Puerto Rico Debt-Crisis Plan Passes House in Bipartisan Vote

  • Senate said to plan action before July 1 bond payment deadline
  • Obama, Ryan, Treasury secretary made the case for passage

The U.S. House passed a hard-fought, bipartisan compromise designed to stem Puerto Rico’s worsening debt crisis after months of wrangling and a significant default.

The legislation, passed 297-127 Thursday, would establish a seven-member financial oversight board to manage a restructuring of Puerto Rico’s $70 billion debt and oversee the island’s finances. The commonwealth racked up the debt after years of borrowing to cover operating costs. The plan envisions the largest federal intervention into the island’s fiscal affairs since it became a U.S. territory in 1898 after the Spanish-American War.

The bill still requires passage by the Senate, which plans to take it up in the next several weeks, according to a Republican leadership aide who asked for anonymity. That means the measure could be on the president’s desk before the July 1 deadline for a $2 billion debt payment, which Governor Alejandro Garcia Padilla has said the island cannot pay…

Puerto Rico Debt-Crisis Plan Passes House in Bipartisan Vote

Categories : Uncategorized

Leave a Reply

You must be logged in to post a comment.