President Barack Obama signed legislation Monday to suspend the federal debt ceiling and avoid default at least until August, The Hill newspaper reports.
Justin Sink writes the government will borrow nearly $450 billion for interest payments and to distribute salaries and benefits such as Social Security.
The bill also includes requirements to suspend lawmakers’ salaries if their chamber does not produce a fiscal year 2014 budget, as the Senate has not done since April 2009.
According to GovExec, salaries would resume at the start of the 114th Congress in January 2015 under that scenario.
Eric Katz writes the government has avoided default by not reinvesting in the government securities fund, an offering as part of the Thrift Savings Plan.