Debt Limit Fight Expected Sooner Rather Than Later
In November 2015 President Obama signed a budget deal with House and Senate Republicans that included lifting the federal government debt ceiling until March 31, 2017. Many budget analysts predicted that no action was needed until later in the year when the debt ceiling could be included with passing spending bills for FY2018. Including it makes it easier to pass. Unfortunately the debt limit deadline is approaching faster than expected. Marc Short, White House legislative affairs director stated, “We need to raise [the] debt ceiling before they leave for the summer. The country will run out of borrowing authority soon and all federal payments may be impacted if the ceiling is not raised.” Often the debt limit increase vote can rattle financial markets and disrupt the legislative process on Capitol Hill.