http://blogs.wsj.com/washwire/2011/09/08/senate-approves-500-billion-increase-in-borrowing-authority/?mod=google_news_blogSenate Approves $500 Billion Increase in Borrowing Authority
The U.S. Senate, in an unusual procedure, cleared the way Thursday for the U.S. to lift its borrowing authority by $500 billion to $15.19 trillion, enough to keep the support federal government borrowing through late January or early February. The action came under an unusual legislative procedure spelled out under the August agreement to raise the U.S. debt ceiling and avoid a U.S. credit default. In a 52-45 vote, the Senate blocked an attempt by Republicans to slow down the process that will result in the $500 billion debt-ceiling increase.
The increase stems from a deal between Congress and the White House, finalized last month, that spells out how the borrowing limit would be increased by $500 billion. Under the process, lawmakers in both the House and Senate must vote on a resolution of disapproval against the increase in the borrowing limit. President Barack Obama would then have to veto the resolution of disapproval, and Congress would then vote to try and override that veto.
The complicated procedure, designed by Senate Minority Leader Mitch McConnell (R., Ky.), would allow an increase of the borrowing limit while allowing most Republicans to vote against such an increase. There was a twist in this scenario Thursday evening, however. Democrats held firm, rejecting the resolution of disapproval, thereby speeding the process and increasing the borrowing limit immediately.
Only Sen. Ben Nelson (D., Neb.) broke from his party to vote with the Republicans in trying to move forward with the measure. The next increase in the borrowing limit, likely in the first quarter of next year, will be dependent on the ability of a panel of 12 lawmakers to reach a deal that cuts at least $1.2 trillion from federal budget deficits over the next decade.
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Lets see, $900 billion plus $1.2 trillion more in debt to be added in January/February, and you have a total of $2.1 trillion in new debt added in less than a year and a half.
Meanwhile the Budget Deal cuts total only $25 billion (yes 25 billion) for all of 2012, and only $47 billion for all of 2013. Almost all the 1.2 trillion to 1.5 trillion in cuts occur spread out over the next 10 years and almost all in the out years.
This doesn't even take into account the 447 billion price tag for the new Obama jobs programme and tax cuts, (which is supposedly all going to be paid for with additional budget cuts) but do not fear!, they say, Social Security Security, Medicare , other vital social programmes, and that 'oh-so utterly need' war machine, well they will never get touched).
So, so to sum it up, $2.1 trillion (at minimum) added in debt between now and January 2013, versus $25 billion in 'expenditure cuts' over that same-said period, and also $240 billion in payroll tax cuts (to be made up by taking money from the general budget fund to pay back the SS Trust Fund).
Yep, POTUS and Congress are really getting a handle on fixing this explosion in debt thing.
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