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Lawmakers included an extension of unemployment benefits in the plan, as well as prohibiting reimbursement fee cuts to doctors with Medicare patients.

The deal, helmed by Democratic Senator Max Baucus and Republican Representative Dave Camp, comes one day after House Republican leaders agreed to extend the $100 billion payroll tax without using spending cuts to fund the cost, said the New York Times.

Early Tuesday Obama called the Republican compromise "good news" but said "you can't take anything for granted here in Washington until my signature is actually on it."

According to Politico, negotiators are considering funding the extension of unemployment benefits and the Medicare fix by forcing federal workers to pay more into their pensions, a plan that would generate $15 billion.  A second idea would slash $5 billion from an Obamacare fund formed to promote healthy living and reduce chronic diseases. 

The tentative deal makes large provisions to lower the maximum number of weeks of unemployment benefits from 99 to 73, according to the New York Times.  Not every state will have access to the 73 week maximum, reserved only for those with high unemployment rates.

Lawmakers found a compromise in the Medicare debt issue, which has grown significantly as a result of patients failing to pay the required co-pays.   States will now be directed to "compensate durable medical equipment providers" at lower rates as established by Medicare, according to Politico.  The proposal, backed by the White House, would save $5 billion.

The deal is expected to be signed on Wednesday and head to a vote in the House of Representatives by the end of the week.

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