President Joe Biden and House Speaker Kevin McCarthy are reaching a deal to address the country’s debt ceiling just days before they run out of money, but US Representative Bob Good has major concerns about the intricacies of the deal.
The United States reached its legal debt limit of $31.4 trillion in January, and the unresolved issue remains a threat to the country’s economy as Treasury Secretary Janet Yellen warned that the country could go deeper on its debt if no deal is reached by June. Will miss 1. Both McCarthy and Biden have stuck to their respective plans and the impasse has hindered any progress until recently, when Biden and McCarthy met on Thursday to hammer out a last-minute potential deal before a default .
However, as they negotiate and rumors of a deal spread, Republicans are raising doubts.
well, a republican, appeared on Friday on Fox News and criticized his Republican colleague for bargaining with Biden. First, McCarthy argued that he would refuse to raise the debt ceiling unless budget cuts were implemented.
When asked about the intricacies of the bill, which is rumored not to include conditions regarding Biden’s student loan relief plan — a component Good wanted stripped of the deal — Good took a critical approach.
“If these rumors are true, this would be a disastrous deal for the country,” said Good, who did not vote for McCarthy as House Speaker.
newsweek Goode’s DC office was reached by phone for comment.
What is included in the proposed debt ceiling deal?
newsweek The report said that under the proposed deal, the debt limit would be extended for two years while imposing a stricter cap on discretionary spending. Defense spending will increase by 3 percent but non-defense spending will remain neutral in 2024. All discretionary spending will increase by 1 percent in 2025.
The deal could include some climate features, such as renewable energy projects, that are more in line with Biden’s administration goals. However, the deal could be considered a victory for McCarthy if the House Speaker secures a spending cap.
The fate of Biden’s student loan relief plan hangs in the balance as the Supreme Court considers its legality, and many Republicans are adamant on removing the relief package from the debt ceiling plan. The issue was important to Goode, who in March introduced a bill that would reverse Biden’s student loan relief plan and end the payment freeze. The bill passed the House on Thursday, and when pressed by Fox News expressed displeasure over debt relief remaining in the spending bill.
Speaking to reporters outside the US Capitol on Thursday, McCarthy acknowledged the bill is unlikely to please everyone.