Default Prevention Act

Bill: 114-s-2181
Sponsor: full_name: Sen. Paul, Rand [R-KY]
Introduced: 2015-10-19
Policy area: Economics and Public Finance
Subjects: Budget deficits and national debt

Medicare

Military personnel and dependents

Social security and elderly assistance
Latest action: action_date: 2015-10-20
text: Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 273.

Summaries:
action_date: 2015-10-19
action_desc: Introduced in Senate
text: <p><b>Default Prevention Act </b></p> <p>This bill requires the following obligations to be granted priority over all other U.S. obligations if the public debt reaches the statutory limit: </p> <ul> <li> principal and interest on debt held by the public; </li> <li>compensations, allowances, and benefits for members of the Armed Forces on active duty; </li> <li>Social Security benefits; and </li> <li>Medicare benefits. </li> </ul>

tv_txt: II Calendar No. 273 114th CONGRESS 1st Session S. 2181 IN THE SENATE OF THE UNITED STATES October 19, 2015 Mr. Paul introduced the following bill; which was read the first time October 20, 2015 Read the second time and placed on the calendar A BILL To provide guidance and priorities for Federal Government obligations in the event that the debt limit is reached.

1. Short title This Act may be cited as the Default Prevention Act . 2. Prioritizing obligations In the event that the debt of the Government of the United States reaches the statutory limit under section 3101 of title 31, United States Code, the following expenditures shall be granted priority over all other obligations incurred by the Government of the United States: (1) The authority of the Department of Treasury provided in section 3123 of title 31, United States Code, to pay with legal tender the principal and interest on debt held by the public. (2) The full payment of compensation, allowances, and benefits for members of the Armed Forces on active duty. (3) The authority of the Commissioner of Social Security to pay monthly old-age survivors’ and disability insurance benefits under title II of the Social Security Act. (4) The authority of the Secretary of Health and Human Services to make payments for items and services furnished to beneficiaries under the Medicare program under title XVIII of the Social Security Act and related provisions.

October 20, 2015 Read the second time and placed on the calendar