-CITE-
    2 USC CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET
           DEFICITS                                        01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS

-HEAD-
        CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS    


-MISC1-
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                                  AMOUNT
    Sec.                                                     
    900.        Statement of budget enforcement through sequestration;
                 definitions.                                         
    901.        Enforcing discretionary spending limits.              
    901a.       Repealed.                                             
    902.        Enforcing pay-as-you-go.                              
    903.        Enforcing deficit targets.                            
    904.        Reports and orders.                                   
    905.        Exempt programs and activities.                       
    906.        General and special sequestration rules.              
    907.        The baseline.                                         
    907a.       Suspension in event of war or low growth.             
    907b.       Modification of Presidential order.                   
    907c.       Flexibility among defense programs, projects, and
                 activities.                                          
    907d.       Special reconciliation process.                       
    908, 909.   Repealed.                                             

                   SUBCHAPTER II - OPERATION AND REVIEW               
    921.        Transferred.                                          
    922.        Judicial review.                                      

-End-


-CITE-
    2 USC SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF
           MAXIMUM DEFICIT AMOUNT                          01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                                  AMOUNT


-STATAMEND-
                         TERMINATION OF SUBCHAPTER                     
      This subchapter, comprised of part C (Secs. 250-258C) of title II
    of Pub. L. 99-177 and classified to sections 900 to 907d, has
    expired. Sections 901, 903, and 907c of this title expired Sept.
    30, 2002. Sections 900, 902, 904 to 907b, and 907d of this title
    expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-177, as
    amended, set out as an Effective and Termination Dates note under
    section 900 of this title.

-End-



-CITE-
    2 USC Sec. 900                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 900. Statement of budget enforcement through sequestration;
      definitions

-STATUTE-
    (a) Omitted
    (b) General statement of budget enforcement through sequestration
      This subchapter provides for budget enforcement as called for in
    House Concurrent Resolution 84 (105th Congress, 1st session).
    (c) Definitions
      As used in this subchapter:
        (1) The terms "budget authority", "new budget authority",
      "outlays", and "deficit" have the meanings given to such terms in
      section 3 of the Congressional Budget and Impoundment Control Act
      of 1974 [2 U.S.C. 622] and "discretionary spending limit" shall
      mean the amounts specified in section 901 of this title.
        (2) The terms "sequester" and "sequestration" refer to or mean
      the cancellation of budgetary resources provided by discretionary
      appropriations or direct spending law.
        (3) The term "breach" means, for any fiscal year, the amount
      (if any) by which new budget authority or outlays for that year
      (within a category of discretionary appropriations) is above that
      category's discretionary spending limit for new budget authority
      or outlays for that year, as the case may be.
        (4)(A) The term "category" means the subsets of discretionary
      appropriations in section 901(c) of this title. Discretionary
      appropriations in each of the categories shall be those
      designated in the joint explanatory statement accompanying the
      conference report on the Balanced Budget Act of 1997. New
      accounts or activities shall be categorized only after
      consultation with the committees (!1) on Appropriations and the
      Budget of the House of Representatives and the Senate and that
      consultation shall, to the extent practicable, include written
      communication to such committees that affords such committees the
      opportunity to comment before official action is taken with
      respect to new accounts or activities.

        (B) The term "highway category" refers to the following budget
      accounts or portions thereof that are subject to the obligation
      limitations on contract authority set forth in the Safe,
      Accountable, Flexible, Efficient Transportation Equity Act: A
      Legacy for Users:
          (i) 69-8083-0-7-401 (Federal-Aid Highways).
          (ii) 69-8020-0-7-401 (Highway Traffic Safety Grants).
          (iii) 69-8048-0-7-401 (National Motor Carrier Safety
        Program).
          (iv) 69-8016-0-7-401 (Operations and Research NHTSA).
          (v) 69-8362-0-7-401 (National Driver Registry).
          (vi) 69-8159-0-7-401 (Motor Carrier Safety Operations and
        Programs).
          (vii) 06-8158-0-7-401 (Motor Carrier Safety Grants).

        (C) Mass transit category. - The term "mass transit category"
      means the following budget accounts, or portions of the accounts,
      that are subject to the obligation limitations on contract
      authority provided in the Safe, Accountable, Flexible, Efficient
      Transportation Equity Act: A Legacy for Users or for which
      appropriations are provided in accordance with authorizations
      contained in that Act:
          (i) 69-1120-0-1-401 (Administrative Expenses).
          (ii) 69-1134-0-1-401 (Capital Investment Grants).
          (iii) 69-8191-0-7-401 (Discretionary Grants).
          (iv) 69-1129-0-1-401 (Formula Grants).
          (v) 69-1127-0-1-401 (Interstate Transfer Grants - Transit).
          (vi) 69-1125-0-1-401 (Job Access and Reverse Commute).
          (vii) 69-1122-0-1-401 (Miscellaneous Expired Accounts).
          (viii) 69-1121-0-1-401 (Research, Training and Human
        Resources).
          (ix) 69-8350-0-7-401 (Trust Fund Share of Expenses).
          (x) 69-1137-0-1-401 (Transit Planning and Research).
          (xi) 69-1136-0-1-401 (University Transportation Research).
          (xii) 69-1128-0-1-401 (Washington Metropolitan Area Transit
        Authority).

        (D) Special rule. - (i) Any outlays in excess of the
      discretionary spending limit set forth in section 901(c) of this
      title for the highway or mass transit category, as adjusted, for
      the budget year shall be considered nondefense category outlays
      or discretionary category outlays.
        (ii) If the obligation limitations for accounts in the highway
      or mass transit category provided in an appropriation Act for a
      fiscal year exceed the obligation limitations set forth in
      section 8103 of the Transportation Equity Act for the 21st
      Century for that year, as adjusted, the estimated outlays flowing
      for each outyear from such excess obligations calculated pursuant
      to clause (iii) shall be attributed to the discretionary category
      in that outyear.
        (iii) For purposes of clause (ii), outlays from excess
      obligations shall be determined using the average of the spendout
      rates for that category in the baseline.
        (E) The term "conservation spending category" means
      discretionary appropriations for conservation activities in the
      following budget accounts or portions thereof providing
      appropriations to preserve and protect lands, habitat, wildlife,
      and other natural resources, to provide recreational
      opportunities, and for related purposes:
          (i) 14-5033 Bureau of Land Management Land Acquisition.
          (ii) 14-5020 Fish and Wildlife Service Land Acquisition.
          (iii) 14-5035 National Park Service Land Acquisition and
        State Assistance.
          (iv) 12-9923 Forest Service Land Acquisition.
          (v) 14-5143 Fish and Wildlife Service Cooperative Endangered
        Species Conservation Fund.
          (vi) 14-5241 Fish and Wildlife Service North American
        Wetlands Conservation Fund.
          (vii) 14-1694 Fish and Wildlife Service State Wildlife
        Grants.
          (viii) 14-0804 United States Geological Survey Surveys,
        Investigations, and Research, the State Planning Partnership
        programs: Community/Federal Information Partnership, Urban
        Dynamics, and Decision Support for Resource Management.
          (ix) 12-1105 Forest Service State and Private Forestry, the
        Forest Legacy Program, Urban and Community Forestry, and Smart
        Growth Partnerships.
          (x) 14-1031 National Park Service Urban Park and Recreation
        Recovery program.
          (xi) 14-5140 National Park Service Historic Preservation
        Fund.
          (xii) Youth Conservation Corps.
          (xiii) 14-1114 Bureau of Land Management Payments in Lieu of
        Taxes.
          (xiv) Federal Infrastructure Improvement (as established in
        title VIII of the Department of the Interior and Related
        Agencies Appropriations Act, 2001).
          (xv) 13-1460 NOAA Procurement Acquisition and Construction,
        the National Marine Sanctuaries and the National Estuarine
        Research Reserve Systems.
          (xvi) 13-1450 NOAA Operations, Research, and Facilities, the
        Coastal Zone Management Act programs, the National Marine
        Sanctuaries, the National Estuarine Research Reserve Systems,
        and Coral Restoration programs.
          (xvii) 13-1451 NOAA Pacific Coastal Salmon Recovery.

        (F) The term "Federal and State Land and Water Conservation
      Fund sub-category" means discretionary appropriations for
      activities in the accounts described in (E)(i)-(E)(iv) (!2) or
      portions thereof.

        (G) The term "State and Other Conservation sub-category" means
      discretionary appropriations for activities in the accounts
      described in (E)(v)-(E)(ix),(!2) with the exception of Urban and
      Community Forestry as described in (E)(ix),(!2) or portions
      thereof.
        (H) The term "Urban and Historic Preservation sub-category"
      means discretionary appropriations for activities in the accounts
      described in (E)(ix)-(E)(xii),(!2) with the exception of Forest
      Legacy and Smart Growth Partnerships as described in (E)(ix),(!2)
      or portions thereof.
        (I) The term "Payments in Lieu of Taxes sub-category" means
      discretionary appropriations for activities in the account
      described in (E)(xiii) (!2) or portions thereof.
        (J) The term "Federal Deferred Maintenance sub-category" means
      discretionary appropriations for activities in the account
      described in (E)(xiv) (!2) or portions thereof.
        (K) The term "Coastal Assistance sub-category" means
      discretionary appropriations for activities in the accounts
      described in (E)(xv)-(E)(xvii) (!2) or portions thereof.
        (5) The term "baseline" means the projection (described in
      section 907 of this title) of current-year levels of new budget
      authority, outlays, receipts, and the surplus or deficit into the
      budget year and the outyears.
        (6) The term "budgetary resources" means new budget authority,
      unobligated balances, direct spending authority, and obligation
      limitations.
        (7) The term "discretionary appropriations" means budgetary
      resources (except to fund direct-spending programs) provided in
      appropriation Acts.
        (8) The term "direct spending" means - 
          (A) budget authority provided by law other than appropriation
        Acts;
          (B) entitlement authority; and
          (C) the food stamp program.

        (9) The term "current" means, with respect to OMB estimates
      included with a budget submission under section 1105(a) of title
      31, the estimates consistent with the economic and technical
      assumptions underlying that budget and with respect to estimates
      made after that budget submission that are not included with it,
      estimates consistent with the economic and technical assumptions
      underlying the most recently submitted President's budget.
        (10) The term "real economic growth", with respect to any
      fiscal year, means the growth in the gross national product
      during such fiscal year, adjusted for inflation, consistent with
      Department of Commerce definitions.
        (11) The term "account" means an item for which appropriations
      are made in any appropriation Act and, for items not provided for
      in appropriation Acts, such term means an item for which there is
      a designated budget account identification code number in the
      President's budget.
        (12) The term "budget year" means, with respect to a session of
      Congress, the fiscal year of the Government that starts on
      October 1 of the calendar year in which that session begins.
        (13) The term "current year" means, with respect to a budget
      year, the fiscal year that immediately precedes that budget year.
        (14) The term "outyear" means, with respect to a budget year,
      any of the first 4 fiscal years that follow the budget year.
        (15) The term "OMB" means the Director of the Office of
      Management and Budget.
        (16) The term "CBO" means the Director of the Congressional
      Budget Office.
        (17) As used in this subchapter, all references to entitlement
      authority shall include the list of mandatory appropriations
      included in the joint explanatory statement of managers
      accompanying the conference report on the Balanced Budget Act of
      1997.
        (18) The term "deposit insurance" refers to the expenses (!3)
      the Federal deposit insurance agencies, and other Federal
      agencies supervising insured depository institutions, resulting
      from full funding of, and continuation of, the deposit insurance
      guarantee commitment in effect under current estimates.

        (19) The term "asset sale" means the sale to the public of any
      asset (except for those assets covered by title V of the
      Congressional Budget Act of 1974 [2 U.S.C. 661 et seq.]), whether
      physical or financial, owned in whole or in part by the United
      States.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 250, as added Pub. L. 101-508,
    title XIII, Sec. 13101(a), Nov. 5, 1990, 104 Stat. 1388-574, and
    Pub. L. 99-177, title II, Sec. 250(c)(21), formerly Sec. 257(12),
    as added Pub. L. 100-119, title I, Sec. 102(b)(7), Sept. 29, 1987,
    101 Stat. 774, renumbered Sec. 250(c)(21), Pub. L. 101-508, title
    XIII, Sec. 13101(b), Nov. 5, 1990, 104 Stat. 1388-589; amended Pub.
    L. 105-33, title X, Secs. 10202, 10204(a)(2), 10208(a)(2), Aug. 5,
    1997, 111 Stat. 697, 702, 708; Pub. L. 105-178, title VIII, Sec.
    8101(c), (f), June 9, 1998, 112 Stat. 489; Pub. L. 105-206, title
    IX, Sec. 9013(b), July 22, 1998, 112 Stat. 865; Pub. L. 106-291,
    title VIII, Sec. 801(c), Oct. 11, 2000, 114 Stat. 1028; Pub. L. 108-
    88, Sec. 10(c), Sept. 30, 2003, 117 Stat. 1127; Pub. L. 108-310,
    Sec. 10(c), Sept. 30, 2004, 118 Stat. 1160; Pub. L. 109-59, title
    VIII, Sec. 8001(b), Aug. 10, 2005, 119 Stat. 1915.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note below.

-REFTEXT-
                            REFERENCES IN TEXT                        
      House Concurrent Resolution 84, referred to in subsec. (b), is H.
    Con. Res. 84, June 5, 1997, 111 Stat. 2710, which is not classified
    to the Code.
      The Balanced Budget Act of 1997, referred to in subsec.
    (c)(4)(A), (17), is Pub. L. 105-33, Aug. 5, 1997, 111 Stat. 251.
    For complete classification of this Act to the Code, see Tables.
      The Safe, Accountable, Flexible, Efficient Transportation Equity
    Act: A Legacy for Users, referred to in subsec. (c)(4)(B), (C), is
    Pub. L. 109-59, Aug. 10, 2005, 119 Stat. 1144. For complete
    classification of this Act to the Code, see Short Title of 2005
    Amendments note set out under section 101 of Title 23, Highways,
    and Tables.
      Section 8103 of the Transportation Equity Act for the 21st
    Century, referred to in subsec. (c)(4)(D)(ii), is section 8103 of
    Pub. L. 105-178, which is set out as a note under section 901 of
    this title.
      The Department of the Interior and Related Agencies
    Appropriations Act, 2001, referred to in subsec. (c)(4)(E)(xiv), is
    Pub. L. 106-291, Oct. 11, 2000, 114 Stat. 922. Title VIII of the
    Act amended this section and section 901 of this title. For
    complete classification of this Act to the Code, see Tables.
      The Congressional Budget Act of 1974, referred to in subsec.
    (c)(19), is titles I through IX of Pub. L. 93-344, July 12, 1974,
    88 Stat. 297, as amended. Title V of the Act, known as the Federal
    Credit Reform Act of 1990, was added by Pub. L. 101-508, title
    XIII, Sec. 13201(a), Nov. 5, 1990, 104 Stat. 1388-609, and is
    classified generally to subchapter III (Sec. 661 et seq.) of
    chapter 17A of this title. For complete classification of this Act
    to the Code, see Short Title note set out under section 621 of this
    title and Tables.

-COD-
                               CODIFICATION                           
      Subsection (a) of this section, which provided a partial table of
    contents for this subchapter was omitted from the Code.
      Pub. L. 101-508, Sec. 13101(b), transferred section 257(12) of
    Pub. L. 99-177, which was classified to section 907(12) of this
    title, to subsec. (c)(21) (now (c)(19)) of this section.


-MISC1-
                                AMENDMENTS                            
      2005 - Subsec. (c)(4)(B). Pub. L. 109-59, Sec. 8001(b)(1)(A),
    substituted "the Safe, Accountable, Flexible, Efficient
    Transportation Equity Act: A Legacy for Users:" for "the
    Transportation Equity Act for the 21st Century and the Surface
    Transportation Extension Act of 2004, Part V and the Surface
    Transportation Extension Act of 2003:" in introductory provisions.
      Subsec. (c)(4)(B)(v) to (vii). Pub. L. 109-59, Sec.
    8001(b)(1)(B), added cls. (v) to (vii).
      Subsec. (c)(4)(C). Pub. L. 109-59, Sec. 8001(b)(2), added heading
    and text of subpar. (C) and struck out former subpar. (C) which
    provided that the term "mass transit category" referred to the
    budget accounts as listed in cls. (i) to (vi) that were subject to
    the obligation limitations on contract authority provided in the
    Transportation Equity Act for the 21st Century, the Surface
    Transportation Extension Act of 2004, Part V, and the Surface
    Transportation Extension Act of 2003, or for which appropriations
    were provided pursuant to authorizations contained in those Acts,
    with certain exceptions, and that such term also referred to the
    Washington Metropolitan Transit Authority account (69-1128-0-1-401)
    only for fiscal year 1999 only for appropriations provided pursuant
    to authorizations contained in section 14 of Public Law 96-184 and
    Public Law 101-551.
      2004 - Subsec. (c)(4)(B). Pub. L. 108-310, Sec. 10(c)(1),
    inserted "and the Surface Transportation Extension Act of 2004,
    Part V" after "Century".
      Subsec. (c)(4)(C). Pub. L. 108-310, Sec. 10(c)(2)(A), inserted
    "and the Surface Transportation Extension Act of 2004, Part V"
    after "provided in the Transportation Equity Act for the 21st
    Century".
      Pub. L. 108-310, Sec. 10(c)(2)(B), which directed the
    substitution of "those Acts" for "that Act", could not be executed
    because the words "that Act" did not appear subsequent to amendment
    by Pub. L. 108-88. See 2003 Amendment note below.
      2003 - Subsec. (c)(4)(B). Pub. L. 108-88, Sec. 10(c)(1), inserted
    "and the Surface Transportation Extension Act of 2003" after
    "Century".
      Subsec. (c)(4)(C). Pub. L. 108-88, Sec. 10(c)(2), inserted "and
    the Surface Transportation Extension Act of 2003" after "Century"
    the first place it appears and substituted "those Acts" for "that
    Act".
      2000 - Subsec. (c)(4)(E) to (K). Pub. L. 106-291 added subpars.
    (E) to (K).
      1998 - Subsec. (c)(4). Pub. L. 105-178, Sec. 8101(c), designated
    existing provisions as subpar. (A) and added subpars. (B) to (D).
      Subsec. (c)(4)(C). Pub. L. 105-178, Sec. 8101(f), as added by
    Pub. L. 105-206, Sec. 9013(b), in introductory provisions,
    substituted "Century or" for "Century and" and "as amended by the
    Transportation Equity Act for the 21st Century" for "as amended by
    this section", and inserted concluding provisions.
      1997 - Subsec. (a). Pub. L. 105-33, Secs. 10204(a)(2),
    10208(a)(2), amended table of contents. See Codification note
    above.
      Subsec. (b). Pub. L. 105-33, Sec. 10202(a), substituted present
    text for former text which read as follows: "This subchapter
    provides for the enforcement of the deficit reduction assumed in
    House Concurrent Resolution 310 (101st Congress, second session)
    and the applicable deficit targets for fiscal years 1991 through
    1995. Enforcement, as necessary, is to be implemented through
    sequestration - 
        "(1) to enforce discretionary spending levels assumed in that
      resolution (with adjustments as provided hereinafter);
        "(2) to enforce the requirement that any legislation increasing
      direct spending or decreasing revenues be on a pay-as-you-go
      basis; and
        "(3) to enforce the deficit targets specifically set forth in
      the Congressional Budget and Impoundment Control Act of 1974
      (with adjustments as provided hereinafter);
    applied in the order set forth above."
      Subsec. (c)(1). Pub. L. 105-33, Sec. 10202(b)(1), struck out
    "(but including the treatment specified in section 907(b)(3) of
    this title of the Hospital Insurance Trust Fund) and the terms
    'maximum deficit amount' " before "and 'discretionary" and
    substituted "section 901" for "section 601 of that Act as adjusted
    under sections 901 and 903".
      Subsec. (c)(4). Pub. L. 105-33, Sec. 10202(b)(2), added par. (4)
    and struck out former par. (4) which read as follows: "The term
    'category' means:
        "(A) For fiscal years 1991, 1992, and 1993, any of the
      following subsets of discretionary appropriations: defense,
      international, or domestic. Discretionary appropriations in each
      of the three categories shall be those so designated in the joint
      statement of managers accompanying the conference report on the
      Omnibus Budget Reconciliation Act of 1990. New accounts or
      activities shall be categorized in consultation with the
      Committees on Appropriations and the Budget of the House of
      Representatives and the Senate.
        "(B) For fiscal years 1994 and 1995, all discretionary
      appropriations.
    Contributions to the United States to offset the cost of Operation
    Desert Shield shall not be counted within any category."
      Subsec. (c)(6). Pub. L. 105-33, Sec. 10202(b)(3), added par. (6)
    and struck out former par. (6) which read as follows: "The term
    'budgetary resources' means - 
        "(A) with respect to budget year 1991, new budget authority;
      unobligated balances; new loan guarantee commitments or
      limitations; new direct loan obligations, commitments, or
      limitations; direct spending authority; and obligation
      limitations; or
        "(B) with respect to budget year 1992, 1993, 1994, or 1995, new
      budget authority; unobligated balances; direct spending
      authority; and obligation limitations."
      Subsec. (c)(9). Pub. L. 105-33, Sec. 10202(b)(4), substituted
    "that budget submission that are not included with it" for
    "submission of the fiscal year 1992 budget that are not included
    with a budget submission".
      Subsec. (c)(14). Pub. L. 105-33, Sec. 10202(b)(5), inserted
    "first 4" before "fiscal years" and struck out "through fiscal year
    1995" after "the budget year".
      Subsec. (c)(17). Pub. L. 105-33, Sec. 10202(b)(6), (7),
    redesignated par. (18) as (17), substituted "Balanced Budget Act of
    1997" for "Omnibus Budget Reconciliation Act of 1990", and struck
    out former par. (17) which read as follows: "For purposes of
    sections 902 and 903 of this title, legislation enacted during the
    second session of the One Hundred First Congress shall be deemed to
    have been enacted before November 5, 1990."
      Subsec. (c)(18). Pub. L. 105-33, Sec. 10202(b)(6), (8),
    redesignated par. (19) as (18) and substituted "the Federal deposit
    insurance agencies, and other Federal agencies supervising insured
    depository institutions, resulting from full funding of, and
    continuation of, the deposit insurance guarantee commitment in
    effect under current estimates." for "of the Federal Deposit
    Insurance Corporation and the funds it incorporates, the Resolution
    Trust Corporation, the National Credit Union Administration and the
    funds it incorporates, the Office of Thrift Supervision, the
    Comptroller of the Currency Assessment Fund, and the RTC Office of
    Inspector General." Former par. (18) redesignated (17).
      Subsec. (c)(19). Pub. L. 105-33, Sec. 10202(b)(9), added par.
    (19) and struck out former par. (19) which read as follows: "The
    sale of an asset means the sale to the public of any asset, whether
    physical or financial, owned in whole or in part by the United
    States. The term 'prepayment of a loan' means payments to the
    United States made in advance of the schedules set by law or
    contract when the financial asset is first acquired, such as the
    prepayment to the Federal Financing Bank of loans guaranteed by the
    Rural Electrification Administration. If a law or contract allows a
    flexible payment schedule, the term 'in advance' shall mean in
    advance of the slowest payment schedule allowed under such law or
    contract."
      Pub. L. 105-33, Sec. 10202(b)(6), redesignated par. (21) as (19).
    Former par. (19) redesignated (18).
      Subsec. (c)(20). Pub. L. 105-33, Sec. 10202(b)(6), struck out
    par. (20) which read as follows: "The term 'composite outlay rate'
    means the percent of new budget authority that is converted to
    outlays in the fiscal year for which the budget authority is
    provided and subsequent fiscal years, as follows:
        "(A) For the international category, 46 percent for the first
      year, 20 percent for the second year, 16 percent for the third
      year, and 8 percent for the fourth year.
        "(B) For the domestic category, 53 percent for the first year,
      31 percent for the second year, 12 percent for the third year,
      and 2 percent for the fourth year."
      Subsec. (c)(21). Pub. L. 105-33, Sec. 10202(b)(6), redesignated
    par. (21) as (19).
      1990 - Subsec. (c)(21). Pub. L. 101-508, Sec. 13101(b),
    redesignated section 907(12) of this title as par. (21).

                     EFFECTIVE DATE OF 1998 AMENDMENT                 
      Title IX of Pub. L. 105-206 effective simultaneously with
    enactment of Pub. L. 105-178 and to be treated as included in Pub.
    L. 105-178 at time of enactment, and provisions of Pub. L. 105-178,
    as in effect on day before July 22, 1998, that are amended by title
    IX of Pub. L. 105-206 to be treated as not enacted, see section
    9016 of Pub. L. 105-206, set out as a note under section 101 of
    Title 23, Highways.

                      EFFECTIVE AND TERMINATION DATES                  
      Pub. L. 103-66, title XIV, Sec. 14002(c)(3)(A), Aug. 10, 1993,
    107 Stat. 684, which provided that, notwithstanding section 275(b)
    of Pub. L. 99-177, set out below, sections 900, 901, 902, and 904
    to 908 of this title were to expire on Sept. 30, 1998, was repealed
    by Pub. L. 105-33, title X, Sec. 10212(b), Aug. 5, 1997, 111 Stat.
    712.
      Pub. L. 99-177, title II, Sec. 275, Dec. 12, 1985, 99 Stat. 1100,
    as amended by Pub. L. 100-119, title I, Sec. 106(c), title II, Sec.
    210(b), Sept. 29, 1987, 101 Stat. 780, 787; Pub. L. 101-508, title
    XIII, Secs. 13112(b), 13208(b), Nov. 5, 1990, 104 Stat. 1388-608,
    1388-619; Pub. L. 105-33, title X, Sec. 10212(a), Aug. 5, 1997, 111
    Stat. 712, provided that:
      "(a) In General. - 
        "(1) Except as provided in paragraph (2) and in subsections (b)
      and (c), this title and the amendments made by this title [see
      Short Title note below] shall become effective on the date of the
      enactment of this title [Dec. 12, 1985] and shall apply with
      respect to fiscal years beginning after September 30, 1985.
        "(2)(A) The amendment made by section 201(a)(2) [amending
      section 622(2) of this title], and the amendment made by section
      201(b) [ ( ] insofar as it relates to subsections (c), (f), and
      (g) of section 302 of the Congressional Budget Act of 1974
      [section 633(c), (f), and (g) of this title] and to subsections
      (c), (d), and (g) of section 310 of that Act [section 641(c),
      (d), and (g) of this title]), shall become effective April 15,
      1986.
        "(B) The amendment made by section 212 [amending section 652 of
      this title] shall become effective February 1, 1986.
      "(b) Expiration. - Sections 251, 253, 258B, and 271(b) of this
    Act [sections 901, 903, and 907c of this title and provisions set
    out as a note below], and sections 1105(f) and 1106(c) of title 31,
    United States Code, shall expire September 30, 2002. The remaining
    sections of part C of this title [enacting this subchapter] shall
    expire September 30, 2006.
      "(c) OASDI Trust Funds. - The amendments made by part D [amending
    section 911 of Title 42, The Public Health and Welfare, and
    enacting provisions set out as a note under section 911 of Title
    42] shall apply as provided in such part."
      [Amendment of section 275(b)(2) of Pub. L. 99-177, set out above,
    by section 13208(b) of Pub. L. 101-508 could not be executed
    because of general amendment of section 275(b) by section 13112(b)
    of Pub. L. 101-508.]

                       SHORT TITLE OF 1997 AMENDMENT                   
      Pub. L. 105-33, title X, Sec. 10001(a), Aug. 5, 1997, 111 Stat.
    677, provided that: "This title [enacting sections 645 and 645a of
    this title, amending this section, sections 601, 602, 622, 631 to
    636, 639, 641 to 644, 651, 654, 661a, 661c to 661e, 691a, 691c,
    691e, 901, 902, 904 to 907, and 922 of this title, section 1105 of
    Title 31, Money and Finance, and section 911 of Title 42, The
    Public Health and Welfare, repealing sections 652, 665 to 665e,
    901a, and 908 of this title and section 14212 of Title 42, enacting
    provisions set out as notes under this section and section 902 of
    this title, amending provisions set out as notes under this section
    and section 621 of this title, and repealing provisions set out as
    notes under this section and sections 621, 631, and 665 of this
    title] may be cited as the 'Budget Enforcement Act of 1997'."

                       SHORT TITLE OF 1990 AMENDMENT                   
      Pub. L. 101-508, title XIII, Sec. 13001(a), Nov. 5, 1990, 104
    Stat. 1388-573, provided that: "This title [enacting this section
    and sections 643, 661 to 661f, 665 to 665e, and 907a to 907d of
    this title, amending sections 601, 602, 622, 631 to 637, 639, 641,
    642, 644, 651, 652, and 901 to 907 of this title, section 1022 of
    Title 15, Commerce and Trade, sections 1105, 1341, and 1342 of
    Title 31, Money and Finance, and section 401 of Title 42, The
    Public Health and Welfare, transferring section 921 of this title
    to section 601(g) of this title, repealing section 909 of this
    title, enacting provisions set out as notes under this section and
    sections 621, 622, 632, 633, 665, and 902 of this title, and
    amending provisions set out as notes under this section and
    sections 621 and 632 of this title] may be cited as the 'Budget
    Enforcement Act of 1990'."

                       SHORT TITLE OF 1987 AMENDMENT                   
      Pub. L. 100-119, title I, Sec. 101(b), Sept. 29, 1987, 101 Stat.
    754, provided that: "This title [enacting section 908 of this
    title, amending sections 622, 632, 642, 901 to 907, and 922 of this
    title and section 1105 of Title 31, Money and Finance, enacting
    provisions set out as notes under section 1395ww of Title 42, The
    Public Health and Welfare, and amending provisions set out as notes
    under section 901 of this title and sections 1320b-8 and 1395ww of
    Title 42] may be cited as the 'Balanced Budget and Emergency
    Deficit Control Reaffirmation Act of 1987'."

                                SHORT TITLE                            
      Pub. L. 99-177, title II, Sec. 200(a), Dec. 12, 1985, 99 Stat.
    1038, provided that: "This title [enacting this chapter and
    sections 654 to 656 of this title, amending sections 602, 622, 631
    to 642, and 651 to 653 of this title, sections 1104 to 1106 and
    1109 of Title 31, Money and Finance, and section 911 of Title 42,
    The Public Health and Welfare, repealing section 661 of this title,
    enacting provisions set out as notes under this section and section
    911 of Title 42, and amending provisions set out as a note under
    section 621 of this title] may be cited as the 'Balanced Budget and
    Emergency Deficit Control Act of 1985'."

         HABITAT CONSERVATION ACTIVITIES CONSIDERED WITHIN COASTAL
                          ASSISTANCE SUB-CATEGORY
      Pub. L. 108-7, div. B, title II, Sec. 214, Feb. 20, 2003, 117
    Stat. 82, provided that:
      "(a) Hereafter, habitat conservation activities, enforcement and
    surveillance - cooperative enforcement and vessel monitoring, stock
    assessments - data collection, and highly migratory shark fishery
    research under the heading, 'National Oceanic and Atmospheric
    Administration, Operations, Research and Facilities', shall be
    considered to be within the 'Coastal Assistance sub-category' in
    section 250(c)(4)(K) of the Balanced Budget and Emergency Deficit
    Control Act of 1985, as amended [2 U.S.C. 900(c)(4)(K)].
      "(b) For fiscal year 2004 and thereafter, response and
    restoration activities, Cooperative Research, Protected Species
    activities, Endangered Species Act - Marine Mammals, Sea Turtles
    and Other Species, Endangered Species Act - Right Whales, Marine
    Mammal Protection, and Sea Grant (except for the fellowship
    program) under the heading, 'National Oceanic and Atmospheric
    Administration, Operations, Research, and Facilities', shall be
    considered to be within the 'Coastal Assistance sub-category' in
    section 250(c)(4)(K) of the Balanced Budget and Emergency Deficit
    Control Act of 1985, as amended [2 U.S.C. 900(c)(4)(K)].
      "(c) All references to outlays in title VIII of Public Law 106-
    291 [amending this section and section 901 of this title] are
    repealed."
      Similar provisions were contained in the following prior
    appropriation act:
      Pub. L. 107-77, title II, Nov. 28, 2001, 115 Stat. 775.

            PURPOSE OF SUBTITLE B OF TITLE X OF PUB. L. 105-33        
      Section 10201 of title X of Pub. L. 105-33 provided that: "The
    purpose of this subtitle [subtitle B (Secs. 10201-10213) of title X
    of Pub. L. 105-33, amending this section, sections 901, 902, 904 to
    907, and 922 of this title, section 1105 of Title 31, Money and
    Finance, and section 911 of Title 42, The Public Health and
    Welfare, repealing sections 901a and 908 of this title and section
    14212 of Title 42, enacting provisions set out as a note under
    section 902 of this title, and amending and repealing provisions
    set out as notes under this section] is to extend discretionary
    spending limits and pay-as-you-go requirements."

      RESTRICTION ON ELIMINATION OR REDUCTION OF PROGRAMS RELATING TO
                       ENERGY AND WATER DEVELOPMENT
      Pub. L. 102-377, title V, Sec. 503, Oct. 2, 1992, 106 Stat. 1342,
    provided that: "None of the programs, projects or activities as
    defined in the reports accompanying this Act or subsequent Energy
    and Water Development Appropriations Acts, may be eliminated or
    disproportionately reduced due to the application of 'Savings and
    Slippage', 'general reduction', or the provision of Public Law 99-
    177 [see Short Title note above] or Public Law 100-119 [see
    section 213 of Pub. L. 100-119 set out below] unless such reports
    expressly provide otherwise."

                   WAIVERS AND SUSPENSIONS IN THE SENATE               
      Pub. L. 99-177, title II, Sec. 271(b), Dec. 12, 1985, 99 Stat.
    1094, as amended by Pub. L. 100-119, title II, Sec. 211, Sept. 29,
    1987, 101 Stat. 787, provided that: "Sections 301(i), 302(c),
    302(f), 304(b), 310(d), 310(g), and 311(a) of the Congressional
    Budget Act of 1974 [sections 632(i), 633(c), 633(f), former 635(b),
    641(d), 641(g), and 642(a) of this title] may be waived or
    suspended in the Senate only by the affirmative vote of three-
    fifths of the Members, duly chosen and sworn. This subsection
    shall not apply to any joint resolution reported or discharged
    pursuant to section 254(a) of this joint resolution [section 904(a)
    of this title]."
      [Section 271(b) of Pub. L. 99-177 expired Sept. 30, 2002. See
    section 275(a)(1), (b) of Pub. L. 99-177, as amended, set out as an
    Effective and Termination Dates note above.]

                            APPEALS OF RULINGS                        
      Pub. L. 99-177, title II, Sec. 271(c), as added by Pub. L. 100-
    119, title II, Sec. 210(a), Sept. 29, 1987, 101 Stat. 787,
    provided that: "An affirmative vote of three-fifths of the Members
    of the Senate, duly chosen and sworn, shall be required in the
    Senate to sustain an appeal of the ruling of the Chair on a point
    of order raised under section 301(i), 302(c), 302(f), 304(b), 306,
    310(d), 310(g), or 311(a) of the Congressional Budget Act of 1974
    [sections 632(i), 633(c), 633(f), 635(b), 637, 641(d), 641(g), or
    642(a) of this title]."
      [For effective date of section 271(c) of Pub. L. 99-177, see
    section 275(a)(1) of Pub. L. 99-177, as amended, set out as an
    Effective and Termination Dates note above.]

                EXERCISE OF CONGRESSIONAL RULEMAKING POWER            
      Pub. L. 103-66, title XIV, Sec. 14004, Aug. 10, 1993, 107 Stat.
    685, provided that: "The Congress enacts the provisions of this
    part [probably should be "this title", amending sections 665, 901,
    902, and 904 of this title, enacting provisions set out as notes
    under this section and section 902 of this title, and amending
    provisions set out as notes under section 665 of this title] - 
        "(1) as an exercise of the rule-making power of the Senate and
      the House of Representatives, respectively, and as such these
      provisions shall be considered as part of the rules of each
      House, respectively, or of that House to which they specifically
      apply, and such rules shall supersede other rules only to the
      extent that they are inconsistent therewith; and
        "(2) with full recognition of the constitutional right of
      either House to change such rules (so far as relating to such
      House) at any time, in the same manner, and to the same extent as
      in the case of any other rule of such House."
      Section 13305 of title XIII of Pub. L. 101-508 provided that:
    "This title and the amendments made by it [see Short Title of 1990
    Amendment note above] are enacted by the Congress - 
        "(1) as an exercise of the rulemaking power of the House of
      Representatives and the Senate, respectively, and as such they
      shall be considered as a part of the rules of each House,
      respectively, or of that House to which they specifically apply,
      and such rules shall supersede other rules only to the extent
      that they are inconsistent therewith; and
        "(2) with full recognition of the constitutional right of
      either House to change such rules (so far as relating to such
      House) at any time, in the same manner, and to the same extent as
      in the case of any other rule of such House."
      Section 213 of Pub. L. 100-119 provided that: "This Act and the
    amendments made by this Act [enacting sections 908 and 909 of this
    title, amending sections 622, 632, 635, 636, 642, 683, 684, 687,
    901 to 907, and 922 of this title and sections 1105 and 3101 of
    Title 31, Money and Finance, enacting provisions set out as notes
    under sections 602, 621, 686, and 901 of this title and section
    1395ww of Title 42, The Public Health and Welfare, amending
    provisions set out as notes under section 901 of this title and
    sections 1320b-8 and 1395ww of Title 42, and repealing provisions
    set out as a note under section 653 of this title], other than
    those relating to the activities of the executive and judicial
    branches of the Government, are enacted by Congress - 
        "(1) as an exercise of the rulemaking power of the House of
      Representatives and the Senate, respectively, and as such they
      shall be considered as part of the rules of each House,
      respectively, or of that House to which they specifically apply,
      and such rules shall supersede other rules only to the extent
      that they are inconsistent therewith; and
        "(2) with full recognition of the constitutional right of
      either House to change such rules (so far as relating to such
      House) at any time, in the same manner and to the same extent as
      in the case of any other rule of such House."
      Section 271(d), formerly section 271(c), of Pub. L. 99-177, as
    redesignated by Pub. L. 100-119, title II, Sec. 210(a), Sept. 29,
    1987, 101 Stat. 787, provided that: "The provisions of this title
    [see Short Title note above], other than those relating to the
    activities of the executive and judicial branches of the
    Government, are enacted by the Congress - 
        "(1) as an exercise of the rulemaking power of the House of
      Representatives and the Senate, respectively, and as such they
      shall be considered as part of the rules of each House,
      respectively, or of that House to which they specifically apply,
      and such rules shall supersede other rules only to the extent
      that they are inconsistent therewith; and
        "(2) with full recognition of the constitutional right of
      either House to change such rules (so far as relating to such
      House) at any time, in the same manner and to the same extent as
      in the case of any other rule of such House."

       RESTORATION OF TRUST FUND INVESTMENTS; FUNDS BORROWED OR NOT
            INVESTED DURING DELAYS IN RAISING PUBLIC DEBT LIMIT
      For provisions restoring various trust and retirement funds
    administered by the Secretary of the Treasury to the position in
    which they would have been if debt limit increases had been
    delayed, including transferring amounts to the funds to compensate
    those funds for current and prospective losses arising from
    premature redemption of some long term securities when the debt
    limit was reached, see notes set out under section 3101 of Title
    31, Money and Finance.


-EXEC-
                         EXECUTIVE ORDER NO. 12857                     
      Ex. Ord. No. 12857, Aug. 4, 1993, 58 F.R. 42181, which provided
    for direct spending targets for fiscal years 1994 through 1997,
    expired at the end of fiscal year 1997.

                EX. ORD. NO. 12858. DEFICIT REDUCTION FUND            
      Ex. Ord. No. 12858, Aug. 4, 1993, 58 F.R. 42185, provided:
      By the authority vested in me as President of the United States
    by the Constitution and the laws of the United States of America,
    including sections 1104 and 1105 of title 31, United States Code,
    it is hereby ordered as follows:
      Section 1. Purpose. It is essential to guarantee that the net
    deficit reduction achieved by the Omnibus Budget Reconciliation Act
    of 1993 [Pub. L. 103-66, see Tables for classification] is
    dedicated exclusively to reducing the deficit.
      Sec. 2. Deficit Reduction Fund.
      (a) Establishment of the Fund. There is established a separate
    account in the Treasury, known as the Deficit Reduction Fund, which
    shall receive the net deficit reduction achieved by the Omnibus
    Budget Reconciliation Act of 1993 [Pub. L. 103-66, see Tables for
    classification] as called for in subsection (b) of this order.
      (b) Amounts in Fund. Beginning upon enactment of the Omnibus
    Budget Reconciliation Act of 1993 [Aug. 10, 1993], the Deficit
    Reduction Fund shall receive any increases in total revenues
    resulting from enactment of such Act on a daily basis. In addition,
    on a daily basis, the Secretary of the Treasury shall enter into
    such account an amount equivalent to the net deficit reduction
    achieved as a result of all spending reductions resulting from such
    Act. The cumulative fiscal year amounts for the combination of all
    such revenue increases and spending reductions shall be equal to:
        (1) for fiscal year 1994, $60,292,000,000;
        (2) for fiscal year 1995, $70,437,000,000;
        (3) for fiscal year 1996, $92,061,000,000;
        (4) for fiscal year 1997, $125,881,000,000;
        (5) for fiscal year 1998, $146,939,000,000.
    Within 30 days of enactment of the Omnibus Budget Reconciliation
    Act of 1993, the foregoing amounts may be adjusted by the Director
    of the Office of Management and Budget to reflect the final scoring
    of such Act.
      (c) Status of Amounts in Fund. (i) The amounts in the Deficit
    Reduction Fund shall be used exclusively to redeem maturing debt
    obligations of the Treasury of the United States held by foreign
    governments in the amounts specified in subsection (b).
      (ii) The amounts in the Deficit Reduction Fund as set forth in
    subsection (b) that result from increases in total revenues and
    spending reductions shall not be available for new spending or to
    finance measures that increase the deficit for purposes of budget
    enforcement procedures under the Balanced Budget and Emergency
    Deficit Control Act of 1985 (2 U.S.C. 901-922 [900-922]).
      (d) Effect on Other Funds. Establishment of and transfers to the
    Deficit Reduction Fund shall not affect trust fund transfers that
    may be authorized or required by provisions of the Omnibus
    Reconciliation Act of 1993 or any other provision of law.
      Sec. 3. Requirement for the President To Report Annually on the
    Status of the Fund. The Director of the Office of Management and
    Budget shall include in the President's Budget transmitted under
    section 1105 of title 31, United States Code, information about the
    Deficit Reduction Fund, including a separate statement of amounts
    in and Federal debt redeemed by that Fund.
      Sec. 4. Implementation. The Secretary of the Treasury and the
    Director of the Office of Management and Budget shall each take
    such actions as may be necessary, within their respective
    authorities, promptly to carry out this order.
      Sec. 5. Effective Date. This order shall take effect upon
    enactment of the Omnibus Budget Reconciliation Act of 1993 [Aug.
    10, 1993].
                                                     William J. Clinton.

-FOOTNOTE-
    (!1) So in original. Probably should be capitalized.

    (!2) So in original. Probably should be preceded by
         "subparagraph".

    (!3) So in original. Probably should be followed by "of".


-End-



-CITE-
    2 USC Sec. 901                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 901. Enforcing discretionary spending limits

-STATUTE-
    (a) Enforcement
      (1) Sequestration
        Within 15 calendar days after Congress adjourns to end a
      session and on the same day as a sequestration (if any) under
      section 902 of this title and section 903 of this title, there
      shall be a sequestration to eliminate a budget-year breach, if
      any, within any category.
      (2) Eliminating a breach
        Each non-exempt account within a category shall be reduced by a
      dollar amount calculated by multiplying the baseline level of
      sequestrable budgetary resources in that account at that time by
      the uniform percentage necessary to eliminate a breach within
      that category; except that the health programs set forth in
      section 906(e) of this title shall not be reduced by more than 2
      percent and the uniform percent applicable to all other programs
      under this paragraph shall be increased (if necessary) to a level
      sufficient to eliminate that breach. If, within a category, the
      discretionary spending limits for both new budget authority and
      outlays are breached, the uniform percentage shall be calculated
      by - 
          (A) first, calculating the uniform percentage necessary to
        eliminate the breach in new budget authority, and
          (B) second, if any breach in outlays remains, increasing the
        uniform percentage to a level sufficient to eliminate that
        breach.
      (3) Military personnel
        If the President uses the authority to exempt any military
      personnel from sequestration under section 905(f) of this title,
      each account within subfunctional category 051 (other than those
      military personnel accounts for which the authority provided
      under section 905(f) of this title has been exercised) shall be
      further reduced by a dollar amount calculated by multiplying the
      enacted level of non-exempt budgetary resources in that account
      at that time by the uniform percentage necessary to offset the
      total dollar amount by which outlays are not reduced in military
      personnel accounts by reason of the use of such authority.
      (4) Part-year appropriations
        If, on the date specified in paragraph (1), there is in effect
      an Act making or continuing appropriations for part of a fiscal
      year for any budget account, then the dollar sequestration
      calculated for that account under paragraphs (2) and (3) shall be
      subtracted from - 
          (A) the annualized amount otherwise available by law in that
        account under that or a subsequent part-year appropriation; and
          (B) when a full-year appropriation for that account is
        enacted, from the amount otherwise provided by the full-year
        appropriation.
      (5) Look-back
        If, after June 30, an appropriation for the fiscal year in
      progress is enacted that causes a breach within a category for
      that year (after taking into account any sequestration of amounts
      within that category), the discretionary spending limits for that
      category for the next fiscal year shall be reduced by the amount
      or amounts of that breach.
      (6) Within-session sequestration
        If an appropriation for a fiscal year in progress is enacted
      (after Congress adjourns to end the session for that budget year
      and before July 1 of that fiscal year) that causes a breach
      within a category for that year (after taking into account any
      prior sequestration of amounts within that category), 15 days
      later there shall be a sequestration to eliminate that breach
      within that category following the procedures set forth in
      paragraphs (2) through (4).
      (7) Estimates
        (A) CBO estimates
          As soon as practicable after Congress completes action on any
        discretionary appropriation, CBO, after consultation with the
        Committees on the Budget of the House of Representatives and
        the Senate, shall provide OMB with an estimate of the amount of
        discretionary new budget authority and outlays for the current
        year (if any) and the budget year provided by that legislation.
        (B) OMB estimates and explanation of differences
          Not later than 7 calendar days (excluding Saturdays, Sundays,
        and legal holidays) after the date of enactment of any
        discretionary appropriation, OMB shall transmit a report to the
        House of Representatives and to the Senate containing the CBO
        estimate of that legislation, an OMB estimate of the amount of
        discretionary new budget authority and outlays for the current
        year (if any) and the budget year provided by that legislation,
        and an explanation of any difference between the 2 estimates.
        If during the preparation of the report OMB determines that
        there is a significant difference between OMB and CBO, OMB
        shall consult with the Committees on the Budget of the House of
        Representatives and the Senate regarding that difference and
        that consultation shall include, to extent practicable, written
        communication to those committees that affords such committees
        the opportunity to comment before the issuance of the report.
        (C) Assumptions and guidelines
          OMB estimates under this paragraph shall be made using
        current economic and technical assumptions. OMB shall use the
        OMB estimates transmitted to the Congress under this paragraph.
        OMB and CBO shall prepare estimates under this paragraph in
        conformance with scorekeeping guidelines determined after
        consultation among the House and Senate Committees on the
        Budget, CBO, and OMB.
        (D) Annual appropriations
          For purposes of this paragraph, amounts provided by annual
        appropriations shall include any new budget authority and
        outlays for the current year (if any) and the budget year in
        accounts for which funding is provided in that legislation that
        result from previously enacted legislation.
    (b) Adjustments to discretionary spending limits
      (1) Preview report
        (A) Concepts and definitions. - When the President submits the
      budget under section 1105 of title 31, OMB shall calculate and
      the budget shall include adjustments to discretionary spending
      limits (and those limits as cumulatively adjusted) for the budget
      year and each outyear to reflect changes in concepts and
      definitions. Such changes shall equal the baseline levels of new
      budget authority and outlays using up-to-date concepts and
      definitions minus those levels using the concepts and definitions
      in effect before such changes. Such changes may only be made
      after consultation with the committees (!1) on Appropriations and
      the Budget of the House of Representatives and the Senate and
      that consultation shall include written communication to such
      committees that affords such committees the opportunity to
      comment before official action is taken with respect to such
      changes.

        (B) Adjustment to align highway spending with revenues. - (i)
      When the President submits the budget under section 1105 of title
      31, OMB shall calculate and the budget shall make adjustments to
      the highway category for the budget year and each outyear as
      provided in clause (ii)(I)(cc).
        (ii)(I)(aa) OMB shall take the actual level of highway receipts
      for the year before the current year and subtract the sum of the
      estimated level of highway receipts in subclause (II) plus any
      amount previously calculated under item (bb) for that year.
        (bb) OMB shall take the current estimate of highway receipts
      for the current year and subtract the estimated level of receipts
      for that year.
        (cc) OMB shall add one-half of the sum of the amount calculated
      under items (aa) and (bb) to the obligation limitations set forth
      in the section 8003 of the Safe, Accountable, Flexible, Efficient
      Transportation Equity Act: A Legacy for Users and, using current
      estimates, calculate the outlay change resulting from the change
      in obligations for the budget year and the first outyear and the
      outlays flowing therefrom through subsequent fiscal years. After
      making the calculations under the preceding sentence, OMB shall
      adjust the amount of obligations set forth in that section for
      the budget year and the first outyear by adding one-half of the
      sum of the amount calculated under items (aa) and (bb) to each
      such year.
        (II) The estimated level of highway receipts for the purposes
      of this clause are - 
          (aa) for fiscal year 2005, $31,562,000,000;
          (bb) for fiscal year 2006, $33,712,000,000;
          (cc) for fiscal year 2007, $34,623,000,000 (!2)

          (dd) for fiscal year 2008, $35,449,000,000; and
          (ee) for fiscal year 2009, $36,220,000,000.

        (III) In this clause, the term "highway receipts" means the
      governmental receipts credited to the highway account of the
      Highway Trust Fund.
        (C) In addition to the adjustment required by subparagraph (B),
      when the President submits the budget under section 1105 of title
      31 for fiscal year 2007, 2008, or 2009, OMB shall calculate and
      the budget shall include for the budget year and each outyear an
      adjustment to the limits on outlays for the highway category and
      the mass transit category equal to - 
          (i) the outlays for the applicable category calculated
        assuming obligation levels consistent with the estimates
        prepared pursuant to subparagraph (D), as adjusted, using
        current technical assumptions; minus
          (ii) the outlays for the applicable category set forth in the
        subparagraph (D) estimates, as adjusted.

        (D)(i) When OMB and CBO submit their final sequester report for
      fiscal year 2006, that report shall include an estimate of the
      outlays for each of the categories that would result in fiscal
      years 2007 through 2010 from obligations at the levels specified
      in section 8003 of the Safe, Accountable, Flexible, Efficient
      Transportation Equity Act: A Legacy for Users using current
      assumptions.
        (ii) When the President submits the budget under section 1105
      of title 31 for fiscal year 2007, 2008, 2009, or 2010, OMB shall
      adjust the estimates made in clause (i) by the adjustments by
      subparagraphs (B) and (C).
        (E) OMB shall consult with the Committees on the Budget and
      include a report on adjustments under subparagraphs (B) and (C)
      in the preview report.
      (2) Sequestration reports
        When OMB submits a sequestration report under section 904(e),
      (f), or (g) of this title for a fiscal year, OMB shall calculate,
      and the sequestration report and subsequent budgets submitted by
      the President under section 1105(a) of title 31 shall include
      adjustments to discretionary spending limits (and those limits as
      adjusted) for the fiscal year and each succeeding year, as
      follows:
        (A) Emergency appropriations
          If, for any fiscal year, appropriations for discretionary
        accounts are enacted that the President designates as emergency
        requirements and that the Congress so designates in statute,
        the adjustment shall be the total of such appropriations in
        discretionary accounts designated as emergency requirements and
        the outlays flowing in all fiscal years from such
        appropriations. This subparagraph shall not apply to
        appropriations to cover agricultural crop disaster assistance.
        (B) Special outlay allowance
          If, in any fiscal year, outlays for a category exceed the
        discretionary spending limit for that category but new budget
        authority does not exceed its limit for that category (after
        application of the first step of a sequestration described in
        subsection (a)(2) of this section, if necessary), the
        adjustment in outlays for a fiscal year is the amount of the
        excess but not to exceed 0.5 percent of the sum of the adjusted
        discretionary spending limits on outlays for that fiscal year.
        (C) Continuing disability reviews
          (i) If a bill or joint resolution making appropriations for a
        fiscal year is enacted that specifies an amount for continuing
        disability reviews under the heading "Limitation on
        Administrative Expenses" for the Social Security
        Administration, the adjustments for that fiscal year shall be
        the additional new budget authority provided in that Act for
        such reviews for that fiscal year and the additional outlays
        flowing from such amounts, but shall not exceed - 
            (I) for fiscal year 1998, $290,000,000 in additional new
          budget authority and $338,000,000 in additional outlays;
            (II) for fiscal year 1999, $520,000,000 in additional new
          budget authority and $520,000,000 in additional outlays;
            (III) for fiscal year 2000, $520,000,000 in additional new
          budget authority and $520,000,000 in additional outlays;
            (IV) for fiscal year 2001, $520,000,000 in additional new
          budget authority and $520,000,000 in additional outlays; and
            (V) for fiscal year 2002, $520,000,000 in additional new
          budget authority and $520,000,000 in additional outlays.

          (ii) As used in this subparagraph - 
            (I) the term "continuing disability reviews" means reviews
          or redeterminations as defined under section 401(g)(1)(A) of
          title 42 and reviews and redeterminations authorized under
          section 211 of the Personal Responsibility and Work
          Opportunity Reconciliation Act of 1996;
            (II) the term "additional new budget authority" means the
          amount provided for a fiscal year, in excess of $200,000,000,
          in an appropriations Act and specified to pay for the costs
          of continuing disability reviews under the heading
          "Limitation on Administrative Expenses" for the Social
          Security Administration; and
            (III) the term "additional outlays" means outlays, in
          excess of $200,000,000 in a fiscal year, flowing from the
          amounts specified for continuing disability reviews under the
          heading "Limitation on Administrative Expenses" for the
          Social Security Administration, including outlays in that
          fiscal year flowing from amounts specified in Acts enacted
          for prior fiscal years (but not before 1996).
        (D) Allowance for IMF
          If an appropriation bill or joint resolution is enacted for a
        fiscal year through 2002 that includes an appropriation with
        respect to clause (i) or (ii), the adjustment shall be the
        amount of budget authority in the measure that is the dollar
        equivalent of the Special Drawing Rights with respect to - 
            (i) an increase in the United States quota as part of the
          International Monetary Fund Eleventh General Review of Quotas
          (United States Quota); or
            (ii) any increase in the maximum amount available to the
          Secretary of the Treasury pursuant to section 286e-2 of title
          22, as amended from time to time (New Arrangements to
          Borrow).
        (E) Allowance for international arrearages
          (i) Adjustments
            If an appropriation bill or joint resolution is enacted for
          fiscal year 1998, 1999, or 2000 that includes an
          appropriation for arrearages for international organizations,
          international peacekeeping, and multilateral development
          banks for that fiscal year, the adjustment shall be the
          amount of budget authority in that measure and the outlays
          flowing in all fiscal years from that budget authority.
          (ii) Limitations
            The total amount of adjustments made pursuant to this
          subparagraph for the period of fiscal years 1998 through 2000
          shall not exceed $1,884,000,000 in budget authority.
        (F) EITC compliance initiative
          If an appropriation bill or joint resolution is enacted for a
        fiscal year that includes an appropriation for an earned income
        tax credit compliance initiative, the adjustment shall be the
        amount of budget authority in that measure for that initiative
        and the outlays flowing in all fiscal years from that budget
        authority, but not to exceed - 
            (i) with respect to fiscal year 1998, $138,000,000 in new
          budget authority and $131,000,000 in outlays;
            (ii) with respect to fiscal year 1999, $143,000,000 in new
          budget authority and $143,000,000 in outlays;
            (iii) with respect to fiscal year 2000, $144,000,000 in new
          budget authority and $144,000,000 in outlays;
            (iv) with respect to fiscal year 2001, $145,000,000 in new
          budget authority and $145,000,000 in outlays; and
            (v) with respect to fiscal year 2002, $146,000,000 in new
          budget authority and $146,000,000 in outlays.
        (G) Adoption incentive payments
          Whenever a bill or joint resolution making appropriations for
        fiscal year 1999, 2000, 2001, 2002, or 2003 is enacted that
        specifies an amount for adoption incentive payments pursuant to
        this subchapter for the Department of Health and Human Services
        - 
            (i) the adjustments for new budget authority shall be the
          amounts of new budget authority provided in that measure for
          adoption incentive payments, but not to exceed $20,000,000;
          and
            (ii) the adjustment for outlays shall be the additional
          outlays flowing from such amount.
        (H) Conservation spending
          (i) If a bill or resolution making appropriations for any
        fiscal year appropriates an amount for the conservation
        spending category that is less than the limit for the
        conservation spending category as specified in subsection (c)
        of this section, then the adjustment for new budget authority
        and outlays for the following fiscal year for that category
        shall be the amount of new budget authority and outlays that
        equals the difference between the amount appropriated and the
        amount of that category specified in subsection (c) of this
        section.
          (ii) If a bill or resolution making appropriations for any
        fiscal year appropriates an amount for any conservation
        spending sub-category that is less than the limit for that
        conservation spending sub-category as specified in subsections
        (c)(11)-(c)(16) (!3) of this section, then the adjustment for
        new budget authority for the following fiscal year for that sub-
        category shall be the amount of new budget authority that
        equals the difference between the amount appropriated and the
        amount of that sub-category specified in subsection (c)(11)-
        (c)(16) (!3) of this section.

          (iii) The total amount provided for any conservation activity
        within the conservation spending category may not exceed any
        authorized ceiling for that activity.
    (c) Discretionary spending limit
      As used in this subchapter, the term "discretionary spending
    limit" means - 
        (1) with respect to fiscal year 2005 - 
          (A) for the highway category: $31,277,000,000 in outlays;
          (B) for the mass transit category: $955,792,000 in new budget
        authority and $6,674,000,000 in outlays;

        (2) with respect to fiscal year 2006 - 
          (A) for the highway category: $33,942,000,000 in outlays;
          (B) for the mass transit category: $1,643,000,000 in new
        budget authority and $7,359,000,000 in outlays;

        (3) with respect to fiscal year 2007 - 
          (A) for the highway category: $36,960,000,000 in outlays;
          (B) for the mass transit category: $1,712,000,000 in new
        budget authority and $8,120,000,000 in outlays;

        (4) with respect to fiscal year 2008 - 
          (A) for the highway category: $39,123,000,000 in outlays;
          (B) for the mass transit category: $1,858,000,000 in new
        budget authority and $8,742,000,000 in outlays;

        (5) with respect to fiscal year 2009 - 
          (A) for the highway category: $40,660,000,000 in outlays;
          (B) for the mass transit category: $1,977,500,000 in new
        budget authority and $9,180,000,000 in outlays;

        (6) with respect to fiscal year 2005 for the conservation
      spending category: $2,240,000,000, in new budget authority and
      $2,192,000,000 in outlays;
        (7) with respect to fiscal year 2006 for the conservation
      spending category: $2,400,000,000, in new budget authority and
      $2,352,000,000 in outlays;
        (8) with respect to each fiscal year 2002 through 2006 for the
      Federal and State Land and Water Conservation Fund sub-category
      of the conservation spending category: $540,000,000 in new budget
      authority and the outlays flowing therefrom;
        (9) with respect to each fiscal year 2002 through 2006 for the
      State and Other Conservation sub-category of the conservation
      spending category: $300,000,000 in new budget authority and the
      outlays flowing therefrom;
        (10) with respect to each fiscal year 2002 through 2006 for the
      Urban and Historic Preservation sub-category of the conservation
      spending category: $160,000,000 in new budget authority and the
      outlays flowing therefrom;
        (11) with respect to each fiscal year 2002 through 2006 for the
      Payments in Lieu of Taxes sub-category of the conservation
      spending category: $50,000,000 in new budget authority and the
      outlays flowing therefrom;
        (12) with respect to each fiscal year 2002 through 2006 for the
      Federal Deferred Maintenance sub-category of the conservation
      spending category: $150,000,000 in new budget authority and the
      outlays flowing therefrom;
        (13) with respect to fiscal year 2002 for the Coastal
      Assistance sub-category of the conservation spending category:
      $440,000,000 in new budget authority and the outlays flowing
      therefrom; with respect to fiscal year 2003 for the Coastal
      Assistance sub-category of the conservation spending category:
      $480,000,000 in new budget authority and the outlays flowing
      therefrom; with respect to fiscal year 2004 for the Coastal
      Assistance sub-category of the conservation spending category:
      $520,000,000 in new budget authority and the outlays flowing
      therefrom; with respect to fiscal year 2005 for the Coastal
      Assistance sub-category of the conservation spending category:
      $560,000,000 in new budget authority and the outlays flowing
      therefrom; and with respect to fiscal year 2006 for the Coastal
      Assistance sub-category of the conservation spending category:
      $600,000,000 in new budget authority and the outlays flowing
      therefrom;

    as adjusted in strict conformance with subsection (b) of this
    section.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 251, Dec. 12, 1985, 99 Stat. 1063;
    Pub. L. 100-119, title I, Sec. 102(a), Sept. 29, 1987, 101 Stat.
    754; Pub. L. 100-203, title VIII, Sec. 8003(f), Dec. 22, 1987, 101
    Stat. 1330-282; Pub. L. 101-508, title XIII, Sec. 13101(a), (e)(2),
    Nov. 5, 1990, 104 Stat. 1388-577, 1388-593; Pub. L. 103-66, title
    XIV, Sec. 14002(c)(1), Aug. 10, 1993, 107 Stat. 683; Pub. L. 103-
    87, title V, Sec. 571, Sept. 30, 1993, 107 Stat. 971; Pub. L. 103-
    306, title V, Sec. 562, Aug. 23, 1994, 108 Stat. 1649; Pub. L. 103-
    354, title I, Sec. 119(d)(1), Oct. 13, 1994, 108 Stat. 3208; Pub.
    L. 104-121, title I, Sec. 103(b), Mar. 29, 1996, 110 Stat. 848;
    Pub. L. 104-193, title II, Sec. 211(d)(5)(B), Aug. 22, 1996, 110
    Stat. 2191; Pub. L. 104-208, div. A, title I, Sec. 101(c) [title V,
    Sec. 577], Sept. 30, 1996, 110 Stat. 3009-121, 3009-169; Pub. L.
    105-33, title X, Sec. 10203(a), (b), Aug. 5, 1997, 111 Stat. 698,
    701; Pub. L. 105-89, title II, Sec. 201(b)(1), Nov. 19, 1997, 111
    Stat. 2125; Pub. L. 105-178, title VIII, Sec. 8101(a), (d), June 9,
    1998, 112 Stat. 488, 490; Pub. L. 106-291, title VIII, Sec. 801(a),
    (b), Oct. 11, 2000, 114 Stat. 1026, 1027; Pub. L. 106-429, Sec.
    101(a) [title VII, Sec. 701(a)], Nov. 6, 2000, 114 Stat. 1900,
    1900A-64; Pub. L. 107-117, div. C, Sec. 101(a), Jan. 10, 2002, 115
    Stat. 2341; Pub. L. 108-88, Sec. 10(a), (b), Sept. 30, 2003, 117
    Stat. 1127; Pub. L. 108-310, Sec. 10(a), (b), Sept. 30, 2004, 118
    Stat. 1160; Pub. L. 109-59, title VIII, Secs. 8001(a), 8002, Aug.
    10, 2005, 119 Stat. 1915, 1916.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2002. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      Section 8003 of the Safe, Accountable, Flexible, Efficient
    Transportation Equity Act: A Legacy for Users, referred to in
    subsec. (b)(1)(B)(ii)(I)(cc), (D)(i), is section 8003 of Pub. L.
    109-59, which is set out as a note below.
      Section 211 of the Personal Responsibility and Work Opportunity
    Reconciliation Act of 1996, referred to in subsec.
    (b)(2)(C)(ii)(I), is section 211 of Pub. L. 104-193, which amended
    this section, section 665e of this title, and section 1382c of
    Title 42, The Public Health and Welfare, enacted provisions set out
    as a note under section 1382c of Title 42, and amended provisions
    set out as a note under section 401 of Title 42.
      Subsecs. (c)(11) to (c)(16) of this section, referred to in
    subsec. (b)(2)(H)(ii), were redesignated subsecs. (c)(4) to (c)(9)
    of this section, respectively, by Pub. L. 108-88, Sec. 10(b)(2),
    Sept. 30, 2003, 117 Stat. 1127, and subsequently redesignated
    subsecs. (c)(8) to (c)(13) of this section, respectively, by Pub.
    L. 109-59, title VIII, Sec. 8001(a), Aug. 10, 2005, 119 Stat. 1915.

-COD-
                               CODIFICATION                           
      Pub. L. 101-508, Sec. 13101(e)(2), redesignated former subsec.
    (a)(6)(I) of this section as section 257(e) of Pub. L. 99-177,
    which is classified to section 907(e) of this title.


-MISC1-
                                AMENDMENTS                            
      2005 - Subsec. (b)(1)(B) to (E). Pub. L. 109-59, Sec. 8002,
    reenacted heading of subpar. (B) without change and amended text of
    subpars. (B) to (E) generally. Prior to amendment, subpar. (B)
    provided for adjustments to align highway spending with revenues
    using amount of obligations set forth in section 8103 of the
    Transportation Equity Act for the 21st Century and estimates of
    receipts for fiscal years 1998 through 2003, subpar. (C) provided
    for additional adjustments required in budget submissions for
    fiscal years 2000 through 2003, subpar. (D) provided for a final
    sequester report for fiscal year 1999 and an adjustment of
    estimates upon submission of the budget for fiscal years 2000
    through 2003, and subpar. (E) required consultation with the
    Committees on the Budget and inclusion of a report on adjustments
    under subparagraphs (B) and (C) in the preview report.
      Subsec. (c). Pub. L. 109-59, Sec. 8001(a), added pars. (1) to
    (5), redesignated former pars. (2) to (9) as (6) to (13),
    respectively, and struck out former par. (1) which read as follows:
    "with respect to fiscal year 2004 - 
        "(A) for the highway category: $31,834,000,000 in outlays;
        "(B) for the mass transit category: $1,462,000,000 in new
      budget authority and $6,629,000,000 in outlays; and
        "(C) for the conservation spending category: $2,080,000,000, in
      new budget authority and $2,032,000,000 in outlays;".
      2004 - Subsec. (b)(2). Pub. L. 108-310, Sec. 10(a), which
    directed amendment of par. (2) by striking out "through 2002" in
    introductory provisions, could not be executed because the phrase
    "through 2002" did not appear subsequent to amendment by Pub. L.
    108-88, Sec. 10(a). See 2003 Amendment note below.
      Subsec. (c). Pub. L. 108-310, Sec. 10(b), which directed the
    amendment of subsec. (c) by redesignating par. (8) as par. (1),
    substituting "with respect to fiscal year 2005 - " for "with
    respect to fiscal year 2005" and adding subpars. (A) and (B) in
    par. (1), redesignating remaining provisions of par. (1) as subpar.
    (C), redesignating pars. (9) to (16) as (2) to (9), respectively,
    and striking out former pars. (1) to (7), which defined
    "discretionary spending limit" with respect to fiscal years 2002 to
    2006, either could not be executed or could not be executed as
    intended because of prior amendments by Pub. L. 108-88, Sec. 10(b).
    See 2003 Amendment notes below.
      2003 - Subsec. (b)(2). Pub. L. 108-88, Sec. 10(a), struck out
    "through 2002" after "succeeding year" in introductory provisions.
      Subsec. (c)(1). Pub. L. 108-88, Sec. 10(b)(1), redesignated par.
    (8) as (1), substituted "with respect to fiscal year 2004 - " for
    "with respect to fiscal year 2004", added subpars. (A) and (B),
    redesignated remaining provisions of par. (1) as subpar. (C), and
    struck out former par. (1), which defined "discretionary spending
    limit" with respect to fiscal year 1997.
      Subsec. (c)(2) to (16). Pub. L. 108-88, Sec. 10(b), redesignated
    pars. (9) to (16) as (2) to (9), respectively, and struck out
    former pars. (2) to (7), which defined "discretionary spending
    limit" with respect to fiscal years 1998 to 2003.
      2002 - Subsec. (c)(6)(A). Pub. L. 107-117, Sec. 101(a)(1), added
    subpar. (A) and struck out former subpar. (A) which read as
    follows: "for the discretionary category: $551,074,000,000 in new
    budget authority and $560,799,000,000 in outlays;".
      Subsec. (c)(6)(C). Pub. L. 107-117, Sec. 101(a)(2), struck out
    second "and" at end.
      Subsec. (c)(6)(D). Pub. L. 107-117, Sec. 101(a)(3), substituted
    "$1,473,000,000" for "$1,232,000,000".
      2000 - Subsec. (b)(2)(H). Pub. L. 106-291, Sec. 801(b), added
    subpar. (H).
      Subsec. (c)(5)(A). Pub. L. 106-429 added subpar. (A) and struck
    out former subpar. (A) which read as follows: "for the
    discretionary category: $542,032,000,000 in new budget authority
    and $564,396,000,000 in outlays;".
      Subsec. (c)(6)(D). Pub. L. 106-291, Sec. 801(a)(1), added subpar.
    (D).
      Subsec. (c)(7)(C). Pub. L. 106-291, Sec. 801(a)(2), added subpar.
    (C).
      Subsec. (c)(8) to (16). Pub. L. 106-291, Sec. 801(a)(3), added
    pars. (8) to (16).
      1998 - Subsec. (b)(1). Pub. L. 105-178, Sec. 8101(d), designated
    existing provisions as subpar. (A), inserted heading, and added
    subpars. (B) to (E).
      Subsec. (c)(3)(D), (E). Pub. L. 105-178, Sec. 8101(a)(1), added
    subpars. (D) and (E).
      Subsec. (c)(4)(C), (D). Pub. L. 105-178, Sec. 8101(a)(2), added
    subpars. (C) and (D).
      Subsec. (c)(5). Pub. L. 105-178, Sec. 8101(a)(3), substituted a
    dash for comma after "2001", designated remaining provisions as
    subpar. (A), realigned margins, struck out "and" at end, and added
    subpars. (B) and (C).
      Subsec. (c)(6). Pub. L. 105-178, Sec. 8101(a)(4), substituted a
    dash for comma after "2002", designated remaining provisions as
    subpar. (A), realigned margins, and added subpars. (B) and (C).
      Subsec. (c)(7). Pub. L. 105-178, Sec. 8101(a)(5), added par. (7).
      1997 - Subsec. (a). Pub. L. 105-33, Sec. 10203(a)(1), struck out
    "Fiscal Years 1991-1998" before "Enforcement" in heading.
      Subsec. (a)(3). Pub. L. 105-33, Sec. 10203(a)(2), substituted
    "section 905(f)" for "section 905(h)" in two places.
      Subsec. (a)(7). Pub. L. 105-33, Sec. 10203(a)(3), added par. (7)
    and struck out heading and text of former par. (7). Text read as
    follows: "As soon as practicable after Congress completes action on
    any discretionary appropriation, CBO, after consultation with the
    Committees on the Budget of the House of Representatives and the
    Senate, shall provide OMB with an estimate of the amount of
    discretionary new budget authority and outlays for the current year
    (if any) and the budget year provided by that legislation. Within 5
    calendar days after the enactment of any discretionary
    appropriation, OMB shall transmit a report to the House of
    Representatives and to the Senate containing the CBO estimate of
    that legislation, an OMB estimate of the amount of discretionary
    new budget authority and outlays for the current year (if any) and
    the budget year provided by that legislation, and an explanation of
    any difference between the two estimates. For purposes of this
    paragraph, amounts provided by annual appropriations shall include
    any new budget authority and outlays for those years in accounts
    for which funding is provided in that legislation that result from
    previously enacted legislation. Those OMB estimates shall be made
    using current economic and technical assumptions. OMB shall use the
    OMB estimates transmitted to the Congress under this paragraph for
    the purposes of this subsection. OMB and CBO shall prepare
    estimates under this paragraph in conformance with scorekeeping
    guidelines determined after consultation among the House and Senate
    Committees on the Budget, CBO, and OMB."
      Subsec. (b). Pub. L. 105-33, Sec. 10203(a)(4), added subsec. (b)
    and struck out heading and text of former subsec. (b) which
    provided that when the President submitted the budget for a budget
    year from 1992 to 1998, OMB was to calculate, and the budget was to
    include, adjustments to discretionary spending limits reflecting
    certain enumerated factors and provided that when OMB submitted a
    sequestration report for a fiscal year from 1991 to 1998, OMB was
    to calculate, and the sequestration report and subsequent budgets
    were to include, adjustments to discretionary spending limits
    reflecting certain enumerated factors.
      Subsec. (b)(2)(G). Pub. L. 105-89 added subpar. (G).
      Subsec. (c). Pub. L. 105-33, Sec. 10203(b), added subsec. (c).
      1996 - Subsec. (b)(2)(G). Pub. L. 104-208 substituted "fiscal
    years 1994, 1995, and 1997" for "fiscal year 1994 and 1995" in two
    places.
      Subsec. (b)(2)(H). Pub. L. 104-121 added subpar. (H).
      Subsec. (b)(2)(H)(i). Pub. L. 104-193, Sec. 211(d)(5)(B)(i),
    substituted "$175,000,000" for "$25,000,000" and "$310,000,000" for
    "$160,000,000" in subcl. (II), and "$245,000,000" for
    "$145,000,000" and "$470,000,000" for "$370,000,000" in subcl.
    (III).
      Subsec. (b)(2)(H)(ii)(I). Pub. L. 104-193, Sec. 211(d)(5)(B)(ii),
    amended subcl. (I) generally. Prior to amendment, subcl. (I) read
    as follows: "the term 'continuing disability reviews' has the
    meaning given such term by section 401(g)(1)(A) of title 42;".
      1994 - Subsec. (b)(2)(D)(i). Pub. L. 103-354 inserted at end
    "This subparagraph shall not apply to appropriations to cover
    agricultural crop disaster assistance."
      Subsec. (b)(2)(G). Pub. L. 103-306 substituted "1994 and 1995"
    for "1994" in two places.
      1993 - Subsec. (a). Pub. L. 103-66, Sec. 14002(c)(1)(A),
    substituted "1998" for "1995" in heading.
      Subsec. (b)(1). Pub. L. 103-66, Sec. 14002(c)(1)(B)(i), in
    introductory provisions, substituted "1995, 1996, 1997, or 1998"
    for "or 1995" and "outyear through 1998" for "outyear through
    1995".
      Subsec. (b)(1)(B)(iii). Pub. L. 103-66, Sec. 14002(c)(1)(B)(ii),
    added cl. (iii).
      Subsec. (b)(2). Pub. L. 103-66, Sec. 14002(c)(1)(B)(iii), in
    introductory provisions, substituted "1995, 1996, 1997, or 1998"
    for "or 1995" and "year through 1998" for "year through 1995".
      Subsec. (b)(2)(D)(i). Pub. L. 103-66, Sec. 14002(c)(1)(B)(iv),
    substituted "for any fiscal year," for "for fiscal year 1991, 1992,
    1993, 1994, or 1995,".
      Subsec. (b)(2)(E)(iv). Pub. L. 103-66, Sec. 14002(c)(1)(B)(v),
    added cl. (iv).
      Subsec. (b)(2)(F). Pub. L. 103-66, Sec. 14002(c)(1)(B)(vi),
    inserted before period at end ", and not to exceed 0.5 percent of
    the adjusted descretionary [sic] spending limit on outlays for the
    fiscal year in fiscal year 1996, 1997, or 1998".
      Subsec. (b)(2)(G). Pub. L. 103-87 added subpar. (G).
      1990 - Pub. L. 101-508, Sec. 13101(a), amended section generally,
    substituting subsecs. (a) and (b) relating to enforcement of
    discretionary spending limits for former subsecs. (a) to (e)
    relating to reporting of excess deficits.
      Subsec. (a)(6)(I). Pub. L. 101-508, Sec. 13101(e)(2),
    redesignated subsec. (a)(6)(I) of this section as section 907(e) of
    this title.
      1987 - Pub. L. 100-119 amended section generally, substituting
    provisions consisting of subsecs. (a) to (e) relating to reports by
    Director of CBO to Director of OMB and to Congress and by Director
    of OMB to President and Congress for provisions consisting of
    subsecs. (a) to (g) relating to joint reports by Directors of CBO
    and OMB to Comptroller General and report by Comptroller General to
    President and Congress.
      Subsec. (a)(6)(B). Pub. L. 100-203, Sec. 8003(f), struck out
    "and" before "contract authority" and inserted provision whereby
    the authority to provide insurance through the Federal Housing
    Administration Fund be continued.

                     EFFECTIVE DATE OF 1997 AMENDMENT                 
      Amendment by Pub. L. 105-89 effective Nov. 19, 1997, except as
    otherwise provided, with delay permitted if State legislation is
    required, see section 501 of Pub. L. 105-89, set out as a note
    under section 622 of Title 42, The Public Health and Welfare.

                     EFFECTIVE DATE OF 1994 AMENDMENT                 
      Section 119(d)(1) of Pub. L. 103-354 provided that the amendment
    made by that section is effective Jan. 1, 1995.

                          ADJUSTMENT FOR ROUNDING                      
      Pub. L. 106-429, Sec. 101(a) [title VII, Sec. 701(c)], Nov. 6,
    2000, 114 Stat. 1900, 1900A-64, provided that: "Under the terms of
    section 251(b)(2) of the Balanced Budget and Emergency Deficit
    Control Act of 1985 [2 U.S.C. 901(b)(2)] adjustments for rounding
    shall be provided for the first amount referred to in section
    251(c)(5)(A) of such Act [former 2 U.S.C. 901(c)(5)(A)], as amended
    by this section, equal to 0.5 percent of such amount."
      Pub. L. 106-113, div. B, Sec. 1000(a)(5) [title III, Sec. 307],
    Nov. 29, 1999, 113 Stat. 1536, 1501A-306, provided that: "Under the
    terms of section 251(b)(2) of Public Law 99-177 [2 U.S.C.
    901(b)(2)], an adjustment for rounding shall be provided for the
    first amount referred to in section 251(c)(4)(A) of such Act
    [former 2 U.S.C. 901(c)(4)(A)] equal to 0.2 percent of such
    amount."

          OFFSETTING ADJUSTMENT IN DISCRETIONARY SPENDING LIMITS      
      Pub. L. 105-178, title VIII, Sec. 8101(b), June 9, 1998, 112
    Stat. 489, as amended by Pub. L. 105-206, title IX, Sec. 9013(a),
    July 22, 1998, 112 Stat. 865, provided that:
      "(1) Adjustment of nondefense category for fy1999. - The
    discretionary spending limit set forth in section 251(c)(3)(B) of
    the Balanced Budget and Emergency Deficit Control Act of 1985
    [former 2 U.S.C. 901(c)(3)(B)], as adjusted in conformance with
    section 251(b) of that Act, is reduced by $859,000,000 in new
    budget authority and $25,144,000,000 in outlays.
      "(2) Adjustment of discretionary category for fy2000. - The
    discretionary spending limit set forth in section 251(c)(4)(A) of
    the Balanced Budget and Emergency Deficit Control Act of 1985
    [former 2 U.S.C. 901(c)(4)(A)], as adjusted in conformance with
    section 251(b) of that Act, is reduced by $859,000,000 in new
    budget authority and $26,009,000,000 in outlays.
      "(3) Adjustment of discretionary spending limit for fy2001. - The
    discretionary spending limit set forth in section 251(c)(5)(A) of
    the Balanced Budget and Emergency Deficit Control Act of 1985
    [former 2 U.S.C. 901(c)(5)(A)], as adjusted in conformance with
    section 251(b) of that Act, is reduced by $859,000,000 in new
    budget authority and $26,329,000,000 in outlays.
      "(4) Adjustment of discretionary spending limit for fy2002. - The
    discretionary spending limit set forth in section 251(c)(6)(A) of
    the Balanced Budget and Emergency Deficit Control Act of 1985
    [former 2 U.S.C. 901(c)(6)(A)], as adjusted in conformance with
    section 251(b) of that Act, is reduced by $859,000,000 in new
    budget authority and $26,675,000,000 in outlays."

                      LEVEL OF OBLIGATION LIMITATIONS                  
      Pub. L. 109-59, title VIII, Sec. 8003, Aug. 10, 2005, 119 Stat.
    1917, provided that:
      "(a) Highway Category. - For the purposes of section 251(b) of
    the Balanced Budget and Emergency Deficit Control Act of 1985 [2
    U.S.C. 901(b)], the level of obligation limitations for the highway
    category is - 
        "(1) for fiscal year 2005, $35,164,292,000;
        "(2) for fiscal year 2006, $37,220,843,903;
        "(3) for fiscal year 2007, $39,460,710,516;
        "(4) for fiscal year 2008, $40,824,075,404; and
        "(5) for fiscal year 2009, $42,469,970,178.
      "(b) Mass Transit Category. - For the purposes of section 251(b)
    of the Balanced Budget and Emergency Deficit Control Act of 1985,
    the level of obligation limitations for the mass transit category
    is - 
        "(1) for fiscal year 2005, $7,646,336,000;
        "(2) for fiscal year 2006, $8,622,931,000;
        "(3) for fiscal year 2007, $8,974,775,000;
        "(4) for fiscal year 2008, $9,730,893,000; and
        "(5) for fiscal year 2009, $10,338,065,000.
    For purposes of this subsection, the term 'obligation limitations'
    means the sum of budget authority and obligation limitations."
      Similar provisions for prior fiscal years were contained in the
    following prior act:
      Pub. L. 105-178, title VIII, Sec. 8103, June 9, 1998, 112 Stat.
    492, as amended by Pub. L. 108-88, Sec. 11(a), (b), Sept. 30, 2003,
    117 Stat. 1128; Pub. L. 108-310, Sec. 11(a), (b), Sept. 30, 2004,
    118 Stat. 1161.

-FOOTNOTE-
    (!1) So in original. Probably should be capitalized.

               

    (!2) So in original. Probably should be followed by a semicolon.

    (!3) See References in Text note below.


-End-



-CITE-
    2 USC Sec. 901a                                             01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 901a. Repealed.

-MISC1-
    Sec. 901a. Repealed. Pub. L. 105-33, title X, Sec. 10204(a)(1),
      Aug. 5, 1997, 111 Stat. 702.
      Section, Pub. L. 99-177, title II, Sec. 251A, as added Pub. L.
    103-322, title XXXI, Sec. 310001(g)(1), Sept. 13, 1994, 108 Stat.
    2104, related to sequestration with respect to Violent Crime
    Reduction Trust Fund.

-End-



-CITE-
    2 USC Sec. 902                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 902. Enforcing pay-as-you-go

-STATUTE-
    (a) Purpose
      The purpose of this section is to assure that any legislation
    enacted before October 1, 2002, affecting direct spending or
    receipts that increases the deficit will trigger an offsetting
    sequestration.
    (b) Sequestration
      (1) Timing
        Not later than 15 calendar days after the date Congress
      adjourns to end a session and on the same day as a sequestration
      (if any) under section 901 or 903 of this title, there shall be a
      sequestration to offset the amount of any net deficit increase
      caused by all direct spending and receipts legislation enacted
      before October 1, 2002, as calculated under paragraph (2).
      (2) Calculation of deficit increase
        OMB shall calculate the amount of deficit increase or decrease
      by adding - 
          (A) all OMB estimates for the budget year of direct spending
        and receipts legislation transmitted under subsection (d) of
        this section;
          (B) the estimated amount of savings in direct spending
        programs applicable to budget year resulting from the prior
        year's sequestration under this section or section 903 of this
        title, if any, as published in OMB's final sequestration report
        for that prior year; and
          (C) any net deficit increase or decrease in the current year
        resulting from all OMB estimates for the current year of direct
        spending and receipts legislation transmitted under subsection
        (d) of this section that were not reflected in the final OMB
        sequestration report for the current year.
    (c) Eliminating a deficit increase
      (1) The amount required to be sequestered in a fiscal year under
    subsection (b) of this section shall be obtained from non-exempt
    direct spending accounts from actions taken in the following order:
      (A) First
        All reductions in automatic spending increases specified in
      section 906(a) of this title shall be made.
      (B) Second
        If additional reductions in direct spending accounts are
      required to be made, the maximum reductions permissible under
      sections 906(b) of this title (guaranteed and direct student
      loans) and 906(c) of this title (foster care and adoption
      assistance) shall be made.
      (C) Third
        (i) If additional reductions in direct spending accounts are
      required to be made, each remaining non-exempt direct spending
      account shall be reduced by the uniform percentage necessary to
      make the reductions in direct spending required by paragraph (1);
      except that the medicare programs specified in section 906(d) of
      this title shall not be reduced by more than 4 percent and the
      uniform percentage applicable to all other direct spending
      programs under this paragraph shall be increased (if necessary)
      to a level sufficient to achieve the required reduction in direct
      spending.
        (ii) For purposes of determining reductions under clause (i),
      outlay reductions (as a result of sequestration of Commodity
      Credit Corporation commodity price support contracts in the
      fiscal year of a sequestration) that would occur in the following
      fiscal year shall be credited as outlay reductions in the fiscal
      year of the sequestration.

      (2) For purposes of this subsection, accounts shall be assumed to
    be at the level in the baseline.
    (d) Estimates
      (1) CBO estimates
        As soon as practicable after Congress completes action on any
      direct spending or receipts legislation, CBO shall provide an
      estimate to OMB of that legislation.
      (2) OMB estimates
        Not later than 7 calendar days (excluding Saturdays, Sundays,
      and legal holidays) after the date of enactment of any direct
      spending or receipts legislation, OMB shall transmit a report to
      the House of Representatives and to the Senate containing - 
          (A) the CBO estimate of that legislation;
          (B) an OMB estimate of that legislation using current
        economic and technical assumptions; and
          (C) an explanation of any difference between the 2 estimates.
      (3) Significant differences
        If during the preparation of the report under paragraph (2) OMB
      determines that there is a significant difference between the OMB
      and CBO estimates, OMB shall consult with the Committees on the
      Budget of the House of Representatives and the Senate regarding
      that difference and that consultation, to the extent practicable,
      shall include written communication to such committees that
      affords such committees the opportunity to comment before the
      issuance of that report.
      (4) Scope of estimates
        The estimates under this section shall include the amount of
      change in outlays or receipts for the current year (if
      applicable), the budget year, and each outyear excluding any
      amounts resulting from - 
          (A) full funding of, and continuation of, the deposit
        insurance guarantee commitment in effect under current
        estimates; and
          (B) emergency provisions as designated under subsection (e)
        of this section.
      (5) Scorekeeping guidelines
        OMB and CBO, after consultation with each other and the
      Committees on the Budget of the House of Representatives and the
      Senate, shall - 
          (A) determine common scorekeeping guidelines; and
          (B) in conformance with such guidelines, prepare estimates
        under this section.
    (e) Emergency legislation
      If a provision of direct spending or receipts legislation is
    enacted that the President designates as an emergency requirement
    and that the Congress so designates in statute, the amounts of new
    budget authority, outlays, and receipts in all fiscal years
    resulting from that provision shall be designated as an emergency
    requirement in the reports required under subsection (d) of this
    section. This subsection shall not apply to direct spending
    provisions to cover agricultural crop disaster assistance.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 252, Dec. 12, 1985, 99 Stat. 1072;
    Pub. L. 100-119, title I, Sec. 102(a), Sept. 29, 1987, 101 Stat.
    764; Pub. L. 100-203, title VIII, Sec. 8003(e), Dec. 22, 1987, 101
    Stat. 1330-282; Pub. L. 101-508, title XIII, Sec. 13101(a), Nov. 5,
    1990, 104 Stat. 1388-581; Pub. L. 103-66, title XIV, Sec. 14003(a),
    Aug. 10, 1993, 107 Stat. 684; Pub. L. 103-354, title I, Sec.
    119(d)(2), Oct. 13, 1994, 108 Stat. 3208; Pub. L. 105-33, title X,
    Sec. 10205, Aug. 5, 1997, 111 Stat. 702.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.


-MISC1-
                                AMENDMENTS                            
      1997 - Subsec. (a). Pub. L. 105-33, Sec. 10205(1), added subsec.
    (a) and struck out heading and text of former subsec. (a). Text
    read as follows: "The purpose of this section is to assure that any
    legislation (enacted after November 5, 1990) affecting direct
    spending or receipts that increases the deficit in any fiscal year
    covered by this Act will trigger an offsetting sequestration."
      Subsec. (b). Pub. L. 105-33, Sec. 10205(1), added subsec. (b) and
    struck out heading and text of former subsec. (b) which required
    sequestrations at the end of a session of Congress to offset amount
    of any net deficit increase in that fiscal year and prior fiscal
    year caused by all direct spending and receipts legislation enacted
    after Nov. 5, 1990.
      Subsec. (c)(1)(B). Pub. L. 105-33, Sec. 10205(2), inserted "and
    direct" after "guaranteed".
      Subsec. (d). Pub. L. 105-33, Sec. 10205(3), amended heading and
    text of subsec. (d) generally. Prior to amendment, text read as
    follows: "As soon as practicable after Congress completes action on
    any direct spending or receipts legislation enacted after November
    5, 1990, after consultation with the Committees on the Budget of
    the House of Representatives and the Senate, CBO shall provide OMB
    with an estimate of the amount of change in outlays or receipts, as
    the case may be, in each fiscal year through fiscal year 1998
    resulting from that legislation. Within 5 calendar days after the
    enactment of any direct spending or receipts legislation enacted
    after November 5, 1990, OMB shall transmit a report to the House of
    Representatives and to the Senate containing such CBO estimate of
    that legislation, an OMB estimate of the amount of change in
    outlays or receipts, as the case may be, in each fiscal year
    through fiscal year 1998 resulting from that legislation, and an
    explanation of any difference between the two estimates. Those OMB
    estimates shall be made using current economic and technical
    assumptions. OMB and CBO shall prepare estimates under this
    paragraph in conformance with scorekeeping guidelines determined
    after consultation among the House and Senate Committees on the
    Budget, CBO, and OMB."
      Subsec. (e). Pub. L. 105-33, Sec. 10205(4), struck out ", for any
    fiscal year from 1991 through 1998," after "If" and "through 1995"
    after "receipts in all fiscal years".
      1994 - Subsec. (e). Pub. L. 103-354 inserted at end "This
    subsection shall not apply to direct spending provisions to cover
    agricultural crop disaster assistance."
      1993 - Subsec. (a). Pub. L. 103-66, Sec. 14003(a)(1), which
    directed the substitution of "Fiscal year 1992-1998 enforcement"
    for "Fiscal year 1992-1995 enforcement" in heading, was executed by
    substituting "Fiscal years 1992-1998 enforcement" for "Fiscal years
    1992-1995 enforcement", to reflect the probable intent of Congress.
      Subsec. (d). Pub. L. 103-66, Sec. 14003(a)(2), substituted
    "through fiscal year 1998" for "through fiscal year 1995" in two
    places.
      Subsec. (e). Pub. L. 103-66, Sec. 14003(a)(3), substituted "for
    any fiscal year from 1991 through 1998" for "for fiscal year 1991,
    1992, 1993, 1994, or 1995".
      1990 - Pub. L. 101-508 amended section generally, substituting
    subsecs. (a) to (e) relating to enforcement of pay-as-you-go for
    former subsecs. (a) to (g) relating to Presidential order.
      1987 - Pub. L. 100-119 amended section generally to reflect
    substitution of Director of OMB for Comptroller General as official
    submitting reports under section 901 of this title and to revise
    provisions relating to content of Presidential orders issued in
    accordance with those reports.
      Subsec. (c)(2)(F)(ii). Pub. L. 100-203, Sec. 8003(e), substituted
    "proposed" for "made".

                     EFFECTIVE DATE OF 1994 AMENDMENT                 
      Section 119(d)(2) of Pub. L. 103-354 provided that the amendment
    made by that section is effective Jan. 1, 1995.

                  REDUCTION OF PREEXISTING PAYGO BALANCES              
      Pub. L. 107-312, Sec. 1, Dec. 2, 2002, 116 Stat. 2456, provided
    that: "Upon enactment of this Act [Dec. 2, 2002], the Director of
    the Office of Management and Budget shall reduce any balances of
    direct spending and receipts legislation for all fiscal years under
    section 252 of the Balanced Budget and Emergency Deficit Control
    Act of 1985 [2 U.S.C. 902] to zero."

                         PAY-AS-YOU-GO ADJUSTMENT                     
      Pub. L. 107-117, div. C, Sec. 102, Jan. 10, 2002, 115 Stat. 2342,
    provided that: "In preparing the final sequestration report for
    fiscal year 2002 required by section 254(f)(3) of the Balanced
    Budget and Emergency Deficit Control Act of 1985 [2 U.S.C.
    904(f)(3)], the Director of the Office of Management and Budget
    shall change any balance of direct spending and receipts
    legislation for fiscal years 2001 and 2002 under section 252 of
    that Act [2 U.S.C. 902] to zero."

    CONFORMING PAYGO SCORECARD WITH TRANSPORTATION EQUITY ACT FOR 21ST
                                  CENTURY
      Pub. L. 105-178, title VIII, Sec. 8102, June 9, 1998, 112 Stat.
    492, as amended by Pub. L. 105-206, title IX, Sec. 9013(c), July
    22, 1998, 112 Stat. 865, provided that: "Upon the enactment of this
    Act [June 9, 1998], the Director of the Office of Management and
    Budget shall not make any estimates under section 252(d) of the
    Balanced Budget and Emergency Deficit Control Act of 1985 [2 U.S.C.
    902(d)] of changes in direct spending outlays and receipts for any
    fiscal year resulting from this title [see Tables for
    classification] or from section 1102 of this Act [23 U.S.C. 104
    note]."

    REDUCTION OF PREEXISTING BALANCES AND EXCLUSION OF EFFECTS OF PUB.
                      L. 105-33 FROM PAYGO SCORECARD
      Section 10213 of Pub. L. 105-33 provided that: "Upon the
    enactment of this Act [Aug. 5, 1997], the Director of the Office of
    Management and Budget shall - 
        "(1) reduce any balances of direct spending and receipts
      legislation for any fiscal year under section 252 of the Balanced
      Budget and Emergency Deficit Control Act of 1985 [2 U.S.C. 902]
      to zero; and
        "(2) not make any estimates of changes in direct spending
      outlays and receipts under subsection (d) of that section for any
      fiscal year resulting from the enactment of this Act [see Tables
      for classification] or of the Taxpayer Relief Act of 1997 [Pub.
      L. 105-34, see Tables for classification]."

      REDUCTION OF DIRECT SPENDING AND RECEIPTS LEGISLATION BALANCES  
      Section 14003(c) of Pub. L. 103-66 provided that: "Upon enactment
    of this Act [Aug. 10, 1993], the director of the Office of
    Management and Budget shall reduce the balances of direct spending
    and receipts legislation applicable to each fiscal year under
    section 252 of the Balanced Budget and Emergency Deficit Control
    Act of 1985 [2 U.S.C. 902] by an amount equal to the net deficit
    reduction achieved through the enactment in this Act [see Tables
    for classification] of direct spending and receipts legislation for
    that year."

-End-



-CITE-
    2 USC Sec. 903                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 903. Enforcing deficit targets

-STATUTE-
    (a) Sequestration
      Within 15 calendar days after Congress adjourns to end a session
    (other than of the One Hundred First Congress) and on the same day
    as a sequestration (if any) under section 901 of this title and
    section 902 of this title, but after any sequestration required by
    section 901 of this title (enforcing discretionary spending limits)
    or section 902 of this title (enforcing pay-as-you-go), there shall
    be a sequestration to eliminate the excess deficit (if any remains)
    if it exceeds the margin.
    (b) Excess deficit; margin
      The excess deficit is, if greater than zero, the estimated
    deficit for the budget year, minus - 
        (1) the maximum deficit amount for that year;
        (2) the amounts for that year designated as emergency direct
      spending or receipts legislation under section 902(e) of this
      title; and
        (3) for any fiscal year in which there is not a full adjustment
      for technical and economic reestimates, the deposit insurance
      reestimate for that year, if any, calculated under subsection (h)
      of this section.

    The "margin" for fiscal year 1992 or 1993 is zero and for fiscal
    year 1994 or 1995 is $15,000,000,000.
    (c) Dividing sequestration
      To eliminate the excess deficit in a budget year, half of the
    required outlay reductions shall be obtained from non-exempt
    defense accounts (accounts designated as function 050 in the
    President's fiscal year 1991 budget submission) and half from non-
    exempt, non-defense accounts (all other non-exempt accounts).
    (d) Defense
      Each non-exempt defense account shall be reduced by a dollar
    amount calculated by multiplying the level of sequestrable
    budgetary resources in that account at that time by the uniform
    percentage necessary to carry out subsection (c) of this section,
    except that, if any military personnel are exempt, adjustments
    shall be made under the procedure set forth in section 901(a)(3) of
    this title.
    (e) Non-defense
      Actions to reduce non-defense accounts shall be taken in the
    following order:
      (1) First
        All reductions in automatic spending increases under section
      906(a) of this title shall be made.
      (2) Second
        If additional reductions in non-defense accounts are required
      to be made, the maximum reduction permissible under sections
      906(b) of this title (guaranteed student loans) and 906(c) of
      this title (foster care and adoption assistance) shall be made.
      (3) Third
        (A) If additional reductions in non-defense accounts are
      required to be made, each remaining non-exempt, non-defense
      account shall be reduced by the uniform percentage necessary to
      make the reductions in non-defense outlays required by subsection
      (c) of this section, except that - 
          (i) the medicare program specified in section 906(d) of this
        title shall not be reduced by more than 2 percent in total
        including any reduction of less than 2 percent made under
        section 902 of this title or, if it has been reduced by 2
        percent or more under section 902 of this title, it may not be
        further reduced under this section; and
          (ii) the health programs set forth in section 906(e) of this
        title shall not be reduced by more than 2 percent in total
        (including any reduction made under section 901 of this title),

      and the uniform percent applicable to all other programs under
      this subsection shall be increased (if necessary) to a level
      sufficient to achieve the required reduction in non-defense
      outlays.
        (B) For purposes of determining reductions under subparagraph
      (A), outlay reduction (as a result of sequestration of Commodity
      Credit Corporation commodity price support contracts in the
      fiscal year of a sequestration) that would occur in the following
      fiscal year shall be credited as outlay reductions in the fiscal
      year of the sequestration.
    (f) Baseline assumptions; part-year appropriations
      (1) Budget assumptions
        For purposes of subsections (b), (c), (d), and (e) of this
      section, accounts shall be assumed to be at the level in the
      baseline minus any reductions required to be made under sections
      901 and 902 of this title.
      (2) Part-year appropriations
        If, on the date specified in subsection (a) of this section,
      there is in effect an Act making or continuing appropriations for
      part of a fiscal year for any non-exempt budget account, then the
      dollar sequestration calculated for that account under subsection
      (d) or (e) of this section, as applicable, shall be subtracted
      from - 
          (A) the annualized amount otherwise available by law in that
        account under that or a subsequent part-year appropriation; and
          (B) when a full-year appropriation for that account is
        enacted, from the amount otherwise provided by the full-year
        appropriation; except that the amount to be sequestered from
        that account shall be reduced (but not below zero) by the
        savings achieved by that appropriation when the enacted amount
        is less than the baseline for that account.
    (g) Adjustments to maximum deficit amounts
      (1) Adjustments
          (A) When the President submits the budget for fiscal year
        1992, the maximum deficit amounts for fiscal years 1992, 1993,
        1994, and 1995 shall be adjusted to reflect up-to-date
        reestimates of economic and technical assumptions and any
        changes in concepts or definitions. When the President submits
        the budget for fiscal year 1993, the maximum deficit amounts
        for fiscal years 1993, 1994, and 1995 shall be further adjusted
        to reflect up-to-date reestimates of economic and technical
        assumptions and any changes in concepts or definitions.
          (B) When submitting the budget for fiscal year 1994, the
        President may choose to adjust the maximum deficit amounts for
        fiscal years 1994 and 1995 to reflect up-to-date reestimates of
        economic and technical assumptions. If the President chooses to
        adjust the maximum deficit amount when submitting the fiscal
        year 1994 budget, the President may choose to invoke the same
        adjustment procedure when submitting the budget for fiscal year
        1995. In each case, the President must choose between making no
        adjustment or the full adjustment described in paragraph (2).
        If the President chooses to make that full adjustment, then
        those procedures for adjusting discretionary spending limits
        described in sections 901(b)(1)(C) (!1) and 901(b)(2)(E) (!1)
        of this title, otherwise applicable through fiscal year 1993 or
        1994 (as the case may be), shall be deemed to apply for fiscal
        year 1994 (and 1995 if applicable).

          (C) When the budget for fiscal year 1994 or 1995 is submitted
        and the sequestration reports for those years under section 904
        of this title are made (as applicable), if the President does
        not choose to make the adjustments set forth in subparagraph
        (B), the maximum deficit amount for that fiscal year shall be
        adjusted by the amount of the adjustment to discretionary
        spending limits first applicable for that year (if any) under
        section 901(b) of this title.
          (D) For each fiscal year the adjustments required to be made
        with the submission of the President's budget for that year
        shall also be made when OMB submits the sequestration update
        report and the final sequestration report for that year, but
        OMB shall continue to use the economic and technical
        assumptions in the President's budget for that year.

      Each adjustment shall be made by increasing or decreasing the
      maximum deficit amounts set forth in section 665 (!1) of this
      title.
      (2) Calculations of adjustments
        The required increase or decrease shall be calculated as
      follows:
          (A) The baseline deficit or surplus shall be calculated using
        up-to-date economic and technical assumptions, using up-to-date
        concepts and definitions, and, in lieu of the baseline levels
        of discretionary appropriations, using the discretionary
        spending limits set forth in section 665 (!1) of this title as
        adjusted under section 901 of this title.
          (B) The net deficit increase or decrease caused by all direct
        spending and receipts legislation enacted after November 5,
        1990 (after adjusting for any sequestration of direct spending
        accounts) shall be calculated for each fiscal year by adding - 
            (i) the estimates of direct spending and receipts
          legislation transmitted under section 902(d) of this title
          applicable to each such fiscal year; and
            (ii) the estimated amount of savings in direct spending
          programs applicable to each such fiscal year resulting from
          the prior year's sequestration under this section or section
          902 of this title of direct spending, if any, as contained in
          OMB's final sequestration report for that year.

          (C) The amount calculated under subparagraph (B) shall be
        subtracted from the amount calculated under subparagraph (A).
          (D) The maximum deficit amount set forth in section 665 (!1)
        of this title shall be subtracted from the amount calculated
        under subparagraph (C).
          (E) The amount calculated under subparagraph (D) shall be the
        amount of the adjustment required by paragraph (1).
    (h) Treatment of deposit insurance
      (1) Initial estimates
        The initial estimates of the net costs of federal deposit
      insurance for fiscal year 1994 and fiscal year 1995 (assuming
      full funding of, and continuation of, the deposit insurance
      guarantee commitment in effect on the date of the submission of
      the budget for fiscal year 1993) shall be set forth in that
      budget.
      (2) Reestimates
        For fiscal year 1994 and fiscal year 1995, the amount of the
      reestimate of deposit insurance costs shall be calculated by
      subtracting the amount set forth under paragraph (1) for that
      year from the current estimate of deposit insurance costs (but
      assuming full funding of, and continuation of, the deposit
      insurance guarantee commitment in effect on the date of
      submission of the budget for fiscal year 1993).

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 253, Dec. 12, 1985, 99 Stat. 1078;
    Pub. L. 100-119, title I, Sec. 103, Sept. 29, 1987, 101 Stat. 775;
    Pub. L. 101-508, title XIII, Sec. 13101(a), Nov. 5, 1990, 104 Stat.
    1388-583.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2002. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      Section 901(b) of this title, referred to in subsec. (g)(1)(B),
    was amended by Pub. L. 105-33, title X, Sec. 10203(a)(4), Aug. 5,
    1997, 111 Stat. 699; Pub. L. 105-178, title VIII, Sec. 8101(d),
    June 9, 1998, 112 Stat. 490; and Pub. L. 109-59, title VIII, Sec.
    8002, Aug. 10, 2005, 119 Stat. 1916, and as so amended, section
    901(b)(1)(C) relates to adjustments in the FY 2007, 2008, and 2009
    budgets made by OMB to the limits on outlays for the highway and
    mass transit categories and section 901(b)(2)(E) relates to
    allowance for international arrearages.
      Section 665 of this title, referred to in subsec. (g)(1), (2)(A),
    (D), was repealed by Pub. L. 105-33, title X, Sec. 10118(a), Aug.
    5, 1997, 111 Stat. 695.

-COD-
                               CODIFICATION                           
      November 5, 1990, referred to in subsec. (g)(2)(B), was in the
    original "the date of enactment of this section", which was
    translated as meaning the date of enactment of Pub. L. 101-508,
    which amended this section generally, to reflect the probable
    intent of Congress.


-MISC1-
                                AMENDMENTS                            
      1990 - Pub. L. 101-508 amended section generally, substituting
    provisions relating to enforcement of deficit targets for
    provisions relating to compliance report by Comptroller General.
      1987 - Pub. L. 100-119 amended section generally, designating
    existing provisions as par. (1), substituting "(or December 15,
    1987, in the case of the fiscal year 1988)" for "(or on or before
    April 1, 1986, in the case of the fiscal year 1986)", and adding
    pars. (2) and (3).

-FOOTNOTE-
    (!1) See References in Text note below.


-End-



-CITE-
    2 USC Sec. 904                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 904. Reports and orders

-STATUTE-
    (a) Timetable
      The timetable with respect to this subchapter for any budget year
    is as follows:


                  Date:                      Action to be completed:     
    --------------------------------------------------------------------
      January 21                        Notification regarding optional  
                                         adjustment of maximum deficit   
                                         amount.                         
      5 days before the President's     CBO sequestration preview        
       budget submission                 report.                         
      The President's budget            OMB sequestration preview        
       submission                        report.                         
      August 10                         Notification regarding military  
                                         personnel.                      
      August 15                         CBO sequestration update report. 
      August 20                         OMB sequestration update report. 
      10 days after end of session      CBO final sequestration report.  
      15 days after end of session      OMB final sequestration report;  
                                         Presidential order.             
    --------------------------------------------------------------------

    (b) Submission and availability of reports
      Each report required by this section shall be submitted, in the
    case of CBO, to the House of Representatives, the Senate and OMB
    and, in the case of OMB, to the House of Representatives, the
    Senate, and the President on the day it is issued. On the following
    day a notice of the report shall be printed in the Federal
    Register.
    (c) Sequestration preview reports
      (1) Reporting requirement
        On the dates specified in subsection (a) of this section, OMB
      and CBO shall issue a preview report regarding discretionary, pay-
      as-you-go, and deficit sequestration based on laws enacted
      through those dates.
      (2) Discretionary sequestration report
        The preview reports shall set forth estimates for the current
      year and each subsequent year through 2002 of the applicable
      discretionary spending limits for each category and an
      explanation of any adjustments in such limits under section 901
      of this title.
      (3) Pay-as-you-go sequestration reports
        The preview reports shall set forth, for the current year and
      the budget year, estimates for each of the following:
          (A) The amount of net deficit increase or decrease, if any,
        calculated under subsection 902(b) of this title.
          (B) A list identifying each law enacted and sequestration
        implemented after November 5, 1990, included in the calculation
        of the amount of deficit increase or decrease and specifying
        the budgetary effect of each such law.
          (C) The sequestration percentage or (if the required
        sequestration percentage is greater than the maximum allowable
        percentage for medicare) percentages necessary to eliminate a
        deficit increase under section 902(c) of this title.
      (4) Deficit sequestration reports
        The preview reports shall set forth for the budget year
      estimates for each of the following:
          (A) The maximum deficit amount, the estimated deficit
        calculated under section 903(b) of this title, the excess
        deficit, and the margin.
          (B) The amount of reductions required under section 902 of
        this title, the excess deficit remaining after those reductions
        have been made, and the amount of reductions required from
        defense accounts and the reductions required from non-defense
        accounts.
          (C) The sequestration percentage necessary to achieve the
        required reduction in defense accounts under section 903(d) of
        this title.
          (D) The reductions required under sections 903(e)(1) and
        903(e)(2) of this title.
          (E) The sequestration percentage necessary to achieve the
        required reduction in non-defense accounts under section
        903(e)(3) of this title.

      The CBO report need not set forth the items other than the
      maximum deficit amount for fiscal year 1992, 1993, or any fiscal
      year for which the President notifies the House of
      Representatives and the Senate that he will adjust the maximum
      deficit amount under the option under section 903(g)(1)(B) of
      this title.
      (5) Explanation of differences
        The OMB reports shall explain the differences between OMB and
      CBO estimates for each item set forth in this subsection.
    (d) Notification regarding military personnel
      On or before the date specified in subsection (a) of this
    section, the President shall notify the Congress of the manner in
    which he intends to exercise flexibility with respect to military
    personnel accounts under section 905(f) of this title.
    (e) Sequestration update reports
      On the dates specified in subsection (a) of this section, OMB and
    CBO shall issue a sequestration update report, reflecting laws
    enacted through those dates, containing all of the information
    required in the sequestration preview reports.
    (f) Final sequestration reports
      (1) Reporting requirement
        On the dates specified in subsection (a) of this section, OMB
      and CBO shall issue a final sequestration report, updated to
      reflect laws enacted through those dates.
      (2) Discretionary sequestration reports
        The final reports shall set forth estimates for each of the
      following:
          (A) For the current year and each subsequent year through
        2002 the applicable discretionary spending limits for each
        category and an explanation of any adjustments in such limits
        under section 901 of this title.
          (B) For the current year and the budget year the estimated
        new budget authority and outlays for each category and the
        breach, if any, in each category.
          (C) For each category for which a sequestration is required,
        the sequestration percentages necessary to achieve the required
        reduction.
          (D) For the budget year, for each account to be sequestered,
        estimates of the baseline level of sequestrable budgetary
        resources and resulting outlays and the amount of budgetary
        resources to be sequestered and resulting outlay reductions.
      (3) Pay-as-you-go and deficit sequestration reports
        The final reports shall contain all the information required in
      the pay-as-you-go and deficit sequestration preview reports. In
      addition, these reports shall contain, for the budget year, for
      each account to be sequestered, estimates of the baseline level
      of sequestrable budgetary resources and resulting outlays and the
      amount of budgetary resources to be sequestered and resulting
      outlay reductions. The reports shall also contain estimates of
      the effects on outlays of the sequestration in each outyear for
      direct spending programs.
      (4) Explanation of differences
        The OMB report shall explain any differences between OMB and
      CBO estimates of the amount of any net deficit change calculated
      under subsection (!1) 902(b) of this title, any excess deficit,
      any breach, and any required sequestration percentage. The OMB
      report shall also explain differences in the amount of
      sequesterable (!2) resources for any budget account to be reduced
      if such difference is greater than $5,000,000.


      (5) Presidential order
        On the date specified in subsection (a) of this section, if in
      its final sequestration report OMB estimates that any
      sequestration is required, the President shall issue an order
      fully implementing without change all sequestrations required by
      the OMB calculations set forth in that report. This order shall
      be effective on issuance.
    (g) Within-session sequestration reports and order
      If an appropriation for a fiscal year in progress is enacted
    (after Congress adjourns to end the session for that budget year
    and before July 1 of that fiscal year) that causes a breach, 10
    days later CBO shall issue a report containing the information
    required in paragraph (f)(2). Fifteen days after enactment, OMB
    shall issue a report containing the information required in
    paragraphs (f)(2) and (f)(4). On the same day as the OMB report,
    the President shall issue an order fully implementing without
    change all sequestrations required by the OMB calculations set
    forth in that report. This order shall be effective on issuance.
    (h) GAO compliance report
      Upon request of the Committee on the Budget of the House of
    Representatives or the Senate, the Comptroller General shall submit
    to the Congress and the President a report on - 
        (1) the extent to which each order issued by the President
      under this section complies with all of the requirements
      contained in this subchapter, either certifying that the order
      fully and accurately complies with such requirements or
      indicating the respects in which it does not; and
        (2) the extent to which each report issued by OMB or CBO under
      this section complies with all of the requirements contained in
      this subchapter, either certifying that the report fully and
      accurately complies with such requirements or indicating the
      respects in which it does not.
    (i) Low-growth report
      At any time, CBO shall notify the Congress if - 
        (1) during the period consisting of the quarter during which
      such notification is given, the quarter preceding such
      notification, and the 4 quarters following such notification, CBO
      or OMB has determined that real economic growth is projected or
      estimated to be less than zero with respect to each of any 2
      consecutive quarters within such period; or
        (2) the most recent of the Department of Commerce's advance
      preliminary or final reports of actual real economic growth
      indicate that the rate of real economic growth for each of the
      most recently reported quarter and the immediately preceding
      quarter is less than one percent.
    (j) Economic and technical assumptions
      In all reports required by this section, OMB shall use the same
    economic and technical assumptions as used in the most recent
    budget submitted by the President under section 1105(a) of title
    31.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 254, Dec. 12, 1985, 99 Stat. 1078;
    Pub. L. 100-119, title I, Secs. 102(b)(1), 106(e)(2), Sept. 29,
    1987, 101 Stat. 773, 781; Pub. L. 101-508, title XIII, Sec.
    13101(a), Nov. 5, 1990, 104 Stat. 1388-586; Pub. L. 103-66, title
    XIV, Secs. 14002(c)(2), 14003(b), Aug. 10, 1993, 107 Stat. 684,
    685; Pub. L. 103-322, title XXXI, Sec. 310001(g)(2), Sept. 13,
    1994, 108 Stat. 2105; Pub. L. 104-316, title I, Sec. 102(d), Oct.
    19, 1996, 110 Stat. 3828; Pub. L. 105-33, title X, Sec. 10206, Aug.
    5, 1997, 111 Stat. 704.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-COD-
                               CODIFICATION                           
      November 5, 1990, referred to in subsec. (c)(3)(B), was in the
    original "the date of enactment of this section", which was
    translated as meaning the date of enactment of Pub. L. 101-508,
    which amended this section generally, to reflect the probable
    intent of Congress.


-MISC1-
                                AMENDMENTS                            
      1997 - Subsec. (c). Pub. L. 105-33, Sec. 10206(1), (2),
    redesignated subsec. (d) as (c), substituted "2002" for "1998" in
    par. (2), and struck out heading and text of former subsec. (c).
    Text read as follows: "With respect to budget year 1994 or 1995, on
    the date specified in subsection (a) of this section the President
    shall notify the House of Representatives and the Senate of his
    decision regarding the optional adjustment of the maximum deficit
    amount (as allowed under section 903(g)(1)(B) of this title)."
      Subsec. (d). Pub. L. 105-33, Sec. 10206(1), (3), redesignated
    subsec. (e) as (d) and substituted "section 905(f)" for "section
    905(h)". Former subsec. (d) redesignated (c).
      Subsec. (e). Pub. L. 105-33, Sec. 10206(1), redesignated subsec.
    (f) as (e). Former subsec. (e) redesignated (d).
      Subsec. (f). Pub. L. 105-33, Sec. 10206(1), redesignated subsec.
    (g) as (f). Former subsec. (f) redesignated (e).
      Subsec. (f)(2)(A). Pub. L. 105-33, Sec. 10206(4)(A), substituted
    "2002" for "1998".
      Subsec. (f)(3). Pub. L. 105-33, Sec. 10206(4)(B), struck out
    "through 1998" after "each outyear".
      Subsec. (f)(4) to (6). Pub. L. 105-33, Sec. 10206(4)(C),
    redesignated pars. (5) and (6) as (4) and (5), respectively, and
    struck out heading and text of former par. (4). Text read as
    follows: "The final reports shall set forth for the budget year
    estimates for each of the following:
        "(A) The amount of budget authority appropriated from the
      Violent Crime Reduction Trust Fund and outlays resulting from
      those appropriations.
        "(B) The sequestration percentage and reductions, if any,
      required under section 901a of this title."
      Subsec. (g). Pub. L. 105-33, Sec. 10206(1), (5), redesignated
    subsec. (h) as (g) and substituted "paragraph (f)(2)" for
    "paragraph (g)(2)" and "paragraphs (f)(2) and (f)(4)" for
    "paragraphs (g)(2) and (g)(4)". Former subsec. (g) redesignated
    (f).
      Subsecs. (h) to (k). Pub. L. 105-33, Sec. 10206(1), redesignated
    subsecs. (i) to (k) as (h) to (j), respectively. Former subsec. (h)
    redesignated (g).
      1996 - Subsec. (a). Pub. L. 104-316, Sec. 102(d)(1), struck out
    item at end of timetable relating to GAO compliance report.
      Subsec. (i). Pub. L. 104-316, Sec. 102(d)(2), in introductory
    provisions substituted "Upon request of the Committee on the Budget
    of the House of Representatives or the Senate" for "On the date
    specified in subsection (a) of this section".
      1994 - Subsec. (g)(4) to (6). Pub. L. 103-322 added par. (4) and
    redesignated former pars. (4) and (5) as (5) and (6), respectively.
      1993 - Subsecs. (d)(2), (g)(2)(A), (3). Pub. L. 103-66
    substituted "1998" for "1995".
      1990 - Pub. L. 101-508 amended section generally, substituting
    provisions setting out timetable and requisite content of reports
    and orders developed as part of sequestration process for former
    provisions relating to special Congressional procedures in the
    event of recession, Congressional responses to Presidential orders,
    and treatment of certain resolutions as reconciliation bills.
      1987 - Subsec. (b)(1)(A). Pub. L. 100-119, Sec. 102(b)(1),
    substituted "the Director of OMB" for "the Comptroller General".
      Subsec. (b)(1)(E). Pub. L. 100-119, Sec. 106(e)(2), inserted
    provisions relating to maximum deficit amount for fiscal year 1988
    or 1989.

                   FISCAL YEAR DEFICIT CONTROL MEASURES               
      1991 - Pub. L. 102-27, title IV, Sec. 401(b), Apr. 10, 1991, 105
    Stat. 154, provided that: "Upon the enactment of this Act [Apr. 10,
    1991], the order issued by the President on November 9, 1990 [set
    out below], pursuant to sections 251 and 254 of the Balanced Budget
    and Emergency Deficit Control Act of 1985, as amended, [2 U.S.C.
    901, 904] is hereby rescinded. Any action taken to implement this
    order shall be reversed, and any sequestrable resource that has
    been reduced or sequestered by such order is hereby restored,
    revived, or released and shall be available to the same extent and
    for the same purpose as if the order had not been issued."
      Section 13401 of Pub. L. 101-508 provided that:
      "(a) Order Rescinded. - Upon the enactment of this Act [Nov. 5,
    1990], the orders issued by the President on August 25, 1990, and
    October 15, 1990 [set out below], pursuant to section 252 of the
    Balanced Budget and Emergency Deficit Control Act of 1985 [2 U.S.C.
    902] are hereby rescinded.
      "(b) Amounts Restored. - Any action taken to implement the orders
    referred to in subsection (a) shall be reversed, and any
    sequestrable resource that has been reduced or sequestered by such
    orders is hereby restored, revived, or released and shall be
    available to the same extent and for the same purpose as if the
    orders had not been issued.
      "(c) Furloughed Employees. - (1) Federal employees furloughed as
    a result of the lapse in appropriations from midnight October 5,
    1990, until the enactment of House Joint Resolution 666 [Pub. L.
    101-412, which was approved Oct. 9, 1990] shall be compensated at
    their standard rate of compensation for the period during which
    there was a lapse in appropriations.
      "(2) All obligations incurred in anticipation of the
    appropriations made and authority granted by House Joint Resolution
    666 for the purposes of maintaining the essential level of activity
    to protect life and property and bringing about orderly termination
    of government functions are hereby ratified and approved if
    otherwise in accord with the provisions of that Act [Pub. L. 101-
    412, Oct. 9, 1990, 104 Stat. 894]."
      Pub. L. 101-467, Sec. 105, Oct. 28, 1990, 104 Stat. 1087,
    provided that:
      "(a) Any order on sequestration for fiscal year 1991 issued
    before, on, or after the date of enactment of this joint resolution
    [Oct. 28, 1990] pursuant to section 252 of the Balanced Budget and
    Emergency Deficit Control Act of 1985 [2 U.S.C. 902] is suspended
    and no action shall be taken to implement any such order.
      "(b) Subsection (a) shall cease to be effective on the date set
    forth in section 101(b)(B) [Nov. 5, 1990]."
      Pub. L. 101-461, Sec. 113, Oct. 25, 1990, 104 Stat. 1078,
    provided that:
      "(a) Any order on sequestration for fiscal year 1991 issued
    before, on, or after the date of enactment of this joint resolution
    [Oct. 25, 1990] pursuant to section 252 of the Balanced Budget and
    Emergency Deficit Control Act of 1985 [2 U.S.C. 902] is suspended
    and no action shall be taken to implement any such order.
      "(b) Subsection (a) shall cease to be effective on the date set
    forth in section 108(c) [Oct. 27, 1990]."
      Pub. L. 101-444, Sec. 113, Oct. 19, 1990, 104 Stat. 1033,
    provided that:
      "(a) Any order on sequestration for fiscal year 1991 issued
    before, on, or after the date of enactment of this joint resolution
    [Oct. 19, 1990] pursuant to section 252 of the Balanced Budget and
    Emergency Deficit Control Act of 1985 [2 U.S.C. 902] is suspended
    and no action shall be taken to implement any such order.
      "(b) Subsection (a) shall cease to be effective on the date set
    forth in section 108(c) [Oct. 24, 1990]."
      Pub. L. 101-412, Sec. 113, Oct. 9, 1990, 104 Stat. 897, provided
    that:
      "(a) Any order on sequestration for fiscal year 1991 issued
    before, on, or after the date of enactment of this joint resolution
    [Oct. 9, 1990] pursuant to section 252 of the Balanced Budget and
    Emergency Deficit Control Act of 1985 [2 U.S.C. 902] is suspended
    and no action shall be taken to implement any such order.
      "(b) Subsection (a) shall cease to be effective on the date set
    forth in section 108(c) [Oct. 19, 1990]."
      Pub. L. 101-403, title I, Sec. 113, Oct. 1, 1990, 104 Stat. 870,
    provided that:
      "(a) Any order on sequestration for fiscal year 1991 issued
    before, on, or after the date of enactment of this joint resolution
    [Oct. 1, 1990] pursuant to section 252 of the Balanced Budget and
    Emergency Deficit Control Act of 1985 [2 U.S.C. 902] is suspended
    and no action shall be taken to implement any such order.
      "(b) Subsection (a) shall cease to be effective on the date set
    forth in section 108(c) [Oct. 5, 1990]."
      Final Order of the President of the United States, Nov. 9, 1990,
    26 Weekly Compilation of Presidential Documents 1797, Nov. 12,
    1990, provided:
      By the authority vested in me as President by the statutes of the
    United States of America, including section 254 of the Balanced
    Budget and Emergency Deficit Control Act of 1985 (Public Law 99-
    177) [2 U.S.C. 904], as amended by the Balanced Budget and
    Emergency Deficit Control Reaffirmation Act of 1987 (Public Law 100-
    119) and Title XIII of the Omnibus Reconciliation Act of 1990
    (Public Law 101-508) (hereafter referred to as "the Act"), I hereby
    order that the following actions be taken immediately to implement
    the sequestrations and reductions determined by the Director of the
    Office of Management and Budget as set forth in his report dated
    November 9, 1990, under sections 251 and 254 of the Act [2 U.S.C.
    901, 904]:
      (1) Budgetary resources for each non-exempt account within the
    international category of discretionary spending shall be reduced
    as specified by the Director of the Office of Management and Budget
    in his report of November 9, 1990.
      (2) Pursuant to sections 250(c)(6) and 251 [2 U.S.C. 900(c)(6),
    901], budgetary resources subject to sequestration shall be new
    budget authority; new loan guarantee commitments or limitations;
    new direct loan obligations, commitments, or limitations; and
    obligation limitations.
      (3) For accounts making commitments for guaranteed loans as
    authorized by substantive law, the head of each Department or
    agency is directed to reduce the level of such commitments or
    obligations to the extent necessary to conform to the limitations
    established by the Act [Pub. L. 99-177, title II, see Short Title
    note set out under 2 U.S.C. 900] and specified by the Director of
    the Office of Management and Budget in his report of November 9,
    1990.
      All sequestrations shall be made in strict accordance with the
    specifications of the November 9th report of the Director of the
    Office of Management and Budget and the requirements of sections
    251 and 254.
                                                            George Bush.

      Final Order of the President of the United States, Oct. 15, 1990,
    55 F.R. 41977, provided:
      By the authority vested in me as President by the statutes of the
    United States of America, including section 252 of the Balanced
    Budget and Emergency Deficit Control Act of 1985 (Public Law 99-
    177) [2 U.S.C. 902], as amended by the Balanced Budget and
    Emergency Deficit Control Reaffirmation Act of 1987 (Public Law 100-
    119) (hereafter referred to as "the Act"), I hereby order that the
    following actions shall be taken to implement the sequestrations
    and reductions determined by the Director of the Office of
    Management and Budget as set forth in his report dated October 15,
    1990, under section 251 of the Act [2 U.S.C. 901]:
      (1) Each automatic spending increase that would, but for the
    provisions of the Act, take effect during fiscal year 1991 is
    permanently sequestered or reduced as provided in section 252.
      (2) The following are sequestered as provided in section 252: new
    budget authority; unobligated balances; new loan guarantee
    commitments or limitations; new direct loan obligations,
    commitments, or limitations; spending authority as defined in
    section 401(c)(2) of the Congressional Budget Act of 1974, as
    amended [2 U.S.C. 651(c)(2)]; and obligation limitations.
      (3) For accounts making payments otherwise required by
    substantive law, the head of each Department or agency is directed
    to modify the calculation of each such payment to the extent
    necessary to reduce the estimate of total required payments for the
    fiscal year by the amount specified by the Director of the Office
    of Management and Budget in his report of October 15, 1990.
      (4) For accounts making commitments for guaranteed loans as
    authorized by substantive law, the head of each Department or
    agency is directed to reduce the level of such commitments or
    obligations to the extent necessary to conform to the limitations
    established by the Act and specified by the Director of the Office
    of Management and Budget in his report of October 15, 1990.
      All reductions and sequestrations shall be made in strict
    accordance with the specifications of the October 15th report of
    the Director of the Office of Management and Budget and the
    requirements of section 252(b).
      This order supersedes the Initial Order issued on August 25, 1990
    [see above].
      This order shall be published in the Federal Register.
                                                            George Bush.

      Initial Order of the President of the United States, Aug. 25,
    1990, 55 F.R. 35133, which provided emergency deficit control
    measures for fiscal year 1991, was superseded by Final Order of the
    President, Oct. 15, 1990, 55 F.R. 41977, set out above.
      1990 - Pub. L. 101-239, title VI, Sec. 6001, Dec. 19, 1989, 103
    Stat. 2139, provided that: "Notwithstanding any other provision of
    law (including section 11002 [set out below] or any other provision
    of this Act, other than section 6201 [set out below]), the
    reductions in the amount of payments required under title XVIII of
    the Social Security Act [42 U.S.C. 1395 et seq.] made by the final
    sequester order issued by the President on October 16, 1989 [set
    out below], pursuant to section 252(b) of the Balanced Budget and
    Emergency Deficit Control Act of 1985 [2 U.S.C. 902(b)] shall
    continue to be effective (as provided by sections 252(a)(4)(B) and
    256(d)(2) of such Act [2 U.S.C. 902(a)(4)(B), 906(d)(2)]) through
    December 31, 1989, with respect to payments for items and services
    under part A of such title [42 U.S.C. 1395c et seq.] (including
    payments under section 1886 of such title [42 U.S.C. 1395ww]
    attributable or allocated to such part). Each such payment made for
    items and services provided during fiscal year 1990 after such date
    shall be increased by 1.42 percent above what it would otherwise be
    under this Act."
      Pub. L. 101-239, title VI, Sec. 6101, Dec. 19, 1989, 103 Stat.
    2168, provided that: "Notwithstanding any other provision of law
    (including any other provision of this Act, other than section 6201
    [set out below]), the reductions in the amount of payments required
    under title XVIII of the Social Security Act [42 U.S.C. 1395 et
    seq.] made by the final sequester order issued by the President on
    October 16, 1989, pursuant to section 252(b) of the Balanced Budget
    and Emergency Deficit Control Act of 1985 [2 U.S.C. 902(b)] shall
    continue to be effective (as provided by sections 252(a)(4)(B) and
    256(d)(2) of such Act [2 U.S.C. 902(a)(4)(B), 906(d)(2)]) through
    March 31, 1990, with respect to payments for items and services
    under part B of such title [42 U.S.C. 1395j et seq.]."
      Pub. L. 101-239, title VI, Sec. 6201, Dec. 19, 1989, 103 Stat.
    2225, provided that: "Notwithstanding any other provision of law
    (including section 11002 [set out below] or any other provision of
    this Act), the reductions in the amount of payments required under
    title XVIII of the Social Security Act [42 U.S.C. 1395 et seq.]
    made by the final sequester order issued by the President on
    October 16, 1989 [set out below], pursuant to section 252(b) of the
    Balanced Budget and Emergency Deficit Control Act of 1985 [2 U.S.C.
    902(b)] shall continue to be effective (as provided by sections
    252(a)(4)(B) and 256(d)(2) of such Act [2 U.S.C. 902(a)(4)(B),
    906(d)(2)]) through December 31, 1989, with respect to payments
    under section 1833(a)(1)(A) or 1876 of the Social Security Act [42
    U.S.C. 1395l(a)(1)(A), 1395mm], section 402 of the Social Security
    Amendments of 1967 [section 402 of Pub. L. 90-248, enacting 42
    U.S.C. 1395b-1, and amending 42 U.S.C. 1395ll], or section 222 of
    the Social Security Amendments of 1972 [section 222 of Pub. L. 92-
    603, amending 42 U.S.C. 1395b-1 and enacting provisions set out as
    a note under 42 U.S.C. 1395b-1]. Each such payment made during
    fiscal year 1990 after such date shall be increased by 1.42 percent
    above what it would otherwise be under this Act."
      Pub. L. 101-239, title XI, Sec. 11002, Dec. 19, 1989, 103 Stat.
    2490, provided that:
      "(a) Order Rescinded. - (1) Upon the issuance of a new final
    order by the President under subsection (b)(4) [set out below], the
    order issued by the President on October 16, 1989 [set out below],
    pursuant to section 252 of the Balanced Budget and Emergency
    Deficit Control Act of 1985 [2 U.S.C. 902] is rescinded.
      "(2) Except as otherwise provided in sections 6001, 6101, and
    6201 [set out above], and subject to subsection (b), any action
    taken to implement the order issued by the President on October 16,
    1989, shall be reversed, and any sequesterable budgetary resource
    that has been reduced or sequestered by such order is restored,
    revived, or released and shall be available to the same extent and
    for the same purposes as if an order had not been issued.
      "(3) For purposes of section[s] 702(d) and 1101(c) of the Ethics
    Reform Act of 1989 [Pub. L. 101-194, 5 U.S.C. 5305 note, 2 U.S.C.
    31-1 note], the order issued by the President on October 16, 1989,
    pursuant to section 252 of the Balanced Budget and Emergency
    Deficit Control Act of 1985 [2 U.S.C. 902] is deemed to be
    rescinded on January 31, 1990.
      "(b) Adjusted Reduction. - 
        "(1) Before the close of the fifteenth calendar day beginning
      after the date of enactment of this Act [Dec. 19, 1989], the
      Director of OMB shall issue a revised report using the exact
      budget baseline set forth in the report of October 16, 1989 [set
      out below], and following the requirements, specifications,
      definitions, and calculations required by the Balanced Budget and
      Emergency Deficit Control Act of 1985 [Pub. L. 99-177, title II,
      see Short Title note set out under 2 U.S.C. 901] for the final
      report issued under section 251(c)(2) [former 2 U.S.C. 901(c)(2)]
      for fiscal year 1990, except that the aggregate outlay reduction
      to be achieved shall be an amount equal to $16.1 billion
      multiplied by 130 divided by 365. Calculations made to carry out
      the preceding sentence shall take into account the reductions and
      cancellations achieved by paragraphs (2) and (3) and shall not be
      affected by subsection (d).
        "(2) Notwithstanding any provision of law other than this
      paragraph, the reductions and cancellations in the student loan
      programs described in section 256(c) of the Balanced Budget and
      Emergency Deficit Control Act of 1985 [2 U.S.C. 906(c)] achieved
      by the order issued by the President on October 16, 1989, shall
      remain in effect through December 31, 1989, and no reductions or
      cancellations in such programs shall be made by the order issued
      under paragraph (4).
        "(3) Notwithstanding any provision of law other than this
      paragraph, any automatic spending increase suspended or cancelled
      by the order issued by the President on October 16, 1989, shall
      be paid at a rate that is 130/365ths less than the rate that
      would have been paid under the laws providing for such automatic
      spending increase.
        "(4) On the date that the Director submits a revised report to
      the President under paragraph (1) for fiscal year 1990, the
      President shall issue a new final order to make all of the
      reductions and cancellations specified in such report in
      conformity with section 252(a)(2) of the Balanced Budget and
      Emergency Deficit Control Act of 1985 [2 U.S.C. 902(a)(2)]. Such
      order shall be deemed to have become effective on October 16,
      1989.
      "(c) Compliance Report by Comptroller General. - Before the close
    of the thirtieth day beginning after the date the President issues
    a new final order under subsection (b)(4), the Comptroller General
    shall submit to the Congress and the President a compliance report
    setting forth the information required under section 253 of the
    Balanced Budget and Emergency Deficit Control Act of 1985 [2 U.S.C.
    903] with respect to such order.
      "(d) No Double Reduction in Medicare. - With respect to items and
    services described in section 6001, 6101, or 6201 [set out above]
    for periods for which reductions are made pursuant to the
    respective sections, no reduction shall be made under subsection
    (b)."
      New Final Order of the President of the United States, Dec. 27,
    1989, 54 F.R. 53469, provided:
      By the authority vested in me as President by the statutes of the
    United States of America, including section 252 of the Balanced
    Budget and Emergency Deficit Control Act of 1985 (Public Law 99-
    177) [2 U.S.C. 902], as amended by the Balanced Budget and
    Emergency Deficit Control Reaffirmation Act of 1987 (Public Law 100-
    119) (hereafter referred to as "the Act"), and section 11002 of
    the Omnibus [Budget] Reconciliation Act of 1989 (Public Law 101-
    239) ("OBRA") [set out above], I hereby order that the following
    actions be taken to implement the sequestrations and reductions
    determined by the Director of the Office of Management and Budget
    as set forth in his report dated December 27, 1989, under section
    251 of the Act [2 U.S.C. 901] and section 11002 of the OBRA:
      (1) Each automatic spending increase that would, but for the
    provisions of the Act, take effect during fiscal year 1990 is
    permanently sequestered or reduced as provided in section 252 of
    the Act and section 11002 of OBRA.
      (2) The following are sequestered as provided in section 252 of
    the Act and section 11002 of OBRA: new budget authority;
    unobligated balances; new loan guarantee commitments or
    limitations; new direct loan obligations, commitments, or
    limitations; spending authority as defined in section 401(c)(2) of
    the Congressional Budget Act of 1974, as amended [2 U.S.C.
    651(c)(2)]; and obligation limitations.
      (3) For accounts making payments otherwise required by
    substantive law, the head of each department or agency is directed
    to modify the calculation of each such payment to the extent
    necessary to reduce the estimate of total required payments for the
    fiscal year by the amount specified by the Director of the Office
    of Management and Budget in his report of December 27, 1989.
      (4) For accounts making commitments for guaranteed loans or
    obligations for direct loans as authorized by substantive law, the
    head of each department or agency is directed to reduce the level
    of such commitments or obligations to the extent necessary to
    conform to the limitations established by the Act and by OBRA and
    specified by the Director of the Office of Management and Budget in
    his report of December 27, 1989.
      All reductions and sequestrations shall be made in strict
    accordance with the specifications of the December 27th report of
    the Director of the Office of Management and Budget and the
    requirements of section 252(b) of the Act and section 11002 of
    OBRA.
      This order shall be deemed to have become effective on October
    16, 1989, as provided in section 11002 of OBRA.
      This order shall be published [in the] Federal Register.
                                                            George Bush.

      Final Order of the President of the United States, Oct. 16, 1989,
    54 F.R. 42795, which provided emergency deficit control measures
    for fiscal year 1990, was rescinded by section 11002(a) of Pub. L.
    101-239, set out above, upon issuance of New Final Order of the
    President of the United States, Dec. 27, 1989, 54 F.R. 53469, set
    out above.
      Initial Order of the President of the United States, Aug. 25,
    1989, 54 F.R. 35627, which provided emergency deficit control
    measures for fiscal year 1990, was superseded by Final Order of the
    President, Oct. 16, 1989, 54 F.R. 42795.
      1989 - Final Order of the President of the United States, Oct.
    15, 1988, 53 F.R. 40696.
      Initial Order of the President of the United States, Aug. 25,
    1988, 53 F.R. 32881.
      1988 - Pub. L. 100-203, title IV, Secs. 4001, 4041(b), 4061,
    title VIII, Sec. 8002, Dec. 22, 1987, 101 Stat. 1330-42, 1330-84,
    1330-100, 1330-281.
      Pub. L. 100-202, Sec. 1, Dec. 22, 1987, 101 Stat. 1329.
      Order of the President of the United States, Nov. 20, 1987, 52
    F.R. 44960.
      Order of the President of the United States, Oct. 20, 1987, 52
    F.R. 39205.
      1986 - Pub. L. 99-366, July 31, 1986, 100 Stat. 773.
      Pub. L. 99-349, title II, Sec. 202, July 2, 1986, 100 Stat. 748.
      Pub. L. 99-255, Mar. 7, 1986, 100 Stat. 39, as amended by Pub. L.
    99-322, Sec. 1, May 23, 1986, 100 Stat. 494.
      Order of the President of the United States, Feb. 1, 1986, 51
    F.R. 4291.

-FOOTNOTE-
    (!1) So in original. Probably should be "section".

    (!2) So in original. Probably should be "sequestrable".


-End-



-CITE-
    2 USC Sec. 905                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 905. Exempt programs and activities

-STATUTE-
    (a) Social security benefits and tier I railroad retirement
      benefits
      Benefits payable under the old-age, survivors, and disability
    insurance program established under title II of the Social Security
    Act [42 U.S.C. 401 et seq.], and benefits payable under section
    231b(a), 231b(f)(3), 231c(a), or 231c(f) of title 45, shall be
    exempt from reduction under any order issued under this subchapter.
    (b) Veterans programs
      The following programs shall be exempt from reduction under any
    order issued under this subchapter:
        National Service Life Insurance Fund (36-8132-0-7-701);
        Service-Disabled Veterans Insurance Fund (36-4012-0-3-701);
        Veterans Special Life Insurance Fund (36-8455-0-8-701);
        Veterans Reopened Insurance Fund (36-4010-0-3-701);
        United States Government Life Insurance Fund (36-8150-0-7-701);
        Veterans Insurance and Indemnities (36-0120-0-1-701);
        Special Therapeutic and Rehabilitation Activities Fund (36-4048-
      0-3-703);
        Canteen Service Revolving Fund (36-4014-0-3-705);
        Benefits under chapter 21 of title 38 relating to specially
      adapted housing and mortgage-protection life insurance for
      certain veterans with service-connected disabilities (36-0120-0-1-
      701);
        Benefits under section 2307 of title 38 relating to burial
      benefits for veterans who die as a result of service-connected
      disability (36-0155-0-1-701);
        Benefits under chapter 39 of title 38 relating to automobiles
      and adaptive equipment for certain disabled veterans and members
      of the Armed Forces (36-0137-0-1-702);
        Compensation (36-0153-0-1-701); and
        Pensions (36-0154-0-1-701).
        Benefits under chapter 35 of title 38 related to educational
      assistance for survivors and dependents of certain veterans with
      service-connected disabilities (36-0137-0-1-702);
        Assistance and services under chapter 31 of title 38 relating
      to training and rehabilitation for certain veterans with service-
      connected disabilities (36-0137-0-1-702);
        Benefits under subchapters I, II, and III of chapter 37 of
      title 38 relating to housing loans for certain veterans and for
      the spouses and surviving spouses of certain veterans Guaranty
      and Indemnity Program Account (36-1119-0-1-704);
        Loan Guaranty Program Account (36-1025-0-1-704); and
        Direct Loan Program Account (36-1024-0-1-704).
    (c) Net interest
      No reduction of payments for net interest (all of major
    functional category 900) shall be made under any order issued under
    this subchapter.
    (d) Earned income tax credit
      Payments to individuals made pursuant to section 32 of title 26
    shall be exempt from reduction under any order issued under this
    subchapter.
    (e) Non-defense unobligated balances
      Unobligated balances of budget authority carried over from prior
    fiscal years, except balances in the defense category, shall be
    exempt from reduction under any order issued under this subchapter.
    (f) Optional exemption of military personnel
      (1) In general
        The President may, with respect to any military personnel
      account, exempt that account from sequestration or provide for a
      lower uniform percentage reduction than would otherwise apply.
      (2) Limitation
        The President may not use the authority provided by paragraph
      (1) unless the President notifies the Congress of the manner in
      which such authority will be exercised on or before the date
      specified in section 904(a) of this title for the budget year.
    (g) Other programs and activities
      (1)(A) The following budget accounts and activities shall be
    exempt from reduction under any order issued under this subchapter:
        Activities resulting from private donations, bequests, or
      voluntary contributions to the Government;
        Activities financed by voluntary payments to the Government for
      goods or services to be provided for such payments;
        Administration of Territories, Northern Mariana Islands
      Covenant grants (14-0412-0-1-806);
        Alaska Power Administration, Operations and maintenance (89-
      0304-0-1-271);
        Appropriations for the District of Columbia (to the extent they
      are appropriations of locally raised funds);
        Bonneville Power Administration fund and borrowing authority
      established pursuant to section 13 of Public Law 93-454 (1974),
      as amended [16 U.S.C. 838k] (89-4045-0-3-271);
        Bureau of Indian Affairs, Indian land and water claims
      settlements and miscellaneous payments to Indians (14-2303-0-1-
      452);
        Bureau of Indian Affairs Miscellaneous trust funds (14-9973-0-7-
      999);
        Claims, judgments, and relief acts (20-1895-0-1-808);
        Compact of Free Association (14-0415-0-1-808);
        Compensation of the President (11-0001-0-1-802);
        Conservation Reserve Program (12-2319-0-1-302);
        Customs Service, miscellaneous permanent appropriations (20-
      9922-0-2-806);
        Comptroller of the Currency, Assessment funds (20-8413-0-8-
      373);
        Dual benefits payments account (60-0111-0-1-601);
        Exchange stabilization fund (20-4444-0-3-155);
        Farm Credit Administration, Limitation on Administrative
      Expenses (78-4131-0-3-351);
        Farm Credit System Financial Assistance Corporation, interest
      payment (20-1850-0-1-908);
        Farm Credit System Financial Assistance Corporation, interest
      payments (20-1850-0-1-351);
        Federal Deposit Insurance Corporation, Bank Insurance Fund (51-
      4064-0-3-373);
        Federal Deposit Insurance Corporation, FSLIC Resolution Fund
      (51-4065-0-3-373);
        Federal Deposit Insurance Corporation, Savings Association
      Insurance Fund (51-4066-0-3-373);
        Federal Housing Finance Board (95-4039-0-3-371);
        Federal payment to the railroad retirement accounts (60-0113-0-
      1-601);
        Foreign military sales trust fund (11-8242-0-7-155);
        Health professions graduate student loan insurance fund program
      account (75-0340-0-1-552);
        Higher education facilities loans (91-0240-01-502);
        Internal Revenue Collections for Puerto Rico (20-5737-0-2-806);
        Intragovernmental funds, including those from which the outlays
      are derived primarily from resources paid in from other
      government accounts, except to the extent such funds are
      augmented by direct appropriations for the fiscal year during
      which an order is in effect;
        Panama Canal Commission, Panama Canal Revolving Fund (95-4061-0-
      3-403);
        Medical facilities guarantee and loan fund, Federal interest
      subsidies for medical facilities (75-9931-0-3-550);
        National Credit Union Administration operating fund (25-4056-0-
      3-373);
        National Credit Union Administration, Central liquidity
      facility (25-4470-0-3-373);
        National Credit Union Administration, Credit union share
      insurance fund (25-4468-0-3-373);
        Office of Thrift Supervision (20-4108-0-3-373);
        Payment of Vietnam and USS Pueblo prisoner-of-war claims (15-
      0104-0-1-153);
        Payment to civil service retirement and disability fund (24-
      0200-0-1-805);
        Payment to Judiciary Trust Funds (10-0941-0-1-752);
        Payments to copyright owners (03-5175-0-2-376);
        Payments to health care trust funds (75-0580-0-1-571);
        Payments to military retirement fund (97-0040-0-1-054);
        Payments to social security trust funds (75-0404-0-1-651);
        Payments to the foreign service retirement and disability fund
      (11-1036-0-1-153 and 19-0540-0-1-153);
        Payments to trust funds from excise taxes or other receipts
      properly creditable to such trust funds;
        Payments to the United States territories, fiscal assistance
      (14-0418-0-1-806);
        Payments to widows and heirs of deceased Members of Congress
      (00-0215-0-1-801);
        Postal service fund (18-4020-0-3-372);
        Resolution Trust Corporation Revolving Fund (22-4055-0-3-373);
        Salaries of Article III judges;
        Soldiers and Airmen's Home, payment of claims (84-8930-0-7-
      705);
        Southeastern Power Administration, Operations and maintenance
      (89-0302-0-1-271);
        Southwestern Power Administration, Operations and maintenance
      (89-0303-0-1-271);
        Tennessee Valley Authority fund, except non-power programs and
      activities (64-4110-0-3-999);
        Thrift Savings Fund;
        United States Enrichment Corporation (95-4054-0-3-271);
        Vaccine Injury Compensation (75-0320-0-1-551);
        Vaccine Injury Compensation Program Trust Fund (20-8175-0-7-
      551);
        United States Enrichment Corporation;
        Washington Metropolitan Area Transit Authority, interest
      payments (46-0300-0-1-401);
        Western Area Power Administration, Construction,
      rehabilitation, operations, and maintenance (89-5068-0-2-271);
      and
        Western Area Power Administration, Colorado River basins power
      marketing fund (89-4452-0-3-271).

      (B) The following Federal retirement and disability accounts and
    activities shall be exempt from reduction under any order issued
    under this subchapter:
        Black Lung Disability Trust Fund (20-8144-0-7-601);
        Central Intelligence Agency retirement and disability system
      fund (56-3400-0-1-054);
        Civil service retirement and disability fund (24-8135-0-7-602);
        Comptrollers general retirement system (05-0107-0-1-801);
        Foreign service retirement and disability fund (19-8186-0-7-
      602);
        Judicial survivors' annuities fund (10-8110-0-7-602);
        Judicial Officers' Retirement Fund (10-8122-0-7-602);
        Claims Judges' Retirement Fund (10-8124-0-7-602);
        Special workers compensation expenses, Longshoremen's and
      harborworkers' compensation benefits (16-9971-0-7-601);
        Military retirement fund (97-8097-0-7-602);
        National Oceanic and Atmospheric Administration retirement (13-
      1450-0-1-306);
        Pensions for former Presidents (47-0105-0-1-802);
        Railroad Industry Pension Fund (60-8011-0-7-601);
        Railroad supplemental annuity pension fund (60-8012-0-7-602);
        Retired pay, Coast Guard (69-0241-0-1-403);
        Retirement pay and medical benefits for commissioned officers,
      Public Health Service (75-0379-0-1-551);
        Special benefits, Federal Employees' Compensation Act (16-1521-
      0-1-600);
        Special benefits for disabled coal miners (75-0409-0-1-601);
      and
        Tax Court judges survivors annuity fund (23-8115-0-7-602).

      (2) Prior legal obligations of the Government in the following
    budget accounts and activities shall be exempt from any order
    issued under this subchapter:
        Biomass energy development (20-0114-0-1-271);
        United States Treasury check forgery insurance fund (20-4109-0-
      3-803);
        Credit liquidating accounts;
        Employees life insurance fund (24-8424-0-8-602);
        Energy security reserve (Synthetic Fuels Corporation) (20-0112-
      0-1-271);
        Federal Aviation Administration, Aviation insurance revolving
      fund (69-4120-0-3-402);
        Federal Crop Insurance Corporation fund (12-4085-0-3-351);
        Federal Emergency Management Agency, National flood insurance
      fund (58-4236-0-3-453);
        Federal Emergency Management Agency, National insurance
      development fund (58-4235-0-3-451);
        Geothermal resources development fund (89-0206-0-1-271);
        Homeowners assistance fund, Defense (97-4090-0-3-051);
        International Trade Administration, Operations and
      administration (13-1250-0-1-376);
        Low-rent public housing, Loans and other expenses (86-4098-0-3-
      604);
        Maritime Administration, War-risk insurance revolving fund (69-
      4302-0-3-403);
        Overseas Private Investment Corporation (71-4030-0-3-151);
        Pension Benefit Guaranty Corporation fund (16-4204-0-3-601);
        Rail service assistance (69-0122-0-1-401); and
        Department of Veterans Affairs, Servicemen's group life
      insurance fund (36-4009-0-3-701).
    (h) Low-income programs
      The following programs shall be exempt from reduction under any
    order issued under this subchapter:
        Block grants to States for temporary assistance for needy
      families;
        Child nutrition programs (with the exception of special milk
      programs) (12-3539-0-1-605);
        Temporary assistance for needy families (75-1552-0-1-609);
        Contingency fund (75-1522-0-1-609);
        Child care entitlement to States (75-1550-0-1-609);
        Commodity supplemental food program (12-3512-0-1-605);
        Food stamp programs (12-3505-0-1-605 and 12-3550-0-1-605);
        Grants to States for Medicaid (75-0512-0-1-55l);
        Supplemental Security Income Program (75-0406-0-1-609); and
      (!1)

        Special supplemental nutrition program for women, infants, and
      children (WIC) (12-3510-0-1-605); (!1)
        Family support payments to States (75-1501-0-1-609); (!2)

    (i) Identification of programs
      For purposes of subsections (b), (g), and (h) of this section,
    each account is identified by the designated budget account
    identification code number set forth in the Budget of the United
    States Government 1998-Appendix, and an activity within an account
    is designated by the name of the activity and the identification
    code number of the account.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 255, Dec. 12, 1985, 99 Stat. 1082;
    Pub. L. 99-509, title VII, Sec. 7002(a), Oct. 21, 1986, 100 Stat.
    1949; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095; Pub.
    L. 100-86, title V, Sec. 506(a), Aug. 10, 1987, 101 Stat. 634; Pub.
    L. 100-119, title I, Sec. 104(a)(1), (2), (b), (c)(1), Sept. 29,
    1987, 101 Stat. 775-777; Pub. L. 101-73, title VII, Sec. 743(a),
    (c), Aug. 9, 1989, 103 Stat. 437; Pub. L. 101-220, Sec. 8, Dec. 12,
    1989, 103 Stat. 1881; Pub. L. 101-508, title XIII, Sec. 13101(c),
    Nov. 5, 1990, 104 Stat. 1388-589; Pub. L. 102-54, Sec. 13(a), June
    13, 1991, 105 Stat. 274; Pub. L. 102-83, Sec. 5(c)(2), Aug. 6,
    1991, 105 Stat. 406; Pub. L. 102-486, title IX, Sec. 902(d), Oct.
    24, 1992, 106 Stat. 2944; Pub. L. 102-572, title VI, Sec. 601, Oct.
    29, 1992, 106 Stat. 4514; Pub. L. 104-193, title I, Sec. 110(r)(1),
    Aug. 22, 1996, 110 Stat. 2175; Pub. L. 104-208, div. A, title II,
    Sec. 2704(d)(10), Sept. 30, 1996, 110 Stat. 3009-489; Pub. L. 105-
    33, title X, Sec. 10207, Aug. 5, 1997, 111 Stat. 704; Pub. L. 109-
    171, title II, Sec. 2102(b), Feb. 8, 2006, 120 Stat. 9.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      The Social Security Act, referred to in subsec. (a), is act Aug.
    14, 1935, ch. 531, 49 Stat. 620, as amended. Title II of the Social
    Security Act is classified generally to subchapter II (Sec. 401 et
    seq.) of Title 42, The Public Health and Welfare. For complete
    classification of this Act to the Code, see section 1305 of Title
    42 and Tables.
      The Federal Employees' Compensation Act, referred to in subsec.
    (g)(1)(B), which is act Sept. 7, 1916, ch. 458, 39 Stat. 742, was
    repealed and the provisions thereof reenacted as subchapter I of
    chapter 81 of Title 5, Government Organization and Employees, by
    Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 378.


-MISC1-
                                AMENDMENTS                            
      2006 - Subsec. (g)(1)(A). Pub. L. 109-171 repealed Pub. L. 104-
    208, Sec. 2704(d)(10). See 1996 Amendment note below.
      1997 - Subsec. (b). Pub. L. 105-33, Sec. 10207(a), substituted
    "Veterans Insurance and Indemnities" for "Veterans Insurance and
    Indemnity", "Canteen Service Revolving Fund" for "Veterans' Canteen
    Service Revolving Fund", "(36-0120-0-1-701)" for "(36-0137-0-1-
    702)" in item relating to benefits under chapter 21 of title 38,
    "Compensation" for "Veterans' compensation", and "Pensions" for
    "Veterans' pensions" and inserted at end items relating to benefits
    under chapter 35 of title 38, assistance and services under chapter
    31 of title 38, benefits under subchapters I, II, and III of
    chapter 37 of title 38, Loan Guaranty Program Account, and Direct
    Loan Program Account.
      Subsec. (f). Pub. L. 105-33, Sec. 10207(b), amended heading and
    text of subsec. (f) generally. Prior to amendment, text read as
    follows: "Outlays for programs specified in paragraph (1) of
    section 907 of this title shall be subject to reduction only in
    accordance with the procedures established in section 901(a)(3)(C)
    and 906(b) of this title."
      Subsec. (g)(1)(A). Pub. L. 105-33, Sec. 10207(c)(1)(KK), inserted
    items relating to Thrift Savings Fund, United States Enrichment
    Corporation (95-4054-0-3-271), Vaccine Injury Compensation, and
    Vaccine Injury Compensation Program Trust Fund.
      Pub. L. 105-33, Sec. 10207(c)(1)(JJ), inserted "Revolving Fund
    (22-4055-0-3-373)" before semicolon in item relating to the
    Resolution Trust Corporation.
      Pub. L. 105-33, Sec. 10207(c)(1)(II), struck out "Resolution
    Funding Corporation;" after item relating to postal service fund.
      Pub. L. 105-33, Sec. 10207(c)(1)(HH), substituted "806" for "852"
    in item relating to payments to the United States territories.
      Pub. L. 105-33, Sec. 10207(c)(1)(GG), struck out "Payments to
    state and local government fiscal assistance trust fund (20-2111-0-
    1-851);" after item relating to payments to social security trust
    funds.
      Pub. L. 105-33, Sec. 10207(c)(1)(FF), substituted "651" for "571"
    in item relating to payments to social security trust funds.
      Pub. L. 105-33, Sec. 10207(c)(1)(EE), struck out "Compact of Free
    Association, economic assistance pursuant to Public Law 99-658 (14-
    0415-0-1-806);" after item relating to payments to military
    retirement fund.
      Pub. L. 105-33, Sec. 10207(c)(1)(DD), substituted "571" for "572"
    in item relating to payments to health care trust funds.
      Pub. L. 105-33, Sec. 10207(c)(1)(CC), inserted item relating to
    Office of Thrift Supervision.
      Pub. L. 105-33, Sec. 10207(c)(1)(BB), substituted "Credit union
    share" for "credit union share" and inserted before semicolon "(25-
    4468-0-3-373)" in third item relating to National Credit Union
    Administration.
      Pub. L. 105-33, Sec. 10207(c)(1)(AA), substituted "Central" for
    "central" and inserted before semicolon "(25-4470-0-3-373)" in
    second item relating to National Credit Union Administration.
      Pub. L. 105-33, Sec. 10207(c)(1)(Z), inserted "operating fund (25-
    4056-0-3-373)" before semicolon in first item relating to National
    Credit Union Administration.
      Pub. L. 105-33, Sec. 10207(c)(1)(Y), substituted "(75-9931-0-3-
    550)" for "(75-4430-0-3-551)" in item relating to medical
    facilities guarantee and loan fund.
      Pub. L. 105-33, Sec. 10207(c)(1)(X), substituted "Panama Canal
    Commission, Panama Canal Revolving Fund (95-4061-0-3-403);" for
    "Panama Canal Commission, operating expenses (95-5190-0-2-403), and
    Panama Canal Commission, capital outlay (95-5190-0-2-403);".
      Pub. L. 105-33, Sec. 10207(c)(1)(W), substituted "806" for "852"
    in item relating to internal revenue collections for Puerto Rico.
      Pub. L. 105-33, Sec. 10207(c)(1)(V), struck out "and insurance"
    after "Higher education facilities loans".
      Pub. L. 105-33, Sec. 10207(c)(1)(U), inserted "program account"
    after "fund" and substituted "(75-0340-0-1-552)" for "(Health
    Education Assistance Loan Program) (75-4305-0-3-553)" in item
    relating to health professions graduate student loan insurance
    fund.
      Pub. L. 105-33, Sec. 10207(c)(1)(T), substituted "accounts" for
    "account" after "Federal payment to the railroad retirement".
      Pub. L. 105-33, Sec. 10207(c)(1)(S), inserted "(95-4039-0-3-371)"
    before semicolon in item relating to Federal Housing Finance Board.
      Pub. L. 105-33, Sec. 10207(c)(1)(R), inserted "(51-4066-0-3-373)"
    before semicolon in third item relating to Federal Deposit
    Insurance Corporation.
      Pub. L. 105-33, Sec. 10207(c)(1)(Q), inserted "(51-4065-0-3-373)"
    before semicolon in second item relating to Federal Deposit
    Insurance Corporation.
      Pub. L. 105-33, Sec. 10207(c)(1)(P), inserted "(51-4064-0-3-373)"
    before semicolon in first item relating to Federal Deposit
    Insurance Corporation.
      Pub. L. 105-33, Sec. 10207(c)(1)(O), struck out "Federal Deposit
    Insurance Corporation;" after item relating to Farm Credit System
    Financial Assistance Corporation, interest payments (20-1850-0-1-
    351).
      Pub. L. 105-33, Sec. 10207(c)(1)(N), inserted items relating to
    Farm Credit Administration and Farm Credit System Financial
    Assistance Corporation, interest payment (20-1850-0-1-908).
      Pub. L. 105-33, Sec. 10207(c)(1)(M), struck out "Eastern Indian
    land claims settlement fund (14-2202-0-1-806);" after item relating
    to dual benefits payments account.
      Pub. L. 105-33, Sec. 10207(c)(1)(L), struck out "Director of the
    Office of Thrift Supervision;" after item relating to Comptroller
    of the Currency.
      Pub. L. 105-33, Sec. 10207(c)(1)(K), inserted ", Assessment funds
    (20-8413-0-8-373)" before semicolon in item relating to the
    Comptroller of the Currency.
      Pub. L. 105-33, Sec. 10207(c)(1)(J), substituted "806" for "852"
    in item relating to the Customs Service.
      Pub. L. 105-33, Sec. 10207(c)(1)(I), inserted item relating to
    Conservation Reserve Program.
      Pub. L. 105-33, Sec. 10207(c)(1)(H), inserted item relating to
    Compact of Free Association.
      Pub. L. 105-33, Sec. 10207(c)(1)(G), struck out "Coinage profit
    fund (20-5811-0-2-803);" after item relating to claims, judgments,
    and relief acts.
      Pub. L. 105-33, Sec. 10207(c)(1)(F), substituted "808" for "806"
    in item relating to claims, judgments, and relief acts.
      Pub. L. 105-33, Sec. 10207(c)(1)(E), struck out "Claims, defense
    (97-0102-0-1-051);" after second item relating to Bureau of Indian
    Affairs.
      Pub. L. 105-33, Sec. 10207(c)(1)(D), substituted "Miscellaneous
    trust funds" for "miscellaneous trust funds, tribal trust funds" in
    second item relating to Bureau of Indian Affairs.
      Pub. L. 105-33, Sec. 10207(c)(1)(C), inserted "Indian land and
    water claims settlements and" after comma in first item relating to
    Bureau of Indian Affairs.
      Pub. L. 105-33, Sec. 10207(c)(1)(B), struck out "Thrift Savings
    Fund (26-8141-0-7-602);" after item relating to administration of
    Territories, Northern Mariana Islands Covenant grants.
      Pub. L. 105-33, Sec. 10207(c)(1)(A), inserted item relating to
    activities financed by voluntary payments to Government.
      Subsec. (g)(1)(B). Pub. L. 105-33, Sec. 10207(c)(2)(E),
    substituted "Railroad Industry Pension Fund" for "Railroad
    retirement tier II".
      Pub. L. 105-33, Sec. 10207(c)(2)(D), inserted "Special workers
    compensation expenses," before "Longshoremen's and harborworkers'
    compensation benefits".
      Pub. L. 105-33, Sec. 10207(c)(2)(C), substituted "Claims Judges'
    Retirement Fund" for "Court of Federal Claims Judges' Retirement
    Fund".
      Pub. L. 105-33, Sec. 10207(c)(2)(B), substituted "Black Lung
    Disability Trust Fund" for "Black lung benefits".
      Pub. L. 105-33, Sec. 10207(c)(2)(A), substituted "The following
    Federal retirement and disability accounts" for "The following
    budget accounts" in introductory provisions.
      Subsec. (g)(2). Pub. L. 105-33, Sec. 10207(c)(3)(E), struck out
    items "Credit union share insurance fund (25-4468-0-3-371);" and
    "Economic development revolving fund (13-4406-0-3-452);" after item
    relating to credit liquidating accounts, item "Export-Import Bank
    of the United States, Limitation of program activity (83-4027-0-3-
    155);" after item relating to energy security reserve (Synthetic
    Fuels Corporation), item "Federal Deposit Insurance Corporation (51-
    8419-0-8-371);" after item relating to Federal Crop Insurance
    Corporation fund, items "Federal Housing Administration fund (86-
    4070-0-3-371);", "Federal ship financing fund (69-4301-0-3-403);",
    and "Federal ship financing fund, fishing vessels (13-4417-0-3-
    376);" after item relating to Federal Emergency Management Agency
    National insurance development fund, items "Government National
    Mortgage Association, Guarantees of mortgage-backed securities (86-
    4238-0-3-371);" and "Health education loans (75-4307-0-3-553);"
    after item relating to geothermal resources development fund, item
    "Indian loan guarantee and insurance fund (14-4410-0-3-452);" after
    item relating to homeowners assistance fund, defense, and items
    "Railroad rehabilitation and improvement financing fund (69-4411-0-
    3-401);", "Rural development insurance fund (12-4155-0-3-452);",
    "Rural electric and telephone revolving fund (12-4230-8-3-271);",
    "Rural housing insurance fund (12-4141-0-3-371);", "Small Business
    Administration, Business loan and investment fund (73-4154-0-3-
    376);", "Small Business Administration, Lease guarantees revolving
    fund (73-4157-0-3-376);", "Small Business Administration, Pollution
    control equipment contract guarantee revolving fund (73-4147-0-3-
    376);", "Small Business Administration, Surety bond guarantees
    revolving fund (73-4156-0-3-376);", and "Department of Veterans
    Affairs, Loan guaranty revolving fund (36-4025-0-3-704);" after
    item relating to rail service assistance.
      Pub. L. 105-33, Sec. 10207(c)(3)(D), inserted item relating to
    credit liquidating accounts.
      Pub. L. 105-33, Sec. 10207(c)(3)(C), struck out "Community
    development grant loan guarantees (86-0162-0-1-451);" after item
    relating to United States Treasury check forgery insurance fund.
      Pub. L. 105-33, Sec. 10207(c)(3)(B), substituted "United States
    Treasury check forgery insurance fund" for "Check forgery insurance
    fund".
      Pub. L. 105-33, Sec. 10207(c)(3)(A), struck out items "Agency for
    International Development, Housing, and other credit guarantee
    programs (72-4340-0-3-151);" and "Agricultural credit insurance
    fund (12-4140-0-3-351);" after "order issued under this
    subchapter:".
      Subsec. (h). Pub. L. 105-33, Sec. 10207(f), struck out heading
    and text of subsec. (h) relating to optional exemption of military
    personnel. Text read as follows:
      "(1) The President may, with respect to any military personnel
    account, exempt that account from sequestration or provide for a
    lower uniform percentage reduction than would otherwise apply.
      "(2) The President may not use the authority provided by
    paragraph (1) unless he notifies the Congress of the manner in
    which such authority will be exercised on or before the initial
    snapshot date for the budget year."
      Pub. L. 105-33, Sec. 10207(d)(4), inserted item relating to
    family support payments to States.
      Pub. L. 105-33, Sec. 10207(d)(3), substituted item relating to
    special supplemental nutrition program for women, infants, and
    children (WIC) for "Women, infants, and children program (12-3510-0-
    1-605).".
      Pub. L. 105-33, Sec. 10207(d)(2), inserted items relating to
    temporary assistance for needy families, contingency fund, and
    child care entitlement to States.
      Pub. L. 105-33, Sec. 10207(d)(1), substituted item relating to
    child nutrition programs for "Child nutrition (12-3539-0-1-605);".
      Subsec. (i). Pub. L. 105-33, Sec. 10207(e), amended heading and
    text of subsec. (i) generally. Prior to amendment, text read as
    follows: "For purposes of subsections (g) and (h) of this section,
    programs are identified by the designated budget account
    identification code numbers set forth in the Budget of the United
    States Government, 1986 - Appendix."
      1996 - Subsec. (g)(1)(A). Pub. L. 104-208, Sec. 2704(d)(10),
    which directed the amendment of subpar. (A) by substituting
    "Deposit Insurance Fund" for "Bank Insurance Fund" and by striking
    "Federal Deposit Insurance Corporation, Savings Association
    Insurance fund;", was not executed and was repealed by Pub. L. 109-
    171. See Effective Date of 1996 Amendments note below.
      Subsec. (h). Pub. L. 104-193 substituted "Block grants to States
    for temporary assistance for needy families;" for "Aid to families
    with dependent children (75-0412-0-1-609);".
      1992 - Subsec. (g)(1)(A). Pub. L. 102-572, Sec. 601(b), inserted
    item relating to payment to Judiciary Trust Funds.
      Pub. L. 102-486 inserted item relating to United States
    Enrichment Corporation.
      Subsec. (g)(1)(B). Pub. L. 102-572, Sec. 601(a), inserted items
    relating to Judicial Officers' Retirement Fund and Court of Federal
    Claims Judges' Retirement Fund.
      1991 - Subsec. (b). Pub. L. 102-83 substituted "section 2307 of
    title 38" for "section 907 of title 38" in item relating to burial
    benefits for veterans.
      Subsec. (g)(2). Pub. L. 102-54 substituted last two items
    relating to Department of Veterans Affairs for items relating to
    Veterans Administration, Loan guaranty revolving fund, and Veterans
    Administration, Servicemen's group life insurance fund.
      1990 - Subsec. (a). Pub. L. 101-508, Sec. 13101(c)(1), amended
    subsec. (a) generally. Prior to amendment, subsec. (a) read as
    follows: "Increases in benefits payable under the old-age,
    survivors, and disability insurance program established under title
    II of the Social Security Act, or in benefits payable under section
    231b(a), 231b(f)(3), 231c(a), or 231c(f) of title 45, shall not be
    considered 'automatic spending increases' for purposes of this
    title; and no reduction in any such increase or in any of the
    benefits involved shall be made under any order issued under this
    subchapter."
      Subsec. (e). Pub. L. 101-508, Sec. 13101(c)(2), amended subsec.
    (e) generally. Prior to amendment, subsec. (e) read as follows:
    "Offsetting receipts and collections shall not be reduced under any
    order issued under this subchapter."
      Subsec. (g)(1)(B). Pub. L. 101-508, Sec. 13101(c)(3), inserted
    item relating to railroad supplemental annuity pension fund.
      Subsec. (h). Pub. L. 101-508, Sec. 13101(c)(4), added subsec. (h)
    relating to optional exemption of military personnel.
      1989 - Subsec. (g)(1)(A). Pub. L. 101-220 inserted item relating
    to Farm Credit System Financial Assistance Corporation, interest
    payments, after item relating to Exchange stabilization fund.
      Pub. L. 101-73, Sec. 743(a)(1), inserted item relating to
    Director of the Office of Thrift Supervision after item relating to
    Comptroller of the Currency.
      Pub. L. 101-73, Sec. 743(a)(2), substituted items relating to
    Federal Deposit Insurance Corporation, Bank Insurance Fund; Federal
    Deposit Insurance Corporation, FSLIC Resolution Fund; and Federal
    Deposit Insurance Corporation, Savings Association Insurance Fund;
    for item relating to Federal Home Loan Bank Board.
      Pub. L. 101-73, Sec. 743(a)(3), substituted item relating to
    Federal Housing Finance Board for item relating to Federal Home
    Loan Bank Board, Federal Savings and Loan Insurance Corporation.
      Pub. L. 101-73, Sec. 743(a)(4), inserted items relating to
    Resolution Funding Corporation and Resolution Trust Corporation
    after item relating to Postal service fund.
      Subsec. (g)(2). Pub. L. 101-73, Sec. 743(c), struck out item
    relating to Federal Savings and Loan Insurance Corporation fund (82-
    4037-0-3-371).
      1987 - Subsec. (b). Pub. L. 100-119, Sec. 104(b)(1), inserted
    items relating to National Service Life Insurance Fund, Service-
    Disabled Veterans Insurance Fund, Veterans Special Life Insurance
    Fund, Veterans Reopened Insurance Fund, United States Government
    Life Insurance Fund, Veterans Insurance and Indemnity, Special
    Therapeutic and Rehabilitation Activities Fund, Veterans' Canteen
    Service Revolving Fund, benefits under chapter 21 of title 38
    relating to specially adapted and mortgage-protection life
    insurance for certain veterans and service-connected disabilities,
    benefits under section 907 of title 38 relating to burial benefits
    for veterans who die as a result of service-connected disability,
    and benefits under chapter 39 of title 38 relating to automobiles
    and adaptive equipment for certain disabled veterans and members of
    the Armed Forces.
      Subsec. (g)(1). Pub. L. 100-119, Sec. 104(a)(2), (b)(2), (3),
    designated existing provisions of par. (1) as subpar. (A); inserted
    items relating to Administration of Territories, Northern Mariana
    Islands Covenant grants, Thrift Savings Fund, Bureau of Indian
    Affairs, miscellaneous payments to Indians, Customs Service,
    miscellaneous permanent appropriations, higher education facilities
    loans and insurance, Internal Revenue Collections for Puerto Rico,
    Panama Canal Commission operating expenses and Panama Canal
    Commission capital outlay, to medical facilities guarantee and loan
    fund, Federal interest subsidies for medical facilities, Compact of
    Free Association, economic assistance pursuant to Public Law 99-
    658, payments to United States territories, fiscal assistance,
    payments to widows and heirs of deceased Members of Congress, and
    Washington Metropolitan Area Transit Authority, interest payments;
    and added subpar. (B).
      Pub. L. 100-86 inserted items relating to Comptroller of the
    Currency; Federal Deposit Insurance Corporation; Federal Home Loan
    Bank Board; Federal Home Loan Bank Board, Federal Savings and Loan
    Insurance Corporation; National Credit Union Administration;
    National Credit Union Administration, central liquidity facility;
    and National Credit Union Administration, credit union share
    insurance fund.
      Subsec. (g)(2). Pub. L. 100-119, Sec. 104(c)(1), struck out
    following items relating to Veterans Administration: national
    service life insurance fund, service-disabled veterans insurance
    fund, United States Government life insurance fund, veterans
    insurance and indemnities, veterans reopened insurance fund, and
    veterans special life insurance fund.
      Subsec. (h). Pub. L. 100-119, Sec. 104(a)(1), inserted item
    relating to commodity supplemental food program.
      1986 - Subsec. (d). Pub. L. 99-514 substituted "Internal Revenue
    Code of 1986" for "Internal Revenue Code of 1954", which for
    purposes of codification was translated as "title 26" thus
    requiring no change in text.
      Subsec. (g)(1). Pub. L. 99-509 inserted item relating to dual
    benefits payments account.

                     EFFECTIVE DATE OF 2006 AMENDMENT                 
      Amendment by Pub. L. 109-171 effective no later than the first
    day of the first calendar quarter that begins after the end of the
    90-day period beginning Feb. 8, 2006, see section 2102(c) of Pub.
    L. 109-171, set out as a Merger of BIF and SAIF note under section
    1821 of Title 12, Banks and Banking.

                     EFFECTIVE DATE OF 1996 AMENDMENTS                 
      Amendment by Pub. L. 104-208 effective Jan. 1, 1999, if no
    insured depository institution is a savings association on that
    date, see section 2704(c) of Pub. L. 104-208, formerly set out as a
    note under section 1821 of Title 12, Banks and Banking.
      Amendment by Pub. L. 104-193 effective July 1, 1997, with
    transition rules relating to State options to accelerate such date,
    rules relating to claims, actions, and proceedings commenced before
    such date, rules relating to closing out of accounts for terminated
    or substantially modified programs and continuance in office of
    Assistant Secretary for Family Support, and provisions relating to
    termination of entitlement under AFDC program, see section 116 of
    Pub. L. 104-193, as amended, set out as an Effective Date note
    under section 601 of Title 42, The Public Health and Welfare.

                     EFFECTIVE DATE OF 1992 AMENDMENT                 
      Section 1101(a) of Pub. L. 102-572 provided that: "Except as
    otherwise provided in this Act, the provisions of this Act and the
    amendments made by this Act [see Tables for classification] shall
    take effect on January 1, 1993."

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Section 7002(b) of Pub. L. 99-509 provided that: "The amendment
    made by subsection (a) [amending this section] shall apply to
    fiscal years beginning after September 30, 1986."

                        SOLDIERS' AND AIRMEN'S HOME                    
      The Soldiers' and Airmen's Home, referred to in subsec.
    (g)(1)(A), was incorporated into the Armed Forces Retirement Home
    by section 411 of Title 24, Hospitals and Asylums.


-TRANS-
                           TRANSFER OF FUNCTIONS                       
      For transfer of functions, personnel, assets, and liabilities of
    the United States Customs Service of the Department of the
    Treasury, including functions of the Secretary of the Treasury
    relating thereto, to the Secretary of Homeland Security, and for
    treatment of related references, see sections 203(1), 551(d),
    552(d), and 557 of Title 6, Domestic Security, and the Department
    of Homeland Security Reorganization Plan of November 25, 2002, as
    modified, set out as a note under section 542 of Title 6.
      For transfer of all functions, personnel, assets, components,
    authorities, grant programs, and liabilities of the Federal
    Emergency Management Agency, including the functions of the Under
    Secretary for Federal Emergency Management relating thereto, to the
    Federal Emergency Management Agency, see section 315(a)(1) of Title
    6, Domestic Security.
      For transfer of functions, personnel, assets, and liabilities of
    the Federal Emergency Management Agency, including the functions of
    the Director of the Federal Emergency Management Agency relating
    thereto, to the Secretary of Homeland Security, and for treatment
    of related references, see former section 313(1) and sections
    551(d), 552(d), and 557 of Title 6, Domestic Security, and the
    Department of Homeland Security Reorganization Plan of November 25,
    2002, as modified, set out as a note under section 542 of Title 6.

         TERMINATION OF UNITED STATES SYNTHETIC FUELS CORPORATION     
      The United States Synthetic Fuels Corporation was terminated by
    Pub. L. 99-272, title VII, Sec. 7403(b), Apr. 7, 1986, 100 Stat.
    144, set out as a note under section 8791 of Title 42, The Public
    Health and Welfare.

-FOOTNOTE-               

    (!1) So in original. The word "and" probably should follow
         "(12-3510-0-1-605);".

               

    (!2) So in original. The semicolon probably should be a period.


-End-



-CITE-
    2 USC Sec. 906                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 906. General and special sequestration rules

-STATUTE-
    (a) Automatic spending increases
      Automatic spending increases are increases in outlays due to
    changes in indexes in the following programs:
        (1) Special milk program; and
        (2) Vocational rehabilitation basic State grants.

    In those programs all amounts other than the automatic spending
    increases shall be exempt from reduction under any order issued
    under this subchapter.
    (b) Student loans
      For all student loans under part B or D of title IV of the Higher
    Education Act of 1965 [20 U.S.C. 1071 et seq., 1087a et seq.] made
    during the period when a sequestration order under section 904 of
    this title is in effect as required by section 902 or 903 of this
    title, origination fees under sections 438(c)(2) and 455(c) of that
    Act [20 U.S.C. 1087-1(c)(2), 1087e(c)] shall each be increased by
    0.50 percentage point.
    (c) Treatment of foster care and adoption assistance programs
      Any order issued by the President under section 904 of this title
    shall make the reduction which is otherwise required under the
    foster care and adoption assistance programs (established by part E
    of title IV of the Social Security Act [42 U.S.C. 670 et seq.])
    only with respect to payments and expenditures made by States in
    which increases in foster care maintenance payment rates or
    adoption assistance payment rates (or both) are to take effect
    during the fiscal year involved, and only to the extent that the
    required reduction can be accomplished by applying a uniform
    percentage reduction to the Federal matching payments that each
    such State would otherwise receive under section 474 of that Act
    [42 U.S.C. 674] (for such fiscal year) for that portion of the
    State's payments which is attributable to the increases taking
    effect during that year. No State's matching payments from the
    Federal Government for foster care maintenance payments or for
    adoption assistance maintenance payments may be reduced by a
    percentage exceeding the applicable domestic sequestration
    percentage. No State may, after December 12, 1985, make any change
    in the timetable for making payments under a State plan approved
    under part E of title IV of the Social Security Act which has the
    effect of changing the fiscal year in which expenditures under such
    part are made.
    (d) Special rules for Medicare program
      (1) Calculation of reduction in individual payment amounts
        To achieve the total percentage reduction in those programs
      required by sections 902 and 903 of this title, and
      notwithstanding section 710 of the Social Security Act [42 U.S.C.
      911], OMB shall determine, and the applicable Presidential order
      under section 904 of this title shall implement, the percentage
      reduction that shall apply to payments under the health insurance
      programs under title XVIII of the Social Security Act [42 U.S.C.
      1395 et seq.] for services furnished after the order is issued,
      such that the reduction made in payments under that order shall
      achieve the required total percentage reduction in those payments
      for that fiscal year as determined on a 12-month basis.
      (2) Timing of application of reductions
        (A) In general
          Except as provided in subparagraph (B), if a reduction is
        made under paragraph (1) in payment amounts pursuant to a
        sequestration order, the reduction shall be applied to payment
        for services furnished during the effective period of the
        order. For purposes of the previous sentence, in the case of
        inpatient services furnished for an individual, the services
        shall be considered to be furnished on the date of the
        individual's discharge from the inpatient facility.
        (B) Payment on the basis of cost reporting periods
          In the case in which payment for services of a provider of
        services is made under title XVIII of the Social Security Act
        [42 U.S.C. 1395 et seq.] on a basis relating to the reasonable
        cost incurred for the services during a cost reporting period
        of the provider, if a reduction is made under paragraph (1) in
        payment amounts pursuant to a sequestration order, the
        reduction shall be applied to payment for costs for such
        services incurred at any time during each cost reporting period
        of the provider any part of which occurs during the effective
        period of the order, but only (for each such cost reporting
        period) in the same proportion as the fraction of the cost
        reporting period that occurs during the effective period of the
        order.
      (3) No increase in beneficiary charges in assignment-related
        cases
        If a reduction in payment amounts is made under paragraph (1)
      for services for which payment under part B of title XVIII of the
      Social Security Act [42 U.S.C. 1395j et seq.] is made on the
      basis of an assignment described in section 1842(b)(3)(B)(ii) [42
      U.S.C. 1395u(b)(3)(B)(ii)], in accordance with section
      1842(b)(6)(B) [42 U.S.C. 1395u(b)(6)(B)], or under the procedure
      described in section 1870(f)(1) [42 U.S.C. 1395gg(f)(1)], of such
      Act, the person furnishing the services shall be considered to
      have accepted payment of the reasonable charge for the services,
      less any reduction in payment amount made pursuant to a
      sequestration order, as payment in full.
      (4) No effect on computation of AAPCC
        In computing the adjusted average per capita cost for purposes
      of section 1876(a)(4) of the Social Security Act [42 U.S.C.
      1395mm(a)(4)], the Secretary of Health and Human Services shall
      not take into account any reductions in payment amounts which
      have been or may be effected under this subchapter.
    (e) Community and migrant health centers, Indian health services
      and facilities, and veterans' medical care
      (1) The maximum permissible reduction in budget authority for any
    account listed in paragraph (2) for any fiscal year, pursuant to an
    order issued under section 904 of this title, shall be 2 percent.
      (2) The accounts referred to in paragraph (1) are as follows:
        (A) Community health centers (75-0350-0-1-550).
        (B) Migrant health centers (75-0350-0-1-550).
        (C) Indian health facilities (75-0391-0-1-551).
        (D) Indian health services (75-0390-0-1-551).
        (E) Veterans' medical care (36-0160-0-1-703).

    For purposes of the preceding provisions of this paragraph,
    programs are identified by the designated budget account
    identification code numbers set forth in the Budget of the United
    States Government - Appendix.
    (f) Treatment of child support enforcement program
      Notwithstanding any change in the display of budget accounts, any
    order issued by the President under section 904 of this title shall
    accomplish the full amount of any required reduction in
    expenditures under sections 455 and 458 of the Social Security Act
    [42 U.S.C. 655, 658a] by reducing the Federal matching rate for
    State administrative costs under such program, as specified (for
    the fiscal year involved) in section 455(a) of such Act, to the
    extent necessary to reduce such expenditures by that amount.
    (g) Federal pay
      (1) In general
        For purposes of any order issued under section 904 of this
      title - 
          (A) Federal pay under a statutory pay system, and
          (B) elements of military pay,

      shall be subject to reduction under an order in the same manner
      as other administrative expense components of the Federal budget;
      except that no such order may reduce or have the effect of
      reducing the rate of pay to which any individual is entitled
      under any such statutory pay system (as increased by any amount
      payable under section 5304 of title 5 or section 302 of the
      Federal Employees Pay Comparability Act of 1990) or the rate of
      any element of military pay to which any individual is entitled
      under title 37, or any increase in rates of pay which is
      scheduled to take effect under section 5303 of title 5, section
      1009 of title 37, or any other provision of law.
      (2) Definitions
        For purposes of this subsection:
          (A) The term "statutory pay system" shall have the meaning
        given that term in section 5302(1) of title 5.
          (B) The term "elements of military pay" means - 
            (i) the elements of compensation of members of the
          uniformed services specified in section 1009 of title 37,
            (ii) allowances provided members of the uniformed services
          under sections 403a and 405 of such title, and
            (iii) cadet pay and midshipman pay under section 203(c) of
          such title.

          (C) The term "uniformed services" shall have the meaning
        given that term in section 101(3) of title 37.
    (h) Treatment of Federal administrative expenses
      (1) Notwithstanding any other provision of this title,(!1)
    administrative expenses incurred by the departments and agencies,
    including independent agencies, of the Federal Government in
    connection with any program, project, activity, or account shall be
    subject to reduction pursuant to an order issued under section 904
    of this title, without regard to any exemption, exception,
    limitation, or special rule which is otherwise applicable with
    respect to such program, project, activity, or account under this
    subchapter.

      (2) Notwithstanding any other provision of law, administrative
    expenses of any program, project, activity, or account which is
    self-supporting and does not receive appropriations shall be
    subject to reduction under a sequester order, unless specifically
    exempted in this subchapter.
      (3) Payments made by the Federal Government to reimburse or match
    administrative costs incurred by a State or political subdivision
    under or in connection with any program, project, activity, or
    account shall not be considered administrative expenses of the
    Federal Government for purposes of this section, and shall be
    subject to reduction or sequestration under this subchapter to the
    extent (and only to the extent) that other payments made by the
    Federal Government under or in connection with that program,
    project, activity, or account are subject to such reduction or
    sequestration; except that Federal payments made to a State as
    reimbursement of administrative costs incurred by such State under
    or in connection with the unemployment compensation programs
    specified in subsection (h)(1) (!1) of this section shall be
    subject to reduction or sequestration under this subchapter
    notwithstanding the exemption otherwise granted to such programs
    under that subsection.
      (4) Notwithstanding any other provision of law, this subsection
    shall not apply with respect to the following:
        (A) Comptroller of the Currency.
        (B) Federal Deposit Insurance Corporation.
        (C) Office of Thrift Supervision.
        (D) National Credit Union Administration.
        (E) National Credit Union Administration, central liquidity
      facility.
        (F) Federal Retirement Thrift Investment Board.
        (G) Resolution Trust Corporation.
        (H) Farm Credit Administration.
    (i) Treatment of payments and advances made with respect to
      unemployment compensation programs
      (1) For purposes of section 904 of this title - 
        (A) any amount paid as regular unemployment compensation by a
      State from its account in the Unemployment Trust Fund
      (established by section 904(a) of the Social Security Act [42
      U.S.C. 1104(a)]),
        (B) any advance made to a State from the Federal unemployment
      account (established by section 904(g) of such Act [42 U.S.C.
      1104(g)]) under title XII of such Act [42 U.S.C. 1321 et seq.]
      and any advance appropriated to the Federal unemployment account
      pursuant to section 1203 of such Act [42 U.S.C. 1323], and
        (C) any payment made from the Federal Employees Compensation
      Account (as established under section 909 of such Act [42 U.S.C.
      1109]) for the purpose of carrying out chapter 85 of title 5 and
      funds appropriated or transferred to or otherwise deposited in
      such Account,

    shall not be subject to reduction.
      (2)(A) A State may reduce each weekly benefit payment made under
    the Federal-State Extended Unemployment Compensation Act of 1970
    for any week of unemployment occurring during any period with
    respect to which payments are reduced under an order issued under
    section 904 of this title by a percentage not to exceed the
    percentage by which the Federal payment to the State under section
    204 of such Act is to be reduced for such week as a result of such
    order.
      (B) A reduction by a State in accordance with subparagraph (A)
    shall not be considered as a failure to fulfill the requirements of
    section 3304(a)(11) of title 26.
    (j) Commodity Credit Corporation
      (1) Powers and authorities of the Commodity Credit Corporation
        This title (!2) shall not restrict the Commodity Credit
      Corporation in the discharge of its authority and responsibility
      as a corporation to buy and sell commodities in world trade, to
      use the proceeds as a revolving fund to meet other obligations
      and otherwise operate as a corporation, the purpose for which it
      was created.

      (2) Reduction in payments made under contracts
        (A) Loan eligibility under any contract entered into with a
      person by the Commodity Credit Corporation prior to the time an
      order has been issued under section 904 of this title shall not
      be reduced by an order subsequently issued. Subject to
      subparagraph (B), after an order is issued under such section for
      a fiscal year, any cash payments for loans or loan deficiencies
      made by the Commodity Credit Corporation shall be subject to
      reduction under the order.
        (B) Each loan contract entered into with producers or producer
      cooperatives with respect to a particular crop of a commodity and
      subject to reduction under subparagraph (A) shall be reduced in
      accordance with the same terms and conditions. If some, but not
      all, contracts applicable to a crop of a commodity have been
      entered into prior to the issuance of an order under section 904
      of this title, the order shall provide that the necessary
      reduction in payments under contracts applicable to the commodity
      be uniformly applied to all contracts for the next succeeding
      crop of the commodity, under the authority provided in paragraph
      (3).
      (3) Delayed reduction in outlays permissible
        Notwithstanding any other provision of this title,(!2) if an
      order under section 904 of this title is issued with respect to a
      fiscal year, any reduction under the order applicable to
      contracts described in paragraph (1) may provide for reductions
      in outlays for the account involved to occur in the fiscal year
      following the fiscal year to which the order applies.
      (4) Uniform percentage rate of reduction and other limitations
        All reductions described in paragraph (2) which are required to
      be made in connection with an order issued under section 904 of
      this title with respect to a fiscal year shall be made so as to
      ensure that outlays for each program, project, activity, or
      account involved are reduced by a percentage rate that is uniform
      for all such programs, projects, activities, and accounts, and
      may not be made so as to achieve a percentage rate of reduction
      in any such item exceeding the rate specified in the order.
      (5) Dairy program
        Notwithstanding any other provision of this subsection, as the
      sole means of achieving any reduction in outlays under the milk
      price support program, the Secretary of Agriculture shall provide
      for a reduction to be made in the price received by producers for
      all milk produced in the United States and marketed by producers
      for commercial use. That price reduction (measured in cents per
      hundred weight of milk marketed) shall occur under section
      1446(d)(2)(A) of title 7, shall begin on the day any
      sequestration order is issued under section 904 of this title,
      and shall not exceed the aggregate amount of the reduction in
      outlays under the milk price support program that otherwise would
      have been achieved by reducing payments for the purchase of milk
      or the products of milk under this subsection during the
      applicable fiscal year.
      (6) Certain authority not to be limited
        Nothing in this joint resolution shall limit or reduce, in any
      way, any appropriation that provides the Commodity Credit
      Corporation with budget authority to cover the Corporation's net
      realized losses.
    (k) Effects of sequestration
      The effects of sequestration shall be as follows:
        (1) Budgetary resources sequestered from any account shall be
      permanently cancelled, except as provided in paragraph (5).
        (2) Except as otherwise provided, the same percentage
      sequestration shall apply to all programs, projects, and
      activities within a budget account (with programs, projects, and
      activities as delineated in the appropriation Act or accompanying
      report for the relevant fiscal year covering that account, or for
      accounts not included in appropriation Acts, as delineated in the
      most recently submitted President's budget).
        (3) Administrative regulations or similar actions implementing
      a sequestration shall be made within 120 days of the
      sequestration order. To the extent that formula allocations
      differ at different levels of budgetary resources within an
      account, program, project, or activity, the sequestration shall
      be interpreted as producing a lower total appropriation, with the
      remaining amount of the appropriation being obligated in a manner
      consistent with program allocation formulas in substantive law.
        (4) Except as otherwise provided, obligations in sequestered
      accounts shall be reduced only in the fiscal year in which a
      sequester occurs.
        (5) If an automatic spending increase is sequestered, the
      increase (in the applicable index) that was disregarded as a
      result of that sequestration shall not be taken into account in
      any subsequent fiscal year.
        (6) Budgetary resources sequestered in revolving, trust, and
      special fund accounts and offsetting collections sequestered in
      appropriation accounts shall not be available for obligation
      during the fiscal year in which the sequestration occurs, but
      shall be available in subsequent years to the extent otherwise
      provided in law.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 256, Dec. 12, 1985, 99 Stat. 1086;
    Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095; Pub. L. 100-
    86, title V, Sec. 506(b), Aug. 10, 1987, 101 Stat. 634; Pub. L.
    100-119, title I, Secs. 102(b)(2), (3), (11), 104(a)(3), (4), Sept.
    29, 1987, 101 Stat. 773, 775, 776; Pub. L. 101-73, title VII, Sec.
    743(b), Aug. 9, 1989, 103 Stat. 437; Pub. L. 101-508, title XIII,
    Sec. 13101(d), Nov. 5, 1990, 104 Stat. 1388-589; Pub. L. 101-509,
    title V, Sec. 529 [title I, Sec. 101(b)(2)(A), (4)(H)], Nov. 5,
    1990, 104 Stat. 1427, 1439, 1440; Pub. L. 104-193, title I, Sec.
    110(r)(2), Aug. 22, 1996, 110 Stat. 2175; Pub. L. 105-33, title X,
    Sec. 10208(a)(1), (b)-(g), Aug. 5, 1997, 111 Stat. 708-710.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      The Higher Education Act of 1965, referred to in subsec. (b), is
    Pub. L. 89-329, Nov. 8, 1965, 79 Stat. 1219, as amended. Parts B
    and D of title IV of the Act are classified generally to parts B
    (Sec. 1071 et seq.) and C (Sec. 1087a et seq.) of subchapter IV of
    chapter 28 of Title 20, Education. For complete classification of
    this Act to the Code, see Short Title note set out under section
    1001 of Title 20 and Tables.
      The Social Security Act, referred to in subsecs. (c), (d)(1),
    (2)(B), (3), and (i)(1)(B), is act Aug. 14, 1935, ch. 531, 49 Stat.
    620, as amended. Part E of title IV of the Social Security Act is
    classified generally to part E (Sec. 670 et seq.) of subchapter IV
    of chapter 7 of Title 42, The Public Health and Welfare. Titles XII
    and XVIII of the Social Security Act are classified generally to
    subchapters XII (Sec. 1321 et seq.) and XVIII (Sec. 1395 et seq.),
    respectively, of chapter 7 of Title 42. Part B of title XVIII of
    the Social Security Act is classified generally to part B (Sec.
    1395j et seq.) of subchapter XVIII of chapter 7 of Title 42. For
    complete classification of this Act to the Code, see section 1305
    of Title 42 and Tables.
      Section 302 of the Federal Employees Pay Comparability Act of
    1990, referred to in subsec. (g)(1), is section 529 [title III,
    Sec. 302] of Pub. L. 101-509, which is set out as a note under
    section 5304 of Title 5, Government Organization and Employees.
      This title, referred to in subsecs. (h)(1) and (j)(1), (3), means
    title II (Sec. 200 et seq.) of Pub. L. 99-177, Dec. 12, 1985, 99
    Stat. 1038, known as the Balanced Budget and Emergency Deficit
    Control Act of 1985. For complete classification of this Act to the
    Code, see Short Title note set out under section 900 of this title
    and Tables.
      This joint resolution, referred to in subsec. (j)(6), means Pub.
    L. 99-177, Dec. 12, 1985, 99 Stat. 1037, as amended, which enacted
    this chapter and sections 654 to 656 of this title, amended
    sections 602, 622, 631 to 642, and 651 to 653 of this title,
    sections 1104 to 1106, 1109, and 3101 of Title 31, Money and
    Finance, and section 911 of Title 42, The Public Health and
    Welfare, repealed section 661 of this title, enacted provisions set
    out as notes under section 900 of this title and section 911 of
    Title 42, and amended provisions set out as a note under section
    621 of this title. For complete classification of this Act to the
    Code, see Tables.
      Subsec. (h)(1) of this section, referred to in subsec. (h)(3),
    was redesignated subsec. (i)(1) of this section by Pub. L. 101-508,
    title XIII, Sec. 13101(d)(2), Nov. 5, 1990, 104 Stat. 1388-589.
      The Federal-State Extended Unemployment Compensation Act of 1970,
    referred to in subsec. (i)(2)(A), is title II of Pub. L. 91-373,
    Aug. 10, 1970, 84 Stat. 708, as amended, which is classified
    generally as a note under section 3304 of Title 26, Internal
    Revenue Code. Section 204 of such Act is set out in the note under
    section 3304 of Title 26. For complete classification of this Act
    to the Code, see Tables.


-MISC1-
                                AMENDMENTS                            
      1997 - Pub. L. 105-33, Sec. 10208(a)(1), substituted "General and
    special sequestration rules" for "Exceptions, limitations, and
    special rules" as section catchline.
      Subsec. (a). Pub. L. 105-33, Sec. 10208(b), redesignated pars.
    (2) and (3) as (1) and (2), respectively, and struck out former
    par. (1) which read as follows: "National Wool Act;".
      Subsec. (b). Pub. L. 105-33, Sec. 10208[(c)], amended subsec. (b)
    generally, substituting new heading and text for former text
    consisting of pars. (1) to (3) relating to reductions required to
    be achieved from student loan programs operated under part B of
    title IV of the Higher Education Act of 1965 as a consequence of a
    sequestration order. Amendment was executed to reflect the probable
    intent of Congress based on language directing the general
    amendment of subsec. (b), appearing in the conference report for
    H.R. 2015, H. Rept. No. 105-217, 105th Congress, as adopted by the
    House of Representatives and Senate.
      Subsec. (e)(1). Pub. L. 105-33, Sec. 10208(d), substituted "shall
    be 2 percent." for "shall be - " and struck out subpars. (A) and
    (B) which read as follows:
      "(A) 1 percent in the case of the fiscal year 1986, and
      "(B) 2 percent in the case of any subsequent fiscal year."
      Subsec. (h)(2). Pub. L. 105-33, Sec. 10208(e)(1), substituted
    "this subchapter" for "this joint resolution".
      Subsec. (h)(4)(D). Pub. L. 105-33, Sec. 10208(e)(2), redesignated
    subpar. (E) as (D) and struck out former subpar. (D) which read as
    follows: "Office of Thrift Supervision."
      Subsec. (h)(4)(E) to (G). Pub. L. 105-33, Sec. 10208(e)(2),
    redesignated subpars. (F), (G), and (I) as (E), (F), and (G),
    respectively. Former subpar. (E) redesignated (D).
      Subsec. (h)(4)(H). Pub. L. 105-33, Sec. 10208(e)(2), added
    subpar. (H) and struck out former subpar. (H) which read as
    follows: "Resolution Funding Corporation."
      Subsec. (h)(4)(I). Pub. L. 105-33, Sec. 10208(e)(2), redesignated
    subpar. (I) as (G).
      Subsec. (j)(2) to (5). Pub. L. 105-33, Sec. 10208(f), added pars.
    (2) to (5) and struck out former pars. (2) to (5) which related to
    reduction in payments made under contracts, delayed reduction in
    outlays permissible, uniform percentage rate of reduction and other
    limitations, and no double reduction for agricultural price support
    and income protection programs.
      Subsec. (k)(1). Pub. L. 105-33, Sec. 10208(g)(1), struck out
    "other than a trust or special fund account" after "from any
    account" and inserted ", except as provided in paragraph (5)"
    before period.
      Subsec. (k)(6). Pub. L. 105-33, Sec. 10208(g)(2), amended par.
    (6) generally. Prior to amendment, par. (6) read as follows:
    "Except as otherwise provided, sequestration in trust and special
    fund accounts for which obligations are indefinite shall be taken
    in a manner to ensure that obligations in the fiscal year of a
    sequestration are reduced, from the level that would actually have
    occurred, by the applicable sequestration percentage."
      1996 - Subsecs. (k), (l). Pub. L. 104-193 redesignated subsec.
    (l) as (k) and struck out former subsec. (k) which related to
    special rules for JOBS portion of AFDC, providing that any order
    under section 904 accomplish full amount of any required
    sequestration of job opportunities and basic skills training
    program, and setting forth new allotment formula.
      1990 - Subsec. (a). Pub. L. 101-508, Sec. 13101(d)(1), amended
    subsec. (a) generally, substituting provisions relating to
    automatic spending increases for provisions relating to effect of
    reductions and sequestrations.
      Subsec. (b). Pub. L. 101-508, Sec. 13101(d)(3), substituted
    "section 904 of this title" for "section 902 of this title" in
    pars. (1) to (3).
      Pub. L. 101-508, Sec. 13101(d)(2), redesignated subsec. (c) as
    (b). Former subsec. (b) redesignated (h).
      Subsec. (c). Pub. L. 101-508, Sec. 13101(d)(4), inserted after
    first sentence "No State's matching payments from the Federal
    Government for foster care maintenance payments or for adoption
    assistance maintenance payments may be reduced by a percentage
    exceeding the applicable domestic sequestration percentage."
      Pub. L. 101-508, Sec. 13101(d)(3), substituted "section 904 of
    this title" for "section 902 of this title".
      Pub. L. 101-508, Sec. 13101(d)(2), redesignated subsec. (f) as
    (c). Former subsec. (c) redesignated (b).
      Subsec. (d)(1). Pub. L. 101-508, Sec. 13101(d)(5), amended par.
    (1) generally. Prior to amendment, par. (1) read as follows: "The
    maximum permissible reduction for the health insurance programs
    under title XVIII of the Social Security Act for any fiscal year,
    pursuant to an order issued under section 902 of this title,
    consists only of a reduction of - 
        "(A) 1 percent in the case of fiscal year 1986, and
        "(B) 2 percent (or such higher percentage as may apply as
      determined in accordance with section 902(a)(4)(B)(ii) of this
      title) in the case of any subsequent fiscal year,
    in each separate payment amount otherwise made for a covered
    service under those programs without regard to this subchapter."
      Subsec. (d)(2)(C). Pub. L. 101-508, Sec. 13101(d)(6), struck out
    subpar. (C) which read as follows: "For purposes of this paragraph,
    the effective period of a sequestration order for fiscal year 1986
    is the period beginning on March 1, 1986, and ending on September
    30, 1986."
      Subsec. (e). Pub. L. 101-508, Sec. 13101(d)(2), redesignated
    subsec. (k) as (e). Former subsec. (e) redesignated (f).
      Subsec. (e)(1). Pub. L. 101-508, Sec. 13101(d)(3), substituted
    "section 904 of this title" for "section 902 of this title".
      Subsec. (f). Pub. L. 101-508, Sec. 13101(d)(3), substituted
    "section 904 of this title" for "section 902 of this title".
      Pub. L. 101-508, Sec. 13101(d)(2), redesignated subsec. (e) as
    (f). Former subsec. (f) redesignated (c).
      Subsec. (g)(1). Pub. L. 101-509, Sec. 529 [title I, Sec.
    101(b)(4)(H)], in closing provisions, inserted "(as increased by
    any amount payable under section 5304 of title 5 or section 302 of
    the Federal Employees Pay Comparability Act of 1990)" after "pay
    system" and substituted "5303" for "5305".
      Pub. L. 101-508, Sec. 13101(d)(3), substituted "section 904 of
    this title" for "section 902 of this title".
      Subsec. (g)(2)(A). Pub. L. 101-509, Sec. 529 [title I, Sec.
    101(b)(2)(A)], substituted "5302(1)" for "5301(c)".
      Subsec. (h). Pub. L. 101-508, Sec. 13101(d)(2), redesignated
    subsec. (b) as (h). Former subsec. (h) redesignated (i).
      Subsec. (h)(1). Pub. L. 101-508, Sec. 13101(d)(3), substituted
    "section 904 of this title" for "section 902 of this title".
      Subsec. (i). Pub. L. 101-508, Sec. 13101(d)(2), redesignated
    subsec. (h) as (i) and struck out former subsec. (i) which related
    to treatment of mine worker disability compensation increases as
    automatic spending increases.
      Subsec. (i)(1), (2)(A). Pub. L. 101-508, Sec. 13101(d)(3),
    substituted "section 904 of this title" for "section 902 of this
    title".
      Subsec. (j). Pub. L. 101-508, Sec. 13101(d)(3), substituted
    "section 904 of this title" for "section 902 of this title"
    wherever appearing in pars. (2) to (5).
      Subsec. (k). Pub. L. 101-508, Sec. 13101(d)(2), added subsec.
    (k). Former subsec. (k) redesignated (e).
      Subsec. (l). Pub. L. 101-508, Sec. 13101(d)(2), added subsec. (l)
    and struck out former subsec. (l) which related to treatment of
    obligated balances.
      1989 - Subsec. (b)(4)(C). Pub. L. 101-73, Sec. 743(b)(1),
    substituted "Office of Thrift Supervision" for "Federal Home Loan
    Bank Board".
      Subsec. (b)(4)(D). Pub. L. 101-73, Sec. 743(b)(2), substituted
    "Office of Thrift Supervision" for "Federal Savings and Loan
    Insurance Corporation".
      Subsec. (b)(4)(H), (I). Pub. L. 101-73, Sec. 743(b)(3), added
    subpars. (H) and (I).
      1987 - Subsec. (a)(2). Pub. L. 100-119, Sec. 102(b)(2), amended
    par. (2) generally. Prior to amendment, par. (2) read as follows:
    "Any amount of new budget authority, unobligated balances,
    obligated balances, new loan guarantee commitments, new direct loan
    obligations, spending authority (as defined in section 651(c)(2) of
    this title), or obligation limitations which is sequestered or
    reduced pursuant to an order issued under section 902 of this title
    is permanently cancelled, with the exception of amounts sequestered
    in special or trust funds, which shall remain in such funds and be
    available in accordance with and to the extent permitted by law,
    including the provisions of this Act."
      Subsec. (b)(4). Pub. L. 100-86 added par. (4).
      Subsec. (b)(4)(G). Pub. L. 100-119, Sec. 104(a)(3), added subpar.
    (G).
      Subsec. (d)(1)(B). Pub. L. 100-119, Sec. 102(b)(11), inserted
    "(or such higher percentage as may apply as determined in
    accordance with section 902(a)(4)(B)(ii) of this title)".
      Subsec. (e). Pub. L. 100-119, Sec. 104(a)(4), substituted
    "Notwithstanding any change in the display of budget accounts, any
    order" for "Any order".
      Subsec. (l). Pub. L. 100-119, Sec. 102(b)(3), amended subsec. (l)
    generally, striking out provisions which had created an "existing
    contract" exception to the rule of obligated balances not being
    subject to reduction under an order issued under section 902 of
    this title, under which existing contracts in major functional
    category 050 (other than (A) those contracts which included a
    specified penalty for cancellation or modification by the
    Government and which if so cancelled or modified would have
    resulted (due to such penalty) in a net loss to the Government for
    the fiscal year, and (B) those contracts the reduction of which
    would have violated the legal obligations of the Government) were
    subject to reduction, in accordance with section 901(d)(3) of this
    title, under an order issued under section 902 of this title.
      1986 - Subsec. (h)(2)(B). Pub. L. 99-514 substituted "Internal
    Revenue Code of 1986" for "Internal Revenue Code of 1954", which
    for purposes of codification was translated as "title 26" thus
    requiring no change in text.

                     EFFECTIVE DATE OF 1996 AMENDMENT                 
      Amendment by Pub. L. 104-193 effective July 1, 1997, with
    transition rules relating to State options to accelerate such date,
    rules relating to claims, actions, and proceedings commenced before
    such date, rules relating to closing out of accounts for terminated
    or substantially modified programs and continuance in office of
    Assistant Secretary for Family Support, and provisions relating to
    termination of entitlement under AFDC program, see section 116 of
    Pub. L. 104-193, set out as a note under section 601 of Title 42,
    The Public Health and Welfare.

                     EFFECTIVE DATE OF 1990 AMENDMENT                 
      Amendment by Pub. L. 101-509 effective on such date as the
    President shall determine, but not earlier than 90 days, and not
    later than 180 days, after Nov. 5, 1990, see section 529 [title
    III, Sec. 305] of Pub. L. 101-509, set out as a note under section
    5301 of Title 5, Government Organization and Employees.

-FOOTNOTE-
    (!1) See References in Text note below.

    (!2) See References in Text note below.


-End-



-CITE-
    2 USC Sec. 907                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 907. The baseline

-STATUTE-
    (a) In general
      For any budget year, the baseline refers to a projection of
    current-year levels of new budget authority, outlays, revenues, and
    the surplus or deficit into the budget year and the outyears based
    on laws enacted through the applicable date.
    (b) Direct spending and receipts
      For the budget year and each outyear, the baseline shall be
    calculated using the following assumptions:
      (1) In general
        Laws providing or creating direct spending and receipts are
      assumed to operate in the manner specified in those laws for each
      such year and funding for entitlement authority is assumed to be
      adequate to make all payments required by those laws.
      (2) Exceptions
        (A)(i) No program established by a law enacted on or before
      August 5, 1997, with estimated current year outlays greater than
      $50,000,000 shall be assumed to expire in the budget year or the
      outyears. The scoring of new programs with estimated outlays
      greater than $50,000,000 a year shall be based on scoring by the
      Committees on Budget or OMB, as applicable. OMB, CBO, and the
      Budget Committees shall consult on the scoring of such programs
      where there are differenes (!1) between CBO and OMB.

        (ii) On the expiration of the suspension of a provision of law
      that is suspended under section 7301 of title 7 and that
      authorizes a program with estimated fiscal year outlays that are
      greater than $50,000,000, for purposes of clause (i), the program
      shall be assumed to continue to operate in the same manner as the
      program operated immediately before the expiration of the
      suspension.
        (B) The increase for veterans' compensation for a fiscal year
      is assumed to be the same as that required by law for veterans'
      pensions unless otherwise provided by law enacted in that
      session.
        (C) Excise taxes dedicated to a trust fund, if expiring, are
      assumed to be extended at current rates.
        (D) If any law expires before the budget year or any outyear,
      then any program with estimated current year outlays greater than
      $50,000,000 that operates under that law shall be assumed to
      continue to operate under that law as in effect immediately
      before its expiration.
      (3) Hospital Insurance Trust Fund
        Notwithstanding any other provision of law, the receipts and
      disbursements of the Hospital Insurance Trust Fund shall be
      included in all calculations required by this Act.
    (c) Discretionary appropriations
      For the budget year and each outyear, the baseline shall be
    calculated using the following assumptions regarding all amounts
    other than those covered by subsection (b) of this section:
      (1) Inflation of current-year appropriations
        Budgetary resources other than unobligated balances shall be at
      the level provided for the budget year in full-year appropriation
      Acts. If for any account a full-year appropriation has not yet
      been enacted, budgetary resources other than unobligated balances
      shall be at the level available in the current year, adjusted
      sequentially and cumulatively for expiring housing contracts as
      specified in paragraph (2), for social insurance administrative
      expenses as specified in paragraph (3), to offset pay absorption
      and for pay annualization as specified in paragraph (4), for
      inflation as specified in paragraph (5), and to account for
      changes required by law in the level of agency payments for
      personnel benefits other than pay.
      (2) Expiring housing contracts
        New budget authority to renew expiring multiyear subsidized
      housing contracts shall be adjusted to reflect the difference in
      the number of such contracts that are scheduled to expire in that
      fiscal year and the number expiring in the current year, with the
      per-contract renewal cost equal to the average current-year cost
      of renewal contracts.
      (3) Social insurance administrative expenses
        Budgetary resources for the administrative expenses of the
      following trust funds shall be adjusted by the percentage change
      in the beneficiary population from the current year to that
      fiscal year: the Federal Hospital Insurance Trust Fund, the
      Supplementary Medical Insurance Trust Fund, the Unemployment
      Trust Fund, and the railroad retirement account.
      (4) Pay annualization; offset to pay absorption
        Current-year new budget authority for Federal employees shall
      be adjusted to reflect the full 12-month costs (without
      absorption) of any pay adjustment that occurred in that fiscal
      year.
      (5) Inflators
        The inflator used in paragraph (1) to adjust budgetary
      resources relating to personnel shall be the percent by which the
      average of the Bureau of Labor Statistics Employment Cost Index
      (wages and salaries, private industry workers) for that fiscal
      year differs from such index for the current year. The inflator
      used in paragraph (1) to adjust all other budgetary resources
      shall be the percent by which the average of the estimated gross
      domestic product chain-type price index for that fiscal year
      differs from the average of such estimated index for the current
      year.
      (6) Current-year appropriations
        If, for any account, a continuing appropriation is in effect
      for less than the entire current year, then the current-year
      amount shall be assumed to equal the amount that would be
      available if that continuing appropriation covered the entire
      fiscal year. If law permits the transfer of budget authority
      among budget accounts in the current year, the current-year level
      for an account shall reflect transfers accomplished by the
      submission of, or assumed for the current year in, the
      President's original budget for the budget year.
    (d) Up-to-date concepts
      In deriving the baseline for any budget year or outyear, current-
    year amounts shall be calculated using the concepts and
    definitions that are required for that budget year.
    (e) Asset sales
      Amounts realized from the sale of an asset shall not be included
    in estimates under section 901, 902, or 903 of this title if that
    sale would result in a financial cost to the Federal Government as
    determined pursuant to scorekeeping guidelines.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 257, formerly Secs. 251(a)(6)(I),
    257, Dec. 12, 1985, 99 Stat. 1092; Pub. L. 100-119, title I, Secs.
    102(a), (b)(4)-(8), 104(c)(2), 106(b), Sept. 29, 1987, 101 Stat.
    754, 773, 774, 777, 780; renumbered Sec. 257 and amended Pub. L.
    101-508, title XIII, Sec. 13101(b), (e)(1), (2), Nov. 5, 1990, 104
    Stat. 1388-589, 1388-591, 1388-593; Pub. L. 105-33, title X, Sec.
    10209(a), Aug. 5, 1997, 111 Stat. 710.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      This Act, referred to in subsec. (b)(3), means Pub. L. 99-177,
    Dec. 12, 1985, 99 Stat. 1037, as amended, which enacted this
    chapter and sections 654 to 656 of this title, amended sections
    602, 622, 631 to 642, and 651 to 653 of this title, sections 1104
    to 1106, 1109, and 3101 of Title 31, Money and Finance, and section
    911 of Title 42, The Public Health and Welfare, repealed section
    661 of this title, enacted provisions set out as notes under
    section 900 of this title and section 911 of Title 42, and amended
    provisions set out as a note under section 621 of this title. For
    complete classification of this Act to the Code, see Tables.

-COD-
                               CODIFICATION                           
      Pub. L. 101-508, Sec. 13101(b), redesignated former par. (12) of
    this section as section 250(c)(21) (now 250(c)(19)) of Pub. L. 99-
    177, which is classified to section 900(c)(19) of this title.
      Pub. L. 101-508, Sec. 13101(e)(2), transferred section
    251(a)(6)(I) of Pub. L. 99-177, which was classified to section
    901(a)(6)(I) of this title, to subsec. (e) of this section.


-MISC1-
                                AMENDMENTS                            
      1997 - Subsec. (b)(2)(A). Pub. L. 105-33, Sec. 10209(a)(1),
    amended subpar. (A) generally. Prior to amendment, subpar. (A) read
    as follows: "No program with estimated current-year outlays greater
    than $50 million shall be assumed to expire in the budget year or
    outyears."
      Subsec. (b)(2)(D). Pub. L. 105-33, Sec. 10209(a)(2), added
    subpar. (D).
      Subsec. (c)(5). Pub. L. 105-33, Sec. 10209(a)(3), substituted
    "domestic product chain-type price index" for "national product
    fixed-weight price index".
      Subsec. (e). Pub. L. 105-33, Sec. 10209(a)(4), added subsec. (e)
    and struck out former subsec. (e) which read as follows: "The sale
    of an asset or prepayment of a loan shall not alter the deficit or
    produce any net deficit reduction in the budget baseline, except
    that the budget baseline estimate shall include asset sales
    mandated by law before September 18, 1987, and routine, ongoing
    asset sales and loan prepayments at levels consistent with agency
    operations in fiscal year 1986;".
      1990 - Pub. L. 101-508, Sec. 13101(e)(1), amended section
    generally, substituting provisions relating to baseline for
    provisions relating to definitions.
      Subsec. (e). Pub. L. 101-508, Sec. 13101(e)(2), redesignated
    section 901(a)(6)(I) of this title as subsec. (e) of this section,
    and substituted "The" for "assuming, for purposes of this paragraph
    and subparagraph (A)(i) of paragraph (3), that the".
      1987 - Pub. L. 100-119, Sec. 102(a), amended section 901 of this
    title generally, adding subsec. (a)(6)(I). See 1990 Amendment note
    above.
      Par. (1). Pub. L. 100-119, Sec. 104(c)(2), struck out provisions
    of former subpar. (A) that "automatic spending increase" meant
    increases in budget outlays due to changes in indexes in the
    following Federal programs:
        "Black lung benefits (20-8144-0-7-601);
        "Central Intelligence Agency retirement and disability system
      fund (56-3400-0-1-054);
        "Civil service retirement and disability fund (24-8135-0-7-
      602);
        "Comptrollers general retirement system (05-0107-0-1-801);
        "Foreign service retirement and disability fund (19-8186-0-7-
      602);
        "Judicial survivors' annuities fund (10-8110-0-7-602);
        "Longshoremen's and harborworkers' compensation benefits (16-
      9971-0-7-601);
        "Military retirement fund (97-8097-0-7-602);
        "National Oceanic and Atmospheric Administration retirement (13-
      1450-0-1-306);
        "Pensions for former Presidents (47-0105-0-1-802);
        "Railroad retirement tier II (60-8011-0-7-601);
        "Retired pay, Coast Guard (69-0241-0-1-403);
        "Retirement pay and medical benefits for commissioned officers,
      Public Health Service (75-0379-0-1-551);
        "Special benefits, Federal Employees' Compensation Act (16-1521-
      0-1-600);
        "Special benefits for disabled coal miners (75-0409-0-1-601);
      and
        "Tax Court judges survivors annuity fund (23-8115-0-7-602)."
      Par. (7). Pub. L. 100-119, Sec. 102(b)(4), amended par. (7)
    generally. Prior to amendment, par. (7) read as follows: "The terms
    'sequester' and 'sequestration' (subject to section 902(a)(4) of
    this title) refer to or mean the cancellation of new budget
    authority, unobligated balances, obligated balances, new loan
    guarantee commitments, new direct loan obligations, and spending
    authority as defined in section 651(c)(2) of this title, and the
    reduction of obligation limitations."
      Par. (9). Pub. L. 100-119, Sec. 102(b)(5), added par. (9).
      Par. (10). Pub. L. 100-119, Sec. 106(b), added par. (10).
      Par. (11). Pub. L. 100-119, Sec. 102(b)(6), added par. (11).
      Par. (12). Pub. L. 100-119, Sec. 102(b)(7), added par. (12).
      Pars. (13), (14). Pub. L. 100-119, Sec. 102(b)(8), added pars.
    (13) and (14).

     DEFINITION OF TERMS USED IN BALANCED BUDGET AND EMERGENCY DEFICIT
                            CONTROL ACT OF 1985
      Pub. L. 101-163, title III, Sec. 315, Nov. 21, 1989, 103 Stat.
    1066, provided that: "Effective in the case of this Act and any
    subsequent Act making appropriations for the Legislative Branch,
    for purposes of the Balanced Budget and Emergency Deficit Control
    Act of 1985 (Public Law 99-177), as amended [see Short Title note
    set out under section 900 of this title], or any other Act which
    requires a uniform percentage reduction in accounts in this Act and
    any subsequent Act making appropriations for the Legislative
    Branch, the accounts under the general heading 'Senate', and the
    accounts under the general heading 'House of Representatives',
    shall each be considered to be one appropriation account and one
    'program, project, and activity'."
      Pub. L. 100-202, Sec. 101(i) [title III, Sec. 306], Dec. 22,
    1987, 101 Stat. 1329-290, 1329-309, provided that: "Hereafter, for
    purposes of the Balanced Budget and Emergency Deficit Control Act
    of 1985 (Public Law 99-177), as amended [see Short Title note set
    out under section 900 of this title], the term 'program, project,
    and activity' shall be synonymous with each appropriation account
    in this Act [see Tables for classification], except that the
    accounts under the general heading 'House of Representatives' shall
    be considered one appropriation account and one 'program, project,
    and activity', and the accounts under the general heading 'Senate'
    shall be considered one appropriation account and one 'program,
    project, and activity'."

          COST-OF-LIVING ADJUSTMENTS IN CERTAIN FEDERAL BENEFITS      
      Pub. L. 99-509, title VII, Sec. 7001, Oct. 21, 1986, 100 Stat.
    1948, provided that:
      "(a) In General. - Benefits which are payable in calendar year
    1987, 1988, 1989, 1990, or 1991, under programs listed in section
    257(1)(A) of the Balanced Budget and Emergency Deficit Control Act
    of 1985 (Public Law 99-177), [2 U.S.C. 907(1)(A)], including any
    cost-of-living adjustment in such benefits, shall not be subject to
    modification, suspension, or reduction in such calendar year
    pursuant to a Presidential order issued under such Act [see Short
    Title note set out under 2 U.S.C. 900].
      "(b) Definition. - For purposes of this section, the term 'cost-
    of-living adjustment' means any increase or change in the amount
    of a benefit or in standards relating to such benefit under any
    provision of Federal law which requires such increase or change as
    a result of any change in the Consumer Price Index (or any
    component thereof) or any other index which measures costs, prices,
    or wages."

-FOOTNOTE-
    (!1) So in original. Probably should be "differences".


-End-



-CITE-
    2 USC Sec. 907a                                             01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 907a. Suspension in event of war or low growth

-STATUTE-
    (a) Procedures in event of low-growth report
      (1) Trigger
        Whenever CBO issues a low-growth report under section
      254(j),(!1) the Majority Leader of the House of Representatives
      may, and the Majority Leader of the Senate shall, introduce a
      joint resolution (in the form set forth in paragraph (2))
      declaring that the conditions specified in section 254(j) (!1)
      are met and suspending the relevant provisions of this title,(!1)
      titles III and VI (!1) of the Congressional Budget Act of 1974 [2
      U.S.C. 631 et seq.], and section 1103 of title 31.

      (2) Form of joint resolution
        (A) The matter after the resolving clause in any joint
      resolution introduced pursuant to paragraph (1) shall be as
      follows: "That the Congress declares that the conditions
      specified in section 254(j) (!1) of the Balanced Budget and
      Emergency Deficit Control Act of 1985 are met, and the
      implementation of the Congressional Budget and Impoundment
      Control Act of 1974, chapter 11 of title 31, United States Code,
      and part C of the Balanced Budget and Emergency Deficit Control
      Act of 1985 are modified as described in section 258(b) of the
      Balanced Budget and Emergency Deficit Control Act of 1985."
        (B) The title of the joint resolution shall be "Joint
      resolution suspending certain provisions of law pursuant to
      section 258(a)(2) of the Balanced Budget and Emergency Deficit
      Control Act of 1985."; and the joint resolution shall not contain
      any preamble.
      (3) Committee action
        Each joint resolution introduced pursuant to paragraph (1)
      shall be referred to the appropriate committees of the House of
      Representatives or the Committee on the Budget of the Senate, as
      the case may be; and such Committee shall report the joint
      resolution to its House without amendment on or before the fifth
      day on which such House is in session after the date on which the
      joint resolution is introduced. If the Committee fails to report
      the joint resolution within the five-day period referred to in
      the preceding sentence, it shall be automatically discharged from
      further consideration of the joint resolution, and the joint
      resolution shall be placed on the appropriate calendar.
      (4) Consideration of joint resolution
        (A) A vote on final passage of a joint resolution reported to
      the Senate or discharged pursuant to paragraph (3) shall be taken
      on or before the close of the fifth calendar day of session after
      the date on which the joint resolution is reported or after the
      Committee has been discharged from further consideration of the
      joint resolution. If prior to the passage by one House of a joint
      resolution of that House, that House receives the same joint
      resolution from the other House, then - 
          (i) the procedure in that House shall be the same as if no
        such joint resolution had been received from the other House,
        but
          (ii) the vote on final passage shall be on the joint
        resolution of the other House.

      When the joint resolution is agreed to, the Clerk of the House of
      Representatives (in the case of a House joint resolution agreed
      to in the House of Representatives) or the Secretary of the
      Senate (in the case of a Senate joint resolution agreed to in the
      Senate) shall cause the joint resolution to be engrossed,
      certified, and transmitted to the other House of the Congress as
      soon as practicable.
        (B)(i) In the Senate, a joint resolution under this paragraph
      shall be privileged. It shall not be in order to move to
      reconsider the vote by which the motion is agreed to or disagreed
      to.
        (ii) Debate in the Senate on a joint resolution under this
      paragraph, and all debatable motions and appeals in connection
      therewith, shall be limited to not more than five hours. The time
      shall be equally divided between, and controlled by, the majority
      leader and the minority leader or their designees.
        (iii) Debate in the Senate on any debatable motion or appeal in
      connection with a joint resolution under this paragraph shall be
      limited to not more than one hour, to be equally divided between,
      and controlled by, the mover and the manager of the joint
      resolution, except that in the event the manager of the joint
      resolution is in favor of any such motion or appeal, the time in
      opposition thereto shall be controlled by the minority leader or
      his designee.
        (iv) A motion in the Senate to further limit debate on a joint
      resolution under this paragraph is not debatable. A motion to
      table or to recommit a joint resolution under this paragraph is
      not in order.
        (C) No amendment to a joint resolution considered under this
      paragraph shall be in order in the Senate.
    (b) Suspension of sequestration procedures
      Upon the enactment of a declaration of war or a joint resolution
    described in subsection (a) of this section - 
        (1) the subsequent issuance of any sequestration report or any
      sequestration order is precluded;
        (2) sections 302(f), 310(d), 311(a), and title VI (!1) of the
      Congressional Budget Act of 1974 [2 U.S.C. 633(f), 641(d),
      642(a)] are suspended; and
        (3) section 1103 of title 31 is suspended.
    (c) Restoration of sequestration procedures
      (1) In the event of a suspension of sequestration procedures due
    to a declaration of war, then, effective with the first fiscal year
    that begins in the session after the state of war is concluded by
    Senate ratification of the necessary treaties, the provisions of
    subsection (b) of this section triggered by that declaration of war
    are no longer effective.
      (2) In the event of a suspension of sequestration procedures due
    to the enactment of a joint resolution described in subsection (a)
    of this section, then, effective with regard to the first fiscal
    year beginning at least 12 months after the enactment of that
    resolution, the provisions of subsection (b) of this section
    triggered by that resolution are no longer effective.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 258, as added Pub. L. 101-508,
    title XIII, Sec. 13101(f), Nov. 5, 1990, 104 Stat. 1388-593.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      Section 254 and section 254 of the Balanced Budget and Emergency
    Deficit Control Act of 1985, referred to in subsec. (a)(1), (2)(A),
    mean section 254 of Pub. L. 99-177, which is classified to section
    904 of this title, and was amended by Pub. L. 105-33, title X, Sec.
    10206(1), Aug. 5, 1997, 111 Stat. 704, by redesignating subsecs.
    (j) and (k) as (i) and (j), respectively.
      This title, referred to in subsec. (a)(1), means title II (Sec.
    200 et seq.) of Pub. L. 99-177, Dec. 12, 1985, 99 Stat. 1038, as
    amended, known as the Balanced Budget and Emergency Deficit Control
    Act of 1985. For complete classification of this Act to the Code,
    see Short Title note set out under section 900 of this title and
    Tables.
      The Congressional Budget Act of 1974, referred to in subsecs.
    (a)(1) and (b)(2), is titles I to IX of Pub. L. 93-344, July 12,
    1974, 88 Stat. 297, as amended. Title III of the Act is classified
    generally to subchapter I (Sec. 631 et seq.) of chapter 17A of this
    title. Title VI of the Act was classified generally to subchapter
    IV (Sec. 665 et seq.) of chapter 17A of this title prior to repeal
    by Pub. L. 105-33, title X, Sec. 10118(a), Aug. 5, 1997, 111 Stat.
    695. For complete classification of this Act to the Code, see Short
    Title note set out under section 621 of this title and Tables.
      The Congressional Budget and Impoundment Control Act of 1974,
    referred to in subsec. (a)(2)(A), is Pub. L. 93-344, July 12, 1974,
    88 Stat. 297, as amended. For complete classification of this Act
    to the Code, see Short Title note set out under section 621 of this
    title and Tables.
      Part C of the Balanced Budget and Emergency Deficit Control Act
    of 1985, referred to in subsec. (a)(2)(A), is classified generally
    to this subchapter. Section 258 of the Act is classified to this
    section.


-MISC1-
                             PRIOR PROVISIONS                         
      A prior section 258 of Pub. L. 99-177 was classified to section
    908 of this title prior to repeal by Pub. L. 105-33, title X, Sec.
    10210, Aug. 5, 1997, 111 Stat. 711.

-FOOTNOTE-
    (!1) See References in Text note below.


-End-



-CITE-
    2 USC Sec. 907b                                             01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 907b. Modification of Presidential order

-STATUTE-
    (a) Introduction of joint resolution
      At any time after the Director of OMB issues a final
    sequestration report under section 904 of this title for a fiscal
    year, but before the close of the twentieth calendar day of the
    session of Congress beginning after the date of issuance of such
    report, the majority leader of either House of Congress may
    introduce a joint resolution which contains provisions directing
    the President to modify the most recent order issued under section
    904 of this title or provide an alternative to reduce the deficit
    for such fiscal year. After the introduction of the first such
    joint resolution in either House of Congress in any calendar year,
    then no other joint resolution introduced in such House in such
    calendar year shall be subject to the procedures set forth in this
    section.
    (b) Procedures for consideration of joint resolutions
      (1) Referral to committee
        A joint resolution introduced in the Senate under subsection
      (a) of this section shall not be referred to a committee of the
      Senate and shall be placed on the calendar pending disposition of
      such joint resolution in accordance with this subsection.
      (2) Consideration in Senate
        On or after the third calendar day (excluding Saturdays,
      Sundays, and legal holidays) beginning after a joint resolution
      is introduced under subsection (a) of this section,
      notwithstanding any rule or precedent of the Senate, including
      Rule XXII of the Standing Rules of the Senate, it is in order
      (even though a previous motion to the same effect has been
      disagreed to) for any Member of the Senate to move to proceed to
      the consideration of the joint resolution. The motion is not in
      order after the eighth calendar day (excluding Saturdays,
      Sundays, and legal holidays) beginning after a joint resolution
      (to which the motion applies) is introduced. The joint resolution
      is privileged in the Senate. A motion to reconsider the vote by
      which the motion is agreed to or disagreed to shall not be in
      order. If a motion to proceed to the consideration of the joint
      resolution is agreed to, the Senate shall immediately proceed to
      consideration of the joint resolution without intervening motion,
      order, or other business, and the joint resolution shall remain
      the unfinished business of the Senate until disposed of.
      (3) Debate in Senate
        (A) In the Senate, debate on a joint resolution introduced
      under subsection (a) of this section, amendments thereto, and all
      debatable motions and appeals in connection therewith shall be
      limited to not more than 10 hours, which shall be divided equally
      between the majority leader and the minority leader (or their
      designees).
        (B) A motion to postpone, or a motion to proceed to the
      consideration of other business is not in order. A motion to
      reconsider the vote by which the joint resolution is agreed to or
      disagreed to is not in order, and a motion to recommit the joint
      resolution is not in order.
        (C)(i) No amendment that is not germane to the provisions of
      the joint resolution or to the order issued under section 904 of
      this title shall be in order in the Senate. In the Senate, an
      amendment, any amendment to an amendment, or any debatable motion
      or appeal is debatable for not to exceed 30 minutes to be equally
      divided between, and controlled by, the mover and the majority
      leader (or their designees), except that in the event that the
      majority leader favors the amendment, motion, or appeal, the
      minority leader (or the minority leader's designee) shall control
      the time in opposition to the amendment, motion, or appeal.
        (ii) In the Senate, an amendment that is otherwise in order
      shall be in order notwithstanding the fact that it amends the
      joint resolution in more than one place or amends language
      previously amended. It shall not be in order in the Senate to
      vote on the question of agreeing to such a joint resolution or
      any amendment thereto unless the figures then contained in such
      joint resolution or amendment are mathematically consistent.
      (4) Vote on final passage
        Immediately following the conclusion of the debate on a joint
      resolution introduced under subsection (a) of this section, a
      single quorum call at the conclusion of the debate if requested
      in accordance with the rules of the Senate, and the disposition
      of any pending amendments under paragraph (3), the vote on final
      passage of the joint resolution shall occur.
      (5) Appeals
        Appeals from the decisions of the Chair shall be decided
      without debate.
      (6) Conference reports
        In the Senate, points of order under titles III, IV, and VI
      (!1) of the Congressional Budget Act of 1974 [2 U.S.C. 631 et
      seq., 651 et seq.] are applicable to a conference report on the
      joint resolution or any amendments in disagreement thereto.

      (7) Resolution from other House
        If, before the passage by the Senate of a joint resolution of
      the Senate introduced under subsection (a) of this section, the
      Senate receives from the House of Representatives a joint
      resolution introduced under subsection (a) of this section, then
      the following procedures shall apply:
          (A) The joint resolution of the House of Representatives
        shall not be referred to a committee and shall be placed on the
        calendar.
          (B) With respect to a joint resolution introduced under
        subsection (a) of this section in the Senate - 
            (i) the procedure in the Senate shall be the same as if no
          joint resolution had been received from the House; but
            (ii)(I) the vote on final passage shall be on the joint
          resolution of the House if it is identical to the joint
          resolution then pending for passage in the Senate; or
            (II) if the joint resolution from the House is not
          identical to the joint resolution then pending for passage in
          the Senate and the Senate then passes the Senate joint
          resolution, the Senate shall be considered to have passed the
          House joint resolution as amended by the text of the Senate
          joint resolution.

          (C) Upon disposition of the joint resolution received from
        the House, it shall no longer be in order to consider the
        resolution originated in the Senate.
      (8) Senate action on House resolution
        If the Senate receives from the House of Representatives a
      joint resolution introduced under subsection (a) of this section
      after the Senate has disposed of a Senate originated resolution
      which is identical to the House passed joint resolution, the
      action of the Senate with regard to the disposition of the Senate
      originated joint resolution shall be deemed to be the action of
      the Senate with regard to the House originated joint resolution.
      If it is not identical to the House passed joint resolution, then
      the Senate shall be considered to have passed the joint
      resolution of the House as amended by the text of the Senate
      joint resolution.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 258A, as added Pub. L. 101-508,
    title XIII, Sec. 13101(f), Nov. 5, 1990, 104 Stat. 1388-595.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      The Congressional Budget Act of 1974, referred to in subsec.
    (b)(6), is titles I to IX of Pub. L. 93-344, July 12, 1974, 88
    Stat. 297, as amended. Titles III and IV of the Act are classified
    generally to subchapters I (Sec. 631 et seq.) and II (Sec. 651 et
    seq.), respectively, of chapter 17A of this title. Title VI of the
    Act was classified generally to subchapter IV (Sec. 665 et seq.) of
    chapter 17A of this title prior to repeal by Pub. L. 105-33, title
    X, Sec. 10118(a), Aug. 5, 1997, 111 Stat. 695. For complete
    classification of this Act to the Code, see Short Title note set
    out under section 621 of this title and Tables.

-FOOTNOTE-
    (!1) See References in Text note below.


-End-



-CITE-
    2 USC Sec. 907c                                             01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 907c. Flexibility among defense programs, projects, and
      activities

-STATUTE-
    (a) Reductions beyond amount specified in Presidential order
      Subject to subsections (b), (c), and (d) of this section, new
    budget authority and unobligated balances for any programs,
    projects, or activities within major functional category 050 (other
    than a military personnel account) may be further reduced beyond
    the amount specified in an order issued by the President under
    section 904 of this title for such fiscal year. To the extent such
    additional reductions are made and result in additional outlay
    reductions, the President may provide for lesser reductions in new
    budget authority and unobligated balances for other programs,
    projects, or activities within major functional category 050 for
    such fiscal year, but only to the extent that the resulting outlay
    increases do not exceed the additional outlay reductions, and no
    such program, project, or activity may be increased above the level
    actually made available by law in appropriation Acts (before taking
    sequestration into account). In making calculations under this
    subsection, the President shall use account outlay rates that are
    identical to those used in the report by the Director of OMB under
    section 904 of this title.
    (b) Base closures prohibited
      No actions taken by the President under subsection (a) of this
    section for a fiscal year may result in a domestic base closure or
    realignment that would otherwise be subject to section 2687 of
    title 10.
    (c) Report and joint resolution required
      The President may not exercise the authority provided by this
    paragraph (!1) for a fiscal year unless - 

        (1) the President submits a single report to Congress
      specifying, for each account, the detailed changes proposed to be
      made for such fiscal year pursuant to this section;
        (2) that report is submitted within 5 calendar days of the
      start of the next session of Congress; and
        (3) a joint resolution affirming or modifying the changes
      proposed by the President pursuant to this paragraph (!1) becomes
      law.
    (d) Introduction of joint resolution
      Within 5 calendar days of session after the President submits a
    report to Congress under subsection (c)(1) of this section for a
    fiscal year, the majority leader of each House of Congress shall
    (by request) introduce a joint resolution which contains provisions
    affirming the changes proposed by the President pursuant to this
    paragraph.(!1)
    (e) Form and title of joint resolution
      (1) The matter after the resolving clause in any joint resolution
    introduced pursuant to subsection (d) of this section shall be as
    follows: "That the report of the President as submitted on [Insert
    Date] under section 258B is hereby approved."
      (2) The title of the joint resolution shall be "Joint resolution
    approving the report of the President submitted under section 258B
    of the Balanced Budget and Emergency Deficit Control Act of 1985."
      (3) Such joint resolution shall not contain any preamble.
    (f) Calendaring and consideration of joint resolution in Senate
      (1) A joint resolution introduced in the Senate under subsection
    (d) of this section shall be referred to the Committee on
    Appropriations, and if not reported within 5 calendar days
    (excluding Saturdays, Sundays, and legal holidays) from the date of
    introduction shall be considered as having been discharged
    therefrom and shall be placed on the appropriate calendar pending
    disposition of such joint resolution in accordance with this
    subsection. In the Senate, no amendment proposed in the Committee
    on Appropriations shall be in order other than an amendment (in the
    nature of a substitute) that is germane or relevant to the
    provisions of the joint resolution or to the order issued under
    section 904 of this title. For purposes of this paragraph, an
    amendment shall be considered to be relevant if it relates to
    function 050 (national defense).
      (2) On or after the third calendar day (excluding Saturdays,
    Sundays, and legal holidays) beginning after a joint resolution is
    placed on the Senate calendar, notwithstanding any rule or
    precedent of the Senate, including Rule XXII of the Standing Rules
    of the Senate, it is in order (even though a previous motion to the
    same effect has been disagreed to) for any Member of the Senate to
    move to proceed to the consideration of the joint resolution. The
    motion is not in order after the eighth calendar day (excluding
    Saturdays, Sundays, and legal holidays) beginning after such joint
    resolution is placed on the appropriate calendar. The motion is not
    debatable. The joint resolution is privileged in the Senate. A
    motion to reconsider the vote by which the motion is agreed to or
    disagreed to shall not be in order. If a motion to proceed to the
    consideration of the joint resolution is agreed to, the Senate
    shall immediately proceed to consideration of the joint resolution
    without intervening motion, order, or other business, and the joint
    resolution shall remain the unfinished business of the Senate until
    disposed of.
    (g) Debate of joint resolution; motions
      (1) In the Senate, debate on a joint resolution introduced under
    subsection (d) of this section, amendments thereto, and all
    debatable motions and appeals in connection therewith shall be
    limited to not more than 10 hours, which shall be divided equally
    between the majority leader and the minority leader (or their
    designees).
      (2) A motion to postpone, or a motion to proceed to the
    consideration of other business is not in order. A motion to
    reconsider the vote by which the joint resolution is agreed to or
    disagreed to is not in order. In the Senate, a motion to recommit
    the joint resolution is not in order.
    (h) Amendment of joint resolution
      (1) No amendment that is not germane or relevant to the
    provisions of the joint resolution or to the order issued under
    section 904 of this title shall be in order in the Senate. For
    purposes of this paragraph, an amendment shall be considered to be
    relevant if it relates to function 050 (national defense). In the
    Senate, an amendment, any amendment to an amendment, or any
    debatable motion or appeal is debatable for not to exceed 30
    minutes to be equally divided between, and controlled by, the mover
    and the majority leader (or their designees), except that in the
    event that the majority leader favors the amendment, motion, or
    appeal, the minority leader (or the minority leader's designee)
    shall control the time in opposition to the amendment, motion, or
    appeal.
      (2) In the Senate, an amendment that is otherwise in order shall
    be in order notwithstanding the fact that it amends the joint
    resolution in more than one place or amends language previously
    amended, so long as the amendment makes or maintains mathematical
    consistency. It shall not be in order in the Senate to vote on the
    question of agreeing to such a joint resolution or any amendment
    thereto unless the figures then contained in such joint resolution
    or amendment are mathematically consistent.
      (3) It shall not be in order in the Senate to consider any
    amendment to any joint resolution introduced under subsection (d)
    of this section or any conference report thereon if such amendment
    or conference report would have the effect of decreasing any
    specific budget outlay reductions below the level of such outlay
    reductions provided in such joint resolution unless such amendment
    or conference report makes a reduction in other specific budget
    outlays at least equivalent to any increase in outlays provided by
    such amendment or conference report.
      (4) For purposes of the application of paragraph (3), the level
    of outlays and specific budget outlay reductions provided in an
    amendment shall be determined on the basis of estimates made by the
    Committee on the Budget of the Senate.
    (i) Vote on final passage of joint resolution
      Immediately following the conclusion of the debate on a joint
    resolution introduced under subsection (d) of this section, a
    single quorum call at the conclusion of the debate if requested in
    accordance with the rules of the Senate, and the disposition of any
    pending amendments under subsection (h) of this section, the vote
    on final passage of the joint resolution shall occur.
    (j) Appeal from decision of Chair
      Appeals from the decisions of the Chair relating to the
    application of the rules of the Senate to the procedure relating to
    a joint resolution described in subsection (d) of this section
    shall be decided without debate.
    (k) Conference reports
      In the Senate, points of order under titles III and IV of the
    Congressional Budget Act of 1974 [2 U.S.C. 631 et seq., 651 et
    seq.] (including points of order under sections 302(c), 303(a),
    306, and 401(b)(1) [2 U.S.C. 633(c), 634(a), 637, 651(b)(1)]) are
    applicable to a conference report on the joint resolution or any
    amendments in disagreement thereto.
    (l) Resolution from other House
      If, before the passage by the Senate of a joint resolution of the
    Senate introduced under subsection (d) of this section, the Senate
    receives from the House of Representatives a joint resolution
    introduced under subsection (d) of this section, then the following
    procedures shall apply:
        (1) The joint resolution of the House of Representatives shall
      not be referred to a committee.
        (2) With respect to a joint resolution introduced under
      subsection (d) of this section in the Senate - 
          (A) the procedure in the Senate shall be the same as if no
        joint resolution had been received from the House; but
          (B)(i) the vote on final passage shall be on the joint
        resolution of the House if it is identical to the joint
        resolution then pending for passage in the Senate; or
          (ii) if the joint resolution from the House is not identical
        to the joint resolution then pending for passage in the Senate
        and the Senate then passes the Senate joint resolution, the
        Senate shall be considered to have passed the House joint
        resolution as amended by the text of the Senate joint
        resolution.

        (3) Upon disposition of the joint resolution received from the
      House, it shall no longer be in order to consider the joint
      resolution originated in the Senate.
    (m) Senate action on House resolution
      If the Senate receives from the House of Representatives a joint
    resolution introduced under subsection (d) of this section after
    the Senate has disposed of a Senate originated joint resolution
    which is identical to the House passed joint resolution, the action
    of the Senate with regard to the disposition of the Senate
    originated joint resolution shall be deemed to be the action of the
    Senate with regard to the House originated joint resolution. If it
    is not identical to the House passed joint resolution, then the
    Senate shall be considered to have passed the joint resolution of
    the House as amended by the text of the Senate joint resolution.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 258B, as added Pub. L. 101-508,
    title XIII, Sec. 13101(g), Nov. 5, 1990, 104 Stat. 1388-597.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2002. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-REFTEXT-
                            REFERENCES IN TEXT                        
      Section 258B, referred to in subsec. (e)(1), (2), means section
    258B of Pub. L. 99-177, which is classified to this section.
      The Congressional Budget Act of 1974, referred to in subsec. (k),
    is titles I to IX of Pub. L. 93-344, July 12, 1974, 88 Stat. 297,
    as amended. Titles III and IV of the Act are classified generally
    to subchapters I (Sec. 631 et seq.) and II (Sec. 651 et seq.) of
    chapter 17A of this title. For complete classification of this Act
    to the Code, see Short Title note set out under section 621 of this
    title and Tables.

-FOOTNOTE-
    (!1) So in original. Probably should be "section".


-End-



-CITE-
    2 USC Sec. 907d                                             01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 907d. Special reconciliation process

-STATUTE-
    (a) Reporting of resolutions and reconciliation bills and
      resolutions, in Senate
      (1) Committee alternatives to Presidential order
        After the submission of an OMB sequestration update report
      under section 904 of this title that envisions a sequestration
      under section 902 or 903 of this title, each standing committee
      of the Senate may, not later than October 10, submit to the
      Committee on the Budget of the Senate information of the type
      described in section 632(d) of this title with respect to
      alternatives to the order envisioned by such report insofar as
      such order affects laws within the jurisdiction of the committee.
      (2) Initial Budget Committee action
        After the submission of such a report, the Committee on the
      Budget of the Senate may, not later than October 15, report to
      the Senate a resolution. The resolution may affirm the impact of
      the order envisioned by such report, in whole or in part. To the
      extent that any part is not affirmed, the resolution shall state
      which parts are not affirmed and shall contain instructions to
      committees of the Senate of the type referred to in section
      641(a) of this title, sufficient to achieve at least the total
      level of deficit reduction contained in those sections which are
      not affirmed.
      (3) Response of committees
        Committees instructed pursuant to paragraph (2), or affected
      thereby, shall submit their responses to the Budget Committee no
      later than 10 days after the resolution referred to in paragraph
      (2) is agreed to, except that if only one such Committee is so
      instructed such Committee shall, by the same date, report to the
      Senate a reconciliation bill or reconciliation resolution
      containing its recommendations in response to such instructions.
      A committee shall be considered to have complied with all
      instructions to it pursuant to a resolution adopted under
      paragraph (2) if it has made recommendations with respect to
      matters within its jurisdiction which would result in a reduction
      in the deficit at least equal to the total reduction directed by
      such instructions.
      (4) Budget Committee action
        Upon receipt of the recommendations received in response to a
      resolution referred to in paragraph (2), the Budget Committee
      shall report to the Senate a reconciliation bill or
      reconciliation resolution, or both, carrying out all such
      recommendations without any substantive revisions. In the event
      that a committee instructed in a resolution referred to in
      paragraph (2) fails to submit any recommendation (or, when only
      one committee is instructed, fails to report a reconciliation
      bill or resolution) in response to such instructions, the Budget
      Committee shall include in the reconciliation bill or
      reconciliation resolution reported pursuant to this subparagraph
      legislative language within the jurisdiction of the noncomplying
      committee to achieve the amount of deficit reduction directed in
      such instructions.
      (5) Point of order
        It shall not be in order in the Senate to consider any
      reconciliation bill or reconciliation resolution reported under
      paragraph (4) with respect to a fiscal year, any amendment
      thereto, or any conference report thereon if - 
          (A) the enactment of such bill or resolution as reported;
          (B) the adoption and enactment of such amendment; or
          (C) the enactment of such bill or resolution in the form
        recommended in such conference report,

      would cause the amount of the deficit for such fiscal year to
      exceed the maximum deficit amount for such fiscal year, unless
      the low-growth report submitted under section 904 of this title
      projects negative real economic growth for such fiscal year, or
      for each of any two consecutive quarters during such fiscal year.
      (6) Treatment of certain amendments
        In the Senate, an amendment which adds to a resolution reported
      under paragraph (2) an instruction of the type referred to in
      such paragraph shall be in order during the consideration of such
      resolution if such amendment would be in order but for the fact
      that it would be held to be non-germane on the basis that the
      instruction constitutes new matter.
      (7) "Day" defined
        For purposes of paragraphs (1), (2), and (3), the term "day"
      shall mean any calendar day on which the Senate is in session.
    (b) Procedures
      (1) In general
        Except as provided in paragraph (2), in the Senate the
      provisions of sections 636 and 641 of this title for the
      consideration of concurrent resolutions on the budget and
      conference reports thereon shall also apply to the consideration
      of resolutions, and reconciliation bills and reconciliation
      resolutions reported under this paragraph and conference reports
      thereon.
      (2) Limit on debate
        Debate in the Senate on any resolution reported pursuant to
      subsection (a)(2) of this section, and all amendments thereto and
      debatable motions and appeals in connection therewith, shall be
      limited to 10 hours.
      (3) Limitation on amendments
        Section 641(d)(2) of this title shall apply to reconciliation
      bills and reconciliation resolutions reported under this
      subsection.
      (4) Bills and resolutions received from the House
        Any bill or resolution received in the Senate from the House,
      which is a companion to a reconciliation bill or reconciliation
      resolution of the Senate for the purposes of this subsection,
      shall be considered in the Senate pursuant to the provisions of
      this subsection.
      (5) "Resolution" defined
        For purposes of this subsection, the term "resolution" means a
      simple, joint, or concurrent resolution.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 258C, as added Pub. L. 101-508,
    title XIII, Sec. 13101(g), Nov. 5, 1990, 104 Stat. 1388-600.)


-STATAMEND-
                          TERMINATION OF SECTION                      
      Section expired Sept. 30, 2006. See section 275(b) of Pub. L. 99-
    177, as amended, set out as an Effective and Termination Dates
    note under section 900 of this title.

-End-



-CITE-
    2 USC Sec. 908                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 908. Repealed.

-MISC1-
    Sec. 908. Repealed. Pub. L. 105-33, title X, Sec. 10210, Aug. 5,
      1997, 111 Stat. 711.
      Section, Pub. L. 99-177, title II, Sec. 258, as added Pub. L. 100-
    119, title I, Sec. 105(a), Sept. 29, 1987, 101 Stat. 778, related
    to modification of Presidential order.

-End-



-CITE-
    2 USC Sec. 909                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER I - ELIMINATION OF DEFICITS IN EXCESS OF MAXIMUM DEFICIT
                    AMOUNT                      

-HEAD-
    Sec. 909. Repealed.

-MISC1-
    Sec. 909. Repealed. Pub. L. 101-508, title XIII, Sec. 13212, Nov.
      5, 1990, 104 Stat. 1388-621.
      Section, Pub. L. 100-119, title II, Sec. 202, Sept. 29, 1987, 101
    Stat. 784, prohibited counting as savings transfer of Government
    actions from one year to another.

-End-


-CITE-
    2 USC SUBCHAPTER II - OPERATION AND REVIEW                  01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER II - OPERATION AND REVIEW

-HEAD-
                   SUBCHAPTER II - OPERATION AND REVIEW               

-End-



-CITE-
    2 USC Sec. 921                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER II - OPERATION AND REVIEW

-HEAD-
    Sec. 921. Transferred

-COD-
                               CODIFICATION                           
      Section, Pub. L. 99-177, title II, Sec. 273, Dec. 12, 1985, 99
    Stat. 1098, which related to revenue estimates, was redesignated as
    section 201(g) of Pub. L. 93-344 by section 13202(b) of Pub. L. 101-
    508 and is classified to section 601(f) of this title.

-End-



-CITE-
    2 USC Sec. 922                                              01/03/2007

-EXPCITE-
    TITLE 2 - THE CONGRESS
    CHAPTER 20 - EMERGENCY POWERS TO ELIMINATE BUDGET DEFICITS
    SUBCHAPTER II - OPERATION AND REVIEW

-HEAD-
    Sec. 922. Judicial review

-STATUTE-
    (a) Expedited review
        (1) Any Member of Congress may bring an action, in the United
      States District Court for the District of Columbia, for
      declaratory judgment and injunctive relief on the ground that any
      order that might be issued pursuant to section 904 of this title
      violates the Constitution.
        (2) Any Member of Congress, or any other person adversely
      affected by any action taken under this title,(!1) may bring an
      action, in the United States District Court for the District of
      Columbia, for declaratory judgment and injunctive relief
      concerning the constitutionality of this title.(!1)

        (3) Any Member of Congress may bring an action, in the United
      States District Court for the District of Columbia, for
      declaratory and injunctive relief on the ground that the terms of
      an order issued under section 904 of this title do not comply
      with the requirements of this title.(!1)
        (4) A copy of any complaint in an action brought under
      paragraph (1), (2), or (3) shall be promptly delivered to the
      Secretary of the Senate and the Clerk of the House of
      Representatives, and each House of Congress shall have the right
      to intervene in such action.
        (5) Any action brought under paragraph (1), (2), or (3) shall
      be heard and determined by a three-judge court in accordance with
      section 2284 of title 28.

    Nothing in this section or in any other law shall infringe upon the
    right of the House of Representatives to intervene in an action
    brought under paragraph (1), (2), or (3) without the necessity of
    adopting a resolution to authorize such intervention.
    (b) Appeal to Supreme Court
      Notwithstanding any other provision of law, any order of the
    United States District Court for the District of Columbia which is
    issued pursuant to an action brought under paragraph (1), (2), or
    (3) of subsection (a) of this section shall be reviewable by appeal
    directly to the Supreme Court of the United States. Any such appeal
    shall be taken by a notice of appeal filed within 10 days after
    such order is entered; and the jurisdictional statement shall be
    filed within 30 days after such order is entered. No stay of an
    order issued pursuant to an action brought under paragraph (1),
    (2), or (3) of subsection (a) of this section shall be issued by a
    single Justice of the Supreme Court.
    (c) Expedited consideration
      It shall be the duty of the District Court for the District of
    Columbia and the Supreme Court of the United States to advance on
    the docket and to expedite to the greatest possible extent the
    disposition of any matter brought under subsection (a) of this
    section.
    (d) Noncompliance with sequestration procedures
      (1) If it is finally determined by a court of competent
    jurisdiction that an order issued by the President under section
    904 of this title for any fiscal year - 
        (A) does not reduce automatic spending increases under any
      program specified in section 906(a) of this title if such
      increases are required to be reduced by subchapter I of this
      chapter (or reduces such increases by a greater extent than is so
      required), or
        (B) does not sequester the amount of budgetary resources which
      is required to be sequestered by subchapter I of this chapter (or
      sequesters more than that amount) with respect to any program,
      project, activity, or account,

    the President shall, within 20 days after such determination is
    made, revise the order in accordance with such determination.
      (2) If the order issued by the President under section 904 of
    this title for any fiscal year - 
        (A) does not reduce any automatic spending increase to the
      extent that such increase is required to be reduced by subchapter
      I of this chapter,
        (B) does not sequester any amount of new budget authority, new
      loan guarantee commitments, new direct loan obligations, or
      spending authority which is required to be sequestered by
      subchapter I of this chapter, or
        (C) does not reduce any obligation limitation by the amount by
      which such limitation is required to be reduced under subchapter
      I of this chapter,

    on the claim or defense that the constitutional powers of the
    President prevent such sequestration or reduction or permit the
    avoidance of such sequestration or reduction, and such claim or
    defense is finally determined by the Supreme Court of the United
    States to be valid, then the entire order issued pursuant to
    section 904 of this title for such fiscal year shall be null and
    void.
    (e) Timing of relief
      No order of any court granting declaratory or injunctive relief
    from the order of the President issued under section 904 of this
    title, including but not limited to relief permitting or requiring
    the expenditure of funds sequestered by such order, shall take
    effect during the pendency of the action before such court, during
    the time appeal may be taken, or, if appeal is taken, during the
    period before the court to which such appeal is taken has entered
    its final order disposing of such action.
    (f) Preservation of other rights
      The rights created by this section are in addition to the rights
    of any person under law, subject to subsection (e) of this section.
    (g) Economic data and assumptions
      The economic data and economic assumptions used by the Director
    of OMB in computing the figures specified in any report issued by
    the Director of OMB under section 904 of this title, shall not be
    subject to review in any judicial or administrative proceeding.

-SOURCE-
    (Pub. L. 99-177, title II, Sec. 274, Dec. 12, 1985, 99 Stat. 1098;
    Pub. L. 100-119, title I, Sec. 102(b)(9), (10), Sept. 29, 1987, 101
    Stat. 774, 775; Pub. L. 105-33, title X, Sec. 10211, Aug. 5, 1997,
    111 Stat. 711.)

-REFTEXT-
                            REFERENCES IN TEXT                        
      This title, referred to in subsec. (a)(2), (3), means title II
    (Sec. 200 et seq.) of Pub. L. 99-177, Dec. 12, 1985, 99 Stat. 1038,
    known as the Balanced Budget and Emergency Deficit Control Act of
    1985. For complete classification of this Act to the code, see
    Short Title note set out under section 900 of this title and
    Tables.


-MISC1-
                                AMENDMENTS                            
      1997 - Subsec. (a)(1), (3). Pub. L. 105-33, Sec. 10211(1),
    substituted "section 904" for "section 902".
      Subsec. (d)(1). Pub. L. 105-33, Sec. 10211(1), substituted
    "section 904" for "section 902(b)" in introductory provisions.
      Subsec. (d)(1)(A). Pub. L. 105-33, Sec. 10211(2), substituted
    "906(a) of this title if" for "907(1) of this title to the extent
    that" and inserted "or" at end.
      Subsec. (d)(1)(B). Pub. L. 105-33, Sec. 10211(3), substituted
    "budgetary resources" for "new budget authority, new loan guarantee
    commitments, new direct loan obligations, or spending authority".
    Directory language directing the striking of "or" after the comma
    was executed by striking "or" after "account," and not after
    "activity," to reflect the probable intent of Congress.
      Subsec. (d)(1)(C). Pub. L. 105-33, Sec. 10211(4), struck out
    subpar. (C) which read as follows: "does not reduce obligation
    limitations by the amount by which such limitations are required to
    be reduced under subchapter I of this chapter (or reduces such
    limitations by more than that amount) with respect to any program,
    project, activity, or account,".
      Subsec. (d)(2). Pub. L. 105-33, Sec. 10211(1), substituted
    "section 904" for "section 902(b)" in introductory and concluding
    provisions.
      Subsec. (e). Pub. L. 105-33, Sec. 10211(1), substituted "section
    904" for "section 902".
      Subsec. (f). Pub. L. 105-33, Sec. 10211(5), redesignated subsec.
    (g) as (f) and struck out heading and text of former subsec. (f)
    consisting of pars. (1) to (5) relating to alternative procedures
    for joint reports of directors.
      Subsec. (g). Pub. L. 105-33, Sec. 10211(6), substituted "figures"
    for "base levels of total revenues and total budget outlays, as"
    and "section 904 of this title" for "section 901(a)(2)(B) or (c)(2)
    of this title,".
      Pub. L. 105-33, Sec. 10211(5), redesignated subsec. (h) as (g).
    Former subsec. (g) redesignated (f).
      Subsec. (h). Pub. L. 105-33, Sec. 10211(5), redesignated subsec.
    (h) as (g).
      1987 - Subsec. (f)(1). Pub. L. 100-119, Sec. 102(b)(9)(A), added
    par. (1) and struck out former par. (1) which read as follows: "In
    the event that any of the reporting procedures described in section
    901 of this title are invalidated, then any report of the Directors
    referred to in section 901(a) or (c)(1) of this title shall be
    transmitted to the joint committee established under this
    subsection."
      Subsec. (f)(2), (3). Pub. L. 100-119, Sec. 102(b)(9)(B),
    substituted "Director of CBO" for "Directors" wherever appearing.
      Subsec. (f)(5). Pub. L. 100-119, Sec. 102(b)(9)(C), substituted
    "section 901(a)(2)(B) or (c)(2)" for "section 901(b) or (c)(2)".
      Subsec. (h). Pub. L. 100-119, Sec. 102(b)(10), substituted "and
    economic assumptions" for ", assumptions, and methodologies",
    "Director of OMB" for "Comptroller General" in two places, and
    "section 901(a)(2)(B)" for "section 901(b)".

-FOOTNOTE-
    (!1) See References in Text note below.


-End-