In his final press conference of his first term, President Obama told reporters that America is not a 'deadbeat nation' and that the nation will pay its bills. During the same press conference, however, President Obama said he would not negotiate with Congress to come up with a plan that couples raising the debt limit with spending cuts. The U.S. reached its $16.394 debt limit on December 31, 2012. One day later, Congress passed legislation to delay the spending cuts associated with the August 2011 debt limit increase (the increase that established the $16.394 limit). President Obama signed that legislation into law a few days later. Congressman Huelskamp issued the following response to the President's remarks:
"The decision to be 'deadbeat' will be President Obama's alone. Every month, the U.S. Treasury takes in more than enough money to avoid any default, and can always pay the interest on the debt. To claim otherwise is simply false - and the President knows that.
"Additionally, enough revenue is collected from hard-working taxpayers to pay for Medicare and Medicaid, Social Security, unemployment, and military/veteran pay and benefits. To threaten not to pay these bills is fueling the fire and playing on the fears of Americans.
"Without raising the debt limit, it is true that President Obama must have to prioritize his spending. Just like any family or business faced with a maxed out credit card, it is time for Washington to actually cut wasteful spending. Once Senator Obama said it was 'unpatriotic' to add $4 trillion to the debt; now it's all in a day's work."