abc
QUICK LINKS:

Lew Warns Congress of Late-February Debt Deadline

Created: 01/22/2014 4:14 PM KSTP.com
By: Scott Theisen

Treasury Secretary Jacob Lew is telling Congress that by late February he will run out of steps he can take to avoid a first-ever default on U.S. debt.
    
Lew says he now thinks he will exhaust the bookkeeping maneuvers he can make to avoid breaching the federal borrowing limit sooner than previously thought. He had estimated in December that he could avoid a default until late February or early March.
    
Under an agreement that ended the partial government shutdown in October, Congress suspended the debt limit until Feb. 7. After then, Lew would start using the bookkeeping maneuvers.
    
He urged Congress to raise the limit before Feb. 7.
    
Some Republicans hope to use the debt limit as leverage to force the Obama administration to agree to more government spending cuts.

(Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Treasury Secretary Jacob Lew pauses while speaking about the U.S. economy on Jan. 16.
Photo: AP/Manuel Balce Ceneta

Minneapolis/St. Paul

Clear
44°
68° | 48°
  • Feels like: 44° F
  • Wind: 0mph
  • Humidity: 85%
  • Wed A few clouds
    70° | 53°
  • Thu More sun than clouds
    72° | 54°
  • Fri A few thunderstorms possible
    76° | 62°
  • Sat Thunderstorms early
    72° | 56°

Video

KSTP NEWS