January 18, 2013
House GOP Proposes 3-Month Debt Limit Deal
Earlier today, House Republicans announced a plan to condition a three-month increase in the debt limit on the Senate committing to pass a budget by the April 15th statutory deadline. As a consequence of not meeting that statutory deadline, the House GOP proposal would withhold congressional members pay. The 1974 Congressional Budget Act requires passage of a budget resolution by that date each year, yet the Senate has not approved a budget for the past four years.
House Speaker Boehner (R-OH) had said since 2011 that any increase in the debt ceiling must be accompanied by dollar-for-dollar spending cuts or reforms. The new 3-month delay proposal would not include any additional spending cuts.
The White House, which has demanded a “clean” debt-ceiling increase free of spending cuts, welcomed the proposal as a step in the right direction.