ICYMI: National League of Cities Calls for Congress to Cooperate on Addressing Debt Limit
Today, the National League of Cities (NLC) issued a statement urging members of Congress to work together to address the debt limit, "before harm is done to our national economy, and particularly to cities, towns, and villages."
NLC Executive Director Clarence E. Anthony writes: "Cities, towns, and villages across America are starting to rebuild thanks to the American Rescue Plan Act of 2021's (ARPA) Coronavirus State and Local Fiscal Recovery Funds, the CARES Act Coronavirus Relief Fund, and other necessary emergency funds. Hitting the debt ceiling could have negative implications for the U.S. economy that could have devastating downstream impacts on municipalities just as they are beginning to recover."
The statement emphasizes the impact defaulting would have on local communities currently relying on federal support to recover from natural disasters: "Further, breaching the debt ceiling puts federal funding in peril for essential programs such as the Federal Emergency Management Agency (FEMA) that supports municipalities. Following Hurricane Ida, communities from Louisiana to New York are relying on FEMA for help and any slowdown in funds reaching residents along the storm's path would be devastating."
NLC echoes a series of similar calls for Congress to act swiftly the debt limit and avoid economic damage, from economic leaders and organizations like Business Roundtable, Amazon CEO Andy Jassy, Center for American Progress, Goldman Sachs, JP Morgan, and leading trade groups in the banking and financial services industry, among others.
Read the full release here.
Joseph R. Biden, ICYMI: National League of Cities Calls for Congress to Cooperate on Addressing Debt Limit Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/352689