From Yahoo/AP:
“House OKs debt ceiling bill to avoid default, sends
Biden-McCarthy deal to Senate”
Veering away from a default crisis, the House approved a debt
ceiling and budget cuts package late Wednesday, as President Joe Biden and
Speaker Kevin McCarthy assembled a bipartisan coalition of centrist Democrats
and Republicans against fierce conservative blowback and progressive dissent. The
hard-fought deal pleased few, but lawmakers assessed it was better than the
alternative — a devastating economic upheaval if Congress failed to act.
Tensions ran high throughout the day as hard-right Republicans refused the
deal, while Democrats said “extremist” GOP views were risking a debt default as
soon as next week.
With the House vote of 314-117, the bill now heads to the
Senate with passage expected by week's end. McCarthy insisted his party was
working to “give America hope” as he launched into a late evening speech
extolling the bill's budget cuts, which he said were needed to curb
Washington's “runaway spending.” But amid discontent from Republicans who said
the spending restrictions did not go far enough, McCarthy said it is only a
“first step." Earlier, Biden expressed optimism that the agreement he
negotiated with McCarthy to lift the nation's borrowing limit would pass the
chamber and avoid an economically disastrous default on America's debts. The
president departed Washington for Colorado, where he is scheduled to deliver
the commencement address Thursday at the U.S. Air Force Academy. “God willing
by the time I land, Congress will have acted, the House will have acted, and
we’ll be one step closer,” he said. That wasn't quite the case — the vote began
about an hour and a half after Biden arrived in Colorado. Biden sent top White
House officials to the Capitol to shore up backing. McCarthy worked to sell
skeptical fellow Republicans, even fending off challenges to his leadership, in
the rush to avert a potentially disastrous U.S. default. Swift later in the
week by the Senate would ensure government checks will continue to go out to
Social Security recipients, veterans and others and would prevent financial
upheaval at home and abroad. Next Monday is when the Treasury has said the U.S.
would run short of money to pay its debts. Biden and McCarthy were counting on
support from the political center, a rarity in divided Washington, testing the
leadership of the Democratic president and the Republican speaker.
Overall, the 99-page bill restricts spending for the next two
years, suspends the debt ceiling into January 2025 and changes some policies,
including imposing new work requirements for older Americans receiving food aid
and greenlighting an Appalachian natural gas line that many Democrats oppose.
It bolsters funds for defense and veterans. Raising the nation's debt limit,
now $31 trillion, ensures Treasury can borrow to pay already incurred U.S.
debts. Top GOP deal negotiator Rep. Garret Graves of Louisiana said Republicans
were fighting for budget cuts after Democrats piled onto deficits with extra
spending, first during the COVID-19 crisis and later with Biden's Inflation
Reduction Act, with its historic investment to fight climate change. But
Republican Rep. Chip Roy, a member of the Freedom Caucus helping to lead the
opposition, said, “My beef is that you cut a deal that shouldn’t have been
cut.” For weeks negotiators labored late into the night to strike the deal with
the White House, and for days McCarthy has worked to build support among
skeptics. At one point, aides wheeled in pizza at the Capitol the night before
the vote as he walked Republicans through the details, fielded questions and
encouraged them not to lose sight of the bill’s budget savings. The speaker has
faced a tough crowd. Cheered on by conservative senators and outside groups,
the hard-right House Freedom Caucus lambasted the compromise as falling well
short of the needed spending cuts, and they vowed to try to halt passage. A
much larger conservative faction, the Republican Study Committee, declined to
take a position. Even rank-and-file centrist conservatives were unsure, leaving
McCarthy searching for votes from his slim Republican majority. Ominously, the
conservatives warned of possibly trying to oust McCarthy over the compromise.
Biden spoke directly to lawmakers, making calls from the
White House. House Democratic leader Hakeem Jeffries said it was up to McCarthy
to turn out at least 150 Republican votes, two-thirds of the majority, even as
he assured reporters that Democrats would supply the rest to prevent a default.
In the 435-member House, 218 votes are needed for approval. As the tally
faltered in the afternoon procedural vote, Jeffries stood silently and raised
his green voting card, signaling that the Democrats would fill in the gap to
ensure passage. They did, advancing the bill that 29 hard-right Republicans,
many from the Freedom Caucus, refused to back. “Once again, House Democrats to
the rescue to avoid a dangerous default,” said Jeffries, D-N.Y. “What does that
say about this extreme MAGA Republican majority?” he said about the party
aligned with Donald Trump’s ”Make America Great Again” political movement. The
nonpartisan Congressional Budget Office said the spending restrictions in the
package would reduce deficits by $1.5 trillion over the decade, a top goal for
the Republicans trying to curb the debt load. In a surprise that complicated
Republicans' support, however, the CBO said their drive to impose work
requirements on older Americans receiving food stamps would end up boosting
spending by $2.1 billion over the time period. That's because the final deal
exempts veterans and homeless people, expanding the food stamp rolls by 78,000
people monthly, the CBO said. Liberal discontent, though, ran strong as
Democrats also broke away, decrying the new work requirements for older
Americans, those 50-54, in the food aid program. Some Democrats were also
incensed that the White House negotiated into the deal changes to the landmark
National Environmental Policy Act and approval of the controversial Mountain
Valley Pipeline natural gas project. The energy development is important to
Sen. Joe Manchin, D-W.Va., but many others oppose it as unhelpful in fighting
climate change. On Wall Street, stock prices were down. In the Senate,
Democratic Majority Leader Chuck Schumer and Senate Republican leader Mitch
McConnell are working for passage by week's end. Schumer warned there is ”no
room for error." Senators, who have remained largely on the sidelines
during much of the negotiations, are insisting on amendments to reshape the
package. But making any changes at this stage seemed unlikely with so little
time to spare before Monday's deadline.
^ Now to the Senate. ^
https://www.yahoo.com/news/ahead-house-debt-ceiling-vote-043200103.html