Debt ceiling would go up, and discretionary spending would come down.
House Speaker Kevin McCarthy of California revealed a plan to increase the debt limit and cut government spending. He has called for talks with President Biden.
Under the proposal, known as the Limit, Save, Grow Act, the debt limit would increase by $1.5 trillion or until the end of March 2024, whichever comes first. A $4.5 trillion savings would be achieved by cutting discretionary spending to fiscal year 2022 levels and restricting growth in spending. Other provisions of the plan include reclaiming unspent COVID funds, canceling the student loan forgiveness program, and rescinding new funding for the IRS.
Speaker McCarthy said, “If Washington wants to spend more, it will have to come together and find savings elsewhere, just like every household in America. President Biden has a choice. Come to the table and stop playing partisan political games, or cover his ears, refuse to negotiate and risk bumbling his way into the first default in our nation’s history.”
The Speaker expects a House vote on the bill next week.
As the Lord Leads, Pray with Us…
- For the House speaker as he share his vision for reduced spending.
- For members of the House as they read the legislation and prepare to vote on it next week.
- For the president and his administration as they consider the revamped spending plans and programs in the budget.
Sources: CBS News, NY Times
