This bill matters because it proposes a new and substantial way to fund border security, shifting the financial burden onto individuals sending money transfers to specific countries. If passed, it would drastically increase the cost of sending remittances to certain nations, potentially impacting the financial well-being of families both in the U.S. and abroad who rely on these transfers. It could also provide significant new resources for federal and state border security efforts, potentially leading to increased technology, infrastructure, and personnel at the southern border.
Conversely, if it doesn't pass, border security funding would continue to rely on existing appropriations processes, and individuals sending remittances would not face this new fee. Voters should care because it represents a significant policy change regarding how border security is funded and who bears the cost, with potential economic and social consequences for a specific demographic and for overall border management strategies.
KEY PROVISIONS
5AI-extracted
PROVISION 01
Imposes a 37% fee on money transfers sent from the U.S. to the top 5 countries identified by U.S. Customs and Border Protection as having the most citizens unlawfully enter the United States.
This creates a new, substantial funding source for border security by placing a direct financial burden on individuals sending money to certain countries.
PROVISION 02
Establishes a "Border Security State Reimbursement Trust Fund" to reimburse border states for their expenses related to border security enforcement.
This provides direct financial support to states facing border security costs, acknowledging their role in enforcement efforts.
PROVISION 03
Establishes a "Border Security Trust Fund" for the Department of Homeland Security to fund technology, physical barriers, and Border Patrol agent salaries along the U.S.-Mexico border.
This ensures dedicated funding for federal border security infrastructure, technology, and personnel without requiring annual congressional appropriations.
PROVISION 04
Requires 50% of the collected remittance fees to go to the State Reimbursement Fund and the other 50% to the Border Security Trust Fund.
This dictates how the new revenue stream is divided, balancing federal and state-level border security needs.
PROVISION 05
Mandates that if the combined funds in both trust funds exceed $50 billion, the excess amounts are to be permanently taken back and used solely for deficit reduction.
This provision aims to prevent an accumulation of excessive funds and dedicates surplus revenue to reducing the national debt.
Referred to the Committee on Homeland Security, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
INTROREFERRAL
JAN 15
Referred to the Subcommittee on Border Security and Enforcement.
This bill matters because it proposes a new and substantial way to fund border security, shifting the financial burden onto individuals sending money transfers to specific countries. If passed, it would drastically increase the cost of sending remittances to certain nations, potentially impacting the financial well-being of families both in the U.S. and abroad who rely on these transfers. It could also provide significant new resources for federal and state border security efforts, potentially leading to increased technology, infrastructure, and personnel at the southern border.
Conversely, if it doesn't pass, border security funding would continue to rely on existing appropriations processes, and individuals sending remittances would not face this new fee. Voters should care because it represents a significant policy change regarding how border security is funded and who bears the cost, with potential economic and social consequences for a specific demographic and for overall border management strategies.
KEY PROVISIONS
AI-extracted
high
Imposes a 37% fee on money transfers sent from the U.S. to the top 5 countries identified by U.S. Customs and Border Protection as having the most citizens unlawfully enter the United States.
This creates a new, substantial funding source for border security by placing a direct financial burden on individuals sending money to certain countries.
med
Establishes a "Border Security State Reimbursement Trust Fund" to reimburse border states for their expenses related to border security enforcement.
This provides direct financial support to states facing border security costs, acknowledging their role in enforcement efforts.
high
Establishes a "Border Security Trust Fund" for the Department of Homeland Security to fund technology, physical barriers, and Border Patrol agent salaries along the U.S.-Mexico border.
This ensures dedicated funding for federal border security infrastructure, technology, and personnel without requiring annual congressional appropriations.
med
Requires 50% of the collected remittance fees to go to the State Reimbursement Fund and the other 50% to the Border Security Trust Fund.
This dictates how the new revenue stream is divided, balancing federal and state-level border security needs.
med
Mandates that if the combined funds in both trust funds exceed $50 billion, the excess amounts are to be permanently taken back and used solely for deficit reduction.
This provision aims to prevent an accumulation of excessive funds and dedicates surplus revenue to reducing the national debt.
Secretary of the Treasury to establish rules for the form and manner in which fees are submitted.
Not later than 30 days after the date of the enactment of this Act
Border States may apply to receive amounts from the Reimbursement Fund.
Not later than 30 days after the date of the enactment of this Act
The Act and the amendment made by the Act shall take effect and apply.
In the fiscal year that begins immediately after the date of the enactment of this Act and each fiscal year thereafter
First transfer of fees from the general fund to the Reimbursement Fund and Security Fund.
GLOSSARY
AI-written
Remittance Transfer
A transfer of money initiated by a consumer in the United States to a recipient in a foreign country.
Money Services Business
A business that provides services like check cashing, money orders, or money transfers.
Covered Country
One of the top 5 countries from which the most people unlawfully entered the U.S. in the previous year, as identified by U.S. Customs and Border Protection.
Trust Fund
A special account in the U.S. Treasury that holds money for a specific purpose, often with rules about how the money can be collected and spent.
Border State
A state in the U.S. that shares a border with another country, in this context specifically referring to states bordering Mexico.
General Fund
The primary fund of the U.S. government, used for most government operations and programs.
Rescission
The act of canceling or withdrawing previously allocated funds.
ACTION TIMELINE
3 EVENTS
JAN 15, 25
Introduced in House
INTROREFERRAL
JAN 15, 25
Referred to the Committee on Homeland Security, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
INTROREFERRAL
JAN 15, 25
Referred to the Subcommittee on Border Security and Enforcement.
