Hiroshima, Japan
CNN
—
President Joe Biden issued a stark warning Sunday that Republicans in Congress could use a national default to damage him politically and acknowledged that time was running out to use possible unilateral actions to raise the federal debt limit, a sharp change of tone days before the deadline to reach an agreement.
Characterizing the GOP proposals as “extreme” and warning that they could not garner enough support in Congress, Biden said he was unable to promise fellow world leaders gathered in Japan for the Group of 7 talks that the U.S. do not breach
“I can’t guarantee they won’t force a default by doing something outrageous,” he said.
Biden’s remarks, delivered as he prepared to return to Washington, were the latest sign that talks between the White House and congressional Republicans are far from over.
He was expected to speak by phone with House Speaker Kevin McCarthy shortly after taking off aboard Air Force One, though it was unclear whether that conversation would break the impasse.
“My guess is that he’ll want to deal directly with me to make sure we’re all on the same page,” he said.
Republicans have been seeking spending cuts in the federal budget in exchange for their support for raising the nation’s debt limit. On Sunday, Biden acknowledged a “significant” disagreement with Republicans in some areas, insisting that while he is willing to cut spending, “tax revenue is not off the table” as part of the deal.
“Much of what they’ve already proposed is simply, frankly, unacceptable,” Biden said at the news conference. “It’s time for Republicans to accept that there is no bipartisan deal that should be done solely on their partisan terms. … They have to move, too.”
Pressed on whether he would be to blame in a predetermined scenario, he said that based on what he has offered, he should be blameless, but acknowledged that “no one will be blameless” as he suggested some of his political rivals may be encouraging a breach to sabotage his re-election efforts.
“I think there are some MAGA Republicans in the House who know the damage it would do to the economy, and because I’m president and a president is responsible for everything, Biden would take the blame and that’s the only way make sure that Biden is not re-elected,” he said.
Biden also addressed the possibility of using the 14th Amendment to continue US government borrowing in the absence of a deal, suggesting he has the power, but not the time, to use unilateral action.
“I think we have the authority. The question is, could it be done and invoked in time that couldn’t — wouldn’t it be appealed?” Biden asked, saying the question of whether an appeal could be resolved before the default deadline was “unsettled.”
Pressed by CNN’s Phil Mattingly to clarify whether he thought he could invoke the 14th Amendment as a serious, tangible option, the president made it clear that the maneuver would not succeed given the short window that remains.
“We haven’t created a unilateral action that can be successful in a matter of two or three weeks. That’s the problem. So it’s up to the lawmakers. But my hope and intention is to solve that problem,” he said.
Treasury Secretary Janet Yellen has warned that the US could default on its debts as early as June 1.
On Saturday afternoon, McCarthy said negotiators could not resume talks with the administration until Biden returned to Washington.
“Unfortunately, the White House moved backwards,” the California Republican said. “I don’t think we can move forward until the president can come back.”
Biden has been traveling abroad to attend the Group of 7 summit in Hiroshima, Japan, since leaving Washington on Wednesday. Biden is scheduled to return to D.C. on Sunday, an abbreviated version of his trip that originally had stops in Australia and Papua New Guinea before Biden cut the final legs amid debt ceiling talks.
Biden asked his team to coordinate with the speaker to arrange the conversation Sunday morning Eastern time, which would be the first conversation between the two men since talks on the debt appeared stalled amid disputes over the spending limits.
Republican Rep. Dusty Johnson of South Dakota confirmed Saturday that the White House made an offer to cap future spending at current levels, which Johnson called “unreasonable.”
Johnson, a McCarthy ally and chairman of the centrist Main Street Caucus, is one of several key players briefed by Republican negotiators on the talks.
“The negotiations did not go well today,” Johnson said. “The document that the White House provided was a big step back. And it undermined all the progress that was made on Wednesday and Thursday. … It has put the negotiations in jeopardy.”
Johnson warned: “We are at real risk of default.”
This story and headline have been updated with additional updates.
