The Obama administration says President Obama would veto the so called "cut, cap and balance" amendment supported by House Republican freshmen and members of the Tea Party if it came to him for signature.
The bill includes a constitutional amendment that requires a balanced budget and allows the government to borrow $2.4 trillion more - but only in conjunction with large spending cuts.
The Office of Management and Budget released a statement that the administration "strongly opposes" it, saying, "Neither setting arbitrary spending levels nor amending the Constitution is necessary to restore fiscal responsibility."
The Office of Management and Budget says the bill "would set unrealistic spending caps that could result in significant cuts to education, research and development, and other programs critical to growing our economy and winning the future. It could also lead to severe cuts in Medicare and Social Security, which are growing to accommodate the retirement of the baby boomers, and put at risk the retirement security for tens of millions of Americans."
Rep. Jim Jordan, R-Ohio, is a big sponsor of the bill and noted his party is doing what they promised when they got elected. "[T]his is just kicking the can down the road. And that's -- the American people sent us here to make big tough choices. They didn't send us here to set up a commission, give the president veto power. That's not what they sent us here to do," he said on Fox News Sunday.
"We are headed for a cliff. If we don't fix it, it's -- now, we are in big trouble," Jordan added.
While there is some support in the House, it is not expected to make it through the Senate.
The president is supporting a "big" deal to handle the debt ceiling issue, and what the White House calls a "balanced" approach that includes cuts but also tax increases.
Lawmakers are deadlocked over an agreement on raising the debt ceiling and have held several meetings at the White House within the last week. Obama met with House Speaker Boehner and House Majority Leader Cantor Sunday night. August 2 is the deadline on which the Treasury Department says the U.S. would default on its debt.
The House is expected to vote on the "cut, cap and balance" bill on Tuesday.