WASHINGTON (AP) — Both President Barack Obama and the top Democrat in Congress reported progress Monday toward a deal to avoid a threatened default and end a two-week partial government shutdown, as Obama called congressional leaders to the White House to press for an end to the impasse.
Congress' failure to pass a bill temporarily funding the government led to the partial shutdown on Oct. 1, the first in 17 years. And if Congress doesn't approve a separate measure increasing the debt ceiling — the amount of money the government is allowed to borrow — the Obama administration says it risks default. The two normally routine pieces of legislation have become entangled in disputes over Obama's health care overhaul and government spending.
Under discussion is an increase in the debt limit so the government can continue paying its bills well into next year and a short-term funding measure that would re-open the government.
Visiting a Washington charity, Obama mentioned the possible progress in the Senate and said his mid-afternoon meeting will determine whether it's real.
"There has been some progress on the Senate side, with Republicans recognizing it's not tenable, it's not smart, it's not good for the American people to let America default," he said while visiting a Washington charity that has retained furloughed government workers as volunteers.
Otherwise, he warned, the threat of default was legitimate.