(CNN) - There’s a deal! After a whirlwind couple of days of political jockeying, Senate leaders announced the final terms of a bipartisan compromise to reopen the government and raise the debt limit.
Here’s what you need to know:
Up to Speed
Wednesday afternoon. Senators are reading the proposal, and House Republicans and Democrats met separately to review it and consider next steps.
Both the Senate and the House are now expected to take it up on Wednesday evening, but it’s anyone’s guess when they might finish their work.
President Barack Obama praised the Senate compromise and urged quick action in Congress with the government’s authority to raise money set to expire on Thursday.
The stock market responded positively, jumping by 200 points around noon before settling back a bit as Washington appeared to be pulling back from the fiscal brink. But businesses are blaming the Washington tumult for holding back hiring, according to a new survey.
The Senate deal would:
Reopen the government, funding it until January 15.
It also would raise the debt limit until February 7 to avert a possible default on U.S. debt obligations for the first time.
Also, the White House supports a provision in the deal that strengthens verification measures for people getting subsidies under Obamacare.
In addition, the Senate agreement would set up budget negotiations between the House and Senate for a long-term spending plan.
What this means
But how would a Senate plan, which was quickly vocally rejected by House Republicans, pass the House? CNN’s John King explains: “If you get a scenario where the Senate sends over a plan and Speaker Boehner brings it to the floor and lets the full majority, 435 members of the House rule, most of the House Republicans can vote no.”
Rep. Charlie Dent, R-Pennsylvania, said as much on Tuesday night on CNN.
“I believe that John Boehner will likely be in a position where he will have to essentially pass the bill that is negotiated between senators McConnell and Reid. And I believe the house would first pass it then send it to the senate,” Dent said.
Debt deadline decoded
Many Americans, unfortunately, live paycheck to paycheck. Now it looks like the United States of America is doing the same.
On Thursday, the nation’s treasurer runs out of his ability to confidently pay all our bills. An Obama administration official told CNN’s Brianna Keilar that the markets will remain calm as long as a resolution is nearing completion. But if there is still chaos...
That statement gives debt deniers more reason to doubt. Rep. Steve King, R-Iowa, who said on CNN’s ‘New Day’ that it was a day simply “picked on a calendar.”
CNN’s Richard Quest responded to the debt deniers. “Why would you want to risk it?” Quest asked.
Quest also reminded people why the debt ceiling matters: “The United States is at the core of the global economy and the bond market is at the core of the core. U.S. Treasuries, U.S. debt is in every portfolio, pension fund, used by the banks to trade between each other. You are literally talking about the glue that is holding the financial world together.”
Meanwhile, ratings agency Fitch said that it may downgrade the country's AAA credit rating to AA+ over the political brinksmanship.
10:00 a.m.: House is in session LIVE House in session
12:00 p.m.: Senate is in session
2:00 p.m.: Defense Secretary Leon Panetta talks about the debt limit
2:25 p.m.: President Obama meets with Treasury Secretary Jack Lew
By the Numbers
Moody’s economist Mark Zandi said the government shutdown has cost $20 billion so far. Here’s what that could have paid for:
2: weeks of unemployment insurance:
94: Percent of state national park requests
8: years of capital funding for airports
2: years of school lunch program
33: Percent of the country’s annual expenditure on food stamps
50: Percent of annual Pell Grants
392,000: Number of household salaries at the $51,017 median household income
Yep, it’s still the law. But for the first time the President addressed the website glitches. In an interview with KCCI, Obama said it “has had way more glitches than I think are acceptable and we've got people working around the clock to do that.”
The state of North Carolina has suspended two benefits program for low-income people. The state is not accepting any new applications for a family cash assistance program called “Work First,” impacting about 20,000 North Carolinians, most of them children. A separate monetary assistance and health benefits program for refugees has also been suspended.