Senate Minority Leader Mitch McConnell (R-Ky.) is demanding "significant" near-term cuts in Medicare and Medicaid in exchange for agreeing to raise the federal debt limit by early August, according to a report by Bloomberg.
Sen. McConnell said there would need to be big policy changes in the Medicare and Medicaid healthcare programs and President Obama should identify specific adjustments both parties can agree on.
Even in the Senate, where Republicans are the minority, Democrats will need GOP support on raising the debt ceiling to reach a 60 percent majority and avoid a filibuster.
The federal government is scheduled to hit the $14.3 trillion debt limit next week and will run out of options for avoiding default by early August, according to projections by Treasury Secretary Timothy Geithner.
Read the Bloomberg report on Medicare and Medicaid cuts.
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