US Senate and House republicans reached a compromise deal on a federal budget first time in six years hiking military spending and cutting social spending to eliminate budget deficits in 10 years.
The details of the deal will be announced on Tuesday as the congressional aides say it will focus on tools to repeal or replace President Barack Obama’s healthcare reform known as “Obamacare.”
If the Republicans succeed in passing a budget, they can use congressional procedures to dismantle Obamacare with a simple majority instead of a qualified 60 vote margin.
The budget increases military spending by $38 million with a special provision for war operations, despite keeping spending caps for federal agencies in 2016 fiscal year.
The compromise budget is expected to leave out spending cuts to offset the increase in military spending foreseen by Senate-only-version passed earlier.
US budgets are not binding legislations but serve as the guide to draft spending bills and determine the limits for the next fiscal year.
Lawmakers have to find other sources of savings and revenues to pay for extra spending exceeding the sequester constraints resulting from a 2011 budget law which foresees a $1 trillion federal spending in 2016 fiscal year.
A failure in lifting spending caps can result in a government shutdown with the start of the next fiscal year.