H.R.1654 - Cutting Unobligated Tumultuous Spending Act; CUTS Act; De-Supplemental Act (119th Congress)
Summary
H.R.1654, also known as the CUTS Act or De-Supplemental Act, proposes to rescind unobligated COVID-19 relief funds and certain infrastructure funds. The goal is to offset the costs of supplemental foreign assistance made available for fiscal year 2024. The bill targets unobligated balances from various COVID-19 relief acts and specific infrastructure programs.
Expected Effects
If enacted, this bill would reallocate funds from domestic COVID-19 relief and infrastructure projects to foreign assistance. This could lead to reduced funding for programs related to pandemic recovery and infrastructure development within the United States. The impact would depend on the specific amounts rescinded and the effectiveness of the foreign assistance programs funded.
Potential Benefits
- Potentially reduces the national debt by reallocating existing funds instead of creating new debt.
- Could improve national security by providing foreign assistance to key allies.
- May increase the efficiency of government spending by redirecting funds from programs with unobligated balances to areas deemed more critical.
- Could strengthen international relationships through foreign aid.
- May signal fiscal responsibility to international markets.
Potential Disadvantages
- Could slow down economic recovery from the COVID-19 pandemic by reducing available relief funds.
- May negatively impact infrastructure projects, leading to delays or cancellations.
- Could harm educational programs due to rescission of Education Stabilization Funds.
- May face opposition from groups that benefit from the COVID-19 relief and infrastructure funds.
- Could strain relationships with domestic constituencies who feel their needs are being overlooked in favor of foreign aid.
Constitutional Alignment
The bill appears to align with the constitutional power of Congress to appropriate funds, as outlined in Article I, Section 8, which grants Congress the power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States. The rescission of funds and reallocation to foreign assistance falls under this broad power. However, the specific impact on states and individuals could raise questions about the general welfare clause if certain programs are disproportionately affected.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).