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U.S. House Republicans Push Debt-Ceiling Bill: Key Points

The Republican-led U.S. House of Representatives has passed a bill proposing suspending the U.S. borrowing limit, currently at $31.4 trillion, through March 31, 2024, or until it increases by $1.5 trillion. This move is intended to pressure President Joe Biden into budget talks.

U.S. House
U.S. House

Governmeng Restraints

The bill would reduce government spending to last year's levels, resulting in a 9% decrease and cap growth at 1% annually for the next ten years. The nonpartisan Congressional Budget Office (CBO) estimates this would save approximately $3.2 trillion.

Clawing Back Unspent COVID-19 Funds

The legislation aims to cancel any remaining unspent healthcare, infrastructure, and rental aid funds from the $5.2 trillion approved by Congress for COVID-19 relief, saving $30 billion, according to CBO.

Canceling Student Debt Relief Efforts

According to CBO, the bill would reverse President Biden's plan to cancel up to $10,000 of student debt for some borrowers, saving $460 billion.

Revoking IRS Budget Increase

The legislation proposes revoking a budget increase for the Internal Revenue Service (IRS), which would worsen the government's budget woes by $120 billion, as reported by CBO.

Repealing Green Tax Incentives

According to CBO, the bill seeks to repeal incentives for renewable energy, electric vehicles, and other climate-friendly technology, saving $540 billion.

Tightening Work Requirements

According to CBO, the legislation would stiffen work requirements for participants in some anti-poverty programs, reducing spending by $120 billion.

Increased Congressional Authority Over Regulations

The bill would give Congress greater power to review new rules put forward by the executive branch.

More Incentives for Oil and Gas Industry

According to CBO, the legislation includes a measure easing fossil-fuel regulations, which has already passed the House but stalled in the Senate, saving $3 billion.

Interest Savings from Reduced Spending

According to CBO, the reduced spending proposed in the bill would lower the U.S. government's borrowing costs by $547 billion over ten years.