59–010 ★(Star Print) 

Calendar No. 384 

110TH CONGRESS REPORT " ! SENATE 1st Session 110–184 

INCREASING THE STATUTORY LIMIT ON THE PUBLIC 

DEBT 

SEPTEMBER 24, 2007.—Ordered to be printed 

Mr. BAUCUS, from the Committee on Finance, 

submitted the following 

R E P O R T 

[To accompany H.J. Res. 43] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Finance, to which was referred the joint resolution (H.J. Res. 43) increasing the statutory limit on the public 

debt, reports favorably thereon and recommends that the joint resolution do pass. 

I. BACKGROUND 

The statutory limit on the public debt currently is $8.965 trillion. 

It was set at this level in P.L. 109–182, enacted into law on March 

20, 2006. It is projected that the current debt limit will be reached 

in early October 2007. 

House Rule XXVIII provides that when the conference report on 

the Concurrent Resolution on the Budget is adopted, the House is 

deemed to have passed a joint resolution increasing the debt limit 

by a specified amount. For the conference report on the budget resolution passed this year, that amount is $850 billion. This amount 

would increase the debt limit to $9.815 trillion. 

On July 30th of this year, Treasury Secretary Henry M. Paulson, 

Jr. informed the committee that the Treasury Department projected that the statutory debt limit would be reached in early October 2007. Secretary Paulson further wrote that the actions that are 

available to the Treasury Department to take in order to avoid 

breaching the statutory debt limit would create unnecessary uncertainty for the financial markets and result in costs to the governVerDate Aug 31 2005 01:23 Sep 27, 2007 Jkt 026836 PO 00000 Frm 00001 Fmt 6659 Sfmt 6602 E:\HR\OC\SR184.XXX SR184

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ment. The Secretary stressed that these actions should be reserved 

only for extraordinary circumstances and should be avoided. 

II. EXPLANATION OF PROVISION 

The proposal would concur with the joint resolution and increase 

the statutory limit on the public debt by $850 billion to $9.815 trillion. 

III. REGULATORY IMPACT STATEMENT AND RELATED 

MATTERS 

Pursuant to the requirements of paragraph 11(b) of rule XXVI of 

the Standing Rules of the Senate, the committee states that the 

resolution will not significantly regulate any individuals or businesses, will not affect the personal privacy of individuals, and will 

result in no significant additional paperwork. 

The following information is provided in accordance with section 

423 of the Unfunded Mandates Reform Act of 1995 (UMRA) (Pub. 

L. No. 104–04). The committee has reviewed the provisions of H.J. 

Res. 43, as reported. In accordance with the requirement of Public 

Law 104–04, the committee has determined that the resolution 

contains no intergovernmental mandates, as defined in the UMRA, 

and would not affect the budgets of state, local, or tribal governments. 

IV. BUDGET EFFECTS 

In compliance with paragraph 11(a) of rule XXVI of the Standing 

Rules of the Senate, the following statement is made relative to the 

budget effects of H.J. Res. 43, as reported. 

The committee states that H.J. Res. 43 does not provide new 

budgetary authority or provide an increase or decrease in revenue 

or tax expenditures in the current fiscal year or in any of the five 

fiscal years to follow. 

In accordance with section 402 of the Congressional Budget Act 

of 1974, the committee submits the following statement from the 

Congressional Budget Office: 

U.S. CONGRESS, CONGRESSIONAL BUDGET OFFICE, Washington, DC, September 20, 2007. 

Hon. MAX BAUCUS, 

Chairman, Committee on Finance, 

U.S. Senate, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.J. Res. 43, a joint resolution 

increasing the statutory limit on the public debt. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Eric Schatten. 

Sincerely, 

ROBERT A. SUNSHINE

(For Peter R. Orszag, Director). 

Enclosure. 


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H.J. Res. 43—A joint resolution increasing the statutory limit on the 

public debt 

Summary: H.J. Res. 43 would increase the statutory limit on the 

public debt from $8.965 trillion to $9.815 trillion. CBO estimates 

that this measure, by itself, would result in no costs or savings to 

the federal government because it would not change any of the government’s tax or spending policies. 

H.J. Res. 43 contains no intergovernmental or private-sector 

mandates as defined in the Unfunded Mandates Reform Act and 

would have no direct impact on the budgets of state, local, or tribal 

governments. 

The CBO staff contact for this estimate is Eric Schatten. This estimate was approved by Peter H. Fontaine, Assistant Director for 

Budget Analysis. 

V. VOTE OF THE COMMITTEE 

On September 12, 2007, the joint resolution H.J. Res. 43 was ordered favorably reported by a voice vote with a quorum present. 

(Note: Senator Ensign asked for the record to reflect that he voted 

nay.) 

No amendments were offered. 

VI. CHANGES IN EXISTING LAW 

Pursuant to the requirements of paragraph 12 of rule XXVI of 

the Standing Rules of the Senate, changes in existing law made by 

the bill, as reported, are shown as follows (existing law proposed 

to be omitted is enclosed in black brackets, new matter is printed 

in italic, existing law in which no change is proposed is shown in 

roman): 

UNITED STATES CODE 

* * * * * * * 

TITLE 31—MONEY AND FINANCE 

Subtitle III—Financial Management 

CHAPTER 31—PUBLIC DEBT 

Subchapter I—Borrowing Authority 

* * * * * * * 

SEC. 13101. PUBLIC DEBT LIMIT. 

(a) In this section, the current redemption value of an obligation 

issued on a discount basis and redeemable before maturity at the 

option of its holder is deemed to be the face amount of the obligation. 

(b) The face amount of obligations issued under this chapter and 

the face amount of obligations whose principal and interest are 

guaranteed by the United States Government (except guaranteed 

obligations held by the Secretary of the Treasury) may not be more 

than ø$8,965,000,000,000¿ $9,815,000,000,000, outstanding at one 


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time, subject to changes periodically made in that amount as provided by law through the congressional budget process described in 

rule XLIX of the Rules of the House of Representatives or otherwise. 

* * * * * * * 

Æ 


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