Senate, Federal Budget | featured news

The Senate will forgo its scheduled recess for the week of July Fourth to work on cutting the deficit, Sen. Harry Reid said today.

President Obama meets with Senate leaders, but no one wants to back away from tough stances on taxes. Debt-reduction talks between congressional leaders and the White House entered a crucial phase Monday, with no clear framework for resolving the deadlock over taxes and spending and a deadline for a potential federal default fast approaching.

The U.S. Senate on Sunday approved $447 billion in spending for several Cabinet departments and other agencies for the 2010 budget year -- money needed to fund the federal government after this week.