A bit more information on the plan Senate Majority Leader Harry Reid (D-NV) and Senate Minority Leader Mitch McConnell (R-KY) are ironing out to raise the debt limit, and avoid a catastrophic debt default.
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You'll recall that McConnell's original vision was heavy on the politics, but substantively amounted to allowing President Obama to raise the debt limit with no policy strings attached -- no spending cuts, no tax increases, nada. The rub was that Obama would have to raise the debt ceiling in three increments, and notify Congress of his intent each time. Each time, Congress would vote, or attempt to vote, to stop him from doing so. Each time, he'd veto. Each veto would be sustained by a minority vote in both the House and Senate. In addition, each time, he'd have to draw up a menu of aspirational spending cuts of his choice, in the amount by which he's raising the debt limit.
In an unexpected turn, Reid is proposing to give McConnell back the "clean," no-strings-attached aspect of his offer, according to a highly-placed Democratic source.