On June 1st, 2023, the United States Senate voted 63-36 to pass a bill that would raise the debt ceiling and avert a historic default. The bill was passed by the House of Representatives on Wednesday and was sent to President Biden's desk for his signature.
The legislation suspends the nation's debt limit through January 1st, 2025 and is estimated to save taxpayers $1 trillion over 10 years. It also includes provisions to cap military expenditures at $886 billion for fiscal 2024, a three percent increase over this year.
The vote came after high-stakes negotiations between President Biden and House Speaker Kevin McCarthy ahead of a looming deadline on Monday when the federal government risked running out of money to pay its bills.
"This agreement will help us avoid defaulting on our obligations for the first time in history," said Senate Majority Leader Chuck Schumer (D-NY). "It will provide much needed certainty to our economy and financial markets."