# What This Constitutional Amendment Would Do

This proposal would fundamentally change how the federal government handles money by essentially requiring a balanced budget. Right now, Congress can spend more money than it takes in through taxes and other income, borrowing the difference. This amendment would make that much harder by capping how much debt the government can take on and forcing automatic spending cuts if that cap gets too close to being exceeded.

Here's how it would work in practice: The government's total debt would be limited to 105 percent of whatever the debt is when this amendment takes effect. If Congress wants to borrow more than that, it would need approval from a simple majority of state legislatures—a process that would take at least 60 days. If the debt gets too close to the limit (above 98 percent), the President would be required to publicly identify specific government programs and services to cut. Congress could propose different cuts instead, but something would have to be cut automatically. If the President refuses to do this, it becomes grounds for impeachment.

The amendment also adds a tax requirement: any new tax or tax increase would need a two-thirds vote in both the House and Senate to pass, making it much harder to raise revenue. The only exception would be if Congress completely replaced all income taxes with a new sales tax. This combination means the government would face intense pressure to cut spending rather than raise money through taxes, since raising taxes would be extremely difficult while cutting spending would happen automatically if debt gets too high.

The practical effect would be significant: many government programs—from Social Security to military spending to infrastructure—could face sudden cuts if the debt limit is approached. This could happen regardless of economic conditions or national emergencies, since the amendment is automatic and doesn't include exceptions for recessions or crises.