To pay for that, party leaders agreed to change federal workers' and veterans' retirement benefits.
It would also raise money by making permanent a law that charges states like Colorado for costs associated with their mineral leases.
All told that provision is anticipated to bring in more than $400 million.
Republican Congressman Cory Gardner says Colorado shouldn’t be punished because the federal government owns nearly forty percent of its lands.
“It’s part of the way they get the money to say they have paid for the offset of the sequester, and so it is not a high profile issue unless you’re in a western state and then it’s a big concern,” Gardner said.
Gardner and other Colorado lawmakers say they’re still reviewing the budget deal, which is slated to come up for a vote in the House Thursday.
