Replies

(Corrected the second link)

Current bill:

Revised Amendment to the Amendment in the Nature of a Substitute (Acrobat PDF)

Prior version the bill here, Amendment in the Nature of a Substitute (Acrobat PDF)

This part of the bill says that Obama can come back in December and borrow an additional 900 billion if he has spent all of the previous money and unless Congress disapproves his request he gets the additional money. I haven't heard anyone talk about that.

Sec. 301. Debt Ceiling Disapproval Process.

This section adds a new section after 31 U.S.C. 3101 providing for modification of the debt ceiling by the President and a process for the Congress to disapprove of those modifications. The new section provides that if the President submits a written certification to Congress by December 31, 2011 that the debt is within $100 billion of the debt limit, the Secretary of the Treasury is authorized to borrow an additional $900 billion, subject to the enactment of a joint resolution of disapproval. Upon submission of the certification, the debt limit is increased by $400 billion.

The section authorizes the Congress to consider a joint resolution of disapproval subject to the procedures of this section. If Congress fails to enact the joint resolution, the debt limit is increased by an additional $500 billion.

By the way, thanks for finding and posting the Bill and amendment.

Here are the sum total of the cuts contained in the bill. To summarize, the ONLY federal spending that is being cut in the bill is a change to how Pell Grants are handled. Amazing.

TITLE V—PELL GRANT AND STUDENT LOAN PROGRAM CHANGES

Sec. 501. Federal Pell Grants.

This section provides $17 billion in mandatory funds over two years to help fill the funding gap in the Federal Pell Grant program.

Sec. 502. Termination of Authority to Make Interest Subsidized Loans to Graduate and Professional Students.

This section eliminates the ability of graduate and professional students to take out subsidized Stafford loans, beginning on July 1, 2012. This elimination does not apply to students enrolled in a program leading up to a degree or certificate or students enrolled in a program necessary for a teaching credential or certification where such credential or certification is required by the state.

Sec. 503. Termination of Direct Loan Repayment Incentives.

This section sunsets the Secretary of Education’s authority to provide incentives for on-time repayment of students loans on July 1, 2012. This section also explicitly prohibits the Secretary of Education from creating any incentives for on-time repayment of student loans.

Sec. 504. Inapplicability of Title IV Negotiated Rulemaking and Master Calendar Exception.

This section clarifies that the negotiated rulemaking requirement included in Title IV and the master calendar requirements to not apply to the changes made in this Act.