Congressional Democrats prepared to pass big spending bills and a roughly $1.8 trillion increase in the federal debt limit, all at a time when concern is growing over the government's chronic deficits.
While dealing with spending for the current fiscal year, lawmakers are also crafting a plan to raise the ceiling on the government's borrowing authority. The legal limit for federal borrowing currently stands at $12.1 trillion, and the administration has said that if that figure wasn't increased soon, the Treasury wouldn't be able to cover Washington's spending obligations. Lawmakers are looking to lift the debt ceiling by nearly 15%, enough to get the government through the 2010 election.
While Democrats generally agree on the need to raise the ceiling by that amount, they are splitting over whether to try to pair it with action to force more fiscal discipline -- the creation of a "deficit reduction commission."
But House leaders are maneuvering to make the pairing move almost impossible by instead linking the debt ceiling to a must-pass bill on defense spending. Many rank-and-file House lawmakers oppose a commission, worried that it would diminish their authority and take aim at popular programs such as Social Security and Medicare. Speaker Nancy Pelosi (D., Calif.) also has signaled her opposition.
http://online.wsj.com/article/SB126047998174386189.html?mod=WSJ_hpp_sections_news
