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Public Debt Management: New Rules for Debt Limit Suspension

This act introduces new rules for suspending the public debt limit to prevent debt crises. It changes how Congress and the President can act on the debt limit, allowing for automatic suspension after a budget meeting specific debt reduction criteria is adopted. This provides citizens with greater predictability in government financial management.
Key points
Automatic Debt Limit Suspension: The debt limit will be automatically suspended for a fiscal year if Congress adopts a budget that projects a reduction in the debt-to-GDP ratio by at least 5 percentage points over 10 years.
President's Role in Debt Limit Suspension: If Congress fails to adopt such a budget, the President can suspend the debt limit, but Congress has the power to disapprove this decision within 30 days.
Debt Reduction Proposal: When suspending the debt limit, the President must submit a debt reduction proposal that Congress is required to consider.
Spending Restrictions: During a debt limit suspension, the government can only incur obligations necessary to fund existing commitments, without creating excessive cash reserves.
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Additional Information
Print number: 117_HR_6393
Sponsor: Rep. Arrington, Jodey C. [R-TX-19]
Process start date: 2022-01-13
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Responsible Budgeting Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 117_HR_6393.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2022-01-13.

What are the main provisions?

Key points include:

  • Automatic Debt Limit Suspension: The debt limit will be automatically suspended for a fiscal year if Congress adopts a budget that projects a reduction in the debt-to-GDP ratio by at least 5 percentage points over 10 years.
  • President's Role in Debt Limit Suspension: If Congress fails to adopt such a budget, the President can suspend the debt limit, but Congress has the power to disapprove this decision within 30 days.
  • Debt Reduction Proposal: When suspending the debt limit, the President must submit a debt reduction proposal that Congress is required to consider.
  • Spending Restrictions: During a debt limit suspension, the government can only incur obligations necessary to fund existing commitments, without creating excessive cash reserves.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. Arrington, Jodey C. [R-TX-19].

What is the latest detailed status?

The latest detailed status is: Introduced in House

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-28.

CATEGORIES

Economy Public Investments