On Wednesday night, the House passed Representative Jodey Arrington (R-TX) Limit, Save, Grow Act, by a vote of 217-215. The bill, which raises the debt ceiling and includes spending cuts, repeals parts of the Inflation Reduction Act, and imposes work requirements on Medicaid recipients.
Specifically, the bill:
- suspends the debt limit through March 31, 2024, or until the debt increases by $1.5 trillion, whichever occurs first;
- establishes discretionary spending limits for FY2024-FY2033 that include decreases in discretionary spending;
- rescinds certain unobligated funds that were provided to address COVID-19 and to the Internal Revenue Service;
- nullifies certain executive actions and regulations for cancelling federal student loan debt and implementing an income-driven repayment plan for student loans;
- repeals or modifies tax credits for renewable and clean energy, energy efficient property, alternative fuels, and electric vehicles;
- establishes new work requirements for Medicaid and expands the work requirements for SNAP and the Temporary Assistance for Needy Families (TANF) program; and
- requires major federal rules (e.g., rules likely to result in an annual economic effect of at least $100 million) to be approved by Congress before they take effect.
The bill also includes various provisions related to the development of energy resources such as oil, natural gas, and minerals. For example, the bill requires additional federal oil and gas leasing, reduces, or eliminates certain royalties and fees, and expedites the permitting process for various energy projects.
President Biden has asked for a bill that just raises the debt obligation and Senate Majority Leader Chuck Schumer has declared that the Senate will not consider the bill, requiring all sides to engage in negotiations and come to an agreement before the deadline to avoid default this summer.
Contact: Paul Penna, Senior Legislative Analyst, firstname.lastname@example.org, 609-695-3481, x110.