Bill Details
View committees (1)
View cosponsors (1)
AI Summary This summary was generated by AI from the bill text. AI can get information wrong.
This proposed change to the Constitution would force the federal government to balance its books each year and limit how much it can spend. It says total federal spending for a year must not be more than total government receipts, and it sets a second cap that spending cannot exceed 18% of the country’s GDP unless Congress votes by a high majority to allow more. The President must send a budget that follows these limits before each year, and special rules make it harder to raise taxes, increase the debt limit, or exceed the caps. There are narrow exceptions for wartime or serious military threats, and the rules take effect starting in the fifth fiscal year after the amendment is ratified.
- How the limits work: yearly outlays cannot exceed yearly receipts and cannot exceed 18% of GDP unless two-thirds of each House vote in favor of a specific excess.
- Voting and revenue rules: new taxes or tax rate increases need two-thirds of each House to pass; raising the federal debt limit requires three-fifths of each House; the President must submit a budget that meets the limits before each fiscal year.
- Military exceptions: Congress can waive the rules for a year if a formal declaration of war exists (by a majority vote to allow a specific excess) or if a military conflict posing an imminent serious threat is declared by three-fifths, with any extra spending limited to what is needed for that threat.
- Other key points: courts cannot order higher taxes to enforce the amendment; receipts exclude borrowing and outlays exclude repayment of debt principal; Congress can pass laws to implement the amendment; it starts in the fifth fiscal year after ratification.
Official Summaries
This joint resolution proposes a constitutional amendment prohibiting total outlays for a fiscal year from exceeding total receipts for that fiscal year unless Congress authorizes the excess by a two-thirds vote of each chamber. The prohibition excludes outlays for repayment of debt principal and receipts derived from borrowing.
The amendment prohibits total outlays for any fiscal year from exceeding 18% of the gross domestic product of the United States unless two-thirds of each chamber of Congress provides for a specific increase above this amount.
The amendment requires a two-thirds vote of each chamber of Congress to impose a new tax, increase the statutory rate of any tax, or increase the aggregate amount of revenue. It requires a three-fifths vote of each chamber to increase the limit on the debt of the United States.
The President must submit an annual budget in which total outlays do not exceed total receipts or 18% of the gross domestic product of the United States.
The amendment prohibits a court from ordering a revenue increase to enforce the requirements.
Congress may waive specified requirements when a declaration of war is in effect or the United States is engaged in a military conflict that causes an imminent and serious military threat to national security.
Current Full Text
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.J. Res. 3 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. J. RES. 3
Proposing an amendment to the Constitution of the United States
relative to balancing the budget.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 3, 2025
Mr. Buchanan submitted the following joint resolution; which was
referred to the Committee on the Judiciary
_______________________________________________________________________
JOINT RESOLUTION
Proposing an amendment to the Constitution of the United States
relative to balancing the budget.
Resolved by the Senate and House of Representatives of the United
States of America in Congress assembled (two-thirds of each House
concurring therein), That the following article is proposed as an
amendment to the Constitution of the United States, which shall be
valid to all intents and purposes as part of the Constitution when
ratified by the legislatures of three-fourths of the several States:
``Article--
``Section 1. Total outlays for any fiscal year shall not exceed
total receipts for that fiscal year, unless two-thirds of the duly
chosen and sworn Members of each House of Congress shall provide by law
for a specific excess of outlays over receipts by a rollcall vote.
``Section 2. Total outlays for any fiscal year shall not exceed 18
percent of the gross domestic product of the United States for the
calendar year ending before the beginning of such fiscal year, unless
two-thirds of the duly chosen and sworn Members of each House of
Congress shall provide by law for a specific amount in excess of such
18 percent by a rollcall vote.
``Section 3. Prior to each fiscal year, the President shall
transmit to the Congress a proposed budget for the United States
Government for that fiscal year in which--
``(1) total outlays do not exceed total receipts; and
``(2) total outlays do not exceed 18 percent of the gross
domestic product of the United States for the calendar year
ending before the beginning of such fiscal year.
``Section 4. Any bill that imposes a new tax or increases the
statutory rate of any tax or the aggregate amount of revenue may pass
only by a two-thirds majority of the duly chosen and sworn Members of
each House of Congress by a rollcall vote. For the purpose of
determining any increase in revenue under this section, there shall be
excluded any increase resulting from the lowering of the statutory rate
of any tax.
``Section 5. The limit on the debt of the United States shall not
be increased, unless three-fifths of the duly chosen and sworn Members
of each House of Congress shall provide for such an increase by a
rollcall vote.
``Section 6. The Congress may waive the provisions of sections 1,
2, 3, and 5 of this article for any fiscal year in which a declaration
of war against a nation-state is in effect and in which a majority of
the duly chosen and sworn Members of each House of Congress shall
provide for a specific excess by a rollcall vote.
``Section 7. The Congress may waive the provisions of sections 1,
2, 3, and 5 of this article in any fiscal year in which the United
States is engaged in a military conflict that causes an imminent and
serious military threat to national security and is so declared by
three-fifths of the duly chosen and sworn Members of each House of
Congress by a rollcall vote. Such suspension must identify and be
limited to the specific excess of outlays for that fiscal year made
necessary by the identified military conflict.
``Section 8. No court of the United States or of any State shall
order any increase in revenue to enforce this article.
``Section 9. Total receipts shall include all receipts of the
United States Government except those derived from borrowing. Total
outlays shall include all outlays of the United States Government
except those for repayment of debt principal.
``Section 10. The Congress shall have power to enforce and
implement this article by appropriate legislation, which may rely on
estimates of outlays, receipts, and gross domestic product.
``Section 11. This article shall take effect beginning with the
fifth fiscal year beginning after its ratification.''.
<all>