This bill — known as the Dollar-for-Dollar Deficit Reduction Act — would require the Dept. of the Treasury to issue a debt limit warning to Congress if it will be reached within 60 days that includes a determination of when extraordinary measures may be necessary to fund the government. Any presidential request to increase the debt limit would be required to include the amount of the proposed increased and suggested legislation to reduce spending by at least that sum over 10 years. A point of order could be raised in the House and Senate against legislation that raises the debt limit without reducing spending over 10 years by the amount of the increase.
What is Senate Bill S. 716?
Cost of Senate Bill S. 716
In-Depth: Sponsoring Sen. Rob Portman (R-OH) introduced this bill to ensure that Congress reduces spending on a dollar-for-dollar basis when it raises the debt limit:
“If we’re going to raise the debt limit, we should also rein in spending and address our massive debt. That’s just common sense, Our current spending and debt levels are unsustainable. They threaten to drive up tax rates, reduce economic growth, and leave an increasingly heavy burden on future generations of Americans. This legislation would address this problem by requiring Congress to responsibly offset increases in the debt limit with spending reductions over a 10-year period.”
This legislation has the support of five Republican cosponsors in the Senate.
Of Note: The U.S. national debt is approaching $20 trillion, larger than the $19 trillion American economy, and Congress is going to need to increase the debt limit again before Fall 2017.
Summary by Eric Revell(Photo Credit: Public Domain)
Dollar-for-Dollar Deficit Reduction Act
A bill to require that any debt limit increase be balanced by equal spending cuts over the next decade.
- Not enactedThe President has not signed this bill
- The house has not voted
- The senate has not voted
Committee on the BudgetIntroducedMarch 23rd, 2017
- senate Committees