I 112th CONGRESS 1st Session H. R. 2605 IN THE HOUSE OF REPRESENTATIVES July 21, 2011 Mr. Latham introduced the following bill; which was referred to the Committee on Ways and Means A BILL To specify that certain obligations of the United States shall be prioritized in the event that the debt ceiling is reached.

1.

Short title

This Act may be cited as the Protect Spending Priorities Act.

2.

Priority of payments if the debt ceiling is reached

In the event that the debt of the United States Government, as defined in section 3101 of title 31, United States Code, reaches the statutory limit, amounts necessary for obligations incurred by the Government of the United States shall be made available to the following obligations before all other obligations: (1)Amounts necessary to carry out the authority of the Department of the Treasury provided in section 3123 of title 31, United States Code, to pay with legal tender the principal and interest on debt held by the public. (2)Such amounts as the Secretary of Defense (and the Secretary of Homeland Security in the case of the Coast Guard) determines to be necessary to continue to provide pay and allowances (without interruption) to members of the Army, Navy, Air Force, Marine Corps, and Coast Guard, including reserve components thereof, who perform active service. (3)Amounts necessary for the Commissioner of Social Security to pay monthly old-age, survivors’, and disability insurance benefits under title II of the Social Security Act. (4)Amounts necessary for the Secretary of the Veterans Affairs to pay compensation, as such term is defined under section 101(13) of title 38, United States Code. (5)Such amounts as the President certifies to the Congress are necessary to carry out vital national security priorities. (6)Amounts necessary to make payments under the Medicare program under title XVIII of the Social Security Act. (7)Such amounts as the President certifies to the Congress are necessary to carry out Government functions necessary for protecting public health and public safety.