McCarthy Indicates Talks Collapsed On Reverting To 2022 Spending Levels

House Speaker Kevin McCarthy (R-CA) has told reporters: “We can't be spending more money next year. we have to spend less than we spent the year before. it's pretty easy.”

• McCarthy continued, "We've got to get movement from the White House and don't have any movement yet."
• McCarthy pivoted from yesterday's optimistic assessment: “I mean yesterday, I really felt we were at the location where I could see the path. The White House is just…” According to Max Cohen at Punchbowl, "McCarthy trailed off. He’s clearly frustrated..."
• Jake Sherman at Punchbowl: "McCarthy is reflecting that the impasse is over reverting spending to 2022 levels, which is something Dems have no interest in."
• The White House has also confirmed that talks are currently on pause, stating that Biden will be briefed on developments in the morning, Tokyo time.
• AP reported this morning: "McCarthy’s Republicans want to roll back spending to fiscal 2022 levels and cap annual increases at just 1% over the next decade — sparing Defense and Veterans accounts... Democrats are resisting, and negotiators are eyeing budget caps for the next several years as an alternative to limits that would extend for a decade."