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WASHINGTON – With job losses soaring nationwide, Senate Democrats reached agreement with a small group of Republicans Friday night on an economic stimulus measure at the heart of President Barack Obama's plan for combatting the worst recession in decades.

"The American people want us to work together. They don't want to see us dividing along partisan lines on the most serious crisis confronting our country," said Sen. Susan Collins of Maine, one of three Republican moderates who broke ranks and pledged their votes for the bill.

Democratic leaders expressed confidence that the concessions they had made to Republicans and moderate Democrats to trim the measure had cleared the way for its passage. No final vote was expected before Monday.

Officials put the cost of the bill at $827 billion, including Obama's signature tax cut of up to $1,000 for working couples, even if they earn too little to pay income taxes. Also included are breaks for homebuyers and people buying new cars. Much of the new spending would be for victims of the recession, in the form of unemployment compensation, health care and food stamps.

Republican critics complained that whatever the cost, billions were ticketed for programs that would not create jobs.

In a key reduction from the bill that reached the Senate floor earlier in the week, $40 billion would be cut from a "fiscal stabilization fund" for state governments' education costs, though $14 billion to boost the maximum for college Pell Grants by $400 to $5,250 would be preserved, as would aid to local school districts for the No Child Left Behind law and special education.

A plan to help the unemployed purchase health insurance would be reduced to a 50 percent subsidy instead of two-thirds.

The agreement capped a tense day of backroom negotiations in which Senate Majority Leader Harry Reid, joined by White House chief of staff Rahm Emanuel, sought to attract the support of enough Republicans to give the measure the needed 60-vote majority. Democrats hold a 58-41 majority in the Senate, including two independents.

Uncertain of the outcome of the talks, Democrats called Sen. Edward M. Kennedy back to Washington in case his vote was needed. The Massachusetts senator, battling brain cancer, has been in Florida in recent days and has not been in the Capitol since suffering a seizure on Inauguration Day more than two weeks ago.

In addition to Collins, Republican Sens. Arlen Specter of Pennsylvania and Olympia Snowe of Maine pledged to vote for the legislation.

Whatever the price tag, the compromise marked a victory for the new president, who has veered between calls for bipartisanship and increasingly strong criticism of Republicans in recent days. And it indicated that Democratic leaders remain on track to deliver a bill to the White House by the end of next week.

Late Friday night, White House press secretary Robert Gibbs said, "On the day when we learned 3.6 million people have lost their jobs since this recession began, we are pleased the process is moving forward and we are closer to getting Americans a plan to create millions of jobs and get people back to work."

Obama said earlier in the day that further delay would be "inexcusable and irresponsible" given Friday's worst monthly unemployment report in a generation — 598,000 jobs lost in January and the national unemployment rate rising to 7.6 percent. And late Friday, federal regulators announced the closures of three banks, First Bank Financial Services in Georgia and Alliance Bank and County Bank in California, raising to nine the number of bank failures this year.

"The world is waiting to see what we're going to do in the next 24 hours," said Reid who has spent much of the week trying to balance demands among moderates in both parties against pressure for a larger bill from liberals in his own rank and file.

By midday, the majority leader had spoken once with Obama by phone and five times with Emanuel. He met with Collins and Specter as well as Sen. Ben Nelson, a conservative Nebraska Democrat who had long advocated cuts in the House-passed bill.

Later, Nelson declared on the Senate floor, "We trimmed the fat, fried the bacon and milked the sacred cows." He said the compromise included $350 billion in tax cuts that would reach 95 percent of all Americans.

One Republican-proposed document that circulated earlier called for cuts of $60 billion from money Democrats want to send to the states. That money is targeted to avoid budget cuts for schools as well as law enforcement and other programs.

Talk of cuts in proposed education funds triggered a counterattack from advocates of school spending as well as unhappiness among Democrats.

One, Sen. Carl Levin of Michigan, told reporters he and others hoped that some of the funds on the chopping block would be restored next week when negotiations open on a House-Senate compromise.

At its core, the legislation is designed to ease the worst economic recession in generations, and combines hundreds of billions of dollars in new spending with tax cuts. Much of the money would go for victims of the recession in the form of food stamps, unemployment compensation and health care. There are funds, as well, for construction of highways and bridges.

But the administration also decided to use the bill to make a down payment on key domestic initiatives, including creation of a new health technology industry and so-called green jobs designed to make the country less dependent on imported oil.

And Democrats in Congress decided to add additional huge sums for the states struggling with the recession, as well as billions more for favored programs such as parks, the repair of monuments in federal cemeteries, health and science research and more.

With Obama enjoying post-inauguration support in the polls and the economy shrinking, Democratic leaders in Congress have confidently predicted they would have a bill to the president's desk by mid-February.

But Republicans, freed of the need to defend former President George W. Bush's policies, have pivoted quickly to criticize the bill for its size and what they consider wasteful spending.

The entire Republican rank and file voted against the measure in the House, effectively prodding senators to take up the same cause.

In the intervening days, Republicans have appeared to catch the administration and its allies off-guard, holding up relatively small items for ridicule and routinely seizing on comments from Democrats critical of the House-passed bill.

At the same time, they have stressed a desire to help the economy but have said they prefer tax cuts and spending that would have a more immediate impact on job creation.

Privately, Democrats in Congress have been critical of Obama and his aides for failing to counter the Republicans more effectively. In recent days, the president has sharpened his rhetoric against unnamed critics of the bill whom he accused of trying to re-establish the "failed policies" of the past eight years.

Despite the struggle, some Republicans seemed to sense the White House would ultimately prevail, and sought political mileage.

Obama "could have had a very, very impressive victory early on," said Sen. John Cornyn of Texas, who heads the Senate Republican campaign committee. "But this is not turning out to be an impressive victory. it is turning out to be a little bit of a black eye."

WASHINGTON – Eager to put the scandal-tainted standoff behind them, Senate Democrats accepted Roland Burris as President-elect Barack Obama's Senate successor on Monday and said they expect to swear in the new Illinois senator this week. "He is now the senator-designate from Illinois and, as such, will be accorded all the rights and privileges of a senator-elect," Senate Majority Leader Harry Reid and Sen. Dick Durbin of Illinois said in a joint statement.

Illinois U.S. Senate appointee Roland Burris gestures, right, during a news conference in Chicago, Monday

At a news conference in Chicago, Burris called himself honored and humbled to be the state's next junior senator. "I'm thankful for the opportunity to serve," he said and added: "I recognize that my appointment triggered a challenging time for many."

Monday's development prevented the impasse that has plagued Democrats from dragging on into Obama's inauguration festivities that begin this weekend, and it capped a grudging, gradual retreat by the Senate's top Democrats.

Initially they had tried to dissuade Illinois Gov. Rod Blagojevich, who faces a state Senate impeachment trial, from making an appointment and suggested that his pick would not be seated. Last week, Burris' credentials were rejected by Senate Democrats in a circus-like atmosphere that tarnished the opening day festivities of the new Congress.

But Reid and Durbin said they now anticipate that Burris, a former Illinois attorney general, will be seated this week, barring objections from Republicans.

They made the announcement after Burris' lawyers delivered to the Capitol documents certifying his appointment to Obama's seat, and the secretary of the Senate determined that the paperwork met Senate requirements.

While a victory for Burris, the move is a major reversal for Senate Democrats.

They initially indicated they would refuse to seat Burris and objected to the appointment by Blagojevich, who is accused by federal investigators of seeking to trade the Senate seat for personal favors.

Senators feared that any appointee would be tainted.

Even though Burris does not stand accused of wrongdoing, Senate Democrats rejected Burris last week only to quickly backpedal after Obama himself privately weighed in and senators fretted that the situation was diverting their focus at a critical time.

Indeed, much to the chagrin of Democrats who expanded their House and Senate majorities in the November elections and won the White House, the standoff stretched into the new Congress' second week in session and has served as a distraction for Democrats trying to tackle an ambitious agenda.

It includes weighty tasks like holding confirmation hearings for Obama's new Cabinet while negotiating both the second installment of last fall's $700 billion financial bailout package and the president-elect's mammoth new spending plan aimed at jolting the economy.

Senate Democratic angst over seating Burris softened last week as the Burris appointment took on the feeling of a political sideshow.

Under pressure from Obama and rank-and-file Democrats to resolve the dispute, Reid said a "number of efforts" would be undertaken, including sending the matter to the Senate Rules Committee. He also said that "without any question" the entire Senate would vote on whether or not to seat Burris after Senate lawyers reviewed necessary documents and Burris' testimony in the Illinois House that he had promised Blagojevich nothing in exchange for the seat.

But Reid spokesman Jim Manley said Monday that Reid doesn't intend to have the Rules Committee review Burris' appointment, and that the Senate will vote on the appointment by unanimous consent unless there is an objection that would trigger a roll call vote.

From Illinois to Washington, Republicans assailed Senate Democrats for how they handled the issue.

Sen. John Cornyn of Texas, who is leading the Senate GOP's election efforts, accused them of "arrogant mismanagement" and said: "This entire situation has been a national embarrassment that could have been avoided." He pledged to make winning the Illinois Senate seat a top priority for Republicans in 2010.

Illinois Republican Party Chairman Andy McKenna added: "Democrats chose to trust a madman over the people of Illinois" by seating Burris instead of blocking Blagojevich's appointment and holding a special election.

The Illinois Supreme Court ruled last week that under state law, Burris' appointment paperwork was valid and that it was up to the Senate to decide whether to seat him. But Reid and other Democrats had contended that it violated Senate rules unless the appointment was signed by both the governor and the Illinois secretary of state.

After lawyers for Burris and the Senate met for under an hour in the Capitol to review the documents, Reid and Durbin issued the statement that they were satisfied both with the documents and with Burris' testimony before the impeachment panel that he did nothing wrong.

WASHINGTON – Senate Democratic leaders plan to grant few if any privileges next week to Roland Burris, the man picked by Illinois Gov. Rod Blagojevich to represent the state in the Senate, even if Burris arrives on Capitol Hill with the proper credentials.

AP – Illinois Gov. Rod Blagojevich stands by as his choice to fill President-elect Barack Obama's U.S. Senate

Senate officials involved in the tangle of legal and logistical planning said Friday that a Democrat will object to Burris being duly sworn with the rest of his class and will propose that his credentials be reviewed for a period of time by the Rules Committee.

That would give Burris the status of a senator-elect to the seat vacated by President-elect Barack Obama in the juiciest of several dramas swirling around open Senate seats days before the 111th Congress convenes.

Senate Democrats are slow-walking Burris' appointment because they hope Blagojevich will be removed from office before the Rules Committee completes its investigation.

As early as next week Blagojevich — federal authorities accuse him of offering to sell the appointment to the highest bidder — could become the state's first chief executive to be impeached. A state Senate trial would follow and if he were convicted, Blagojevich would be removed from office.

For his part, Burris planned to argue his case in the news media and threatened to sue Senate Democrats if they refuse to swear him in as the chamber's only black member.

Race is a prominent force in the dispute. Rep. Donald Payne, D-N.J., said he called Majority Leader Harry Reid of Nevada and Sen. Robert Menendez, D-N.J., and "made it abundantly clear that we felt that they should reconsider."

No luck, Payne reported on Friday.

"I have heard no one say that they felt that he is not qualified," Payne said. Race would not be a factor, he added, were there black members of the Senate. "There is a legitimate opportunity to have the Senate at least start to look a teeny bit like America."

Democrats have said that their opposition to Burris is not about Burris but the fact that anyone appointed by Blagojevich would be tainted by the corruption charges against the governor.

And they're not budging, despite significant questions about whether they have the legal standing to block an appointee of a sitting governor.

The only way Burris will be allowed on the floor, according to Democratic officials who asked not to be identified, is if he possesses a certification of appointment signed by Blagojevich and Illinois Secretary of State Jesse White.

Burris would then be treated as a senator-elect, which by tradition means he'll be allowed on the Senate floor without voting or speaking privileges — and he wouldn't be granted a desk, according to the officials. They requested anonymity because they weren't authorized to speak publicly on the matter.

The man charged with letting people through the door of the chamber, Senate Sergeant-at-Arms Terrance Gainer, said he expects the two sides to work out a deal before Tuesday.

Gainer has known Burris since their days in Illinois law enforcement, when Burris was attorney general and Gainer was the director of the state police.

"He is a good man," Gainer said in a telephone interview. "He plays by the rules. I don't think there's going to be a confrontation."

Republicans have been wary about commenting, pleased to see Democrats mucking through a political mess of their own party's making.

But Republican Whip Jon Kyl of Arizona said Friday that he wants to review state and federal law before opining on whether Burris should be seated. Still, he questioned whether the legal status of the patron is enough reason to block the appointee.

"The Senate has to be very careful of setting a precedent that just because it doesn't like the governor that appointed (Burris) we therefore refuse to seat a qualified appointee," Kyl said in a telephone interview.

Not that Republicans are against blocking people from being seated. Another Republican leader, Sen. John Cornyn, R-Texas, told reporters Friday that he would object to seating any new senator from Minnesota until an anticipated court case is finished and an official election certificate issued in the battle between Republican Sen. Norm Coleman and Democrat Al Franken.

In contrast, nobody's objecting to Denver Public Schools Superintendent Michael Bennet, who is expected to be named to replace Sen. Ken Salazar, D-Colo., set to be Obama's interior secretary.

In the Illinois case, Senate Democrats believe the Constitution and their agenda-setting power give them the tools for a slow-motion rejection of Burris' credentials if they are not signed by both the governor and White, who has refused to certify anyone Blagojevich appoints.

If Burris appears at the Capitol with his certification signed by Blagojevich and White, the officials said, Burris would be permitted on the Senate floor.

Vice President Dick Cheney, as president of the Senate, would then ask whether anyone objects to the senators-elect being duly sworn. A Democrat would object and propose that Burris' credentials be referred to the Rules Committee for an investigation. If no one objects to that motion, the credentials go to the panel for a period of perhaps 90 days.

In the meantime, Burris gets the privileges of an unsworn senator-elect. The Senate's unofficial customs and traditions leave unclear whether that status would come with a pay check, but Burris could be accorded a stipend for staff and given office space.