Letter to the President of the Senate and to the Speaker of the House of Representatives Requesting an Increase in the Debt Limit.

Dear___________:

The Secretary of the Treasury and the Director of the Bureau of the Budget have advised me that contemplated revenues and expenditures for fiscal 1959 make it necessary to request an increase in the debt limit. Accordingly, the Administration is at this time asking the Congress to increase the regular statutory debt limit to $285 billion and also to provide an additional temporary increase of $3 billion to run through June 30, 1960.

Advices from the Secretary of the Treasury and the Director of the Bureau of the Budget indicate clearly that the increase of the regular limit is needed because of the deficit outlook for the current fiscal year, which makes it evident that the debt cannot be reduced to the present $275 billion limitation by June 30, 1959. In addition, it is clear that the requested temporary increase would provide needed flexibility to allow more efficient management of the debt, as well as to provide for contingencies which may cause unforeseeable demands upon the Treasury.

The Secretary of the Treasury and the Director of the Bureau of the Budget will be glad to provide details in support of this request.

Sincerely,

DWIGHT D. EISENHOWER