A resolution expressing the sense of the Senate that Congress holds the sole authority to borrow money on the credit of the United States and shall not cede this power to the President.

Madam President, earlier this week, through the eyes of the Nation watched the inauguration ceremony here in Washington. A week before that, back in Indiana, I was present for the celebration of the inauguration of Indiana's 50th Governor, former Congressman Mike Pence, who is taking over after 8 years of leadership under our former Governor, Mitch Daniels. So back-to-back weekends had two special events.

Inauguration ceremonies are a time for reflection on what has happened in the past and a time for new vision on how we ought to go forward with the future. It is also a time for new opportunity. An opportunity for the kind of change necessary to address the problems and challenges we face.

As I participated in the inauguration events for Governor Pence in Indianapolis just two weekends ago, I couldn't help but think of the remarkable record of achievement and the bold reforms that our former Governor, Mitch Daniels, delivered to the Hoosier State and the lessons they may offer to Washington.

In 2005, Indiana faced a several-hundred-million-dollar deficit. This pales by comparison to the deficit we face here; but, nevertheless, for a State of our size it is a significant amount. Although it is constitutionally mandated in Indiana, we had not balanced our budget for 7 years. Governor Daniels and his team had a vision and the political courage to make much needed changes, and the people of Indiana supported and responded. While other States increased spending and raised taxes, Indiana reduced spending, cut taxes, and paid down our debts.

Governor Daniels, with the help of the legislature and with the support of the people of Indiana, slowed down the rate of spending. The State's expenditures have grown at less than one-quarter the rate of the previous decade. We also reduced the size of State government.

Indiana has the fewest State employees per capita in the country. We paid down the previous debt by 43 percent, and we currently sit with a budget surplus and a rebate program which will give money collected in taxes back to the taxpayer because of our state's efficiency and effectiveness in terms of running our government. Indiana, as a result of this, has received its first AAA credit rating. This means when we do need to borrow or sell bonds to do certain infrastructure or meet other needs, we can receive low interest rates because of our superb AAA rating. All this has transformed Indiana's balance sheet and made our State one of the most attractive places to live, raise a family, and do business in the Midwest, if not in the Nation.

The story of Indiana and how it got hold of its fiscal issues has been written up in national journals and newspapers and documentaries and others. It is a remarkable story. It is not unique because we see these things happening in other States around the country led not only by Republican Governors but Democrat Governors. These are the kinds of decisions that have to be made and are being made to restore state and local governments. And it has created a much brighter future for the citizens of those States.

Governor Daniels has often said, ``You'd be amazed by how much government you'll never miss.'' The results of his administration back that up.

You can go around Indiana, as I have, and talk to people from big cities to small, rural to urban and everything in between and ask them how we have moved from deficit to surplus in our state. You can ask if they still believe our state performs the necessary functions of government and you can ask Hoosiers what has been cut that you think should have stayed.

Frankly, no one could come up with an answer that says: We have had disastrous consequences from these decisions. The vast majority say that things are working pretty well. In fact, I can get my license renewed through a total revamp of our licensing system in just a few minutes over the Internet or just a few minutes at the DMV. Governor Daniels' measure for that was in and out in less than 7 minutes.

For those of us who have spent hours and hours committing half a day or more to getting our license renewed, this is a remarkable achievement. The use of technology, privatization, and the use of more efficient government demands that our civil servants do more with less and this has proven to be effective.

While the fiscal situation we faced in Indiana is not totally analogous to what we face here, the principles are the same, and there still are many similarities. As Washington seeks answers at the start of this new session of Congress on how we move forward and address our extremely serious debt situation and get our fiscal house back in order so that we too can retain a AAA rating and so we too can provide the opportunity for growth and opportunity not just for the middle class but for all Americans in the future, maybe there are some lessons to be learned from Indiana. The spend less, borrow less, and tax less Hoosier model has resulted in balanced budgets, job creation, and a AAA credit rating. In contrast, the spend more, borrow more, and tax more approach in Washington during these last several years has resulted in fewer jobs, higher debt, and a threatened downgrade from credit agencies.

So as we reflect back on the last 4 years of this current administration, it is clear to me we must take a different course in the second term of this administration.

Whether lawmakers want to admit it, the crux of our problem is this: Washington has promised Americans far too much and committed well beyond our means. Federal spending and borrowing cannot continue at this current pace without dire consequences.

Whether one is reading or listening to a liberal, conservative or a nonpartisan economist or an analyst, there is a consensus that sustaining our current rate or continuing our rate of borrowing and spending simply is not feasible and the consequences will be dire if we do not address it.

As we seek to address these issues, my suggestion for Washington is to take a look at the Hoosier model. It is tested, it is proven, and it is working.

We need to go big and bold. We need to have the political courage to look beyond the short-term political consequences, as we perceive them, to the

long-term benefit from sound policies--which, interestingly enough, translate into good politics. Strengthening the economy and getting our country on a track to brighter and more prosperous times should be our priority.

We have proven in Indiana that good policy, no matter how politically difficult it might seem at the time to achieve, does translate into good politics. But much more important than the politics, good policy can translate into strengthening our economy, improving the lives of Americans, and providing opportunity for future generations.

It is time we learn that lesson in Washington that our State of Indiana and many States across the country, as well as other communities, are learning. It is time we exhibit the political courage to stand and do what I think just about everyone in this body understands; that is, to get a hold of runaway spending and borrowing that is putting us in a very deep fiscal hole and will have significant, dire consequences not only on future generations but even our current generation.

The time is now. As I said from this spot yesterday, 2013 is the decisive year. In 2014, we will be back into an election year, and that tired old belief that we cannot make these kinds of changes with the election looming will surface again. If we don't act now, more people will say that we need to wait until after the next election. It will push us into 2015. Many who have looked at our situation fiscally and analyzed it from a nonpartisan, nonideological basis have said 2015 is too late.

This is the time when we need to summon our courage, summon our political will, and do what is right for the American people. We cannot continue to bump along at less than 2 percent growth. We cannot continue to keep more than 8 percent or nearly 8 percent of our people unemployed; and, obviously, that number is much higher when we count those who are no longer looking for work who have given up. We cannot continue to keep America on the edge of uncertainty in terms of what our fiscal future will look like.

Let us summon that courage to go forward. Let us use examples from those States, the support of those Governors and the support they have received from people across those States. Let us summon the courage to do what we need to do.

I want to continue talking about how we need to address this with a ``go big, go bold'' type of approach. Everyone says and concludes that if we can put that package together to address our long-term ills over a period of time and bring us back to balance and stability, we will see a revival of the economy of this country and we will see great hope for the American people going forward.

Madam President, with that, I yield the floor and suggest the absence of a quorum.

Mr. President, I am rising to submit a resolution making it absolutely clear that Congress, and only Congress, has the authority and responsibility to set the Federal debt limit. I should not even have to submit a resolution such as this, but I feel it is absolutely necessary.

Raising the Federal debt limit--the limit we place on government borrowing--as everybody knows, has been a hot topic around Washington. It is a key issue for the start of the 113th Congress. It is another case where if we could just maintain regular order, regular authority to address our problems, that is the best way for us to approach the task of getting our fiscal house in order.

I know there is a lot of dispute over what breaching the limit means. There is a lot of talk about that. It is clear a great deal of the public and our financial markets are extremely concerned about the Federal Government's ability to meet its financial obligations once we do hit the limit.

The President has asked for a very large increase in the debt ceiling, and some in the administration have called for no limit at all. Others of the administration and in the House are calling for Congress to give up its authority to set the debt limit--rather amazing--thus giving the executive branch unilateral authority to borrow. This is not a good idea.

If the Federal Government does not collect enough revenue to pay for all its spending obligations, it must borrow to make up the shortfall. Everybody knows that. We are borrowing now about 42 cents of every $1 we are obligated to spend.

This is clearly--I think everybody would agree on either side of the aisle and the public--an unsustainable situation which will only get worse if we do not begin meaningful discussions over our spending priorities, including--including--entitlement spending to strengthen and preserve those programs for future generations.

The national debt is growing. Everybody has seen that chart. It is about $16.4 trillion. The total public debt outstanding at the end of the third quarter just passed was $16.07 trillion. That is up from $15.86 trillion reported in June 2012. We are on the wrong path.

The Federal debt is now equivalent to at least 73 percent of the Nation's gross domestic product--nearly double the level as a percentage of GDP that we had back in 1990. That is not too long ago.

According to some measures, there has been a 60-percent increase in the debt limit since 2009. At the rate we are going, in a few short years we will be spending more to pay interest on the debt than we will on all discretionary programs outside of defense. Even defense now is going through a very difficult time with the sequester and has already been cut about one-half trillion dollars.

Let me just say that means no money for education. That means no money for agriculture. That means no money for the environment. That means no money for health care. It all goes to pay off interest on the debt.

The Federal debt is the accumulation of this borrowing, including all bills, notes, and bonds issued by the Department of the Treasury.

The current statutory debt limit is $16.394 trillion, which was established on January 28 of last year, 2012--about 1 year ago--under the procedures of the Budget Control Act of 2011.

According to the Department of the Treasury, as of December 31--just last month--total debt outstanding subject to the limit was only $25 million--million; it used to be a lot of money--below the current limit.

Once the amount of outstanding debt reaches the debt limit, the government can no longer issue additional debt to cover the cash shortfalls needed to fund government operations and meet legal obligations.

Similar to the power of the purse, Congress's powers over borrowing are firmly rooted in our constitutional traditions. The Founders understood the potential danger of permitting the executive branch to unilaterally incur new public debt. Article I of the Constitution empowers only--only--Congress ``to borrow money on the credit of the United States.''

The debt limit is the means by which Congress--Congress--exercises this critical legislative responsibility.

I can remember well that lesson, that lecture, if you will, from Robert C. Byrd of West Virginia, the institutional flame of the Senate, who would have repeated that Congress cannot give debt limit authority to the executive, should not, cannot. It is not constitutional.

To implement this congressional prerogative, the amount of money the Federal Government is allowed to borrow is subject to a specific statutory limit.

From time to time, Congress considers and adopts legislation to change this limit and has done so more than 100 times since the first modern debt limit was set way back in 1939, and we will do so again shortly. We have to.

So preserving this role and establishing the debt limit is vital to encourage deficit reduction and to uphold our constitutional tradition of legislative control over borrowing. Not only does the debt limit provide an essential check on executive borrowing, it provides public accountability--everybody is talking about transparency--for Congress's borrowing and debt management practices. We cannot duck that responsibility. We cannot pass this debt limit simply to the Executive and duck our responsibility and the public accountability.

In other words, debates over the debt limit, as difficult and as contentious as they are--and they are; I know that--shed the light of day on the overall financial condition of the Federal Government. Precluding these discussions by removing Congress's authority over the debt limit would lead to a less well-informed decisionmaking over fiscal policy. That is probably the understatement of my remarks. It is a nice way to put it.

We can do this. In the past, legislation to raise the debt limit has frequently been coupled with legislation to reduce the overall Federal debt and deficit. That is the way we should do it. These extensions, often approved on a bipartisan basis, have been important catalysts for fiscal reform. In this respect, the debt limit is a strong mechanism, a strong tool, a way for Congress to evaluate fiscal policy and to maintain control over such policy.

Abdicating this role would fundamentally alter the checks and balances embedded in the Constitution. This is a power that should not be bargained away.

The necessary and critical battle to control spending is far from over. I view the debt ceiling debate as a critical means in what has to be an ongoing effort to tighten the government's fiscal belt--if we can just do that. But we cannot settle our national finances by fundamentally altering the constitutional structure and processes governing those finances. We cannot cavalierly give up one of our most important tools in evaluating and reining in the Federal Government's runaway spending.

Equally clear, we cannot keep spending what we do not have. We must continue to fight for spending cuts, for debt reduction, and against tax increases and, I might add, the tidal wave of regulations that continue to pour out of Washington.

In response to calls to give up this vital congressional authority over debt issuance, I am submitting today a simple resolution. Let's put the Senate on record. The Congress holds the sole authority to borrow money on the credit

of the United States and cannot cede this power to the President.

I invite everybody to cosponsor this important measure and look forward to passage of this resolution. This should be a bipartisan effort, and it is absolutely necessary.

Madam President, I ask unanimous consent that the order for the quorum call be rescinded.

I ask the Acting President pro tempore if we are in morning business, and I assume we are.

Thank you, Madam President.

(The remarks of Mr. Roberts pertaining to the submission of S. Res. 8 are printed in today's Record under ``Submitted Resolutions.'')

I yield back the remainder of my time, and I suggest the absence of a quorum.

Madam President, I ask unanimous consent that the order for the quorum call be rescinded.