The package includes a two-year budget pact that flattens spending in 2024 and imposes a cap in 2025 because of the spending cuts that Republicans have argued. In exchange, it will raise the debt ceiling for two years until after the next election.
I will also expand some work requirements Tweak environmental laws to streamline vetting for building new energy projects for food stamp recipients.
Treasury Secretary Janet Yellen said US could default on debt By June 5th Lawmakers must act in time to raise the federal debt ceiling.
As Congress rushes to pass the deal, let’s see what happens next.
Speaking to reporters at the Capitol late Saturday, McCarthy said the bill “includes historic spending cuts and consequential reforms that lift people out of poverty into the labor force and curb government overreach. there is,” he said. No new taxes, no new government programs. “
Still, he said, “I still have work to do tonight to finish all the writing.” Even though midnight was approaching, the chairman and chief negotiator were still holed up in their offices.
McCarthy said he would speak to Biden again on Sunday.
“Over the next day, our negotiating team will finalize the text of the bill and the agreement will be submitted to the U.S. House of Representatives,” Biden said in a statement. I urge both houses to pass the agreement immediately. “
Biden said the deal “is an important step forward in protecting critical programs for workers and cutting spending while growing an economy for all.”
For the bill to pass, McCarthy and Biden would need to pitch it to their respective parties. Both sides are expected to lose some votes, but both sides need to make sure the deal is popular enough to pass both chambers without insurrection.
McCarthy held a phone call with Republican lawmakers on Saturday night, fulfilling a promise to show them the deal before the bill was released to the public. He said he plans to publish the text of the bill on Sunday afternoon.
The reaction was mixed. North Carolina Rep. Dan Bishop tweeted a vomit emoji, complaining that some Republicans on the conference call were praising the speaker for saying “almost a Zippo” in exchange for raising the debt ceiling. said.
McCarthy’s ally, Rep. Dusty Johnson of South Dakota, said the people he was talking to were “incredibly supportive” of the deal, though he admitted to losing some votes.
House Democratic aides said White House officials will give their own briefing to House Democrats at 5 p.m. Sunday.
Both houses are scheduled to reopen on Tuesday after Memorial Day. McCarthy said the House will vote on Wednesday, after which the bill will go to the Senate.
The pace of action once the bill reaches the Democratic-majority Senate will likely depend heavily on whether any senators are willing to vote to keep the bill in place. That could delay the enactment of the bill by several days.
Still, the Senate can act quickly if all 100 people agree. The bill could pass and become law by the end of this week with Biden’s speedy signature.
If all goes according to McCarthy’s plan and both houses pass the bill, the potential crisis should be resolved by June 5, the day the Treasury Department predicts the U.S. will be in danger of defaulting on its debt. are doing.
“This deal is good news for the American people because it could have resulted in a catastrophic default, an economic depression, a hit to retirement benefits and the loss of millions of jobs,” Biden said in a statement Saturday night. to prevent ,” he said.
Associated Press writers Lisa Mascaro, Seungmin Kim, and Zeke Miller contributed to this report.
