Farm Bill Issues: Budget Implications- Debt Deal
Naftali Bendavid and Carol E. Lee reported in Saturday’s Wall Street Journal that, “The House on Friday approved a bill pushed by Speaker John Boehner to raise the government’s borrowing limit, a difficult victory for Republican leaders that came only after they added a requirement for a constitutional balanced-budget amendment to placate rebellious conservatives.
“The bill passed the House 218-210. A short while later, the Democratic-led Senate voted 59-41 to block the measure, setting the stage for last-ditch negotiations this weekend on a potential compromise that could win bipartisan support.”
Lori Montgomery and Rosalind S. Helderman reported in Sunday’s Washington Post that, “With the prospect of a government default just three days away, the White House entered intense negotiations with Senate Minority Leader Mitch McConnell on Saturday in a last-ditch bid to forge a bipartisan agreement to raise the federal debt limit.
“The emerging agreement calls for raising the $14.3 trillion debt limit by up to $2.4 trillion in two stages, with the debt limit rising unless two-thirds of both chambers of Congress disapprove, according to officials in both parties familiar with the talks. That would extend the Treasury’s borrowing authority into 2013, satisfying President Obama’s demand to avoid another showdown over the issue in the heat of the 2012 presidential campaign.”