I was therefore glad to read this morning that the Treasury, whether by design or necessity, is quick-pitching the envisioned end-of-November double showdown. The debt ceiling must be dealt with earlier, Treasury Secretary Jack Lew declared in a letter to congressional leaders:
The United States is set to run out of borrowing authority in mid-October, leaving the government at a high risk of not being able to pay for Social Security checks, military salaries and other operations, the Obama administration said Monday...And bottom line:
The Obama administration on Monday did not indicate the date that...a default [on the national debt] might occur. Rather, it said that it expects to have only $50 billion in cash on hand in mid-October, with no ability to borrow more.
On Monday, the White House reiterated that although it will negotiate over the budget, the debt ceiling must be handled separately.That line, which Obama failed to hold in the summer of 2011, is much easier to hold if deadlines for funding the government and raising the debt ceiling arrive separately.
“We have never defaulted, and we must never default,” press secretary Jay Carney said. “That is our position, 100 percent, full stop.”