Trump bucks GOP leadership, backs Democratic deal on debt ceiling, funding government

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President Donald Trump, siding with Democrats over his fellow Republicans, agreed on Wednesday that Congress should pass an extension of the USA debt limit until December 15, a government funding bill covering the same period and disaster aid for Hurricane Harvey victims, Democratic leaders said.

"I'm glad that some Republicans in Congress have voiced their opposition to the President's decision, because we're going to need them to right the ship", Schumer said.

" We had a very good meeting with Nancy Pelosi and Chuck Schumer", Trump told reporters on the presidential aircraft, not offering any mention of Ryan or McConnell, who also were present.

After an angry August that Trump spent lobbing attacks at fellow Republicans, specifically targeting Senate Majority Leader Mitch McConnell for the failure of health care legislation, the president wasted little time once Congress came back this week in demonstrating his disdain for the GOP House and Senate leaders charged with shepherding his agenda into law.

"We agreed to a three-month extension on debt ceiling, which they consider to be sacred - very important - always we'll agree on debt ceiling automatically because of the importance of it", the president said.

If Congress does not raise the debt limit, the USA will run out of money to pay its bills.

McConnell, Ryan and Mnuchin pushed during the meeting for a longer-term debt-limit deal, according to several people with knowledge of the discussion. "To play politics with the debt ceiling like Schumer and Pelosi apparently are doing I don't think is a good idea".

Some of the must-pass legislation lawmakers face include a debt ceiling increase and a government funding bill by the end of the month.

At one point late in the meeting, the president's daughter Ivanka entered the Oval Office to say hello, said an aide briefed on the discussion.

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Pressed repeatedly, a White House spokesperson declined to comment on whether GOP leaders were "visibly annoyed" by Ivanka Trump's presence in the GOP meeting. "I can not believe the Republicans are extending the debt ceiling-I am a Republican & I am embarrassed!", he tweeted.

The U.S. dollar got a boost on news of agreement on the debt ceiling, which caps how much money the U.S. government can borrow.

President Trump undercut Republican leaders who were opposed to the deal.

The meeting was created to discuss legislation to provide relief for Hurricane Harvey, raise or suspend the debt ceiling, and fund the government past the end of September.

"The Pelosi-Schumer-Trump deal is bad", Sasse said.

The House overwhelmingly passed a bill to provide $7.9bn for victims of the floods before the Federal Emergency Management Agency (Fema) runs out of funds later this week.

Some conservative groups, such as Heritage Action, support this disaster aid without spending offsets.

Meanwhile, congressional Republicans are left fuming.

Since their votes are needed to pass debt ceiling increases, Democrats potentially could use the next vote debt limit vote at the end of this year as leverage to win concessions on a tax reform package that Trump badly wants to advance.

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