I 

111TH CONGRESS 

1ST SESSION H. R. 1294 

To amend the Congressional Budget and Impoundment Control Act of 1974 

to provide for the expedited consideration of certain proposed rescissions 

of budget authority. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 4, 2009 

Mr. RYAN of Wisconsin (for himself and Mr. KIRK) introduced the following 

bill; which was referred to the Committee on the Budget, and in addition 

to the Committee on Rules, for a period to be subsequently determined 

by the Speaker, in each case for consideration of such provisions as fall 

within the jurisdiction of the committee concerned 

A BILL 

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

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 ‘‘Congressional Ac5 countability and Line-Item Veto Act of 2009’’. 

6 SEC. 2. LEGISLATIVE LINE ITEM VETO. 

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

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


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1 621 et seq.) is amended by striking all of part B (except 

2 for sections 1016 and 1013, which are redesignated as sec3 tions 1019 and 1020, respectively) and part C and insert4 ing the following: 

5 ‘‘PART B—LEGISLATIVE LINE-ITEM VETO

6 ‘‘LINE ITEM VETO AUTHORITY

7 ‘‘SEC. 1011. (a) PROPOSED CANCELLATIONS.—With8 in 30 calendar days after the enactment of any bill or joint 

9 resolution containing any congressional earmark or pro10 viding any limited tariff benefit or targeted tax benefit, 

11 the President may propose, in the manner provided in sub12 section (b), the repeal of the congressional earmark or the 

13 cancellation of any limited tariff benefit or targeted tax 

14 benefit. If the 30 calendar-day period expires during a pe15 riod where either House of Congress stands adjourned sine 

16 die at the end of Congress or for a period greater than 

17 30 calendar days, the President may propose a cancella18 tion under this section and transmit a special message 

19 under subsection (b) on the first calendar day of session 

20 following such a period of adjournment. 

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

22 ‘‘(1) SPECIAL MESSAGE.— 

23 ‘‘(A) IN GENERAL.—The President may 

24 transmit to the Congress a special message pro25 posing to repeal any congressional earmarks or 


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1 to cancel any limited tariff benefits or targeted 

2 tax benefits. 

3 ‘‘(B) CONTENTS OF SPECIAL MESSAGE.— 

4 Each special message shall specify, with respect 

5 to the congressional earmarks, limited tariff 

6 benefits, or targeted tax benefits to be repealed 

7 or canceled— 

8 ‘‘(i) the congressional earmark that 

9 the President proposes to repeal or the 

10 limited tariff benefit or the targeted tax 

11 benefit that the President proposes be can12 celed; 

13 ‘‘(ii) the specific project or govern14 mental functions involved; 

15 ‘‘(iii) the reasons why such congres16 sional earmark should be repealed or such 

17 limited tariff benefit or targeted tax ben18 efit should be canceled; 

19 ‘‘(iv) to the maximum extent prac20 ticable, the estimated fiscal, economic, and 

21 budgetary effect (including the effect on 

22 outlays and receipts in each fiscal year) of 

23 the proposed repeal or cancellation; 

24 ‘‘(v) to the maximum extent prac25 ticable, all facts, circumstances, and conVerDate Nov 24 2008 20:42 Mar 05, 2009 Jkt 079200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1294.IH H1294

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1 siderations relating to or bearing upon the 

2 proposed repeal or cancellation and the de3 cision to propose the repeal or cancellation, 

4 and the estimated effect of the proposed 

5 repeal or cancellation upon the objects, 

6 purposes, or programs for which the con7 gressional earmark, limited tariff benefit, 

8 or the targeted tax benefit is provided; 

9 ‘‘(vi) a numbered list of repeals and 

10 cancellations to be included in an approval 

11 bill that, if enacted, would repeal congres12 sional earmarks and cancel limited tariff 

13 benefits or targeted tax benefits proposed 

14 in that special message; and 

15 ‘‘(vii) if the special message is trans16 mitted subsequent to or at the same time 

17 as another special message, a detailed ex18 planation why the proposed repeals or can19 cellations are not substantially similar to 

20 any other proposed repeal or cancellation 

21 in such other message. 

22 ‘‘(C) DUPLICATIVE PROPOSALS PROHIB23 ITED.—The President may not propose to re24 peal or cancel the same or substantially similar 

25 congressional earmark, limited tariff benefit, or 


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1 targeted tax benefit more than one time under 

2 this Act. 

3 ‘‘(D) MAXIMUM NUMBER OF SPECIAL MES4 SAGES.—The President may not transmit to the 

5 Congress more than one special message under 

6 this subsection related to any bill or joint reso7 lution described in subsection (a), but may 

8 transmit not more than 2 special messages for 

9 any omnibus budget reconciliation or appropria10 tion measure. 

11 ‘‘(2) ENACTMENT OF APPROVAL BILL.— 

12 ‘‘(A) DEFICIT REDUCTION.—Congressional 

13 earmarks, limited tariff benefits, or targeted tax 

14 benefits which are repealed or canceled pursu15 ant to enactment of a bill as provided under 

16 this section shall be dedicated only to reducing 

17 the deficit or increasing the surplus. 

18 ‘‘(B) ADJUSTMENT OF LEVELS IN THE

19 CONCURRENT RESOLUTION ON THE BUDGET.— 

20 Not later than 5 days after the date of enact21 ment of an approval bill as provided under this 

22 section, the chairs of the Committees on the 

23 Budget of the Senate and the House of Rep24 resentatives shall revise allocations and aggre25 gates and other appropriate levels under the apVerDate Nov 24 2008 20:42 Mar 05, 2009 Jkt 079200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H1294.IH H1294

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1 propriate concurrent resolution on the budget to 

2 reflect the repeal or cancellation, and the appli3 cable committees shall report revised suballoca4 tions pursuant to section 302(b), as appro5 priate. 

6 ‘‘(C) ADJUSTMENTS TO STATUTORY LIM7 ITS.—After enactment of an approval bill as 

8 provided under this section, the Office of Man9 agement and Budget shall revise applicable lim10 its under the Balanced Budget and Emergency 

11 Deficit Control Act of 1985, as appropriate. 

12 ‘‘(D) TRUST FUNDS AND SPECIAL

13 FUNDS.—Notwithstanding subparagraph (A), 

14 nothing in this part shall be construed to re15 quire or allow the deposit of amounts derived 

16 from a trust fund or special fund which are 

17 canceled pursuant to enactment of a bill as pro18 vided under this section to any other fund. 

19 ‘‘PROCEDURES FOR EXPEDITED CONSIDERATION

20 ‘‘SEC. 1012. (a) EXPEDITED CONSIDERATION.— 

21 ‘‘(1) IN GENERAL.—The majority leader or mi22 nority leader of each House or his designee shall (by 

23 request) introduce an approval bill as defined in sec24 tion 1017 not later than the third day of session of 

25 that House after the date of receipt of a special mes26 sage transmitted to the Congress under section 


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1 1011(b). If the bill is not introduced as provided in 

2 the preceding sentence in either House, then, on the 

3 fourth day of session of that House after the date 

4 of receipt of the special message, any Member of 

5 that House may introduce the bill. 

6 ‘‘(2) CONSIDERATION IN THE HOUSE OF REP7 RESENTATIVES.— 

8 ‘‘(A) REFERRAL AND REPORTING.—Any 

9 committee of the House of Representatives to 

10 which an approval bill is referred shall report it 

11 to the House without amendment not later than 

12 the seventh legislative day after the date of its 

13 introduction. If a committee fails to report the 

14 bill within that period or the House has adopt15 ed a concurrent resolution providing for ad16 journment sine die at the end of a Congress, 

17 such committee shall be automatically dis18 charged from further consideration of the bill 

19 and it shall be placed on the appropriate cal20 endar. 

21 ‘‘(B) PROCEEDING TO CONSIDERATION.— 

22 After an approval bill is reported by or dis23 charged from committee or the House has 

24 adopted a concurrent resolution providing for 

25 adjournment sine die at the end of a Congress, 


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1 it shall be in order to move to proceed to con2 sider the approval bill in the House. Such a mo3 tion shall be in order only at a time designated 

4 by the Speaker in the legislative schedule within 

5 two legislative days after the day on which the 

6 proponent announces his intention to offer the 

7 motion. Such a motion shall not be in order 

8 after the House has disposed of a motion to 

9 proceed with respect to that special message. 

10 The previous question shall be considered as or11 dered on the motion to its adoption without in12 tervening motion. A motion to reconsider the 

13 vote by which the motion is disposed of shall 

14 not be in order. 

15 ‘‘(C) CONSIDERATION.—The approval bill 

16 shall be considered as read. All points of order 

17 against an approval bill and against its consid18 eration are waived. The previous question shall 

19 be considered as ordered on an approval bill to 

20 its passage without intervening motion except 

21 five hours of debate equally divided and con22 trolled by the proponent and an opponent and 

23 one motion to limit debate on the bill. A motion 

24 to reconsider the vote on passage of the bill 

25 shall not be in order. 


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1 ‘‘(D) SENATE BILL.—An approval bill re2 ceived from the Senate shall not be referred to 

3 committee. 

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

5 ‘‘(A) REFERRAL AND REPORTING.—Any 

6 committee of the Senate to which an approval 

7 bill is referred shall report it to the Senate 

8 without amendment not later than the seventh 

9 legislative day after the date of its introduction. 

10 If a committee fails to report the bill within 

11 that period or the Senate has adopted a concur12 rent resolution providing for adjournment sine 

13 die at the end of a Congress, such committee 

14 shall be automatically discharged from further 

15 consideration of the bill and it shall be placed 

16 on the appropriate calendar. 

17 ‘‘(B) MOTION TO PROCEED TO CONSIDER18 ATION.—After an approval bill is reported by or 

19 discharged from committee or the Senate has 

20 adopted a concurrent resolution providing for 

21 adjournment sine die at the end of a Congress, 

22 it shall be in order to move to proceed to con23 sider the approval bill in the Senate. A motion 

24 to proceed to the consideration of a bill under 

25 this subsection in the Senate shall not be debatVerDate Nov 24 2008 20:42 Mar 05, 2009 Jkt 079200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H1294.IH H1294

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1 able. It shall not be in order to move to recon2 sider the vote by which the motion to proceed 

3 is agreed to or disagreed to. 

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

5 Senate on a bill under this subsection, and all 

6 debatable motions and appeals in connection 

7 therewith (including debate pursuant to sub8 paragraph (D)), shall not exceed 10 hours, 

9 equally divided and controlled in the usual 

10 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 mo17 tion in the Senate to further limit debate on a 

18 bill 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 a 

2 vote under subparagraph (C), then the 

3 Senate may consider, and the vote under 

4 subparagraph (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 subparagraph (C), on the bill intro9 duced in the Senate, then immediately fol10 lowing that vote, or upon receipt of the 

11 House companion bill, the House bill shall 

12 be deemed to be considered, read the third 

13 time, and the vote on passage of the Sen14 ate bill shall be considered to be the vote 

15 on the bill received from the House. 

16 ‘‘(b) AMENDMENTS PROHIBITED.—No amendment 

17 to, or motion to strike a provision from, a bill considered 

18 under this section shall be in order in either the Senate 

19 or the House of Representatives. 

20 ‘‘PRESIDENTIAL DEFERRAL AUTHORITY

21 ‘‘SEC. 1013. (a) TEMPORARY PRESIDENTIAL AU22 THORITY TO WITHHOLD CONGRESSIONAL EARMARKS.— 

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

24 President transmits to the Congress a special mes25 sage pursuant to section 1011(b), the President may 

26 direct that any congressional earmark to be repealed 


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1 in that special message shall not be made available 

2 for obligation for a period of 45 calendar days of 

3 continuous session of the Congress after the date on 

4 which the President transmits the special message to 

5 the Congress. 

6 ‘‘(2) EARLY AVAILABILITY.—The President 

7 shall make any congressional earmark deferred pur8 suant to paragraph (1) available at a time earlier 

9 than the time specified by the President if the Presi10 dent determines that continuation of the deferral 

11 would not further the purposes of this Act. 

12 ‘‘(b) TEMPORARY PRESIDENTIAL AUTHORITY TO

13 SUSPEND A LIMITED TARIFF BENEFIT.— 

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

15 President transmits to the Congress a special mes16 sage pursuant to section 1011(b), the President may 

17 suspend the implementation of any limited tariff 

18 benefit proposed to be canceled in that special mes19 sage for a period of 45 calendar days of continuous 

20 session of the Congress after the date on which the 

21 President transmits the special message to the Con22 gress. 

23 ‘‘(2) EARLY AVAILABILITY.—The President 

24 shall terminate the suspension of any limited tariff 

25 benefit at a time earlier than the time specified by 


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1 the President if the President determines that con2 tinuation of the suspension would not further the 

3 purposes of this Act. 

4 ‘‘(c) TEMPORARY PRESIDENTIAL AUTHORITY TO

5 SUSPEND A TARGETED TAX BENEFIT.— 

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

7 President transmits to the Congress a special mes8 sage pursuant to section 1011(b), the President may 

9 suspend the implementation of any targeted tax ben10 efit proposed to be repealed in that special message 

11 for a period of 45 calendar days of continuous ses12 sion of the Congress after the date on which the 

13 President transmits the special message to the Con14 gress. 

15 ‘‘(2) EARLY AVAILABILITY.—The President 

16 shall terminate the suspension of any targeted tax 

17 benefit at a time earlier than the time specified by 

18 the President if the President determines that con19 tinuation of the suspension would not further the 

20 purposes of this Act. 

21 ‘‘IDENTIFICATION OF TARGETED TAX BENEFITS

22 ‘‘SEC. 1014. (a) STATEMENT.—The chairman of the 

23 Committee on Ways and Means of the House of Rep24 resentatives and the chairman of the Committee on Fi25 nance of the Senate acting jointly (hereafter in this sub26 section referred to as the ‘chairmen’) shall review any revVerDate Nov 24 2008 20:42 Mar 05, 2009 Jkt 079200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\H1294.IH H1294

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1 enue or reconciliation bill or joint resolution which in2 cludes any amendment to the Internal Revenue Code of 

3 1986 that is being prepared for filing by a committee of 

4 conference of the two Houses, and shall identify whether 

5 such bill or joint resolution contains any targeted tax ben6 efits. The chairmen shall provide to the committee of con7 ference a statement identifying any such targeted tax ben8 efits or declaring that the bill or joint resolution does not 

9 contain any targeted tax benefits. Any such statement 

10 shall be made available to any Member of Congress by 

11 the chairmen immediately upon request. 

12 ‘‘(b) STATEMENT INCLUDED IN LEGISLATION.— 

13 ‘‘(1) IN GENERAL.—Notwithstanding any other 

14 rule of the House of Representatives or any rule or 

15 precedent of the Senate, any revenue or reconcili16 ation bill or joint resolution which includes any 

17 amendment to the Internal Revenue Code of 1986 

18 reported by a committee of conference of the two 

19 Houses may include, as a separate section of such 

20 bill or joint resolution, the information contained in 

21 the statement of the chairmen, but only in the man22 ner set forth in paragraph (2). 

23 ‘‘(2) APPLICABILITY.—The separate section 

24 permitted under subparagraph (A) shall read as fol25 lows: ‘Section 1021 of the Congressional Budget and 


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1 Impoundment Control Act of 1974 shall 

2 llllll apply to llllllll.’, with 

3 the blank spaces being filled in with— 

4 ‘‘(A) in any case in which the chairmen 

5 identify targeted tax benefits in the statement 

6 required under subsection (a), the word ‘only’ 

7 in the first blank space and a list of all of the 

8 specific provisions of the bill or joint resolution 

9 in the second blank space; or 

10 ‘‘(B) in any case in which the chairmen de11 clare that there are no targeted tax benefits in 

12 the statement required under subsection (a), 

13 the word ‘not’ in the first blank space and the 

14 phrase ‘any provision of this Act’ in the second 

15 blank space. 

16 ‘‘(c) IDENTIFICATION IN REVENUE ESTIMATE.— 

17 With respect to any revenue or reconciliation bill or joint 

18 resolution with respect to which the chairmen provide a 

19 statement under subsection (a), the Joint Committee on 

20 Taxation shall— 

21 ‘‘(1) in the case of a statement described in 

22 subsection (b)(2)(A), list the targeted tax benefits in 

23 any revenue estimate prepared by the Joint Com24 mittee on Taxation for any conference report which 

25 accompanies such bill or joint resolution, or 


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1 ‘‘(2) in the case of a statement described in 13 

2 subsection (b)(2)(B), indicate in such revenue esti3 mate that no provision in such bill or joint resolution 

4 has been identified as a targeted tax benefit. 

5 ‘‘(d) PRESIDENT’S AUTHORITY.—If any revenue or 

6 reconciliation bill or joint resolution is signed into law— 

7 ‘‘(1) with a separate section described in sub8 section (b)(2), then the President may use the au9 thority granted in this section only with respect to 

10 any targeted tax benefit in that law, if any, identi11 fied in such separate section; or 

12 ‘‘(2) without a separate section described in 

13 subsection (b)(2), then the President may use the 

14 authority granted in this section with respect to any 

15 targeted tax benefit in that law. 

16 ‘‘TREATMENT OF CANCELLATIONS

17 ‘‘SEC. 1015. The repeal of any congressional earmark 

18 or cancellation of any limited tariff benefit or targeted tax 

19 benefit shall take effect only upon enactment of the appli20 cable approval bill. If an approval bill is not enacted into 

21 law before the end of the applicable period under section 

22 1013, then all proposed repeals and cancellations con23 tained in that bill shall be null and void and any such 

24 congressional earmark, limited tariff benefit, or targeted 

25 tax benefit shall be effective as of the original date proVerDate Nov 24 2008 20:42 Mar 05, 2009 Jkt 079200 PO 00000 Frm 00016 Fmt 6652 Sfmt 6201 E:\BILLS\H1294.IH H1294

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1 vided in the law to which the proposed repeals or cancella2 tions applied. 

3 ‘‘REPORTS BY COMPTROLLER GENERAL

4 ‘‘SEC. 1016. With respect to each special message 

5 under this part, the Comptroller General shall issue to the 

6 Congress a report determining whether any congressional 

7 earmark is not repealed or limited tariff benefit or tar8 geted tax benefit continues to be suspended after the de9 ferral authority set forth in section 1013 of the President 

10 has expired. 

11 ‘‘DEFINITIONS

12 ‘‘SEC. 1017. As used in this part: 

13 ‘‘(1) APPROPRIATION LAW.—The term ‘appro14 priation law’ means an Act referred to in section 

15 105 of title 1, United States Code, including any 

16 general or special appropriation Act, or any Act 

17 making supplemental, deficiency, or continuing ap18 propriations, that has been signed into law pursuant 

19 to Article I, section 7, of the Constitution of the 

20 United States. 

21 ‘‘(2) APPROVAL BILL.—The term ‘approval bill’ 

22 means a bill or joint resolution which only approves 

23 proposed repeals of congressional earmarks or can24 cellations of limited tariff benefits or targeted tax 

25 benefits in a special message transmitted by the 

26 President under this part and— 


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1 ‘‘(A) the title of which is as follows: ‘A bill 

2 approving the proposed repeals and cancella3 tions transmitted by the President on lll’, 

4 the blank space being filled in with the date of 

5 transmission of the relevant special message 

6 and the public law number to which the mes7 sage relates; 

8 ‘‘(B) which does not have a preamble; 

9 ‘‘(C) which provides only the following 

10 after the enacting clause: ‘That the Congress 

11 approves of proposed repeals and cancellations 

12 lll’, the blank space being filled in with a 

13 list of the repeals and cancellations contained in 

14 the President’s special message, ‘as transmitted 

15 by the President in a special message on 

16 llll’, the blank space being filled in with 

17 the appropriate date, ‘regarding llll.’, the 

18 blank space being filled in with the public law 

19 number to which the special message relates; 

20 ‘‘(D) which only includes proposed repeals 

21 and cancellations that are estimated by CBO to 

22 meet the definition of congressional earmark or 

23 limited tariff benefits, or that are identified as 

24 targeted tax benefits pursuant to section 1014; 

25 and 


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1 ‘‘(E) if no CBO estimate is available, then 

2 the entire list of legislative provisions proposed 

3 by the President is inserted in the second blank 

4 space in subparagraph (C). 

5 ‘‘(3) CALENDAR DAY.—The term ‘calendar day’ 

6 means a standard 24-hour period beginning at mid7 night. 

8 ‘‘(4) CANCEL OR CANCELLATION.—The terms 

9 ‘cancel’ or ‘cancellation’ means to prevent— 

10 ‘‘(A) a limited tariff benefit from having 

11 legal force or effect, and to make any necessary, 

12 conforming statutory change to ensure that 

13 such limited tariff benefit is not implemented; 

14 or 

15 ‘‘(B) a targeted tax benefit from having 

16 legal force or effect, and to make any necessary, 

17 conforming statutory change to ensure that 

18 such targeted tax benefit is not implemented 

19 and that any budgetary resources are appro20 priately canceled. 

21 ‘‘(5) CBO.—The term ‘CBO’ means the Direc22 tor of the Congressional Budget Office. 

23 ‘‘(6) CONGRESSIONAL EARMARK.—The term 

24 ‘congressional earmark’ means a provision or report 

25 language included primarily at the request of a 


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1 Member, Delegate, Resident Commissioner, or Sen2 ator providing, authorizing or recommending a spe3 cific amount of discretionary budget authority, credit 

4 authority, or other spending authority for a contract, 

5 loan, loan guarantee, grant, loan authority, or other 

6 expenditure with or to an entity, or targeted to a 

7 specific State, locality or Congressional district, 

8 other than through a statutory or administrative for9 mula-driven or competitive award process. 

10 ‘‘(7) ENTITY.—As used in paragraph (6), the 

11 term ‘entity’ includes a private business, State, terri12 tory or locality, or Federal entity. 

13 ‘‘(8) LIMITED TARIFF BENEFIT.—The term 

14 ‘limited tariff benefit’ means any provision of law 

15 that modifies the Harmonized Tariff Schedule of the 

16 United States in a manner that benefits 10 or fewer 

17 entities (as defined in paragraph (12)(B)). 

18 ‘‘(9) OMB.—The term ‘OMB’ means the Direc19 tor of the Office of Management and Budget. 

20 ‘‘(10) OMNIBUS RECONCILIATION OR APPRO21 PRIATION MEASURE.—The term ‘omnibus reconcili22 ation or appropriation measure’ means— 

23 ‘‘(A) in the case of a reconciliation bill, any 

24 such bill that is reported to its House by the 

25 Committee on the Budget; or 


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1 ‘‘(B) in the case of an appropriation meas2 ure, any such measure that provides appropria3 tions for programs, projects, or activities falling 

4 within 2 or more section 302(b) suballocations. 

5 ‘‘(11) TARGETED TAX BENEFIT.—(A) The term 

6 ‘targeted tax benefit’ means any revenue-losing pro7 vision that provides a Federal tax deduction, credit, 

8 exclusion, or preference to ten or fewer beneficiaries 

9 (determined with respect to either present law or 

10 any provision of which the provision is a part) under 

11 the Internal Revenue Code of 1986 in any year for 

12 which the provision is in effect; 

13 ‘‘(B) for purposes of subparagraph (A)— 

14 ‘‘(i) all businesses and associations that 

15 are members of the same controlled group of 

16 corporations (as defined in section 1563(a) of 

17 the Internal Revenue Code of 1986) shall be 

18 treated as a single beneficiary; 

19 ‘‘(ii) all shareholders, partners, members, 

20 or beneficiaries of a corporation, partnership, 

21 association, or trust or estate, respectively, shall 

22 be treated as a single beneficiary; 

23 ‘‘(iii) all employees of an employer shall be 

24 treated as a single beneficiary; 


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1 ‘‘(iv) all qualified plans of an employer 

2 shall be treated as a single beneficiary; 

3 ‘‘(v) all beneficiaries of a qualified plan 

4 shall be treated as a single beneficiary; 

5 ‘‘(vi) all contributors to a charitable orga6 nization shall be treated as a single beneficiary; 

7 ‘‘(vii) all holders of the same bond issue 

8 shall be treated as a single beneficiary; and 

9 ‘‘(viii) if a corporation, partnership, asso10 ciation, trust or estate is the beneficiary of a 

11 provision, the shareholders of the corporation, 

12 the partners of the partnership, the members of 

13 the association, or the beneficiaries of the trust 

14 or estate shall not also be treated as bene15 ficiaries of such provision; 

16 ‘‘(C) for the purpose of this paragraph, the 

17 term ‘revenue-losing provision’ means any provision 

18 that is estimated to result in a reduction in Federal 

19 tax revenues (determined with respect to either 

20 present law or any provision of which the provision 

21 is a part) for any one of the two following periods— 

22 ‘‘(i) the first fiscal year for which the pro23 vision is effective; or 


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1 ‘‘(ii) the period of the 5 fiscal years begin2 ning with the first fiscal year for which the pro3 vision is effective; 

4 ‘‘(D) the term ‘targeted tax benefit’ does not 

5 include any provision which applies uniformly to an 

6 entire industry; and 

7 ‘‘(E) the terms used in this paragraph shall 

8 have the same meaning as those terms have gen9 erally in the Internal Revenue Code of 1986, unless 

10 otherwise expressly provided. 

11 ‘‘EXPIRATION

12 ‘‘SEC. 1018. This title shall have no force or effect 

13 on or after December 31, 2014.’’. 

14 SEC. 3. TECHNICAL AND CONFORMING AMENDMENTS. 

15 (a) EXERCISE OF RULEMAKING POWERS.—Section 

16 904 of the Congressional Budget Act of 1974 (2 U.S.C. 

17 621 note) is amended— 

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

19 inserting ‘‘1012’’; and 

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

21 1017’’ and inserting ‘‘section 1012’’. 

22 (b) ANALYSIS BY CONGRESSIONAL BUDGET OF23 FICE.—Section 402 of the Congressional Budget Act of 

24 1974 is amended by inserting ‘‘(a)’’ after ‘‘402.’’ and by 

25 adding at the end the following new subsection: 


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1 ‘‘(b) Upon the receipt of a special message under sec2 tion 1011 proposing to repeal any congressional earmark, 

3 the Director of the Congressional Budget Office shall pre4 pare an estimate of the savings in budget authority or out5 lays resulting from such proposed repeal relative to the 

6 most recent levels calculated consistent with the method7 ology used to calculate a baseline under section 257 of 

8 the Balanced Budget and Emergency Deficit Control Act 

9 of 1985 and included with a budget submission under sec10 tion 1105(a) of title 31, United States Code, and transmit 

11 such estimate to the chairmen of the Committees on the 

12 Budget of the House of Representatives and Senate.’’. 

13 (c) CLERICAL AMENDMENTS.—(1) Section 1(a) of 

14 the Congressional Budget and Impoundment Control Act 

15 of 1974 is amended by striking the last sentence. 

16 (2) Section 1022(c) of such Act (as redesignated) is 

17 amended is amended by striking ‘‘rescinded or that is to 

18 be reserved’’ and insert ‘‘canceled’’ and by striking 

19 ‘‘1012’’ and inserting ‘‘1011’’. 

20 (3) TABLE OF CONTENTS.—The table of contents set 

21 forth in section 1(b) of the Congressional Budget and Im22 poundment Control Act of 1974 is amended by deleting 

23 the contents for parts B and C of title X and inserting 

24 the following: 

‘‘PART B—LEGISLATIVE LINE-ITEM VETO

‘‘Sec. 1011. Line item veto authority. 


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•HR 1294 IH

‘‘Sec. 1012. Procedures for expedited consideration. 

‘‘Sec. 1013. Presidential deferral authority. 

‘‘Sec. 1014. Identification of targeted tax benefits. 

‘‘Sec. 1015. Treatment of cancellations. 

‘‘Sec. 1016. Reports by comptroller general. 

‘‘Sec. 1017. Definitions. 

‘‘Sec. 1018. Expiration. 

‘‘Sec. 1019. Suits by Comptroller General. 

‘‘Sec. 1020. Proposed Deferrals of budget authority.’’. 

1 (d) EFFECTIVE DATE.—The amendments made by 

2 this Act shall take effect on the date of its enactment and 

3 apply only to any congressional earmark, limited tariff 

4 benefit, or targeted tax benefit provided in an Act enacted 

5 on or after the date of enactment of this Act. 

6 SEC. 4. SENSE OF CONGRESS ON ABUSE OF PROPOSED RE7 PEALS AND CANCELLATIONS. 

8 It is the sense of Congress no President or any execu9 tive branch official should condition the inclusion or exclu10 sion or threaten to condition the inclusion or exclusion of 

11 any proposed repeal or cancellation in any special message 

12 under this section upon any vote cast or to be cast by 

13 any Member of either House of Congress. 

Æ 


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