Press Release of U.S. Senator Barbara Boxer
|For Immediate Release: |
January 23, 2013
Washington D.C. Office (202) 224-3553
Boxer Introduces Bill to Avoid Another Default Crisis
Legislation Would Create Predictable and Fair Process for Considering a Debt Ceiling Increase
Washington, D.C. – U.S. Senator Barbara Boxer (D-CA) yesterday introduced the USA AAA Credit Restoration Act, legislation that would establish a predictable and fair process for considering an increase in the debt limit in order to avoid a default that would have catastrophic impacts on the global financial system and the U.S. economy.
“The last time Republicans threatened to default on our nation’s debt, consumer confidence plummeted, our country lost its AAA credit rating and it cost taxpayers more than $18 billion,” Senator Boxer said. “This bill will bring sanity to future debt limit debates by laying out a clear, orderly process for raising the debt ceiling while allowing all voices to be heard.”
Senator Boxer’s legislation would set clear timetables for the Administration to request a debt limit increase and for Congress to consider it. On the day the President submits his budget to Congress each year, the Treasury Secretary would be required to submit to Congress and print in the Federal Register the amount by which the debt limit must be increased for the following year. The Administration’s request would become law unless Congress voted to disapprove of the debt limit increase under an expedited procedure.
The measure is modeled on provisions in the Budget Control Act proposed by Senate Minority Leader Mitch McConnell (R-KY) in 2011 during the debate over the debt limit.
Boxer first introduced this legislation in the 112th Congress.