Senate Majority Leader Mitch McConnell (R-Ky.) is facing blowback from across the political spectrum after he suggested states should be able to declare bankruptcy as they face severe budget holes sparked by the coronavirus outbreak.
The debate over providing more federal funding for state and local governments is emerging as an early lightning rod in the next coronavirus bill, with Democrats and some Republicans asking for hundreds of billions in additional assistance.
But McConnell sparked his own political firestorm when, in response to a question from radio host Hugh Hewitt, he said he supported letting states declare bankruptcy and positioned Republicans as cautious of providing them with additional federal relief.
"I would certainly be in favor of allowing states to use the bankruptcy route. It saves some cities. And there’s no good reason for it not to be available. My guess is their first choice would be for the federal government to borrow money from future generations to send it down to them now so they don’t have to do that. That’s not something I’m going to be in favor of," McConnell said.
The remarks were met with quick and fierce backlash by lawmakers and local officials from states hit hard by the spread of the coronavirus, including members of McConnell’s own party.
Maryland GOP Gov. Larry Hogan predicted on Thursday that McConnell would ultimately regret his comments — if he didn’t already.
"Mitch McConnell, I think, probably regrets saying that," Hogan said during a Politico Playbook event. "If he doesn't regret it yet, I think he will regret it."
“The last thing we need in the middle of an economic crisis is to have states filing bankruptcy all across America and not able to provide services to people who desperately need them,” he added. “I'm hopeful that we're going to be able to … convince Sen. McConnell that maybe he shouldn't let all the states go bankrupt."
Rep. Pete King (R-N.Y.), who is retiring, called McConnell the “Marie Antoinette of the Senate.”
“McConnell’s dismissive remark that States devastated by Coronavirus should go bankrupt rather than get the federal assistance they need and deserve is shameful and indefensible,” added King, whose home state has been hard hit by the coronavirus.