[Congressional Record Volume 142, Number 14 (Thursday, February 1, 1996)]
[Senate]
[Page S725]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              TEMPORARY EXTENSION IN STATUTORY DEBT LIMIT

  Mr. MOYNIHAN. Mr. President, H.R. 2924 is, in effect, a temporary 
increase in the debt ceiling.
  Under the bill, the Secretary of the Treasury may issue Treasury 
securities in excess of the current $4.9 trillion ceiling in order to 
pay the March 1996 Social Security benefits. Coupled with the normal 
end of month redeeming of Treasury securities held by the Social 
Security trust funds, this bill permits the Federal Government to meet 
all of its financial obligations on March 1.
  The bill provides much-needed time to consider a longer and perhaps 
permanent increase in the debt ceiling. Congress may not take up this 
issue again until the week of February 26, and, without this 
legislation, action would be required almost immediately to prevent 
default on February 29 or March 1. That is cutting it too close. Under 
this bill, we will have until March 15 to work out a long-term increase 
in the debt ceiling.
  And, importantly, this legislation commits the Congress to timely 
action. Item 1 in the bill's ``FINDINGS'' states:

       (1) Congress intends to pass an increase in the public debt 
     limit before March 1, 1996.

  This is a welcome statement of good faith. It will shortly pass the 
House of Representatives. I urge the Senate to concur.

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