```

[House Report 114-209]
[From the U.S. Government Publishing Office]

114th Congress   }                                       {     Report
                        HOUSE OF REPRESENTATIVES
 1st Session     }                                       {    114-209

======================================================================

 
                PRESIDENTIAL ALLOWANCE MODERNIZATION ACT

                                _______
                                

 July 16, 2015.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

 Mr. Chaffetz, from the Committee on Oversight and Government Reform, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 1777]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Oversight and Government Reform, to whom 
was referred the bill (H.R. 1777) to amend the Act of August 
25, 1958, commonly known as the ``Former Presidents Act of 
1958'', with respect to the monetary allowance payable to a 
former President, and for other purposes, having considered the 
same, report favorably thereon with an amendment and recommend 
that the bill as amended do pass.

                                CONTENTS

                                                                   Page
Committee Statement and Views....................................     3
Section-by-Section...............................................     4
Explanation of Amendments........................................     5
Committee Consideration..........................................     5
Roll Call Votes..................................................     5
Application of Law to the Legislative Branch.....................     5
Statement of Oversight Findings and Recommendations of the 
  Committee......................................................     6
Statement of General Performance Goals and Objectives............     6
Duplication of Federal Programs..................................     6
Disclosure of Directed Rule Makings..............................     6
Federal Advisory Committee Act...................................     6
Unfunded Mandate Statement.......................................     6
Earmark Identification...........................................     6
Committee Estimate...............................................     6
Budget Authority and Congressional Budget Office Cost Estimate...     7
Changes in Existing Law Made by the Bill, as Reported............     8

    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Presidential Allowance Modernization 
Act''.

SEC. 2. AMENDMENTS.

  (a) Relating to a Former President.--The first section of the Act 
entitled ``An Act to provide retirement, clerical assistants, and free 
mailing privileges to former Presidents of the United States, and for 
other purposes'', approved August 25, 1958 (3 U.S.C. 102 note), is 
amended by striking the matter before subsection (e) and inserting the 
following:
  ``(a) Each former President shall be entitled for the remainder of 
his or her life to receive from the United States--
          ``(1) an annuity at the rate of $200,000 per year, subject to 
        subsection (c); and
          ``(2) a monetary allowance at the rate of $200,000 per year, 
        subject to subsections (c) and (d).
  ``(b)(1) The annuity and allowance under subsection (a) shall each--
          ``(A) commence on the day after the individual becomes a 
        former President;
          ``(B) terminate on the last day of the month before the 
        former President dies; and
          ``(C) be payable by the Secretary of the Treasury on a 
        monthly basis.
  ``(2) The annuity and allowance under subsection (a) shall not be 
payable for any period during which the former President holds an 
appointive or elective position in or under the Federal Government to 
which is attached a rate of pay other than a nominal rate.
  ``(c) Effective December 1 of each year, each annuity and allowance 
under subsection (a) having a commencement date that precedes such 
December 1 shall be increased by the same percentage as the percentage 
by which benefit amounts under title II of the Social Security Act (42 
U.S.C. 401 and following) are increased, effective as of such December 
1, as a result of a determination under section 215(i) of such Act (42 
U.S.C. 415(i)).
  ``(d)(1) Notwithstanding any other provision of this section, the 
monetary allowance payable under subsection (a)(2) to a former 
President for any 12-month period may not exceed the amount by which--
          ``(A) the monetary allowance which (but for this subsection) 
        would otherwise be so payable for such 12-month period, exceeds 
        (if at all)
          ``(B) the applicable reduction amount for such 12-month 
        period.
  ``(2)(A) For purposes of paragraph (1), the `applicable reduction 
amount' is, with respect to any former President and in connection with 
any 12-month period, the amount by which--
          ``(i) the sum of (I) the adjusted gross income (as defined by 
        section 62 of the Internal Revenue Code of 1986) of the former 
        President for the last taxable year ending before the start of 
        such 12-month period, plus (II) any interest excluded from the 
        gross income of the former President under section 103 of such 
        Code for such taxable year, exceeds (if at all)
          ``(ii) $400,000, subject to subparagraph (C).
  ``(B) In the case of a joint return, subclauses (I) and (II) of 
subparagraph (A)(i) shall be applied by taking into account both the 
amounts properly allocable to the former President and the amounts 
properly allocable to the spouse of the former President.
  ``(C) The dollar amount specified in subparagraph (A)(ii) shall be 
adjusted at the same time that, and by the same percentage as the 
percentage by which, the monetary allowance of the former President is 
increased under subsection (c) (disregarding this subsection).''.
  (b) Relating to the Surviving Spouse of a Former President.--
          (1) Increase in amount of monetary allowance.--Subsection (e) 
        of the section amended by subsection (a) is amended--
                  (A) in the first sentence, by striking ``$20,000 per 
                annum,'' and inserting ``$100,000 per year (subject to 
                paragraph (4)),''; and
                  (B) in the second sentence--
                          (i) in paragraph (2), by striking ``and'' at 
                        the end;
                          (ii) in paragraph (3)--
                                  (I) by striking ``or the government 
                                of the District of Columbia''; and
                                  (II) by striking the period and 
                                inserting ``; and''; and
                          (iii) by adding after paragraph (3) the 
                        following:
          ``(4) shall, after its commencement date, be increased at the 
        same time that, and by the same percentage as the percentage by 
        which, annuities of former Presidents are increased under 
        subsection (c).''.
          (2) Coverage of widower of a former president.--Such 
        subsection (e), as amended by paragraph (1), is further 
        amended--
                  (A) by striking ``widow'' each place it appears and 
                inserting ``widow or widower''; and
                  (B) by striking ``she'' and inserting ``she or he''.

SEC. 3. RULE OF CONSTRUCTION.

  Nothing in this Act shall be considered to affect--
          (1) any provision of law relating to the security or 
        protection of a former President or a member of the family of a 
        former President; or
          (2) funding, under the law amended by this section or under 
        any other law, to carry out any provision of law described in 
        paragraph (1).

SEC. 4. EFFECTIVE DATE; TRANSITION RULES.

  (a) Effective Date.--This Act shall take effect on the date of 
enactment of this Act.
  (b) Transition Rules.--
          (1) Former presidents.--In the case of any individual who is 
        a former President on the date of enactment of this Act, the 
        amendment made by section 2(a) shall be applied as if the 
        commencement date referred in subsection (b)(1)(A) of the 
        section amended by this Act coincided with such date of 
        enactment.
          (2) Widows.--In the case of any individual who is the widow 
        of a former President on the date of enactment of this Act, the 
        amendments made by section 2(b)(1) shall be applied as if the 
        commencement date referred to in subsection (e)(1) of the 
        section amended by this Act coincided with such date of 
        enactment.

                     Committee Statement and Views

                          PURPOSE AND SUMMARY

    H.R. 1777, the Presidential Allowance Modernization Act, 
would reform the pension and allowances provided to former 
Presidents, reducing unnecessary costs to the taxpayer.

                  BACKGROUND AND NEED FOR LEGISLATION

    The Former Presidents Act (FPA)\1\ provides each former 
President a pension equal to the annual salary for cabinet 
secretaries\2\ and funding for staff, office space, travel, and 
franked mail to assist their post-presidential life. Surviving 
spouses are eligible for an annual pension of $20,000. Before 
enactment of the FPA in 1958, former Presidents did not receive 
a pension or other federal assistance. In addition to benefits 
provided under the FPA, former Presidents are also provided 
Secret Service protection\3\ and transition assistance 6 months 
after inauguration day\4\.
---------------------------------------------------------------------------
    \1\3 U.S.C. Sec. 102 note.
    \2\$203,700 in calendar year 2015.
    \3\18 U.S.C. Sec. 3056.
    \4\3 U.S.C. Sec. 102 note; PTA.
---------------------------------------------------------------------------
    In fiscal year 2015, Congress appropriated $3.252 million 
for expenditures for former Presidents.\5\ Of this amount, the 
General Services Administration (GSA) made $1.182 million in 
rent payments for office space.\6\ The Administration requested 
$3.277 million for these expenditures for fiscal year 2016.\7\
---------------------------------------------------------------------------
    \5\P.L. 113-235.
    \6\CRS Report RL34631, Former Presidents: Pensions, Office 
Allowances, and Other Federal Benefits, by Wendy Ginsberg, Daniel J. 
Richardson.
    \7\U.S. Office of Management and Budget, The Budget for Fiscal Year 
2016: Appendix, pg. 1159.
---------------------------------------------------------------------------
    Recent former presidents have the opportunity to earn 
millions from speaking fees after leaving office. Former 
President Bill Clinton earned more than $100 million for 
speeches between 2001 and 2013,\8\ and former President George 
W. Bush has earned at least $15 million for more than 140 paid 
speeches since he left office in 2009.\9\ Shortly after Ronald 
Reagan left office in 1989, he collected a $2 million fee from 
a Japanese audience.\10\
---------------------------------------------------------------------------
    \8\Rosalind S. Halderman, For Clintons, speech income shows how 
their wealth is intertwined with charity, Wash. Post (Apr. 22, 2015).
    \9\Joseph Morton, Ernst: Cap expense accounts for former presidents 
at $200,000 per year, Omaha World-Herald (May 22, 2015).
    \10\John Solomon and Matthew Mosk, For Clinton, New Wealth in 
Speeches, Wash. Post (Feb. 23, 2007).
---------------------------------------------------------------------------
    Former presidents also earn millions from lucrative book 
deals after leaving office. President Clinton received a $15 
million advance for his 2004 memoir, and President George W. 
Bush received $7 million for his memoir.\11\
---------------------------------------------------------------------------
    \11\Motoko Rich, Bush Book on Decisions is Set for 2010, N.Y. Times 
(Mar. 18, 2009).
---------------------------------------------------------------------------
    Updating the pension and allowances provided to former 
Presidents who earn significant incomes is needed given the 
country's fiscal position.
    H.R. 1777 amends the FPA, authorizing a $200,000 annual 
pension for each former President and a $100,000 annual 
survivor benefit for a surviving spouse of a former President. 
The pension and the survivor benefit increase with the Social 
Security cost of living adjustment. H.R. 1777 also provides an 
annual allowance amount of $200,000 for all other 
administrative costs, including travel, staff and office 
expenses. The annual allowance amount is reduced by $1 for each 
dollar a former President earns in outside income in excess of 
$400,000. The annual allowance is adjusted by the annual Social 
Security cost of living adjustment. The bill would not affect 
funding for the protection of former Presidents or their 
families.

                          LEGISLATIVE HISTORY

    H.R. 1777, the Presidential Allowance Modernization Act, 
was introduced on April 14, 2015 by Congressman Jason Chaffetz 
(R-UT) and referred to the Committee on Oversight and 
Government Reform. On May 19, 2015, the Committee on Oversight 
and Government Reform ordered H.R. 1777 favorably reported, 
with an amendment. Congressman Elijah E. Cummings (D-MD) is an 
original cosponsor and Congressman Glenn Grothman (R-WI) is a 
cosponsor.
    Similar legislation, S. 1411, was introduced by Sen. Joni 
Ernst (R-IA) on May 21, 2015, and referred to the Senate 
Committee on Homeland Security and Governmental Affairs. S. 
1411 was ordered reported by the Committee on June 24, 2015.
    The legislation was introduced in the House on two prior 
occasions and referred to the Committee on Oversight and 
Government Reform: H.R. 248 (113th Congress), and H.R. 4093 
(112th Congress). No further action was taken on either bill.

                           Section-by-Section

Section 1. Short title

    Designates the short title of the bill as the 
``Presidential Allowance Modernization Act.''

Section 2. Amendments

    The bill sets the annual pension for each former president 
at $200,000, plus the annual Social Security cost of living 
adjustment. In setting the $200,000 annual pension, the bill 
removes the current pay link to that of cabinet secretaries. 
Former presidents are ineligible to collect the pension when 
serving in an elected position in the federal government.
    The bill provides a $200,000 annual allowance for all other 
costs (except for security) associated with being a former 
president. The annual allowance is reduced $1 for every dollar 
a former president earns in outside income in excess of 
$400,000. The annual allowance replaces amounts currently 
provided for travel, staff, and office expenses; it is adjusted 
by the annual Social Security cost of living adjustment.
    The bill establishes a $100,000 survivor benefit for a 
surviving spouse of a former president, plus the annual Social 
Security cost of living adjustment. Currently, surviving 
spouses receive a $20,000 annual pension.

Section 3. Rule of construction

    The bill does not affect funding relating to the security 
or protection of a former president or a family member of a 
former president.

Section 4. Effective date; transition rules

    The bill takes effect on the date of enactment.

                       Explanation of Amendments

    Congressman Mark Meadows (R-NC) offered an amendment in the 
nature of a substitute to the bill. The amendment removes the 
references to the government of the District of Columbia, and 
is consistent with the changes to the structure of the District 
government made by the Home Rule Act of 1973. The amendment was 
adopted by voice vote. The bill, as amended, was then adopted 
and favorably reported to the House by voice vote.

                        Committee Consideration

    On May 19, 2015 the Committee met in open session and 
ordered reported favorably the bill, H.R. 1777, as amended, by 
voice vote, a quorum being present.

                            Roll Call Votes

    There were no recorded votes during Full Committee 
consideration of H.R. 1777.

              Application of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1 requires a 
description of the application of this bill to the legislative 
branch where the bill relates to the terms and conditions of 
employment or access to public services and accommodations. 
This bill amends the Act of August 25, 1958, commonly known as 
the ``Former Presidents Act of 1958'', with respect to the 
monetary allowance payable to a former President. As such this 
bill does not relate to employment or access to public services 
and accommodations.

  Statement of Oversight Findings and Recommendations of the Committee

    In compliance with clause 3(c)(1) of rule XIII and clause 
(2)(b)(1) of rule X of the Rules of the House of 
Representatives, the Committee's oversight findings and 
recommendations are reflected in the descriptive portions of 
this report.

         Statement of General Performance Goals and Objectives

    In accordance with clause 3(c)(4) of rule XIII of the Rules 
of the House of Representatives, the Committee's performance 
goal or objective of this bill is to amend the Act of August 
25, 1958, commonly known as the ``Former Presidents Act of 
1958'', with respect to the monetary allowance payable to a 
former President.

                    Duplication of Federal Programs

    No provision of this bill establishes or reauthorizes a 
program of the Federal Government known to be duplicative of 
another Federal program, a program that was included in any 
report from the Government Accountability Office to Congress 
pursuant to section 21 of Public Law 111-139, or a program 
related to a program identified in the most recent Catalog of 
Federal Domestic Assistance.

                  Disclosure of Directed Rule Makings

    The Committee estimates that enacting this bill does not 
direct the completion of any specific rule makings within the 
meaning of 5 U.S.C. 551.

                     Federal Advisory Committee Act

    The Committee finds that the legislation does not establish 
or authorize the establishment of an advisory committee within 
the definition of 5 U.S.C. App., Section 5(b).

                       Unfunded Mandate Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by Section 101(a)(2) of the Unfunded 
Mandate Reform Act, P.L. 104-4) requires a statement as to 
whether the provisions of the reported include unfunded 
mandates. In compliance with this requirement the Committee has 
received a letter from the Congressional Budget Office included 
herein.

                         Earmark Identification

    This bill does not include any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9 of rule XXI.

                           Committee Estimate

    Clause 3(d)(1) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs that would be incurred in carrying out 
this bill. However, clause 3(d)(2)(B) of that rule provides 
that this requirement does not apply when the Committee has 
included in its report a timely submitted cost estimate of the 
bill prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974.

     Budget Authority and Congressional Budget Office Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause (3)(c)(3) of rule XIII of the Rules 
of the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has received 
the following cost estimate for this bill from the Director of 
Congressional Budget Office:

H.R. 1777--Presidential Allowance Modernization Act

    Summary: H.R. 1777 would decrease the pensions of former 
Presidents, increase the pensions of surviving spouses of 
former Presidents, and limit the allowances provided to each 
former President for staff, office space, and other related 
expenses. CBO estimates that implementing the legislation would 
reduce outlays by $10 million over the 2016-2020 period, 
assuming that appropriations are reduced by those amounts. 
Enacting H.R. 1777 would not affect direct spending or 
revenues; therefore, pay-as-you-go procedures do not apply.
    The legislation contains no intergovernmental mandates as 
defined in the Unfunded Mandates Reform Act (UMRA) and would 
not affect the budgets of state, local, or tribal governments.
    H.R. 1777 would impose a private-sector mandate, as defined 
in UMRA, by decreasing the pensions of former Presidents. The 
cost of complying with the mandate would be the total decrease 
in pension income earned by former Presidents (who left office 
before enactment of this bill) and would fall well below the 
annual threshold established in UMRA for private-sector 
mandates ($154 million in 2015, adjusted annually for 
inflation).
    Estimated cost to the Federal Government: The estimated 
budgetary effect of H.R. 1777 is shown in the following table. 
The savings fall in budget function 800 (general government).

----------------------------------------------------------------------------------------------------------------
                                                                 By fiscal year, in millions of dollars--
                                                         -------------------------------------------------------
                                                            2016     2017     2018     2019     2020   2016-2020
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION
 
Estimated Authorization Level...........................       -2       -2       -3       -3       -3       -12
Estimated Outlays.......................................       -2       -2       -2       -2       -2       -10
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that H.R. 
1777 will be enacted near the beginning of fiscal year 2016. 
After enactment, the annual pensions provided to former 
Presidents would initially drop by about $4,000 to $200,000, 
while a surviving spouse's pension would increase from $20,000 
to $100,000 annually. Both of those pension amounts would be 
indexed to inflation. Assuming that the former Presidents 
currently collecting a pension continue to do so and because no 
surviving spouse currently receives a pension (Nancy Reagan has 
chosen to waive hers), the bill's provisions affecting such 
benefits would result in savings totaling less than $150,000 
over the next five years, CBO estimates.
    In 2015, nearly $2.4 million was appropriated for 
allowances to former Presidents--an average of $600,000 per 
President. Such allowances are used to cover costs for offices, 
staff, supplies, and other services intended to help former 
Presidents perform duties related to their unofficial public 
status. H.R. 1777 would reduce that amount to a maximum of 
$200,000 per President, indexed to inflation. That allowance 
would decrease by $1 for every dollar over $400,000 a former 
President earned in the previous year, also indexed to 
inflation. Based on publicly available information about the 
income of former Presidents in recent years, CBO expects that 
at least two former Presidents would earn enough that they 
would not be eligible for an allowance beginning 2016. As a 
result, assuming appropriations are reduced by the necessary 
amounts each year, the bill would save about $1.6 million in 
2016. After President Obama retires, savings would grow to $2.2 
million in 2018; total savings over the 2016-2020 period would 
be about $10 million.
    Pay-as-You-Go considerations: None.
    Estimated impact on state, local, and tribal governments: 
H.R. 1777 contains no intergovernmental mandates as defined in 
UMRA and would not affect the budgets of state, local, or 
tribal governments.
    Estimated impact on the private sector: H.R. 1777 would 
impose a private-sector mandate, as defined in UMRA, by 
decreasing the pensions of former Presidents. Under current 
law, former Presidents receive an annual pension equal to the 
rate of basic pay for Cabinet Secretaries which is $203,700 for 
calendar year 2015. The bill would reduce an earned benefit of 
former Presidents by decreasing their federal pension to 
$200,000 per year, indexed to inflation. The cost of complying 
with the mandate would be the total decrease in pension income 
earned by the former Presidents (who left office before 
enactment of this bill) and would fall well below the annual 
threshold for private-sector mandates as established in UMRA 
for private-sector mandates.
    Estimate prepared by: Federal Costs: Dan Ready; Impact on 
State, Local, and Tribal Governments: Jon Sperl; Impact on the 
Private Sector: Paige Piper/Bach.
    Estimate approved by: Theresa Gullo, Assistant Director for 
Budget Analysis.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

                         ACT OF AUGUST 25, 1958

                          (Public Law 85-745)

  AN ACT To provide retirement, clerical assistants, and free mailing 
  privileges to former Presidents of the United States, and for other 
                               purposes.

  [(a) Each former President shall be entitled for the 
remainder of his life to receive from the United States a 
monetary allowance at a rate per annum, payable monthly by the 
Secretary of the Treasury, which is equal to the annual rate of 
basic pay, as in effect from time to time, of the head of an 
executive department, as defined in section 101 of title 5, 
United States Code. However, such allowance shall not be paid 
for any period during which such former President holds an 
appointive or elective office or position in or under the 
Federal Government or the government of the District of 
Columbia to which is attached a rate of pay other than a 
nominal rate.
  [(b) The Administrator of General Services shall, without 
regard to the civil-service and classification laws, provide 
for each former President an office staff. Persons employed 
under this subsection shall be selected by the former President 
and shall be responsible only to him for the performance of 
their duties. Each former President shall fix basic rates of 
compensation for persons employed for him under this paragraph 
which in the aggregate shall not exceed $96,000 per annum, 
except that for the first 30-month period during which a former 
President is entitled to staff assistance under this 
subsection, such rates of compensation in the aggregate shall 
not exceed $150,000 per annum. The annual rate of compensation 
payable to any such person shall not exceed the highest annual 
rate of basic pay now or hereafter provided by law for 
positions at level II of the Executive Schedule under section 
5313 of title 5, United States Code. Amounts provided for 
``Allowances and Office Staff for Former Presidents'' may be 
used to pay fees of an independent contractor who is not a 
member of the staff of the office of a former President for the 
review of Presidential records of a former President in 
connection with the transfer of such records to the National 
Archives and Records Administration or a Presidential Library 
without regard to the limitation on staff compensation set 
forth herein.
  [(c) The Administrator of General Services shall furnish for 
each former President suitable office space appropriately 
furnished and equipped, as determined by the Administrator, at 
such place within the United States as the former President 
shall specify.]
  (a) Each former President shall be entitled for the remainder 
of his or her life to receive from the United States--
          (1) an annuity at the rate of $200,000 per year, 
        subject to subsection (c); and
          (2) a monetary allowance at the rate of $200,000 per 
        year, subject to subsections (c) and (d).
  (b)(1) The annuity and allowance under subsection (a) shall 
each--
          (A) commence on the day after the individual becomes 
        a former President;
          (B) terminate on the last day of the month before the 
        former President dies; and
          (C) be payable by the Secretary of the Treasury on a 
        monthly basis.
  (2) The annuity and allowance under subsection (a) shall not 
be payable for any period during which the former President 
holds an appointive or elective position in or under the 
Federal Government to which is attached a rate of pay other 
than a nominal rate.
  (c) Effective December 1 of each year, each annuity and 
allowance under subsection (a) having a commencement date that 
precedes such December 1 shall be increased by the same 
percentage as the percentage by which benefit amounts under 
title II of the Social Security Act (42 U.S.C. 401 and 
following) are increased, effective as of such December 1, as a 
result of a determination under section 215(i) of such Act (42 
U.S.C. 415(i)).
  (d)(1) Notwithstanding any other provision of this section, 
the monetary allowance payable under subsection (a)(2) to a 
former President for any 12-month period may not exceed the 
amount by which--
          (A) the monetary allowance which (but for this 
        subsection) would otherwise be so payable for such 12-
        month period, exceeds (if at all)
          (B) the applicable reduction amount for such 12-month 
        period.
  (2)(A) For purposes of paragraph (1), the ``applicable 
reduction amount'' is, with respect to any former President and 
in connection with any 12-month period, the amount by which--
          (i) the sum of (I) the adjusted gross income (as 
        defined by section 62 of the Internal Revenue Code of 
        1986) of the former President for the last taxable year 
        ending before the start of such 12-month period, plus 
        (II) any interest excluded from the gross income of the 
        former President under section 103 of such Code for 
        such taxable year, exceeds (if at all)
          (ii) $400,000, subject to subparagraph (C).
  (B) In the case of a joint return, subclauses (I) and (II) of 
subparagraph (A)(i) shall be applied by taking into account 
both the amounts properly allocable to the former President and 
the amounts properly allocable to the spouse of the former 
President.
  (C) The dollar amount specified in subparagraph (A)(ii) shall 
be adjusted at the same time that, and by the same percentage 
as the percentage by which, the monetary allowance of the 
former President is increased under subsection (c) 
(disregarding this subsection).
  (e) The [widow] widow or widower of each former President 
shall be entitled to receive from the United States a monetary 
allowance at a rate of [$20,000 per annum,] $100,000 per year 
(subject to paragraph (4)), payable monthly by the Secretary of 
the Treasury, if such [widow] widow or widower shall waive the 
right to each other annuity or pension to which [she] she or he 
is entitled under any other Act of Congress. The monetary 
allowance of such [widow] widow or widower--
          (1) commences on the day after the former President 
        dies;
          (2) terminates on the last day of the month before 
        such [widow] widow or widower--
                  (A) dies; or
                  (B) remarries before becoming 60 years of 
                age; [and]
          (3) is not payable for any period during which such 
        [widow] widow or widower holds an appointive or 
        elective office or position in or under the Federal 
        Government [or the government of the District of 
        Columbia] to which is attached a rate of pay other than 
        a nominal rate[.]; and
          (4) shall, after its commencement date, be increased 
        at the same time that, and by the same percentage as 
        the percentage by which, annuities of former Presidents 
        are increased under subsection (c).
  (f) As used in this section, the term ``former President'' 
means a person--
          (1) who shall have held the office of President of 
        the United States of America;
          (2) whose service in such office shall have 
        terminated other than by removal pursuant to section 4 
        of article II of the Constitution of the United States 
        of America; and
          (3) who does not then currently hold such office.
  (g) There are authorized to be appropriated to the 
Administrator of General Services up to $1,000,000 for each 
former President and up to $500,000 for the spouse of each 
former President each fiscal year for security and travel 
related expenses: Provided, That under the provisions set forth 
in section 3056, paragraph (a), subparagraph (3) of title 18, 
United States Code, the former President and/or spouse was not 
receiving protection for a lifetime provided by the United 
States Secret Service under section 3056 paragraph (a) 
subparagraph (3) of title 18, United States Code; the 
protection provided by the United States Secret Service expired 
at its designated time; or the protection provided by the 
United States Secret Service was declined prior to authorized 
expiration in lieu of these funds.

                                  [all]
```