Biden, McCarthy to speak on debt limit; talks stalled as Republicans seek deep spending cuts
Associated PressHIROSHIMA, Japan — President Joe Biden planned on Sunday to speak directly with House Speaker Kevin McCarthy, hoping to salvage talks to raise the debt limit that have stalled in recent days while he was abroad at the Group of Seven summit. “We’re going to get a chance to talk later today,” Biden said of McCarthy, R-Calif., while the president met with the leaders of Japan and South Korea at the G7 in Hiroshima, Japan. The president added that he believes “we’ll be able to avoid a default, and we’ll get something decent done.” For months, Biden had refused to engage in talks over the debt limit, insisting that Congress must not play political games by trying to use the borrowing limit vote as leverage to extract other policy priorities. McCarthy had said resolution to the standoff is “easy,” if only Biden’s team would agree to some spending cuts Republicans are demanding. Still up for debate are policy changes, including a framework for permitting reforms to speed the development of energy projects, as well as the Republican push to impose work requirements on government aid recipients that Biden has been open to but the House Democratic leader Hakeem Jeffries of New York has said was a “nonstarter.” McCarthy faces pressures from his hard-right flank to cut the strongest deal possible for Republicans, and he risks a threat to his leadership as speaker if he fails to deliver.