Post date: Jan 23, 2013 8:55:47 PM
U.S. House of Representatives passes Republican plan to extend debt limit to May 19.
WASHINGTON D.C. UNITED STATES (JANUARY 23, 2013) (HOUSE TV) - The Republican-controlled U.S. House of Representatives on Wednesday (January 23) passed an extension of borrowing authority under the federal debt limit to May 19, putting the Republican plan on a fast track to enactment after top Senate Democrats endorsed it.
The 285-144 vote in the House fell largely along party lines, with many Democrats objecting to the short-term nature of the extension.The vote would forestall a default on the national debt for nearly four months. Many Democrats opposed the measure, calling it a gimmick that sets up a new "fiscal cliff."
"This bill simply sets up another GOP manufactured crisis in 4 months, putting the economy, and the credit-worthiness of our nation at risk. Instead of no cliffs, my Republican colleagues on the other side of the aisle are creating a new cliff. The American people sent us here to work not to play more games," Democratic MichiganCongressman Joe Crowley, said.
The bill also was endorsed by the White House. It would avoid an immediate threat of U.S. default by suspending limits on the government's ability to borrow until May 19.
The U.S. Treasury is expected to exhaust all remaining capacity under the $16.4 trillion debt limit sometime between mid-February and early March.
Maryland Congressman (D) Steny Hoyer blasted the GOP debt limit bill as nothing more than a " political gimmick".
"This bill kicks the can down the road for ninety days, one more time," he said. "This bill simply puts a leverage point another 90 days away so that we continue to roil thisCongress, roil this country, and roil our people and our economy. This bill is a political gimmick."
Republican House Speaker John Boehner said that passing the legislation was a step toward fiscal accountability.
"It's going to take a little more time but my goodness, we ought to be able to balance the budget in the next ten years. It is time for Congress to get serious about this and this is the first step in an an effort to bring real fiscal responsibility to Washington. It's real simple. No budget. No pay," Boehner said.
Senate Majority Leader Harry Reid and New York Senator Chuck Schumer -- both Democrats -- praised the House debt limit measure.
"We welcome the outcome of their retreat. The bill represents a huge de-escalation on the debt ceiling issue, it hands the president his second major win in a month and it shows that the Republicans are in full-on retreat on fiscal policy," Schumer said. "President Obama has consistently said he'd refuse to negotiate around the debt ceiling. His strategy is vindicated now that the Republicans have backed off their threats to take the nation into a default. The president stared down the Republicans; they blinked."
The next fiscal deadlines that Congress must deal with are the March 1 start of automatic spending cuts for military and domestic programs, and the March 27 expiration of funding needed to keep federal agencies and programs operating.