Thursday, February 13, 2014

GOP leaders help Senate pass large increase in debt limit

Congress approved a massive increase in the federal debt Wednesday, but only after Republican leaders linked arms and jumped together, helping Democrats pass a plan that will let President Obama borrow as much money as needed to cover federal obligations over the next 13 months.

The vote was about as dramatic as they get. Senate Minority Leader Mitch McConnell, Kentucky Republican, held out for 40 minutes before casting the key vote to break his fellow Republicans’ filibuster. His top lieutenants then followed suit, clearing the way for a final vote to approve the debt ceiling increase.

The bill passed the House on Tuesday. It now goes to Mr. Obama, who is expected to sign it.

Democrats warned of disastrous consequences if the limit hadn’t been raised, saying the government would default on its obligations. Analysts said a failure would have been devastating for the stock market, which was closely watching the vote.

Senate Majority Leader Harry Reid, Nevada Democrat, said he hoped the fact that Republicans approved a debt increase would be a breakthrough for other issues.

“Congress should be striding from accomplishment to accomplishment, not staggering from crisis to crisis,” he said. “If we spent more time working together and less time running out the clock on procedural hurdles and Republican filibusters, we might actually get things done around here.”

But Republicans who opposed the debt limit increase said it marked a low point for Congress and for their party in particular, which could have blocked the increase if the party’s lawmakers held together.

“Let’s be clear about the motive behind this vote — there are too many members of Congress who think they can fool people and they will forget about it the next week,” said Sen. Ted Cruz, the Texas Republican who led the attempted filibuster. “But sometimes, come November, the people remember.”

Indeed, in the minutes after the vote, conservative groups blasted out emails criticizing Republicans who enabled the debt increase, Mr. McConnell in particular.

The Kentucky Republican faces a challenge in a party primary this year from Matt Bevin, who said the vote showed the failure of Mr. McConnell’s leadership.

Three years ago, after Republicans won major spending cuts attached to the 2011 debt increase, Mr. McConnell said they set a strict standard.
But the latest debt increase comes with no strings attached — the first time that has happened since Republicans won control of the House in the 2010 elections.

The increase lasts until the middle of March 2015, and there is no set limit. Instead, the debt will rise by as much as is needed to cover obligations. Whatever the number is as of March 15, 2015, will become the new legal limit.

As of Monday, the federal debt was $17.259 trillion, where it has been frozen since last month when the previous limit was reached. Federal debt was $10.629 trillion when Mr. Obama took office.

Full article: http://www.washingto … ssive-debt-increase/

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