WASHINGTON, July 24 Here is what is happening
on Sunday as lawmakers try to close in on a deal to raise the
$14.3 trillion U.S. debt limit by Aug. 2 and avoid a credit
* U.S. House of Representatives Speaker John Boehner tells
Fox News Sunday that House Republicans are prepared to push
through their own deficit reduction package if congressional
leaders fail to produce a bipartisan plan by Sunday afternoon.
That would be just hours before financial markets open in Asia.
With time running out, the Democratic-led Senate might have no
choice but to accept what the Republican-led House passes this
* White House Chief of Staff Bill Daley tells NBC's "Meet
the Press" that any short-term deal to raise the debt limit
would harm the economy because financial markets and business
leaders would not have the certainty they need to make
investment decisions. Democrats want a debt limit extension
through the 2012 presidential election year.
* Treasury Secretary Timothy Geithner tells CNN's "State of
the Union" that it is important to remove the threat of default
for at least the next 18 months.
* Senator Tom Coburn, who has shown a greater willingness
to compromise on tax increases than many of his fellow
Republicans, tells NBC's "Meet the Press" he sees only a
short-term debt extension passing Congress and that President
Barack Obama, who objects to a short-term deal, will have no
choice but to sign it.
* Congressional leaders are expected to continue
negotiations on Sunday. Republicans are pushing a two-step plan
that would raise the debt ceiling and cut deficits. The first
step would provide a downpayment on spending cuts and provide
the government with enough borrowing authority to get through
the rest of the year while lawmakers work on additional deficit
(Reporting by Donna Smith; Editing Christopher Wilson)