II 

117TH CONGRESS 

2D SESSION S. 3801 

To establish limitations on the amount of debt issued by the United States 

which may be held by foreign governments, entities, and individuals. 

IN THE SENATE OF THE UNITED STATES 

MARCH 10 (legislative day, MARCH 7), 2022 

Ms. ERNST (for herself, Mr. BRAUN, and Mr. CASSIDY) introduced the 

following bill; which was read twice and referred to the Committee on Finance 

A BILL 

To establish limitations on the amount of debt issued by 

the United States which may be held by foreign governments, entities, and individuals. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘National Debt is Na5 tional Security Act’’. 

6 SEC. 2. LIMIT ON PUBLIC DEBT HELD BY FOREIGN GOV7 ERNMENTS, ENTITIES, AND INDIVIDUALS. 

8 (a) IN GENERAL.—Subchapter I of chapter 31 of title 

9 31, United States Code, is amended by inserting after sec10 tion 3113 the following: 


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•S 3801 IS

1 ‘‘§ 3114. Limit on public debt held by foreign govern2 ments, entities, and individuals 

3 ‘‘(a) IN GENERAL.— 

4 ‘‘(1) CUMULATIVE LIMIT.—Notwithstanding 

5 any other provision of this chapter, the amount of 

6 the national debt which is cumulatively held by for7 eign governments, entities organized or incorporated 

8 under the laws of a foreign country, and citizens of 

9 foreign countries shall not exceed an amount equal 

10 to one-third of the national debt. 

11 ‘‘(2) COUNTRY-SPECIFIC LIMIT.—Notwith12 standing any other provision of this chapter, with re13 spect to any foreign country, the amount of the na14 tional debt which is cumulatively held by the govern15 ment of such country, entities organized or incor16 porated under the laws of such country, and citizens 

17 of such country shall not exceed an amount equal to 

18 5 percent of the national debt. 

19 ‘‘(b) DETERMINATION.—The Secretary of the Treas20 ury, in coordination with the Director of the Office of 

21 Management and Budget, shall issue guidance regarding 

22 implementation of this section, including calculation of the 

23 amount of the national debt held by foreign governments, 

24 entities organized or incorporated under the laws of a for25 eign country, and citizens of foreign countries. 

26 ‘‘(c) PRESIDENTIAL WAIVER.— 


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1 ‘‘(1) IN GENERAL.—The President may waive 

2 the application of paragraph (1) or (2) of subsection 

3 (a) if the President determines and, pursuant to 

4 paragraph (2), so reports that the important na5 tional interest of the United States requires the ex6 ercise of such waiver authority. 

7 ‘‘(2) CONGRESSIONAL NOTIFICATION.—Not 

8 later than the date of the exercise of a waiver under 

9 paragraph (1), the President shall notify the Com10 mittee on Ways and Means of the House of Rep11 resentatives and the Committee on Finance of the 

12 Senate of the waiver or the intention to exercise the 

13 waiver, together with a detailed justification thereof. 

14 ‘‘(d) NATIONAL DEBT.—For purposes of this section, 

15 the term ‘national debt’ means the face amount of obliga16 tions issued under this chapter and the face amount of 

17 obligations whose principal and interest are guaranteed by 

18 the United States Government (except guaranteed obliga19 tions held by the Secretary of the Treasury).’’. 

20 (b) CLERICAL AMENDMENT.—The table of sections 

21 of subchapter I of chapter 31 of title 31, United States 

22 Code, is amended by inserting after the item relating to 

23 section 3113 the following: 

‘‘3114. Limit on public debt held by foreign governments, entities, and individuals.’’. 

Æ 


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