No Pay for Congress During Default or Shutdown Act
No Pay for Congress During Default or Shutdown Act would, in a year when the federal government hits the debt limit or experiences a funding-related shutdown, reduce Members of Congress’ pay by an amount equal to one day of pay for each 24-hour period the debt limit is reached or a shutdown is in effect. The baseline pay is the annual rate for Members under the Legislative Reorganization Act of 1946. The bill introduces a special escrow mechanism for the 119th Congress (the current term), so that any withholdings during that Congress are held in escrow and released at the end of the 119th to avoid violating the Constitution’s prohibition on changing pay mid-Congress. The general rule’s effective date is days after the regularly scheduled November 2026 general election (i.e., the pay-reduction would apply in a future Congress). The Department of the Treasury would assist payroll offices in implementing these provisions. The bill defines what constitutes a debt-limit breach and a government shutdown and sets who performs payroll duties for this purpose. In short, the bill attempts to tie congressional pay to the functioning of the federal budget process, with a constitutional workaround for the current Congress through an escrow arrangement, and a future pay reduction mechanism beginning after the 2026 election.
Key Points
- 1Automatic pay reduction: If the debt limit is reached or a government shutdown occurs in a year, each Member’s annual pay would be reduced by one day’s worth of pay for every 24-hour period the event lasts.
- 2Effective date for general rule: The pay reduction under the general rule applies to days occurring after the regularly scheduled November 2026 general election.
- 3Special escrow rule for the 119th Congress: If the debt limit is reached or a shutdown occurs during the 119th Congress, payroll officers would withhold one day’s pay per day of the event and place the withholdings in escrow for that pay period, releasing the funds only at the end of the 119th Congress to avoid altering pay during the term (in line with the 27th Amendment).
- 4Escrow release timing: Any escrowed amounts for the 119th Congress are to be released on the last day of the 119th Congress, ensuring no mid-term pay alteration.
- 5Exceptions around election date: The escrow provisions for the 119th Congress do not apply to days occurring after the November 2026 general election.
- 6Definition of terms: “Public debt limit” is based on the 31 U.S.C. 3101 framework, and “government shutdown” means a lapse in agency funding due to a failure to enact regular appropriations or a continuing resolution.
- 7Role of the Treasury: The Secretary of the Treasury must assist payroll administrators to implement the act.
- 8Payroll mechanics and definitions: The bill defines who is a “Member of Congress” and who is a payroll administrator (House CAO or Senate Secretary, or their designated staff).