US News

Dems’ new debt-defying act

WASHINGTON — A day after the Massachusetts election, partly considered a referendum on runaway government spending, Senate Democrats yesterday proposed letting the federal government borrow an additional $1.9 trillion to pay its bills.

That would permit the national debt to reach $14.3 trillion.

The unpopular legislation is needed to allow the government to issue bonds to fund programs and prevent a first-time default on obligations.

The budget deficit has spiraled out of control in the wake of a recession that cut tax revenues as well as costly government bailouts of Wall Street and automakers.

It will take 60 votes to pass the legislation under an agreement by top Senate leaders.