Senators strike deal on immigration overhaul

By Donna Smith

WASHINGTON (Reuters) - Leading U.S. senators reached an agreement on Thursday on immigration reform that would strengthen U.S. borders and grant lawful status to millions of illegal immigrants, a move that could lead to a major legislative victory for President George W. Bush.

This sets the stage for what is expected to be a passionate Senate debate over the proposal, which would give an estimated 12 million illegal immigrants legal status, create a temporary worker program and set up a new merit-based system for future immigrants.

"The agreement we've just reached is the best possible chance we will have in years to secure our borders, bring millions of people out of the shadows and into the sunshine of America," said Sen. Edward Kennedy, a Massachusetts Democrat who helped lead the bipartisan talks that included Sen. Jon Kyl and administration officials.

Sen. Arlen Specter, a Pennsylvania Republican said: "No matter what we craft it's going to be attacked from both the right and the left."

"This is the best I think that can be done," he added.

Immigration is a complex, hot-button issue that has divided U.S. political parties in a way that has made it difficult to pass reform legislation. Hundreds of thousands of Latinos and other immigrants rallied as recently as May 1 to demand amnesty for illegal immigrants.

But Republicans oppose amnesty and blocked consideration of immigration legislation last year in the U.S. House of Representatives, saying it rewarded people who broke U.S. laws.

Republican Reps. Lamar Smith of Texas and Peter King of New York condemned the Senate compromise, issuing a statement calling it an amnesty "that treats illegal immigrants better than those who play by the rules and come in the right way."

The Senate compromise will put illegal immigrants on a path to citizenship after a probationary period and make them pay stiffer fines than proposed in last year's bill.

The agreement was reached after marathon talks. Senate Majority Leader Harry Reid, a Nevada Democrat, has set aside next week for the Senate to debate the legislation and several amendments are expected. The House is expected to take up its own version of immigration reform later this year.

DEMOCRATIC RESERVATIONS, BUSH SUPPORT

One Democratic negotiator said he could not support the compromise, citing the temporary worker program and fees immigrants would pay in the legalization program.

"I for one cannot settle for something that isn't responsible, or something that creates a bigger problem than already exists," said New Jersey Democrat Sen. Robert Menendez, who participated in the negotiations. "It doesn't have to be perfect, but it does have to be fair, humane, and practical."

Bush embraced the Senate breakthrough.

"I really am anxious to sign a comprehensive immigration bill as soon as we possibly can. Today we took a good step in that direction," he said.