DEBT Act

Bill 119 hr 402, also known as the "Debt Limit Transparency Act," aims to amend title 31 of the United States Code. The main purpose of this bill is to require the Secretary of the Treasury to appear before Congress before the debt limit is reached or extraordinary measures are taken to prevent default.

Currently, when the United States approaches its debt limit, the Treasury Department is forced to take extraordinary measures to prevent default. These measures can include suspending investments in certain government funds or redeeming existing investments. However, these actions can only provide a temporary solution and do not address the underlying issue of the debt limit.

Under this proposed legislation, the Secretary of the Treasury would be required to provide a detailed report to Congress outlining the current debt situation and the potential consequences of reaching the debt limit. This would allow Congress to have a better understanding of the financial implications and make more informed decisions regarding the debt limit. By increasing transparency and communication between the Treasury Department and Congress, the Debt Limit Transparency Act aims to prevent last-minute negotiations and potential default scenarios. This bill seeks to ensure that Congress is fully informed and prepared to address the nation's debt limit in a timely and responsible manner.