Obama to lay out spending plan

WASHINGTON - US President Barack Obama and Congress are shifting from short-term budget concerns to debates over the nation's long-term economic future, and everything - from Medicare and Medicaid cuts to tax hikes for the wealthy - is on the table.

Much will be revealed at midweek, when the House of Republicans and Senate are expected to vote on a budget for the remainder of this fiscal year and Obama unveils his plan to reduce the deficit, in part by scaling back Medicare and Medicaid, the government's chief health programs for seniors and the poor. The House, too, may vote on Budget Committee Chairman Paul Ryan's spending plan for next year as Democrats readied arguments that it proposed "Draconian" cuts to Americans who need help the most.

Meanwhile, congressional officials were putting to paper a deal struck on Friday night that would fund the government through September and cut $38.5 billion in spending.