Multiple Senate Democrats are pressing President Joe Biden to lay down the groundwork for deploying the 14th Amendment to break the debt limit impasse.
At least five senators signed onto a draft letter suggesting the 14th Amendment could scrap the debt ceiling altogether, despite concerns it could trigger a constitutional crisis.
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“Republicans have made it clear that they are prepared to hold our entire economy hostage unless you accede to their demands to reduce the deficit on the backs of working families. That is simply unacceptable,” the letter said, according to multiple reports. “Using this authority would allow the United States to continue to pay its bills on time, without delay, preventing a global economic catastrophe.”
Signatories of the letter so far include Sens. Tina Smith (D-MN), Elizabeth Warren (D-MA), Edward Markey (D-MA), Bernie Sanders (I-VT), and Jeff Merkley (D-OR), per the reports
Biden previously kept the use of the 14th Amendment on the table, but cautioned it would likely “be litigated and in the meantime, without an extension, it’d still end up in the same place.” Biden has also repeatedly underscored that default is “not an option.”
The 14th Amendment stipulates that the “validity of the public debt of the United States, authorized by law, including debts incurred for payment of pensions and bounties for services in suppressing insurrection or rebellion, shall not be questioned.” However, the Constitution also grants Congress the power of the purse.
A growing number of progressives such as Sanders appear nervous that Biden may cede too much during deliberations with Republicans as his team reportedly mulls over concessions on spending caps and considers some work requirement options.
Initially, the White House was adamant that a standalone debt limit hike bill was non-negotiable. However, Biden’s team has held discussions with Republicans about spending reforms.
Backers of using the amendment argue that it can nullify the debt ceiling altogether.
Biden met with the “big four” congressional leaders Tuesday and announced that the two sides agreed on a new negotiating structure that features direct talks between the president’s team and House Speaker Kevin McCarthy (R-CA). The two sides still appear far apart as the June 1 “X-date” rapidly approaches.
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Treasury Secretary Janet Yellen warned that going down the 14th Amendment route could cause a “constitutional crisis.” She estimates the government will run out of cash to pay all its bills by June 1.
“There is no way to protect our financial system in our economy other than Congress doing its job and raising the debt ceiling and enabling us to pay our bills. And we should not get to the point where we need to consider whether the president can go on issuing debt. This would be a constitutional crisis,” Yellen said.
