US Treasury has frozen debt
US Treasury has frozen federal debt at $18,112,975,000,000 as of the 10th of August 2015. This now marks 150 days straight that the limit has been frozen at this figure.
The current legal debt limit stands at $18,113,000,080,959.35, which is only $25 million more than what the federal debt has been frozen at.
US Treasury Secretary, Jacob Lew, extended the debt issuance suspension period on the 30th of July to continue up to the 30th of October.
The debt issuance suspension period was originally supposed to be continued only through to the 30th of July, but this was updated that very day by Jacob Lew to be extended through to the end of October.
This means that Congress has until the end of October to pass through new legislation to increase the federal debt limit if they wish to do so.
In the meantime, the US Treasury will issue statements on a daily basis to report the debt beginning and ending the day frozen at $18,112,975,000,000.
Daily Treasury Statements have been reporting this frozen limit earlier in the year from Monday 16th of March. 2015
This was after Lew initially declared the debt issuance suspension period in a letter to House Speaker John Boehner and other congress leaders on the 13th of March 2015.
Lew’s letter also stated “Treasury has suspended until further notice the issue of State and Local Government Series securities, which count against the debt limit.”
The letter also outlined several steps the US Treasury would be taking, stating “Beginning on March 16, I plan to declare a ‘debt issuance suspension period’ with respect to investment of the Civil Service Retirement and Disability Fund and also suspend the daily reinvestment of Treasury securities held by the Government Securities Investment Fund and the Federal Employees’ Retirement System Thrift Savings Plan.”
These actions had been implemented in previous debt limit impasses in 2013.
A sheet of frequently asked questions has been posted on the US Treasury website to explain these actions in further detail.
However, skeptics are crying foul, claiming that the freezing of debt and reporting has arisen from Obama’s deceitful administration. The debt is being frozen and the books are being fudged in an attempt to hide the extreme economic damage facing the country. If this is true, then so much for being the most transparent administration in American history.
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