Congressional leaders eyeing two-year caps deal up to $200 billion

Congressional leaders eyeing two-year caps deal up to $200 billion
© Greg Nash

Congressional leaders are eyeing a deal to raise budgetary caps by as much as $200 billion over two years.

A deal on budgetary caps will be a first step toward hammering out a spending deal for 2018.

Congressional sources tell The Hill that there is still work to do before a deal can be finalized. Democrats are clamoring to raise nondefense spending caps by the same level as defense caps.

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This week, Congress approved a defense authorization package that's $77 billion higher than the 2018 budget cap.

Government funding is set to expire on Dec. 8, and Speaker Paul RyanPaul Davis RyanCheney takes shot at Trump: 'I like Republican presidents who win re-election' Cheney allies flock to her defense against Trump challenge Paul Ryan researched narcissistic personality disorder after Trump win: book MORE (R-Wis.) has indicated that he expects a short-term continuing resolution to extend funding to the end of the year. Without a spending deal or an extension, the government would shut down.

But current spending levels are higher than the 2018 caps set by the 2011 Budget Control Act. Without a deal to raise the caps, continuing spending at current levels would trigger sequestration, or across-the-board spending cuts, starting in late January.

While there has been progress in talks between the White House and the so-called four corners — Ryan, Senate Majority Leader Mitch McConnellAddison (Mitch) Mitchell McConnellFord to bolster electric vehicle production in multi-billion dollar push On The Money — GOP blocks spending bill to kick off chaotic week in congress Overnight Health Care — Presented by Alrtia — Booster shots get bipartisan rollout MORE (R-Ky.), House Minority Leader Nancy PelosiNancy PelosiManchin cast doubt on deal this week for .5T spending bill Obama says US 'desperately needs' Biden legislation ahead of key votes Congress shows signs of movement on stalled Biden agenda MORE (D-Calif.) and Senate Minority Leader Charles SchumerChuck SchumerObama says US 'desperately needs' Biden legislation ahead of key votes Congress shows signs of movement on stalled Biden agenda Schumer gets shoutout, standing ovation from crowd at Tony Awards MORE (D-N.Y.) — no final agreement has yet been reached.

Meanwhile, Senate Appropriations Committee Chairman Thad CochranWilliam (Thad) Thad CochranBottom line Bottom line Alabama zeroes in on Richard Shelby's future MORE (R-Miss.) said Thursday that he would release a chairman's mark of the four appropriations bill the committee has still not taken up.

“A budget agreement is necessary for the Senate to approve responsible appropriations legislation. I urge all parties to those negotiations to redouble their efforts to reach agreement,” he said in a written statement.