Separately, the House of Representatives, in a rare bipartisan vote, passed a $1 trillion spending bill on Friday, after an agreement was reached preventing a potential government shutdown. Senate paassage was expected Saturday.

But finding a compromise on extending payroll tax cuts could be more complicated. Republican leaders are insisting they will not support a tax cut extension unless it includes language on speeding work on the pipeline.

Both the Republican leader in the House, Speaker John Boehner, and the Republican minority leader in the Senate, Mitch McConnell, made this point Friday.

Boehner said if the Senate sends the House the tax legislation without the pipeline provision, the House will put it back in.