Treasury to tap pensions to help fund government

The Obama administration will begin to tap federal retiree programs to help
fund operations after the government lost its ability Monday to borrow more
money from the public, adding urgency to efforts in Washington to fashion a
compromise over the debt.

Treasury Secretary Timothy F. Geithner has warned for months that the
government would soon hit the $14.3 trillion debt ceiling — a legal limit on
how much it can borrow. With that limit reached Monday, Geithner is
undertaking special measures in an effort to postpone the day when he will
no longer have enough funds to pay all of the government’s bills.

Geithner, who has already suspended a program that helps state and local
government manage their finances, will begin to borrow from retirement funds
for federal workers. The measure won’t have an impact on retirees because
the Treasury is legally required to reimburse the program.


Read more here:
link<http://www.washingtonpost.com/business/economy/treasury-to-tap-pensions-to-help-fund-government/2011/05/15/AF2fqK4G_story.html?hpid=z1>

Political Chicken.  Who blinks first?  I say the Republicans.

J

-

Ninety percent of politicians give the other ten percent a bad reputation. -
Henry Kissinger

Politicians are people who, when they see light at the end of the tunnel, go
out and buy some more tunnel. - John Quinto

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