Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

Nye Bevan

(25,406 posts)
Wed Oct 2, 2013, 10:53 AM Oct 2013

The President Has the Power To Raise the Debt Ceiling on His Own


One argument that has received some attention rests on an obscure provision in the 14th Amendment of the Constitution. It says that “The validity of the public debt of the United States … shall not be questioned.” Some commentators, like former President Clinton, argue that this clause authorizes the president to borrow money to meet existing obligations. But the provision does not mention the president or give him any authority. And in Article I, the Constitution gives the authority to borrow money to Congress. The 14th Amendment states an aspiration or goal, which would not normally trump a specific allocation of constitutional powers. The argument also fails on its own terms because the debt ceiling does not force the president to default on the public debt; he can avoid default by spending less.

Two law professors, Neil Buchanan and Michael Dorf, have argued that the president is actually constitutionally required to violate the debt ceiling rather than cut spending. To respect Congress’ will, he should follow its orders to spend rather than follow its orders not to borrow—the idea is that the spending power is somehow constitutionally fundamental to what Congress does, while the borrowing power is not. I say “somehow” because Buchanan and Dorf do not explain convincingly why that would be so.

President Obama can make a better argument. Congress has given him an impossible task: to implement a large number of costly public projects with less money than those projects cost. If he cuts spending, then he violates constitutional norms that give Congress the power to determine spending. If he raises revenues by borrowing or trying to tax people, then he violates constitutionals norms that give Congress the power to borrow or tax. In the face of contradictory instructions from Congress, the president can’t avoid choosing—by virtue of his administrative role as collector and disburser of revenues, the president must do something. Where Congress fails to provide him with consistent instructions, he has the discretion to do what he believes is in the public interest. If the economy were to be on the point of collapse, he could cite emergency powers sanctified by tradition as his authority for borrowing beyond the debt ceiling on his own. But a less drastic argument is that the power to resolve conflicting congressional orders is inherent in the president’s administrative role. Indeed, presidents frequently face conflicting statutes as they govern, and they have long enjoyed a great deal of discretion in resolving them.

So in the face of contradictory orders from Congress, President Obama should do what he believes is in the public interest. And if the House refuses to raise the debt ceiling, this surely means some combination of cutting spending, borrowing beyond the debt limit, and perhaps even searching out new sources of revenue.

http://www.slate.com/articles/news_and_politics/view_from_chicago/2013/01/debt_ceiling_president_obama_has_the_power_to_raise_the_debt_limit_without.html



(The author is a professor at the University of Chicago Law School).

If it comes to the crunch, I sincerely hope Obama does this. The sputtering purple-faced outrage from Boner and Cruz would be absolutely priceless. And being impeached by this crowd of buffoons (followed by a swift acquittal in the Senate) would be a badge of honor for President Obama IMO.
22 replies = new reply since forum marked as read
Highlight: NoneDon't highlight anything 5 newestHighlight 5 most recent replies
The President Has the Power To Raise the Debt Ceiling on His Own (Original Post) Nye Bevan Oct 2013 OP
Last time warrior1 Oct 2013 #1
The debt ceiling issue is separate from the clean CR (nt) Nye Bevan Oct 2013 #4
Correct Me If I'm Wrong - The President Said That In HIs First Term.... global1 Oct 2013 #5
And being impeached over this issue would be a wholly honorable thing (nt) Nye Bevan Oct 2013 #8
i mean this sincerely Enrique Oct 2013 #18
He can't even hint that he's willing to consider it until the last split second. nt geek tragedy Oct 2013 #2
And I don't expect him to. Nye Bevan Oct 2013 #3
I think he will. Just declare the debt ceiling unconstitutional as it prevents him from geek tragedy Oct 2013 #6
Or point out that he is being forced to *somehow* violate the constitution. Nye Bevan Oct 2013 #7
Not a good idea to state you're violating the constitution. Declare the debt ceiling geek tragedy Oct 2013 #9
I'll go further, he has to actively deny that he'll do it. yodermon Oct 2013 #13
No way the SCOTUS adjudicates in advance--"no advisory opinions" is a cardinal rule of theirs nt geek tragedy Oct 2013 #14
I've been one of Obama's critics ... Fantastic Anarchist Oct 2013 #10
White House Rejects 14th Amendment to Raise Debt Ceiling PoliticAverse Oct 2013 #11
Legally, only enough to fund existing debt obligations, not to actually "run" the government. Xithras Oct 2013 #12
Social Security, Medicare, Medicaid, Obamacare are mandatory payments--he can't not pay those. nt geek tragedy Oct 2013 #16
But it's not "debt" Xithras Oct 2013 #19
He doesn't need to resort to the 14th Amendment for those. geek tragedy Oct 2013 #20
I would argue... kentuck Oct 2013 #15
Obama Robbins Oct 2013 #17
The Impoundment Act should also be considered. Jim Lane Oct 2013 #21
I'd argue that he could act as Commander in Chief. backscatter712 Oct 2013 #22

warrior1

(12,325 posts)
1. Last time
Wed Oct 2, 2013, 10:58 AM
Oct 2013

President Obama said he wouldn't do this and I don't expect him to do this time either.

I believe that the repukes would try and impeach him if he did.

They just need to take their medicine and pass a clean CR bill.

global1

(25,252 posts)
5. Correct Me If I'm Wrong - The President Said That In HIs First Term....
Wed Oct 2, 2013, 11:02 AM
Oct 2013

Now that he's in his second term and not needing to worry about re-election - I think he is in a different position to perhaps act on this. I hope he does because it would really take the wind out of the sails of the Repug Party - that they don't have the Debt Limit fight to use as any leverage.

Enrique

(27,461 posts)
18. i mean this sincerely
Wed Oct 2, 2013, 12:45 PM
Oct 2013

who cares if the GOP impeaches him? An impeachment would have zero consequences for anyone. The Clinton impeachment is just a trivia question. In 2005, my entire room of co-workers didn't even know Clinton had been impeached. The boss had to look it up online to settle the argument (I took the position that he was impeached).

 

geek tragedy

(68,868 posts)
6. I think he will. Just declare the debt ceiling unconstitutional as it prevents him from
Wed Oct 2, 2013, 11:02 AM
Oct 2013

executing the laws Congress has instructed him to.

Nye Bevan

(25,406 posts)
7. Or point out that he is being forced to *somehow* violate the constitution.
Wed Oct 2, 2013, 11:04 AM
Oct 2013

If it comes down to it, the Republicans will put him in a position where, one way or another, he has no choice but to violate the constitution. The only question is, which provision of the constitution should he choose to violate. And the debt ceiling is clearly the best one to choose.

 

geek tragedy

(68,868 posts)
9. Not a good idea to state you're violating the constitution. Declare the debt ceiling
Wed Oct 2, 2013, 11:06 AM
Oct 2013

unconstitutional, and it's destroyed as an issue for the future.

yodermon

(6,143 posts)
13. I'll go further, he has to actively deny that he'll do it.
Wed Oct 2, 2013, 12:33 PM
Oct 2013

I'm trying to figure out if there's a way to get the Supreme Court to adjudicate this before it happens so as not to spook the bond markets if he does. Impossible to do without telegraphing his intent though.

Minting the coin(s) is the only way left, which of course is ludicrous.

Fantastic Anarchist

(7,309 posts)
10. I've been one of Obama's critics ...
Wed Oct 2, 2013, 11:38 AM
Oct 2013

... but I totally agree with the article. I think Obama needs to assert himself. He's faced with a fork in the road that Congress (Tea Party) has presented him with. It's, logically, his decision to choose which road to take rather than argue with Congress about which one to take.

Xithras

(16,191 posts)
12. Legally, only enough to fund existing debt obligations, not to actually "run" the government.
Wed Oct 2, 2013, 12:31 PM
Oct 2013

In other words, the President can arbitrarily raise the debt ceiling enough to make payments on outstanding debts and bonds in order to prevent the U.S. from going into default. He CANNOT raise the debt ceiling enough to fund budgeted government programs.

So, the President can raise the debt ceiling in order to write our monthly debt checks to China, billionaire bondholders, and banks, but not to fund Head Start, pay food inspectors, feed hungry children, or open the national parks.

The Constitution is incredibly clear on this point...Congress, not the President, controls the purse-strings. The only budgetary power granted to the President by the 14th Amendment was the ability to avert a financial default.

Xithras

(16,191 posts)
19. But it's not "debt"
Wed Oct 2, 2013, 12:47 PM
Oct 2013

Congress passes a law requiring the Executive branch to pay $1 a day to each citizen.

Congress borrows $1 billion from China with weekly payments of $1 million.


The first is not debt, the second is. The 14th amendment only grants the President budgetary power to make payments against the DEBT of the US government, not it's self-imposed statutory obligations. It's unfair, but that's the law.

It should, of course, be pointed out that payments by the government to the Social Security Trust Fund ARE debt, and the government must continue making payments on it. Those payments aren't enough to fund the entire program though.

 

geek tragedy

(68,868 posts)
20. He doesn't need to resort to the 14th Amendment for those.
Wed Oct 2, 2013, 12:54 PM
Oct 2013

He has a statutory obligation to pay them.

Also, what constitutes a 'debt' will be a political question, and he has every right to make his own determination on what constitutes a debt in such a scenario.

kentuck

(111,101 posts)
15. I would argue...
Wed Oct 2, 2013, 12:34 PM
Oct 2013

That the President is required to make sure the laws are adhered to and are executed. The 14th Amendment is the law and Congress is violating that law. In that respect, constitutionally, the President has the authority to execute the laws. But that is a good question for the Courts to settle.

Robbins

(5,066 posts)
17. Obama
Wed Oct 2, 2013, 12:41 PM
Oct 2013

I hope he says screw them.I am not going to let the teaparty cause a default because they don't get their way.

They try to impeach Obama It will backfire on them.Not even conservative democrats will vote to remove obama from office.Susan Collins Is done In maine if she supports removing obama from office.And just imagine ads that can be run against republicans elected in 2010 running for reelection In 2016 In Obama states with hillary Clinton as likely democratic nominee.

 

Jim Lane

(11,175 posts)
21. The Impoundment Act should also be considered.
Thu Oct 3, 2013, 02:14 AM
Oct 2013

Once Congress has appropriated money, it's illegal for the President to refuse to spend it.

If you combine appropriations bills, tax cuts, the debt ceiling, and the Impoundment Act, you find that Congress has passed a set of inconsistent laws. It has thus created a situation where, regardless of what the President does, he can plausibly be accused of acting illegally.

Of course, this argument depends on there being appropriations. Right now, for much of the government, that condition isn't met. If there's no movement between now and October 17, Obama could comply with all the laws by furloughing even federal employees previously deemed essential. Separately funded operations like the Postal Service would continue. Those are the exceptions, however. The situation might be that Obama could furlough all the Border Patrol agents, creating a completely open border, and when the Republicans scream, he could point out that what he did was required by the laws that they themselves had passed (or refused to pass).

backscatter712

(26,355 posts)
22. I'd argue that he could act as Commander in Chief.
Thu Oct 3, 2013, 04:37 AM
Oct 2013

If the loss of government spending would cause an economic downturn, that could be construed as a threat to national security, and the President could therefore act unilaterally by ordering spending restored and an interim executive-created budget put in place until Congress chooses to pass their own.

Latest Discussions»General Discussion»The President Has the Pow...