Sept. 27 (Bloomberg) -- President Barack Obama said that Congress’s failure to approve funding to keep the government open and an increase in the debt ceiling would have a destabilizing effect on the economy.
“This grandstanding has real effects on real people,” the Democratic president said in a televised statement at the White House. “Even the threat of a shutdown already is probably having a dampening effect on our economy.”
Earlier today the Senate passed a temporary funding bill on a 54-44 vote and sent it to the House as lawmakers worked against a deadline to avert a damaging government shutdown on Oct. 1, the start of a new fiscal year.
The Senate, controlled by Democrats, approved funding through Nov. 15 without the provision in the legislation passed by the Republican-controlled House that would have deleted funds to carry out Obama’s signature health-care law.
House leaders were still insisting that any short-term spending bill include limits on the health-care law’s reach, a demand House Democrats and Obama won’t accept.
The standoff will push the House into session over the weekend as leaders try to reach a deal to avoid a shutdown that would furlough most federal workers after 11:59 p.m. on Sept. 30.
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