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New US House Bill Looks to Dock Congress' Pay During Government Default or Shutdown

© ANDREW CABALLERO-REYNOLDSThe dome of the US Capitol is seen reflected on a car door in Washington, DC on November 5, 2021.
The dome of the US Capitol is seen reflected on a car door in Washington, DC on November 5, 2021. - Sputnik International, 1920, 18.05.2023
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Economic experts say a government debt default would be disastrous for the US economy and international markets. With less than two weeks before the Treasury Department's projected June 1 deadline, congressional leadership has yet to put forth a measure bringing the debt ceiling crisis to a close.
Two members of the House of Representatives, one from each party, introduced a bill on Thursday that would halt Congress’ pay if the US government defaults on its debt or shuts down.
The “No Pay for Congress During Default or Shutdown Act” was introduced by US Reps. Abigail Spanberger (D-VA) and Brian Fitzpatrick (R-A), and would do exactly what the title implies, block Congress’ pay in the event of a default or a shutdown.
The bill will not, however, cut pay for lawmakers of the 118th Congress, the current body in session. Rather, in the event of a default or shutdown, the 118th Congress will have their pay held in escrow during the session, which would then be paid out after the current session ends.
Subsequent sessions of Congress, after the November 2024 election, will have their pay docked for each 24-hour period of default or shutdown. The bill states the exception for the 118th Congress was added to prevent the bill from violating the Twenty-seventh Amendment to the Constitution that prevents varying the compensation of lawmakers until a House election takes place.
“If Congress can’t fulfill basic obligations tied to the strength and security of our country, lawmakers should not be rewarded with our salaries until we do our jobs,” Spanberger said. “Working Americans get it — if you don’t do your job, you don’t get paid.”

While defaults and government shutdowns are similar, they are two different events.

A shutdown is when Congress cannot agree to a new spending bill and all non-essential government activities are halted until a deal is reached. Shutdowns typically comes with a furlough for non-essential government employees.

A default occurs when the government is no longer able to pay obligations already approved by Congress. There have been 10 government shutdowns since 1980, while the US government has never defaulted on its debts.

“Members of Congress promise to fight for their constituents in Washington, and should not be paid a taxpayer-funded salary if they cannot deliver on that promise,” Fitzpatrick said in a statement announcing the bill. “Our bipartisan legislation is a no-brainer — lawmakers should not be paid if we irresponsibly default on our nation’s debt.”
The White House and House Speaker Kevin McCarthy (R-CA) are in the midst of intense negotiations to raise the government’s self-imposed debt ceiling before June 1, the date the Treasury Department says the government may default on its debts if Congress does not raise the limit.
Republicans say they will only raise the debt ceiling if it comes with corresponding cuts to national spending and locking spending limits for the next 10 years to 2022 levels. Initially, President Joe Biden insisted the debt ceiling be raised without preconditions but he has recently expressed a willingness to negotiate with the deadline looming.
Biden on Tuesday appointed two of his top advisers to negotiate with McCarthy and other Republicans on the debt limit issue. Biden left the country on Wednesday to attend a G7 summit meeting in Japan.
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