Sen. Mike Johanns stated today that efforts to reduce the national deficit continue in Washington despite the failure of the Congressional supercommittee to offer a plan to cut the debt.
Johanns said he worries about the financial stability of the country.
“I watch every day what is going on in Europe and for those who are engaged in that and paying attention to it and reading the articles coming out of Europe, it sends chills up and down your spine,” Johanns told reporters during a conference call from Washington. “Borrowing costs for major economies like Italy have just gone through the roof.”
Johanns said Congress must address the deficit or face the same problems as seen in Europe. He said a group of senators continue to work on a plan to reduce the deficit and avoid automatic cuts to the budget which are scheduled to take place in 2013. Johanns said that that timeframe gives Congress enough time to act.
The agreement reached to raise the national debt ceiling created the supercommittee. It also authorized across-the-board budget cuts to take effect on January 2, 2013 if the supercommittee failed to devise a plan to cut the deficit by $1.2 trillion.
The national debt recently exceeded the $15 trillion mark.