By James Zilenziger Washington (CNSNews.com) - A group of congressional Republicans unveiled the â€œEnsuring the Full Faith and Credit of the United States and Protecting Americaâ€™s Soldiers and Seniors Actâ€ on Tuesday. The legislation would require the Treasury secretary to prioritize payments on interest on the national debt, Social Security and military pay.
â€œWhat our bill would do is it would instruct the Treasury secretary in the event that the debt ceiling is not raised prior to August 2 to make certain obligations priorities so that they will be paid in full, on time, and without delay,â€ Sen. Patrick Toomey (R-Pa) said during a Capitol Hill news conference announcing the legislation.
â€œThe three priorities are simple,â€ he said. â€œFirst, itâ€™s interest on our debt, so that we will not default on our debt and not plunge our economy into chaos. Second, Social Security payments because millions of senior citizens, including my parents, depend on Social Security payments that theyâ€™ve earned by virtue of their own prior contributions to the system. And, finally, the payroll for active duty military personnel, because the men and women who are risking their lives for us should not have to worry about whether their families will receive their income in a timely fashion.â€
According to Toomey, who cited figures from the Bipartisan Policy Center, more than half of the revenue from the month of August will still be left over after payments are made to debt interest, senior citizens, and active military personnel.
â€œFor the period from August 3 through August 31, total revenue will be at least $173 billion, perhaps much more,â€ Toomey said. â€œAnd the combined costs of paying the interest on our debt, Social Security payments, and active duty military pay will be about $81 billion -- so, less than half of the revenue that will be coming in during the month of August.â€