No Debt Limit Increase Without Spending Cuts
U.S. Rep. Dave Camp (R-Midland), Chairman of the Committee on Ways and Means today introduced the necessary legislation that allows the U.S. House of Representatives to reject a so-called clean increase in the nation's debt limit. The legislation, which Camp strongly opposes and is expected to be voted on as early as next week, would increase the debt limit by $2.4 trillion - the amount necessary under the President's budget to get through the end of 2012. Camp, whose committee has jurisdiction over the debt limit, issued the following statement:
“Let me be clear: I do not support and will not vote for a debt limit increase that does not contain significant spending cuts and budgetary reforms. Our current path is unsustainable and unacceptable. We must force Washington to live within its means, and any deal on the debt limit should include real reforms including entitlement programs like Medicare.
“The President's budget calls for a $2.4 trillion increase in the debt limit through the end of next year. The legislation I filed today will allow the House to reject a clean increase in the debt limit proving to the American people, the financial markets and the Administration that we are serious about tackling our debt and deficit problems.
“Increasing the debt limit without showing that we can achieve real spending restraint would likely lead to a lower credit rating, higher borrowing costs and more expensive imports. Such irresponsibility would most certainly increase the cost of oil and gas, making the pain at the pump that much worse. All of that is bad for the economy, bad for job creation and bad for families in Michigan and across America.
“The ‘borrow now and pay later’ attitude that has prevailed for too long in Washington is threatening the American Dream. We simply aren't going to continue on that same reckless path any longer.”