After a long simmering disagreement over how to fund an extension of low interest rates for student loans, Congress has come to an agreement the Friday before rates were set to double to 6.8%.
The agreement is included in a transportation bill that was also initially held up by partisan debate. Concessions on both sides allowed the legislation, which also includes millions of construction jobs in transit and road projects, to pass both chambers of congress at the 11th hour.
The bill now goes to the White House where the president is expected to sign it.
From the AP:
The compromise legislation came as lawmakers scurried toward a Fourth of July recess. The bill also aims at shoring up the federal flood insurance program.
The bill would spend more than $100 billion on highway and transit programs over two years. And it would also prevent a doubling of interest rates on new student loans, which was scheduled to go into effect Sunday.
A deal clearing the way for passage of the bill was reached after Republicans gave up their demands that the bill require approval of the contentious Keystone XL pipeline and Democrats gave way on environment protections.