The U.S. House of Representatives inched the country away from financial default by passing a temporary suspension of the nation’s debt ceiling.
Members approved a compromise in the debt ceiling standoff negotiated by President Joe Biden and House Speaker Kevin McCarthy (R-Calif.) in a bipartisan vote of 314 to 117 on May 31. Forty-six Democrats and 71 Republicans voted against the bill.
The Financial Responsibility Act suspends the debt ceiling until Jan. 1, 2025, cuts non-defense discretionary spending slightly in 2024, and limits discretionary spending growth to 1 percent in 2025.
The agreement also contains permitting reforms for oil and gas drilling, changes to work requirements for some social welfare programs, and clawbacks of $20 billion in IRS funding and $30 billion in unspent COVID-19 relief funds….}