By Jonathan Allen and Josh Rogin, CQ Staff

The White House cut a deal with Texas Democrats who were holding back their votes on the $106 billion war spending legislation, helping clear the way for adoption of the measure Tuesday.

The revolt centered on a dispute over how funds from the economic stimulus law (PL 111-5) are spent on public schools in the state. And it came at a time when the Texans’ 12 votes could be critical for adopting the conference report on the supplemental spending bill (HR 2346 — H Rept 111-151).

The Texans were upset that the state legislature and governor diverted money intended for schools — particularly schools that serve low-income students — to the state’s “rainy day” fund. To ease that concern, the White House promised to use a future appropriations bill as a vehicle for language to block Texas from shifting the funds, according to one of the Texas lawmakers who was a party to the agreement.

At the same time, some antiwar liberals were promising Democratic leaders that they would cast “yes” votes if the measure was in danger of failing.

As the House debated the measure, Texas Democrats huddled with White House congressional liaisons Dan Turton and Alejandro Perez in a hallway outside the chamber, and members shuttled back and forth between the floor and the impromptu confab with copies of proposed legislative language in hand.

Members of the delegation want the deal with the White House to have a chilling effect on the state’s plans, according to the lawmaker who talked to CQ shortly after the meeting broke up. Texas could apply to the Education Department for the stimulus funding in question before the new language can be included in another appropriations law. But the White House pledge appeared to be the best deal the Texans could get.

They were losing leverage as liberals who voted against the war-spending bill in May were starting to pledge to back the measure if necessary to save President Obama the potential embarrassment of a legislative defeat at the hands of his own party.

“My inclination is to vote ‘no,’ but I’m not going to let it fail,” said Rep. Diane Watson , D-Calif., one of Congress’ most severe critics of U.S. Iraq policy.

The twin developments of new liberal support and the Texas deal appeared to give the conference report the votes it needed — even in the face of GOP threats to vote against the bill because of $5 billion in funding for the International Monetary Fund.

Democratic sources said Education Secretary Arne Duncan , Obama and White House Chief of Staff Rahm Emanuel were all involved in the effort to lobby recalcitrant lawmakers to support the supplemental spending bill. The measure would fund operations in Iraq, Afghanistan and Pakistan, as well as a handful of domestic programs.

First posted June 16, 2009 4:12 p.m.