Treasury chief to Congress: Raise debt limit before August
WASHINGTON — Treasury Secretary Steven Mnuchin told lawmakers on Wednesday that they should vote to increase the government’s borrowing authority — and avert a disastrous economic default — before their August recess.
Within hours, the conservative House Freedom Caucus said it would oppose such a vote unless certain conditions are met.
The timeline is earlier than previous estimates. It had been expected that Congress wouldn’t have to act on the politically painful measure until sometime this fall, but tax revenues are coming in lower than previously estimated.
Mnuchin also urged the House Ways and Means Committee to pass the debt limit legislation as a bill without controversial additions, such as spending cuts sought by conservatives, that could complicate its approval.