Fiscal Responsibility Act: A Win or a Compromise?

The bipartisan agreement, largely supported by Democrats, narrowly averts a potential economic catastrophe just days ahead of the June 5 deadline.

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The draft of a bill that President Joe Biden and House Speaker Kevin McCarthy of Calif., negotiated to raise the nation's debt ceiling, is photographed Monday, May 29, 2023. (AP Photo/Jon Elswick)
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In a bid to raise the debt ceiling, the House of Representatives passed the Fiscal Responsibility Act on Wednesday night by a vote of 314 to 117. The bipartisan agreement, largely supported by Democrats, narrowly averts a potential economic catastrophe just days ahead of the June 5 deadline.

The new bill brings both positive and negative changes. The debt ceiling is now raised until 2025. It reduces the chances of a government shutdown and secures key aspects of President Biden’s agenda. Unexpected benefits include a caveat for veterans and unhoused Americans from certain work requirements to receive SNAP benefits.

Photographers cover a meeting of the House Rules Committee to prepare the debt limit bill, The Fiscal Responsibility Act of 2023, for a vote on the floor, at the Capitol in Washington, Tuesday, May 30, 2023. (AP Photo/Jacquelyn Martin)

However, the bill isn’t without drawbacks for Democrats. It caps federal spending for the next two fiscal years and imposes new work requirements on SNAP and temporary assistance for needy families. Additionally, it reinstates student loan payments in August — a provision that’s received some backlash.


Click play to listen to the report from AURN White House Correspondent Ebony McMorris. For more news, follow @E_N_McMorris & @aurnonline.

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