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House clashes with Republicans and approves debt and financial plans

Washington — On Tuesday night, the House of Representatives resolved to fund the government in early December, suspend federal debt restrictions, and provide disaster and refugee assistance, despite the prospect of an impending financial crisis. , Set up a high stakes showdown with Republicans who oppose the package.

The Democratic-led house passed the bill with 220-211 votes, strictly in line with party policy. The bill is currently being submitted to the Senate, and overwhelming Republican opposition could lead to the Senate.

The federal government will face a closure on September 30th, the end of the fiscal year, if funding stops at midnight next Thursday. In addition, at some point in October, the United States is at risk of defaulting on debt accumulation if the borrowing limit is not exempted or adjusted.

“If we don’t act now to stop this unnecessary and preventable crisis, our country will suffer a great deal,” said House majority leader Steny Hoyer, Democratic Party, shortly before the vote. rice field.

The package, approved on Tuesday, will retain government funding until December 3rd and will provide temporary funding to expand borrowing rights until the end of 2022. Assisting Afghan refugees in fallout from the end of the 20-year war.

By suspending the debt cap, the government can meet its already-occurring financial obligations, but the Republicans argued that it would encourage spending overeating in the coming months.

“I don’t support signing a blank check because this majority has been expanding the most reckless government for generations,” said Republican Rep. Dan Muser.

Backed by the White House, Democratic parliamentary leaders have advanced into an era of great parliamentary uncertainty. Democrats are also seeking support for President Joe Biden’s broad “better rebuild” agenda. This is a price tag of up to $ 3.5 trillion in 10 years.

Senate Republican leader Mitch McConnell said he wouldn’t help pay off past debt shortly before Biden piled up further. He said finding votes was their problem, as the Democrats dominate the White House and Congress.

“The debt cap will be raised as usual, but it will be raised by the Democratic Party,” McConnell said.

In the 50-50 Senate, Democrats will have a hard time finding 10 Republicans who reach the 60-vote threshold needed to overcome filibuster.

“This is play with fire,” said Senate leader Chuck Schumer, DN.Y.

The Treasury has been using “special measures” to fund the government since the last suspension of debt restrictions expired on July 31, and at some point next month there will be no cash reserves. I predict that. Then it would have to rely on receipts now coming in for $ 28.4 trillion to pay that obligation. It can force the Treasury to delay or miss payments, a catastrophic situation.

Mark Zandi, Chief Economist at Moody’s Analytics, has warned whether legislators will allow federal debt defaults. “This economic scenario is catastrophic.”

In a report circulated by the Democratic Party, Zandy warns that a potential recession from government funding cuts will cost 6 million jobs and stock market losses will wipe out $ 15 trillion in household wealth. bottom.

Once a routine issue, raising debt caps has become a political weapon of choice for Republicans in Washington since the arrival of Tea Party lawmakers in 2011. At that time, they opposed more spending and standoffs caused a financial crisis.

Reflecting that strategy, McConnell refused to offer Republican votes, but he also helped Democratic votes raise debt caps when his party was the majority. .. He explained his current thoughts to the Senator at a private lunch on Tuesday.

Still, some Republican senators may have a hard time casting a negative vote.

Louisiana Republican John Kennedy, who will run for next year’s elections after the state is hit by a hurricane, said he was likely to vote for the increase. “My people are desperately in need of help,” he said.

“In our view, this should not be a controversial vote,” White House spokesman Jen Psaki told reporters. Mr Saki said Congress has raised its debt cap many times on a bipartisan basis, including three times under President Donald Trump.

Democratic chairman of the House Expenditure Commission, Rosa De Lauro, said after some in the Democratic Caucus opposed including $ 1 billion in Israel’s Iron Dome defense system to intercept shorts with missiles. Forced to introduce another version of the bill on Tuesday-a range rocket was launched into the country.

Israeli defense issues divide the Democratic Party, but De Lauro has assured colleagues that money for the weapons system will be included in the annual defense bill for the next fiscal year beginning October 1. Heuer went to bed this week to replenish the Iron Dome system, which he said would go one step further and submit a bill.

The Republicans were very critical of the change and vowed to stand as an ally with Israel.

Meanwhile, behind the scenes, Democrats were negotiating between them. Biden’s big “buildback better” package The price tag is likely to go down and beat the skeptical councilor who sees it too much.

Publicly, the White House is billing despite the sharp differences between progressives and moderates within the party regarding the final size of the package and the accompanying $ 1 trillion bipartisan infrastructure bill. I continue to be confident that it will be passed soon.

Biden himself was given a parliamentary call sheet to Kajol, despite being dominated by foreign policy, including a speech to the UN General Assembly, as White House’s work on Democrats in Capitol Hill surged. I did.

The president has been talking to many lawmakers beyond his recent talks with Senator Joe Manchin. The Department of Veterans Affairs and Kyrsten Cinema, Arizona are two major votes of centrist politicians, according to White House officials who are familiar with the call and have allowed them to talk anonymously.

Biden’s big initiative affects almost every aspect of American life. It will impose tax increases on businesses and wealthy Americans who earn more than $ 400,000 a year and return that money to federal programs, young and old.It will increase and expand Government Health, Education and Family Support Programs We support environmental infrastructure programs for families, children, the elderly, and to combat climate change.

Republicans are against Biden’s vision, Democrats don’t have enough votes in the Senate, and only a few votes in the House.

Speaker of the House Nancy Pelosi on September 27, a $ 1 trillion bipartisan infrastructure bill for public works projects that has gained widespread support from both Senate parties, although Republicans mostly oppose it. I promised to vote for.

The bipartisan bill should be a simple legislative lift, but it also faces a political obstacle course. Dozens of members of Parliamentary Progressive Caucus are expected to vote against it if it is ahead of the broader Biden package. And centrists will not vote for a broader package unless it is guaranteed that bipartisan bills will also be included.

House clashes with Republicans and approves debt and financial plans

Source link House clashes with Republicans and approves debt and financial plans

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