President Obama's $3.7 trillion spending proposal for 2012 was for the most part embraced by Democratic leaders on Capitol Hill Monday despite a five-year spending freeze and $30 billion in reductions.
But it landed with an audible thud in the offices of GOP leaders, who verbally skewered the plan as too skimpy on cuts and too heavy on tax increases. They vowed to put forward a much leaner plan in the coming weeks, setting up a certain battle with Democrats and the White House that will put every lawmaker to the test on spending and deficit reduction.