Will Perdue and Loeffler Follow McConnell’s Lead Pushing States Towards Bankruptcy?

April 23, 2020

McConnell wants states to “use the bankruptcy route” instead of additional federal relief even as Georgia faces coronavirus budget crisis

ATLANTA — With Georgia facing a multi-billion dollar budget crisis in part due to the coronavirus outbreak, Senate Majority Leader Mitch McConnell yesterday said that states facing economic hard times as a result of this public health emergency should be able to “use the bankruptcy route.” Yet despite Georgia’s own dire fiscal straits, neither of Georgia’s senators has condemned McConnell’s position to potentially force states like Georgia into bankruptcy rather than getting federal assistance.

Instead, Senator David Perdue yesterday proclaimed that “we don’t want to bail out”  states, an early sign that he will likely back McConnell’s reckless position even at the expense of budgets like Georgia’s. Senator Kelly Loeffler, of course, has already pledged to stand behind McConnell and Republican leadership “100%” — even as McConnell still struggles to stand behind her after her stock trading scandal.

Both Perdue and Loeffler already supported Republican efforts to block $150 billion for state and local governments from the latest coronavirus relief bill. Their support of that reckless position came despite the fact that this relief would be critical for states like Georgia already facing “the worst fiscal crisis…since the Great Recession” before the coronavirus outbreak.

“Even as Georgia is facing a multi-billion dollar budget shortfall as a result of the coronavirus pandemic, Georgia’s senators won’t stand up to Mitch McConnell who would rather have states go bankrupt than get federal relief,” said Alex Floyd, spokesman for the Democratic Party of Georgia. “It’s shameful that instead of standing up for Georgia, Senators David Perdue and Kelly Loeffler would rather stand behind McConnell and his reckless agenda.”


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