[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 182 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 182
To ensure the payment of interest and principal of the debt of the
United States.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 3, 2025
Mr. McClintock 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.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Default Prevention Act''.
SEC. 2. PAYMENT OF OBLIGATIONS.
(a) In General.--At any time that the debt of the United States
Government subject to limitation under section 3101 of title 31, United
States Code, has reached the limitation imposed under such section, the
Secretary of the Treasury (hereafter in this section referred to as
``the Secretary'') shall--
(1) pay Tier I obligations as such obligations become due,
(2) issue such obligations under chapter 31 of title 31,
United States Code, as--
(A) are necessary to make the payments described in
paragraph (1), or
(B) are to be held exclusively by a trust fund
referred to in subsection (b)(1)(A),
(3) pay Tier III obligations only to the extent that the
Secretary can still pay all Tier II obligations as such
obligations become due,
(4) pay Tier IV obligations only to the extent that the
Secretary can still pay all Tier II and Tier III obligations as
such obligations become due,
(5) pay Tier V obligations only to the extent that the
Secretary can still pay all Tier II, Tier III, and Tier IV
obligations as such obligations become due, and
(6) submit to the Committee on Ways and Means of the House
of Representatives and the Committee on Finance of the Senate a
weekly written report containing the information described in
subsection (d).
(b) Definitions.--For purposes of this section--
(1) Tier i obligations.--The term ``Tier I obligations''
means payments necessary to provide any of the following:
(A) Payment with legal tender pursuant to the
authority provided under section 3123 of title 31,
United States Code, of principal and interest on debt
held by--
(i) the public,
(ii) the Federal Old-Age and Survivors
Insurance Trust Fund or the Federal Disability
Insurance Trust Fund, or
(iii) the Federal Hospital Insurance Trust
Fund or the Federal Supplementary Medical
Insurance Trust Fund.
(B) Payments under the Medicare program under title
XVIII of the Social Security Act (42 U.S.C. 1395 et
seq.).
(2) Tier ii obligations.--The term ``Tier II obligations''
means payments necessary to provide any of the following:
(A) Any obligation of the Department of Defense.
(B) Benefits under laws administered by the
Secretary of Veterans Affairs.
(3) Tier iii obligations.--The term ``Tier III
obligations'' means any obligation of the United States which
is not a Tier I, Tier II, Tier IV, or Tier V obligation.
(4) Tier iv obligations.--The term ``Tier IV obligations''
means any payment which constitutes any of the following:
(A) Compensation for any Federal employee for
official time under section 7131 of such title 5,
United States Code.
(B) Any payment for travel expenses for any officer
or employee of the Executive branch of Government,
including the President and Vice President, unless such
payment is a Tier I or Tier II obligation.
(C) Compensation of any officer or employee of the
Executive branch of Government (other than an
individual in the competitive service, as defined in
section 2102 of title 5, United States Code), including
the President and Vice President, unless such
compensation is a Tier I or Tier II obligation.
(5) Tier v obligations.--The term ``Tier V obligations''
means compensation of any Member of Congress (as that term is
defined in section 2106 of title 5, United States Code).
(c) Coordination With Public Debt Limit.--Obligations issued under
subsection (a)(2) shall not be taken into account as subject to the
limitation imposed under section 3101(b) of title 31, United States
Code. The preceding sentence shall not apply with respect to any
obligation after the first date (after the issuance of such obligation)
on which any modification or suspension of such limitation takes
effect.
(d) Weekly Reports.--The written report referred to in subsection
(a)(6) shall include, with respect to the period covered by such
report--
(1) the amount of Tier I obligations paid under subsection
(a)(1) during such period,
(2) the amount of obligations issued under subsection
(a)(2) during such period, and
(3) the amount of Tier II obligations, Tier III
obligations, Tier IV obligations, and Tier V obligations which
were paid during such period (stated separately for each tier)
and the aggregate amount of such obligations which were due and
unpaid as of the close of such period (stated separately for
each tier).
(e) No Inference With Respect to Existing Authority to Prioritize
Payments.--During any period with respect to which this section does
not apply, nothing in this section shall be interpreted to restrict the
authority of the Secretary to prioritize the payment of certain
obligations over other obligations.
<all>