Federal Relations

October 7, 2021

Debt Ceiling Crisis Avoided… For Now

Senate Democrats and Republicans reached a deal last night that would, temporarily, prevent the debt ceiling being hit.  The two sides agreed to increase the borrowing limits of the federal government by $480 billion through December 3.  This would enable the government to make payments on its obligations through that date.  However, this solution is only temporary.

December 3 is also the date on which the current continuing resolution that is keeping the government funded expires, meaning that another potential showdown over both the funding bills and the debt limit is probable in late November.

Read more about the agreement here and here.