Federal News
Senators Introduce Federal Deficit Reduction Resolution
March 21, 2026
U.S. Senators Angus King and Kevin Cramer have introduced bipartisan legislation known as the 3% Resolution, aiming to reduce the federal budget deficit to 3% of GDP by 2030. This initiative seeks to promote fiscal responsibility and sustainable economic growth by setting a clear deficit target. The resolution has garnered support from other senators and representatives, reflecting a bipartisan effort to address the national debt, which currently exceeds $38.8 trillion.
- Why this matters: Federal agencies and procurement professionals should anticipate potential impacts on budget allocations and spending priorities as Congress debates deficit reduction strategies.
- The resolution signals increased congressional focus on fiscal discipline, which may influence future appropriations and contract funding levels.
- Contractors and vendors should evaluate how tighter budget controls could affect contract opportunities and government spending patterns over the coming years.
- Organizations involved in federal procurement may benefit from engaging with policymakers and monitoring legislative developments related to fiscal policy and budget management.
It sure doesnβt take an economist to recognize the fiscal path weβre on is unsustainable, we all know that. Congress controls the purse and itβs long past time we address this imbalance of our ledgers.
— Kevin Cramer, U.S. Senator
By rallying around a 3%-of-GDP deficit target, Senators Cramer, King, McCormick, and Peters are charting a bipartisan path toward a brighter economic future.
— Michele Stockwell, President of BPC Action
Restoring fiscal discipline isnβt about politicsβitβs about responsibility. Our 3% Resolution sets a clear, achievable target to benchmark progress on the deficit to stabilize our economic growth trajectory.
— Angus King, U.S. Senator
Agencies
United States Senate, United States House of Representatives, Internal Revenue Service