The House on Wednesday offered a compromise on a government funding bill, setting the stage for a potential bipartisan compromise on the debt limit.
House Speaker Paul Ryan (R-Wis.) made a last-minute concession in the face of pressure from Republicans to agree to a deal.
But the White House said the deal is not dead, and that it is still exploring a plan to raise the nation’s borrowing limit.
“It remains possible that a deal could be reached with Democrats, and I’m hopeful that there is going to be a solution that will be good for the American people and good for our country,” Ryan said.
“It remains to be seen what that solution will be.”
The Republican plan includes an increase in the debt ceiling, which Republicans have proposed in a series of previous efforts to raise revenue.
But it also includes a series that would require the Treasury to report to Congress more information on the number of Americans who are unemployed, those on disability, and people on food stamps.
In addition, Republicans would also require the House to raise taxes by $1.6 trillion, and to pay for them by eliminating tax breaks for companies and the wealthy.
The House also would cut back federal spending on food and housing, and provide $2.9 trillion to the Veterans Administration to address long-term care needs.
Democrats, who are pushing a spending package that would raise taxes on the wealthiest Americans, have already signaled they will not agree to the GOP plan.
The House bill would reduce the corporate tax rate to 15% from the current 35%, but it would only take effect on Jan. 1.
The Senate has not voted on the bill.
Senate Majority Leader Mitch McConnell (R) said the party will continue to negotiate with Democrats over the debt and that the parties will continue discussions.
“We’re going to keep talking with the Democrats about what we want to get done.
We have no intention of compromising,” McConnell said on Fox News.