Washington, D.C. – This week, Congressman Rudy Yakym (IN-02) introduced H.J. Res 104, a Balanced Budget Amendment to the United States Constitution. Congressman Yakym’s Amendment ties limits on the national debt to a percentage of Gross Domestic Product (GDP), while making exceptions for times of war and military conflicts. This Amendment is follow up legislation to a previous Balanced Budget Amendment that Congressman Yakym introduced in April. 

“Our unsustainable national debt is by far the greatest long-term threat to our economic prosperity and the next generation’s ability to achieve the American Dream,” said Rep. Yakym. “Unfortunately, our national debt continues to explode as a percentage of GDP, without any accountability or real solutions to get federal spending under control.”

“So far Congress has lacked the political will to seriously address this full-blown crisis we are rapidly approaching. That is why we need to fundamentally reform how Congress operates in order to restore fiscal responsibility and deliver the outcomes Americans deserve. I am proud to introduce this Constitutional Amendment so we can deliver accountability to Washington and get Congress to exercise the same kind of fiscal discipline that Hoosier families across Indiana do every single day.”

Balanced Budget Amendment Provisions

• Under Rep. Yakym’s Amendment, our total national debt could not exceed 130% of GDP for the first year the Amendment is in effect. Then, for each following fiscal year the limit would drop one percent until the national debt cannot exceed 120% of GDP. 
• Prior to each fiscal year, the President must send to Congress a proposed budget for that fiscal year and the subsequent five year period in which the total national debt does not exceed the debt-to-GDP limits.
• The Amendment can be waived by a three-fifths vote of both houses of Congress, or during times of war and military conflict.