President Signs Bill Approving Raising Debt Limit
President Barack Obama signed into law a bill raising the government’s borrowing limit on Monday, which avoided a default and delaying the next clash over the nation’s debt until later this year.
Little attention was placed on the signing, which happened in the shadow of Mr. Obama traveling to Minnesota to campaign for universal background checks for gun sales.
The legislation temporarily suspends the $16.4 trillion limit on federal borrowing. Experts say that will allow the government to borrow about $450 billion to meet interest payments and other obligations.
The Senate gave the bill final approval last week and sent it to Obama, who signed it Monday shortly after returning from Minneapolis.
Democrats and Obama had warned that failure to pass the bill could set off financial panic and threaten the economic recovery.
The bill includes a provision attached by House Republicans that temporarily withholds lawmakers’ pay in either chamber that fails to produce a budget plan.