WASHINGTON — Senate Republican leader Mitch McConnell has given Democrats a new offer to extend the federal debt ceiling into December.
The Senate has gone into recess so lawmakers can discuss the proposal, delaying a procedural vote on a House-passed bill to suspend the debt cap.
However, many Democrats appear ready to accept the offer.
“We have to see the final wording on the offer … we view this as a temporary victory,“ Sen. Tammy Baldwin (D-Wis.) said, according to Politico.
Sen. Elizabeth Warren added that "McConnell caved." She said Democrats can now work on passing their priorities, which include health care and climate change.
White House Press Secretary Jenn Psaki had a less optimistic take on McConnell's offer, which she said has not been made in writing.
"Why kick the can down the road another couple of weeks? Why create an additional layer of uncertainty? Why not just get it done now," she said.
Meanwhile, President Joe Biden is enlisting top business leaders to help push for immediately suspending the debt limit.
He says that the approaching Oct. 18 deadline creates the risk of a historic default that would be like a “meteor” that could crush the economy and financial markets.