Maryland Gov. Martin O’Malley (D) continued making the rounds of national media on Monday to warn of the potential consequences for states from the federal debt standoff.
Appearing on “The Daily Rundown” on MSNBC, O’Malley made the case that states stand to lose whether a deal is reached or not.
If the United States defaults on its debt, it will affect the ability of states to borrow money, O’Malley said. And if a deal is reached to raise the debt ceiling, it could contain “really damaging” budget cuts that hurt states.
Either scenario, O’Malley told host Chuck Todd, poses a threat to the nation’s “jobs recovery.”
“You can kill it in either of those two ways,” said O’Malley, who appeared on the program in his capacity as chairman of the Democratic Governors Association.
O’Malley made the same point Thursday at a news conference in Salt Lake City at the outset of a four-day meeting of the National Governors Association.
“If I can use a whitewater analogy here, the two rocks we need to shoot between is, on the one side, being needlessly driven into default, which will kill the jobs recovery,” O’Malley told reporters. “The other rock is massive public-sector cuts, by whatever name, that would also kill the jobs recovery.”
That comment was featured prominently in a New York Times story, among other places.
During the news conference — and again Monday on MSNBC — O’Malley also talked about a recent “good news-bad news” e-mail he received from his budget secretary upon learning that Maryland’s AAA bond rating had been reaffirmed.
“The bad news is all the bond-rating agencies are coming back around in the next couple of weeks to all of those AAA states, the eight of us, to assess how a federal default would impact all of the bond ratings of states,” O’Malley said on MSNBC.