Here’s what’s in the debt ceiling deal

After several weeks of tense negotiations, President Joe Biden and House Republicans have reached an agreement in principle to address the debt limit and cap spending.

The drama is by no means over. Congressional leaders in both parties have to convince enough of their members to vote for the agreement, which contains provisions that lawmakers on each side of the aisle don’t support.

The bill text was released on Sunday evening, and both parties are trying to cast the provisions as favorable for their side.

Here’s what we know about the deal, based on the bill text, White House sources and information circulated by House Republicans.

Addresses the debt ceiling: The agreement would suspend the nation’s $31.4 trillion debt limit through January 1, 2025. This removes it as a potential issue in the 2024 presidential election.

Caps non-defense spending: Under the deal, non-defense spending would remain relatively flat in fiscal 2024 and increase by 1% in fiscal 2025, after certain adjustments to appropriations were made, according to a White House official. After fiscal 2025, there would be no budget caps.

The House GOP fact sheet says that non-defense discretionary spending would be rolled back to fiscal 2022 levels and topline federal spending would be limited to 1% annual growth for the next six years.

The breakdown of non-defense discretionary spending for fiscal 2024, according to a source familiar with the deal, is that the cap would be about $704 billion, of which $121 billion would be for veterans’ medical care and $583 billion would be for other areas.

But the adjustments would bring the resources available for spending outside of veterans’ medical care to $637 billion for the coming fiscal year, compared to $638 billion for the current one.

Under the deal, $11 billion in rescinded…