Democrats Tie Debt Ceiling Suspension to Spending Bill to Avoid Shutdown
Headline Roundup September 20th, 2021
Congressional Democrats announced Monday that they would attach a suspension of the debt ceiling to an upcoming stopgap spending bill to avert a government shutdown. In a Sunday Wall Street Journal op-ed, Treasury Secretary Janet Yellen reiterated her warning that if Congress did not raise or suspend the debt ceiling, the U.S. government could default on its financial obligations later this year and cause significant damage to the global economy. Despite that warning, Senate Minority Leader Mitch McConnell on Monday reiterated his pledge that no Republican would vote for a debt ceiling bill, effectively forcing Democrats to pass the bill on their own. Democrats’ proposed bill would suspend the debt ceiling until December 2022, shortly after the next midterm elections; the ceiling was previously suspended in 2019 until July 2021.
Coverage was most prominent in business- and politics-focused outlets. Coverage in right-rated outlets tended to be less alarmist in describing the danger of a default; while The New York Times said it could be "financially catastrophic" and CNBC said it "could devastate the global economy," Fox Business said it "could have serious and negative economic implications," and neither the Washington Examiner nor the New York Post addressed such potential consequences outside of quotes from Yellen and Democratic leaders.
Democratic congressional leaders announced on Monday that they will pair a stopgap spending bill to keep the government funded though December with an extension of the federal borrowing limit through the end of 2022, increasing pressure on Republicans to support legislation needed to avert a fiscal catastrophe.
Senator Mitch McConnell, Republican of Kentucky and the minority leader, and a majority of his party have vowed to withhold their support for raising the debt ceiling under a Democratic-controlled government, arguing that it is the ruling party’s responsibility to finance the federal spending they...
House and Senate leadership announced on Monday that they plan to attach a proposal to raise the debt ceiling through Dec. 2022 to a short-term, government funding bill. The bill must pass before the end of the month or Congress risks a shutdown.
Why it matters: Democrats are taking a huge risk by trying to force through an increase of the debt limit in its must-pass funding bill. The move is wishful thinking on behalf of Democrats who are hoping they can get at least 10 centrist Republicans to balk, as...
House Speaker Nancy Pelosi pressured her caucus to keep insisting on a bipartisan vote to increase the debt ceiling as some high-ranking Democrats in the House start to entertain raising the limit without Republican support.
Asked on CNN Sunday if he would be fine with Democrats passing a debt ceiling increase with only Democratic support, House Majority Whip Jim Clyburn of South Carolina said: “No, I'm not fine with that.”