Sen. Franken Releases County-By-County Report on Potential Minnesota Impact if U.S. Fails to Meet Budget Obligations

Press Release

Today, U.S. Sen. Al Franken (D-Minn.) released a county-by-county report detailing the potential impact on Minnesota if Congress fails to raise the debt ceiling and the nation defaults on its debt obligations for the first time ever.

If the debt ceiling is not raised, the revenue coming into the government will not be enough to cover its obligations - putting Social Security, Medicare, Medicaid, veterans' benefits, military payments, student loan payments, and many other government services at risk of being disrupted. Residents in each of Minnesota's 87 counties will be impacted if the federal government is unable to fund these priorities.

"I believe we have to act quickly and responsibly to avoid economic disaster," said Sen. Franken. "If we don't raise the debt ceiling, the consequences for Minnesotans are huge. Minnesota receives nearly $46 billion a year in federal money and that flow will be interrupted immediately. I don't want to let that happen."

Additionally, a recent analysis by J.P Morgan shows that, if the country defaults on its debt even briefly, interest rates could rise enough to increase the interest on the average family's credit card debt by $250 annually and would likely raise interest payments on many mortgages. The cost of utilities, food, and fuel could also rise significantly.
Below are federal revenues that came into each of Minnesota's 87 counties in 2009. A similar amount would likely be disrupted if the federal debt ceiling is not raised:

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