Senators are attempting to adopt a package that would postpone the debt ceiling until January 1, 2025, but it is unclear when a final vote will be held as a default danger grows more imminent.
The legislation can be forwarded to Joe Biden, the president, for his signature once the Senate has approved it.
Although they would require the support of all 100 senators, Senate Majority Leader Chuck Schumer and Republican Leader Mitch McConnell have made it plain they intend to move through with a vote on the plan as early as Thursday. Any one senator can delay a quick poll in the Senate.
The leadership in both parties is under great strain because of how little time there is to carry the law through Congress and how little space there is for error. By June 5, according to the Treasury Department, the country won’t be able to make all of its debt payments in full and on time, which could lead to a catastrophe for the world economy.
Negotiators reached a deal to suspend the debt ceiling until 2025. Now Congress is racing to get the package through both the House and the Senate before the June 5th deadline to avoid a catastrophic default. Read @MikeTownsendCS's latest article: https://t.co/QGAnZboaeM pic.twitter.com/t0wEi42xxN
— Schwab Research (@SchwabResearch) May 31, 2023
Senators must reach a time compromise to meet the deadline, and both sides are hopeful it may happen right now.
The fear of default would be eliminated until after the presidential election if the debt limit was suspended through 2025. The plan limits non-defense spending, increases work requirements for some beneficiaries of food stamps, and claws back some Covid-19 relief funding, among other policy features, in addition to dealing with the debt ceiling.
Despite opposition from both the far right and far left in the House, the legislation passed the House substantially on Wednesday. The final voting count was 314 to 117. The bill received votes from 149 Republicans and 165 Democrats, whereas 71 Republicans and 46 Democrats opposed it.
Senators will be able to make modifications to the legislation. Still, Schumer stated on Wednesday that he did not want to return the ruling to the House, meaning no amendments would be accepted.
With just days until a June 5 deadline, the Senate now is racing against time to pass the debt ceiling bill and avoid what would be an economically catastrophic default. https://t.co/19KzpiLIO3
— ABC News (@ABC) June 1, 2023
A few Democrats and a few Republicans have already opposed the bill. In interviews with CNN on Tuesday and Wednesday, several senators from both parties said they are still considering it.