News & Press: Newswire

Puerto Rico Bankruptcy Faces Uphill Battle

Friday, April 15, 2016   (0 Comments)
Posted by: Sharon Edmondson
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House Speaker Ryan (R-WI) will try to rally Republicans and salvage a deal with the Obama administration that would allow Puerto Rico to restructure more than $70 billion in debt.  If Republicans can't muster enough conservative support for the bill, the measure could be dramatically rewritten to win over Democrats, who are currently opposed to the legislation.

Republicans are meeting on Friday morning to talk over the bill, but on Thursday, several of members of the Natural Resources panel expressed reservations about it.

The legislation would establish a seven member fiscal oversight board selected by the president and members of House and Senate leadership. Working with local leaders, the board would draft a plan to get Puerto Rico out of debt, and it would have the ability to overrule the Puerto Rican legislature and governor on any measure it deems to undermine that fiscal health plan.

It is unclear if Speaker Ryan will be able to whip his own members on the vote or move the language towards what Democrats want and rely on them to carry it out of committee and through the House.


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