IB 

Union Calendar No. 284 

113TH CONGRESS 

2D SESSION H. R. 1872 

[Report No. 113–381, Part I] 

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

to increase transparency in Federal budgeting, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 8, 2013 

Mr. GARRETT (for himself, Mr. RYAN of Wisconsin, Mr. DUNCAN of South 

Carolina, Mr. FLORES, Mr. MULVANEY, Mr. WESTMORELAND, Mr. 

AMASH, and Mr. HENSARLING) introduced the following bill; which was 

referred to the Committee on the Budget, and in addition to the Committee on Oversight and Government Reform, 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 

MARCH 18, 2014 

Reported from the Committee on the Budget with an amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

MARCH 18, 2014 

The Committee on Oversight and Government Reform discharged; committed 

to the Committee of the Whole House on the State of the Union and ordered to be printed 

[For text of introduced bill, see copy of bill as introduced on May 8, 2013] 


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A BILL 

To amend the Balanced Budget and Emergency Deficit Control Act of 1985 to increase transparency in Federal 

budgeting, and for other purposes. 


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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. 

4 This Act may be cited as the ‘‘Budget and Accounting 

5 Transparency Act of 2014’’. 

6 TITLE I—FAIR VALUE ESTIMATES 

7 SEC. 101. CREDIT REFORM. 

8 (a) IN GENERAL.—Title V of the Congressional Budget 

9 Act of 1974 is amended to read as follows: 

10 ‘‘TITLE V—FAIR VALUE 

11 ‘‘SEC. 500. SHORT TITLE. 

12 ‘‘This title may be cited as the ‘Fair Value Accounting 

13 Act of 2014’. 

14 ‘‘SEC. 501. PURPOSES. 

15 ‘‘The purposes of this title are to— 

16 ‘‘(1) measure more accurately the costs of Fed17 eral credit programs by accounting for them on a fair 

18 value basis; 

19 ‘‘(2) place the cost of credit programs on a budg20 etary basis equivalent to other Federal spending; 

21 ‘‘(3) encourage the delivery of benefits in the 

22 form most appropriate to the needs of beneficiaries; 

23 and 

24 ‘‘(4) improve the allocation of resources among 

25 Federal programs. 


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1 ‘‘SEC. 502. DEFINITIONS. 

2 ‘‘For purposes of this title: 

3 ‘‘(1) The term ‘direct loan’ means a disburse4 ment of funds by the Government to a non-Federal 

5 borrower under a contract that requires the repay6 ment of such funds with or without interest. The term 

7 includes the purchase of, or participation in, a loan 

8 made by another lender and financing arrangements 

9 that defer payment for more than 90 days, including 

10 the sale of a Government asset on credit terms. The 

11 term does not include the acquisition of a federally 

12 guaranteed loan in satisfaction of default claims or 

13 the price support loans of the Commodity Credit Cor14 poration. 

15 ‘‘(2) The term ‘direct loan obligation’ means a 

16 binding agreement by a Federal agency to make a di17 rect loan when specified conditions are fulfilled by the 

18 borrower. 

19 ‘‘(3) The term ‘loan guarantee’ means any guar20 antee, insurance, or other pledge with respect to the 

21 payment of all or a part of the principal or interest 

22 on any debt obligation of a non-Federal borrower to 

23 a non-Federal lender, but does not include the insur24 ance of deposits, shares, or other withdrawable ac25 counts in financial institutions. 


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1 ‘‘(4) The term ‘loan guarantee commitment’ 

2 means a binding agreement by a Federal agency to 

3 make a loan guarantee when specified conditions are 

4 fulfilled by the borrower, the lender, or any other 

5 party to the guarantee agreement. 

6 ‘‘(5)(A) The term ‘cost’ means the sum of the 

7 Treasury discounting component and the risk compo8 nent of a direct loan or loan guarantee, or a modi9 fication thereof. 

10 ‘‘(B) The Treasury discounting component shall 

11 be the estimated long-term cost to the Government of 

12 a direct loan or loan guarantee, or modification 

13 thereof, calculated on a net present value basis, ex14 cluding administrative costs and any incidental ef15 fects on governmental receipts or outlays. 

16 ‘‘(C) The risk component shall be an amount 

17 equal to the difference between— 

18 ‘‘(i) the estimated long-term cost to the Gov19 ernment of a direct loan or loan guarantee, or 

20 modification thereof, estimated on a fair value 

21 basis, applying the guidelines set forth by the Fi22 nancial Accounting Standards Board in Finan23 cial Accounting Standards #157, or a successor 

24 thereto, excluding administrative costs and any 


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1 incidental effects on governmental receipts or 

2 outlays; and 

3 ‘‘(ii) the Treasury discounting component of 

4 such direct loan or loan guarantee, or modifica5 tion thereof. 

6 ‘‘(D) The Treasury discounting component of a 

7 direct loan shall be the net present value, at the time 

8 when the direct loan is disbursed, of the following es9 timated cash flows: 

10 ‘‘(i) Loan disbursements. 

11 ‘‘(ii) Repayments of principal. 

12 ‘‘(iii) Essential preservation expenses, pay13 ments of interest and other payments by or to 

14 the Government over the life of the loan after ad15 justing for estimated defaults, prepayments, fees, 

16 penalties, and other recoveries, including the ef17 fects of changes in loan terms resulting from the 

18 exercise by the borrower of an option included in 

19 the loan contract. 

20 ‘‘(E) The Treasury discounting component of a 

21 loan guarantee shall be the net present value, at the 

22 time when the guaranteed loan is disbursed, of the fol23 lowing estimated cash flows: 


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1 ‘‘(i) Payments by the Government to cover 

2 defaults and delinquencies, interest subsidies, es3 sential preservation expenses, or other payments. 

4 ‘‘(ii) Payments to the Government includ5 ing origination and other fees, penalties, and re6 coveries, including the effects of changes in loan 

7 terms resulting from the exercise by the guaran8 teed lender of an option included in the loan 

9 guarantee contract, or by the borrower of an op10 tion included in the guaranteed loan contract. 

11 ‘‘(F) The cost of a modification is the sum of— 

12 ‘‘(i) the difference between the current esti13 mate of the Treasury discounting component of 

14 the remaining cash flows under the terms of a 

15 direct loan or loan guarantee and the current es16 timate of the Treasury discounting component of 

17 the remaining cash flows under the terms of the 

18 contract, as modified; and 

19 ‘‘(ii) the difference between the current esti20 mate of the risk component of the remaining 

21 cash flows under the terms of a direct loan or 

22 loan guarantee and the current estimate of the 

23 risk component of the remaining cash flows 

24 under the terms of the contract as modified. 


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1 ‘‘(G) In estimating Treasury discounting compo2 nents, the discount rate shall be the average interest 

3 rate on marketable Treasury securities of similar du4 ration to the cash flows of the direct loan or loan 

5 guarantee for which the estimate is being made. 

6 ‘‘(H) When funds are obligated for a direct loan 

7 or loan guarantee, the estimated cost shall be based on 

8 the current assumptions, adjusted to incorporate the 

9 terms of the loan contract, for the fiscal year in which 

10 the funds are obligated. 

11 ‘‘(6) The term ‘program account’ means the 

12 budget account into which an appropriation to cover 

13 the cost of a direct loan or loan guarantee program 

14 is made and from which such cost is disbursed to the 

15 financing account. 

16 ‘‘(7) The term ‘financing account’ means the 

17 nonbudget account or accounts associated with each 

18 program account which holds balances, receives the 

19 cost payment from the program account, and also in20 cludes all other cash flows to and from the Govern21 ment resulting from direct loan obligations or loan 

22 guarantee commitments made on or after October 1, 

23 1991. 

24 ‘‘(8) The term ‘liquidating account’ means the 

25 budget account that includes all cash flows to and 


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1 from the Government resulting from direct loan obli2 gations or loan guarantee commitments made prior to 

3 October 1, 1991. These accounts shall be shown in the 

4 budget on a cash basis. 

5 ‘‘(9) The term ‘modification’ means any Govern6 ment action that alters the estimated cost of an out7 standing direct loan (or direct loan obligation) or an 

8 outstanding loan guarantee (or loan guarantee com9 mitment) from the current estimate of cash flows. 

10 This includes the sale of loan assets, with or without 

11 recourse, and the purchase of guaranteed loans (or di12 rect loan obligations) or loan guarantees (or loan 

13 guarantee commitments) such as a change in collec14 tion procedures. 

15 ‘‘(10) The term ‘current’ has the same meaning 

16 as in section 250(c)(9) of the Balanced Budget and 

17 Emergency Deficit Control Act of 1985. 

18 ‘‘(11) The term ‘Director’ means the Director of 

19 the Office of Management and Budget. 

20 ‘‘(12) The term ‘administrative costs’ means 

21 costs related to program management activities, but 

22 does not include essential preservation expenses. 

23 ‘‘(13) The term ‘essential preservation expenses’ 

24 means servicing and other costs that are essential to 

25 preserve the value of loan assets or collateral. 


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1 ‘‘SEC. 503. OMB AND CBO ANALYSIS, COORDINATION, AND 

2 REVIEW. 

3 ‘‘(a) IN GENERAL.—For the executive branch, the Di4 rector shall be responsible for coordinating the estimates re5 quired by this title. The Director shall consult with the 

6 agencies that administer direct loan or loan guarantee pro7 grams. 

8 ‘‘(b) DELEGATION.—The Director may delegate to 

9 agencies authority to make estimates of costs. The delegation 

10 of authority shall be based upon written guidelines, regula11 tions, or criteria consistent with the definitions in this title. 

12 ‘‘(c) COORDINATION WITH THE CONGRESSIONAL

13 BUDGET OFFICE.—In developing estimation guidelines, 

14 regulations, or criteria to be used by Federal agencies, the 

15 Director shall consult with the Director of the Congressional 

16 Budget Office. 

17 ‘‘(d) IMPROVING COST ESTIMATES.—The Director and 

18 the Director of the Congressional Budget Office shall coordi19 nate the development of more accurate data on historical 

20 performance and prospective risk of direct loan and loan 

21 guarantee programs. They shall annually review the per22 formance of outstanding direct loans and loan guarantees 

23 to improve estimates of costs. The Office of Management and 

24 Budget and the Congressional Budget Office shall have ac25 cess to all agency data that may facilitate the development 

26 and improvement of estimates of costs. 


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1 ‘‘(e) HISTORICAL CREDIT PROGRAMS COSTS.—The Di2 rector shall review, to the extent possible, historical data 

3 and develop the best possible estimates of adjustments that 

4 would convert aggregate historical budget data to credit re5 form accounting. 

6 ‘‘SEC. 504. BUDGETARY TREATMENT. 

7 ‘‘(a) PRESIDENT’S BUDGET.—Beginning with fiscal 

8 year 2017, the President’s budget shall reflect the costs of 

9 direct loan and loan guarantee programs. The budget shall 

10 also include the planned level of new direct loan obligations 

11 or loan guarantee commitments associated with each appro12 priations request. For each fiscal year within the five-fiscal 

13 year period beginning with fiscal year 2017, such budget 

14 shall include, on an agency-by-agency basis, subsidy esti15 mates and costs of direct loan and loan guarantee programs 

16 with and without the risk component. 

17 ‘‘(b) APPROPRIATIONS REQUIRED.—Notwithstanding 

18 any other provision of law, new direct loan obligations may 

19 be incurred and new loan guarantee commitments may be 

20 made for fiscal year 2017 and thereafter only to the extent 

21 that— 

22 ‘‘(1) new budget authority to cover their costs is 

23 provided in advance in an appropriation Act; 

24 ‘‘(2) a limitation on the use of funds otherwise 

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1 antee program has been provided in advance in an 

2 appropriation Act; or 

3 ‘‘(3) authority is otherwise provided in appro4 priation Acts. 

5 ‘‘(c) EXEMPTION FOR DIRECT SPENDING PRO6 GRAMS.—Subsections (b) and (e) shall not apply to— 

7 ‘‘(1) any direct loan or loan guarantee program 

8 that constitutes an entitlement (such as the guaran9 teed student loan program or the veteran’s home loan 

10 guaranty program); 

11 ‘‘(2) the credit programs of the Commodity Cred12 it Corporation existing on the date of enactment of 

13 this title; or 

14 ‘‘(3) any direct loan (or direct loan obligation) 

15 or loan guarantee (or loan guarantee commitment) 

16 made by the Federal National Mortgage Association 

17 or the Federal Home Loan Mortgage Corporation. 

18 ‘‘(d) BUDGET ACCOUNTING.— 

19 ‘‘(1) The authority to incur new direct loan obli20 gations, make new loan guarantee commitments, or 

21 modify outstanding direct loans (or direct loan obli22 gations) or loan guarantees (or loan guarantee com23 mitments) shall constitute new budget authority in an 

24 amount equal to the cost of the direct loan or loan 

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1 ity becomes available or indefinite authority is used. 

2 Such budget authority shall constitute an obligation 

3 of the program account to pay to the financing ac4 count. 

5 ‘‘(2) The outlays resulting from new budget au6 thority for the cost of direct loans or loan guarantees 

7 described in paragraph (1) shall be paid from the 

8 program account into the financing account and re9 corded in the fiscal year in which the direct loan or 

10 the guaranteed loan is disbursed or its costs altered. 

11 ‘‘(3) All collections and payments of the financ12 ing accounts shall be a means of financing. 

13 ‘‘(e) MODIFICATIONS.—An outstanding direct loan (or 

14 direct loan obligation) or loan guarantee (or loan guarantee 

15 commitment) shall not be modified in a manner that in16 creases its costs unless budget authority for the additional 

17 cost has been provided in advance in an appropriation Act. 

18 ‘‘(f) REESTIMATES.—When the estimated cost for a 

19 group of direct loans or loan guarantees for a given pro20 gram made in a single fiscal year is re-estimated in a subse21 quent year, the difference between the reestimated cost and 

22 the previous cost estimate shall be displayed as a distinct 

23 and separately identified subaccount in the program ac24 count as a change in program costs and a change in net 


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1 interest. There is hereby provided permanent indefinite au2 thority for these re-estimates. 

3 ‘‘(g) ADMINISTRATIVE EXPENSES.—All funding for an 

4 agency’s administrative costs associated with a direct loan 

5 or loan guarantee program shall be displayed as distinct 

6 and separately identified subaccounts within the same 

7 budget account as the program’s cost. 

8 ‘‘SEC. 505. AUTHORIZATIONS. 

9 ‘‘(a) AUTHORIZATION FOR FINANCING ACCOUNTS.—In 

10 order to implement the accounting required by this title, 

11 the President is authorized to establish such non-budgetary 

12 accounts as may be appropriate. 

13 ‘‘(b) TREASURY TRANSACTIONS WITH THE FINANCING

14 ACCOUNTS.— 

15 ‘‘(1) IN GENERAL.—The Secretary of the Treas16 ury shall borrow from, receive from, lend to, or pay 

17 to the financing accounts such amounts as may be 

18 appropriate. The Secretary of the Treasury may pre19 scribe forms and denominations, maturities, and 

20 terms and conditions for the transactions described in 

21 the preceding sentence, except that the rate of interest 

22 charged by the Secretary on lending to financing ac23 counts (including amounts treated as lending to fi24 nancing accounts by the Federal Financing Bank 

25 (hereinafter in this subsection referred to as the 


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1 ‘Bank’) pursuant to section 405(b)) and the rate of 

2 interest paid to financing accounts on uninvested bal3 ances in financing accounts shall be the same as the 

4 rate determined pursuant to section 502(5)(G). 

5 ‘‘(2) LOANS.—For guaranteed loans financed by 

6 the Bank and treated as direct loans by a Federal 

7 agency pursuant to section 406(b)(1), any fee or in8 terest surcharge (the amount by which the interest 

9 rate charged exceeds the rate determined pursuant to 

10 section 502(5)(G) that the Bank charges to a private 

11 borrower pursuant to section 6(c) of the Federal Fi12 nancing Bank Act of 1973 shall be considered a cash 

13 flow to the Government for the purposes of deter14 mining the cost of the direct loan pursuant to section 

15 502(5). All such amounts shall be credited to the ap16 propriate financing account. 

17 ‘‘(3) REIMBURSEMENT.—The Bank is authorized 

18 to require reimbursement from a Federal agency to 

19 cover the administrative expenses of the Bank that are 

20 attributable to the direct loans financed for that agen21 cy. All such payments by an agency shall be consid22 ered administrative expenses subject to section 504(g). 

23 This subsection shall apply to transactions related to 

24 direct loan obligations or loan guarantee commit25 ments made on or after October 1, 1991. 


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1 ‘‘(4) AUTHORITY.—The authorities provided in 

2 this subsection shall not be construed to supersede or 

3 override the authority of the head of a Federal agency 

4 to administer and operate a direct loan or loan guar5 antee program. 

6 ‘‘(5) TITLE 31.—All of the transactions provided 

7 in the subsection shall be subject to the provisions of 

8 subchapter II of chapter 15 of title 31, United States 

9 Code. 

10 ‘‘(6) TREATMENT OF CASH BALANCES.—Cash 

11 balances of the financing accounts in excess of current 

12 requirements shall be maintained in a form of 

13 uninvested funds and the Secretary of the Treasury 

14 shall pay interest on these funds. The Secretary of the 

15 Treasury shall charge (or pay if the amount is nega16 tive) financing accounts an amount equal to the risk 

17 component for a direct loan or loan guarantee, or 

18 modification thereof. Such amount received by the 

19 Secretary of the Treasury shall be a means of financ20 ing and shall not be considered a cash flow of the 

21 Government for the purposes of section 502(5). 

22 ‘‘(c) AUTHORIZATION FOR LIQUIDATING ACCOUNTS.— 

23 (1) Amounts in liquidating accounts shall be available only 

24 for payments resulting from direct loan obligations or loan 


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1 guarantee commitments made prior to October 1, 1991, 

2 for— 

3 ‘‘(A) interest payments and principal repay4 ments to the Treasury or the Federal Financing Bank 

5 for amounts borrowed; 

6 ‘‘(B) disbursements of loans; 

7 ‘‘(C) default and other guarantee claim pay8 ments; 

9 ‘‘(D) interest supplement payments; 

10 ‘‘(E) payments for the costs of foreclosing, man11 aging, and selling collateral that are capitalized or 

12 routinely deducted from the proceeds of sales; 

13 ‘‘(F) payments to financing accounts when re14 quired for modifications; 

15 ‘‘(G) administrative costs and essential preserva16 tion expenses, if— 

17 ‘‘(i) amounts credited to the liquidating ac18 count would have been available for administra19 tive costs and essential preservation expenses 

20 under a provision of law in effect prior to Octo21 ber 1, 1991; and 

22 ‘‘(ii) no direct loan obligation or loan guar23 antee commitment has been made, or any modi24 fication of a direct loan or loan guarantee has 

25 been made, since September 30, 1991; or 


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1 ‘‘(H) such other payments as are necessary for 

2 the liquidation of such direct loan obligations and 

3 loan guarantee commitments. 

4 ‘‘(2) Amounts credited to liquidating accounts in any 

5 year shall be available only for payments required in that 

6 year. Any unobligated balances in liquidating accounts at 

7 the end of a fiscal year shall be transferred to miscellaneous 

8 receipts as soon as practicable after the end of the fiscal 

9 year. 

10 ‘‘(3) If funds in liquidating accounts are insufficient 

11 to satisfy obligations and commitments of such accounts, 

12 there is hereby provided permanent, indefinite authority to 

13 make any payments required to be made on such obligations 

14 and commitments. 

15 ‘‘(d) REINSURANCE.—Nothing in this title shall be 

16 construed as authorizing or requiring the purchase of insur17 ance or reinsurance on a direct loan or loan guarantee from 

18 private insurers. If any such reinsurance for a direct loan 

19 or loan guarantee is authorized, the cost of such insurance 

20 and any recoveries to the Government shall be included in 

21 the calculation of the cost. 

22 ‘‘(e) ELIGIBILITY AND ASSISTANCE.—Nothing in this 

23 title shall be construed to change the authority or the re24 sponsibility of a Federal agency to determine the terms and 


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1 conditions of eligibility for, or the amount of assistance pro2 vided by a direct loan or a loan guarantee. 

3 ‘‘SEC. 506. TREATMENT OF DEPOSIT INSURANCE AND AGEN4 CIES AND OTHER INSURANCE PROGRAMS. 

5 ‘‘This title shall not apply to the credit or insurance 

6 activities of the Federal Deposit Insurance Corporation, 

7 National Credit Union Administration, Resolution Trust 

8 Corporation, Pension Benefit Guaranty Corporation, Na9 tional Flood Insurance, National Insurance Development 

10 Fund, Crop Insurance, or Tennessee Valley Authority. 

11 ‘‘SEC. 507. EFFECT ON OTHER LAWS. 

12 ‘‘(a) EFFECT ON OTHER LAWS.—This title shall super13 sede, modify, or repeal any provision of law enacted prior 

14 to the date of enactment of this title to the extent such provi15 sion is inconsistent with this title. Nothing in this title shall 

16 be construed to establish a credit limitation on any Federal 

17 loan or loan guarantee program. 

18 ‘‘(b) CREDITING OF COLLECTIONS.—Collections result19 ing from direct loans obligated or loan guarantees com20 mitted prior to October 1, 1991, shall be credited to the liq21 uidating accounts of Federal agencies. Amounts so credited 

22 shall be available, to the same extent that they were avail23 able prior to the date of enactment of this title, to liquidate 

24 obligations arising from such direct loans obligated or loan 

25 guarantees committed prior to October 1, 1991, including 


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1 repayment of any obligations held by the Secretary of the 

2 Treasury or the Federal Financing Bank. The unobligated 

3 balances of such accounts that are in excess of current needs 

4 shall be transferred to the general fund of the Treasury. 

5 Such transfers shall be made from time to time but, at least 

6 once each year.’’. 

7 (b) CONFORMING AMENDMENT.—The table of contents 

8 set forth in section 1(b) of the Congressional Budget and 

9 Impoundment Control Act of 1974 is amended by striking 

10 the items relating to title V and inserting the following: 

‘‘TITLE V—FAIR VALUE 

‘‘Sec. 500. Short title. 

‘‘Sec. 501. Purposes. 

‘‘Sec. 502. Definitions. 

‘‘Sec. 503. OMB and CBO analysis, coordination, and review. 

‘‘Sec. 504. Budgetary treatment. 

‘‘Sec. 505. Authorizations. 

‘‘Sec. 506. Treatment of deposit insurance and agencies and other insurance programs. 

‘‘Sec. 507. Effect on other laws.’’. 

11 SEC. 102. BUDGETARY ADJUSTMENT. 

12 (a) IN GENERAL.—Section 251(b)(1) of the Balanced 

13 Budget and Emergency Deficit Control Act of 1985 is 

14 amended by adding at the end the following new sentence: 

15 ‘‘A change in discretionary spending solely as a result of 

16 the amendment to title V of the Congressional Budget Act 

17 of 1974 made by the Budget and Accounting Transparency 

18 Act of 2014 shall be treated as a change of concept under 

19 this paragraph.’’. 


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1 (b) REPORT.—Before adjusting the discretionary caps 

2 pursuant to the authority provided in subsection (a), the 

3 Office of Management and Budget shall report to the Com4 mittees on the Budget of the House of Representatives and 

5 the Senate on the amount of that adjustment, the method6 ology used in determining the size of that adjustment, and 

7 a program-by-program itemization of the components of 

8 that adjustment. 

9 (c) SCHEDULE.—The Office of Management and Budg10 et shall not make an adjustment pursuant to the authority 

11 provided in subsection (a) sooner than 60 days after pro12 viding the report required in subsection (b). 

13 SEC. 103. EFFECTIVE DATE. 

14 The amendments made by section 101 shall take effect 

15 beginning with fiscal year 2017. 

16 TITLE II—BUDGETARY 

17 TREATMENT 

18 SEC. 201. CBO AND OMB STUDIES RESPECTING BUDGETING 

19 FOR COSTS OF FEDERAL INSURANCE PRO20 GRAMS. 

21 Not later than 1 year after the date of enactment of 

22 this Act, the Directors of the Congressional Budget Office 

23 and of the Office of Management and Budget shall each pre24 pare a study and make recommendations to the Committees 

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1 ate as to the feasability of applying fair value concepts to 

2 budgeting for the costs of Federal insurance programs. 

3 SEC. 202. ON-BUDGET STATUS OF FANNIE MAE AND 

4 FREDDIE MAC. 

5 Notwithstanding any other provision of law, the re6 ceipts and disbursements, including the administrative ex7 penses, of the Federal National Mortgage Association and 

8 the Federal Home Loan Mortgage Corporation shall be 

9 counted as new budget authority, outlays, receipts, or deficit 

10 or surplus for purposes of— 

11 (1) the budget of the United States Government 

12 as submitted by the President; 

13 (2) the congressional budget; and 

14 (3) the Balanced Budget and Emergency Deficit 

15 Control Act of 1985. 

16 SEC. 203. EFFECTIVE DATE. 

17 Section 202 shall not apply with respect to an enter18 prise (as such term is defined in section 1303 of the Federal 

19 Housing Enterprises Financial Safety and Soundness Act 

20 of 1992 (12 U.S.C. 4502)) after the date that all of the fol21 lowing have occurred: 

22 (1) The conservatorship for such enterprise under 

23 section 1367 of such Act (12 U.S.C. 4617) has been 

24 terminated. 


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1 (2) The Director of the Federal Housing Finance 

2 Agency has certified in writing that such enterprise 

3 has repaid to the Federal Government the maximum 

4 amount consistent with minimizing total cost to the 

5 Federal Government of the financial assistance pro6 vided to the enterprise by the Federal Government 

7 pursuant to the amendments made by section 1117 of 

8 the Housing and Economic Recovery Act of 2008 

9 (Public Law 110–289; 122 Stat. 2683) or otherwise. 

10 (3) The charter for the enterprise has been re11 voked, annulled, or terminated and the authorizing 

12 statute (as such term is defined in such section 1303) 

13 with respect to the enterprise has been repealed. 

14 TITLE III—BUDGET REVIEW AND 

15 ANALYSIS 

16 SEC. 301. CBO AND OMB REVIEW AND RECOMMENDATIONS 

17 RESPECTING RECEIPTS AND COLLECTIONS. 

18 Not later than 1 year after the date of enactment of 

19 this Act, the Director of the Office of Management and 

20 Budget shall prepare a study of the history of offsetting col21 lections against expenditures and the amount of receipts 

22 collected annually, the historical application of the budg23 etary terms ‘‘revenue’’, ‘‘offsetting collections’’, and ‘‘offset24 ting receipts’’, and review the application of those terms 

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1 et of the House of Representatives and the Senate of whether 

2 such usage should be continued or modified. The Director 

3 of the Congressional Budget Office shall review the history 

4 and recommendations prepared by the Director of the Office 

5 of Management and Budget and shall submit comments and 

6 recommendations to such Committees. 

7 SEC. 302. AGENCY BUDGET JUSTIFICATIONS. 

8 Section 1108 of title 31, United States Code, is amend9 ed by inserting at the end the following new subsections: 

10 ‘‘(h)(1) Whenever any agency prepares and submits 

11 written budget justification materials for any committee of 

12 the House of Representatives or the Senate, such agency 

13 shall post such budget justification on the same day of such 

14 submission on the ‘open’ page of the public website of the 

15 agency, and the Office of Management and Budget shall 

16 post such budget justification in a centralized location on 

17 its website, in the format developed under paragraph (2). 

18 Each agency shall include with its written budget justifica19 tion the process and methodology the agency is using to 

20 comply with the Fair Value Accounting Act of 2014. 

21 ‘‘(2) The Office of Management and Budget, in con22 sultation with the Congressional Budget Office and the Gov23 ernment Accountability Office, shall develop and notify 

24 each agency of the format in which to post a budget jus25 tification under paragraph (1). Such format shall be deVerDate Mar 15 2010 22:29 Mar 18, 2014 Jkt 039200 PO 00000 Frm 00024 Fmt 6652 Sfmt 6203 E:\BILLS\H1872.RH H1872

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25 

•HR 1872 RH

1 signed to ensure that posted budget justifications for all 

2 agencies— 

3 ‘‘(A) are searchable, sortable, and downloadable 

4 by the public; 

5 ‘‘(B) are consistent with generally accepted 

6 standards and practices for machine-discoverability; 

7 ‘‘(C) are organized uniformly, in a logical man8 ner that makes clear the contents of a budget justifica9 tion and relationships between data elements within 

10 the budget justification and among similar docu11 ments; and 

12 ‘‘(D) use uniform identifiers, including for agen13 cies, bureaus, programs, and projects. 

14 ‘‘(i)(1) Not later than the day that the Office of Man15 agement and Budget issues guidelines, regulations, or cri16 teria to agencies on how to calculate the risk component 

17 under the Fair Value Accounting Act of 2014, it shall sub18 mit a written report to the Committees on the Budget of 

19 the House of Representatives and the Senate containing all 

20 such guidelines, regulations, or criteria. 

21 ‘‘(2) For fiscal year 2017 and each of the next four 

22 fiscal years thereafter, the Comptroller General shall submit 

23 an annual report to the Committees on the Budget of the 

24 House of Representatives and the Senate reviewing and 


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26 

•HR 1872 RH

1 evaluating the progress of agencies in the implementation 

2 of the Fair Value Accounting Act of 2014. 

3 ‘‘(3) Such guidelines, regulations, or criteria shall be 

4 deemed to be a rule for purposes of section 553 of title 5 

5 and shall be issued after notice and opportunity for public 

6 comment in accordance with the procedures under such sec7 tion.’’. 


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tkelley on DSK3SPTVN1PROD with BILLS
Union Calendar No. 284 

113TH CONGRESS 

2D SESSION H. R. 1872 

[Report No. 113–381, Part I] 

A BILL 

To amend the Balanced Budget and Emergency 

poses. parency in Federal budgeting, and for other purDeficit Control Act of 1985 to increase transMARCH 18, 2014 

Reported from the Committee on the Budget with an 

amendment 

MARCH 18, 2014 

The Committee on Oversight and Government Reform 

printed House on the State of the Union and ordered to be discharged; committed to the Committee of the Whole 


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