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NAFCU lobbyists expect the House to take up and pass a two-month extension of the payroll tax cut as early as 10 a.m. this morning.

On Thursday afternoon, House Republican leaders ended a political stalemate with the Senate over the payroll tax holiday. House Republican leaders had been holding out to vote on a package that would extend the payroll tax cut for a full year and not a two-month extension like the Senate passed on Saturday.

The Senate bill, which would also extend unemployment insurance for two months, offsets costs by calling for a hike in the guarantee fee charged by Fannie Mae, Freddie Mac and the Federal Housing Administration. While that bill was initially rejected by the House earlier this week, Senate Majority Leader Harry Reid, D-Nev., said he would not bring senators back to work on a one-year extension until the two-month provision was passed and enacted.

In the end, House Republicans agreed to vote on the two-month extension with the understanding that an extension for the entire year will be worked out later with the Senate.

As early as this morning, House and Senate leadership will attempt to pass the two-month extension deal by unanimous consent . Under this scenario,any individual lawmaker could object and force all members of Congress back to Washington for a formal vote. The president is expected to sign the bill into law after it successfully advances.
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