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As US Reaches Debt Limit, Geithner Implements Additional Extraordinary Measures...
US Treasury ^ | 5-16-2011 | Colleen Murray

Posted on 05/16/2011 7:16:36 AM PDT by blam

As US Reaches Debt Limit, Geithner Implements Additional Extraordinary Measures To Allow Continued Funding Of Government Obligations

By: Colleen Murray
5/16/2011

Today, the United States has reached the statutory debt limit. Secretary Geithner sent the following letter to Congress this morning alerting them to actions that have be taken to create additional headroom under the debt limit so that Treasury can continue funding obligations made by Congresses past and present. The Secretary declared a "debt issuance suspension period" for the Civil Service Retirement and Disability Fund, permitting Treasury to redeem a portion of existing Treasury securities held by that fund as investments and suspend issuance of new Treasury securities to that fund as investments. He also suspended the daily reinvestment of Treasury securities held as investments by the Government Securities Investment Fund of the Federal Employees’ Retirement System Thrift Savings Plan. For more information on these measures, please read this FAQ.

Last Friday, Secretary Geithner also responded to an inquiry from Senator Bennet regarding the fiscal and economic consequences of failing to increase the debt limit. That letter can be found here.

Secretary Geithner continues to urge Congress to raise the debt limit in a timely manner in order to uphold the full faith and credit of the United States.

The Honorable Harry Reid Democratic Leader United States Senate Washington, DC 20510

Dear Mr. Leader:

I am writing to notify you, as required under 5 U.S.C. § 8348(l)(2), of my determination that, by reason of the statutory debt limit, I will be unable to invest fully the portion of the Civil Service Retirement and Disability Fund (“CSRDF”) not immediately required to pay beneficiaries. For purposes of this statute, I have determined that a “debt issuance suspension period” will begin today, May 16, 2011, and last until August 2, 2011, when the Department of the Treasury projects that the borrowing authority of the United States will be exhausted. During this “debt issuance suspension period,” the Treasury Department will suspend additional investments of amounts credited to, and redeem a portion of the investments held by, the CSRDF, as authorized by law.

In addition, I am notifying you, as required under 5 U.S.C. § 8438(h)(2), of my determination that, by reason of the statutory debt limit, I will be unable to invest fully the Government Securities Investment Fund (“G Fund”) of the Federal Employees’ Retirement System in interest-bearing securities of the United States, beginning today, May 16, 2011. The statute governing G Fund investments expressly authorizes the Secretary of the Treasury to suspend investment of the G Fund to avoid breaching the statutory debt limit.

Each of these actions has been taken in the past by my predecessors during previous debt limit impasses. By law, the CSRDF and G Funds will be made whole once the debt limit is increased. Federal retirees and employees will be unaffected by these actions.

I have written to Congress on previous occasions regarding the importance of timely action to increase the debt limit in order to protect the full faith and credit of the United States and avoid catastrophic economic consequences for citizens. I again urge Congress to act to increase the statutory debt limit as soon as possible.

Sincerely,

Timothy F. Geithner

  Identical letter sent to:

The Honorable John A. Boehner, Speaker of the House The Honorable Nancy Pelosi, House Democratic Leader The Honorable Mitch McConnell, Senate Republican Leader

cc: The Honorable Dave Camp, Chairman, House Committee on Ways and Means

The Honorable Sander M. Levin, Ranking Member, House Committee on Ways and Means The Honorable Max Baucus, Chairman, Senate Committee on Finance The Honorable Orrin Hatch, Ranking Member, Senate Committee on Finance All other Members of the 112th Congress

Colleen Murray is Spokesperson for Domestic Finance.


TOPICS: Breaking News; News/Current Events
KEYWORDS: debtlimit; democrats; economy; geithnerisagaycrook; retirementaccounts; taxcheatparty; taxes; treasury
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To: Mozilla

Interesting list there....thought about putting it in a separate thread?


41 posted on 05/16/2011 12:05:05 PM PDT by goodnesswins (Unlike the West, the Islamic world is serious.)
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To: Mozilla

GREAT list - thanks.

Can you add me to your ping list, if you have one?


42 posted on 05/16/2011 12:54:59 PM PDT by CottonBall
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To: EGPWS

>> martial.... LOL!

Whew! I fear martial law less. :-)


43 posted on 05/16/2011 1:23:25 PM PDT by Nervous Tick (Trust in God, but row away from the rocks!)
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To: SueRae

“Have tar, need feathers..”

I’ve got the feathers... lets go have some real fun! :D


44 posted on 05/16/2011 1:39:58 PM PDT by dajeeps
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To: CommieCutter
Treasury to tap pensions to help fund government

That will work for a week.

About how long it will work if we kill all the "rich" people and confiscate their assets.

The federal government is so far out of control, there simply aren't enough assets in the country to keep it going without printing money. Confiscate the whole damn country, and it won't balance the federal budget sheet.

Big effin' collapse coming folks.

I HIGHLY recommend that you people watch the video demo on this product. Amazing stuff. You can also see some ballistic gel tests on youtube if you search DRT ammo.

http://www.drtammo.com/products.html

45 posted on 05/16/2011 4:35:34 PM PDT by ChildOfThe60s ( If you can remember the 60s....you weren't really there)
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To: blam
"Each of the 155.5 million taxpayers will owe another $10,000 by the end of this government budget year... making the total debt for each taxpayer almost $92,000."

Keep repeating this stat in every interview, Pubbies, and the message might just get across. Then, the next time the Left dangles a new benefit, program, or entitlement, the reaction just might be a little different.

46 posted on 05/16/2011 4:45:01 PM PDT by Teacher317 (really?)
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To: ChildOfThe60s

It’s going to be an ugly one that’s for sure.

Nobody understands basic economics, nor do they understand how this economy is false. I myself didn’t really start to figure it out until about two years ago. I consider myself a political junkie;most of the American people probably are not. This tells me that most have no clue what is coming—I STILL may not as well..


47 posted on 05/16/2011 4:59:20 PM PDT by CommieCutter (Promote Liberal Extinction: Support gay marriage and abortion!)
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To: CommieCutter

Brings to mind the title of a Harlen Coben novel, “Worst Fears Realized”.

I don’t think we Americans can really conceive of what is coming. I can’t.

Seriously, anyone that owns firearms ought to look at the links on DRT ammo. My .223/5.56 AR is now a genuine hunting rifle. Developer claims he took a deer at 300 yards with one shot using DRT .223. The terminal stopping power is a lot different than with lead .223 ammo.


48 posted on 05/16/2011 5:09:08 PM PDT by ChildOfThe60s ( If you can remember the 60s....you weren't really there)
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To: ChildOfThe60s

If I need more than a shot gun and pistol then Marshall law is at hand and I’m no Rambo.


49 posted on 05/16/2011 5:21:25 PM PDT by CommieCutter (Promote Liberal Extinction: Support gay marriage and abortion!)
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To: SueRae
You can't be series! "Robbed Social Security"? It has been funded out of general revenue, not out of some separate "lockbox".

There are only IOUs in the SS "lockbox". Note that for the Feds' retirement funding, there have been real, tangible securities. You don't see any duplicity, nefarious or villainous behavior there, do you?

Nonetheless, just like their union-boss friends, they'll quickly raid retirement funds, no matter what agreements might have ever been previously negotiated. This is an emergency, after all.

HF

50 posted on 05/16/2011 6:29:48 PM PDT by holden
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To: CommieCutter

They make some handgun ammo too. Watch the info on it. The interesting thing about this ammunition is that on one hand it has superior terminal stopping power, yet it is much safer from the standpoint of collateral damage. Which is why it is appealing to law enforcement. You won’t accidentally take out someone in the room next to you. Which is nice to know.


51 posted on 05/16/2011 6:40:02 PM PDT by ChildOfThe60s ( If you can remember the 60s....you weren't really there)
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To: ChildOfThe60s

I hope it doesn’t get that bad....I would say at least the big cities are going to have some kind of turbulence.


52 posted on 05/16/2011 6:44:47 PM PDT by CommieCutter (Promote Liberal Extinction: Support gay marriage and abortion!)
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To: CommieCutter
I hope it doesn’t get that bad....I would say at least the big cities are going to have some kind of turbulence.

Well, I figure, if you're going to own a gun, you should have the most effective ammunition for it. I bought some of the DRT stuff. I don't intend to shoot it (it's a little costly for target practice on my budget). And I hope I never have to load a magazine with it. But I will have some around as insurance.

Some of the urban riots we've had in the past have turned areas into real war zones. I don't live in a city. My daughter does. She owns a couple of pistols and a shotgun. She is good with a handgun and more than good with a shotgun. She thinks I am a little over the top, but I insisted on buying her some extra shotgun shells. If the SHTF, I figure that shotgun is her best weapon for getting through and out of the city. I am very grateful she has had serious (police) training with guns.

53 posted on 05/16/2011 7:00:20 PM PDT by ChildOfThe60s ( If you can remember the 60s....you weren't really there)
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To: blam

“Geithner Implements Additional Extraordinary Measures...”

So TurboTax Timmy will finally start paying all of HIS taxes...?!


54 posted on 05/16/2011 7:02:49 PM PDT by mo ("If you understand, no explanation is needed; if you do not, no explanation is possible")
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To: ChildOfThe60s

If people can’t purchase basic life sustaining materials it will get that bad....


55 posted on 05/16/2011 7:17:44 PM PDT by CommieCutter (Promote Liberal Extinction: Support gay marriage and abortion!)
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To: blam; sickoflibs; stephenjohnbanker; DoughtyOne; calcowgirl; Gilbo_3; Liz

56 posted on 05/16/2011 8:08:20 PM PDT by ding_dong_daddy_from_dumas (Budget sins can be fixed. Amnesty is irreversible.)
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To: Grunthor; EGPWS
“All is timed appropriately for marital law to be put in place on the eave of the elections.”

Outlaw adultery?

Not just that; a particularly kinky one. It requires a stepladder and is commonly practiced by construction workers.

57 posted on 05/16/2011 10:11:33 PM PDT by Greysard
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To: ding_dong_daddy_from_dumas

that aint fair 4d...beavis can at least feed himself...


58 posted on 05/17/2011 4:58:47 AM PDT by Gilbo_3 (Gov is not reason; not eloquent; its force.Like fire,a dangerous servant & master. George Washington)
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To: EGPWS
All is timed appropriately for marital law to be put in place on the eave of the elections.

Does this mean no more single politicians? And what about those who are engaged?

59 posted on 05/17/2011 5:17:50 AM PDT by exDemMom (Now that I've finally accepted that I'm living a bad hair life, I'm more at peace with the world.)
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To: EGPWS

marital law to be put in place on the eave of the elections.

Oh My God, NO, not that. It’s tough enough being
single.


60 posted on 05/17/2011 5:23:26 AM PDT by tet68 ( " We would not die in that man's company, that fears his fellowship to die with us...." Henry V.)
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