McConnell urges Senate to approve McCarthy’s debt deal.

“The United States of America will not default on its debt,”

– Senate Minority Leader Mitch McConnell (R-Ky.)

McConnell is calling on the Senate to pass a debt deal brokered by House Speaker Kevin McCarthy (R-Calif.) and the White House, arguing that the United States cannot default. The deal includes meaningful limits on the Administration’s spending agenda and reinforces the link between federal assistance and work.

However, some GOP lawmakers, including Sen. Mike Lee (R-Utah) and Sen. Rand Paul (R-Ky.), have expressed concerns about the deal. They note that McCarthy’s deal would include a reported $4 trillion raise to the debt ceiling over the next two years.

Despite this, McCarthy cast the deal as a win for Republicans and a loss for Democrats, as Republican lawmakers said the spending cuts don’t go far enough.

Sen. Ted Cruz (R-Texas) also criticized the deal, saying that it gives Democrats a blank check for $4 trillion and new IRS agents to harass Americans in exchange for eliminating virtually all of the House’s spending cuts.

Loans Impacted

The House will vote on the legislation Wednesday, giving the Senate time to consider it before June 5, the date when Treasury Secretary Janet Yellen said the United States could default on its debt obligations if lawmakers did not act in time. As part of the deal, the pause on student loan payments that was enacted during the COVID-19 pandemic is now “gone” as the U.S. Supreme Court hears a case challenging the policy.

• Senate Minority Leader Mitch McConnell (R-Ky.) urges Senate to pass debt deal
• Deal includes meaningful limits on Administration’s spending agenda and reinforces link between federal assistance and work
• Some GOP lawmakers express concerns about the deal, including a reported $4 trillion raise to the debt ceiling over the next two years
• House will vote on the legislation Wednesday, giving the Senate time to consider it before June 5
• Pause on student loan payments enacted during COVID-19 pandemic is now “gone” as U.S. Supreme Court hears case challenging the policy