Senate Democrats are indicating that they are not interested in making a deal over the country’s borrowing limit with Republicans on spending cuts.
As President Obama warns that the country could face default next week if lawmakers don’t raise what’s called the “debt limit” or “debt ceiling,” Senate Democrats are pushing for a solution that allows the country to keep borrowing money again without any new spending cuts.
The Daily Caller obtained a copy of the preferred legislation by Senate Democrats. The legislation simply calls for a temporary suspension of the debt ceiling until Dec. 31 2014 — a move Congress has taken before during previous debt ceiling fights. By not enforcing the limit, the country can keep borrowing.
Speaker of the House John Boehner says House Republicans will only support raising the debt limit if new spending cuts are simultaneously implemented.
On the floor of the Senate on Tuesday, Democratic Sen. Max Baucus spoke about his party’s plan, noting that the legislation keeps the debt limit away as a political issue until after the midterm elections in 2014.
“Today, Leader Reid and I are introducing legislation that suspends the debt limit, avoiding default,” Baucus said. “The bill mirrors legislation we passed earlier this year and will suspend the debt limit until Dec. 31, 2014, after the mid-term elections. On Jan. 1, 2015, a new debt limit is set which reflects whatever borrowing is done between passage of the bill and Dec. 31, 2014.”