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President Biden cutting trip short to deal with debt ceiling

Joe Biden courtesy CNBC
Joe Biden courtesy CNBC

President Joe Biden is engaging in crucial debt limit negotiations with congressional leaders at the White House, and among the potential areas of compromise, stricter work requirements for social safety net programs are emerging as a focal point.

To accommodate the delicate state of the debt ceiling talks, the White House announced on Tuesday that the second leg of Biden’s upcoming international trip would be canceled. Originally scheduled to depart for Japan on Wednesday to attend the Group of Seven summit, Biden will now return to the U.S. immediately after the meeting ends on Sunday, skipping planned visits to Papua New Guinea and Australia.

This adjustment in plans sets the stage for a critical phase in efforts to avoid a historic default on U.S. debt and prevent significant economic repercussions.

House Republicans have made work restrictions for social programs a key demand, which they included in a partisan debt limit bill that passed in the House last month. House Speaker Kevin McCarthy emphasized the public’s desire for these requirements and criticized Democrats for risking default by refusing to collaborate on the issue.

However, stricter work requirements are a red line for some progressive Democrats, potentially complicating the vote count for any debt limit deal in the House. Representative Ro Khanna, a California Democrat and member of the Congressional Progressive Caucus, voiced his opposition to increasing work requirements, labeling them as cruel and incompatible with the current economic slowdown.

While Biden and the White House had previously opposed the requirements, they have recently signaled openness to considering them as part of the negotiations to raise or suspend the debt limit before the potential default next month.

During the meeting at the White House, Biden, Vice President Kamala Harris, and congressional leaders, including McCarthy, Minority Leader Hakeem Jeffries, Senate Majority Leader Chuck Schumer, and Minority Leader Mitch McConnell, are discussing the pressing matter.

Over the weekend, Biden mentioned his past support for welfare work requirements while pointing out the need for clarity on the exact proposal. While a Republican bill passed last month included stricter work requirements for Medicaid, Temporary Assistance to Needy Families (TANF) funds, and Supplemental Nutrition Assistance Program (SNAP) food stamps, the White House reiterated on Tuesday that Biden would reject at least some of these proposed requirements, emphasizing that he would not accept proposals that strip people of their health coverage.

As negotiations continue, the fate of stricter work requirements in any debt limit deal remains uncertain, with differing views among lawmakers and the White House on this contentious issue.

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