WASHINGTON, May 21 -- Senator Todd Young issued the following press release:
Today, U.S. Senators Todd Young (R-Ind.) and Tom Cotton (R-Ark.) introduced the Government Bailout Prevention Act to ensure that federal dollars cannot be used to help insolvent state, territory, or local governments pay off their obligations.
Under the bill, no arm of the federal government - including the Federal Reserve System and the U.S. Treasury Department - can pay or guarantee state and local obligations if that state or local government entity has filed bankruptcy, has defaulted on its debts, or is at risk of bankruptcy or default.
"When state and local governments spend more money than they bring in or rack up dangerous levels of debt, hard-working Am...