II

104TH CONGRESS

1ST SESSION S. 14

[Report No. 104–10]

To amend the Congressional Budget and Impoundment Control Act of 1974

to provide for the expedited consideration of certain proposed cancellations of budget items.

IN THE SENATE OF THE UNITED STATES

JANUARY 4, 1995

Mr. DOMENICI (for himself, Mr. EXON, Mr. CRAIG, Mr. BRADLEY, Mr.

COHEN, Mr. DOLE, Mr. DASCHLE, and Mr. CAMPBELL) introduced the

following bill; which was read twice and referred jointly pursuant to the

order of August 4, 1977, to the Committees on the Budget and Governmental Affairs, with instructions that if one committee reports, the other

committee have thirty days to report or be discharged

FEBRUARY 27 (legislative day, FEBRUARY 22), 1995

Reported by Mr. DOMENICI with an amendment without recommendation

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

Referred to the Committee on Governmental Affairs for not to exceed thirty

days

A BILL

To amend the Congressional Budget and Impoundment Control Act of 1974 to provide for the expedited consideration of certain proposed cancellations of budget items.

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

2 This Act may be cited as the ‘‘Legislative Line Item

3 Veto Act’’.

4 SEC. 2. EXPEDITED CONSIDERATION OF CERTAIN PRO5 POSED RESCISSIONS AND REPEALS OF TAX

6 EXPENDITURES AND DIRECT SPENDING.

7 (a) IN GENERAL.—Title X of the Congressional

8 Budget and Impoundment Control Act of 1974 (2 U.S.C.

9 621 et seq.) is amended by adding after section 1012 the

10 following new section:

11 ‘‘EXPEDITED CONSIDERATION OF CERTAIN PROPOSED

12 RESCISSIONS AND REPEALS OF TAX EXPENDITURES

13 AND DIRECT SPENDING

14 ‘‘SEC. 1012A. (a) PROPOSED CANCELLATION OF

15 BUDGET ITEM.—The President may propose, at the time

16 and in the manner provided in subsection (b), the cancella17 tion of any budget item provided in any Act.

18 ‘‘(b) TRANSMITTAL OF SPECIAL MESSAGE.—

19 ‘‘(1)(A) Subject to the time limitations provided

20 in subparagraph (B), the President may transmit to

21 Congress a special message proposing to cancel

22 budget items and include with that special message

23 a draft bill that, if enacted, would only cancel those

24 budget items as provided in this section. The bill

25 shall clearly identify each budget item that is pro26 posed to be canceled including, where applicable,
3

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1 each program, project, or activity to which the budg2 et item relates. The bill shall specify the amount, if

3 any, of each budget item that the President des4 ignates for deficit reduction as provided in para5 graph (4).

6 ‘‘(B) A special message may be transmitted

7 under this section—

8 ‘‘(i) during the 20-calendar-day period (ex9 cluding Saturdays, Sundays, and legal holidays)

10 commencing on the day after the date of enact11 ment of the provision proposed to be rescinded

12 or repealed; or

13 ‘‘(ii) at the same time as the President’s

14 budget.

15 ‘‘(2) In the case of an Act that includes budget

16 items within the jurisdiction of more than one com17 mittee of a House, the President in proposing to

18 cancel such budget item under this section shall

19 send a separate special message and accompanying

20 draft bill for each such committee.

21 ‘‘(3) Each special message shall specify, with

22 respect to the budget item proposed to be canceled—

23 ‘‘(A) the amount that the President pro24 poses be canceled;
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1 ‘‘(B) any account, department, or estab2 lishment of the Government to which such

3 budget item is available for obligation, and the

4 specific project or governmental functions in5 volved;

6 ‘‘(C) the reasons why the budget item

7 should be canceled;

8 ‘‘(D) to the maximum extent practicable,

9 the estimated fiscal, economic, and budgetary

10 effect (including the effect on outlays and re11 ceipts in each fiscal year) of the proposed can12 cellation; and

13 ‘‘(E) all facts, circumstances, and consider14 ations relating to or bearing upon the proposed

15 cancellation and the decision to effect the pro16 posed cancellation, and to the maximum extent

17 practicable, the estimated effect of the proposed

18 cancellation upon the objects, purposes, and

19 programs for which the budget item is provided.

20 ‘‘(4)(A) Not later than 5 days after the date of

21 enactment of a bill containing an amount designated

22 by the President for deficit reduction under para23 graph (1), the President shall—

24 ‘‘(i) with respect to a rescission bill, reduce

25 the discretionary spending limits under section
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1 601 of the Congressional Budget Act of 1974

2 for the budget year and each outyear to reflect

3 such amount; and

4 ‘‘(ii) with respect to a repeal of a tax ex5 penditure or direct spending, adjust the bal6 ances for the budget year and each outyear

7 under section 252(b) of the Balanced Budget

8 and Emergency Deficit Control Act of 1985 to

9 reflect such amount.

10 ‘‘(B) Not later than 5 days after the date of en11 actment of a bill containing an amount designated

12 by the President for deficit reduction under para13 graph (1), the chairs of the Committees on the

14 Budget of the Senate and the House of Representa15 tives shall revise levels under section 311(a) and ad16 just the committee allocations under section 602(a)

17 to reflect such amount.

18 ‘‘(c) PROCEDURES FOR EXPEDITED CONSIDER19 ATION.—

20 ‘‘(1)(A) Before the close of the second day of

21 session of the Senate and the House of Representa22 tives, respectively, after the date of receipt of a spe23 cial message transmitted to Congress under sub24 section (b), the majority leader or minority leader of

25 each House shall introduce (by request) the draft
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1 bill accompanying that special message. If the bill is

2 not introduced as provided in the preceding sentence

3 in either House, then, on the third day of session of

4 that House after the date of receipt of that special

5 message, any Member of that House may introduce

6 the bill.

7 ‘‘(B) The bill shall be referred to the appro8 priate committee or (in the House of Representa9 tives) committees. The committee shall report the

10 bill without substantive revision and with or without

11 recommendation. The committee shall report the bill

12 not later than the seventh day of session of that

13 House after the date of receipt of that special mes14 sage. If the committee fails to report the bill within

15 that period, the committee shall be automatically

16 discharged from consideration of the bill, and the

17 bill shall be placed on the appropriate calendar.

18 ‘‘(C) A vote on final passage of the bill shall be

19 taken in the Senate and the House of Representa20 tives on or before the close of the 10th day of ses21 sion of that House after the date of the introduction

22 of the bill in that House. If the bill is passed, the

23 Clerk of the Senate or the House of Representatives,

24 as the case may be, shall cause the bill to be en25 grossed, certified, and transmitted to the other
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1 House within one calendar day of the day on which

2 the bill is passed.

3 ‘‘(2)(A) During consideration under this sub4 section in the House of Representatives, any Mem5 ber of the House of Representatives may move to

6 strike any proposed cancellation of a budget item if

7 supported by 49 other Members.

8 ‘‘(B) A motion in the House of Representatives

9 to proceed to the consideration of a bill under this

10 subsection shall be highly privileged and not debat11 able. An amendment to the motion shall not be in

12 order, nor shall it be in order to move to reconsider

13 the vote by which the motion is agreed to or dis14 agreed to.

15 ‘‘(C) Debate in the House of Representatives on

16 a bill under this subsection shall not exceed 4 hours,

17 which shall be divided equally between those favoring

18 and those opposing the bill. A motion further to

19 limit debate shall not be debatable. It shall not be

20 in order to move to recommit a bill under this sub21 section or to move to reconsider the vote by which

22 the bill is agreed to or disagreed to.

23 ‘‘(D) Appeals from decisions of the Chair relat24 ing to the application of the Rules of the House of
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1 Representatives to the procedure relating to a bill

2 under this section shall be decided without debate.

3 ‘‘(E) Except to the extent specifically provided

4 in this section, consideration of a bill under this sec5 tion shall be governed by the Rules of the House of

6 Representatives. It shall not be in order in the

7 House of Representatives to consider any rescission

8 bill introduced pursuant to the provisions of this sec9 tion under a suspension of the rules or under a spe10 cial rule.

11 ‘‘(3)(A) During consideration of a bill under

12 this subsection in the Senate, any Member of the

13 Senate may move to strike any proposed cancellation

14 of a budget item if supported by 11 other Members.

15 ‘‘(B) It shall not be in order to move to recon16 sider the vote by which the motion is agreed to or

17 disagreed to.

18 ‘‘(C) Debate in the Senate on a bill under this

19 subsection, and all debatable motions and appeals in

20 connection therewith (including debate pursuant to

21 subparagraph (D)), shall not exceed 10 hours. The

22 time shall be equally divided between, and controlled

23 by, the majority leader and the minority leader or

24 their designees.
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1 ‘‘(D) Debate in the Senate on any debatable

2 motion or appeal in connection with a bill under this

3 subsection shall be limited to not more than 1 hour,

4 to be equally divided between, and controlled by, the

5 mover and the manager of the bill, except that in

6 the event the manager of the bill is in favor of any

7 such motion or appeal, the time in opposition there8 to, shall be controlled by the minority leader or his

9 designee. Such leaders, or either of them, may, from

10 time under their control on the passage of a bill,

11 allot additional time to any Senator during the con12 sideration of any debatable motion or appeal.

13 ‘‘(E) A motion in the Senate to further limit

14 debate on a bill under this subsection is not debat15 able. A motion to recommit a bill under this sub16 section is not in order.

17 ‘‘(F) If the Senate proceeds to consider a bill

18 introduced in the House of Representatives under

19 paragraph (1)(A), then any Senator may offer as an

20 amendment the text of the companion bill introduced

21 in the Senate under paragraph (1)(A) as amended

22 if amended (under subparagraph (A)). Debate in the

23 Senate on such bill introduced in the House of Rep24 resentatives, and all debatable motions and appeals

25 in connection therewith (including debate pursuant
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1 to subparagraph (D)), and any amendment offered

2 under this subparagraph, shall not exceed 10 hours

3 minus such times (if any) as Senators consumed or

4 yielded back during consideration of the companion

5 bill introduced in the Senate under paragraph

6 (1)(A).

7 ‘‘(4) Debate in the House of Representatives or

8 the Senate on the conference report on any bill con9 sidered under this section shall be limited to not

10 more than 2 hours, which shall be divided equally

11 between the majority leader and the minority leader.

12 A motion further to limit debate is not debatable. A

13 motion to recommit the conference report is not in

14 order, and it is not in order to move to reconsider

15 the vote by which the conference report is agreed to

16 or disagreed to.

17 ‘‘(d) AMENDMENTS AND DIVISIONS PROHIBITED.—

18 Except as otherwise provided by this section, no amend19 ment to a bill considered under this section shall be in

20 order in either the Senate or the House of Representa21 tives. It shall not be in order to demand a division of the

22 question in the House of Representatives (or in a Commit23 tee of the Whole). No motion to suspend the application

24 of this subsection shall be in order in the House of Rep25 resentatives, nor shall it be in order in the House of Rep-
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1 resentatives to suspend the application of this subsection

2 by unanimous consent.

3 ‘‘(e) REQUIREMENT TO MAKE AVAILABLE FOR OBLI4 GATION.—Any budget item proposed to be canceled in a

5 special message transmitted to Congress under subsection

6 (b) shall not be made available for obligation or take effect

7 until the day after the date on which either House rejects

8 the bill transmitted with that special message.

9 ‘‘(f) DEFINITIONS.—For purposes of this section—

10 ‘‘(1) the term ‘appropriation Act’ means any

11 general or special appropriation Act, and any Act or

12 joint resolution making supplemental, deficiency, or

13 continuing appropriations;

14 ‘‘(2) the term ‘direct spending’ shall have the

15 same meaning given such term in section 250(c)(8)

16 of the Balanced Budget and Emergency Deficit Con17 trol Act of 1985;

18 ‘‘(3) the term ‘budget item’ means—

19 ‘‘(A) an amount, in whole or in part, of

20 budget authority provided in an appropriation

21 Act;

22 ‘‘(B) an amount of direct spending; or

23 ‘‘(C) a targeted tax benefit;

24 ‘‘(4) the term ‘cancellation of a budget item’

25 means—
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1 ‘‘(A) the rescission of any budget authority

2 provided in an appropriation Act;

3 ‘‘(B) the repeal of any amount of direct

4 spending; or

5 ‘‘(C) the repeal of any targeted tax benefit;

6 and

7 ‘‘(5) the term ‘targeted tax benefit’ means any

8 provision which has the practical effect of providing

9 a benefit in the form of a different treatment to a

10 particular taxpayer or a limited class of taxpayers,

11 whether or not such provision is limited by its terms

12 to a particular taxpayer or a class of taxpayers.

13 Such term does not include any benefit provided to

14 a class of taxpayers distinguished on the basis of

15 general demographic conditions such as income,

16 number of dependents, or marital status.’’.

17 (b) EXERCISE OF RULEMAKING POWERS.—Section

18 904 of the Congressional Budget Act of 1974 (2 U.S.C.

19 621 note) is amended—

20 (1) in subsection (a), by striking ‘‘and 1017’’

21 and inserting ‘‘1012A, and 1017’’; and

22 (2) in subsection (d), by striking ‘‘section

23 1017’’ and inserting ‘‘sections 1012A and 1017’’.

24 (c) CLERICAL AMENDMENTS.—The table of sections

25 for subpart B of title X of the Congressional Budget and
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1 Impoundment Control Act of 1974 is amended by insert2 ing after the item relating to section 1012 the following:

‘‘Sec. 1012A. Expedited consideration of certain proposed rescissions and repeals of tax expenditures and direct spending.’’.

3 (d) EFFECTIVE PERIOD.—The amendments made by

4 this Act shall—

5 (1) take effect on the date of enactment of this

6 Act;

7 (2) apply only to budget items provided in Acts

8 enacted on or after the date of enactment of this

9 Act; and

10 (3) cease to be effective on September 30,

11 1998.

12 SECTION 1. SHORT TITLE.

13 This Act may be cited as the ‘‘Legislative Line Item

14 Veto Act’’.

15 SEC. 2. EXPEDITED CONSIDERATION OF CERTAIN PRO16 POSED RESCISSIONS OF BUDGET AUTHORITY.

17 (a) IN GENERAL.—Title X of the Congressional Budget

18 and Impoundment Control Act of 1974 (2 U.S.C. 621 et

19 seq.) is amended by adding after section 1012 the following

20 new section:

21 ‘‘EXPEDITED CONSIDERATION OF CERTAIN PROPOSED

22 RESCISSIONS OF BUDGET AUTHORITY

23 ‘‘SEC. 1012A. (a) PROPOSED RESCISSIONS.—The

24 President may propose, at the time and in the manner pro-
14

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1 vided in subsection (b), the rescission of any budget author2 ity provided in an appropriations Act. Except as otherwise

3 provided in this section, budget authority proposed for re4 scission under this section may not be proposed for rescis5 sion again under this title.

6 ‘‘(b) TRANSMITTAL OF SPECIAL MESSAGE.—

7 ‘‘(1) SPECIAL MESSAGE.—

8 ‘‘(A) IN GENERAL.—Subject to the time lim9 itations provided in subparagraph (B), the

10 President may transmit to Congress a special

11 message proposing to rescind budget authority

12 contained in an appropriations Act. Except as

13 provided in subparagraph (B)(ii)(II), only one

14 special message shall be transmitted under this

15 section for any single Act and that message shall

16 propose to rescind budget authority contained in

17 that single Act.

18 ‘‘(B) TIME LIMITATIONS.—A special mes19 sage may be transmitted under this section—

20 ‘‘(i) during the 20-calendar-day period

21 (excluding Saturdays, Sundays, and legal

22 holidays) commencing on the day after the

23 date of enactment of the provision proposed

24 to be rescinded; or
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1 ‘‘(ii) on the first day of a session of

2 Congress—

3 ‘‘(I) for rescissions contained in

4 an Act enacted after the adjournment

5 of the Congress to end the preceding

6 session; or

7 ‘‘(II) for rescissions in an Act en8 acted prior to an adjournment of Con9 gress to end the preceding session, if a

10 special message had been transmitted

11 under clause (i) but Congress ad12 journed prior to the expiration of the

13 10 days of session under subsection

14 (c)(1)(C).

15 ‘‘(2) DRAFT BILL.—The President shall include

16 with each special message transmitted under para17 graph (1) a draft bill that, if enacted, would rescind

18 budget authority proposed to be rescinded in that spe19 cial message. The draft bill shall clearly identify the

20 budget authority that is proposed to be rescinded in21 cluding, where applicable, each program, project, or

22 activity to which the rescission relates.

23 ‘‘(3) CONTENTS OF SPECIAL MESSAGE.—Each

24 special message shall specify, with respect to the budg25 et authority proposed to be rescinded—
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1 ‘‘(A) the amount of budget authority that

2 the President proposes be rescinded;

3 ‘‘(B) any account, department, or establish4 ment of the Government to which such budget

5 authority is available for obligation, and the spe6 cific project or governmental functions involved;

7 ‘‘(C) the reasons why the budget authority

8 should be rescinded;

9 ‘‘(D) to the maximum extent practicable,

10 the estimated fiscal, economic, and budgetary ef11 fect (including the effect on outlays and receipts

12 in each fiscal year) of the proposed rescission;

13 and

14 ‘‘(E) all facts, circumstances, and consider15 ations relating to or bearing upon the proposed

16 rescission and the decision to effect the proposed

17 rescission, and to the maximum extent prac18 ticable, the estimated effect of the proposed rescis19 sion upon the objects, purposes, and programs

20 for which the budget authority is provided.

21 ‘‘(4) DEFICIT REDUCTION.—

22 ‘‘(A) DISCRETIONARY SPENDING LIMITS.—

23 Not later than 5 days after the date of enactment

24 of a bill containing rescissions of budget author25 ity as provided under this section, the President
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1 shall reduce the discretionary spending limits

2 under section 601 of the Congressional Budget

3 Act of 1974 for the budget year and any outyear

4 affected by the rescission bill to reflect the rescis5 sion.

6 ‘‘(B) ADJUSTMENT OF COMMITTEE ALLOCA7 TIONS.—Not later than 5 days after the date of

8 enactment of a rescission bill as provided under

9 this section, the chairs of the Committees on the

10 Budget of the Senate and the House of Rep11 resentatives shall revise levels under section

12 311(a) and adjust the committee allocations

13 under section 302(a) or 602(a) to reflect the re14 scission, and the appropriate committees shall

15 report revised allocations pursuant to section

16 302(b) or 602(b).

17 ‘‘(c) PROCEDURES FOR EXPEDITED CONSIDER18 ATION.—

19 ‘‘(1) IN GENERAL.—

20 ‘‘(A) INTRODUCTION.—Before the close of

21 the second day of session of the Senate and the

22 House of Representatives, respectively, after the

23 date of receipt of a special message transmitted

24 to Congress under subsection (b), the majority

25 leader or minority leader of each House shall in-
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1 troduce (by request) the draft bill accompanying

2 that special message. If the bill is not introduced

3 as provided in the preceding sentence in either

4 House, then, on the third day of session of that

5 House after the date of receipt of that special

6 message, any Member of that House may intro7 duce the bill.

8 ‘‘(B) REFERRAL AND REPORTING.—The bill

9 shall be referred to the appropriate committee.

10 The committee shall report the bill without sub11 stantive revision and with or without rec12 ommendation. The committee shall report the bill

13 not later than the fifth day of session of that

14 House after the date of introduction of the bill in

15 that House. If the committee fails to report the

16 bill within that period, the committee shall be

17 automatically discharged from consideration of

18 the bill, and the bill shall be placed on the ap19 propriate calendar.

20 ‘‘(C) FINAL PASSAGE.—A vote on final pas21 sage of the bill shall be taken in the Senate and

22 the House of Representatives on or before the

23 close of the 10th day of session of that House

24 after the date of the introduction of the bill in

25 that House. If the bill is passed, the Secretary of
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1 the Senate or the Clerk of the House of Rep2 resentatives, as the case may be, shall cause the

3 bill to be transmitted to the other House on the

4 next day of session of that House.

5 ‘‘(2) CONSIDERATION IN THE HOUSE OF REP6 RESENTATIVES.—

7 ‘‘(A) MOTION TO PROCEED TO CONSIDER8 ATION.—A motion in the House of Representa9 tives to proceed to the consideration of a bill

10 under this subsection shall be highly privileged

11 and not debatable. An amendment to the motion

12 shall not be in order, nor shall it be in order to

13 move to reconsider the vote by which the motion

14 is agreed to or disagreed to.

15 ‘‘(B) MOTION TO STRIKE.—During consid16 eration under this subsection in the House of

17 Representatives, any Member of the House of

18 Representatives may move to strike any proposed

19 rescission if supported by 49 other Members.

20 ‘‘(C) LIMITS ON DEBATE.—Debate in the

21 House of Representatives on a bill under this

22 subsection shall not exceed 4 hours, which shall

23 be divided equally between those favoring and

24 those opposing the bill. A motion further to limit

25 debate shall not be debatable. It shall not be in
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1 order to move to recommit a bill under this sub2 section or to move to reconsider the vote by

3 which the bill is agreed to or disagreed to.

4 ‘‘(D) APPEALS.—Appeals from decisions of

5 the Chair relating to the application of the Rules

6 of the House of Representatives to the procedure

7 relating to a bill under this section shall be de8 cided without debate.

9 ‘‘(E) APPLICATION OF HOUSE RULES.—Ex10 cept to the extent specifically provided in this

11 section, consideration of a bill under this section

12 shall be governed by the Rules of the House of

13 Representatives. It shall not be in order in the

14 House of Representatives to consider any bill in15 troduced pursuant to the provisions of this sec16 tion under a suspension of the rules or under a

17 special rule.

18 ‘‘(3) CONSIDERATION IN THE SENATE.—

19 ‘‘(A) MOTION TO PROCEED TO CONSIDER20 ATION.—A motion to proceed to the consider21 ation of a bill under this subsection in the Sen22 ate shall not be debatable. It shall not be in order

23 to move to reconsider the vote by which the mo24 tion to proceed is agreed to or disagreed to.
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1 ‘‘(B) MOTION TO STRIKE.—During consid2 eration of a bill under this subsection, any Sen3 ator may move to strike any proposed rescission

4 if supported by 11 other Members.

5 ‘‘(C) LIMITS ON DEBATE.—Debate in the

6 Senate on a bill under this subsection, and all

7 debatable motions and appeals in connection

8 therewith (including debate pursuant to subpara9 graph (D)), shall not exceed 10 hours, equally di10 vided and controlled in the usual form.

11 ‘‘(D) APPEALS.—Debate in the Senate on

12 any debatable motion or appeal in connection

13 with a bill under this subsection shall be limited

14 to not more than 1 hour, to be equally divided

15 and controlled in the usual form.

16 ‘‘(E) MOTION TO LIMIT DEBATE.—A motion

17 in the Senate to further limit debate on a bill

18 under this subsection is not debatable.

19 ‘‘(F) MOTION TO RECOMMIT.—A motion to

20 recommit a bill under this subsection is not in

21 order.

22 ‘‘(G) CONSIDERATION OF THE HOUSE

23 BILL.—

24 ‘‘(i) IN GENERAL.—If the Senate has

25 received the House companion bill to the
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1 bill introduced in the Senate prior to the

2 vote required under paragraph (1)(C), then

3 the Senate may consider, and the vote under

4 paragraph (1)(C) may occur on, the House

5 companion bill.

6 ‘‘(ii) PROCEDURE AFTER VOTE ON

7 SENATE BILL.—If the Senate votes, pursu8 ant to paragraph (1)(C), on the bill intro9 duced in the Senate, then immediately fol10 lowing that vote, or upon receipt of the

11 House companion bill, as the case may be—

12 ‘‘(I) if the House companion bill

13 is identical to the version of the Senate

14 bill on which the vote under paragraph

15 (1)(C) was taken, the House bill shall

16 be deemed to be considered, read the

17 third time, and the vote on passage of

18 the Senate bill shall be considered to be

19 the vote on the bill received from the

20 House; or

21 ‘‘(II) if the House companion bill

22 is not identical to the Senate bill on

23 which the vote under paragraph (1)(C)

24 was taken, the Senate shall proceed to

25 the immediate consideration of the
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1 House companion bill, the procedures

2 under this paragraph shall apply ex3 cept that a motion to strike all after

4 the enacting clause and insert the text

5 of the Senate bill shall be in order.

6 ‘‘(H) AMENDMENT BETWEEN HOUSES.—

7 Overall debate on all motions necessary to resolve

8 amendments between the Houses on a bill under

9 this section shall be limited to 2 hours at any

10 stage of the proceedings. Debate on any motion,

11 appeal, or point of order under this section

12 which is submitted shall be limited to 30 min13 utes, and such time shall be equally divided and

14 controlled in the usual form.

15 ‘‘(4) CONFERENCE.—

16 ‘‘(A) AUTHORITY OF CONFEREES.—

17 ‘‘(i) IN GENERAL.—Except as provided

18 in clause (ii), the conferees may only rec19 ommend that a House recede from a dis20 agreement to an amendment of the other

21 House, or recede from its own amendment,

22 and that the other House concur in such ac23 tion.

24 ‘‘(ii) EXCEPTION.—If the second House

25 has stricken all after the enacting clause of
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1 the first House, the amendment reported by

2 the conferees shall include each provision

3 that is included in the versions of both

4 Houses, and may include a provision in5 cluded by either House upon which the con6 ferees have agreed, and may not include

7 any other matter.

8 ‘‘(B) CONSIDERATION OF CONFERENCE RE9 PORTS.—Debate in the House of Representatives

10 or the Senate on the conference report and any

11 amendments in disagreement on any bill consid12 ered under this section shall be limited to not

13 more than 2 hours, equally divided and con14 trolled in the usual form. A motion further to

15 limit debate is not debatable. A motion to recom16 mit the conference report is not in order, and it

17 is not in order to move to reconsider the vote by

18 which the conference report is agreed to or dis19 agreed to.

20 ‘‘(C) FAILURE OF CONFERENCE TO ACT.—If

21 the committee on conference on a bill considered

22 under this section fails to submit a conference re23 port within 5 calendar days after the conferees

24 have been appointed by each House, any Member

25 of either House may introduce a bill containing
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1 only the text of the draft bill of the President on

2 the next day of session thereafter and the bill

3 shall be considered as provided in this section ex4 cept that the bill shall not be subject to any mo5 tion to strike.

6 ‘‘(d) AMENDMENTS AND DIVISIONS PROHIBITED.—Ex7 cept as otherwise provided by this section, no amendment

8 to a bill considered under this section shall be in order in

9 either the Senate or the House of Representatives. It shall

10 not be in order to demand a division of the question in

11 the House of Representatives (or in a Committee of the

12 Whole). No motion to suspend the application of this sub13 section shall be in order in the House of Representatives,

14 nor shall it be in order in the House of Representatives to

15 suspend the application of this subsection by unanimous

16 consent.

17 ‘‘(e) TEMPORARY PRESIDENTIAL AUTHORITY TO RE18 SCIND.—

19 ‘‘(1) IN GENERAL.—At the same time as the

20 President transmits to Congress a special message

21 proposing to rescind budget authority, the President

22 may direct that any budget authority proposed to be

23 rescinded in that special message shall not be made

24 available for obligation for a period not to exceed 45
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1 calendar days from the date the President transmits

2 the special message to Congress.

3 ‘‘(2) EARLY AVAILABILITY.—The President may

4 make any budget authority not made available for ob5 ligation pursuant to paragraph (1) available at a

6 time earlier than the time specified by the President

7 if the President determines that continuation of the

8 rescission would not further the purposes of this Act.

9 ‘‘(f) DEFINITIONS.—For purposes of this section—

10 ‘‘(1) the term ‘appropriation Act’ means any

11 general or special appropriation Act, and any Act or

12 joint resolution making supplemental, deficiency, or

13 continuing appropriations;

14 ‘‘(2) the term ‘budget authority’ means an

15 amount, in whole or in part, of budget authority pro16 vided in an appropriation Act, except to fund direct

17 spending programs;

18 ‘‘(3) the term ‘rescission of budget authority’

19 means the rescission in whole or in part of any budg20 et authority provided in an appropriation Act; and

21 ‘‘(4) the term ‘targeted tax benefit’ means any

22 provision of a revenue or reconciliation Act deter23 mined by the President to provide a Federal tax de24 duction, credit, exclusion, preference, or other conces25 sion to 100 or fewer beneficiaries. Any partnership,
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1 limited partnership, trust, or S corporation, and any

2 subsidiary or affiliate of the same parent corporation,

3 shall be deemed and counted as a single beneficiary

4 regardless of the number of partners, limited partners,

5 beneficiaries, shareholders, or affiliated corporate en6 tities.

7 ‘‘(g) APPLICATION TO TARGETED TAX BENEFITS.—

8 The President may propose the repeal of any targeted tax

9 benefit in any bill that includes such a benefit, under the

10 same conditions, and subject to the same Congressional con11 sideration, as a proposal under this section to rescind budg12 et authority provided in an appropriations Act.’’.

13 (b) EXERCISE OF RULEMAKING POWERS.—Section

14 904 of the Congressional Budget Act of 1974 (2 U.S.C. 621

15 note) is amended—

16 (1) in subsection (a), by striking ‘‘and 1017’’

17 and inserting ‘‘1012A, and 1017’’; and

18 (2) in subsection (d), by striking ‘‘section 1017’’

19 and inserting ‘‘sections 1012A and 1017’’.

20 (c) CLERICAL AMENDMENTS.—The table of sections for

21 subpart B of title X of the Congressional Budget and Im22 poundment Control Act of 1974 is amended by inserting

23 after the item relating to section 1012 the following:

‘‘Sec. 1012A. Expedited consideration of certain proposed rescissions of budget authority.’’.
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1 (d) EFFECTIVE PERIOD.—The amendments made by

2 this Act shall—

3 (1) take effect on the date of enactment of this

4 Act;

5 (2) apply only to budget authority provided in

6 Acts enacted on or after the date of enactment of this

7 Act; and

8 (3) cease to be effective on September 30, 2002.

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