Federal debt

U.S. House Democratic Leader Hakeem Jeffries, of New York, discusses the economic impacts of a possible debt default by the federal government during a press conference at the U.S. Capitol on Thursday, March 23, 2023. Also pictured, from left, are Senate Majority Leader Chuck Schumer of New York, Sen. Martin Heinrich of New Mexico, Sen. Tina Smith of Minnesota, Rep. Don Beyer of Virginia and Rep. Gwen Moore of Wisconsin. (Jennifer Shutt/States Newsroom)

Democratic report on U.S. debt default predicts disrupted benefits for seniors, veterans

BY: - March 23, 2023

WASHINGTON — Congress’ Joint Economic Committee released a report Thursday detailing the economic repercussions of defaulting on the nation’s debt, adding fuel to the fire as Democrats pressed Republicans to address the nation’s borrowing limit without tying action to spending cuts. The report, from Democratic staff on the bipartisan Joint Economic Committee, says that a […]

Fireplaces inside the U.S. Capitol send smoke into the sky on Jan. 6, 2023. (Photo by Jennifer Shutt/States Newsroom)

U.S. likely to default on debt between July and September unless Congress acts, CBO says

BY: - February 15, 2023

WASHINGTON — Congress has until at least July to broker a bipartisan debt agreement if lawmakers want to avoid a first-ever default, according to the Congressional Budget Office.  The nonpartisan scorekeeper, which typically details how much legislation would cost, released a report Wednesday saying that U.S. lawmakers and the Biden administration have until sometime between […]

U.S. House Speaker Kevin McCarthy answers questions from reporters at the U.S. Capitol about debt limit talks at the White House, on Feb. 1, 2023. (Jennifer Shutt/States Newsroom)

U.S. House speaker calls for ‘responsible’ debt limit legislation, shares few details

BY: - February 6, 2023

WASHINGTON — U.S. House Speaker Kevin McCarthy on Monday said the greatest threat to the nation’s future is the rising national debt, though he gave few specifics for how he planned to lower deficit spending or avoid a first-ever default on the debt this year.  The California Republican, in a 10-minute address from the U.S. […]

U.S. House Speaker Kevin McCarthy answers questions from reporters at the U.S. Capitol about debt limit talks at the White House, on Feb. 1, 2023. (Jennifer Shutt/States Newsroom)

Biden, McCarthy hold ‘productive’ and ‘frank’ debt limit talks as fiscal cliffs loom

BY: - February 1, 2023

WASHINGTON — President Joe Biden and U.S. House Speaker Kevin McCarthy huddled behind closed doors at the White House on Wednesday in the first of what will likely be several conversations as the country approaches two fiscal cliffs this year amid divided government.  The top issue at the moment is when and how to address […]

The Treasury Building in Washington, D.C. (Getty Images)

U.S. hits debt limit and Treasury Department begins ‘extraordinary measures’

BY: - January 19, 2023

WASHINGTON — The nation reached its debt limit Thursday, beginning the uncertain process known as extraordinary measures, in which the U.S. Treasury Department uses accounting maneuvers to avoid defaulting on the debt.  The often-used practice is intended to give the Republican House, Democratic Senate and Biden administration time to negotiate a bipartisan agreement to raise […]

Treasury Secretary Janet Yellen gives a speech on the economy at Ford Rouge Electric Vehicle Center on Sept. 8, 2022, in Dearborn, Michigan. (Photo by Sarah Rice/Getty Images)

U.S. to hit debt limit much sooner than expected, thrusting Congress into showdown

BY: - January 13, 2023

WASHINGTON — The U.S. government will hit its borrowing limit next week, forcing the new, divided Congress into negotiations over the debt limit much sooner than expected, though a potential date for the nation to default isn’t expected until this summer. Treasury Secretary Janet Yellen wrote to Congress on Friday afternoon, telling leaders the United […]