Progress and a later deadline, but no debt deal
Both sides are reportedly eyeing a two-year increase in the debt ceiling with spending caps for the same time.
That would push the threat of default beyond the 2024 election and give Republicans spending cuts to tout as a victory in negotiations.
The draft plan that could lift the debt limit by up to $4 trillion, according to some House Republicans, far more than the $1.5 trillion proposed in the House GOP debt limit increase bill.
And negotiators may have a little bit more time to pull something together.
Treasury Secretary Janet Yellen told lawmakers in a Friday letter that the U.S. was on track to run out of cash by June 5.
Yellen’s new deadline is the firmest the Treasury secretary has given, but a few days later than the initially feared X-date of June 1.
Negotiators may need those precious few days to overcome remaining obstacles to a deal.
GOP hardliners in the House are fuming over the emerging outline of the deal, insisting it doesn’t go far enough to curb spending.
Republican negotiators are trying to tamp down on leaks and reaffirm the importance of tighter work requirements on social programs to an eventual deal.