Debt Ceiling Watch 2011
In order to avoid bumping up against the statutory debt ceiling, the Department of the Treasury has begun undertaking a number of so-called "extraordinary measures". Keep checking back as we update this table (and here for the 2012 Debt Ceiling Watch).
|Date||Extraordinary Measure||Headroom Given||Debt (Gross/ Subject to Limit)|
Debt Ceiling Increased by $500 billion
Today, the Treasury Department, as the Debt Deal allowed it to do, raised the debt limit an additional $500 billion, bringing the total to $15.194 trillion. This action was subject to disapproval by Congress, which the Senate failed to do on September 8th. The final increase will come anywhere from $1.2 - $1.5 trillion depending on the performance of the Super Committee. Read more here.
|$500 Billion||$14,726,790/ $14,681,855|
Debt Ceiling Increased by $400 billion
Today, President Obama signed into law an increase of the debt ceiling. Under the terms of that agreement, the debt ceiling was raised an additional $400 billion, bringing the current ceiling up to $14.694 trillion, which Treasury estimates will get it through September. The deal gives a mechanism for an additional $500 billion in debt ceiling upon a Presidential request, subject to Congressional disapproval, and anywhere from $1.2 - $1.5 trillion depending on the performance of the joint committee. Read more here.
|$400 Billion||$14,580,705/ $14,532,332|
Suspension Reinvestment of the Exchange Stabilization Fund
Treasury Employs Last Extraordinary Measure by suspending reinvestment of funds into the Exchange Stabilization Fund.
Measures like this have been used in 1996, 2000, 2003, 2004, and 2006.Read more here.
|$23 Billion||$14,342,943/ $14,293,975|
Treasury Reaffirms U.S. To Reach Limit August 2nd
The Treasury Department once again confirmed that the U.S will exhaust its borrowing authority on August 2nd, which is unchanged from its last projection. Read more here.
Treasury Still Projects U.S. To Reach Limit on August 2nd
The Treasury Department is still estimating that the U.S will exhaust its borrowing authority on August 2nd, which is unchanged from its last projection. Read more here.
Suspension of New G-Fund and CSRDF Issuances
The Treasury Department has suspended reinvestments and issuances of Treasury securities in the Civil Service Retirement and Disability Fund (CSRDF) as well as the Government Securities Investment Fund (G-Fund). It has also begun redeeming certain investments in the CSRDF.
Measures like this have been used in 1996, 2002, 2003, 2004, and 2006. Read more here.
($130 billion from G-Fund; $17 billion from CSRDF)
The Treasury Department has announced that without taking extraordinary measures, it will exceed the debt ceiling imminently. The debt is now within $25 million of the statutory debt limit.
Suspension of New SLGS Bond Issuances
The Treasury has suspended new issuances of State & Local Government Series (SLGS) bonds -- special purpose securities which are issued to state and local government to help them with certain cash management issues.
Similar measures were taken in 1995/96, 2002, 2003, 2004, 2006, and 2007. Read more here.
(Absent this suspension, debt could grow an extra $6 billion/month)
|05/05/11||Day Before Extraordinary Measures Begin||$14,321,667/ $14,269,975|
Unwinding of Supplemental Financing Program
The Treasury Department has now started to allow the assets held in the Supplemental Financing Program to mature and rollover. This will decrease its balance from $200 to $5 billion. This fund was set-up as a supplemental finance program for the Federal Reserve.
This measure has never been used before as the program was created in 2008. Read more here.
|$195 billion||$14,059,409/ $14,006,870|