Scott Votes to Increase Debt Ceiling

WASHINGTON, DC – Today, the House of Representatives considered H.R. 1954, a bill to increase the statutory debt limit. Representative Robert C. "Bobby" Scott (VA-03) voted in favor of H.R. 1954 and issued the following statement with regard to his vote:

"I support a clean debt ceiling increase because it is the responsible thing to do. Federal Reserve Chairman Ben Bernanke has warned that a failure to raise the debt limit by the time the Treasury Department has exhausted its current options to avoid default would 'at minimum' lead to 'an increase in interest rates, which would actually worsen our deficit and would hurt all borrowers in the economy.' A one percent increase in interest rates would cost the taxpayers approximately $100 billion a year. Increasing the debt limit is simply an acknowledgement of money that has already been spent. The United States Government pays its bills and always has. We should not jeopardize the full faith and credit of the United States.

"Every budget alternative presented before the House last month required an increase in the statutory debt limit. The Republican Budget as passed by the House proposes to end Medicare as we know it and still requires an additional $1.9 trillion in borrowing authority in Fiscal Year 2012 and $8.8 trillion over the next decade. The Congressional Black Caucus budget, of which I was the primary author, required an additional $1.7 trillion in Fiscal Year 2012 and $7.7 trillion over the next decade. So no matter the plan, we must increase the debt ceiling to avoid economic catastrophe."

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