II 

Calendar No. 112 

112TH CONGRESS 

1ST SESSION S. 1420 

To require that the United States Government prioritize all obligations on 

the debt held by the public, Social Security benefits, and military pay 

in the event that the debt limit is reached, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 27, 2011 

Mr. TOOMEY (for himself, Mr. VITTER, Mr. PAUL, Mr. RUBIO, Mr. LEE, Mr. 

RISCH, Mr. DEMINT, Mr. HOEVEN, Mr. COATS, Mr. BARRASSO, Mr. 

BOOZMAN, Mr. CHAMBLISS, Mr. COBURN, Mr. CORNYN, Mr. CRAPO, Mr. 

ENZI, Mr. GRAHAM, Mr. GRASSLEY, Mr. HATCH, Mr. HELLER, Mrs. 

HUTCHISON, Mr. INHOFE, Mr. JOHANNS, Mr. JOHNSON of Wisconsin, 

Mr. KIRK, Mr. LUGAR, Mr. MORAN, Mr. ROBERTS, Mr. WICKER, Ms. 

AYOTTE, Mr. ISAKSON, Mr. BLUNT, and Mr. CORKER) introduced the following bill; which was read the first time 

JULY 27, 2011 

Read the second time and placed on the calendar 

A BILL 

To require that the United States Government prioritize 

all obligations on the debt held by the public, Social 

Security benefits, and military pay in the event that 

the debt limit is reached, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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•S 1420 PCS

1 SECTION 1. SHORT TITLE. 

2 This title may be cited as the ‘‘Ensuring the Full 

3 Faith and Credit of the United States and Protecting 

4 America’s Soldiers and Seniors Act’’. 

5 SEC. 2. FINDINGS. 

6 Congress finds the following: 

7 (1) The Secretary of the Treasury is legally re8 quired to carry out the obligations set forth in Pub9 lic Law 104-121. 

10 (2) The debt obligations held by the Social Se11 curity trust fund may only be redeemed in order to 

12 pay Social Security benefits and necessary adminis13 trative expenses. 

14 (3) So long as there is a positive balance of as15 sets in the Social Security trust fund, an appropriate 

16 amount of obligations may be converted into an 

17 equal amount of publicly held debt in order to fi18 nance the full and timely payment of all Social Secu19 rity obligations without exceeding the debt ceiling. 

20 SEC. 3. PRIORITIZE OBLIGATIONS ON THE DEBT HELD BY 

21 THE PUBLIC, SOCIAL SECURITY BENEFITS, 

22 AND MILITARY PAY. 

23 In the event that the debt of the United States Gov24 ernment reaches the statutory limit as defined in section 

25 3101 of title 31, United States Code, the following shall 


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•S 1420 PCS

1 take equal priority over all other obligations incurred by 

2 the Government of the United States: 

3 (1) The authority of the Department of the 

4 Treasury contained in section 3123 of title 31, 

5 United States Code, to pay with legal tender the 

6 principal and interest on debt held by the public. 

7 (2) The authority of the Commissioner of Social 

8 Security to pay monthly old-age, survivors’ and dis9 ability insurance benefits under title II of the Social 

10 Security Act. 

11 (3) The payment of pay and allowances for 

12 members of the Armed Forces on active duty. 


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Calendar No. 112 

112TH CONGRESS 

1ST SESSION S. 1420 

A BILL 

To require that the United States Government 

for other purposes. in the event that the debt limit is reached, and public, Social Security benefits, and military pay prioritize all obligations on the debt held by the 

JULY 27, 2011 

Read the second time and placed on the calendar 


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