Press Releases

Today, Representatives and Bipartisan Fiscal Forum Co-Chairs, Bill Huizenga (R-MI) and Scott Peters (D-CA), introduced the Responsible Budgeting Act (RBA) to reform how Congress tackles the national debt limit and avoid the dangerous and costly brinksmanship that threatens the national economy. As the nation faces a default on the debt as soon as mid-summer, the RBA provides a commonsense off-ramp that would defang the politics of the debt ceiling while, importantly, maintaining pressure on Congress to reverse our reckless borrowing problem. Reps. Huizenga and Peters were joined by Representatives Zach Nunn (R-IA) and Jimmy Panetta (D-CA) as original cosponsors.  

 "Our nation's $36 trillion debt crisis is fueling higher prices and making life increasingly unaffordable for families and small businesses today while also mortgaging our children and grandchildren's future," said Rep. Huizenga. "Washington has repeatedly failed to properly complete the budget process over the last two decades. The status quo isn't working. The debt ceiling, in its current form, has yet to achieve its intended and designed purpose. This is why I am proud to join Congressman Scott Peters, my Bipartisan Fiscal Forum Co-Chair, in introducing the Responsible Budgeting Act to provide a better option for dealing with dysfunctional debt ceiling politics and address our nation's fiscal crisis." 

 "The economy will implode overnight if we play politics with the full faith and credit of the U.S. government. The stock market will crash, interest rates on homes, cars, and credit cards will skyrocket, and Social Security, Medicare, and veterans' benefits could be delayed, among other consequences," said Rep. Peters. "This bill will eliminate the dangerous threats of the debt limit while putting us on a path toward a healthy economy. If we can improve Congress' approach to budgeting, we can ensure a stronger, more stable economic future. I'm pleased to join my friend Rep. Huizenga to lead this important effort." 

The Peters – Huizenga plan would offer two options for Congress to address the debt limit. The first requires a budget resolution that satisfies specific debt reduction measures while simultaneously passing a joint resolution the president can sign to suspend the debt limit until the next fiscal year. The second option allows the president to suspend the debt ceiling himself via a written request, which Congress could vote to override within 30 days of its submission. This suspension request must be submitted along with a debt reduction proposal to reduce the debt-to-GDP ratio that Congress must consider. 

 "Our nation cannot afford the economic uncertainty that comes with brinkmanship over the debt ceiling and our unsustainable levels of national debt," said Rep. Panetta.  "The Responsible Budgeting Act offers a pragmatic, bipartisan solution to help meet our obligations while also taking meaningful steps toward fiscal responsibility. By tying debt limit increases to responsible budgeting measures, this legislation helps prevent default while encouraging smart, long-term deficit reduction, essential to promoting stability, accountability, and economic strength for future generations." 

 "Washington's reckless spending puts our economy and hardworking families at risk,” said Rep. Nunn. "We must create a responsible, long-term solution to tackle our national debt while ensuring the U.S. keeps its obligations to the American people."  

 The bipartisan bill is supported by several organizations, experts, and former policymakers: 

 "As Congress must once again act on the debt limit this year, lawmakers should end this dangerous cycle of debate that risks default and has yielded token steps to reduce the deficit," said Michele Stockwell, President, BPC Action. "It is time for a meaningful change to a more responsible process and real deficit consideration. The Responsible Budgeting Act meets this long overdue need by enabling substantive legislative debate on proposals to restore fiscal responsibility while helping prevent future crises. This bill—and Reps. Huizenga's (R-MI) and Peters' (D-CA) bipartisan leadership—exemplifies how both sides of the aisle should tackle our economic challenges together."  

 "Congress repeatedly flirts with default when trying to increase the nation's borrowing limit," said Michael R. Strain, Director of Economic Policy Studies, American Enterprise Institute. "Paying the nation's bills should not be a dramatic event featuring the real possibility of a global financial crisis. It is long past time for Congress to address the problems created by the debt ceiling." 

 "In year with a potentially damaging fight over the debt limit, the Responsible Budgeting Act would be huge improvement over the status quo," said Zach Moller, Director of the Economic Program at Third Way. "This bipartisan idea recenters the debate about the debt limit around actual fiscal responsibility—not partisan gamesmanship. And it would ensure we do not default, preventing drastic harm to middle-class families across this country." 

"Far too often, approaching the debt limit has engendered legislative brinksmanship," said former CBO Director Doug Holtz-Eakin, president, American Action Forum. "This fosters toxic politics, endangers the underpinnings of the global financial system, and exposes the taxpayer to unnecessary risk. A solution must be found." 

"The Responsible Budgeting Act would encourage lawmakers to improve our fiscal outlook while adjusting how lawmakers raise the debt limit to minimize the risk of default," said Maya MacGuineas, President of the Committee for a Responsible Federal Budget. "We definitely need constraints on our borrowing, but we should never jeopardize the full faith and credit of the United States. We thank Representatives Scott Peters and Bill Huizenga for working on an important bipartisan solution to reduce the threat of default." 

"On many occasions, the debt limit has served as a moment for lawmakers to consider measures to make our country's budget more sustainable," said Former U.S. Senator Kent Conrad and former Chairman, Senate Budget Committee. "Unfortunately, it also presents a risk to our economy. The Responsible Budgeting Act would smartly reform the debt limit to eliminate the economic threat while instituting provisions to facilitate a bipartisan budget debate. Both parties should support this legislation." 

In addition to the Responsible Budgeting Act, Reps. Huizenga and Peters are the authors of the Fiscal Commission Act of 2023.  

A detailed one-pager can be found here.