In October, Congress passed the Continuing Appropriations Act to suspend the statutory debt limit through February 7, 2014. When that suspension period ends, the United States will reach the debt limit again. At that time, in the absence of Congressional action, Treasury would be forced to take extraordinary measures to continue to finance the government on a temporary basis. We currently estimate that through the use of these measures, we would be able to extend the nation's borrowing authority only until late February or early March 2014. While this forecast is subject to inherent variability, we do not foresee any reasonable scenario in which the extraordinary measures would last for an extended period of time- principally because the government experiences large net cash outflows in February and March due to tax refunds.
The American public expects its leaders to put an end to governing by crisis and to focus on promoting economic growth and job creation. I respectfully urge Congress to take action to raise the debt limit at the earliest possible moment and ideally well before February 7, 2014.