Tag: Ceiling

  • Tracking Kevin McCarthy’s promises to GOP critics as debt ceiling fight looms

    Tracking Kevin McCarthy’s promises to GOP critics as debt ceiling fight looms

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    It was one of House conservatives’ biggest demands: more representation on key committees and in senior roles. They got both, and they’re still bragging about it.

    At a House Freedom Caucus fundraiser in Tennessee last month, the conservative group’s chair Rep. Scott Perry (R-Pa.) boasted to donors about what it extracted from McCarthy. That included gaining the Homeland Security Committee gavel for a group member after securing Rep. Jim Jordan’s (R-Ohio) eventual chairmanship of the House Judiciary Committee (he first served as the top Republican on the House Oversight panel).

    Jordan’s position, Perry claimed at the event, was based on “leverage, too.” In reality, though, that position had long been expected given Jordan and McCarthy’s increasingly close relationship.

    Rep. Mark Green (R-Tenn.), a member of the Freedom Caucus who was present at the event, now chairs the homeland security panel after the protracted speakership battle.

    “Now we knew we were going to have a dog in the fight … we also knew the competition,” Perry said of the homeland chairmanship race – apparently referring to Rep. Dan Crenshaw (R-Texas) — according to an audio recording obtained by POLITICO.

    “And one of the conversations was: If that other person becomes the chairman of the Homeland Security Committee, then you will not be speaker.”

    While the GOP Steering Committee mostly decides panel chairs, the process is heavily influenced by the speaker. (Green’s position, as well as other competitive chair positions, were decided by the Steering panel after McCarthy’s election on the floor.) Green’s allies have argued that his win was more than just a tradeoff, saying it was a win-win given his resume and vision for the panel. A Crenshaw aide, responding to Perry’s words, called the apparent deal the “worst kept secret in Washington.”

    Additionally, two of the GOP’s most conservative members — Reps. Chip Roy (R-Texas) and Thomas Massie (R-Ky.) — were placed on the lower-profile but powerful Rules Committee. It was perhaps the most decentralizing move McCarthy made; the Rules panel decides exactly the way legislation comes to the House floor, empowering Roy and Massie to block certain bills or push for changes.

    Conservatives gained more representation on other key committees, too. Two of the 20 holdout members landed on the Financial Services panel and two others got seats on Appropriations. And even Freedom Caucus members who were supportive of McCarthy landed on other top panels, like Rep. Randy Weber (R-Texas), who received a spot on Energy and Commerce.

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    ( With inputs from : www.politico.com )

  • Debt ceiling fight heads to battleground NYC suburbs

    Debt ceiling fight heads to battleground NYC suburbs

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    As both parties gaze toward a tumultuous 2024 election cycle, the president’s visit is already putting the Hudson Valley’s moderate Republicans, who narrowly won a handful of toss-up seats six months ago, back on the defensive. The economic tremors associated with a busted debt ceiling could be felt quickly by their constituents.

    “It’s exactly the wrong message,” Rep. Marc Molinaro, a Republican who won New York’s 19th District, said in an interview.

    “I think most Americans see the highest rate of inflation in 40 years, the debt crisis, spending crisis and a border crisis. And the president’s hopping on Air Force One to go siphon campaign dollars out of New York City, and then deliver partisan speeches in the marginal congressional districts. Frankly, there’s plenty of time for that. Right now, he ought to be engaged in negotiation on any one of those fronts.”

    Biden and congressional leaders in both parties met late Tuesday to see if they could reach a compromise, but it appeared no progress was made.

    Both he and Republican Rep. Mike Lawler pointed to Biden’s focus on negotiations — rather than campaign rhetoric — for similar crises when he was senator and then vice president.

    “So it’s a little surprising to see the tact that he has taken, frankly, throughout this process,” Lawler, who flipped New York’s 17th District by fewer than 2,000 votes, said in an interview Tuesday.

    “My position is one that I think most Americans would agree with,” Lawler continued. “Americans elected a House Republican majority to serve as a check and balance on the Biden agenda. And so they expect that there’s going to be a give-and-take. We don’t live in a dictatorship or a monarchy. And, and there needs to be compromise. And both sides need to be willing to give.”

    But Biden’s visit is not surprising to New Yorkers watching the scramble that ensued after November’s bruising results, and it won’t be surprising to see the president and other top Democrats return to Hudson Valley again and again, said Democratic strategist Jon Reinish.

    “I think that both parties regard the Hudson Valley — of all places — as the sort of political epicenter,” Reinish said. “It’s where [House Speaker Kevin] McCarthy made his majority, with a series of unlikely wins, but it’s also where his majority is the most fragile, and if you’re the White House, and if you’re President Biden, you’re going to seek to exploit that.”

    The issue’s partisan nature may serve to push lawmakers like Molinaro and Lawler toward more centrist positions relatively early in the reelection campaign.

    “2024 is coming down the pike really, really fast,” Reinish said. “And Lawler certainly knows that whichever Democrat runs against him is going to be extremely well funded and is going to go after him for any out of the mainstream radicalization and try to tie the rest of a faraway Republican House around him. So if I’m Lawler, I’m going to try to disarm whoever is going to be my opponent from those talking points.”

    The two Hudson Valley Republicans will be targeted by Democrats next year, along with the four seats on Long Island that the GOP swept. Biden and his surrogates made a series of stops in the region last fall to help Democrats, including the then-troubled campaign of Gov. Kathy Hochul, who was able to pull out a narrow win.

    Molinaro shrugged off the idea that the spotlight on the region would alter his or his colleagues’ positions in the near or distant future.

    “At the end of the day, the public — your voters — will reelect you, if you’ve done an earnest and honest job,” he said. “I would say the president of the United States owes my voters, my constituents and every American the same honest earnest job of delivering on the compromise that’s necessary to ensure we do not default and that we don’t continue to spend and mortgage away our kids’ futures.”

    Lawler said he welcomes Biden to his district and looks “forward to being there to hear his remarks.” Molinaro will not.

    “I will be working on Wednesday, in Washington, D.C.,” Molinaro said, pointedly.

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    ( With inputs from : www.politico.com )

  • Biden says he’s exploring 14th amendment to defuse debt ceiling standoff

    Biden says he’s exploring 14th amendment to defuse debt ceiling standoff

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    “I said I would come back and talk,” he said. “The one thing I’m ruling out is default, and I’m not going to pass a budget that has massive cuts.”

    The president’s remarks came at the White House shortly after a meeting he called “productive” with House Speaker Kevin McCarthy and the three other top congressional leaders. But Biden leveled criticism at McCarthy for sometimes making remarks during the meeting that were “maybe a little bit over the top” and for not knowing what he had proposed in his GOP bill.

    “Three of the four participants [were] very measured and low key,” Biden said.

    Back at the Capitol, McCarthy laughed off the comment, saying: “If you ever spend time with [Senate Majority Leader Chuck] Schumer, you’ll find out who the fourth is.”

    On a more serious note, Biden warned that not everyone at the negotiating table pledged to avoid default.

    Among only “three of the five, there was substantial movement that everyone agreed that deficit — defaulting on the debt was off the table,” Biden said.

    The president is scheduled to meet again Friday with McCarthy, Schumer, Senate Minority Leader Mitch McConnell and House Minority Leader Hakeem Jeffries. Until then, White House staff and aides to the four congressional leaders would continue to hold discussions, those involved said.

    Biden is scheduled to leave for Japan in a week for the G-7 summit, but the president said he’d consider delaying his trip if an agreement appeared to be in reach. Underscoring the seriousness of the debt discussions, he called it “the single most important thing that’s on the agenda.”

    Canceling the trip, he said, is possible, but not likely.

    “In other words, if somehow we got down to the wire and we still hadn’t resolved this and the due date was in a matter of, when I was supposed to be away. I would not go. I would stay till this gets finished,” he said.

    White House and congressional appropriations staff are to begin discussions on a budget, which could form the outlines of an agreement. The Biden administration has insisted that the budget talks would be separate from a debt limit increase.

    Biden expressed openness to one key GOP ask: Rescinding tens of billions of dollars in Covid funding.

    “The answer is, I’d take a hard look at it,” Biden said, adding that the government “didn’t need it all” but needed to determine how much of that pot has been committed to various projects. “It’s on the table.”

    Still, Biden made clear that an agreement is not imminent.

    “There’s a lot of politics, posturing and gamesmanship and it’s going to continue for a while, but I’m squarely focused on what matters,” he added.

    Sarah Ferris and Adam Cancryn contributed to this report.

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    ( With inputs from : www.politico.com )

  • Senate Republicans will stand firm on debt ceiling, Mike Lee says

    Senate Republicans will stand firm on debt ceiling, Mike Lee says

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    The letter, which was sent to Senate Majority Leader Chuck Schumer, said Senate Republicans backed House Republicans in supporting “spending cuts and structural budget reform as a starting point for negotiations on the debt ceiling.”

    Democrats have a slim majority in the Senate but not enough to prevent a Republican filibuster on legislation.

    “Whenever you’ve got 41 senators who are unwilling to bring debate to a close on any legislation, it cannot pass. We’ve now got more than enough to stop exactly the kind of legislation that Joe Biden wants,” he said to Bartiromo.

    Lee added: “What that means is that the White House is going to come to the table and enter into real talks with the House Republicans, starting with Speaker Kevin McCarthy,” Lee said.

    House Republicans passed legislation on April 24 that would allow for the debt ceiling to be raised but which would also attempt to put the brakes on federal spending in the future, as well as roll back or cut specific programs. The vote was 217-215.

    Biden and other Democrats have said they are open to budget negotiations but want the debt ceiling treated as a separate issue, as it has been in the past. The expectation is that the the federal government will bump up against the debt ceiling at the start of June.

    Bartiromo asked Lee if he was confident that McConnell and other Senate Republicans would stand firm. Lee said he expected they would.

    “Even if we lost one or two here or there, we’d still be fine,” Lee said, “and I don’t think we’re going to the lose any of them.”

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    ( With inputs from : www.politico.com )

  • Biden calls McCarthy ‘honest’ and himself wise as debt ceiling talks heat up

    Biden calls McCarthy ‘honest’ and himself wise as debt ceiling talks heat up

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    Biden declined the chance to take a personal jab at House Speaker Kevin McCarthy, choosing instead to call him an “honest man.” The two have negotiated formally just once, though McCarthy has been pushing for a followup, and Biden will meet with him and the three other main congressional leaders next week. Instead of teeing off on the speaker, Biden criticized the deal McCarthy cut with his fellow House Republicans to get a debt ceiling hike through their chamber.

    “I think he’s in the position, well, he had to make a deal and that was pretty — you know, 15 votes. Fifteen votes that where he had — just about sold away everything that he — at the far, far right,” he said. “There’s the Republican Party and there’s the MAGA Republicans, and the MAGA Republicans really have put him in a position where in order to stay speaker he has to agree — he’s agreed to things that, maybe he believes, but are just extreme.”

    No workarounds… yet

    The president said he wasn’t ready to try a workaround for raising the debt ceiling, at least not yet. Pressed by Ruhle as to whether he would argue that the debt limit was unconstitutional (as his aides are reportedly considering), he said he had not “gotten there yet.”

    “Here’s the deal, I think that — first of all, this is not your father’s Republican Party. This is a different group. And I think that we have to make it clear to the American people that I am prepared to negotiate in detail with their budget,” he said. “How much are you going to spend? How much are you going to tax? Where can we cut?”

    Age is but a number

    It wasn’t all budget and debt talk. Ruhle also pressed Biden about running for a second term when he would be nearly 82 at his reelection. She noted that no one at a Fortune 500 company would consider hiring a CEO at that age. So why, she asked, would voters give him a job?

    “Because I have acquired a hell of a lot of wisdom and know more than the vast majority of people,” said Biden. “And I’m more experienced than anybody that’s ever run for the office. And I think I’ve proven myself to be honorable as well as also effective.”

    All the president’s troops

    Biden has faced criticism — from both the right and left — for his administration’s decision to send 1,500 active-duty troops to the southern border ahead of next week’s lifting of the Trump-era health policy known as Title 42. Biden defended the move in the interview, saying more resources are needed to address the influx of migrants and that he has sought help from Congress.

    “We’re in a situation now where those 1,500 [troops] at the border, they’re not there to enforce the law, they’re there to free up the border agents that need to be on the border,” Biden said. “And we’re having another thousand people coming in. There are asylum judges to make judgments, to move things along.”

    To Hunter’s defense

    The president’s son, Hunter Biden, has been embroiled in legal problems. Prosecutors are reportedly close to determining whether the younger Biden will be charged with gun and tax violations, and his defense team has reportedly met with prosecutors.

    Biden argued to Ruhle that any federal charges filed against Hunter would not affect his presidency.

    “It will not because he has done nothing wrong. And I’m proud of him,” he said.

    Beat the Press

    When Ruhle pointed out that “sentiment in this country … is not very good,” Biden complained of the negative coverage in the press.

    “All they’ve heard is negative news for years,” he said. “Everything is negative. And I’m not being critical of the press. If you turn on the television, the only way you’re going to get a hit is if there’s something negative.”

    2020 rematch?

    When asked about his past remarks about the “soul of America,” Biden took the opportunity to take a jab at former President Donald Trump, whom he defeated in 2020 — and who currently leads in Republican primary polls. But Biden did not identify Trump by name.

    “We can’t let — we cannot let this election be one where the same man who was president four years ago becomes president again,” he said.

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    ( With inputs from : www.politico.com )

  • Biden wants McConnell at the debt ceiling table, despite (or because of) their history

    Biden wants McConnell at the debt ceiling table, despite (or because of) their history

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    But now that hope has burst into public view.

    Next week’s meeting between Biden and the so-called Big Four congressional leaders marks a new stage in the standoff. And it is a conscious effort by the White House to get McConnell to have some skin in the game.

    Biden and his team have consciously side-stepped the one-on-one negotiation Republicans want to have between the president and House Speaker Kevin McCarthy. But they have calculated it is no longer politically tenable to have no talks at all. So they’re formally setting up a parallel track of conversations around raising the debt limit and addressing the budget, a coy way to talk about the GOP demands to reduce spending while keeping to the president’s pledge to not negotiate over default.

    “The meeting is primarily about negotiating the normal budget progress, where all four leaders have a stake,” said a senior administration official who was granted anonymity to explain why the top leaders were invited. “And, of course, any bill to avoid Congress forcing a default on the American people has to pass both chambers of Congress.”

    The possibility that McConnell will help Biden keep his pledge to not link the debt limit and budget seems unlikely at best. The senator said he would attend the meeting but moved to distance himself from the negotiation, insisting that any resulting deal has to come between the president and McCarthy.

    “The speaker of the House has been sitting at the grown-ups table for months waiting for President Biden to act like a leader,” McConnell said Wednesday. “I accept his invitation to join the meeting myself but I’ll continue to lend my support to the speaker.”

    Still, the effort by Biden’s team to work through him underscores the improved reputation McConnell has among Democrats in the post-Donald Trump era and the long-standing relationship he and the president enjoy.

    McConnell has a long history of engagement in negotiations with Biden, including on the debt ceiling. After Biden’s election, they continued to talk periodically — even as McConnell sought to block the president’s top legislative priorities. Biden has gone to great lengths to praise McConnell and work they’ve done together over the past few decades. The president even visited the Bluegrass State earlier this year to fete McConnell as a friend and “a man of his word.”

    By contrast, Biden has little significant history working with McCarthy — and his allies still eye the speaker warily given his lack of a track record leading the GOP conference, two Biden advisers said.

    Even after passing a debt limit package, they said, some administration officials have complained privately that it’s still unclear what McCarthy wants in the debt ceiling negotiation — or could even accept — given his tight margin in the House and the last-minute arm-twisting it took to line up 218 votes, several of whom openly admitted they were only supporting it to jumpstart cross-aisle talks. That package included severe spending cuts, including to Biden agenda items, making it a non-starter for the president.

    The White House sees other benefits in having McConnell — and, to some extent, Senate Majority Leader Chuck Schumer — at next week’s meeting. Aides hope to undermine House Republican messaging that Biden has an alternative to default: adopting the House bill. While that measure has the support of Senate Republicans — for now — it wouldn’t get the 60 votes needed to pass the Senate. Having the top senators at the White House meeting emphasizes that they, and not just Biden and McCarthy, have a role in the process.

    “President Biden invited the four congressional leaders to the White House to discuss the urgency of preventing default,” said Michael Kikukawa, a White House assistant press secretary. “In that meeting, he will stress that Congress must take action to avoid default without conditions. And he will discuss how to initiate a separate process to address the budget and FY2024 appropriations.”

    Then there are the more tactical matters. Having the four leaders join Biden ensures that a slew of “he said, he said” stories don’t emerge from a one-on-one meeting. A veteran of the Obama White House who now works in the Biden White House recounted the frustration felt after meetings between then-President Obama and House Speaker John Boehner, when details were, in their view, often deceptively spun afterward to reporters.

    For veterans of those 2011 discussions, there is a certain irony in Biden including McConnell in the talks once more. The deal struck by the pair in 2011 angered many Democrats who, at the time, felt McConnell got the upper hand. It even led to then-Majority Leader Harry Reid extracting pledges from Obama to keep Biden out of the 2013 debt ceiling fight.

    But the prospect of averting fiscal calamity in 2023 has led to some amnesia among Senate Democrats, several of whom said Tuesday they are eager to see McConnell at the table. Sen. Chris Van Hollen (D-Md.), an alum of the 2011 debt limit debate as the then-ranking Democrat on the House Budget Committee, said it was important for all four leaders to be in the room.

    “In the past, Sen. McConnell has played an important role in these debates and so that’s why I think it’s important to have them all together,” he said.

    Sen. Tim Kaine (D-Va.) stressed the role for Congress in a budget — not the executive branch.

    “It’s really a House-Senate thing. The fact that he’s going to convene on [May] 9, I’m really happy about that,” he said. McConnell, Kaine added, has “played a constructive role in the past in making sure we didn’t default and he said, we’re not going to default.”

    Next week’s meeting comes as lawmakers prepare off-ramps to the debt ceiling standoff. Senior White House officials had initially hoped that the business community would aid their efforts by pressuring Republicans to accept a clean debt limit hike, for fear of putting the economy at risk.

    But despite direct outreach by Biden aides to business groups and Wall Street executives, few private sector leaders have publicly sided with the White House. Instead, the business lobby has largely encouraged Biden and McCarthy to begin negotiations in hopes of striking a compromise deal.

    On Tuesday, Chamber of Commerce Chief Policy Officer Neil Bradley told reporters “there is no path to a solution raising the debt limit that involves simply passing a clean bill.”

    “That means that there has to be bipartisan negotiations,” he said, adding that the stubborn rhetoric out of the White House and GOP leadership over the last 24 hours had made him more concerned that the U.S. would end up in default.

    “We’re calling on lawmakers in both parties and calling on the administration to get to the table, to get around these solutions and don’t wait until the 11th hour.”

    Adam Cancryn contributed to this report.

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    ( With inputs from : www.politico.com )

  • Days after House GOP bill is approved, debt ceiling deadlock continues

    Days after House GOP bill is approved, debt ceiling deadlock continues

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    House Democratic Whip Katherine Clark called on Republicans to “be the grown-ups in the room,” in addressing the debt ceiling.

    “The American people are looking at us and saying, this shouldn’t be a partisan drama playing out that we are going to foot the bill for,” the Massachusetts Democrat said on MSNBC’s “Inside with Jen Psaki.” “Avoid a default crisis that is manufactured by the GOP. And then we can go and talk about investments.”

    But Republicans are continuing to blame President Joe Biden, who has called on Congress to pass a clean debt limit increase, saying he will not negotiate with Republican House Speaker Kevin McCarthy on the issue, citing historical precedent.

    “Happy to meet with McCarthy,” Biden said at the end of a brief press conference at the White House on Wednesday. “But not on whether or not the debt limit gets extended. That’s not negotiable.”

    House Majority Leader Steve Scalise called on Biden to come to the table Sunday.

    “The White House ultimately needs to get into this negotiation. The president has been in hiding for two months, Martha,” Scalise told host Martha Raddatz during an interview on ABC’s “This Week.” “That’s not acceptable to Americans. They expect the president to sit in a room with Speaker McCarthy and start negotiating.”

    Biden, Scalise said, is “trying to run out the clock and create a debt crisis.”

    “We passed a bill to address the problem. It’s time now for the president to get in this game, get off the sidelines and let’s start negotiating and figuring this out. Not in June when we get to the midnight hour, but today.”

    Sen. Chris Van Hollen (D-Md.) said Biden is willing to negotiate with McCarthy — just not over the debt limit.

    “What he said is that he’s not going to negotiate with people who are threatening to literally blow up our economy, right, put more people out of work, drive up costs, in order to get their way,” Van Hollen said on “Fox News Sunday.”

    “He will sit down with Speaker McCarthy to talk about these issues in the framework of the budget and the appropriations process,” Van Hollen added.

    If Congress fails to raise the debt ceiling the U.S. government could default on its debt in coming months, according to financial analysts, an event that could plunge the country into economic crisis, as well as harm the nation’s credibility internationally.

    But Biden knows “that we can’t default,” Rep. Ro Khanna (D-Calif.) said on CBS’ “Face the Nation.”

    One option he sees as a way forward: a sit-down between Biden and Senate Minority Leader Mitch McConnell.

    “He’s saying we can discuss that, we can negotiate but first pay your bills. And I think that — I think Senator McConnell understands this, and I think the President will sit down with Senator McConnell,” Khanna said.

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    ( With inputs from : www.politico.com )

  • White House regroups after McCarthy’s debt ceiling success

    White House regroups after McCarthy’s debt ceiling success

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    The White House and congressional Democrats are preparing to ramp up attacks on House Republicans over the bill, targeting swing-district members for endorsing policies that would strip investments in their home districts and gut funding for popular programs. Biden’s party insists it’s feeling little pressure to now deliver on House Speaker Kevin McCarthy’s biggest ask — a true negotiation over the debt ceiling.

    “If you reward hostage taking, it simply repeats,” said Sen. Chris Coons (D-Del.), a close Biden ally. “I don’t expect the president to now say, ‘Oh my gosh, you passed a bill with two votes that imposes draconian cuts across programs that most Americans would never support. Now I have to come and give you whatever you want.’”

    Biden is refusing to budge from his demand that Congress pass an unconditional increase to the debt ceiling, betting that he still holds the stronger hand in the face of an economic catastrophe. And while a smattering of moderate Democrats have begun urging the president to actually negotiate with Republicans, the majority of the party seems content with showcasing a GOP bill they see as a self-inflicted wound in swing seats.

    But Democrats’ public confidence that they’re winning the messaging war masks private concerns over how this all ultimately ends — and what damage the standoff may do to a fragile, recovering economy that’s critical to Biden’s case for re-election.

    Biden allies had expected McCarthy’s bid to pass a sweeping debt ceiling bill to fail, especially after watching him struggle to win the speakership and quickly abandon his plan to construct a full budget proposal. Even the Republicans understood the skepticism directed at them with the thin majority.

    “Nobody thought we would have this. Nobody thought we could get together and get anything to [the Senate],” Rep. Ralph Norman (R-S.C.) said in an interview Thursday. “If they want to say it’s not good enough, then I’m sorry that they’re doing that to the country.”

    But once it became clear that McCarthy lacked the influence to wrangle his conference, Biden’s team reasoned, Republicans would lose most of their leverage and eventually soften their demand for concessions. The White House had harbored doubts about the bill’s chances of success even after McCarthy announced plans for a vote, privately questioning whether he could win over the last handful of conservatives trying to push the bill further to the right.

    The speaker only had room to lose a handful of members. “Maybe he’ll eventually get it, but boy, who knows what they’ll have to put in it,” one adviser close to the White House said on Wednesday morning, as McCarthy raced to lock down the votes he needed.

    Yet after the speaker pulled it off, notably winning broad support from his conservative wing, the dynamics shifted. An emboldened McCarthy vowed to make the next several months far more complicated for the White House than aides had initially hoped.

    “No clean debt ceiling is going to pass the House,” McCarthy said to reporters on Wednesday as he did a victory lap.

    In the aftermath of the vote, Biden allies and advisers privately acknowledged that there’s no clear endgame to the debt ceiling standoff — and that McCarthy’s victory makes it more difficult to convince moderate Republicans to back a clean debt ceiling increase for fear of economic disaster.

    The White House signaled that Biden would now be willing to meet with McCarthy for the first time since early February — while sticking to their longstanding position that any negotiations be over the broader federal budget, and not the debt ceiling.

    “I don’t think that it should be a debt ceiling negotiation, I think that it should be a budget negotiation,” said Robert Wolf, a prominent Democratic fundraiser and former Obama-era economic adviser, characterizing it as a “thread the needle” challenge for the White House to draw the distinction.

    GOP leaders, meanwhile, were left livid that the White House had once again brushed aside their opening bid — still refusing to meet with McCarthy on the debt limit.

    “I think it’s absolutely tone deaf,” said Rep. Garret Graves (R-Ga.), a McCarthy deputy who helped craft the party’s debt limit. “I could not believe he made such an arrogant statement.”

    “We’ll continue to reach out to the White House,” Graves said. But, he added with his eye on the opposite chamber: “Obviously, it’s the Senate’s ball at this point.”

    A White House official said that Biden has consistently challenged Republicans over their various proposals, including criticizing an early blueprint from the Freedom Caucus at several points, and maintained from the outset that he was open to negotiating the budget but not the debt ceiling.

    White House officials have kept in close touch with Senate leaders over their plans to maintain Biden’s no-negotiation posture, believing they can still grind enough Republicans down over time — especially as pressure and political attacks on swing-district lawmakers begin to mount. Despite McCarthy’s victory on Wednesday, Biden allies noted that he still lost four members on what was effectively a messaging bill — and needed Rep. George Santos to vote yes and bail him out of potential embarrassment.

    Still, there is recognition that the bill’s passage means Biden’s “show us your plan” dismissals will no longer cut it. Aides downplayed the idea that a meeting with Biden represents a direct reward for passing his bill, and stressed that any sitdown would include other congressional leaders.

    Biden is also unlikely to meet with Republicans on the issue until May at the earliest, with the House leaving Friday for recess until May 8. (McCarthy allies, though, had said he’s willing to fly back to D.C. for such an occasion.)

    For now, though, most Democrats seem comfortable with Biden’s position.

    “Most Americans want Republicans to take action to avoid default. They don’t want the price of that to be throwing a million people off Meals on Wheels,” said Sen. Bob Casey (D-Pa.), who endorsed Biden early in the 2020 primary. “After that’s done, on a bill that should be about [the debt ceiling] and nothing else, you can have lots of discussions about appropriations level.”

    Those kinds of Democratic attacks — targeting the GOP’s proposed cuts to popular social programs — will likely make up much of Biden’s messaging going forward. Though White House officials remain nervous about how and when the standoff will end, Biden’s more politically minded advisers see the House bill as an early gift to a re-election campaign that will rely heavily on contrasting Biden’s agenda with the goals of the GOP’s conservative wing, two people familiar with the campaign planning said.

    Still, battleground Republicans argue that it’s Democrats, not their own party, that will face backlash if they keep sitting idle.

    Rep. Mike Garcia (R-Calif.), who won a seat that swung towards Biden in 2020, said he is “looking for a president that actually shows up to the table.” But he also acknowledges that what Republicans passed was the first salvo in what is expected to be a tense standoff — even if other members of the right wing disagree.

    “McCarthy has been very clear: This is the first step to change, right? But you got to be in a negotiation,” Garcia said Tuesday. “You have to have another party at the table to negotiate with, so we will not negotiate with ourselves anymore.”

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    ( With inputs from : www.politico.com )

  • Nearly 200 House Democrats have signed onto a letter echoing President Joe Biden’s call for a clean debt ceiling hike.

    Nearly 200 House Democrats have signed onto a letter echoing President Joe Biden’s call for a clean debt ceiling hike.

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    The letter comes as the House votes as soon as Wednesday on Speaker Kevin McCarthy’s opening debt limit offer, with spending concessions attached.

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    ( With inputs from : www.politico.com )

  • How the White House sees its debt ceiling standoff with McCarthy

    How the White House sees its debt ceiling standoff with McCarthy

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    The endgame is still hard to see, weeks or even months away depending on how quickly the nation approaches default. But the political battle entered a new phase this week when McCarthy finally put forth a legislative proposal in his speech Monday, laying out the spending cuts Republicans wanted in exchange for a one-year debt ceiling increase — and giving the White House officials something specific to attack.

    And attack they have. Biden’s speech Wednesday at a Maryland union hall served as a summation of his team’s theory of the case. And White House aides have made it clear they’re eager to continue talking about this, whether through emails from the press shop, Cabinet officials describing the specific impacts of proposed cuts or at the briefing room podium.

    On Friday, press secretary Karine Jean-Pierre called McCarthy’s proposal a “ransom note” and emphasized a new VA analysis on the impact of proposed GOP cuts on veterans healthcare. The president’s economic agenda, the White House believes, is popular. Repealing laws that have helped the middle class and created jobs, cutting taxes for corporations and the rich, and risking default are not.

    Republicans, Biden asserted Wednesday, “say they’re going to default unless I agree to all these wacko notions they have. Default. It would be worse than totally irresponsible.”

    He reminded McCarthy of the GOP’s hypocrisy — they had no problem raising the debt ceiling three times during the Trump presidency — and of Ronald Reagan and Donald Trump’s own comments decrying debt limit brinkmanship as reckless. Biden also urged the speaker to “take default off the table, and let’s have a real, serious, detailed conversation about how to grow the economy, lower costs and reduce the deficit.”

    According to two people familiar with the administration’s strategy, it’s not clear to anyone inside the White House if McCarthy has the votes from his own caucus to pass his bill, and it may not yet be clear to the speaker himself, who has what one person familiar with the White House’s thinking termed a “principal-agent problem.”

    The bill would be dead on arrival in a Democrat-controlled Senate. But the White House is signaling clearly to GOP moderates in the House: Vote to cut popular programs, including Social Security and Medicare, at your own risk.

    “If they pass this, we are going to hang it around their moderates’ necks,” said one person familiar with the administration’s thinking.

    Chad Gilmartin, a McCarthy spokesperson, said “the White House is clearly having trouble defending President Biden’s reckless spending and irresponsible refusal to negotiate with Speaker McCarthy on the debt limit.”

    He added: “It’s no surprise that the administration now has to fall back on crazy accusations against the only plan in Congress that would avoid default.”

    But Biden, his aides say, learned from the Obama administration’s 2011 standoff with Republicans that it’s imperative not to allow the debt ceiling to become part of negotiations. But with McCarthy’s tenuous speakership constantly hanging by a thread, and dependent in large part on his ability to placate his most extreme members, the White House knows that talking him off the ledge on risking default — giving up what he sees as his main point of leverage — won’t be easy.

    And as much as White House officials like the politics of the negotiations’ current phase, they know they, too, will face pressure to negotiate the closer they get to D-Day.

    The window for scoring points, in fact, could be quite short as the danger of default grows. Goldman Sachs economists this week said that, due to weaker than expected tax season revenues, the U.S. could hit the debt ceiling in early June, earlier than expected. Within the administration, there are some differences in the level of alarm, as senior officials focused on economic matters have privately expressed more concern about the serious possibility of default than others whose purview is politics, according to one senior administration official, who spoke on the condition of anonymity to speak freely.

    Already, some Democrats are urging Biden to engage with McCarthy sooner rather than later. But at this point, Biden would be unlikely to say anything different to the speaker in private than what he’s said publicly — he’s open to a bipartisan deal on spending but only after lawmakers authorize a clean debt ceiling increase. That said, Jean-Pierre Friday wouldn’t go as far as to say that Biden would only meet with McCarthy after he puts forth a clean debt ceiling hike.

    And there’s doubt inside the West Wing about whether McCarthy is ready for a meeting. Some aides believe it will take mounting pressure from the business community for the speaker to relent and that, given the difficult politics within his own caucus, he may not be able to back down. In such a scenario, the White House hopes that the House might at the very least swallow a Senate-passed bill to avoid default, if some Republicans are willing to use a discharge petition to get such a bill to the floor.

    But some in the administration are less confident about that scenario coming to fruition than the White House is at the moment about the current contours of the debate. Senate Republican Leader “Mitch McConnell as the backstop is scary,” the senior administration official said.



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    ( With inputs from : www.politico.com )