The House of Representatives Ways and Means Committee has favorably reported out the Default Prevention Act, which would prevent national debt default.
Additionally, bill proponents indicated the measure contains an amendment protecting seniors and requires the Biden Administration to place the nation’s veterans, military families, and national defense at the forefront.
“This legislation allows us to remove the politics and fear-mongering that often clouds these debates,” House Ways and Means Committee Chairman Rep. Jason Smith (R-MO) said. “And it allows us to get on with the work to address America’s debt limit and rein in the reckless spending that threatens our country’s fiscal well-being and that of the American people.”
Smith said working families are struggling because of the inflationary spending policies of the past two years. Relief is needed while addressing the nation’s debt limit.
Provisions include temporarily allowing the Secretary of the Treasury to issue additional debt obligations to pay the principal and interest on the public debt, in addition to Medicare and Social Security benefits; requiring the Secretary of the Treasury to cover the cost of veterans programs, military pay and family benefits, and Department of Defense operations before any other obligation; and prohibiting the Treasury from paying Executive Branch pay, payment for government travel, compensation for official union time, and pay for members of Congress unless all other obligations of the federal government have already been met.
“This bill ensures the Biden Administration will focus first and foremost on protecting those serving in uniform and veterans’ benefits,” Smith said. “Our veterans who have fought to protect this country and those who wear the uniform today must be a priority.”