White House says Biden will veto House GOP's debt limit bill if it passes

President Biden would veto the House GOP's Limit, Save, Grow Act of 2023 if it arrived at his desk, the White House Office of Management and Budget said Tuesday.

The agency called the bill a "reckless attempt to extract extreme concessions as a condition for the United States simply paying the bills it has already incurred."

The bill is essentially House Republicans' offer to Biden to raise the federal debt ceiling – to keep the country from defaulting on its debts. 

The measure proposed extending the debt limit for one year and includes a provision to limit domestic spending growth by 1% per year. It also eliminates many of the clean energy tax incentives in the Democrats' Inflation Reduction Act. The bill would block Biden's unilateral student debt forgiveness plan from implementation. 

"The president has been clear that he will not accept such attempts at hostage-taking," the Office of Management and Budget also said. "House Republicans must take default off the table and address the debt limit without demands and conditions, just as the Congress did three times during the prior administration."

Biden formally announced his reelection bid early Tuesday. House Speaker Kevin McCarthy called on Biden to negotiate on the debt limit and federal spending instead of focusing on his 2024 campaign.

"I know President Biden might be focused on his own political future today, but he should be focused on the future of America," he said. "Biden should have announced he will finally come to the table and negotiate a responsible debt limit increase to avoid the first default in our history."

McCarthy and Biden's last meeting on the matter was on Feb. 1.