The federal government will reach its borrowing limit on Nov. 3, two days sooner than recent estimates, the Treasury Department said Thursday, increasing pressure on Congress to raise the debt ceiling before House Speaker John A. Boehner (R-Ohio) leaves office.
Treasury Secretary Jack Lew wrote congressional leaders on Thursday to inform them that the Treasury has collected less revenue than expected from corporate tax receipts.
“The trend in our projected net resources has continued to be negative, and our projections for the relevant period have declined an additional $4-6 billion,” Lew wrote. “Based on our best and most recent information, we now estimate that extraordinary measures will be exhausted no later than Tuesday, November 3.”
By that date, Lew said he expects that Treasury will have less than $30 billion in cash available.
Boehner has said he would like to complete as much work as possible before he is scheduled to step down on Oct. 29 and aides said Wednesday that the debt limit is still on his list of potential issues to resolve.
The earlier deadline increases the chances that Boehner will have to make a decision on the debt limit before he leaves, despite pressure from conservatives who have said any increase will also have to include spending offsets. If conservatives continue to revolt, Boehner will likely have to rely on Democrats to rally enough votes to pass a debt limit increase.