I 

112TH CONGRESS 

1ST SESSION H. R. 3580 

To amend the Balanced Budget and Emergency Deficit Control Act of 1985 

to provide for long-term budgeting, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 7, 2011 

Mr. MULVANEY (for himself, Mr. RYAN of Wisconsin, Mr. HENSARLING, Mr. 

ROKITA, Mr. STUTZMAN, Mr. CHAFFETZ, and Mr. LANKFORD) introduced the following bill; which was referred to the Committee on the 

Budget, and in addition to the Committees on Rules, Agriculture, Ways 

and Means, Energy and Commerce, and Education and the Workforce, 

for a period to be subsequently determined by the Speaker, in each case 

for consideration of such provisions as fall within the jurisdiction of the 

committee concerned 

A BILL 

To amend the Balanced Budget and Emergency Deficit Control Act of 1985 to provide for long-term budgeting, 

and for other purposes. 

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

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Balancing Our Obligations for the Long-Term Act of 

6 2011’’. 

7 (b) TABLE OF CONTENTS.— 


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Sec. 1. Short title; table of contents. 

Sec. 2. Long-term direct spending limits. 

Sec. 3. Total spending limits. 

Sec. 4. Reports and orders. 

Sec. 5. Exempt programs and activities; special sequestration rules. 

Sec. 6. Long-term baseline projections. 

Sec. 7. Five-year fiscal sustainability review. 

Sec. 8. Concurrent resolutions on the budget to include long-term budgeting. 

Sec. 9. Long-term reconciliation. 

Sec. 10. Long-term spending increase point of order. 

Sec. 11. CBO and OMB projections. 

Sec. 12. Long-term analysis by Congressional Budget Office of legislation. 

Sec. 13. Long-term budgeting reflected in President’s budget submissions. 

Sec. 14. GAO and OMB statements of the Federal Government’s financial condition. 

Sec. 15. Medicare trigger. 

1 SEC. 2. LONG-TERM DIRECT SPENDING LIMITS. 

2 (a) CONTROL OF DIRECT SPENDING.—Section 252 

3 of the Balanced Budget and Emergency Deficit Control 

4 Act of 1985 is amended to read as follows: 

5 ‘‘SEC. 252. DIRECT SPENDING LIMITS. 

6 ‘‘(a) DIRECT SPENDING LIMITS.—The total level of 

7 direct spending as a percentage of current gross domestic 

8 product of the United States for each fiscal year set forth 

9 below is as follows: 

10 ‘‘(1) For fiscal year 2030— 

11 ‘‘(A) for Medicare, 4.3 percent; 

12 ‘‘(B) for Medicaid and other health-related 

13 spending, 1.5 percent; and 

14 ‘‘(C) for all other direct spending, 1.0 percent. 

15 ‘‘(2) For fiscal year 2040— 

16 ‘‘(A) for Medicare, 5.0 percent; 

17 ‘‘(B) for Medicaid and other health-related 

18 spending, 1.3 percent; and 


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1 ‘‘(C) for all other direct spending, 1.2 percent. 

2 ‘‘(3) For fiscal year 2050— 

3 ‘‘(A) for Medicare, 4.8 percent; 

4 ‘‘(B) for Medicaid and other health-related 

5 spending, 1.0 percent; and 

6 ‘‘(C) for all other direct spending, 0.8 percent. 

7 ‘‘(b) SEQUESTRATION.—(1) Within 15 calendar days 

8 after Congress adjourns to end a session and on the same 

9 day as a sequestration under section 252A, but after any 

10 sequestration required by that section, there shall be a se11 questration to eliminate any direct spending in excess of 

12 the direct spending limits set forth in subsection (a) for 

13 the budget year. 

14 ‘‘(2) The amount required to be sequestered in a fis15 cal year under paragraph (1)— 

16 ‘‘(A) for Medicare spending shall be obtained 

17 from non-exempt direct spending accounts for Medi18 care; 

19 ‘‘(B) for Medicaid and other health-related 

20 spending shall be obtained from non-exempt direct 

21 spending accounts for Medicaid and other health-re22 lated spending; and 

23 ‘‘(C) for all other direct spending shall be ob24 tained from non-exempt direct spending accounts. 


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1 ‘‘(3) Each account referred to in subparagraph (A), 

2 (B), or (C) of paragraph (2) shall be reduced by the uni3 form percentage necessary to reduce any excess direct 

4 spending in accounts in that subparagraph to the applica5 ble level set forth in subsection (a) for the budget year. 

6 ‘‘(c) SCOREKEEPING GUIDELINES.—OMB and CBO, 

7 after consultation with each other and the Committees on 

8 the Budget of the House of Representatives and the Sen9 ate, shall— 

10 ‘‘(1) determine common scorekeeping guide11 lines; and 

12 ‘‘(2) in conformance with such guidelines, pre13 pare estimates under this section’’. 

14 (b) DEFINITIONS.—Section 250(c) of the Balanced 

15 Budget and Emergency Deficit Control Act of 1985 is 

16 amended by adding at the end the following new para17 graphs: 

18 ‘‘(22) The term ‘Medicare’ means programs 

19 within budget function 570. 

20 ‘‘(23) The term ‘Medicaid and other health-re21 lated spending’ means programs within budget func22 tion 550. 

23 ‘‘(24) The term ‘other direct spending’ means 

24 direct spending programs other than those within 


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1 budget functions 550 and 570, excluding Social Se2 curity and net interest.’’. 

3 (c) CONFORMING AMENDMENT.—The item relating 

4 to section 252 in the table of contents set forth in 250(a) 

5 of the Balanced Budget and Emergency Deficit Control 

6 Act of 1985 is amended to read as follows: 

‘‘Sec. 252. Direct spending limits.’’. 

7 SEC. 3. TOTAL SPENDING LIMITS. 

8 (a) TOTAL SPENDING LIMITS.—The Balanced Budg9 et and Emergency Deficit Control Act of 1985 is amended 

10 by adding after section 252 the following new section: 

11 ‘‘SEC. 252A. TOTAL SPENDING LIMITS. 

12 ‘‘(a) SEQUESTRATION.—(1) Within 15 calendar days 

13 after Congress adjourns to end a session and on the same 

14 day as a spending reduction ordered under section 252, 

15 but after any spending reduction required by that section, 

16 there shall be a sequestration of all non-exempt direct 

17 spending accounts and discretionary accounts to eliminate 

18 any total spending in excess of the total spending limits 

19 set forth in subsection (c) for the budget year. 

20 ‘‘(2) Each account referred to in paragraph (1) shall 

21 be reduced by the uniform percentage necessary to reduce 

22 total spending to the applicable level set forth in sub23 section (c) for the budget year. 

24 ‘‘(b) TOTAL SPENDING LIMITS.— 

25 ‘‘(1) fiscal year 2030: 20 percent; 


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1 ‘‘(2) fiscal year 2040: 20 percent; and 

2 ‘‘(3) fiscal year 2050: 20 percent; 

3 of the current projected gross domestic product of the 

4 United States for the budget year.’’. 

5 (b) DEFINITIONS.—Section 250(c) of the Balanced 

6 Budget and Emergency Deficit Control Act of 1985 (as 

7 amended by section 2) is further amended by adding at 

8 the end the following new paragraph: 

9 ‘‘(25) The term ‘total spending’ means all out10 lays of the Government, including those from off11 budget entities and budget authority and outlays 

12 flowing therefrom.’’. 

13 (c) CONFORMING AMENDMENT.—The table of con14 tents set forth in 250(a) of the Balanced Budget and 

15 Emergency Deficit Control Act of 1985 is amended by in16 serting after the item relating to section 252 the following 

17 new item: 

‘‘Sec. 252A. Total spending limits.’’. 

18 SEC. 4. REPORTS AND ORDERS. 

19 Section 254 of the Balanced Budget and Emergency 

20 Deficit Control Act of 1985 is amended— 

21 (1) in subsection (c), by repealing paragraph 

22 (1) and inserting the following new paragraph: 

23 ‘‘(1) REPORTING REQUIREMENT.—On the dates 

24 specified in subsection (a), OMB and CBO shall 

25 issue a preview report regarding discretionary, diVerDate Mar 15 2010 04:47 Dec 13, 2011 Jkt 019200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H3580.IH H3580

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1 rect, total, and deficit sequestration based on laws 

2 enacted through those dates.’’; 

3 (2) in subsection (c), by repealing paragraph 

4 (3) and inserting the following new paragraph: 

5 ‘‘(3) DIRECT SPENDING SEQUESTRATION RE6 PORTS.—The preview report shall set forth for the 

7 budget year estimates for each of the following: 

8 ‘‘(A) The amount of any excess direct 

9 spending for Medicare, for Medicaid and other 

10 health-related spending, and for all other direct 

11 spending. 

12 ‘‘(B) The sequestration percentage or per13 centages necessary to reduce direct spending in 

14 accounts for Medicare, for Medicaid and other 

15 health-related spending, and for all other direct 

16 spending, as applicable. 

17 ‘‘(C) For a budget year, the current pro18 jected gross domestic product of the United 

19 States for that year.’’; 

20 (3) in subsection (c), by repealing paragraph 

21 (4), by redesignating paragraph (5) as paragraph 

22 (6), and by inserting the following new paragraphs: 

23 ‘‘(4) TOTAL SPENDING SEQUESTRATION RE24 PORTS.—The preview report shall set forth for the 


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1 budget years 2030, 2040, and 2050 estimates for 

2 each of the following: 

3 ‘‘(A) The amount of any excess total 

4 spending. 

5 ‘‘(B) The sequestration percentage nec6 essary to eliminate any excess total spending. 

7 ‘‘(5) DEFICIT SEQUESTRATION REPORTS.—The 

8 preview report shall set forth for the budget year es9 timates for each of the following: 

10 ‘‘(A) The amount of the current gross do11 mestic product of the United States. 

12 ‘‘(B) The estimated deficit. 

13 ‘‘(C) The amount by which the estimated 

14 deficit exceeds the deficit limit. 

15 ‘‘(D) The sequestration percentage nec16 essary to achieve the required reduction in 

17 spending to comply with the applicable deficit 

18 limit set forth in section 253(c).’’; 

19 (4) in subsection (f)(3), by amending the side 

20 heading and the first sentence to read as follows: 

21 ‘‘DIRECT, TOTAL, AND DEFICIT SEQUESTRATION RE22 PORTS.—The final report shall contain all the infor23 mation required in the direct, total, and deficit se24 questration preview reports.’’; 


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1 (5) in subsection (f), by amending paragraph 

2 (4) to read as follows: 

3 ‘‘(4) EXPLANATION OF DIFFERENCES.—The 

4 OMB report shall explain any material differences 

5 between OMB and CBO estimates in any com6 parable reports.’’; and 

7 (6) in subsection (g), by striking ‘‘(f)(4)’’ and 

8 inserting ‘‘(f)(5)’’. 

9 SEC. 5. EXEMPT PROGRAMS AND ACTIVITIES; SPECIAL SE10 QUESTRATION RULES. 

11 Sections 255 and 256 of the Balanced Budget and 

12 Emergency Deficit Control Act of 1985 are amended to 

13 read as follows: 

14 ‘‘SEC. 255. EXEMPT PROGRAMS AND ACTIVITIES. 

15 ‘‘(a) EXEMPT PROGRAMS AND ACTIVITIES.—The fol16 lowing shall be exempt from reduction under any order 

17 issued under this part: 

18 ‘‘(1) Payments for net interest. 

19 ‘‘(2) Benefits payable under the old-age, sur20 vivors, and disability insurance program established 

21 under title II of the Social Security Act. 

22 ‘‘(3) Compensation, pensions, and benefits pro23 vided to veterans defined as direct spending payable 

24 by the Department of Veterans Affairs. 


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1 ‘‘(4) Obligated balances of budget authority 

2 carried over from prior fiscal years. 

3 ‘‘(5) Any obligations of the Federal Government 

4 required to be paid under the United States Con5 stitution or legally contractual obligations. 

6 ‘‘(6) Claims, Judgments, and Relief Acts (20– 

7 1895–0–1–808). 

8 ‘‘(7) Intragovernmental transfers. 

9 ‘‘(b) OPTIONAL EXEMPTION OF MILITARY PER10 SONNEL.— 

11 ‘‘(1) IN GENERAL.—The President may, with 

12 respect to any military personnel account, exempt 

13 that account from sequestration or provide for a 

14 lower uniform percentage reduction than would oth15 erwise apply. 

16 ‘‘(2) LIMITATION.—The President may not use 

17 the authority provided by paragraph (1) unless the 

18 President notifies the Congress of the manner in 

19 which such authority will be exercised on or before 

20 the date specified in section 254(a) for the budget 

21 year. 

22 ‘‘SEC. 256. GENERAL AND SPECIAL SEQUESTRATION RULES. 

23 ‘‘(a) LIMITATIONS.—(1) No direct spending program 

24 that OMB estimates for the budget year is growing at a 

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1 sumer price index for that year shall be subject to a spend2 ing reduction of more than four percent of its budgetary 

3 resources. 

4 ‘‘(2) No direct spending program that OMB esti5 mates for the budget year is growing at a rate that is 

6 equal to or less than the consumer price index for that 

7 year shall be subject to a spending reduction. 

8 ‘‘(b) STUDENT LOANS.—For all student loans under 

9 part B or D of title IV of the Higher Education Act of 

10 1965 made during the period when a sequestration order 

11 under section 254 is in effect as required by section 252, 

12 252A, or 253, origination fees under sections 438(c)(2) 

13 and (6) and 455(c) and loan processing and issuance fees 

14 under section 428(f)(1)(A)(ii) of that Act shall each be 

15 increased by the uniform percentage specified in that se16 questration order, and, for student loans originated during 

17 the period of the sequestration accruing during the period 

18 of the sequestration shall be reduced by the uniform per19 centage specified in that sequestration order. 

20 ‘‘(c) SPECIAL RULES FOR MEDICARE PROGRAM.— 

21 ‘‘(1) CALCULATION OF REDUCTION IN PAYMENT

22 AMOUNTS.—To achieve the total percentage reduc23 tion in those programs required by section 252, 

24 252A, or 253, subject to paragraph (2), and not25 withstanding section 710 of the Social Security Act, 


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1 OMB shall determine, and the applicable Presi2 dential order under section 254 shall implement, the 

3 percentage reduction that shall apply, with respect 

4 to the health insurance programs under title XVIII 

5 of the Social Security Act— 

6 ‘‘(A) in the case of parts A and B of such 

7 title, to individual payments for services fur8 nished during the one-year period beginning on 

9 the first day of the first month beginning after 

10 the date the order is issued (or, if later, the 

11 date specified in paragraph (4)); and 

12 ‘‘(B) in the case of parts C and D, to 

13 monthly payments under contracts under such 

14 parts for the same one-year period; 

15 such that the reduction made in payments under 

16 that order shall achieve the required total percentage 

17 reduction in those payments for that period. 

18 ‘‘(2) UNIFORM REDUCTION RATE; MAXIMUM

19 PERMISSIBLE REDUCTION.—Reductions in payments 

20 for programs and activities under such title XVIII 

21 pursuant to a sequestration order under section 254 

22 shall be at a uniform rate across all such programs 

23 and activities subject to such order. 

24 ‘‘(3) TIMING OF APPLICATION OF REDUC25 TIONS.— 


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1 ‘‘(A) IN GENERAL.—Except as provided in 

2 subparagraph (B), if a reduction is made under 

3 paragraph (1) in payment amounts pursuant to 

4 a sequestration order, the reduction shall be ap5 plied to payment for services furnished during 

6 the effective period of the order. For purposes 

7 of the previous sentence, in the case of inpa8 tient services furnished for an individual, the 

9 services shall be considered to be furnished on 

10 the date of the individual’s discharge from the 

11 inpatient facility. 

12 ‘‘(B) PAYMENT ON THE BASIS OF COST

13 REPORTING PERIODS.—In the case in which 

14 payment for services of a provider of services is 

15 made under title XVIII of the Social Security 

16 Act on a basis relating to the reasonable cost 

17 incurred for the services during a cost reporting 

18 period of the provider, if a reduction is made 

19 under paragraph (1) in payment amounts pur20 suant to a sequestration order, the reduction 

21 shall be applied to payment for costs for such 

22 services incurred at any time during each cost 

23 reporting period of the provider any part of 

24 which occurs during the effective period of the 

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1 riod) in the same proportion as the fraction of 

2 the cost reporting period that occurs during the 

3 effective period of the order. 

4 ‘‘(4) TIMING OF SUBSEQUENT SEQUESTRATION

5 ORDER.—A sequestration order required by section 

6 252, 252A, or 253 with respect to programs under 

7 such title XVIII shall not take effect until the first 

8 month beginning after the end of the effective period 

9 of any prior sequestration order with respect to such 

10 programs, as determined in accordance with para11 graph (1). 

12 ‘‘(5) NO INCREASE IN BENEFICIARY CHARGES

13 IN ASSIGNMENT-RELATED CASES.—If a reduction in 

14 payment amounts is made under paragraph (1) for 

15 services for which payment under part B of title 

16 XVIII of the Social Security Act is made on the 

17 basis of an assignment described in section 

18 1842(b)(3)(B)(ii), in accordance with section 

19 1842(b)(6)(B), or under the procedure described in 

20 section 1870(f)(1), of such Act, the person fur21 nishing the services shall be considered to have ac22 cepted payment of the reasonable charge for the 

23 services, less any reduction in payment amount 

24 made pursuant to a sequestration order, as payment 

25 in full. 


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1 ‘‘(6) SEQUESTRATION DISREGARDED IN COM2 PUTING PAYMENT AMOUNTS.—The Secretary of 

3 Health and Human Services shall not take into ac4 count any reductions in payment amounts which 

5 have been or may be effected under this part, for 

6 purposes of computing any adjustments to payment 

7 rates under such title XVIII, specifically including— 

8 ‘‘(A) the part C growth percentage under 

9 section 1853(c)(6); 

10 ‘‘(B) the part D annual growth rate under 

11 section 1860D–2(b)(6); and 

12 ‘‘(C) application of risk corridors to part D 

13 payment rates under section 1860D–15(e). 

14 ‘‘(d) EFFECTS OF SEQUESTRATION.—The effects of 

15 sequestration shall be as follows: 

16 ‘‘(1) Budgetary resources sequestered from any 

17 account shall be permanently cancelled, except as 

18 provided in paragraph (6). 

19 ‘‘(2) Except as otherwise provided, the same 

20 percentage sequestration shall apply to all programs, 

21 projects, and activities within a budget account (with 

22 programs, projects, and activities as delineated in 

23 the appropriation Act or accompanying report for 

24 the relevant fiscal year covering that account, or for 

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1 lineated in the most recently submitted President’s 

2 budget). 

3 ‘‘(3) Administrative regulations or similar ac4 tions implementing a sequestration shall be made 

5 within 120 days of the sequestration order. To the 

6 extent that formula allocations differ at different 

7 levels of budgetary resources within an account, pro8 gram, project, or activity, the sequestration shall be 

9 interpreted as producing a lower total appropriation, 

10 with the remaining amount of the appropriation 

11 being obligated in a manner consistent with program 

12 allocation formulas in substantive law. 

13 ‘‘(4) Except as otherwise provided, obligations 

14 in sequestered accounts shall be reduced only in the 

15 fiscal year in which a sequester occurs. 

16 ‘‘(5) If an automatic spending increase is se17 questered, the increase (in the applicable index) that 

18 was disregarded as a result of that sequestration 

19 shall not be taken into account in any subsequent 

20 fiscal year. 

21 ‘‘(6) Budgetary resources sequestered in revolv22 ing, trust, and special fund accounts and offsetting 

23 collections sequestered in appropriation accounts 

24 shall not be available for obligation during the fiscal 

25 year in which the sequestration occurs, but shall be 


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1 available in subsequent years to the extent otherwise 

2 provided in law. 

3 ‘‘(e) COMMODITY CREDIT CORPORATION.— 

4 ‘‘(1) POWERS AND AUTHORITIES OF THE COM5 MODITY CREDIT CORPORATION.—This title shall not 

6 restrict the Commodity Credit Corporation in the 

7 discharge of its authority and responsibility as a cor8 poration to buy and sell commodities in world trade, 

9 to use the proceeds as a revolving fund to meet 

10 other obligations and otherwise operate as a corpora11 tion, the purpose for which it was created. 

12 ‘‘(2) REDUCTION IN PAYMENTS MADE UNDER

13 CONTRACTS.—(A) Loan eligibility under any con14 tract entered into with a person by the Commodity 

15 Credit Corporation prior to the time an order has 

16 been issued under section 254 shall not be reduced 

17 by an order subsequently issued. Subject to subpara18 graph (B), after an order is issued under such sec19 tion for a fiscal year, any cash payments for loans 

20 or loan deficiencies made by the Commodity Credit 

21 Corporation shall be subject to reduction under the 

22 order. 

23 ‘‘(B) Each loan contract entered into with pro24 ducers or producer cooperatives with respect to a 

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1 tion under subparagraph (A) shall be reduced in ac2 cordance with the same terms and conditions. If 

3 some, but not all, contracts applicable to a crop of 

4 a commodity have been entered into prior to the 

5 issuance of an order under section 254, the order 

6 shall provide that the necessary reduction in pay7 ments under contracts applicable to the commodity 

8 be uniformly applied to all contracts for the next 

9 succeeding crop of the commodity, under the author10 ity provided in paragraph (3). 

11 ‘‘(3) DELAYED REDUCTION IN OUTLAYS PER12 MISSIBLE.—Notwithstanding any other provision of 

13 this title, if an order under section 254 is issued 

14 with respect to a fiscal year, any reduction under the 

15 order applicable to contracts described in paragraph 

16 (1) may provide for reductions in outlays for the ac17 count involved to occur in the fiscal year following 

18 the fiscal year to which the order applies. 

19 ‘‘(4) UNIFORM PERCENTAGE RATE OF REDUC20 TION AND OTHER LIMITATIONS.—All reductions de21 scribed in paragraph (2) which are required to be 

22 made in connection with an order issued under sec23 tion 254 with respect to a fiscal year shall be made 

24 so as to ensure that outlays for each program, 

25 project, activity, or account involved are reduced by 


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1 a percentage rate that is uniform for all such pro2 grams, projects, activities, and accounts, and may 

3 not be made so as to achieve a percentage rate of 

4 reduction in any such item exceeding the rate speci5 fied in the order. 

6 ‘‘(5) DAIRY PROGRAM.—Notwithstanding any 

7 other provision of this subsection, as the sole means 

8 of achieving any reduction in outlays under the milk 

9 price support program, the Secretary of Agriculture 

10 shall provide for a reduction to be made in the price 

11 received by producers for all milk produced in the 

12 United States and marketed by producers for com13 mercial use. That price reduction (measured in cents 

14 per hundred weight of milk marketed) shall occur 

15 under section 201(d)(2)(A) of the Agricultural Act 

16 of 1949 (7 U.S.C. 1446(d)(2)(A)), shall begin on the 

17 day any sequestration order is issued under section 

18 254, and shall not exceed the aggregate amount of 

19 the reduction in outlays under the milk price sup20 port program that otherwise would have been 

21 achieved by reducing payments for the purchase of 

22 milk or the products of milk under this subsection 

23 during the applicable fiscal year. 

24 ‘‘(6) CERTAIN AUTHORITY NOT TO BE LIM25 ITED.—Nothing in this joint resolution shall limit or 


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1 reduce, in any way, any appropriation that provides 

2 the Commodity Credit Corporation with budget au3 thority to cover the Corporation’s net realized 

4 losses.’’. 

5 SEC. 6. LONG-TERM BASELINE PROJECTIONS. 

6 Section 257(a) of the Balanced Budget and Emer7 gency Deficit Control Act of 1985 is amended— 

8 (1) by inserting ‘‘(1) BASELINE FOR THE

9 BUDGET YEAR.—’’ before ‘‘For any budget year’’ 

10 and by moving the text 2 ems to the right; and 

11 (2) by inserting after paragraph (1) the fol12 lowing new paragraph: 

13 ‘‘(2) LONG-TERM ESTIMATES.—For the three 

14 ten fiscal-year periods beginning after the last such 

15 outyear based on enacted law, the baseline refers to 

16 an estimate of current year levels of budget author17 ity, outlays, or receipts for— 

18 ‘‘(A) discretionary spending; 

19 ‘‘(B) Medicare; 

20 ‘‘(C) Medicaid and other health-related spend21 ing; 

22 ‘‘(D) other direct spending; 

23 ‘‘(E) social security; 

24 ‘‘(F) other categories, as appropriate; and 

25 ‘‘(G) net interest, 


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1 as a percentage of the current gross domestic prod2 uct of the United States.’’. 

3 SEC. 7. FIVE-YEAR FISCAL SUSTAINABILITY REVIEW. 

4 (a) FIVE-YEAR FISCAL SUSTAINABILITY REVIEW.— 

5 Title III of the Congressional Budget Act of 1974 is 

6 amended by adding at the end the following new section: 

7 ‘‘FIVE-YEAR FISCAL SUSTAINABILITY REVIEW

8 ‘‘SEC. 316. (a) CONGRESSIONAL SPENDING REVIEW

9 REPORT.—Beginning for fiscal year 2018 and every fifth 

10 year thereafter, not later than 45 calendar days after the 

11 date of the transmittal of the report referred to in sub12 section 308(e), the Committees on the Budget of the 

13 House of Representatives and the Senate shall issue, and 

14 have printed in the Congressional Record, an assessment 

15 of such report. 

16 ‘‘(b) COMMITTEE RECOMMENDATIONS.—Not later 

17 than 30 calendar days after the date of the report of the 

18 review referred to in subsection (c), the committees of the 

19 House of Representatives and the Senate shall submit to 

20 the Committees on the Budget of the House of Represent21 atives and Senate, as applicable, recommendations, if any, 

22 such committees deem appropriate in response to the 

23 Spending Review Report issued pursuant to subsection 

24 (c). 

25 ‘‘(c) EXPEDITED CONSIDERATION OF SPENDING RE26 VIEW LEGISLATION.— 


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1 ‘‘(1) CONSIDERATION IN THE HOUSE OF REP2 RESENTATIVES.— 

3 ‘‘(A) INTRODUCTION OF SPENDING RE4 VIEW LEGISLATION.—(i) If the report referred 

5 to in section 308(e) indicates that the OASDI 

6 Trust Funds are not solvent, or that Medicare, 

7 Medicaid and other health-related spending, or 

8 other direct spending programs are not sustain9 able, or total spending exceeds the limits set 

10 forth in section 252 or 252A of the Balanced 

11 Budget and Emergency Deficit Control Act of 

12 1985 for any year within the period referred to 

13 in such report, then not later than 30 calendar 

14 days after the transmittal of the report referred 

15 to in subsection (a), if any, the majority leader 

16 and minority leader of the House of Represent17 atives shall each introduce legislation to make 

18 such programs sustainable or solvent, as appli19 cable. 

20 ‘‘(ii) If spending review legislation is not 

21 introduced pursuant to this subparagraph— 

22 ‘‘(I) by the majority leader, the chair23 man of the Committee on the Budget shall 

24 introduce spending review legislation; or 


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1 ‘‘(II) by the minority leader, the rank2 ing member of the Committee on the 

3 Budget shall introduce spending review 

4 legislation, 

5 not later than 45 calendar days after the trans6 mittal of the report referred to in subsection (a) 

7 sufficient to achieve the same spending levels. 

8 ‘‘(iii) Spending review legislation shall be 

9 referred to the Committee on the Budget of the 

10 House of Representatives. 

11 ‘‘(iv) Spending review legislation intro12 duced pursuant to this section shall cause total 

13 spending to be reduced by an amount equal or 

14 greater than the amount of the breach of the 

15 limits set forth in section 252 or 252A of the 

16 Balanced Budget and Emergency Deficit Con17 trol Act of 1985, and may cause the OASDI 

18 Trust Funds to achieve solvency, and may 

19 cause Medicare, Medicaid and other health-re20 lated spending, and other direct spending pro21 grams to achieve sustainability. 

22 ‘‘(B) REFERRAL AND REPORTING.—The 

23 Committee on the Budget of the House of Rep24 resentatives shall report spending review legisla25 tion to the House of Representatives not later 


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1 than the seventh legislative day after the date 

2 of introduction of the legislation referred to in 

3 subparagraph (A). If such committee fails to re4 port the spending review legislation within that 

5 period or the House of Representatives has 

6 adopted a concurrent resolution providing for 

7 adjournment sine die at the end of a Congress, 

8 such committee shall be automatically dis9 charged from further consideration of the 

10 spending review legislation and it shall be 

11 placed on the appropriate calendar. 

12 ‘‘(C) PROCEEDING TO CONSIDERATION.— 

13 After spending review legislation is reported by 

14 or discharged from the Committee on the Budg15 et or the House of Representatives has adopted 

16 a concurrent resolution providing for adjourn17 ment sine die at the end of a Congress, it shall 

18 be in order to move to proceed to consider the 

19 spending review legislation in the House of 

20 Representatives. Such a motion shall be in 

21 order in the legislative schedule within two leg22 islative days after the day on which the pro23 ponent announces his intention to offer the mo24 tion. Such a motion shall not be in order after 

25 the House of Representatives has disposed of a 


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1 motion to proceed with respect to that special 

2 message. The previous question shall be consid3 ered as ordered on the motion to its adoption 

4 without intervening motion. A motion to recon5 sider the vote by which the motion is disposed 

6 of shall not be in order. 

7 ‘‘(D) CONSIDERATION.—The spending re8 view legislation shall be considered as read. All 

9 points of order against spending review legisla10 tion and against its consideration are waived. 

11 The previous question shall be considered as or12 dered on a spending review legislation to its 

13 passage without intervening motion except five 

14 hours of debate equally divided and controlled 

15 by the proponent and an opponent and one mo16 tion to limit debate on the spending review leg17 islation. A motion to reconsider the vote on pas18 sage of the spending review legislation shall not 

19 be in order. 

20 ‘‘(E) SENATE SPENDING REVIEW LEGISLA21 TION.—Spending review legislation received 

22 from the Senate shall not be referred to any 

23 committee. 

24 ‘‘(2) CONSIDERATION IN THE SENATE.— 


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1 ‘‘(A) MOTION TO PROCEED TO CONSIDER2 ATION.—A motion to proceed to the consider3 ation of spending review legislation under this 

4 subsection in the Senate shall not be debatable. 

5 It shall not be in order to move to reconsider 

6 the vote by which the motion to proceed is 

7 agreed to or disagreed to. 

8 ‘‘(B) LIMITS ON DEBATE.—Debate in the 

9 Senate on spending review legislation under this 

10 subsection, and all debatable motions and ap11 peals in connection therewith (including debate 

12 pursuant to subparagraph (D)), shall not ex13 ceed 10 hours, equally divided and controlled in 

14 the usual form. 

15 ‘‘(C) APPEALS.—Debate in the Senate on 

16 any debatable motion or appeal in connection 

17 with spending review legislation under this sub18 section shall be limited to not more than 1 

19 hour, to be equally divided and controlled in the 

20 usual form. 

21 ‘‘(D) MOTION TO LIMIT DEBATE.—A mo22 tion in the Senate to further limit debate on 

23 spending review legislation under this sub24 section is not debatable. 


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1 ‘‘(E) MOTION TO RECOMMIT.—A motion to 

2 recommit spending review legislation under this 

3 subsection is not in order. 

4 ‘‘(F) CONSIDERATION OF THE HOUSE OF

5 REPRESENTATIVES SPENDING REVIEW LEGISLA6 TION.—(i) If the Senate has received the House 

7 of Representatives companion resolution to the 

8 spending review legislation introduced in the 

9 Senate prior to the vote required under para10 graph (1)(C), then the Senate may consider, 

11 and the vote under paragraph (1)(C) may occur 

12 on, the House of Representatives companion 

13 resolution. 

14 ‘‘(ii) If the Senate votes, pursuant to para15 graph (1)(C), on the spending review legislation 

16 introduced in the Senate, then immediately fol17 lowing that vote, or upon receipt of the House 

18 of Representatives companion resolution, the 

19 House of Representatives spending review legis20 lation shall be deemed to be considered, read 

21 the third time, and the vote on passage of the 

22 Senate resolution shall be considered to be the 

23 vote on the spending review legislation received 

24 from the House of Representatives. 


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1 ‘‘(3) JURISDICTION.—During consideration of 

2 spending review legislation under this section, the 

3 Committees on the Budget of the House of Rep4 resentatives and Senate shall have jurisdiction over 

5 such legislation for all purposes of the rules of either 

6 House.’’. 

7 (b) CONFORMING AMENDMENT.—The table of con8 tents set forth in section 1(b) of the Congressional Budget 

9 and Impoundment Control Act of 1974 is amended by 

10 adding after the item relating to section 318 the following 

11 new item: 

‘‘Sec. 316. Five-year fiscal sustainability review.’’. 

12 SEC. 8. CONCURRENT RESOLUTIONS ON THE BUDGET TO 

13 INCLUDE LONG-TERM BUDGETING. 

14 (a) REQUIRED CONTENTS OF CONCURRENT RESOLU15 TION.—Section 301(a) of the Congressional Budget Act 

16 of 1974 (2 U.S.C. 632(a)) is amended by striking para17 graph (4) and inserting the following: 

18 ‘‘(4) subtotals of new budget authority and out19 lays for nondefense discretionary spending, defense 

20 discretionary spending, Medicare, Medicaid and 

21 other health-related spending, other direct spending 

22 (excluding interest), contingencies, and net inter23 est;’’. 


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1 (b) LONG-TERM BUDGETING.—Section 301 of the 

2 Congressional Budget Act of 1974 is amended by adding 

3 at the end the following new subsection: 

4 ‘‘(k) LONG-TERM BUDGETING.—In addition to the 

5 levels required to be included in a concurrent resolution 

6 on the budget under subsection (a), such concurrent reso7 lution shall set forth appropriate levels, as a percent of 

8 the current gross domestic product of the United States, 

9 for total Federal revenues, total outlays, debt held by the 

10 public, and the surplus or deficit in the budget for the 

11 fiscal year 10 years, 20 years, and 30 years after the last 

12 fiscal year of the concurrent resolution on the budget.’’. 

13 SEC. 9. LONG-TERM RECONCILIATION. 

14 (a) LONG-TERM RECONCILIATION.—Section 310 of 

15 the Congressional Budget Act of 1974 is amended by add16 ing at the end the following new subsection: 

17 ‘‘(h) LONG-TERM RECONCILIATION DIRECTIVES IN A

18 CONCURRENT RESOLUTION ON THE BUDGET.— 

19 ‘‘(1) LONG-TERM RECONCILIATION DIREC20 TIVES.—In addition to a reconciliation measure as 

21 set forth in subsection (a), a concurrent resolution 

22 on the budget for any fiscal year, to the extent nec23 essary to effectuate the spending levels as set forth 

24 for such categories in section 301(a) (providing for 


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1 long-term spending levels as a percentage of gross 

2 domestic product) of such resolution, may— 

3 ‘‘(A) specify the total amount by which 

4 Medicare, Medicaid, the OASDI Trust Funds, 

5 and other direct spending outlays are to be re6 duced within the jurisdiction of a committee as 

7 a percentage of gross domestic product of such 

8 fiscal year; and 

9 ‘‘(B) direct that committee to determine 

10 and recommend changes to accomplish a reduc11 tion of such total amount for such categories as 

12 a percentage of gross domestic product. 

13 ‘‘(2) LIMITATION ON AMENDMENTS TO LONG14 TERM RECONCILIATION LEGISLATION.—(A) It shall 

15 not be in order in the House of Representatives to 

16 consider any amendment to a reconciliation bill or 

17 reconciliation resolution if such amendment de18 creases outlay reductions below the level of such out19 lay reductions provided (for the fiscal years covered) 

20 in the reconciliation instructions which relate to such 

21 long-term reconciliation bill. 

22 ‘‘(B) It shall not be in order in the Senate to 

23 consider any amendment to a reconciliation bill or 

24 reconciliation resolution if such amendment de25 creases outlay reductions below the level of such outVerDate Mar 15 2010 04:47 Dec 13, 2011 Jkt 019200 PO 00000 Frm 00030 Fmt 6652 Sfmt 6201 E:\BILLS\H3580.IH H3580

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1 lay reductions provided (for the fiscal years covered) 

2 in the reconciliation instructions which relate to such 

3 long-term reconciliation bill. 

4 ‘‘(C) Subparagraphs (A) and (B) shall not 

5 apply if a declaration of war by the Congress is in 

6 effect. 

7 ‘‘(D) For purposes of this section, the levels of 

8 outlays as a percentage of a gross domestic product 

9 for a fiscal year shall be determined on the basis of 

10 estimates made by the Committee on the Budget of 

11 the House of Representatives or of the Senate. 

12 ‘‘(E) In the Senate, a motion to strike a provi13 sion shall always be in order. 

14 ‘‘(3) SUBJECT MATTER.—Subject matter in15 cluded in a long-term reconciliation bill may be any 

16 of the following: 

17 ‘‘(A) Any part of the Medicare Program. 

18 ‘‘(B) Medicaid and other health-related 

19 spending. 

20 ‘‘(C) The Old-Age, Survivors, and Dis21 ability Insurance Trust Fund to make the pro22 gram solvent. 

23 ‘‘(D) Other direct spending. 

24 ‘‘(4) APPLICATION.—Subsections (b)(1)(E) and 

25 (F) of section 313 and subsections (c), (d), and (g) 


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1 of this section shall not apply to long-term reconcili2 ation measures reported under this subsection. Re3 forms that are necessary for the fundamental re4 structuring of any program included in any such 

5 measure shall not be deemed to be extraneous for 

6 purposes of such section 313.’’. 

7 (b) CONFORMING AMENDMENT.—Section 310(b) of 

8 the Congressional Budget Act of 1974 is amended by 

9 striking ‘‘subsection (a)’’ and inserting ‘‘subsections (a) 

10 and (h)’’. 

11 SEC. 10. LONG-TERM SPENDING INCREASE POINT OF 

12 ORDER. 

13 (a) IN GENERAL.—Title III of the Congressional 

14 Budget Act of 1974 (as amended by section 6) is further 

15 amended by adding at the end the following new section: 

16 ‘‘LONG-TERM SPENDING INCREASE POINT OF ORDER

17 ‘‘SEC. 317. (a) CONGRESSIONAL BUDGET OFFICE

18 ANALYSIS OF PROPOSALS.—The Director of the Congres19 sional Budget Office shall, to the extent practicable, pre20 pare for each bill and joint resolution reported from com21 mittee, and amendments thereto and conference reports 

22 thereon, an estimate of whether the measure causes, rel23 ative to current law, a net increase in direct spending in 

24 excess of $5,000,000,000 in any of the four ten fiscal-year 

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1 cal year covered in the most recently enacted concurrent 

2 resolution on the budget. 

3 ‘‘(b) IN THE SENATE.—It shall not be in order in 

4 the Senate to consider any bill, joint resolution, amend5 ment, motion, or conference report that causes a net in6 crease in deficits in excess of $5,000,000,000 in any of 

7 the four ten fiscal-year periods beginning in the first fiscal 

8 year after the last fiscal year covered in the most recently 

9 enacted concurrent resolution on the budget. 

10 ‘‘(c) IN THE HOUSE OF REPRESENTATIVES.—It shall 

11 not be in order in the House of Representatives to consider 

12 any bill, joint resolution, amendment, motion, or con13 ference report that causes a net increase in deficits in ex14 cess of $5,000,000,000 in any of the four ten fiscal-year 

15 periods beginning in the first fiscal year after the last fis16 cal year covered in the most recently enacted concurrent 

17 resolution on the budget. 

18 ‘‘(d) DETERMINATIONS OF BUDGET LEVELS.—For 

19 purposes of this section, the levels of net deficit increases 

20 shall be determined on the basis of estimates provided by 

21 the chairmen of the Senate and House Committees on the 

22 Budget, as applicable.’’. 

23 (b) CONFORMING AMENDMENT.—The table of con24 tents set forth in section 1(b) of the Congressional Budget 

25 and Impoundment Control Act of 1974 is amended by inVerDate Mar 15 2010 04:47 Dec 13, 2011 Jkt 019200 PO 00000 Frm 00033 Fmt 6652 Sfmt 6201 E:\BILLS\H3580.IH H3580

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1 serting after the item relating to section 319 the following 

2 new item: 

‘‘Sec. 317. Long-term spending increase point of order.’’. 

3 SEC. 11. CBO AND OMB PROJECTIONS. 

4 (a) CONGRESSIONAL BUDGET OFFICE.—Section 308 

5 of the Congressional Budget Act of 1974 is amended by 

6 adding at the end the following new subsections: 

7 ‘‘(e) LONG-TERM PROJECTIONS.—Each year, the Di8 rector of the Congressional Budget Office shall issue a re9 port projecting total spending, revenue, deficits, and debt 

10 for at least 40 years beginning with the first fiscal year 

11 after the last fiscal year covered in the most recently en12 acted concurrent resolution on the budget as a percentage 

13 of current projected gross domestic product annually 

14 based on current law and current law levels as modified 

15 to maintain current policy. 

16 ‘‘(f) CBO SPENDING REVIEW REPORT ISSUANCE.— 

17 As a component of the report required by subsection (e), 

18 the Director of the Congressional Budget Office shall issue 

19 a Spending Review Report and transmit such report to 

20 the Committees on the Budget of the House of Represent21 atives and the Senate. 

22 ‘‘(g) CONTENT OF SPENDING REVIEW REPORT.— 

23 The content of the Spending Review Report referred to 

24 in subsection (f) shall include analyses of the following: 


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1 ‘‘(1) OASDI.—The solvency of the Old-Age, 

2 Survivors, and Disability Insurance Trust Fund. 

3 ‘‘(2) MEDICARE.—The long-range sustainability 

4 of the spending levels of Medicare. 

5 ‘‘(3) MEDICAID AND OTHER HEALTH-RELATED

6 SPENDING.—The long-range sustainability of the 

7 spending levels of Medicaid and other health-related 

8 spending. 

9 ‘‘(4) OTHER DIRECT SPENDING.—The long10 range sustainability of spending levels of other direct 

11 spending. 

12 ‘‘(5) LONG-TERM SUSTAINABILITY.—The long13 term sustainability of total Government outlays, def14 icit, and debt. 

15 ‘‘(6) NET INTEREST.—Projections of net inter16 est. 

17 ‘‘(h) DEFINITIONS.—For purposes of the develop18 ment of the Spending Review Report referred to in sub19 section (f): 

20 ‘‘(1) SOLVENCY OF THE OASDI.—The term ‘sol21 vency’ as used in this section means the solvency of 

22 the Old-Age Security and Disability Insurance Trust 

23 Funds over a 75-year period beginning in the year 

24 the Spending Review Report is reported and in the 

25 last year of that period. 


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1 ‘‘(2) SUSTAINABILITY.—The term ‘sustain2 ability’ means that the projected growth in the Medi3 care program, the Medicaid program or other 

4 health-related spending, or any other direct spending 

5 program (other than the Old-Age Security and Dis6 ability Insurance Trust Funds or the Medicare or 

7 Medicaid program), beginning with the first fiscal 

8 year after the last fiscal year covered in the most re9 cently enacted concurrent resolution on the budget, 

10 does not exceed the annual rate of growth of the 

11 gross domestic product of the United States.’’. 

12 (b) OFFICE OF MANAGEMENT AND BUDGET.—Sec13 tion 1105(a) of title 31, United States Code, is amended 

14 by redesignating the second paragraph (37) as paragraph 

15 (39) and by adding at the end the following new para16 graph: 

17 ‘‘(40) long-term projections of total spending 

18 over 30 years (or 75 years in the case of Social Se19 curity) as a percentage of gross domestic product 

20 annually and the impact of proposed policies over 

21 that period.’’. 

22 SEC. 12. LONG-TERM ANALYSIS BY CONGRESSIONAL BUDG23 ET OFFICE OF LEGISLATION. 

24 (a) LONG-TERM ANALYSIS BY CONGRESSIONAL

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1 sional Budget Act of 1974 is amended by adding at the 

2 end the following new section: 

3 ‘‘LONG-TERM ANALYSIS BY CONGRESSIONAL BUDGET

4 OFFICE OF LEGISLATION

5 ‘‘SEC. 407. (a) ANALYSIS.—The Director of the Con6 gressional Budget Office shall, to the extent practicable, 

7 prepare— 

8 ‘‘(1) for major legislation reported by any com9 mittee of the House of Representatives or the Sen10 ate; and 

11 ‘‘(2) for any bill or resolution so requested by 

12 the chairman or ranking member of the Committee 

13 on the Budget or the chairman or ranking member 

14 of the committee of jurisdiction, 

15 and submit to such committee or to the chairman of the 

16 Committee on the Budget making such request an esti17 mate of the costs which would be incurred in carrying out 

18 such bill or resolution for the ten fiscal-year period begin19 ning with the first fiscal year after the last fiscal year cov20 ered by the most recently enacted concurrent resolution 

21 on the budget subject to the analysis of such bill or resolu22 tion by the Director under section 402, together with the 

23 basis for each such estimate. The estimates, comparison, 

24 and description so submitted shall be included in the re25 port accompanying such bill or resolution if timely sub26 mitted to such committee before such report is filed. 


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1 ‘‘(b) DEFINITION.—As used in this section, the term 

2 ‘major legislation’ means any bill or joint resolution if the 

3 gross spending or revenue effect of such bill or resolution 

4 for any fiscal year for which an estimate was made under 

5 section 402 is greater than .25 percent of the estimated 

6 gross domestic product (GDP) of the United States for 

7 the fiscal year.’’. 

8 (2) The table of contents set forth in section 1(b) of 

9 the Congressional Budget Act of 1974 is amended by in10 serting after the item relating to section 406 the following 

11 new item: 

‘‘Sec. 407. Long-term analysis by Congressional Budget Office of legislation.’’. 

12 (b) ANALYSIS BY CONGRESSIONAL BUDGET OF13 FICE.—Paragraph (1) of section 402 of the Congressional 

14 Budget Act of 1974 is amended by striking ‘‘in each of 

15 the 4 fiscal years following such fiscal year’’ and inserting 

16 ‘‘in at least each of the 9 fiscal years following such fiscal 

17 year’’. 

18 SEC. 13. LONG-TERM BUDGETING REFLECTED IN PRESI19 DENT’S BUDGET SUBMISSIONS. 

20 Paragraphs (5), (6), and (12)(B) of section 1105(a) 

21 of title 31, United States Code, are amended by striking 

22 ‘‘4 fiscal years after that year’’ and inserting ‘‘9 fiscal 

23 years after that year and the ten fiscal-year period begin24 ning thereafter’’. 


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1 SEC. 14. GAO AND OMB STATEMENTS OF THE FEDERAL 

2 GOVERNMENT’S FINANCIAL CONDITION. 

3 (a) GOVERNMENT ACCOUNTABILITY OFFICE.—Not 

4 later than 6 weeks after the President’s budget submission 

5 under section 1105(a) of title 31, United States Code, or 

6 6 weeks after the President submits his budget review, the 

7 Government Accountability Office shall submit a report on 

8 the financial condition of the Government, including the 

9 long-term unfunded obligations. 

10 (b) DEFINITION OF LONG-TERM UNFUNDED OBLI11 GATIONS.—Section 3 of the Congressional Budget Act of 

12 1974 is amended by adding at the end the following new 

13 paragraph: 

14 ‘‘(12) The term ‘unfunded obligations’ means 

15 the dollar sum of the Total Net Position as dis16 played in the United States Government Balance 

17 Sheets contained within the most recently published 

18 Financial Report of the United States Government; 

19 plus the 75-year actuarial balances, using the inter20 mediate open-group assumption, of Medicare’s Hos21 pital Insurance, Supplementary Medical Insurance, 

22 and Prescription Drug programs contained within 

23 the most recently published Annual Report of the 

24 Boards of Trustees of the Federal Hospital Insur25 ance and Federal Supplementary Medical Insurance 

26 Trust Funds; plus the 75-year actuarial balance, 


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1 using the intermediate open group assumption, of 

2 the Old-Age Survivors and Disability Insurance pro3 gram contained within the most recently published 

4 Annual Report of the Board of Trustees of the Fed5 eral Old-Age and Survivors Insurance and Federal 

6 Disability Insurance Trust Funds; plus the 75-year 

7 actuarial balance of the Black Lung Disability Trust 

8 Fund (20–8144–0–7–601); plus the 75-year actu9 arial balance of the Rail Industry Pension Fund 

10 (60–8011–0–7–601) under section 255(g)(1)(B) of 

11 the Balanced Budget and Emergency Deficit Control 

12 Act of 1985.’’. 

13 (c) PRESIDENT’S BUDGET SUBMISSION.—Section 

14 1105(a) of title 31, United States Code, (as amended by 

15 section 8(b)) is further amended by adding at the end the 

16 following: 

17 ‘‘(41) a report on the financial condition of the 

18 Government, including the long-term unfunded obli19 gations.’’. 

20 SEC. 15. MEDICARE TRIGGER. 

21 (a) SECTION 803.—Section 803 of the Medicare Pre22 scription Drug, Improvement, and Modernization Act of 

23 2003 (Public Law 108–173) is amended— 

24 (1) in subsection (b)— 


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1 (A) in paragraph (3)(A), by striking ‘‘; 

2 and’’ and inserting a semicolon; 

3 (B) in paragraph (3)(B), by striking the 

4 period at the end and inserting a semicolon; 

5 (C) in paragraph (3), by adding at the end 

6 the following new subparagraphs: 

7 ‘‘(C) the most recent report of the Medi8 care Trustees (including any illustrative sce9 nario prepared by the Office of the Actuary); 

10 ‘‘(D) an analysis by the Chief Actuary of 

11 Medicare on the proposed legislation; and 

12 ‘‘(E) the assessment of the Committee on 

13 the Budget of the report of the Trustees and 

14 the analysis by the Chief Actuary of Medicare 

15 on the proposed legislation.’’; and 

16 (D) by adding at the end the following new 

17 paragraph: 

18 ‘‘(4) EFFECTIVE CERTIFICATION.—The certifi19 cation referred to in paragraph (3) shall have no 

20 force or effect unless and until all of the criteria set 

21 forth therein are inserted in the Congressional 

22 Record.’’; 

23 (2) by amending subsection (c) to read as fol24 lows: 


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1 ‘‘(c) FALLBACK PROCEDURE FOR FLOOR CONSIDER2 ATION IF THE HOUSE FAILS TO VOTE ON FINAL PAS3 SAGE BY JULY 30.—After July 30 of any year during 

4 which the President is required to submit proposed legisla5 tion to Congress under section 1105(h) of title 31, United 

6 States Code, unless the House of Representatives has 

7 voted on final passage of any medicare funding legislation 

8 for which there is an affirmative certification under sub9 section (b)(3)(A), then, after the expiration of 30 calendar 

10 days (and concurrently 5 legislative days), the medicare 

11 funding legislation shall be discharged from any com12 mittee to which it has been referred.’’; and 

13 (3) by adding at the end the following new sub14 section: 

15 ‘‘(h) INAPPLICABILITY OF PROCEDURES TO CERTAIN

16 LEGISLATION.—Procedures set forth in this section shall 

17 not apply to any legislation including— 

18 ‘‘(1) changes in budget authority and outlays 

19 not within function 570 (spending outside the medi20 care program); or 

21 ‘‘(2) revenue increases other than those receipts 

22 from a dedicated medicare financing source.’’. 

23 (b) SECTION 804.—Section 804 of the Medicare Pre24 scription Drug, Improvement, and Modernization Act of 

25 2003 (Public Law 108–173) is amended— 


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1 (1) in subsection (d)(1), by striking ‘‘, then any 

2 Senator’’ and all that follows and inserting ‘‘, then 

3 the medicare funding legislation measure shall be 

4 discharged from the committee.’’; and 

5 (2) in subsection (e), by adding at the end the 

6 following new sentence: ‘‘The motion to proceed 

7 shall be nondebatable.’’. 

8 (c) SECTION 805.—(1) Subtitle A of title VIII of the 

9 Medicare Prescription Drug, Improvement, and Mod10 ernization Act of 2003 (Public Law 108–173) is amended 

11 by adding at the end the following new section: 

12 ‘‘SEC. 805. DEDICATION OF SAVINGS. 

13 ‘‘The chairman of the Committee on the Budget of 

14 the House of Representatives or the Senate, as appro15 priate, shall adjust the appropriate allocations, aggregates, 

16 and other levels to reflect the budget impact achieved by 

17 legislation introduced pursuant to section 803(a) for pur18 poses of the Congressional Budget Act of 1974, the Bal19 anced Budget Emergency and Deficit Control Act of 1985, 

20 the Rules of the House of Representatives, or the Stand21 ing Rules of the Senate.’’. 

22 (2) The table of contents set forth in section 1(d) 

23 of the Medicare Prescription Drug, Improvement, and 

24 Modernization Act of 2003 (Public Law 108–173) is 


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1 amended by inserting after the item relating to section 

2 804 the following new item: 

‘‘Sec. 805. Dedication of savings.’’. 

Æ 


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