House raises the debt limit

June 15, 2023

On June 3, President Biden signed H.R. 3746, the Fiscal Responsibility Act of 2023, into law to raise the debt limit until Jan. 2025. Earlier in the week, the bill passed in the House on a 314-117 vote, while the Senate passed the bill on a 63-36 vote, with results showing a decent display of bipartisan support. The bill’s passage followed weeks of conversations between President Biden and Speaker of the House Kevin McCarthy (R-CA), where they negotiated a deal to raise the debt limit and cut spending, which Republicans demanded as a condition for increasing the nation’s borrowing limit. The deal rescinds $28 billion in unspent pandemic funding and includes some reforms to speed the energy project permitting process.

The law rescinds $3.2 billion in pandemic funding provided to the Department of Agriculture. It expands work requirements for able-bodied adults without dependents (ABAWDs) participating in the Supplemental Nutrition Assistance Program (SNAP) to individuals aged 18-54.  Current work requirements for ABAWDs only apply to those aged 18-49. The deal also eases the SNAP application process for veterans and individuals experiencing homelessness by making both groups automatically eligible. It also prevents states from carrying over ABAWD work requirement exemptions between years and decreases the number of exemptions a state can implement. The bill also changes the Temporary Assistance for Needy Families (TANF) program to tighten eligibility restrictions.