Updates: Will Biden, McCarthy reach a deal on debt ceiling?

On Thursday, Speaker Kevin McCarthy voiced optimism that negotiators have a structure now and are working two or three times a day. DeSantis suggests only he could beat Biden ahead of the expected 2024 launch. McCarthy also praised Biden’s picks to lead the talks – a move by the White House.

Bipartisan negotiators are racing to secure a debt ceiling deal, but rank-and-file lawmakers in both parties are raising alarms about the concessions their leaders have made. President Biden and Speaker Kevin McCarthy both hinted at significant progress in the talks, but rank-and-file lawmakers in both parties are raising alarms about the concessions their leaders have made.

To be successful, party leaders will have to navigate the various pressures from rank-and-file lawmakers in both parties. For McCarthy, it means assuring leery conservatives that he’s not straying too far from the legislative package that passed through the House late last month, which combined a debt limit increase with steep cuts in federal spending.

The Freedom Caucus complicated McCarthy’s task further by urging the Speaker to step away from the negotiating table and demand that Democrats accept the House-passed bill.

Biden is facing his own headaches from the left, with liberals in both chambers coming out in strong opposition to GOP-backed proposals for tougher work requirements for federal assistance programs.

Biden has ruled out changes to Medicaid in negotiations with McCarthy, but he has sparked confusion and frustration in his party when he appeared to open the door for stricter work requirements for other programs, like Supplemental Nutrition Assistance Program (SNAP) and Temporary Assistance for Needy Families (TANF). Rep. Pramila Jayapal, chair of the Congressional Progressive Caucus, described the push as a “nonstarter” and warned of potential uproar if his party is unsatisfied with the final deal. Other Democrats in both chambers are worried about the concessions the White House could wind up making as part of the bipartisan talks, underlining the potential uproar in store for the president if his party is unsatisfied with the final deal.

The Republicans’ bill would have hiked the debt ceiling through next March, but Biden and Democrats have rejected that timeline, demanding a longer window to get beyond those elections.

Spending levels are also a major point of contention. The Republicans’ bill would have reduced deficit spending by roughly $4.8 trillion over the next decade, but conservatives are warning that anything less must be met in kind from Democrats. The challenge facing McCarthy and his leadership team is to find a compromise that can win the support of Biden and congressional Democrats without alienating conservatives in his own conference.

Earlier this week, McCarthy tapped Rep. Garret Graves, a close ally, to spearhead the talks with Biden administration officials. The White House has tapped known dealmakers Shalanda Young, Steve Ricchetti, and Louisa Terrell to work towards a compromise.