House Passes Trump-Backed Budget, Debt Deal

The 'must-do' compromise heads off another government shutdown
By Newser Editors and Wire Services
Posted Jul 25, 2019 4:36 PM CDT
House Passes Trump-Backed Budget, Debt Deal
Speaker of the House Nancy Pelosi, D-Calif., and the Democratic Caucus hold an event on the House steps to highlight their agenda since taking the majority in the 2018 election, at the Capitol in Washington, Thursday, July 25, 2019.   (AP Photo/J. Scott Applewhite)

A hard-won, bipartisan budget and debt compromise between President Donald Trump and Speaker Nancy Pelosi has easily passed the Democratic-controlled House, the AP reports. The bill would head off another government shutdown, permit the Treasury to borrow freely to pay the government's bills, and lock in place recent budget gains for the Pentagon and domestic agencies. It's a must-do measure that represents a relatively rare moment of detente in Trump's Washington.

The legislation would take care of the two biggest items on Washington's essential agenda. It lifts the limit on the government's $22 trillion debt for two years to avert a first-ever default on US payments, sets a $1.37 trillion cap for the agency accounts funded by Congress each year, and overrides draconian spending limits to prevent $125 billion in automatic spending cuts from hitting government agencies. It amounts to a cease-fire to allow lawmakers to navigate through a series of tricky fiscal deadlines without politically exhausting battles. The Senate is expected to take up the legislation next week, with the aim of sending it to Trump before senators leave for their summer recess, the Washington Post reports.

(More federal budget stories.)

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