Debt Ceiling Reform Act

To amend chapter 31 1. Short title This Act may be cited as the Debt Ceiling Reform Act 2. Procedures for congressional disapproval of issuance of additional debt Section 3101 of title 31, United States Code, is amended to read as follows: 3101. Public debt limit (a) Definition of joint resolution In this section, the term joint resolution (1) that is introduced during the period— (A) beginning on the date on which a certification under subsection (b)(1) is received; and (B) ending on the date that is 3 calendar days after the date described in subparagraph (A) (or, if a House was not in session, the next calendar day on which that House is in session); (2) which does not have a preamble; (3) the title of which is only as follows: Joint resolution relating to the disapproval of the President’s exercise of authority to issue additional debt, as submitted under section 3101 of title 31, United States Code, on ______ (4) the matter after the resolving clause of which is only as follows: That Congress disapproves of the President’s exercise of the authority to issue additional debt, as exercised pursuant to the certification under section 3101(b) of title 31, United States Code. (b) Certification (1) In general The President shall submit to Congress a written certification whenever the President determines that the debt is within $100,000,000,000 of a $1,000,000,000,000 increment and that further borrowing is required to meet existing commitments. (2) Authority to issue debt after certification Subject to the requirements of this section, the United States may issue additional debt as necessary to meet existing commitments on and after the date on which the President submits a written certification to Congress under paragraph (1). (3) Resolution of disapproval Congress may consider a joint resolution relating to each certification submitted by the President under paragraph (1). (c) Enactment of joint resolution The United States may not issue additional debt if, not later than 50 calendar days after the date on which Congress receives a certification submitted under subsection (b)(1) (regardless of whether Congress is in session), there is enacted into law a joint resolution disapproving the President’s exercise of authority to issue additional debt. (d) Expedited consideration in the House of Representatives (1) Reconvening Upon receipt of a certification submitted under subsection (b)(1), the Speaker, if the House of Representatives would otherwise be adjourned, shall notify the Members of the House of Representatives that, pursuant to this section, the House of Representatives shall convene not later than the second calendar day after receipt of such certification. (2) Reporting and discharge Any committee of the House of Representatives to which a joint resolution is referred shall report it to the House of Representatives without amendment not later than 5 calendar days after the date of introduction of the joint resolution. If a committee fails to report the joint resolution within that period, the committee shall be discharged from further consideration of the joint resolution and the joint resolution shall be referred to the appropriate calendar. (3) Proceeding to consideration After each committee authorized to consider a joint resolution reports it to the House of Representatives or has been discharged from its consideration, it shall be in order, not later than the sixth day after introduction of the joint resolution, to move to proceed to consider the joint resolution in the House of Representatives. All points of order against the motion are waived. Such a motion shall not be in order with respect to a joint resolution relating to a certification after the House of Representatives has disposed of a motion to proceed that joint resolution. The previous question shall be considered as ordered on the motion to its adoption without intervening motion. The motion shall not be debatable. A motion to reconsider the vote by which the motion is disposed of shall not be in order. (4) Consideration A joint resolution shall be considered as read. All points of order against a joint resolution and against its consideration are waived. An amendment to a joint resolution is not in order. The previous question shall be considered as ordered on a joint resolution to its passage without intervening motion except 2 hours of debate equally divided and controlled by the proponent and an opponent. A motion to reconsider the vote on passage of a joint resolution shall not be in order. (e) Expedited procedure in the Senate (1) Reconvening Upon receipt of a certification under subsection (b)(1), if the Senate has adjourned or recessed for more than 2 days, the majority leader of the Senate, after consultation with the minority leader of the Senate, shall notify the Members of the Senate that, pursuant to this section, the Senate shall convene not later than the second calendar day after receipt of such message. (2) Placement on calendar Upon introduction in the Senate, a joint resolution shall be immediately placed on the calendar. (3) Floor consideration (A) In general Notwithstanding rule XXII of the Standing Rules of the Senate, it is in order at any time during the period beginning on the day after the date on which Congress receives a certification under subsection (b)(1) and ending on the 6th day after the date on which Congress receives the certification (even though a previous motion to the same effect has been disagreed to) to move to proceed to the consideration of a joint resolution relating to the certification, and all points of order against the joint resolution (and against consideration of the joint resolution) are waived. The motion to proceed is not debatable. The motion is not subject to a motion to postpone. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of a joint resolution is agreed to, the joint resolution shall remain the unfinished business until disposed of. (B) Consideration Consideration of a joint resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 10 hours, which shall be divided equally between the majority and minority leaders or their designees. A motion further to limit debate is in order and not debatable. An amendment to a joint resolution, a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit a joint resolution is not in order. (C) Vote on passage If the Senate has voted to proceed to a joint resolution, the vote on passage of the joint resolution shall occur immediately following the conclusion of consideration of the joint resolution, and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the Senate. (D) Rulings of the chair on procedure Appeals from the decisions of the Chair relating to the application of the rules of the Senate, as the case may be, to the procedure relating to a joint resolution shall be decided without debate. (f) Coordination with action by other House (1) In general If, before passing a joint resolution relating to a certification under subsection (b)(1), one House receives from the other a joint resolution relating to the same certification— (A) the joint resolution of the other House shall not be referred to a committee; and (B) the procedure in the receiving House shall be the same as if no joint resolution had been received from the other House until the vote on passage, when the joint resolution received from the other House shall supplant the joint resolution of the receiving House. (2) Treatment of joint resolution of other house If the Senate fails to introduce or consider a joint resolution under this section relating to a certification under subsection (b)(1), the joint resolution of the House relating to the same certification shall be entitled to expedited floor procedures under this section. (3) Treatment of companion measures If, following passage of a joint resolution in the Senate, the Senate receives the companion measure from the House of Representatives, the companion measure shall not be debatable. (4) Consideration after passage (A) In general If Congress passes a joint resolution, the period beginning on the date the President is presented with the joint resolution and ending on the date the President signs, allows to become law without his signature, or vetoes and returns the joint resolution (but excluding days when either House is not in session) shall be disregarded in computing the calendar day period described in subsection (c). (B) Veto message Debate on a veto message in the Senate under this section shall be 1 hour equally divided between the majority and minority leaders or their designees. (5) Veto override If, within the calendar day period described in subsection (c), Congress overrides a veto of a joint resolution relating to a certification submitted under subsection (b)(1), the United States may not issue any additional debt this chapter. (g) Rules of House of Representatives and Senate This subsection and subsections (a), (d), (e), and (f) are enacted by Congress— (1) as an exercise of the rulemaking power of the Senate and House of Representatives, respectively, and as such are deemed a part of the rules of each House, respectively, but applicable only with respect to the procedure to be followed in that House in the case of a joint resolution, and they supersede other rules only to the extent that they are inconsistent with such rules; and (2) with full recognition of the constitutional right of either House to change the rules (so far as relating to the procedure of that House) at any time, in the same manner, and to the same extent as in the case of any other rule of that House. (h) Debt defined (1) In general For purposes of this section, the term debt (2) Determination of face amount (A) In general For purposes of 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) Certain obligations not redeemable before maturity For purposes of this section, the face amount, for any month, of any obligation issued on a discount basis that is not redeemable before maturity at the option of the holder of the obligation is an amount equal to the sum of— (i) the original issue price of the obligation, plus (ii) the portion of the discount on the obligation attributable to periods before the beginning of such month (as determined under the principles of section 1272(a) . 3. Repeal of expired provision (a) Repeal Section 3101A of title 31, United States Code, is repealed. (b) Clerical amendment The table of sections for subchapter I of chapter 31 4. Technical and conforming amendments (a) In general (1) Section 8348 of title 5, United States Code, is amended by striking subsections (j), (k), and (l). (2) Section 8438 of title 5, United States Code, is amended by striking subsections (g) and (h). (3) Section 14(d)(2)(A) of the Federal Deposit Insurance Act ( 12 U.S.C. 1824(d)(2)(A) (A) by striking in section 3101(b) under section 3101 (B) by striking an obligation to which such limit applies debt, as defined in subsection (h) of such section (b) Savings provisions Notwithstanding the amendments made by paragraphs (1) and (2) of subsection (a)— (1) paragraphs (2), (3), and (4) of subsection (j) and subsection (l)(1) of section 8348 of title 5, United States Code, as in effect on the day before the date of enactment of this Act, shall apply to any debt issuance suspension period (as defined under section 8348(j)(5) of such title) that is in effect on the date of enactment of this Act; and (2) paragraphs (2), (3), and (4) of subsection (g) and subsection (h)(1) of section 8438 of title 5, United States Code, as in effect on the day before the date of enactment of this Act, shall apply to any debt issuance suspension period (as defined under section 8438(g)(6) of such title) that is in effect on the date of enactment of this Act.

Summary: Debt Ceiling Reform Act This bill replaces the existing federal debt limit with procedures that allow the Department of the Treasury to continue issuing additional debt unless Congress passes a joint resolution of disapproval regarding the additional debt, and the joint resolution becomes law.