Friday, April 18, 2014

California Senator Barbara Boxer Among Senators Announcing Legislation to Take the Threat of Default Off the Table for Good

Under Plan Modeled After ‘McConnell Rule’ from 2011, President Could Raise Debt Ceiling Then Both Houses of Congress Would Hold Vote to Disapprove

Plan Would Allow Members of Congress to Oppose Debt Ceiling Increases but Avoid Standoffs by Making it Harder to Use the Debt Ceiling as Political Leverage

Senators: Common-Sense Plan Would Prevent Standoff Over Next Increase This Spring and Beyond

October 29, 2013 - WASHINGTON, D.C. — Today, U.S. Senators Barbara Boxer (D-CA), Charles E. Schumer (D-NY), and Mazie Hirono (D-HI) introduced new legislation – the Pay Our Bills Act – that would permanently allow Congress to disapprove debt ceiling increases, instead of approving them. The plan, based on the ‘McConnell rule’ first proposed in 2011 and employed again in the most recent agreement to end the shutdown and avoid default, would drastically reduce the chances that the debt ceiling could be used as a political weapon designed to extract policy concessions from the opposing party. Boxer, Schumer and Hirono argued that even coming close to default has serious consequences for the American economy and must be avoided. 

“We know from recent history that even the threat of not paying our bills does serious damage to our economy,” Boxer said. “It’s time for us to put in place a straightforward process to avoid a catastrophic default on our nation’s debt. The Pay Our Bills Act gives both houses of Congress and the President a say, but sends a strong message of certainty to the markets, to our families and to the world.”

“The way it works right now, the debt ceiling is like a ticking time bomb that threatens massive economic destruction,” said Schumer. “This bill would defuse it. By forcing Congress to disapprove debt ceiling increases, we greatly reduce the risk of default that would be a crushing blow to our economy – taking money out of middle-class pockets and destroying middle-class jobs. I hope our Republican colleagues will do the right thing and join in our efforts to limit the risk of default and provide certainty to American families and businesses.”

“Keeping the government running and paying our bills are core responsibilities of Congress. It is simply irresponsible to shut the government down or to threaten to default on our national debt in order to extract political concessions. The full faith and credit of the United States should not be taken hostage,” Hirono said. “This bill frees the hostage and prevents the debt limit from being used as a political football in the future. It will make sure we meet our obligations and prevent the kind of brinksmanship that the American people are sick and tired of seeing in Washington.”

The disapproval mechanism or ‘McConnell rule’ was temporarily included in the bipartisan Senate agreement that reopened the government and avoided default earlier this month. This same mechanism was also used to lift the debt ceiling twice following passage of the Budget Control Act. Under the new law, the President has suspended the debt ceiling until February 7, and to disapprove the increase in the debt limit Congress must pass a resolution of disapproval. If Congress passes the resolution of disapproval, the President has the option to veto the resolution. If Congress so chooses, it may attempt to override the veto with a two-thirds majority. However, subsequent increases in the debt ceiling will still have to be approved by Congress. 

Boxer, Schumer, and Hirono are pushing for the ‘McConnell rule’ to be made permanent for all future increases in the debt limit, requiring that if Congress chooses to consider a resolution of disapproval it does so within 15 days after the President proposes an increase. When the country is close to exhausting its borrowing authority, the President may choose to lift the debt ceiling, which would trigger the resolution of disapproval process. The Senators argue that the proposal still gives Congress the authority to oppose an increase, but makes it much less likely that the debt ceiling can be used by either party to pursue policy changes on unrelated issues.
Please wait while JT SlideShow is loading images...
'Click' For More Info: Visit the 'Cafe at the Bug' for Breakfast, Lunch & Dinner. They offer Fresh, Local, & Organic options....worth making a trip for!‘Click’ Here to Visit ‘The Mattress Store’ Sales Page for More Information'Click' For More Info: Visit Happy Burger Diner..."We have the LARGEST Menu in the Sierra" in Mariposa, California
  • 'Click here to visit: 'Gold Country Brew Supply'... "This way to homebrew heaven!"
  • 'Click' for more info! Host a party to earn FREE Scentsy or place an order through the site to support a local businesswoman. Thank you!
  • 'Click' For More Info: Visit the Yosemite Bug Rustic Mountain Resort's Health Spa! Offering Massage, Therapeutic Bath, Cedar 'Hot-Rock' Sauna, with Deluxe Changing Rooms and so much more. Call to reserve Your appointment Today!
  • 'Click' For More Info: 'Perfect Skin'...See Us For ALL Your Skin Care Needs, Located In Mariposa, Ca.
  • 'Click' For More Info: 'Gold Rush Trading Post' Located In Mariposa, California "For ALL Your Prospecting Supplies & Metal Detector Needs".
  • 'Click' For More Info: 'Gold Rush Trading Post' Located In Mariposa, California "We Buy Scrap Gold and Pay Top $$$ Between Sonora & Fresno".
  • 'Click' For More Info: 'Chocolate Soup', Fine Home Accessories and Gifts Located In Mariposa, Ca.
  • Click Here For All Creatures Veterinary Hospital in Mariposa, Ca.
  • 'Click' To Visit Our Facebook Page: Get Your Glass Repaired or Replaced at 'Mariposa Auto Trim', in Mariposa, California
  • 'Click' For More Info: California State Mining and Mineral Museum, in Mariposa, California
  • 'Click' For More Info: Mariposa Museum and History Center in Mariposa, California
  • 'Click' For More Info: Foster True Value...For All your Home and Hardware Needs In Mariposa, California
  • 'Click' For More Info: Sugar Pine Cafe in Mariposa, California
  • 'Click' For More Info: Inter-County Title Company In Mariposa, California
  • 'Click' For More Info: Butterfly Creek Winery In Mariposa, California
  • 'Click' For More Info: Happy Burger Diner..."We have Wi-Fi & the Largest Menu in the Sierra" in Mariposa, California
English Chinese (Simplified) Chinese (Traditional) French German Italian Portuguese Russian Spanish