White House and Republicans still at odds over spending as debt ceiling talks continue
Washington – House Speaker Kevin McCarthy said on Wednesday that there was still a “gap” on reaching a consensus between House Republicans and the White House. deal with the debt ceiling Amid the growing threat of a historic default on sovereign debt.
McCarthy told reporters at the Capitol that Republican negotiators Patrick McHenry and Garrett Graves have reached an agreement to avoid a $31.4 trillion national debt default. He said he was resuming talks with Biden administration officials on the White House campus, hoping to mediate.
But he warned that “there are still a lot of divisions between us” and that he “didn’t think it would be this difficult” to reach an agreement. McCarthy reiterated Republican demands to cut federal spending at current levels rather than freeze it, and not introduce a clean bill to the House that only addresses debt limits, as the White House and Democrats are calling for. swore again.
“We have to spend less than we spent last year. The official added that he believes “we can move forward.” .
“I think we’ve made some progress,” McCarthy said Wednesday night, although no deal had yet been reached, but there were some issues. He told reporters that if a deal is reached while lawmakers are away over the Memorial Day weekend, “I want them to come back.” The speaker said he will remain in Washington this weekend.
He also said that while various “X dates” have surfaced, they are acting on the assumption that June 1, as mentioned by Treasury Secretary Janet Yellen, is the date “I agreed to.” rice field.
White House press secretary Carine Jean-Pierre said administration negotiators will continue to work “in good faith” with their Republican negotiators to reach a bipartisan budget deal, but said the ongoing deadlock has not been resolved. He disputed the Republican explanation. He said a default would cost millions of jobs and hurt Americans’ retirement benefits.
“This is a simple and straightforward crisis,” she said. “That’s what we’re seeing now, that’s what we’ve been dealing with over the past few weeks, that’s the crisis that’s been created.”
Jean-Pierre said House Republican spending demands would lead to cuts in education, meals for the elderly, veterans’ housing, law enforcement, air and rail safety, and opioid treatment.
McCarthy adamantly blamed the White House and Democrats for the political conflict, accusing President Biden of ignoring calls to join negotiations for weeks. first meeting in February. The two sides just recently met one-on-one on Monday, but top negotiators from both sides continue to work to reach an agreement.
The speaker argued that the Democrats had grown “too extreme and socialist” and opposed it. work requirements Not just Food Stamps, Cash Assistance, and Medicaid recipients, but those who dominate federal spending.
He also said Democrats had the opportunity to work on debt limits while they last controlled both houses of Congress, but didn’t choose to do so.
“The debt ceiling could have been raised before I became chairman,” he said. “They already knew the outcome of the election, they knew we were coming to power. They passed the omnibus bill, but decided not to raise the debt ceiling.”
The US looks ahead to June 1, the deadline for raising or suspending the debt ceiling. The country reached its legal limit on borrowing powers in January, forcing the Treasury to introduce “temporary measures” to keep payments going.
But the current conflict between the White House and House Republicans has fueled fears of a first-ever default, with Treasury Secretary Janet Yellen warning that a default would be devastating to the U.S. economy. ing.
Yellen on Wednesday reiterated what she had warned lawmakers before, saying the U.S. would likely not be able to pay the full bill by early June without Congressional action.
“It seems almost certain that we won’t get through early June,” he said during a virtual appearance at The Wall Street Journal’s CEO Council Summit in London.
But the Treasury Secretary said the Biden administration’s focus is on meeting the debt ceiling and avoiding a default.
“We are committed to eliminating delinquencies and raising debt ceilings, so we will not face that situation,” Yellen said. “We are not involved in planning in the event of default.”
Republican chief negotiators Graves and McHenry told reporters before leaving for the White House that the risks to a plan to raise the debt ceiling continue to rise with each passing day without an agreement. said it does.
“There’s no question that we’re at a critical time,” said Graves of Louisiana, while McHenry of North Carolina said, “In my opinion, we’re well past our responsible deadlines.” admitted.
Mr McCarthy said he did not believe a default would occur and said: “I strongly believe that this issue can and will be resolved.” But Yellen told the speaker: letter Waiting until the “last minute” to address the debt ceiling on Monday would “severely damage business and consumer confidence, raise short-term borrowing costs for taxpayers and adversely affect the country’s credit rating.” said it was possible.
Yellen added that the Treasury has already seen a significant increase in borrowing costs for securities maturing in early June.
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Washington – House Speaker Kevin McCarthy said on Wednesday that there was still a “gap” on reaching a consensus between House Republicans and the White House. deal with the debt ceiling Amid the growing threat of a historic default on sovereign debt.McCarthy told reporters at the Capitol that Republican negotiators Patrick McHenry and Garrett Graves have reached an agreement to avoid a $31.4 trillion national debt default. He said he was resuming talks with Biden administration officials on the White House campus, hoping to mediate.But he warned that “there are still a lot of divisions between us” and that he “didn’t think it would be this difficult” to reach an agreement. McCarthy reiterated Republican demands to cut federal spending at current levels rather than freeze it, and not introduce a clean bill to the House that only addresses debt limits, as the White House and Democrats are calling for. swore again.
“We have to spend less than we spent last year. The official added that he believes “we can move forward.” .”I think we’ve made some progress,” McCarthy said Wednesday night, although no deal had yet been reached, but there were some issues. He told reporters that if a deal is reached while lawmakers are away over the Memorial Day weekend, “I want them to come back.” The speaker said he will remain in Washington this weekend.
He also said that while various “X dates” have surfaced, they are acting on the assumption that June 1, as mentioned by Treasury Secretary Janet Yellen, is the date “I agreed to.” rice field. White House press secretary Carine Jean-Pierre said administration negotiators will continue to work “in good faith” with their Republican negotiators to reach a bipartisan budget deal, but said the ongoing deadlock has not been resolved. He disputed the Republican explanation. He said a default would cost millions of jobs and hurt Americans’ retirement benefits.”This is a simple and straightforward crisis,” she said. “That’s what we’re seeing now, that’s what we’ve been dealing with over the past few weeks, that’s the crisis that’s been created.”Jean-Pierre said House Republican spending demands would lead to cuts in education, meals for the elderly, veterans’ housing, law enforcement, air and rail safety, and opioid treatment.
McCarthy adamantly blamed the White House and Democrats for the political conflict, accusing President Biden of ignoring calls to join negotiations for weeks. first meeting in February. The two sides just recently met one-on-one on Monday, but top negotiators from both sides continue to work to reach an agreement.
House Speaker Kevin McCarthy speaks with reporters on the debt ceiling negotiations at the Capitol on Wednesday, May 24, 2023.
Tom Williams/CQ-Roll Call, Inc (via Getty Images)
The speaker argued that the Democrats had grown “too extreme and socialist” and opposed it. work requirements Not just Food Stamps, Cash Assistance, and Medicaid recipients, but those who dominate federal spending.He also said Democrats had the opportunity to work on debt limits while they last controlled both houses of Congress, but didn’t choose to do so.”The debt ceiling could have been raised before I became chairman,” he said. “They already knew the outcome of the election, they knew we were coming to power. They passed the omnibus bill, but decided not to raise the debt ceiling.”The US looks ahead to June 1, the deadline for raising or suspending the debt ceiling. The country reached its legal limit on borrowing powers in January, forcing the Treasury to introduce “temporary measures” to keep payments going.But the current conflict between the White House and House Republicans has fueled fears of a first-ever default, with Treasury Secretary Janet Yellen warning that a default would be devastating to the U.S. economy. ing. Yellen on Wednesday reiterated what she had warned lawmakers before, saying the U.S. would likely not be able to pay the full bill by early June without Congressional action.
“It seems almost certain that we won’t get through early June,” he said during a virtual appearance at The Wall Street Journal’s CEO Council Summit in London.But the Treasury Secretary said the Biden administration’s focus is on meeting the debt ceiling and avoiding a default.“We are committed to eliminating delinquencies and raising debt ceilings, so we will not face that situation,” Yellen said. “We are not involved in planning in the event of default.”Republican chief negotiators Graves and McHenry told reporters before leaving for the White House that the risks to a plan to raise the debt ceiling continue to rise with each passing day without an agreement. said it does.”There’s no question that we’re at a critical time,” said Graves of Louisiana, while McHenry of North Carolina said, “In my opinion, we’re well past our responsible deadlines.” admitted.Mr McCarthy said he did not believe a default would occur and said: “I strongly believe that this issue can and will be resolved.” But Yellen told the speaker: letter Waiting until the “last minute” to address the debt ceiling on Monday would “severely damage business and consumer confidence, raise short-term borrowing costs for taxpayers and adversely affect the country’s credit rating.” said it was possible.Yellen added that the Treasury has already seen a significant increase in borrowing costs for securities maturing in early June.
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