National Press Club to Host "NEWSMAKER" Media Briefing on Debt Prioritization With U.S. Rep. Scott Garrett (R-N.J.)

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Jun 14, 2011, 11:04 ET

WASHINGTON, June 14, 2011 /PRNewswire-USNewswire/ -- The following is being released by the National Press Club:

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TOPIC: "Debt Prioritization"
DATE: Tuesday, June 21
TIME: 2 p.m.
PLACE: Zenger Room

The "extraordinary measures" that the Treasury Department has been using since the national debt hit the legal limit of $14.3 trillion in May will be exhausted on Aug. 2, according to the department. At that point, Congress must raise the debt limit, or the government will default on it's obligations, which would cause major disruptions in financial markets and the global economy.

Garrett, chairman of the House capital markets subcommittee, says the disruptions would be avoided if Treasury was directed to spend the revenues that come in after Aug. 2 on repaying bond holders ahead of other obligations. He is a prime sponsor of HR-421, the Full Faith and Credit Act, which gives priority to repaying outstanding debt when the limit is reached.

Garrett will discuss the effect he believes such a law would have, and ways he says Congress should use the debt limit to force the government to live within its means.

SOURCE National Press Club