Bipartisan legislation recently introduced in the U.S. Senate would examine the federal government’s financial ability to respond to potentially catastrophic events.
The Fiscal Contingency Preparedness Act would require the U.S. Department of Treasury to conduct annual “stress tests” on the federal government’s finances. The secretary of the Treasury would be required to work with the Office of Management and Budget director to complete the assessments. The Government Accountability Office would have the option to audit the assessments.
The assessments would examine the fiscal health of the economy for events such as a significant cyberattack, a domestic energy crisis, an economic recession or depression, a health crisis, a natural disaster, or a significant armed conflict. The Treasury would compile a report on the short- and long-term fiscal risks and impacts associated with a response to the events.
U.S. Sens. Mark R. Warner (D-VA) and Todd Young (R-IN) introduced the bill.
“The past decade has taught us the importance of bracing for the unexpected, whether that be a world-wide pandemic, a devastating weather event, or a cyberattack on major infrastructure,” Warner said.
U.S. Reps. Ben Cline (R-VA) and Jared Golden (D-ME) introduced the bill in the House of Representatives.