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Perry: Obama, Democrats ‘hold the cards’ in fiscal showdown

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“I don't know what all the details are and what has been offered and what hasn't behind closed doors,” Perry said on "Fox and Friends." “I think that's a bit of a stretch for us on the outside looking in, but the president of the United States and the Senate hold the cards here. We understand that, and the Republicans are going to have to hold their ground and try to get as much as they can.”

The White House and Senate are expected to announce a deal that Democrats believe could muster 70 or 80 votes in the upper chamber. The proposal would open the government, raise the debt ceiling, appoint budget conferees to review the sequester cuts and make some modest changes to the Affordable Care Act.

Still, a handful of reports Tuesday indicated the agreement would be a tough sell in the House. It remains unclear whether Speaker John Boehner (R-Ohio) would allow a vote on the proposal and risk backlash from his caucus’s conservative flank, or counter with a House proposal just two days before the U.S. hits its borrowing limit.

“At the end of the day, you've got to keep this country functioning and so half a loaf is better than no loaf,” Perry continued. “We've always seen that in our negotiations, and hopefully the president will quit making people suffer and will work towards finding a negotiated settlement, if you will, that is in the best interest of the people of this country.”