GOP opponents of Biden-McCarthy deal say waiver language makes budget-cutting tool ‘meaningless’

House Republicans opposed to President Biden and House Speaker Kevin McCarthy’s debt ceiling deal said language intended to curb costly federal regulations would allow the executive branch to fully exempt from its requirements. points out that it is damaged by

Republicans on Tuesday voiced their dissatisfaction with the bill’s language that would require the executive branch to offset federal rule impositions that would cost more than $1 billion over 10 years, or more than $100 million each year. Agencies will have to submit plans to offset the price tag each time such an expensive rule is proposed.

However, this provision also states that the Director of the Office of Management and Budget (OMB) is politically appointed and that this “pay-as-you-go” or It also allows waivers of the “PAYGO” requirement. ” or “to provide essential services”.

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House Speaker Kevin McCarthy wants the debt ceiling deal he agreed with President Biden on Wednesday to pass. (Tom Williams/CQ-Roll Call, Inc via Getty Images) (Tom Williams/CQ-Roll Call, Inc via Getty Images)

The waiver power was one of several reasons some Republican lawmakers said they would “vote against” the bill when it goes to the vote on Wednesday.

Rep. Andrew Clyde (R-Georgia) tweeted, “The Biden administration is openly acknowledging that the debt ceiling agreement intends to maximize PAYGO’s immunity powers.” “They didn’t just corner us in the negotiations. They laughed at the concessions. Republicans should not be voting on this nonsense.”

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Congressman Andrew Clyde

Republicans like Rep. Andrew Clyde (R-GA) argue that the deal isn’t as good as some Republican leaders say it is. (Tom Williams/CQ-Roll Call, Inc via Getty Images)

He cited comments made by OMB Secretary Shalanda Young, who was Biden’s key negotiator in the debt-straightening negotiations, during a daily White House press conference earlier this month.

Asked by reporters about the PAYGO waiver, Young said, “If we determine that a waiver is necessary to ensure that President Biden’s policies continue, we will use that authority.”

Rep. Nancy Mace, RS.C., said the detail rendered the entire PAYGO clause moot.

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Rep. Nancy Mace (RS.C.), Tom, speaks to reporters after a meeting with House Speaker Kevin McCarthy (R-CA) on the Debt Relief Plan at the Capitol on Wednesday, April 26, 2023. Williams/CQ-Roll Call, Inc (via Getty Images)

“Pay-As-You-Go has detailed provisions in Article 265 that everyone should read. The OMB Director has sole authority to waive expenditures when “necessary for program delivery.” In other words, that one line wipes out PAYGO. These words on paper mean nothing to the fine print,” Mace said.


Rep. Dan Bishop, RN.C., said, “This program is ineffective and will be permanently waived.”

He also pointed to an additional clause that states that OMB’s waiver decision “is not subject to judicial review.”

McCarthy’s office did not immediately respond regarding the record.

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