:30 a.m. Tuesday, Mr. Schumer had touched base with Mr. McCain again, then held impromptu sessions with three or four Republicans at the Senate gym before telling Mr. Reid a deal was done.

Around 10 a.m., Mr. McConnell entered Mr. Reid’s office unannounced to reiterate his offer for the seven nominees in exchange for a promise of no rule changes going forward. Mr. Reid was just minutes away from a planned statement on the Senate floor with Mr. McCain that they were nearing a separate deal. Mr. Reid rejected the leader’s offer, went into the Senate chamber and pulled the Senate back from the brink.

Mr. Reid announced the deal by quoting Senator Barbara A. Mikulski, Democrat of Maryland, who had just told her colleagues in a closed-door luncheon, “No gloating, maximum dignity.”

<NYT_CORRECTION_BOTTOM> <p>This article has been revised to reflect the following correction:

Correction: July 16, 2013

<p>An earlier version of this article misstated the Senate vote clearing the way for the nomination of Richard Cordray, the acting director of the Consumer Financial Protection Bureau, to go forward. It was 71 to 29, not 71 to 25.