June 02, 2023

Senate sends debt ceiling deal to Biden ahead of deadline

US Capitol buildingAfter a strong bipartisan showing in the House to pass the debt ceiling deal Wednesday evening, the Senate followed suit Thursday night and approved the legislation 63-36. The bill now heads to President Joe Biden to enact before the U.S. is expected to hit the debt limit Monday.

Senate leadership agreed to allow votes on amendments prior to a final vote, though no amendments passed; doing so would have required another vote in the House.

The legislation would suspend the ceiling through the end of 2024, address work requirements for certain government assistance programs, revise energy project permitting, claw back some COVID relief funds and IRS funding, place spending caps, and restart student loan repayments.

Of note for credit unions, the legislation does rescind some Emergency Capital Investment Program (ECIP) funds; however, the provision would reclaim unawarded funds, so institutions that have been selected for awards but not yet received funding are expected to still receive those funds.

NAFCU will continue to advocate for credit union priorities as Congress looks to take up appropriations bills in the coming weeks. Stay tuned to NAFCU Today for the latest out of Washington.