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Debt Limit Deadline Quickly Approache



(NAFB)--The U.S. again is up against the debt limit - with borrowing authority expiring in mid-October. According to the Washington Post - the Obama Administration expects to only have 50-billion-dollars in cash on hand by that time and have no options to borrow more. Treasury Secretary Jack Lew told Congressional Leaders that 50-billion would not cover the nation’s spending for long - with transfers paid to Social Security and Medicare as big as 30-billion in one day. Republicans are asking for new spending cuts in order to increase the nation’s 16.7-trillion-dollar debt limit. Some of those lawmakers are even requesting a delay of the Affordable Care Act - or getting rid of it completely. However - President Obama has said he will not negotiate on the debt limit - and not raising the limit again would lead to a default and hurt the country’s credit. Without raising the debt limit - Lew says investors will trillions of dollars in U.S. government bonds could refuse to lend the U.S. money - and that could undermine financial markets and disrupt the economy.
 
The U.S. hit the debt ceiling in May - and the Treasury has invoked different accounting techniques to keep borrowing money. This is yet another major deadline for the Obama Administration and Congress - but it’s not the only deadline fast approaching - as the extension of 2008 farm policy expires by the end of next month as well as the deadline to renew regular funding for government operations - which would cause a government shutdown if not renewed. The trouble is that Congress is only in session for nine-days in September. Ranking House Budget Committee Member Chris Van Hollen says playing around with the debt ceiling will create unnecessary economic harm - and he doesn’t think the American public will stand for i

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People : Chris Van HollenJack LewObama
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