Default Prevention Act

Bill: 114-hr-692
Sponsor: full_name: Rep. McClintock, Tom [R-CA-4]
Introduced: 2015-02-03
Policy area: Economics and Public Finance
Subjects: Budget deficits and national debt

Congressional oversight

Government employee pay, benefits, personnel management

Government trust funds

Interest, dividends, interest rates

Members of Congress

Securities

Social security and elderly assistance
Latest action: action_date: 2015-10-22
text: Received in the Senate.

Summaries:
action_date: 2015-02-03
action_desc: Introduced in House
text: <p><b>Default Prevention Act </b></p> <p>This bill requires the Department of the Treasury to continue to borrow to pay the principal and interest on certain obligations if the debt of the United States exceeds the statutory limit.</p> <p> If the debt limit is exceeded, Treasury is required to issue obligations solely for the payment of the principal and interest on debt held by the public or the Social Security trust funds. The bill prohibits Treasury from using obligations issued under this Act to compensate Members of Congress. </p> <p>If Treasury exercises authority provided by this Act, a report must be submitted to Congress including an accounting of: (1) the principal on mature obligations and interest that is due or accrued, and (2) obligations issued under this Act. </p>

action_date: 2015-09-18
action_desc: Reported to House without amendment
text: <p>(This measure has not been amended since it was introduced. The summary has been expanded because action occurred on the measure.)</p> <p><b>Default Prevention Act </b></p> <p>(Sec. 2) This bill requires the Department of the Treasury to continue to borrow to pay the principal and interest on certain obligations if the debt of the United States exceeds the statutory limit.</p> <p> If the debt limit is exceeded, Treasury is required to issue obligations solely for the payment of the principal and interest on debt held by the public or the Social Security trust funds. The bill prohibits Treasury from using obligations issued under this bill to compensate Members of Congress. </p> <p>If Treasury exercises authority provided by this bill, a report must be submitted to Congress including an accounting of: (1) the principal on mature obligations and interest that is due or accrued, and (2) obligations issued under this bill. </p>

action_date: 2015-10-21
action_desc: Passed House without amendment
text: <p>(This measure has not been amended since it was introduced. The summary has been expanded because action occurred on the measure.)</p> <p><b>Default Prevention Act </b></p> <p>(Sec. 2) This bill requires the Department of the Treasury to continue to borrow to pay the principal and interest on certain obligations if the debt of the United States exceeds the statutory limit.</p> <p> If the debt limit is exceeded, Treasury is required to issue obligations solely for the payment of the principal and interest on debt held by the public or the Social Security trust funds. The bill prohibits Treasury from using obligations issued under this bill to compensate Members of Congress. </p> <p>If Treasury exercises authority provided by this bill, a report must be submitted to Congress including an accounting of: (1) the principal on mature obligations and interest that is due or accrued, and (2) obligations issued under this bill. </p>

tv_txt: I 114th CONGRESS 1st Session H. R. 692 IN THE HOUSE OF REPRESENTATIVES February 3, 2015 Mr. McClintock (for himself, Mr. Poe of Texas , Mr. Pittenger , Mr. Garrett , Mr. Duncan of Tennessee , Mr. Fleischmann , Mr. Olson , Mr. Brat , Mr. Yoho , Mr. Mulvaney , Mr. Pearce , Mrs. Black , Mr. Duncan of South Carolina , Mrs. Blackburn , Mr. DeSantis , Mr. Roe of Tennessee , Mr. Chabot , Mr. Rothfus , Mr. Brady of Texas , Mr. Cramer , Mr. Hensarling , Mr. Lamborn , Mr. Gibbs , Mr. Westerman , Mrs. Ellmers , Mr. Blum , Mr. Woodall , Mr. LaMalfa , Mr. Wilson of South Carolina , Mr. Fleming , Mr. Brooks of Alabama , Mr. Austin Scott of Georgia , Mr. Franks of Arizona , Mr. Wittman , Mr. Barr , Mr. Loudermilk , Mr. Rouzer , Mr. Stewart , Mr. Flores , Mr. Yoder , Mr. Rice of South Carolina , Mr. Nunnelee , Mr. King of Iowa , and Mr. Salmon ) introduced the following bill; which was referred to the Committee on Ways and Means A BILL To ensure the payment of interest and principal of the debt of the United States.

1. Short title This Act may be cited as the Default Prevention Act . 2. Payment of principal and interest on public debt and social security trust funds (a) In general In the event that the debt of the United States Government, as defined in section 3101 of title 31, United States Code, reaches the statutory limit, the Secretary of the Treasury shall, in addition to any other authority provided by law, issue obligations under chapter 31 of title 31, United States Code, to pay with legal tender, and solely for the purpose of paying, the principal and interest on obligations of the United States described in subsection (b) after the date of the enactment of this Act. (b) Obligations described For purposes of this subsection, obligations described in this subsection are obligations which are— (1) held by the public, or (2) held by the Old-Age and Survivors Insurance Trust Fund and Disability Insurance Trust Fund. (c) Prohibition on compensation for Members of Congress None of the obligations issued under subsection (a) may be used to pay compensation for Members of Congress. (d) Obligations exempt from public debt limit Obligations issued under subsection (a) shall not be taken into account in applying the limitation in section 3101(b) of title 31, United States Code, to the extent that such obligation would otherwise cause the limitation in section 3101(b) of title 31, United States Code, to be exceeded. (e) Report on certain actions (1) In general If, after the date of the enactment of this Act, the Secretary of the Treasury exercises his authority under subsection (a), the Secretary shall thereafter submit a report each week the authority is in use providing an accounting relating to— (A) the principal on mature obligations and interest that is due or accrued of the United States, and (B) any obligations issued pursuant to subsection (a). (2) Submission The report required by paragraph (1) shall be submitted to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate.

tv_txt: IB Union Calendar No. 201 114th CONGRESS 1st Session H. R. 692 [Report No. 114–265] IN THE HOUSE OF REPRESENTATIVES February 3, 2015 Mr. McClintock (for himself, Mr. Poe of Texas , Mr. Pittenger , Mr. Garrett , Mr. Duncan of Tennessee , Mr. Fleischmann , Mr. Olson , Mr. Brat , Mr. Yoho , Mr. Mulvaney , Mr. Pearce , Mrs. Black , Mr. Duncan of South Carolina , Mrs. Blackburn , Mr. DeSantis , Mr. Roe of Tennessee , Mr. Chabot , Mr. Rothfus , Mr. Brady of Texas , Mr. Cramer , Mr. Hensarling , Mr. Lamborn , Mr. Gibbs , Mr. Westerman , Mrs. Ellmers , Mr. Blum , Mr. Woodall , Mr. LaMalfa , Mr. Wilson of South Carolina , Mr. Fleming , Mr. Brooks of Alabama , Mr. Austin Scott of Georgia , Mr. Franks of Arizona , Mr. Wittman , Mr. Barr , Mr. Loudermilk , Mr. Rouzer , Mr. Stewart , Mr. Flores , Mr. Yoder , Mr. Rice of South Carolina , Mr. Nunnelee , Mr. King of Iowa , and Mr. Salmon ) introduced the following bill; which was referred to the Committee on Ways and Means September 18, 2015 Additional sponsors: Mr. Forbes , Mr. Johnson of Ohio , Mr. Buck , Mr. Tipton , Mr. Emmer of Minnesota , Mr. Zinke , Mr. Young of Iowa , Mrs. Hartzler , Mr. Messer , Mr. Jordan , Mr. Cole , Mr. Hudson , Mrs. Lummis , Mr. Meadows , Ms. Foxx , Mr. Sanford , Mr. Tom Price of Georgia , Mr. Rokita , Mr. Schweikert , Mr. Graves of Georgia , Mr. Rohrabacher , Mr. Sessions , Mr. Bishop of Utah , Mr. Wenstrup , Mr. Harris , Mr. Barton , Mr. Conaway , Mr. Stutzman , Mr. Miller of Florida , Mr. Gowdy , Mr. Chaffetz , Mr. Duffy , Mr. Pitts , Mr. Kline , Mr. Babin , Mr. Posey , Mr. Ribble , Mr. Pompeo , Mr. Mullin , Mr. Benishek , Mr. Thornberry , Mr. Lucas , Mr. Scalise , Mr. Mooney of West Virginia , Mrs. Wagner , Mr. Collins of Georgia , Mr. Gosar , Mr. Roskam , Mr. Kelly of Pennsylvania , Mr. Latta , Mr. Neugebauer , Mr. Luetkemeyer , Mr. Walberg , Mr. McKinley , Mr. Hultgren , Mr. DesJarlais , Mr. Labrador , Mr. Clawson of Florida , Mr. Grothman , Mr. Walker , Mrs. Roby , Mr. Long , Mr. Collins of New York , Mr. Sam Johnson of Texas , Mr. Guthrie , Ms. Jenkins of Kansas , Mr. Palmer , Mr. Bishop of Michigan , and Mr. Goodlatte September 18, 2015 Committed to the Committee of the Whole House on the State of the Union and ordered to be printed A BILL To ensure the payment of interest and principal of the debt of the United States.

1. Short title This Act may be cited as the Default Prevention Act . 2. Payment of principal and interest on public debt and social security trust funds (a) In general In the event that the debt of the United States Government, as defined in section 3101 of title 31, United States Code, reaches the statutory limit, the Secretary of the Treasury shall, in addition to any other authority provided by law, issue obligations under chapter 31 of title 31, United States Code, to pay with legal tender, and solely for the purpose of paying, the principal and interest on obligations of the United States described in subsection (b) after the date of the enactment of this Act. (b) Obligations described For purposes of this subsection, obligations described in this subsection are obligations which are— (1) held by the public, or (2) held by the Old-Age and Survivors Insurance Trust Fund and Disability Insurance Trust Fund. (c) Prohibition on compensation for Members of Congress None of the obligations issued under subsection (a) may be used to pay compensation for Members of Congress. (d) Obligations exempt from public debt limit Obligations issued under subsection (a) shall not be taken into account in applying the limitation in section 3101(b) of title 31, United States Code, to the extent that such obligation would otherwise cause the limitation in section 3101(b) of title 31, United States Code, to be exceeded. (e) Report on certain actions (1) In general If, after the date of the enactment of this Act, the Secretary of the Treasury exercises his authority under subsection (a), the Secretary shall thereafter submit a report each week the authority is in use providing an accounting relating to— (A) the principal on mature obligations and interest that is due or accrued of the United States, and (B) any obligations issued pursuant to subsection (a). (2) Submission The report required by paragraph (1) shall be submitted to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate.

September 18, 2015 Committed to the Committee of the Whole House on the State of the Union and ordered to be printed

tv_txt: II 114th CONGRESS 1st Session H. R. 692 IN THE SENATE OF THE UNITED STATES October 22, 2015 Received AN ACT To ensure the payment of interest and principal of the debt of the United States.

1. Short title This Act may be cited as the Default Prevention Act . 2. Payment of principal and interest on public debt and social security trust funds (a) In general In the event that the debt of the United States Government, as defined in section 3101 of title 31, United States Code, reaches the statutory limit, the Secretary of the Treasury shall, in addition to any other authority provided by law, issue obligations under chapter 31 of title 31, United States Code, to pay with legal tender, and solely for the purpose of paying, the principal and interest on obligations of the United States described in subsection (b) after the date of the enactment of this Act. (b) Obligations described For purposes of this subsection, obligations described in this subsection are obligations which are— (1) held by the public, or (2) held by the Old-Age and Survivors Insurance Trust Fund and Disability Insurance Trust Fund. (c) Prohibition on compensation for Members of Congress None of the obligations issued under subsection (a) may be used to pay compensation for Members of Congress. (d) Obligations exempt from public debt limit Obligations issued under subsection (a) shall not be taken into account in applying the limitation in section 3101(b) of title 31, United States Code, to the extent that such obligation would otherwise cause the limitation in section 3101(b) of title 31, United States Code, to be exceeded. (e) Report on certain actions (1) In general If, after the date of the enactment of this Act, the Secretary of the Treasury exercises his authority under subsection (a), the Secretary shall thereafter submit a report each week the authority is in use providing an accounting relating to— (A) the principal on mature obligations and interest that is due or accrued of the United States, and (B) any obligations issued pursuant to subsection (a). (2) Submission The report required by paragraph (1) shall be submitted to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate.

Passed the House of Representatives October 21, 2015. Karen L. Haas, Clerk

tv_txt: IB 114th CONGRESS 1st Session H. R. 692 IN THE HOUSE OF REPRESENTATIVES AN ACT To ensure the payment of interest and principal of the debt of the United States.

1. Short title This Act may be cited as the Default Prevention Act . 2. Payment of principal and interest on public debt and social security trust funds (a) In general In the event that the debt of the United States Government, as defined in section 3101 of title 31, United States Code, reaches the statutory limit, the Secretary of the Treasury shall, in addition to any other authority provided by law, issue obligations under chapter 31 of title 31, United States Code, to pay with legal tender, and solely for the purpose of paying, the principal and interest on obligations of the United States described in subsection (b) after the date of the enactment of this Act. (b) Obligations described For purposes of this subsection, obligations described in this subsection are obligations which are— (1) held by the public, or (2) held by the Old-Age and Survivors Insurance Trust Fund and Disability Insurance Trust Fund. (c) Prohibition on compensation for Members of Congress None of the obligations issued under subsection (a) may be used to pay compensation for Members of Congress. (d) Obligations exempt from public debt limit Obligations issued under subsection (a) shall not be taken into account in applying the limitation in section 3101(b) of title 31, United States Code, to the extent that such obligation would otherwise cause the limitation in section 3101(b) of title 31, United States Code, to be exceeded. (e) Report on certain actions (1) In general If, after the date of the enactment of this Act, the Secretary of the Treasury exercises his authority under subsection (a), the Secretary shall thereafter submit a report each week the authority is in use providing an accounting relating to— (A) the principal on mature obligations and interest that is due or accrued of the United States, and (B) any obligations issued pursuant to subsection (a). (2) Submission The report required by paragraph (1) shall be submitted to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate.

Passed the House of Representatives October 21, 2015. Karen L. Haas, Clerk.