The move came hours after congressional leaders and the President held a morning meeting at the White House.

The White House says $85 billion in domestic and defense spending cuts will take place, and 750,000 jobs are expected to be affected.

President Obama says the country needs to come up with a better long-term solution.

"Even with these cuts in place, folks across this country will work hard to make sure we keep the recovery going, but Washington sure isn't making it easy."

The Congressional Budget Office says spending cuts are really about half that of that projected, at about $44 billion.