Biden, GOP reach tentative deal to raise debt ceiling, avoid calamitous US default

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Biden, GOP reach tentative deal to raise debt ceiling, avoid calamitous US default
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AP source: Biden, McCarthy reach ‘agreement in principle’ to raise debt ceiling as default looms

But as another day dragged on with financial disaster looming closer, it had appeared some of the problems over policy issues that dogged talks all week remained unresolved.

McCarthy, who dashed out before the lunch hour Saturday and arrived back at the Capitol with a big box of takeout, declined to elaborate on those discussions. One of his negotiators, Louisiana Rep. Garret Graves, said there was “not a chance” that Republicans might relent on the work requirements issue.

All sides also are hearing from other lawmakers, including Sen. Kyrsten Sinema, the independent from Arizona, who has been in the center of big policy debates, and Rep. Josh Gottheimer, D-N.J., of the bipartisan Problem Solvers Caucus. Any deal would need to be a political compromise in a divided Congress. Many of the hard-right Trump-aligned Republicans in Congress have long been skeptical of the Treasury’s projections, and they are pressing McCarthy to hold out.

Current law applies those standards to recipients under the age of 50. The GOP plan would raise the age to include adults 55 and under. It would lower the number of exemptions that states can grant to some recipients subject to those requirements.

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AP source: Biden, McCarthy reach 'agreement in principle' to raise debt ceiling as default loomsAP source: Biden, McCarthy reach 'agreement in principle' to raise debt ceiling as default loomsPresident Joe Biden and House Speaker Kevin McCarthy have reached an “agreement in principle” to resolve the looming debt crisis. That's according to a person familiar with the situation, who spoke on condition of anonymity because they were not authorized to speak publicly on the matter. They spoke by phone earlier in the evening as they raced to prevent a catastrophic debt default. With the outline of an agreement, a legislative package can be drafted in time for votes in Congress next week. That's ahead of a projected June 5 federal default. Negotiators have wrangled over a deal that would also making spending cuts that House Republicans are demanding.
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