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Hensarling Response to Treasury Debt Ceiling Report

Washington, Oct 4 -

Financial Services Committee Chairman Jeb Hensarling (R-TX) issued the following statement today in response to the Treasury Department’s report on the potential effects of not raising the nation’s debt ceiling:

“If there is one person who can make sure we do not default on the full faith and credit of the United States it is President Obama. That is why House Republicans passed H.R. 807, the Full Faith and Credit Act, in May. It simply says that the Treasury Department will always pay the principal and interest on its sovereign debt. According to the Government Accountability Office, the Treasury Department already has this authority, but H.R. 807 codifies it into law. Regrettably, the president’s veto threat against this bill only raises the specter of default instead of taking it off the table.

“My hardworking constituents in the 5th District of Texas do not equate payment on a bond issued by the United States government with payment for the next IRS ‘Star Trek’ video, travel reimbursements for the Alabama Watermelon Day Queen, pottery classes in Morocco and everything else Washington spends their money on while they struggle to put food on their tables.

“Washington Democrats are the only ones talking about default because it is the only way they can continue their reckless spending spree. We will never default on our nation’s sovereign debt and House Republicans are the only ones who have acted to ensure our obligations are met. This debate has been and always will be about our fiscal priorities, not default. We can no longer wait until tomorrow to deal with today’s spending-driven debt crisis.”