Posted: Jul 31, 2011 10:01 AM
Source: Associated Press
WASHINGTON- White House officials and congressional Republicans are discussing a potential agreement that could end their bitter debt limit showdown. The hope is that a deal can be completed by Tuesday to avert a possible government default.
Officials speaking on condition of anonymity say the White House and GOP are discussing a plan to raise the government's debt ceiling by about $2.4 trillion, enough to last through next year. There would be slightly larger spending cuts enacted in two stages, and a promise to vote on a constitutional amendment requiring a balanced budget.
After weeks of sharply partisan conflict, Senate Majority Leader Harry Reid says there are signs of cooperation and compromise. The Nevada Democrat said late Saturday that the two sides are still tying down loose ends.