Oh, brother. Here we go again. We already knew this summer’s epic debt ceiling showdown didn’t matter in the end. The standoff ultimately accomplished nothing meaningful in the way of debt and deficit reduction — no balanced budget amendment, no spending caps and no substantive spending cuts or entitlement reform, thanks to the eventual failure of the Super Committee. But it did result in an increase in the debt ceiling. President Obama was satisfied with that for just a few months. Now, he plans to ask for yet another increase in the federal government’s borrowing capacity, a senior Treasury official says. Reuters reports:
The debt limit is projected to fall within $100 billion of the current cap by December 30. President Barack Obama is expected to ask for additional borrowing authority to increase the limit by $1.2 trillion. …
The debt limit currently stands at $15.194 trillion and would increase to $16.394 trillion with the request.
If you recall, this presidential call for another hike was provided for in the deal this summer. Republicans touted the two-pronged request process (a debt ceiling increase this summer and the chance to request another increase now) as a victory of sorts — as though this second request by Obama would ever be turned down. Congress can block the debt hike extension by a resolution of disapproval, but I’m not holding my breath.