Republicans look to advance bill to forestall default amid debt ceiling battle – By Ryan King (Washington Examiner) / Mar 8, 2023
House Republicans are maneuvering to advance a bill that would authorize the federal government to continue making interest payments even if the debt ceiling is hit.
The House House Ways and Means Committee is poised to consider legislation Thursday dubbed the “Default Prevention Act” from Rep. Tom McClintock (R-CA) that would outline federal payment priorities in the event Congress isn’t able to resolve the debt ceiling impasse in time for the fast-approaching June deadline.
There have been fears that if the debt ceiling scrum goes unresolved, the United States will be forced to default on the interest payments to its over $31 trillion debt load, wreaking havoc on the economy. McClintock’s legislation for spending prioritization is aimed at preventing a default and keeping cash flowing to certain programs.
Democrats and Republicans have been at odds over how to raise the $31.4 trillion debt ceiling. Under the debt limit, the U.S. is barred from borrowing additional money over the threshold, despite Congress having passed allocations bills that lean on heavy deficit spending
