House Republicans will approve a short-term increase of the debt ceiling in exchange for an official budget resolution from the Democrat-led Senate, a chamber that hasn't passed a traditional budget since the early days of President Barack Obama's first term nearly four years ago.
House Majority Leader Eric Cantor, R-Va., said Republicans will exchange a three-month increase for an official Senate budget resolution. If Democrats in the Senate cannot pass one, Cantor said, members won't get paid.
"The first step to fixing this problem is to pass a budget that reduces spending. The House has done so and will again. The Democratic Senate has not passed a budget in almost four years, which is unfair to hardworking taxpayers who expect more from their representatives. That ends this year," Cantor said in a statement from the House Republican retreat here on Friday. "We must pay our bills and responsibly budget for our future. Next week, we will authorize a three-month temporary debt limit increase to give the Senate and House time to pass a budget. Furthermore, if the Senate or House fails to pass a budget in that time, members of Congress will not be paid by the American people for failing to do their job. No budget, no pay
Senate Majority Leader Harry Reid on Friday responded to the GOP plan by saying he "would be happy to consider" a debt-ceiling increase from the House, but only if it doesn't include extra stipulations.
"If the House can pass a clean debt-ceiling increase to avoid default and allow the United States to meet its existing obligations, we will be happy to consider it," Reid said in a statement. "As President Obama has said, this issue is too important to middle-class families' economic security to use as a ploy for collecting a ransom. We have an obligation to pay the bills we have already incurredóbills for which many House Republicans voted."