House Passes Legislation to Avoid Government Default

Washington, May 10, 2013 -

On Thursday, the House passed H.R. 807, the Full Faith and Credit Act. This legislation would, in the event that our country reaches the legal debt limit, permit the U.S. Treasury to continue to borrow above the limit in order to pay the principal and interest on the federal government’s debt and to meet its obligations to the Social Security Trust Fund. This would allow the government to avoid defaulting on the public debt and ensure that seniors and Americans with disabilities who rely on Social Security will continue to receive their payments on time and in full.

While it is disappointing that such legislation may be necessary, I supported passage of this bill because allowing the federal government to default would cause massive uncertainty that would put the full faith and credit of the United States at risk, weaken job creation at a time when unemployment in San Bernardino County remains above ten percent, and possibly send our economy back into a recession. We cannot allow this to happen. The legislation passed by the House this week would take the threat of a government default off the table while all sides continue to find responsible solutions that will get our debt under control, support economic growth, and protect and preserve essential programs for our most vulnerable citizens.

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