II 

112TH CONGRESS 

1ST SESSION S. 439 

To provide for comprehensive budget reform in order to increase transparency 

and reduce the deficit. 

IN THE SENATE OF THE UNITED STATES 

MARCH 2, 2011 

Mr. THUNE (for himself, Mr. CRAPO, Mr. INHOFE, Mr. KIRK, Mr. 

CHAMBLISS, Mr. JOHANNS, and Mr. PORTMAN) introduced the following 

bill; which was read twice and referred to the Committee on the Budget 

A BILL 

To provide for comprehensive budget reform in order to 

increase transparency and reduce the deficit. 

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 AND TABLE OF CONTENTS. 

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

5 ‘‘Deficit Reduction and Budget Reform Act of 2011’’. 

6 (b) TABLE OF CONTENTS.—The table of contents for 

7 this Act is as follows: 

Sec. 1. Short title and table of contents. 

TITLE I—JOINT BUDGET RESOLUTION 

Sec. 101. Purposes. 

Sec. 102. Timetable. 


rfrederick on DSKD9S0YB1PROD with BILLS
2 

•S 439 IS

Sec. 103. Joint resolution on the budget. 

Sec. 104. Budget required before spending bills may be considered. 

Sec. 105. Amendments to joint resolutions on the budget. 

Sec. 106. Continuing appropriations. 

TITLE II—BIENNIAL BUDGET 

Sec. 201. Effective date. 

Sec. 202. Revision of timetable. 

Sec. 203. Amendments to the Congressional Budget and Impoundment Control 

Act of 1974. 

Sec. 204. Amendments to Rules of the House of Representatives. 

Sec. 205. Two-year appropriations; title and style of appropriation Acts. 

Sec. 206. Multiyear authorizations. 

Sec. 207. Government strategic and performance plans on a biennial basis. 

Sec. 208. Biennial appropriation bills. 

Sec. 209. Assistance by Federal agencies to standing committees of the Senate 

and the House of Representatives. 

TITLE III—DISCRETIONARY SPENDING LIMITS 

Subtitle A—Spending Limits 

Sec. 301. Discretionary spending limits. 

Subtitle B—Reports and Orders 

Sec. 311. Reports and orders. 

Sec. 312. Spending limits enforcement. 

Sec. 313. Spending reduction order. 

TITLE IV—LEGISLATIVE LINE-ITEM VETO 

Sec. 401. Short title. 

Sec. 402. Legislative line-item veto. 

Sec. 403. Technical and conforming amendments. 

Sec. 404. Rescission measures considered. 

TITLE V—BIENNIAL BUDGET DEFICIT REDUCTION 

Sec. 501. Joint Committee on Deficit Reduction. 

Sec. 502. Biennial budget deficit reduction legislation. 

Sec. 503. Debt buyback fund. 

TITLE VI—PAYGO HONESTY WITH RESPECT TO TRUST FUNDS 

AND EMERGENCY DESIGNATIONS 

Sec. 601. PAYGO and trust funds. 

Sec. 602. Emergency designations. 

TITLE VII—CREDIT REFORM 

Sec. 701. Credit Reform Act treatment of the purchase of private stock, equity, 

or capital. 

TITLE VIII—RESPONSIBLE HEALTH CARE BUDGETING LIMITS 

Subtitle A—Cost Containment of the CLASS Program 


rfrederick on DSKD9S0YB1PROD with BILLS
3 

•S 439 IS

Sec. 801. CLASS funding warning. 

Sec. 802. Presidential submission of legislation. 

Sec. 803. Procedures in the House of Representatives. 

Sec. 804. Procedures in the Senate. 

Subtitle B—Modification of Medicare Cost Containment Trigger 

Sec. 811. Modification of Medicare cost containment trigger. 

1 TITLE I—JOINT BUDGET 

2 RESOLUTION 

3 SEC. 101. PURPOSES. 

4 Paragraphs (1) and (2) of section 2 of the Congres5 sional Budget and Impoundment Control Act of 1974 are 

6 amended to read as follows: 

7 ‘‘(1) to assure effective control over the budg8 etary process; and 

9 ‘‘(2) to facilitate the determination each year of 

10 the appropriate level of Federal revenues and ex11 penditures by the Congress and the President;’’. 

12 SEC. 102. TIMETABLE. 

13 Section 300 of the Congressional Budget Act of 1974 

14 is amended to read as follows: 

15 ‘‘TIMETABLE

16 ‘‘SEC. 300. The timetable with respect to the Con17 gressional budget process for any fiscal year is as follows: 

‘‘First Session 

On or before: Action to be completed: 

First Monday in February ........ President submits his budget. 

February 15 ............................... Congressional Budget Office submits report 

to Budget Committees. 

Not later than 6 weeks after 

President submits budget.

Committees submit views and estimates to 

Budget Committees. 

April 1 ....................................... Budget Committees report joint resolution on 

the budget. 


rfrederick on DSKD9S0YB1PROD with BILLS
4 

•S 439 IS

‘‘First Session—Continued 

April 15 .................................... Congress completes action on joint resolution 

on the budget. 

June 10 ...................................... House Appropriations Committee reports last 

annual appropriation bill. 

June 15 ...................................... Congress completes action on reconciliation 

legislation. 

June 30 ...................................... House completes action on annual appropriation bills. 

October 1 ................................... Fiscal year begins.’’. 

1 SEC. 103. JOINT RESOLUTION ON THE BUDGET. 

2 (a) CONTENT OF JOINT RESOLUTIONS ON THE

3 BUDGET.—Section 301(a)(4) of the Congressional Budget 

4 Act of 1974 is amended to read as follows: 

5 ‘‘(4) subtotals of new budget authority and out6 lays for nondefense discretionary spending, defense 

7 discretionary spending, Medicare, Medicaid, other di8 rect spending (excluding interest), and interest; and 

9 for emergencies (for the reserve fund in section 

10 317(b) and for military operations in section 

11 317(c));’’. 

12 (b) ADDITIONAL MATTERS IN JOINT RESOLUTION.— 

13 Section 301(b) of the Congressional Budget Act of 1974 

14 is amended as follows: 

15 (1) Strike paragraphs (1), and (6) through (9). 

16 (2) Redesignate paragraphs (2), (3), (4), and 

17 (5) accordingly. 

18 (3) Amend paragraph (3), as redesignated, to 

19 read as follows: 


rfrederick on DSKD9S0YB1PROD with BILLS
5 

•S 439 IS

1 ‘‘(3) set forth such other matters, and require 

2 such other procedures, relating to the budget as may 

3 be appropriate to carry out the purposes of the Act, 

4 but shall not include a suspension or alteration of 

5 the application of the motion to strike a provision as 

6 set forth in section 310(d)(2) or (h)(2)(F).’’. 

7 (c) REQUIRED CONTENTS OF REPORT.—Section 

8 301(e)(2) of the Congressional Budget Act of 1974 is 

9 amended as follows: 

10 (1) Redesignate subparagraphs (A), (B), (C), 

11 (D), (E), and (F) as subparagraphs (B), (C), (E), 

12 (F), (H), and (I), respectively. 

13 (2) Before subparagraph (B) (as redesignated), 

14 insert the following new subparagraph: 

15 ‘‘(A) new budget authority and outlays for 

16 each major functional category, based on alloca17 tions of the total levels set forth pursuant to 

18 subsection (a)(1);’’. 

19 (3) In subparagraph (C) (as redesignated), 

20 strike ‘‘mandatory’’ and insert ‘‘direct spending’’. 

21 (4) After subparagraph (C) (as redesignated), 

22 insert the following new subparagraph: 

23 ‘‘(D) a measure, as a percentage of gross 

24 domestic product, of total outlays, total Federal 

25 revenues, the surplus or deficit, and new outVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
6 

•S 439 IS

1 lays for nondefense discretionary spending, de2 fense spending, Medicare, Medicaid and other 

3 direct spending as set forth in such resolu4 tion;’’. 

5 (5) After subparagraph (F) (as redesignated), 

6 insert the following new subparagraph: 

7 ‘‘(G) if the joint resolution on the budget 

8 includes any allocation to a committee other 

9 than the Committee on Appropriations of levels 

10 in excess of current law levels, a justification 

11 for not subjecting any program, project, or ac12 tivity (for which the allocation is made) to an13 nual discretionary appropriations;’’. 

14 (d) ADDITIONAL CONTENTS OF REPORT.—Section 

15 301(e)(3) of the Congressional Budget Act of 1974 is 

16 amended as follows: 

17 (1) Redesignate subparagraphs (A) and (B) as 

18 subparagraphs (B) and (C), respectively, strike sub19 paragraphs (C) and (D), and redesignate subpara20 graph (E) as subparagraph (D) and strike the pe21 riod and insert ‘‘; and’’. 

22 (2) Before subparagraph (B), insert the fol23 lowing new subparagraph: 

24 ‘‘(A) new budget authority and outlays for 

25 each major functional category, based on allocaVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
7 

•S 439 IS

1 tions of the total levels set forth pursuant to 

2 subsection (a)(1);’’. 

3 (3) At the end, add the following new subpara4 graph: 

5 ‘‘(E) set forth, if required by subsection 

6 (f), the calendar year in which, in the opinion 

7 of the Congress, the goals for reducing unem8 ployment set forth in section 4(b) of the Em9 ployment Act of 1946 should be achieved.’’. 

10 (e) BUDGET PRESENTATION.—After section 

11 301(e)(3) add the following new paragraph: 

12 ‘‘(4) BUDGET FORMAT.—In addition to the con13 tents that may be included in the report pursuant to 

14 paragraph (3), a presentation of the functional cat15 egories may also be included as follows: 

16 ‘‘(A) PRINCIPAL FEDERAL OBLIGATIONS.— 

17 Activities intrinsic to the Federal Government 

18 (including both discretionary and mandatory 

19 spending) as follows: 

20 ‘‘(i) National defense; 

21 ‘‘(ii) International affairs; 

22 ‘‘(iii) Veterans benefits and services; 

23 and 

24 ‘‘(iv) Administration of justice. 


rfrederick on DSKD9S0YB1PROD with BILLS
8 

•S 439 IS

1 ‘‘(B) FEDERALLY SUPPORTED DOMESTIC

2 PRIORITIES.—The total domestic discretionary 

3 spending levels as follows: 

4 ‘‘(i) Total domestic discretionary 

5 spending. 

6 ‘‘(ii) Optional inclusion of additional 

7 specific recommended levels. 

8 ‘‘(C) MAJOR DOMESTIC ENTITLEMENTS.— 

9 Major domestic direct spending programs as 

10 follows: 

11 ‘‘(i) Medicare. 

12 ‘‘(ii) Medicaid. 

13 ‘‘(iii) Other direct spending. 

14 ‘‘(iv) Optional inclusion of additional 

15 specific recommended levels. 

16 ‘‘(D) GENERAL GOVERNMENT AND FINAN17 CIAL MANAGEMENT.—Funding for financing 

18 government operations as follows: 

19 ‘‘(i) General government. 

20 ‘‘(ii) Net interest. 

21 ‘‘(iii) Allowances. 

22 ‘‘(iv) Offsetting receipts.’’. 

23 (f) PRESIDENT’S BUDGET SUBMISSION TO CON24 GRESS.—(1) The first two sentences of section 1105(a) 

25 of title 31, United States Code, are amended to read as 


rfrederick on DSKD9S0YB1PROD with BILLS
9 

•S 439 IS

1 follows: ‘‘On or after the first Monday in January but not 

2 later than the first Monday in February of each year the 

3 President shall submit a budget of the United States Gov4 ernment for the following fiscal year which shall set forth 

5 the following levels: 

6 ‘‘(A) Totals of new budget authority and out7 lays. 

8 ‘‘(B) Total Federal revenues and the amount, if 

9 any, by which the aggregate level of Federal reve10 nues should be increased or decreased by bills and 

11 resolutions to be reported by the appropriate com12 mittees. 

13 ‘‘(C) The surplus or deficit in the budget. 

14 ‘‘(D) Subtotals of new budget authority and 

15 outlays for nondefense discretionary spending, de16 fense discretionary spending, direct spending (ex17 cluding interest), and interest, and for emergencies 

18 (for the reserve fund in section 317(b) and for mili19 tary operations in section 317(c)). 

20 ‘‘(E) The public debt. 

21 Each budget submission shall include a budget message 

22 and summary and supporting information and, as a sepa23 rately delineated statement, the levels requires in the pre24 ceding sentence for at least each of the 4 ensuing fiscal 

25 years.’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
10 

•S 439 IS

1 (2) The third sentence of section 1105(a) of title 31, 

2 United States Code, is amended by inserting ‘‘submission’’ 

3 after ‘‘budget’’. 

4 (g) LIMITATION ON THE CONTENT OF BUDGET RES5 OLUTIONS.—Section 305 of the Congressional Budget Act 

6 of 1974 is amended by adding at the end the following 

7 new subsection: 

8 ‘‘(e) LIMITATION ON CONTENTS.—(1) It shall not be 

9 in order in the House of Representatives or in the Senate 

10 to consider any joint resolution on the budget or any 

11 amendment thereto or conference report thereon that con12 tains any matter referred to in paragraph (2). 

13 ‘‘(2) Any joint resolution on the budget or any 

14 amendment thereto or conference report thereon that con15 tains any matter not permitted in section 301 (a) or (b) 

16 shall not be treated in the House of Representatives or 

17 the Senate as a budget resolution under subsection (a) or 

18 (b) or as a conference report on a budget resolution under 

19 subsection (c) of this section.’’. 

20 SEC. 104. BUDGET REQUIRED BEFORE SPENDING BILLS 

21 MAY BE CONSIDERED. 

22 (a) AMENDMENTS TO SECTION 302.—Section 302 of 

23 the Congressional Budget Act of 1974 is amended— 

24 (1) in subsection (a), by striking paragraph (5); 

25 and 


rfrederick on DSKD9S0YB1PROD with BILLS
11 

•S 439 IS

1 (2) in subsection (f)(1)(A), by striking ‘‘as re2 ported’’. 

3 (b) AMENDMENTS TO SECTION 303 AND CON4 FORMING AMENDMENTS.—(1) Section 303 of the Con5 gressional Budget Act of 1974 is amended by striking ‘‘(a) 

6 IN GENERAL.—’’, by striking ‘‘has been agreed to’’ and 

7 inserting ‘‘takes effect in subsection (a)’’, and by striking 

8 subsections (b) and (c); and 

9 (2) by striking its section heading and inserting the 

10 following new section heading: ‘‘CONSIDERATION OF

11 BUDGET-RELATED LEGISLATION BEFORE BUDGET BE12 COMES LAW’’. 

13 (c) EXPEDITED PROCEDURES UPON VETO OF JOINT

14 RESOLUTION ON THE BUDGET.—(1) Title III of the Con15 gressional Budget Act of 1974 is amended by adding after 

16 section 315 the following new section: 

17 ‘‘EXPEDITED PROCEDURES UPON VETO OF JOINT

18 RESOLUTION ON THE BUDGET

19 ‘‘SEC. 316. (a) SPECIAL RULE.—If the President ve20 toes a joint resolution on the budget for a fiscal year, the 

21 majority leader of the House of Representatives or Senate 

22 (or his designee) shall introduce a concurrent resolution 

23 on the budget or joint resolution on the budget for such 

24 fiscal year. If the Committee on the Budget of either 

25 House fails to report such concurrent or joint resolution 

26 referred to it within five calendar days (excluding SaturVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
12 

•S 439 IS

1 days, Sundays, or legal holidays except when that House 

2 of Congress is in session) after the date of such referral, 

3 the committee shall be automatically discharged from fur4 ther consideration of such resolution and such resolution 

5 shall be placed on the appropriate calendar. 

6 ‘‘(b) PROCEDURE IN THE HOUSE OF REPRESENTA7 TIVES AND THE SENATE.— 

8 ‘‘(1) Except as provided in paragraph (2), the 

9 provisions of section 305 for the consideration in the 

10 House of Representatives and in the Senate of joint 

11 resolutions on the budget and conference reports 

12 thereon shall also apply to the consideration of con13 current resolutions on the budget introduced under 

14 subsection (a) and conference reports thereon. 

15 ‘‘(2) Debate in the Senate on any concurrent 

16 resolution on the budget or joint resolution on the 

17 budget introduced under subsection (a), and all 

18 amendments thereto and debatable motions and ap19 peals in connection therewith, shall be limited to not 

20 more than 10 hours and in the House of Represent21 atives such debate shall be limited to not more than 

22 3 hours. 

23 ‘‘(c) CONTENTS OF CONCURRENT RESOLUTIONS.— 

24 Any concurrent resolution on the budget introduced under 

25 subsection (a) shall be in compliance with section 301. 


rfrederick on DSKD9S0YB1PROD with BILLS
13 

•S 439 IS

1 ‘‘(d) EFFECT OF CONCURRENT RESOLUTION ON THE

2 BUDGET.—Notwithstanding any other provision of this 

3 title, whenever a concurrent resolution on the budget de4 scribed in subsection (a) is agreed to, then the aggregates, 

5 allocations, and reconciliation directives (if any) contained 

6 in the report accompanying such concurrent resolution or 

7 in such concurrent resolution shall be considered to be the 

8 aggregates, allocations, and reconciliation directives for all 

9 purposes of sections 302, 303, and 311 for the applicable 

10 fiscal years and such concurrent resolution shall be 

11 deemed to be a joint resolution for all purposes of this 

12 title and the Rules of the House of Representatives and 

13 any reference to the date of enactment of a joint resolution 

14 on the budget shall be deemed to be a reference to the 

15 date agreed to when applied to such concurrent resolu16 tion.’’. 

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

18 the Congressional Budget and Impoundment Control Act 

19 of 1974 is amended by inserting after the item relating 

20 to section 315 the following new item: 

‘‘Sec. 316. Expedited procedures upon veto of joint resolution on the budget.’’. 

21 SEC. 105. AMENDMENTS TO JOINT RESOLUTIONS ON THE 

22 BUDGET. 

23 (a) DEFINITION.—Paragraph (4) of section 3 of the 

24 Congressional Budget Act of 1974 is amended to read as 

25 follows: 


rfrederick on DSKD9S0YB1PROD with BILLS
14 

•S 439 IS

1 ‘‘(4) the term ‘joint resolution on the budget’ 

2 means— 

3 ‘‘(A) a joint resolution setting forth the 

4 budget for the United States Government for a 

5 fiscal year as provided in section 301; and 

6 ‘‘(B) any other joint resolution revising the 

7 budget for the United States Government for a 

8 fiscal year as described in section 304.’’. 

9 (b) ADDITIONAL AMENDMENTS TO THE CONGRES10 SIONAL BUDGET AND IMPOUNDMENT CONTROL ACT OF

11 1974.—(1)(A) Sections 301, 302, 303, 305, 308, 310, 

12 311, 312, 314, 405, and 904 of the Congressional Budget 

13 Act of 1974 (2 U.S.C. 621 et seq.) are amended by strik14 ing ‘‘concurrent’’ each place it appears and inserting 

15 ‘‘joint’’. 

16 (B) Section 301 of the Congressional Budget Act of 

17 1974 is further amended by striking the last sentence. 

18 (C)(i) Sections 302(d), 302(g), 308(a)(1)(A), and 

19 310(d)(1) of the Congressional Budget Act of 1974 are 

20 amended by striking ‘‘most recently agreed to concurrent 

21 resolution on the budget’’ each place it occurs and insert22 ing ‘‘most recently enacted joint resolution on the budget 

23 or agreed to concurrent resolution on the budget (as appli24 cable)’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
15 

•S 439 IS

1 (ii) The section heading of section 301 is amended 

2 by striking ‘‘ANNUAL ADOPTION OF CONCURRENT RESO3 LUTION’’ and inserting ‘‘JOINT RESOLUTIONS’’; and 

4 (iii) Section 304 of such Act is amended to read as 

5 follows: 

6 ‘‘PERMISSIBLE REVISIONS OF BUDGET RESOLUTIONS

7 ‘‘SEC. 304. At any time after the joint resolution on 

8 the budget for a fiscal year has been enacted pursuant 

9 to section 301, and before the end of such fiscal year, the 

10 two Houses and the President may enact a joint resolution 

11 on the budget which revises or reaffirms the joint resolu12 tion on the budget for such fiscal year most recently en13 acted, and for purposes of the enforcement of the Congres14 sional Budget Act of 1974, the chairman of the Budget 

15 Committee of the House of Representatives or the Senate, 

16 as applicable, may adjust levels as needed for the enforce17 ment off of the budget resolution.’’. 

18 (D) Sections 302, 303, 310, and 311, of such Act 

19 are amended by striking ‘‘agreed to’’ each place it appears 

20 and by inserting ‘‘enacted’’. 

21 (2)(A) Paragraph (4) of section 3 of the Congres22 sional Budget and Impoundment Control Act of 1974 is 

23 amended by striking ‘‘concurrent’’ each place it appears 

24 and by inserting ‘‘joint’’. 

25 (B) The table of contents set forth in section 1(b) 

26 of such Act is amended— 


rfrederick on DSKD9S0YB1PROD with BILLS
16 

•S 439 IS

1 (i) in the item relating to section 301, by strik2 ing ‘‘Annual adoption of concurrent resolution’’ and 

3 inserting ‘‘Joint resolutions’’; 

4 (ii) by striking the item relating to section 303 

5 and inserting the following: 

‘‘Sec. 303. Consideration of budget-related legislation before budget becomes 

law.’’; 

6 and 

7 (iii) by striking ‘‘concurrent’’ and inserting 

8 ‘‘joint’’ in the item relating to section 305. 

9 (c) CONFORMING AMENDMENTS TO THE RULES OF

10 THE HOUSE OF REPRESENTATIVES.—Clauses 1(d)(1), 

11 4(a)(4), 4(b)(2), 4(f)(1)(A), and 4(f)(2) of rule X, clause 

12 10 of rule XVIII, clause 10 of rule XX, and clauses 7 

13 and 10 of rule XXI of the Rules of the House of Rep14 resentatives are amended by striking ‘‘concurrent’’ each 

15 place it appears and inserting ‘‘joint’’. 

16 (d) CONFORMING AMENDMENTS TO THE BALANCED

17 BUDGET AND EMERGENCY DEFICIT CONTROL ACT OF

18 1985.—Section 258C(b)(1) of the Balanced Budget and 

19 Emergency Deficit Control Act of 1985 (2 U.S.C. 

20 907d(b)(1)) is amended by striking ‘‘concurrent’’ and in21 serting ‘‘joint’’. 

22 (e) CONFORMING AMENDMENTS TO SECTION 310 

23 REGARDING RECONCILIATION DIRECTIVES.—(1) The side 

24 heading of section 310(a) of the Congressional Budget Act 


rfrederick on DSKD9S0YB1PROD with BILLS
17 

•S 439 IS

1 of 1974 (as amended by section 105(b)) is further amend2 ed by inserting ‘‘JOINT EXPLANATORY STATEMENT AC3 COMPANYING CONFERENCE REPORT ON’’ before ‘‘JOINT’’. 

4 (2) Section 310(a) of such Act is amended by striking 

5 ‘‘A’’ and inserting ‘‘The joint explanatory statement ac6 companying the conference report on a’’. 

7 (3) The first sentence of section 310(b) of such Act 

8 is amended by striking ‘‘If’’ and inserting ‘‘If the joint 

9 explanatory statement accompanying the conference re10 port on’’. 

11 (4) Section 310(c)(1) of such Act is amended by in12 serting ‘‘the joint explanatory statement accompanying 

13 the conference report on’’ after ‘‘pursuant to’’. 

14 (f) CONFORMING AMENDMENTS TO SECTION 3 RE15 GARDING DIRECT SPENDING.—Section 3 of the Congres16 sional Budget and Impoundment Control Act of 1974 is 

17 amended by adding at the end the following new para18 graph: 

19 ‘‘(11) The term ‘direct spending’ has the mean20 ing given to such term in section 250(c)(8) of the 

21 Balanced Budget and Emergency Deficit Control 

22 Act of 1985.’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
18 

•S 439 IS

1 SEC. 106. CONTINUING APPROPRIATIONS. 

2 (a) IN GENERAL.—Chapter 13 of title 31, United 

3 States Code, is amended by inserting after section 1310 

4 the following new section: 

5 ‘‘§ 1311. Continuing appropriations 

6 ‘‘(a)(1) If any regular appropriation bill for each fis7 cal year in a biennium does not become law before the 

8 beginning of such biennium or a joint resolution making 

9 continuing appropriations is not in effect, there are appro10 priated for the 2 years of the biennium, out of any money 

11 in the Treasury not otherwise appropriated, and out of 

12 applicable corporate or other revenues, receipts, and 

13 funds, excluding any budget authority designated as an 

14 emergency or temporary funding for projects or activities 

15 that are not part of ongoing operations, such sums as may 

16 be necessary to continue any project or activity for which 

17 funds were provided in the preceding fiscal year— 

18 ‘‘(A) for defense, veterans, and homeland secu19 rity spending— 

20 ‘‘(i) in the corresponding regular appro21 priation Act for such preceding fiscal year; or 

22 ‘‘(ii) if the corresponding regular appro23 priation bill for such preceding fiscal year did 

24 not become law, then in a joint resolution mak25 ing continuing appropriations for such pre26 ceding fiscal year; and 


rfrederick on DSKD9S0YB1PROD with BILLS
19 

•S 439 IS

1 ‘‘(B) for spending not described in subpara2 graph (A), total level allowable for the appropriate 

3 accounts under section 251 of the Balanced Budget 

4 and Emergency Deficit Control of Act of 1985 in 

5 the same proportion of funding that such accounts 

6 received the preceding fiscal year. 

7 ‘‘(2) Appropriations and funds made available, and 

8 authority granted, for a project or activity for any fiscal 

9 year pursuant to this section shall be at a rate of oper10 ations not in excess of the lower of— 

11 ‘‘(A) the rate of operations provided for in the 

12 regular appropriation Act providing for such project 

13 or activity for the preceding fiscal year; 

14 ‘‘(B) in the absence of such an Act, the rate of 

15 operations provided for such project or activity pur16 suant to a joint resolution making continuing appro17 priations for such preceding fiscal year; 

18 ‘‘(C) the rate of operations provided for in the 

19 regular appropriation bill as passed by the House of 

20 Representatives or the Senate for the fiscal year in 

21 question, except that the lower of these two versions 

22 shall be ignored for any project or activity for which 

23 there is a budget request if no funding is provided 

24 for that project or activity in either version; or 


rfrederick on DSKD9S0YB1PROD with BILLS
20 

•S 439 IS

1 ‘‘(D) the annualized rate of operations provided 

2 for in the most recently enacted joint resolution 

3 making continuing appropriations for part of that 

4 fiscal year or any funding levels established under 

5 the provisions of this Act. 

6 ‘‘(3) Appropriations and funds made available, and 

7 authority granted, for any fiscal year pursuant to this sec8 tion for a project or activity shall be available for the pe9 riod beginning with the first day of a lapse in appropria10 tions and ending with the earlier of— 

11 ‘‘(A) the date on which the applicable regular 

12 appropriation bill for such fiscal year becomes law 

13 (whether or not such law provides for such project 

14 or activity) or a continuing resolution making appro15 priations becomes law, as the case may be; or 

16 ‘‘(B) the last day of such fiscal year. 

17 ‘‘(b) An appropriation or funds made available, or au18 thority granted, for a project or activity for any fiscal year 

19 pursuant to this section shall be subject to the terms and 

20 conditions imposed with respect to the appropriation made 

21 or funds made available for the preceding fiscal year, or 

22 authority granted for such project or activity under cur23 rent law. 

24 ‘‘(c) Appropriations and funds made available, and 

25 authority granted, for any project or activity for any fiscal 


rfrederick on DSKD9S0YB1PROD with BILLS
21 

•S 439 IS

1 year pursuant to this section shall cover all obligations or 

2 expenditures incurred for such project or activity during 

3 the portion of such fiscal year for which this section ap4 plies to such project or activity. 

5 ‘‘(d) Expenditures made for a project or activity for 

6 any fiscal year pursuant to this section shall be charged 

7 to the applicable appropriation, fund, or authorization 

8 whenever a regular appropriation bill or a joint resolution 

9 making continuing appropriations until the end of a fiscal 

10 year providing for such project or activity for such period 

11 becomes law. 

12 ‘‘(e) This section shall not apply to a project or activ13 ity during a fiscal year if any other provision of law (other 

14 than an authorization of appropriations)— 

15 ‘‘(1) makes an appropriation, makes funds 

16 available, or grants authority for such project or ac17 tivity to continue for such period; or 

18 ‘‘(2) specifically provides that no appropriation 

19 shall be made, no funds shall be made available, or 

20 no authority shall be granted for such project or ac21 tivity to continue for such period. 

22 ‘‘(f) For purposes of this section, the term ‘regular 

23 appropriation bill’ means any annual appropriation bill 

24 making appropriations, otherwise making funds available, 


rfrederick on DSKD9S0YB1PROD with BILLS
22 

•S 439 IS

1 or granting authority, for any of the following categories 

2 of projects and activities: 

3 ‘‘(1) Agriculture, rural development, Food and 

4 Drug Administration, and related agencies pro5 grams. 

6 ‘‘(2) The Department of Defense. 

7 ‘‘(3) Energy and water development, and re8 lated agencies. 

9 ‘‘(4) State, foreign operations, and related pro10 grams. 

11 ‘‘(5) The Department of Homeland Security. 

12 ‘‘(6) The Department of the Interior, Environ13 mental Protection Agency, and related agencies. 

14 ‘‘(7) The Departments of Labor, Health and 

15 Human Services, and Education, and related agen16 cies. 

17 ‘‘(8) Military construction, veterans affairs, and 

18 related agencies. 

19 ‘‘(9) Science, the Departments of State, Jus20 tice, and Commerce, and related agencies. 

21 ‘‘(10) The Departments of Transportation, 

22 Housing and Urban Development, and related agen23 cies. 

24 ‘‘(11) The Legislative Branch. 


rfrederick on DSKD9S0YB1PROD with BILLS
23 

•S 439 IS

1 ‘‘(12) Financial services and general govern2 ment.’’. 

3 (b) CLERICAL AMENDMENT.—The analysis of chap4 ter 13 of title 31, United States Code, is amended by in5 serting after the item relating to section 1310 the fol6 lowing new item: 

‘‘1311. Continuing appropriations.’’. 

7 TITLE II—BIENNIAL BUDGET 

8 SEC. 201. EFFECTIVE DATE. 

9 The provisions of this subtitle shall take effect on 

10 January 1 of the calendar year after the year of the enact11 ment of this Act. 

12 SEC. 202. REVISION OF TIMETABLE. 

13 Section 300 of the Congressional Budget Act of 1974 

14 (2 U.S.C. 631) is amended to read as follows: 

15 ‘‘TIMETABLE

16 ‘‘SEC. 300. (a) IN GENERAL.—Except as provided by 

17 subsection (b), the timetable with respect to the congres18 sional budget process for any Congress (beginning with 

19 the One Hundred Twelfth Congress or a subsequent Con20 gress, as applicable) is as follows: 

‘‘First Session 

On or before: Action to be completed: 

First Monday in February ........ President submits budget recommendations. 

February 15 ............................... Congressional Budget Office submits report 

to Budget Committees. 

Not later than 6 weeks after 

budget submission.

Committees submit views and estimates to 

Budget Committees. 

April 1 ....................................... Budget Committees report joint resolution on 

the biennial budget. 


rfrederick on DSKD9S0YB1PROD with BILLS
24 

•S 439 IS

‘‘First Session—Continued 

May 15 ....................................... Congress completes action on joint resolution 

on the biennial budget. 

May 15 ....................................... Biennial appropriation bills may be considered in the House of Representatives. 

June 10 ...................................... House Appropriations Committee reports last 

biennial appropriation bill. 

June 30 ...................................... House completes action on biennial appropriation bills. 

October 1 ................................... Biennium begins. 

‘‘Second Session 

On or before: Action to be completed: 

February 15 ............................... President submits budget review. 

Not later than 6 weeks after 

President submits budget review.

Congressional Budget Office submits report 

to Budget Committees. 

The last day of the session ........ Congress completes action on bills and resolutions authorizing new budget authority 

for the succeeding biennium. 

1 ‘‘(b) SPECIAL RULE.—In the case of any first session 

2 of Congress that begins in any year during which the term 

3 of a President (except a President who succeeds himself) 

4 begins, the following dates shall supersede those set forth 

5 in subsection (a): 

‘‘First Session 

On or before: Action to be completed: 

First Monday in April ............... President submits budget recommendations. 

April 20 ..................................... Committees submit views and estimates to 

Budget Committees. 

May 15 ....................................... Budget Committees report joint resolution on 

the biennial budget. 

June 1 ........................................ Congress completes action on joint resolution 

on the biennial budget. 

June 1 ........................................ Biennial appropriation bills may be considered in the House of Representatives. 

July 1 ......................................... House Appropriations Committee reports last 

biennial appropriation bill. 

July 20 ....................................... House completes action on biennial appropriation bills. 

October 1 ................................... Biennium begins.’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
25 

•S 439 IS

1 SEC. 203. AMENDMENTS TO THE CONGRESSIONAL BUDGET 

2 AND IMPOUNDMENT CONTROL ACT OF 1974. 

3 (a) DECLARATION OF PURPOSE.—Section 2(2) of the 

4 Congressional Budget and Impoundment Control Act of 

5 1974 (2 U.S.C. 621(2)) is amended by striking ‘‘each 

6 year’’ and inserting ‘‘biennially’’. 

7 (b) DEFINITIONS.— 

8 (1) BUDGET RESOLUTION.—Section 3(4) of 

9 such Act (2 U.S.C. 622(4)) is amended by striking 

10 ‘‘fiscal year’’ each place it appears and inserting ‘‘bi11 ennium’’. 

12 (2) BIENNIUM.—Section 3 of such Act (2 

13 U.S.C. 622) (as amended by section 113(a)) is fur14 ther amended by adding at the end the following 

15 new paragraph: 

16 ‘‘(13) The term ‘biennium’ means the period of 

17 2 consecutive fiscal years beginning on October 1 of 

18 any odd-numbered year.’’. 

19 (c) BIENNIAL JOINT RESOLUTION ON THE BUDG20 ET.— 

21 (1) CONTENTS OF RESOLUTION.—Section 

22 301(a) of such Act (2 U.S.C. 632(a)) is amended— 

23 (A) in the matter preceding paragraph (1) 

24 by— 


rfrederick on DSKD9S0YB1PROD with BILLS
26 

•S 439 IS

1 (i) striking ‘‘April 15 of each year’’ 

2 and inserting ‘‘May 15 of each odd-num3 bered year’’; 

4 (ii) striking ‘‘the fiscal year beginning 

5 on October 1 of such year’’ the first place 

6 it appears and inserting ‘‘the biennium be7 ginning on October 1 of such year’’; 

8 (iii) striking ‘‘the fiscal year beginning 

9 on October 1 of such year’’ the second 

10 place it appears and inserting ‘‘each fiscal 

11 year in such period’’; and 

12 (iv) striking ‘‘each of the four ensuing 

13 fiscal years’’ and inserting ‘‘each fiscal 

14 year in the next 2 bienniums’’; 

15 (B) in paragraph (6), by striking ‘‘for the 

16 fiscal year’’ and inserting ‘‘for each fiscal year 

17 in the biennium’’; and 

18 (C) in paragraph (7), by striking ‘‘for the 

19 fiscal year’’ and inserting ‘‘for each fiscal year 

20 in the biennium’’. 

21 (2) ADDITIONAL MATTERS.—Section 301(b) of 

22 such Act (2 U.S.C. 632(b)) is amended— 

23 (A) in paragraph (3), by striking ‘‘for such 

24 fiscal year’’ and inserting ‘‘for either fiscal year 

25 in such biennium’’; and 


rfrederick on DSKD9S0YB1PROD with BILLS
27 

•S 439 IS

1 (B) in paragraph (7), by striking ‘‘for the 

2 first fiscal year’’ and inserting ‘‘for each fiscal 

3 year in the biennium’’. 

4 (3) VIEWS OF OTHER COMMITTEES.—Section 

5 301(d) of such Act (2 U.S.C. 632(d)) is amended by 

6 inserting ‘‘(or, if applicable, as provided by section 

7 300(b))’’ after ‘‘United States Code’’. 

8 (4) HEARINGS.—Section 301(e)(1) of such Act 

9 (2 U.S.C. 632(e)) is amended by— 

10 (A) striking ‘‘fiscal year’’ and inserting 

11 ‘‘biennium’’; and 

12 (B) inserting after the second sentence the 

13 following: ‘‘On or before April 1 of each odd14 numbered year (or, if applicable, as provided by 

15 section 300(b)), the Committee on the Budget 

16 of each House shall report to its House the 

17 joint resolution on the budget referred to in 

18 subsection (a) for the biennium beginning on 

19 October 1 of that year.’’. 

20 (5) GOALS FOR REDUCING UNEMPLOYMENT.— 

21 Section 301(f) of such Act (2 U.S.C. 632(f)) is 

22 amended by striking ‘‘fiscal year’’ each place it ap23 pears and inserting ‘‘biennium’’. 

24 (6) ECONOMIC ASSUMPTIONS.—Section 

25 301(g)(1) of such Act (2 U.S.C. 632(g)(1)) is 


rfrederick on DSKD9S0YB1PROD with BILLS
28 

•S 439 IS

1 amended by striking ‘‘for a fiscal year’’ and insert2 ing ‘‘for a biennium’’. 

3 (7) SECTION HEADING.—The section heading of 

4 section 301 of such Act is amended by striking ‘‘AN5 NUAL’’ and inserting ‘‘BIENNIAL’’. 

6 (8) TABLE OF CONTENTS.—The item relating 

7 to section 301 in the table of contents set forth in 

8 section 1(b) of such Act is amended by striking ‘‘An9 nual’’ and inserting ‘‘Biennial’’. 

10 (d) COMMITTEE ALLOCATIONS.—Section 302 of such 

11 Act (2 U.S.C. 633) is amended— 

12 (1) in subsection (a)(1) by— 

13 (A) striking ‘‘for the first fiscal year of the 

14 resolution,’’ and inserting ‘‘for each fiscal year 

15 in the biennium,’’; 

16 (B) striking ‘‘for that period of fiscal 

17 years’’ and inserting ‘‘for all fiscal years cov18 ered by the resolution’’; and 

19 (C) striking ‘‘for the fiscal year of that 

20 resolution’’ and inserting ‘‘for each fiscal year 

21 in the biennium’’; 

22 (2) in subsection (f)(1), by striking ‘‘for a fiscal 

23 year’’ and inserting ‘‘for a biennium’’; 


rfrederick on DSKD9S0YB1PROD with BILLS
29 

•S 439 IS

1 (3) in subsection (f)(1), by striking ‘‘first fiscal 

2 year’’ and inserting ‘‘either fiscal year of the bien3 nium’’; 

4 (4) in subsection (f)(2)(A), by— 

5 (A) striking ‘‘first fiscal year’’ and insert6 ing ‘‘each fiscal year of the biennium’’; and 

7 (B) striking ‘‘the total of fiscal years’’ and 

8 inserting ‘‘the total of all fiscal years covered by 

9 the resolution’’; and 

10 (5) in subsection (g)(1)(A), by striking ‘‘April’’ 

11 and inserting ‘‘May’’. 

12 (e) SECTION 303 POINT OF ORDER.—Section 303 of 

13 such Act (2 U.S.C. 634(a)) is amended by striking ‘‘for 

14 a fiscal year’’ and inserting ‘‘for a biennium’’ and by strik15 ing ‘‘the first fiscal year’’ and inserting ‘‘each fiscal year 

16 of the biennium’’. 

17 (f) PERMISSIBLE REVISIONS OF JOINT RESOLUTIONS

18 ON THE BUDGET.—Section 304 of such Act (2 U.S.C. 

19 635) is amended— 

20 (1) by striking ‘‘fiscal year’’ the first two places 

21 it appears and inserting ‘‘biennium’’; 

22 (2) by striking ‘‘for such fiscal year’’; and 

23 (3) by inserting before the period ‘‘for such bi24 ennium’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
30 

•S 439 IS

1 (g) PROCEDURES FOR CONSIDERATION OF BUDGET

2 RESOLUTIONS.—Section 305(a)(3) of such Act (2 U.S.C. 

3 636(b)(3)) is amended by striking ‘‘fiscal year’’ and in4 serting ‘‘biennium’’. 

5 (h) COMPLETION OF HOUSE COMMITTEE ACTION ON

6 APPROPRIATION BILLS.—Section 307 of such Act (2 

7 U.S.C. 638) is amended— 

8 (1) by striking ‘‘each year’’ and inserting ‘‘each 

9 odd-numbered year (or, if applicable, as provided by 

10 section 300(b), July 1)’’; 

11 (2) by striking ‘‘annual’’ and inserting ‘‘bien12 nial’’; 

13 (3) by striking ‘‘fiscal year’’ and inserting ‘‘bi14 ennium’’; and 

15 (4) by striking ‘‘that year’’ and inserting ‘‘each 

16 odd-numbered year’’. 

17 (i) COMPLETION OF HOUSE ACTION ON REGULAR

18 APPROPRIATION BILLS.—Section 309 of such Act (2 

19 U.S.C. 640) is amended— 

20 (1) by striking ‘‘It’’ and inserting ‘‘Except 

21 whenever section 300(b) is applicable, it’’; 

22 (2) by inserting ‘‘of any odd-numbered calendar 

23 year’’ after ‘‘July’’; 

24 (3) by striking ‘‘annual’’ and inserting ‘‘bien25 nial’’; and 


rfrederick on DSKD9S0YB1PROD with BILLS
31 

•S 439 IS

1 (4) by striking ‘‘fiscal year’’ and inserting ‘‘bi2 ennium’’. 

3 (j) RECONCILIATION PROCESS.—Section 310 of such 

4 Act (2 U.S.C. 641) is amended— 

5 (1) in subsection (a), in the matter preceding 

6 paragraph (1), by striking ‘‘any fiscal year’’ and in7 serting ‘‘any biennium’’; 

8 (2) in subsection (a)(1), by striking ‘‘such fiscal 

9 year’’ each place it appears and inserting ‘‘any fiscal 

10 year covered by such resolution’’; and 

11 (3) by striking subsection (f) and redesignating 

12 subsection (g) as subsection (f). 

13 (k) SECTION 311 POINT OF ORDER.— 

14 (1) IN THE HOUSE OF REPRESENTATIVES.— 

15 Section 311(a)(1) of such Act (2 U.S.C. 642(a)) is 

16 amended— 

17 (A) by striking ‘‘for a fiscal year’’ and in18 serting ‘‘for a biennium’’; 

19 (B) by striking ‘‘the first fiscal year’’ each 

20 place it appears and inserting ‘‘either fiscal 

21 year of the biennium’’; and 

22 (C) by striking ‘‘that first fiscal year’’ and 

23 inserting ‘‘each fiscal year in the biennium’’. 

24 (2) IN THE SENATE.—Section 311(a)(2) of 

25 such Act is amended— 


rfrederick on DSKD9S0YB1PROD with BILLS
32 

•S 439 IS

1 (A) in subparagraph (A), by striking ‘‘for 

2 the first fiscal year’’ and inserting ‘‘for either 

3 fiscal year of the biennium’’; and 

4 (B) in subparagraph (B)— 

5 (i) by striking ‘‘that first fiscal year’’ 

6 the first place it appears and inserting 

7 ‘‘each fiscal year in the biennium’’; and 

8 (ii) by striking ‘‘that first fiscal year 

9 and the ensuing fiscal years’’ and inserting 

10 ‘‘all fiscal years’’. 

11 (3) SOCIAL SECURITY LEVELS.—Section 

12 311(a)(3) of such Act is amended by— 

13 (A) striking ‘‘for the first fiscal year’’ and 

14 inserting ‘‘each fiscal year in the biennium’’; 

15 and 

16 (B) striking ‘‘that fiscal year and the ensu17 ing fiscal years’’ and inserting ‘‘all fiscal 

18 years’’. 

19 (l) MAXIMUM DEFICIT AMOUNT POINT OF ORDER.— 

20 Section 312(c) of the Congressional Budget Act of 1974 

21 (2 U.S.C. 643) is amended— 

22 (1) by striking ‘‘for a fiscal year’’ and inserting 

23 ‘‘for a biennium’’; 


rfrederick on DSKD9S0YB1PROD with BILLS
33 

•S 439 IS

1 (2) in paragraph (1), by striking ‘‘first fiscal 

2 year’’ and inserting ‘‘either fiscal year in the bien3 nium’’; 

4 (3) in paragraph (2), by striking ‘‘that fiscal 

5 year’’ and inserting ‘‘either fiscal year in the bien6 nium’’; and 

7 (4) in the matter following paragraph (2), by 

8 striking ‘‘that fiscal year’’ and inserting ‘‘the appli9 cable fiscal year’’. 

10 SEC. 204. AMENDMENTS TO RULES OF THE HOUSE OF REP11 RESENTATIVES. 

12 (a) Clause 4(a)(1)(A) of rule X of the Rules of the 

13 House of Representatives is amended by inserting ‘‘odd14 numbered’’ after ‘‘each’’. 

15 (b) Clause 4(a)(4) of rule X of the Rules of the House 

16 of Representatives is amended by striking ‘‘fiscal year’’ 

17 and inserting ‘‘biennium’’. 

18 (c) Clause 4(b)(2) of rule X of the Rules of the House 

19 of Representatives is amended by striking ‘‘each fiscal 

20 year’’ and inserting ‘‘the biennium’’. 

21 (d) Clause 4(b) of rule X of the Rules of the House 

22 of Representatives is amended by striking ‘‘and’’ at the 

23 end of subparagraph (5), by striking the period and insert24 ing ‘‘; and’’ at the end of subparagraph (6), and by adding 

25 at the end the following new subparagraph: 


rfrederick on DSKD9S0YB1PROD with BILLS
34 

•S 439 IS

1 ‘‘(7) use the second session of each Congress to 

2 study issues with long-term budgetary and economic 

3 implications, including holding hearings to receive 

4 testimony from committees of jurisdiction to identify 

5 problem areas and to report on the results of over6 sight; and by January 1 of each odd-number year, 

7 issuing a report to the Speaker which identifies the 

8 key issues facing the Congress in the next bien9 nium.’’. 

10 (e) Clause 4(e) of rule X of the Rules of the House 

11 of Representatives is amended by striking ‘‘annually’’ each 

12 place it appears and inserting ‘‘biennially’’ and by striking 

13 ‘‘annual’’ and inserting ‘‘biennial’’. 

14 (f) Clause 4(f) of rule X of the Rules of the House 

15 of Representatives is amended— 

16 (1) by inserting ‘‘during each odd-numbered 

17 year’’ after ‘‘submits his budget’’; 

18 (2) by striking ‘‘fiscal year’’ the first place it 

19 appears and inserting ‘‘biennium’’; and 

20 (3) by striking ‘‘that fiscal year’’ and inserting 

21 ‘‘each fiscal year in such ensuing biennium’’. 

22 (g) Clause 11(i) of rule X of the Rules of the House 

23 of Representatives is amended by striking ‘‘during the 

24 same or preceding fiscal year’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
35 

•S 439 IS

1 (h) Clause 3(d)(2)(A) of rule XIII of the Rules of 

2 the House of Representatives is amended by striking 

3 ‘‘five’’ both places it appears and inserting ‘‘six’’. 

4 (i) Clause 5(a)(1) of rule XIII of the Rules of the 

5 House of Representatives is amended by striking ‘‘fiscal 

6 year after September 15 in the preceding fiscal year’’ and 

7 inserting ‘‘biennium after September 15 of the calendar 

8 year in which such biennium begins’’. 

9 SEC. 205. TWO-YEAR APPROPRIATIONS; TITLE AND STYLE 

10 OF APPROPRIATION ACTS. 

11 Section 105 of title 1, United States Code, is amend12 ed to read as follows: 

13 ‘‘§ 105. Title and style of appropriations Acts 

14 ‘‘(a) The style and title of all Acts making appropria15 tions for the support of the Government shall be as fol16 lows: ‘An Act making appropriations (here insert the ob17 ject) for each fiscal year in the biennium of fiscal years 

18 (here insert the fiscal years of the biennium).’. 

19 ‘‘(b) All Acts making regular appropriations for the 

20 support of the Government shall be enacted for a biennium 

21 and shall specify the amount of appropriations provided 

22 for each fiscal year in such period. 

23 ‘‘(c) For purposes of this section, the term ‘biennium’ 

24 has the same meaning as in section 3(13) of the CongresVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00035 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
36 

•S 439 IS

1 sional Budget and Impoundment Control Act of 1974 (2 

2 U.S.C. 622(13)).’’. 

3 SEC. 206. MULTIYEAR AUTHORIZATIONS. 

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

5 Budget Act of 1974 (as amended by section 115(a)) is 

6 further amended by adding at the end the following new 

7 section: 

8 ‘‘MULTIYEAR AUTHORIZATIONS OF APPROPRIATIONS

9 ‘‘SEC. 318. (a) It shall not be in order in the House 

10 of Representatives or the Senate to consider any measure 

11 that contains a specific authorization of appropriations for 

12 any purpose unless the measure includes such a specific 

13 authorization of appropriations for that purpose for not 

14 less than each fiscal year in one or more bienniums. 

15 ‘‘(b)(1) For purposes of this section, a specific au16 thorization of appropriations is an authorization for the 

17 enactment of an amount of appropriations or amounts not 

18 to exceed an amount of appropriations (whether stated as 

19 a sum certain, as a limit, or as such sums as may be nec20 essary) for any purpose for a fiscal year. 

21 ‘‘(2) Subsection (a) does not apply with respect to 

22 an authorization of appropriations for a single fiscal year 

23 for any program, project, or activity if the measure con24 taining that authorization includes a provision expressly 

25 stating the following: ‘Congress finds that no authoriza26 tion of appropriation will be required for [Insert name of 


rfrederick on DSKD9S0YB1PROD with BILLS
37 

•S 439 IS

1 applicable program, project, or activity] for any subse2 quent fiscal year.’. 

3 ‘‘(c) For purposes of this section, the term ‘measure’ 

4 means a bill, joint resolution, amendment, motion, or con5 ference report.’’. 

6 (b) AMENDMENT TO TABLE OF CONTENTS.—The 

7 table of contents set forth in section 1(b) of the Congres8 sional Budget and Impoundment Control Act of 1974 is 

9 amended by adding after the item relating to section 317 

10 the following new item: 

‘‘Sec. 318. Multiyear authorizations of appropriations.’’. 

11 SEC. 207. GOVERNMENT STRATEGIC AND PERFORMANCE 

12 PLANS ON A BIENNIAL BASIS. 

13 (a) STRATEGIC PLANS.—Section 306 of title 5, 

14 United States Code, is amended— 

15 (1) in subsection (a), by striking ‘‘September 

16 30, 1997’’ and inserting ‘‘September 30, 2010’’; 

17 (2) in subsection (b)— 

18 (A) by striking ‘‘at least every three years’’ 

19 and all that follows thereafter and inserting ‘‘at 

20 least every 4 years, except that strategic plans 

21 submitted by September 30, 2010, shall be up22 dated and revised by September 30, 2012’’; and 

23 (B) by striking ‘‘five years forward’’ and 

24 inserting ‘‘six years forward’’; and 


rfrederick on DSKD9S0YB1PROD with BILLS
38 

•S 439 IS

1 (3) in subsection (c), by inserting a comma 

2 after ‘‘section’’ the second place it appears and add3 ing ‘‘including a strategic plan submitted by Sep4 tember 30, 2010, meeting the requirements of sub5 section (a)’’. 

6 (b) BUDGET CONTENTS AND SUBMISSION TO CON7 GRESS.—Paragraph (28) of section 1105(a) of title 31, 

8 United States Code, is amended by striking ‘‘beginning 

9 with fiscal year 1999, a’’ and inserting ‘‘beginning with 

10 fiscal year 2012, a biennial’’. 

11 (c) PERFORMANCE PLANS.—Section 1115 of title 31, 

12 United States Code, is amended— 

13 (1) in subsection (a)— 

14 (A) in the matter before paragraph (1) by 

15 striking ‘‘an annual’’ and inserting ‘‘a bien16 nial’’; 

17 (B) in paragraph (1) by inserting after 

18 ‘‘program activity’’ the following: ‘‘for both 

19 years 1 and 2 of the biennial plan’’; 

20 (C) in paragraph (5) by striking ‘‘and’’ 

21 after the semicolon; 

22 (D) in paragraph (6) by striking the period 

23 and inserting a semicolon; and inserting ‘‘and’’ 

24 after the inserted semicolon; and 


rfrederick on DSKD9S0YB1PROD with BILLS
39 

•S 439 IS

1 (E) by adding after paragraph (6) the fol2 lowing: 

3 ‘‘(7) cover each fiscal year of the biennium be4 ginning with the first fiscal year of the next biennial 

5 budget cycle.’’; 

6 (2) in subsection (d) by striking ‘‘annual’’ and 

7 inserting ‘‘biennial’’; and 

8 (3) in paragraph (6) of subsection (g) by strik9 ing ‘‘annual’’ and inserting ‘‘biennial’’. 

10 (d) MANAGERIAL ACCOUNTABILITY AND FLEXI11 BILITY.—Section 9703 of title 31, United States Code, re12 lating to managerial accountability, is amended— 

13 (1) in subsection (a)— 

14 (A) in the first sentence by striking ‘‘an15 nual’’; and 

16 (B) by striking ‘‘section 1105(a)(29)’’ and 

17 inserting ‘‘section 1105(a)(28)’’; 

18 (2) in subsection (e)— 

19 (A) in the first sentence by striking ‘‘one 

20 or’’ before ‘‘two years’’; 

21 (B) in the second sentence by striking ‘‘a 

22 subsequent year’’ and inserting ‘‘for a subse23 quent 2-year period’’; and 

24 (C) in the third sentence by striking 

25 ‘‘three’’ and inserting ‘‘four’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
40 

•S 439 IS

1 (e) STRATEGIC PLANS.—Section 2802 of title 39, 

2 United States Code, is amended— 

3 (1) in subsection (a), by striking ‘‘September 

4 30, 1997’’ and inserting ‘‘September 30, 2010’’; 

5 (2) in subsection (b), by striking ‘‘at least every 

6 three years’’ and inserting ‘‘at least every 4 years 

7 except that strategic plans submitted by September 

8 30, 2010, shall be updated and revised by September 

9 30, 2013’’; 

10 (3) in subsection (b), by striking ‘‘five years 

11 forward’’ and inserting ‘‘six years forward’’; and 

12 (4) in subsection (c), by inserting a comma 

13 after ‘‘section’’ the second place it appears and in14 serting ‘‘including a strategic plan submitted by 

15 September 30, 2010, meeting the requirements of 

16 subsection (a)’’. 

17 (f) PERFORMANCE PLANS.—Section 2803(a) of title 

18 39, United States Code, is amended— 

19 (1) in the matter before paragraph (1), by 

20 striking ‘‘an annual’’ and inserting ‘‘a biennial’’; 

21 (2) in paragraph (1), by inserting after ‘‘pro22 gram activity’’ the following: ‘‘for both years 1 and 

23 2 of the biennial plan’’; 

24 (3) in paragraph (5), by striking ‘‘and’’ after 

25 the semicolon; 


rfrederick on DSKD9S0YB1PROD with BILLS
41 

•S 439 IS

1 (4) in paragraph (6), by striking the period and 

2 inserting ‘‘; and’’; and 

3 (5) by adding after paragraph (6) the following: 

4 ‘‘(7) cover each fiscal year of the biennium be5 ginning with the first fiscal year of the next biennial 

6 budget cycle.’’. 

7 (g) COMMITTEE VIEWS OF PLANS AND REPORTS.— 

8 Section 301(d) of the Congressional Budget Act (2 U.S.C. 

9 632(d)) is amended by adding at the end ‘‘Each committee 

10 of the Senate or the House of Representatives shall review 

11 the strategic plans, performance plans, and performance 

12 reports, required under section 306 of title 5, United 

13 States Code, and sections 1115 and 1116 of title 31, 

14 United States Code, of all agencies under the jurisdiction 

15 of the committee. Each committee may provide its views 

16 on such plans or reports to the Committee on the Budget 

17 of the applicable House.’’. 

18 (h) PROGRAM FORMULAS IN PERFORMANCE

19 PLANS.—Section 1115(b) of title 31, United States Code, 

20 is amended— 

21 (1) in paragraph (9), by striking ‘‘and’’ after 

22 the semicolon; 

23 (2) in paragraph (10), by striking the period 

24 and inserting ‘‘; and’’; and 

25 (3) by inserting at the end the following: 


rfrederick on DSKD9S0YB1PROD with BILLS
42 

•S 439 IS

1 ‘‘(11) a description of the formulas used for the 

2 program and program funding decisions including 

3 the criteria and factors used and the weight given to 

4 each of these factors.’’. 

5 SEC. 208. BIENNIAL APPROPRIATION BILLS. 

6 (a) IN THE HOUSE OF REPRESENTATIVES.—Clause 

7 2(a) of rule XXI of the Rules of the House of Representa8 tives is amended by adding at the end the following new 

9 subparagraph: 

10 ‘‘(3)(A) Except as provided by subdivision (B), an ap11 propriation may not be reported in a general appropriation 

12 bill (other than a supplemental appropriation bill), and 

13 may not be in order as an amendment thereto, unless it 

14 provides new budget authority or establishes a level of ob15 ligations under contract authority for each fiscal year of 

16 a biennium. 

17 ‘‘(B) Subdivision (A) does not apply with respect to 

18 an appropriation for a single fiscal year for any program, 

19 project, or activity if the bill or amendment thereto con20 taining that appropriation includes a provision expressly 

21 stating the following: ‘Congress finds that no additional 

22 funding beyond one fiscal year will be required and the 

23 [Insert name of applicable program, project, or activity] 

24 will be completed or terminated after the amount provided 

25 has been expended.’. 


rfrederick on DSKD9S0YB1PROD with BILLS
43 

•S 439 IS

1 ‘‘(C) For purposes of paragraph (b), the statement 

2 set forth in subdivision (B) with respect to an appropria3 tion for a single fiscal year for any program, project, or 

4 activity may be included in a general appropriation bill 

5 or amendment thereto.’’. 

6 (b) CONFORMING AMENDMENT.—Clause 5(b)(1) of 

7 rule XXII of the House of Representatives is amended by 

8 striking ‘‘or (C)’’ and inserting ‘‘or (3) or 2(C)’’. 

9 SEC. 209. ASSISTANCE BY FEDERAL AGENCIES TO STAND10 ING COMMITTEES OF THE SENATE AND THE 

11 HOUSE OF REPRESENTATIVES. 

12 (a) INFORMATION REGARDING AGENCY APPROPRIA13 TIONS REQUESTS.—To assist each standing committee of 

14 the House of Representatives and the Senate in carrying 

15 out its responsibilities, the head of each Federal agency 

16 which administers the laws or parts of laws under the ju17 risdiction of such committee shall provide to such com18 mittee such studies, information, analyses, reports, and 

19 assistance as may be requested by the chairman and rank20 ing minority member of the committee. 

21 (b) INFORMATION REGARDING AGENCY PROGRAM

22 ADMINISTRATION.—To assist each standing committee of 

23 the House of Representatives and the Senate in carrying 

24 out its responsibilities, the head of any agency shall fur25 nish to such committee documentation, containing inforVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00043 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
44 

•S 439 IS

1 mation received, compiled, or maintained by the agency 

2 as part of the operation or administration of a program, 

3 or specifically compiled pursuant to a request in support 

4 of a review of a program, as may be requested by the 

5 chairman and ranking minority member of such com6 mittee. 

7 (c) SUMMARIES BY COMPTROLLER GENERAL.—With8 in 30 days after the receipt of a request from a chairman 

9 and ranking minority member of a standing committee 

10 having jurisdiction over a program being reviewed and 

11 studied by such committee under this section, the Comp12 troller General of the United States shall furnish to such 

13 committee summaries of any audits or reviews of such pro14 gram which the Comptroller General has completed during 

15 the preceding 6 years. 

16 (d) CONGRESSIONAL ASSISTANCE.—Consistent with 

17 their duties and functions under law, the Comptroller Gen18 eral of the United States, the Director of the Congres19 sional Budget Office, and the Director of the Congres20 sional Research Service shall continue to furnish (con21 sistent with established protocols) to each standing com22 mittee of the House of Representatives or the Senate such 

23 information, studies, analyses, and reports as the chair24 man and ranking minority member may request to assist 


rfrederick on DSKD9S0YB1PROD with BILLS
45 

•S 439 IS

1 the committee in conducting reviews and studies of pro2 grams under this section. 

3 TITLE III—DISCRETIONARY 

4 SPENDING LIMITS 

5 Subtitle A—Spending Limits 

6 SEC. 301. DISCRETIONARY SPENDING LIMITS. 

7 (a) DISCRETIONARY SPENDING LIMITS.—Section 

8 251 of the Balanced Budget and Emergency Deficit Con9 trol of Act of 1985 is amended to read as follows: 

10 ‘‘(a) DISCRETIONARY SPENDING LIMITS.—The total 

11 level of discretionary spending for all non-security discre12 tionary spending programs, projects, and activities means, 

13 in any fiscal year in which there is a deficit through fiscal 

14 year 2021, an amount of non-security discretionary spend15 ing outlays not exceeding the levels for fiscal year 2008 

16 as adjusted for inflation. 

17 ‘‘(b) NON-SECURITY SPENDING.—In this section, the 

18 term non-security discretionary spending means discre19 tionary spending other than spending for the Department 

20 of Defense, the Department of Veterans Affairs, homeland 

21 security activities, and intelligence related activities within 

22 the Department of State. 

23 ‘‘(c) TIMING OF SEQUESTRATION REPORT.—Within 

24 15 calendar days after Congress adjourns to end a session 


rfrederick on DSKD9S0YB1PROD with BILLS
46 

•S 439 IS

1 OMB shall issue a final spending reduction report to re2 duce an excess spending amount. 

3 ‘‘(d) SPENDING REDUCTION ORDER.—A spending re4 duction ordered pursuant to subsection (b) shall be imple5 mented using the procedures set forth in section 256.’’. 

6 (b) CONFORMING AMENDMENT.—The item relating 

7 to section 251 in the table of contents set forth in 250(c) 

8 of the Balanced Budget and Emergency Deficit Control 

9 Act of 1985 is amended to read as follows: 

‘‘Sec. 251. Discretionary spending limits.’’. 

10 Subtitle B—Reports and Orders 

11 SEC. 311. REPORTS AND ORDERS. 

12 Section 254 of the Balanced Budget and Emergency 

13 Deficit Control Act of 1985 is amended to read as follows: 

14 ‘‘SEC. 254. REPORTS AND ORDERS. 

15 ‘‘(a) TIMETABLE.— 

‘‘Date: Action to be completed: 

5 days before the President’s 

budget submission.

CBO sequestration preview report. 

President’s budget submission .. OMB sequestration preview report. 

August 10 .................................. CBO sequestration update report. 

August 20 .................................. OMB sequestration update report. 

10 days after end of session ...... CBO sequestration final report. 

15 days after end of session ...... OMB sequestration final report; Presidential 

order. 

16 ‘‘(b) SUBMISSION AND AVAILABILITY OF REPORTS.— 

17 Each report required by this section shall be submitted 

18 to the Budget Committees of the House of Representatives 

19 and the Senate. On the following day a notice of the report 

20 shall be printed in the Federal Register. 


rfrederick on DSKD9S0YB1PROD with BILLS
47 

•S 439 IS

1 ‘‘(c) SEQUESTRATION PREVIEW REPORTS.— 

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

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

4 issue a preview report regarding discretionary se5 questration based on laws enacted through those 

6 dates. 

7 ‘‘(2) DISCRETIONARY SPENDING LIMIT SEQUES8 TRATION REPORT.—The preview reports shall set 

9 forth estimates for the current year and each subse10 quent year through 2021 of the applicable discre11 tionary spending limits and an explanation of any 

12 adjustments in such limits under section 251. 

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

14 OMB reports shall explain the differences between 

15 OMB and CBO estimates for each item set forth in 

16 this subsection. 

17 ‘‘(d) SEQUESTRATION UPDATE REPORTS.—On the 

18 dates specified in subsection (a), OMB and CBO shall 

19 issue a sequestration update report, reflecting laws en20 acted through those dates, containing all of the informa21 tion required in the sequestration preview reports. 

22 ‘‘(e) FINAL SEQUESTRATION REPORTS.— 

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

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


rfrederick on DSKD9S0YB1PROD with BILLS
48 

•S 439 IS

1 issue a final sequestration report, updated to reflect 

2 laws enacted through those dates. 

3 ‘‘(2) DISCRETIONARY SPENDING SEQUESTRA4 TION REPORTS.—The final reports shall set forth es5 timates for each of the following: 

6 ‘‘(A) For the current year and each subse7 quent year the applicable discretionary spending 

8 limits for each category and an explanation of 

9 any adjustments in such limits under section 

10 251. 

11 ‘‘(B) For the current year and the budget 

12 year the estimated new budget authority and 

13 outlays for each category and the breach, if 

14 any, in each category. 

15 ‘‘(C) For each category for which a seques16 tration is required, the sequestration percent17 ages necessary to achieve the required reduc18 tion. 

19 ‘‘(D) For the budget year, for each ac20 count to be sequestered, estimates of the base21 line level of budgetary resources subject to se22 questration and resulting outlays and the 

23 amount of budgetary resources to be seques24 tered and resulting outlay reductions. 


rfrederick on DSKD9S0YB1PROD with BILLS
49 

•S 439 IS

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

2 OMB report shall explain any differences between 

3 OMB and CBO estimates of the amount of any re4 quired sequestration percentage. The OMB report 

5 shall also explain differences in the amount of 

6 sequesterable resources for any budget account to be 

7 reduced if such difference is greater than 

8 $5,000,000. 

9 ‘‘(4) PRESIDENTIAL ORDER.—On the date spec10 ified in subsection (a), if in its final sequestration 

11 report OMB estimates that any sequestration is re12 quired, the President shall issue an order fully im13 plementing without change all sequestrations re14 quired by the OMB calculations set forth in that re15 port. This order shall be effective on issuance. 

16 ‘‘(f) WITHIN-SESSION SEQUESTRATION REPORTS.— 

17 If an appropriation for a fiscal year in progress is enacted 

18 (after Congress adjourns to end the session for that budg19 et year and before July 1 of that fiscal year) that causes 

20 a breach, 10 days later CBO shall issue a report con21 taining the information required in subsection (e)(2). Fif22 teen days after enactment, OMB shall issue a report con23 taining the information required in subsections (e)(2) and 

24 (e)(4). On the same day as the OMB report, the President 

25 shall issue an order fully implementing without change all 


rfrederick on DSKD9S0YB1PROD with BILLS
50 

•S 439 IS

1 sequestrations required by the OMB calculations set forth 

2 in that report. This order shall be effective on issuance. 

3 ‘‘(g) GAO COMPLIANCE REPORT.—Upon request of 

4 the Committee on the Budget of the House of Representa5 tives or the Senate, the Comptroller General shall submit 

6 to the Congress and the President a report on— 

7 ‘‘(1) the extent to which each order issued by 

8 the President under this section complies with all of 

9 the requirements contained in this part, either certi10 fying that the order fully and accurately complies 

11 with such requirements or indicating the respects in 

12 which it does not; and 

13 ‘‘(2) the extent to which each report issued by 

14 OMB or CBO under this section complies with all of 

15 the requirements contained in this part, either certi16 fying that the report fully and accurately complies 

17 with such requirements or indicating the respects in 

18 which it does not. 

19 ‘‘(h) LOW-GROWTH REPORT.—At any time, CBO 

20 shall notify the Congress if— 

21 ‘‘(1) during the period consisting of the quarter 

22 during which such notification is given, the quarter 

23 preceding such notification, and the 4 quarters fol24 lowing such notification, CBO or OMB has deter25 mined that real economic growth is projected or estiVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00050 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
51 

•S 439 IS

1 mated to be less than zero with respect to each of 

2 any 2 consecutive quarters within such period; or 

3 ‘‘(2) the most recent of the Department of 

4 Commerce’s advance preliminary or final reports of 

5 actual real economic growth indicate that the rate of 

6 real economic growth for each of the most recently 

7 reported quarter and the immediately preceding 

8 quarter is less than one percent. 

9 ‘‘(i) ECONOMIC AND TECHNICAL ASSUMPTIONS.—In 

10 all reports required by this section, OMB shall use the 

11 same economic and technical assumptions as used in the 

12 most recent budget submitted by the President under sec13 tion 1105(a) of title 31, United States Code’’. 

14 SEC. 312. SPENDING LIMITS ENFORCEMENT. 

15 (a) CONFORMING AMENDMENTS TO SECTION 312.— 

16 Section 312 of the Congressional Budget Act of 1974 is 

17 amended— 

18 (1) by striking subsection (a) and inserting the 

19 following: 

20 ‘‘(a) BUDGET COMMITTEE DETERMINATIONS.—For 

21 purposes of this title, the levels of new budget authority, 

22 outlays, direct spending, deficits, revenues, and debt, or 

23 the increases or decreases of such levels for purpose of 

24 section 303, shall be determined on the basis of estimates 


rfrederick on DSKD9S0YB1PROD with BILLS
52 

•S 439 IS

1 made by the Committee on the Budget of the House of 

2 Representatives or the Senate, as applicable.’’; and 

3 (2) by striking subsections (b) and (c) and re4 designating subsections (d), (e), and (f) as (h), (i), 

5 and (j). 

6 (b) ENFORCEMENT AMENDMENTS TO SECTION

7 312.—Section 312 of the Congressional Budget Act of 

8 1974 is further amended by adding at the end the fol9 lowing new subsections after subsection (a): 

10 ‘‘(b) DISCRETIONARY SPENDING LIMIT POINT OF

11 ORDER.—It shall not be in order in the House of Rep12 resentatives or the Senate to consider any bill, joint resolu13 tion, amendment, concurrent resolution, or conference re14 port that— 

15 ‘‘(1) causes the discretionary spending limits 

16 for the budget year to be breached; 

17 ‘‘(2) increases the discretionary spending limits 

18 for the budget year or any ensuing fiscal year; or 

19 ‘‘(3) includes any provision that has the effect 

20 of modifying the application of section 251 of the 

21 Balanced Budget and Emergency Deficit Control 

22 Act of 1985. 

23 ‘‘(c) SEQUESTRATION APPLICATION.—It shall not be 

24 in order in the House of Representatives or the Senate 


rfrederick on DSKD9S0YB1PROD with BILLS
53 

•S 439 IS

1 to consider any bill, joint resolution, amendment, concur2 rent resolution, or conference report that— 

3 ‘‘(1) includes any provision that has the effect 

4 of modifying the application of section 256 of the 

5 Balanced Budget and Emergency Deficit Control 

6 Act of 1985 to any program subject to sequestration 

7 or exempt from sequestration; and 

8 ‘‘(2) includes any provision that has the effect 

9 of modifying the application of section 251 to any 

10 program subject to sequestration or exempt from se11 questration. 

12 ‘‘(d) WAIVER OR SUSPENSION.—The provisions of 

13 this section may be waived or suspended: 

14 ‘‘(1) IN THE SENATE.—In the Senate only by 

15 the affirmative vote of three-fifths of the Members, 

16 duly chosen and sworn. 

17 ‘‘(2) IN THE HOUSE OF REPRESENTATIVES.—In 

18 the House of Representatives: 

19 ‘‘(A) Only by a rule or order proposing 

20 only to waive such provisions by an affirmative 

21 vote of two-thirds of the Members, duly chosen 

22 and sworn. 

23 ‘‘(B) It shall not be in order to consider a 

24 rule or order that waives the application of sub25 paragraph (A). 


rfrederick on DSKD9S0YB1PROD with BILLS
54 

•S 439 IS

1 ‘‘(C) It shall not be in order for the Speak2 er to entertain a motion to suspend the applica3 tion of this section under clause 1 of rule XV 

4 of the Rules of the House of Representatives.’’. 

5 SEC. 313. SPENDING REDUCTION ORDER. 

6 (a) IN GENERAL.—Section 256 of the Balanced 

7 Budget and Emergency Deficit Control Act of 1985 is 

8 amended to read as follows: 

9 ‘‘SEC. 256. SPENDING REDUCTION ORDER. 

10 ‘‘(a) APPLICATION.—A spending reduction order 

11 issued pursuant to this part shall apply to eliminate 

12 breaches of the limits set forth in sections 251 (discre13 tionary spending limits). 

14 ‘‘(b) GENERAL RULES.—OMB shall include in its 

15 final spending sequestration report a requirement that 

16 each nonexempt spending account shall be reduced by an 

17 amount of budget authority calculated by multiplying the 

18 baseline level of budgetary resources in that account at 

19 that time by the uniform percentage necessary to reduce 

20 outlays sufficient to eliminate an excess spending amount. 

21 ‘‘(c) DISCRETIONARY SPENDING SEQUESTRATION.— 

22 ‘‘(1) ELIMINATING A BREACH.—Each non23 exempt account shall be reduced by an amount of 

24 budget authority calculated by multiplying the base25 line level of budgetary resources subject to sequesVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00054 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
55 

•S 439 IS

1 tration in that account at that time by the uniform 

2 percentage necessary to eliminate a breach by— 

3 ‘‘(A) first, calculating the uniform percent4 age necessary to eliminate a breach in new 

5 budget authority, if any, and 

6 ‘‘(B) second, if any breach in outlays re7 mains, increasing the uniform percentage to a 

8 level sufficient to eliminate that breach. 

9 ‘‘(2) EMERGENCY SPENDING ABOVE THE RE10 SERVE FUND.—An amount of budget authority and 

11 the outlays flowing therefrom designated in statute 

12 as an emergency that is above level in the emergency 

13 reserve fund as calculated in Section 317(b) of the 

14 Congressional Budget Act of 1974 shall count to15 ward the discretionary spending limits. 

16 ‘‘(3) PART-YEAR APPROPRIATIONS.—If, on the 

17 date specified in paragraph (1), there is in effect an 

18 Act making or continuing appropriations for part of 

19 a fiscal year for any budget account, then the dollar 

20 sequestration calculated for that account under 

21 paragraph (2) shall be subtracted from—(A) the 

22 annualized amount otherwise available by law in that 

23 account under that or a subsequent part-year appro24 priation; and (B) when a full-year appropriation for 


rfrederick on DSKD9S0YB1PROD with BILLS
56 

•S 439 IS

1 that account is enacted, from the amount otherwise 

2 provided by the full year appropriation. 

3 ‘‘(4) LOOK-BACK.—If, after June 30, an appro4 priation for the fiscal year in progress is enacted 

5 that causes a breach for that year, the discretionary 

6 spending limits for the next fiscal year shall be re7 duced by the amount of the breach. 

8 ‘‘(5) WITHIN-SESSION SEQUESTRATION.—If an 

9 appropriation for a fiscal year in progress is enacted 

10 (after Congress adjourns to end the session for that 

11 budget year and before July 1 of that fiscal year) 

12 that causes a breach for that year (after taking into 

13 account any prior sequestration of amounts), 15 

14 days later there shall be a sequestration to eliminate 

15 that breach following the procedures set forth in 

16 paragraphs (2) through (3). 

17 ‘‘(6) ESTIMATES.— 

18 ‘‘(A) CBO ESTIMATES.—As soon as prac19 ticable after Congress completes action on any 

20 discretionary appropriation, CBO, after con21 sultation with the Committees on the Budget of 

22 the House of Representatives and the Senate, 

23 shall provide OMB with an estimate of the 

24 amount of discretionary new budget authority 


rfrederick on DSKD9S0YB1PROD with BILLS
57 

•S 439 IS

1 and outlays for the current year (if any) and 

2 the budget year provided by that legislation. 

3 ‘‘(B) OMB ESTIMATES.—Not later than 

4 seven calendar days (excluding Saturdays, Sun5 days, and legal holidays) after the date of en6 actment of any discretionary appropriation, 

7 OMB shall transmit a report to the House of 

8 Representatives and to the Senate containing 

9 the CBO estimate of that legislation, an OMB 

10 estimate of the amount of discretionary new 

11 budget authority and outlays for the current 

12 year (if any) and the budget year provided by 

13 that legislation, and an explanation of any dif14 ference between the two estimates. 

15 ‘‘(C) EXPLANATION OF DIFFERENCES BE16 TWEEN OMB AND CBO ESTIMATES.—If OMB 

17 determines that there is a significant difference 

18 between OMB and CBO reports prepared pur19 suant to subparagraph (A) and (B), OMB shall 

20 consult with the Committees on the Budget of 

21 the House of Representatives and the Senate 

22 regarding that difference and that consultation 

23 shall include, to extent practicable, written com24 munication to those committees that affords 


rfrederick on DSKD9S0YB1PROD with BILLS
58 

•S 439 IS

1 such committees the opportunity to comment 

2 before the issuance of the report. 

3 ‘‘(D) ASSUMPTIONS AND GUIDELINES.— 

4 OMB estimates under this paragraph shall be 

5 made using current economic and technical as6 sumptions. OMB shall use the OMB estimates 

7 transmitted to the Congress under this para8 graph. OMB and CBO shall prepare estimates 

9 under this paragraph in conformance with 

10 scorekeeping guidelines determined after con11 sultation among the House of Representatives 

12 and Senate Committees on the Budget, CBO, 

13 and OMB. 

14 ‘‘(E) ANNUAL APPROPRIATIONS.—For pur15 poses of this paragraph, amounts provided by 

16 annual appropriations shall include any new 

17 budget authority and outlays for the current 

18 year (if any) and the budget year in accounts 

19 for which funding is provided in that legislation 

20 that result from previously enacted legislation. 

21 ‘‘(d) DISCRETIONARY SEQUESTRATION LIMITA22 TION.—If appropriations for a fiscal year do not require 

23 a sequester pursuant to the discretionary spending limits 

24 set forth in this Act, discretionary accounts shall not be 


rfrederick on DSKD9S0YB1PROD with BILLS
59 

•S 439 IS

1 subject to sequestration under sections 252A, 252B, or 

2 253. 

3 ‘‘(e) EXPEDITED CONSIDERATION OF SPENDING RE4 DUCTION BILL.— 

5 ‘‘(1) INTRODUCTION.— 

6 ‘‘(A) RECONVENING.— 

7 ‘‘(i) IN THE HOUSE OF REPRESENTA8 TIVES.—Upon receipt of a spending reduc9 tion bill (referred to in this section as a 

10 ‘spending reduction bill’) under section 

11 252A(b), the Speaker, if the House would 

12 otherwise be adjourned, shall notify the 

13 Members of the House that, pursuant to 

14 this subsection, the House shall convene 

15 not later than two weeks after the receipt 

16 of the spending reduction bill. 

17 ‘‘(ii) IN THE SENATE.— 

18 ‘‘(I) CONVENING.—Upon receipt 

19 of a spending reduction bill, if the 

20 Senate has adjourned or recessed for 

21 more than 2 days, the majority leader 

22 of the Senate, after consultation with 

23 the minority leader of the Senate, 

24 shall notify the Members of the Sen25 ate that, pursuant to this section, the 


rfrederick on DSKD9S0YB1PROD with BILLS
60 

•S 439 IS

1 Senate shall convene not later two 

2 weeks after receipt of the spending re3 duction bill. 

4 ‘‘(II) ADJOURNING.—No concur5 rent resolution adjourning the Senate 

6 for more than 3 days shall be in order 

7 until the Senate votes on passage of 

8 the spending reduction bill. 

9 ‘‘(B) INTRODUCTION OF SPENDING REDUC10 TION BILL.—The spending reduction bill, upon 

11 receipt by the Congress, shall be introduced not 

12 later two weeks after the receipt of the spend13 ing reduction bill, in the Senate and in the 

14 House of Representatives by the majority leader 

15 of each House of Congress, for himself, the mi16 nority leader of each House of Congress, for 

17 himself, or any member of the House des18 ignated by the majority leader or minority lead19 er. If the spending reduction bill is not intro20 duced in accordance with the preceding sen21 tence in either House of Congress, then any 

22 Member of that House may introduce the 

23 spending reduction bill on any day thereafter. 

24 Upon introduction, the spending reduction bill 


rfrederick on DSKD9S0YB1PROD with BILLS
61 

•S 439 IS

1 shall be referred to the appropriate committees 

2 under subparagraph (C). 

3 ‘‘(C) COMMITTEE CONSIDERATION.—A 

4 spending reduction bill introduced in either 

5 House of Congress shall be jointly referred to 

6 the committee or committees of jurisdiction and 

7 the Committee on the Budget of that House, 

8 which committees shall report the bill without 

9 any revision and with a favorable recommenda10 tion, an unfavorable recommendation, or with11 out recommendation, not later than 7 calendar 

12 days after the date of introduction of the bill in 

13 that House, or the first day thereafter on which 

14 that House is in session. If any committee fails 

15 to report the bill within that period, that com16 mittee shall be automatically discharged from 

17 consideration of the bill, and the bill shall be 

18 placed on the appropriate calendar. 

19 ‘‘(2) EXPEDITED PROCEDURES.— 

20 ‘‘(A) FAST TRACK CONSIDERATION IN

21 HOUSE OF REPRESENTATIVES.— 

22 ‘‘(i) PROCEEDING TO CONSIDER23 ATION.—It shall be in order, not later than 

24 2 days of session after the date on which 

25 a spending reduction bill is reported or disVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00061 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
62 

•S 439 IS

1 charged from all committees to which it 

2 was referred, for the majority leader of the 

3 House of Representatives or the majority 

4 leader’s designee, to move to proceed to 

5 the consideration of the spending reduction 

6 bills. It shall also be in order for any Mem7 ber of the House of Representatives to 

8 move to proceed to the consideration of the 

9 spending reduction bills at any time after 

10 the conclusion of such 2-day period. All 

11 points of order against the motion are 

12 waived. Such a motion shall not be in 

13 order after the House has disposed of a 

14 motion to proceed on the spending reduc15 tion bills. The previous question shall be 

16 considered as ordered on the motion to its 

17 adoption without intervening motion. The 

18 motion shall not be debatable. A motion to 

19 reconsider the vote by which the motion is 

20 disposed of shall not be in order. 

21 ‘‘(ii) CONSIDERATION.—A spending 

22 reduction bill shall be considered as read. 

23 All points of order against a spending re24 duction bill and against its consideration 

25 are waived. The previous question shall be 


rfrederick on DSKD9S0YB1PROD with BILLS
63 

•S 439 IS

1 considered as ordered on a spending reduc2 tion bill to its passage without intervening 

3 motion except 100 hours of debate equally 

4 divided and controlled by the proponent 

5 and an opponent, and any motion to limit 

6 debate. A motion to reconsider the vote on 

7 passage of a spending reduction bill shall 

8 not be in order. 

9 ‘‘(iii) APPEALS.—Appeals from deci10 sions of the chair relating to the applica11 tion of the Rules of the House of Rep12 resentatives to the procedure relating to a 

13 spending reduction bill shall be decided 

14 without debate. 

15 ‘‘(iv) APPLICATION OF HOUSE

16 RULES.—Except to the extent specifically 

17 provided in paragraph (2)(A), consider18 ation of a spending reduction bill shall be 

19 governed by the Rules of the House of 

20 Representatives. It shall not be in order in 

21 the House of Representatives to consider 

22 any spending reduction bill introduced pur23 suant to the provisions of this subsection 

24 under a suspension of the rules pursuant 

25 to Clause 1 of House Rule XV, or under 


rfrederick on DSKD9S0YB1PROD with BILLS
64 

•S 439 IS

1 a special rule reported by the House Com2 mittee on Rules. 

3 ‘‘(v) NO AMENDMENTS.—No amend4 ment to a spending reduction bill shall be 

5 in order in the House of Representatives. 

6 ‘‘(vi) VOTE ON PASSAGE.—Imme7 diately following the conclusion of consider8 ation of a spending reduction bill, the vote 

9 on passage of a spending reduction bill 

10 shall occur without any intervening action 

11 or motion, requiring an affirmative vote of 

12 the majority of the Members, duly chosen 

13 and sworn. If the spending reduction bill is 

14 passed, the Clerk of the House of Rep15 resentatives shall cause the bill to be trans16 mitted to the Senate before the close of the 

17 next day of session of the House. The vote 

18 on passage on both spending reduction 

19 bills shall occur not later than 1 month 

20 after the date on which a spending reduc21 tion bill is reported or discharged from all 

22 committees to which it was referred. 

23 ‘‘(vii) VOTE.—The House Committee 

24 on Rules may not report a rule or order 

25 that would have the effect of causing a 


rfrederick on DSKD9S0YB1PROD with BILLS
65 

•S 439 IS

1 spending reduction bill to be approved by 

2 a vote of less than the majority of the 

3 Members, duly chosen and sworn. 

4 ‘‘(B) FAST TRACK CONSIDERATION IN SEN5 ATE.— 

6 ‘‘(i) IN GENERAL.—Notwithstanding 

7 Rule XXII of the Standing Rules of the 

8 Senate, it is in order, not later than 2 days 

9 of session after the date on which a spend10 ing reduction bill is reported or discharged 

11 from all committees to which it was re12 ferred, for the majority leader of the Sen13 ate or the majority leader’s designee to 

14 move to proceed to the consideration of a 

15 spending reduction bill. It shall also be in 

16 order for any Member of the Senate to 

17 move to proceed to the consideration of a 

18 spending reduction bill at any time after 

19 the conclusion of such 2-day period. A mo20 tion to proceed is in order even though a 

21 previous motion to the same effect has 

22 been disagreed to. All points of order 

23 against the motion to proceed to a spend24 ing reduction bill are waived. The motion 

25 to proceed is not debatable. The motion is 


rfrederick on DSKD9S0YB1PROD with BILLS
66 

•S 439 IS

1 not subject to a motion to postpone. A mo2 tion to reconsider the vote by which the 

3 motion is agreed to or disagreed to shall 

4 not be in order. If a motion to proceed to 

5 the consideration of a spending reduction 

6 bill is agreed to, the spending reduction bill 

7 shall remain the unfinished business until 

8 disposed of. 

9 ‘‘(ii) DEBATE.—All points of order 

10 against a spending reduction bill and 

11 against consideration of a spending reduc12 tion bill are waived. Consideration of a 

13 spending reduction bill and of all debatable 

14 motions and appeals in connection there15 with shall not exceed a total of 100 hours. 

16 Debate shall be divided equally between 

17 the majority and minority leaders or their 

18 designees. A motion further to limit debate 

19 on a spending reduction bill is in order, 

20 shall require an affirmative vote of the ma21 jority of the Members duly chosen and 

22 sworn, and is not debatable. Any debatable 

23 motion or appeal is debatable for not to ex24 ceed 1 hour, to be divided equally between 

25 those favoring and those opposing the moVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00066 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
67 

•S 439 IS

1 tion or appeal. All time used for consider2 ation of a spending reduction bill, includ3 ing time used for quorum calls and voting, 

4 shall be counted against the total 100 

5 hours of consideration. 

6 ‘‘(iii) NO AMENDMENTS.—An amend7 ment to a spending reduction bill, or a mo8 tion to postpone, or a motion to proceed to 

9 the consideration of other business, or a 

10 motion to recommit the spending reduction 

11 bill, is not in order. 

12 ‘‘(iv) VOTE ON PASSAGE.—The vote 

13 on passage shall occur immediately fol14 lowing the conclusion of the debate on a 

15 spending reduction bill, and a single 

16 quorum call at the conclusion of the debate 

17 if requested. Passage shall require an af18 firmative vote of the majority of the Mem19 bers, duly chosen and sworn. The vote on 

20 passage shall of both spending reduction 

21 bills shall occur not later than 1 month 

22 after the date on which a spending reduc23 tion bill is reported or discharged from all 

24 committees to which it was referred. 


rfrederick on DSKD9S0YB1PROD with BILLS
68 

•S 439 IS

1 ‘‘(v) ADJOURNMENT.—If, after 1 

2 month from the date on which a spending 

3 reduction bill is reported or discharged 

4 from all committees to which it was re5 ferred, either House has failed to adopt a 

6 motion to proceed to the spending reduc7 tion bill, paragraph (1)(A)(ii)(II) shall not 

8 apply. 

9 ‘‘(vi) RULINGS OF THE CHAIR ON

10 PROCEDURE.—Appeals from the decisions 

11 of the Chair relating to the application of 

12 the rules of the Senate, as the case may 

13 be, to the procedure relating to a spending 

14 reduction bill shall be decided without de15 bate. 

16 ‘‘(C) RULES TO COORDINATE ACTION WITH

17 OTHER HOUSE.— 

18 ‘‘(i) REFERRAL.—If, before the pas19 sage by 1 House of a spending reduction 

20 bill of that House, that House receives 

21 from the other House a spending reduction 

22 bill, then the spending reduction bill of the 

23 other House shall not be referred to a com24 mittee and shall immediately be placed on 

25 the calendar. 


rfrederick on DSKD9S0YB1PROD with BILLS
69 

•S 439 IS

1 ‘‘(ii) PROCEDURE.—If the Senate re2 ceives the spending reduction bill passed by 

3 the House of Representatives before the 

4 Senate has voted on passage of the spend5 ing reduction bill— 

6 ‘‘(I) the procedure in the Senate 

7 shall be the same as if no spending re8 duction bill had been received from 

9 House of Representatives; and 

10 ‘‘(II) the vote on passage in the 

11 Senate shall be on the spending re12 duction bill of the House of Rep13 resentatives. 

14 ‘‘(iii) TREATMENT OF SPENDING RE15 DUCTION BILL OF OTHER HOUSE.—If 1 

16 House fails to introduce or consider a 

17 spending reduction bill under this section, 

18 the spending reduction bill of the other 

19 House shall be entitled to expedited floor 

20 procedures under this section. 

21 ‘‘(iv) TREATMENT OF COMPANION

22 MEASURES IN THE SENATE.—If following 

23 passage of the spending reduction bill in 

24 the Senate, the Senate then receives the 

25 spending reduction bill from the House of 


rfrederick on DSKD9S0YB1PROD with BILLS
70 

•S 439 IS

1 Representatives, the House-passed spend2 ing reduction bill shall not be debatable. 

3 The vote on passage of the spending reduc4 tion bill in the Senate shall be considered 

5 to be the vote on passage of the spending 

6 reduction bill received from the House of 

7 Representatives. 

8 ‘‘(v) VETOES.—If the President vetoes 

9 the spending reduction bill, debate on a 

10 veto message in the Senate under this sec11 tion shall be 1 hour equally divided be12 tween the majority and minority leaders or 

13 their designees. 

14 ‘‘(3) SUSPENSION.—No motion to suspend the 

15 application of this subsection shall be in order in the 

16 Senate or in the House of Representatives.’’. 

17 (b) LOW-GROWTH AMENDMENT.—Amend section 

18 258(b) of the Balanced Budget and Emergency Deficit 

19 Control Act of 1985 to read as follows: 

20 ‘‘(b) SUSPENSION OF SEQUESTRATION PROCE21 DURES.—Upon the enactment of a declaration of war or 

22 a joint resolution described in subsection (a)— 

23 ‘‘(1) the subsequent issuance of any sequestra24 tion report to enforce the spending limits in section 


rfrederick on DSKD9S0YB1PROD with BILLS
71 

•S 439 IS

1 252B or the Deficit Limits in section 253 order is 

2 precluded; 

3 ‘‘(2) sections 302(f), 310(d), 311(a), of the 

4 Congressional Budget Act of 1974 are suspended; 

5 and 

6 ‘‘(3) section 1103 of title 31, United States 

7 Code, is suspended.’’. 

8 (c) TECHNICAL AND CONFORMING AMENDMENTS.— 

9 (1) REPEALS.—Section 255 of the Balanced Budget and 

10 Emergency Deficit Control Act of 1985 is repealed. 

11 (2) CONFORMING AMENDMENT.—The item relating 

12 to section 256 in the table of contents set forth in section 

13 250(a) of the Balanced Budget and Emergency Deficit 

14 Control Act of 1985 is amended to read as follows: 

‘‘Sec. 256. Spending reduction order.’’. 

15 TITLE IV—LEGISLATIVE LINE16 ITEM VETO 

17 SEC. 401. SHORT TITLE. 

18 This subtitle may be cited as the ‘‘Legislative Line19 Item Veto Act of 2011’’. 

20 SEC. 402. LEGISLATIVE LINE-ITEM VETO. 

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

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

23 621 et seq.) is amended by striking all of part B (except 

24 for sections 1016 and 1013, which are redesignated as secVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00071 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
72 

•S 439 IS

1 tions 1020 and 1021, respectively) and part C and insert2 ing the following: 

3 ‘‘PART B—LEGISLATIVE LINE-ITEM VETO

4 ‘‘LINE-ITEM VETO AUTHORITY

5 ‘‘SEC. 1011. (a) PROPOSED CANCELLATIONS.—With6 in 45 calendar days after the enactment of any bill or joint 

7 resolution providing any discretionary budget authority, 

8 item of direct spending, limited tariff benefit, or targeted 

9 tax benefit, the President may propose, in the manner pro10 vided in subsection (b), the cancellation of any dollar 

11 amount of such discretionary budget authority, item of di12 rect spending, or targeted tax benefit. If the 45 calendar13 day period expires during a period where either House of 

14 Congress stands adjourned sine die at the end of a Con15 gress or for a period greater than 45 calendar days, the 

16 President may propose a cancellation under this section 

17 and transmit a special message under subsection (b) on 

18 the first calendar day of session following such a period 

19 of adjournment. 

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

21 ‘‘(1) SPECIAL MESSAGE.— 

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

23 transmit to the Congress a special message pro24 posing to cancel any dollar amounts of discre25 tionary budget authority, items of direct spendVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00072 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
73 

•S 439 IS

1 ing, limited tariff benefits, or targeted tax bene2 fits. 

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

4 Each special message shall specify, with respect 

5 to the discretionary budget authority, items of 

6 direct spending proposed, limited tariff benefits, 

7 or targeted tax benefits to be canceled— 

8 ‘‘(i) the dollar amount of discretionary 

9 budget authority, the specific item of direct 

10 spending (that OMB, after consultation 

11 with CBO, estimates to increase budget 

12 authority or outlays as required by section 

13 1017(9)), the limited tariff benefit, or the 

14 targeted tax benefit that the President pro15 poses be canceled; 

16 ‘‘(ii) any account, department, or es17 tablishment of the Government to which 

18 such discretionary budget authority is 

19 available for obligation, and the specific 

20 project or governmental functions involved; 

21 ‘‘(iii) the reasons why such discre22 tionary budget authority, item of direct 

23 spending, limited tariff benefit, or targeted 

24 tax benefit should be canceled; 


rfrederick on DSKD9S0YB1PROD with BILLS
74 

•S 439 IS

1 ‘‘(iv) to the maximum extent prac2 ticable, the estimated fiscal, economic, and 

3 budgetary effect (including the effect on 

4 outlays and receipts in each fiscal year) of 

5 the proposed cancellation; 

6 ‘‘(v) to the maximum extent prac7 ticable, all facts, circumstances, and con8 siderations relating to or bearing upon the 

9 proposed cancellation and the decision to 

10 propose the cancellation, and the estimated 

11 effect of the proposed cancellation upon 

12 the objects, purposes, or programs for 

13 which the discretionary budget authority, 

14 item of direct spending, limited tariff ben15 efit, or the targeted tax benefit is provided; 

16 ‘‘(vi) a numbered list of cancellations 

17 to be included in an approval bill that, if 

18 enacted, cancels discretionary budget au19 thority, items of direct spending, limited 

20 tariff benefit, or targeted tax benefits pro21 posed in that special message; and 

22 ‘‘(vii) if the special message is trans23 mitted subsequent to or at the same time 

24 as another special message, a detailed ex25 planation why the proposed cancellations 


rfrederick on DSKD9S0YB1PROD with BILLS
75 

•S 439 IS

1 are not substantially similar to any other 

2 proposed cancellation in such other mes3 sage. 

4 ‘‘(C) DUPLICATIVE PROPOSALS PROHIB5 ITED.—The President may not propose to can6 cel the same or substantially similar discre7 tionary budget authority, item of direct spend8 ing, limited tariff benefit, or targeted tax ben9 efit more than one time under this Act. 

10 ‘‘(D) MAXIMUM NUMBER OF SPECIAL MES11 SAGES.—The President may not transmit to the 

12 Congress more than 5 special messages under 

13 this subsection related to any bill or joint reso14 lution described in subsection (a), but may 

15 transmit not more than 10 special messages for 

16 any omnibus budget reconciliation or appropria17 tion measure. 

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

19 ‘‘(A) DEFICIT REDUCTION.—Amounts of 

20 budget authority, items of direct spending, lim21 ited tariff benefit, or targeted tax benefits 

22 which are canceled pursuant to enactment of a 

23 bill as provided under this section shall be dedi24 cated only to reducing the deficit or increasing 

25 the surplus. 


rfrederick on DSKD9S0YB1PROD with BILLS
76 

•S 439 IS

1 ‘‘(B) ADJUSTMENT OF LEVELS IN THE

2 JOINT RESOLUTION ON THE BUDGET.—Not 

3 later than 5 days after the date of enactment 

4 of an approval bill as provided under this sec5 tion, the chairs of the Committees on the Budg6 et of the Senate and the House of Representa7 tives shall revise allocations and aggregates and 

8 other appropriate levels under the appropriate 

9 joint resolution on the budget to reflect the can10 cellation, and the applicable committees shall 

11 report revised suballocations pursuant to sec12 tion 302(b), as appropriate. 

13 ‘‘(C) ADJUSTMENTS TO STATUTORY LIM14 ITS.—After enactment of an approval bill as 

15 provided under this section, the Office of Man16 agement and Budget shall revise applicable lim17 its under the Balanced Budget and Emergency 

18 Deficit Control Act of 1985, as appropriate. 

19 ‘‘(D) TRUST FUNDS AND SPECIAL

20 FUNDS.—Notwithstanding subparagraph (A), 

21 nothing in this part shall be construed to re22 quire or allow the deposit of amounts derived 

23 from a trust fund or special fund which are 

24 canceled pursuant to enactment of a bill as pro25 vided under this section to any other fund. 


rfrederick on DSKD9S0YB1PROD with BILLS
77 

•S 439 IS

1 ‘‘PROCEDURES FOR EXPEDITED CONSIDERATION

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

3 ‘‘(1) IN GENERAL.—The majority leader or mi4 nority leader of each House or his designee shall (by 

5 request) introduce an approval bill as defined in sec6 tion 1017 not later than the third day of session of 

7 that House after the date of receipt of a special mes8 sage transmitted to the Congress under section 

9 1011(b). If the bill is not introduced as provided in 

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

11 fourth day of session of that House after the date 

12 of receipt of the special message, any Member of 

13 that House may introduce the bill. 

14 ‘‘(2) CONSIDERATION IN THE HOUSE OF REP15 RESENTATIVES.— 

16 ‘‘(A) REFERRAL AND REPORTING.—Any 

17 committee of the House of Representatives to 

18 which an approval bill is referred shall report it 

19 to the House of Representatives without amend20 ment not later than the seventh legislative day 

21 after the date of its introduction. If a com22 mittee fails to report the bill within that period 

23 or the House of Representatives has adopted a 

24 joint resolution providing for adjournment sine 

25 die at the end of a Congress, such committee 


rfrederick on DSKD9S0YB1PROD with BILLS
78 

•S 439 IS

1 shall be automatically discharged from further 

2 consideration of the bill and it shall be placed 

3 on the appropriate calendar. 

4 ‘‘(B) PROCEEDING TO CONSIDERATION.— 

5 After an approval bill is reported by or dis6 charged from committee or the House of Rep7 resentatives has adopted a joint resolution pro8 viding for adjournment sine die at the end of a 

9 Congress, it shall be in order to move to pro10 ceed to consider the approval bill in the House 

11 of Representatives within two legislative days 

12 after the day on which the proponent announces 

13 his intention to offer the motion. Such a motion 

14 shall not be in order after the House of Rep15 resentatives has disposed of a motion to proceed 

16 with respect to that special message. The pre17 vious question shall be considered as ordered on 

18 the motion to its adoption without intervening 

19 motion. A motion to reconsider the vote by 

20 which the motion is disposed of shall not be in 

21 order. 

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

23 shall be considered as read. All points of order 

24 against an approval bill and against its consid25 eration are waived. The previous question shall 


rfrederick on DSKD9S0YB1PROD with BILLS
79 

•S 439 IS

1 be considered as ordered on an approval bill to 

2 its passage without intervening motion except 

3 five hours of debate equally divided and con4 trolled by the proponent and an opponent and 

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

6 to reconsider the vote on passage of the bill 

7 shall not be in order. 

8 ‘‘(D) SENATE BILL.—An approval bill re9 ceived from the Senate shall not be referred to 

10 committee. 

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

12 ‘‘(A) MOTION TO PROCEED TO CONSIDER13 ATION.—A motion to proceed to the consider14 ation of a bill under this subsection in the Sen15 ate shall not be debatable. It shall not be in 

16 order to move to reconsider the vote by which 

17 the motion to proceed is agreed to or disagreed 

18 to. 

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

20 Senate on a bill under this subsection, and all 

21 debatable motions and appeals in connection 

22 therewith (including debate pursuant to sub23 paragraph (D)), shall not exceed 10 hours, 

24 equally divided and controlled in the usual 

25 form. 


rfrederick on DSKD9S0YB1PROD with BILLS
80 

•S 439 IS

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

2 any debatable motion or appeal in connection 

3 with a bill under this subsection shall be limited 

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

5 and controlled in the usual form. 

6 ‘‘(D) MOTION TO LIMIT DEBATE.—A mo7 tion in the Senate to further limit debate on a 

8 bill under this subsection is not debatable. 

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

10 recommit a bill under this subsection is not in 

11 order. 

12 ‘‘(F) CONSIDERATION OF THE HOUSE OF

13 REPRESENTATIVES BILL.— 

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

15 received the House of Representatives com16 panion bill to the bill introduced in the 

17 Senate prior to the vote required under 

18 paragraph (1)(C), then the Senate may 

19 consider, and the vote under paragraph 

20 (1)(c) may occur on, the House of Rep21 resentatives companion bill. 

22 ‘‘(ii) PROCEDURE AFTER VOTE ON

23 SENATE BILL.—If the Senate votes, pursu24 ant to paragraph (1)(C), on the bill intro25 duced in the Senate, then immediately folVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00080 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
81 

•S 439 IS

1 lowing that vote, or upon receipt of the 

2 House of Representatives companion bill, 

3 the House of Representatives bill shall be 

4 deemed to be considered, read the third 

5 time, and the vote on passage of the Sen6 ate bill shall be considered to be the vote 

7 on the bill received from the House of Rep8 resentatives. 

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

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

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

12 or the House of Representatives. 

13 ‘‘PRESIDENTIAL DEFERRAL AUTHORITY

14 ‘‘SEC. 1013. (a) TEMPORARY PRESIDENTIAL AU15 THORITY TO WITHHOLD DISCRETIONARY BUDGET AU16 THORITY.— 

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

18 President transmits to the Congress a special mes19 sage pursuant to section 1011(b), the President may 

20 direct that any dollar amount of discretionary budg21 et authority to be canceled in that special message 

22 shall not be made available for obligation for a pe23 riod not to exceed 45 calendar days from the date 

24 the President transmits the special message to the 

25 Congress. 


rfrederick on DSKD9S0YB1PROD with BILLS
82 

•S 439 IS

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

2 shall make any dollar amount of discretionary budg3 et authority deferred pursuant to paragraph (1) 

4 available at a time earlier than the time specified if 

5 he determines that continuation of the deferral not 

6 further the purposes of this Act. 

7 ‘‘(b) TEMPORARY PRESIDENTIAL AUTHORITY TO

8 SUSPEND DIRECT SPENDING.— 

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

10 President transmits to the Congress a special mes11 sage pursuant to section 1011(b), the President may 

12 suspend the implementation of any item of direct 

13 spending proposed to be canceled in that special 

14 message for a period not to exceed 45 calendar days 

15 from the date the President transmits the special 

16 message to the Congress. 

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

18 shall terminate the suspension of any item of direct 

19 spending at a time earlier than the time specified if 

20 he determines that continuation of the suspension 

21 will not further the purposes of this Act. 

22 ‘‘(c) TEMPORARY PRESIDENTIAL AUTHORITY TO

23 SUSPEND A LIMITED TARIFF BENEFIT.— 

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

25 President transmits to the Congress a special mesVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00082 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
83 

•S 439 IS

1 sage pursuant to section 1011(b), the President may 

2 suspend the implementation of any limited tariff 

3 benefit proposed to be canceled in that special mes4 sage for a period not to exceed 45 calendar days 

5 from the date the President transmits the special 

6 message to the Congress. 

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

8 shall terminate the suspension of any limited tariff 

9 benefit at a time earlier than the time specified if he 

10 determines that continuation of the suspension will 

11 not further the purposes of this Act. 

12 ‘‘(d) TEMPORARY PRESIDENTIAL AUTHORITY TO

13 SUSPEND A TARGETED TAX 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 targeted tax ben18 efit proposed to be repealed in that special message 

19 for a period not to exceed 45 calendar days from the 

20 date the President transmits the special message to 

21 the Congress. 

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

23 shall terminate the suspension of any targeted tax 

24 benefit at a time earlier than the time specified if he 


rfrederick on DSKD9S0YB1PROD with BILLS
84 

•S 439 IS

1 determines that continuation of the suspension will 

2 not further the purposes of this Act. 

3 ‘‘(e) EXTENSION OF 45-DAY PERIOD.—The Presi4 dent may transmit to the Congress not more than one sup5 plemental special message to extend the period to suspend 

6 the implementation of any discretionary budget authority, 

7 item of direct spending, limited tariff benefit, or targeted 

8 tax benefit, as applicable, by an additional 45 calendar 

9 days. Any such supplemental message may not be trans10 mitted to the Congress before the 40th day of the 45-day 

11 period set forth in the preceding message or later than 

12 the last day of such period. 

13 ‘‘IDENTIFICATION OF TARGETED TAX BENEFITS

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

15 Committee on Ways and Means of the House of Rep16 resentatives and the chairman of the Committee on Fi17 nance of the Senate acting jointly (hereafter in this sub18 section referred to as the ‘chairmen’) shall review any rev19 enue or reconciliation bill or joint resolution which in20 cludes any amendment to the Internal Revenue Code of 

21 1986 that is being prepared for filing by a committee of 

22 conference of the two Houses, and shall identify whether 

23 such bill or joint resolution contains any targeted tax ben24 efits. The chairmen shall provide to the committee of con25 ference a statement identifying any such targeted tax ben26 efits or declaring that the bill or joint resolution does not 


rfrederick on DSKD9S0YB1PROD with BILLS
85 

•S 439 IS

1 contain any targeted tax benefits. Any such statement 

2 shall be made available to any Member of Congress by 

3 the chairmen immediately upon request. 

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

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

6 rule of the House of Representatives or any rule or 

7 precedent of the Senate, any revenue or reconcili8 ation bill or joint resolution which includes any 

9 amendment to the Internal Revenue Code of 1986 

10 reported by a committee of conference of the two 

11 Houses may include, as a separate section of such 

12 bill or joint resolution, the information contained in 

13 the statement of the chairmen, but only in the man14 ner set forth in paragraph (2). 

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

16 permitted under subparagraph (A) shall read as fol17 lows: ‘Section 1021 of the Congressional Budget and 

18 Impoundment Control Act of 1974 shall 

19 llllll apply to llllllll.’, with 

20 the blank spaces being filled in with— 

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

22 identify targeted tax benefits in the statement 

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

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


rfrederick on DSKD9S0YB1PROD with BILLS
86 

•S 439 IS

1 specific provisions of the bill or joint resolution 

2 in the second blank space; or 

3 ‘‘(B) in any case in which the chairmen de4 clare that there are no targeted tax benefits in 

5 the statement required under subsection (a), 

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

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

8 blank space. 

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

10 With respect to any revenue or reconciliation bill or joint 

11 resolution with respect to which the chairmen provide a 

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

13 Taxation shall— 

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

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

16 any revenue estimate prepared by the Joint Com17 mittee on Taxation for any conference report which 

18 accompanies such bill or joint resolution, or 

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

20 subsection (b)(2)(B), indicate in such revenue esti21 mate that no provision in such bill or joint resolution 

22 has been identified as a targeted tax benefit. 

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

24 reconciliation bill or joint resolution is signed into law— 


rfrederick on DSKD9S0YB1PROD with BILLS
87 

•S 439 IS

1 ‘‘(1) with a separate section described in sub2 section (b)(2), then the President may use the au3 thority granted in this section only with respect to 

4 any targeted tax benefit in that law, if any, identi5 fied in such separate section; or 

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

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

8 authority granted in this section with respect to any 

9 targeted tax benefit in that law. 

10 ‘‘TREATMENT OF CANCELLATIONS

11 ‘‘SEC. 1015. The cancellation of any dollar amount 

12 of discretionary budget authority, item of direct spending, 

13 limited tariff benefit, or targeted tax benefit shall take ef14 fect only upon enactment of the applicable approval bill. 

15 If an approval bill is not enacted into law before the end 

16 of the applicable period under section 1013, then all pro17 posed cancellations contained in that bill shall be null and 

18 void and any such dollar amount of discretionary budget 

19 authority, item of direct spending, limited tariff benefit, 

20 or targeted tax benefit shall be effective as of the original 

21 date provided in the law to which the proposed cancella22 tions applied. 

23 ‘‘REPORTS BY COMPTROLLER GENERAL

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

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

26 Congress a report determining whether any discretionary 


rfrederick on DSKD9S0YB1PROD with BILLS
88 

•S 439 IS

1 budget authority is not made available for obligation or 

2 item of direct spending, limited tariff benefit, or targeted 

3 tax benefit continues to be suspended after the deferral 

4 authority set forth in section 1013 of the President has 

5 expired. 

6 ‘‘DEFINITIONS

7 ‘‘SEC. 1017. As used in this part: 

8 ‘‘(1) APPROPRIATION LAW.—The term ‘appro9 priation law’ means an Act referred to in section 

10 105 of title 1, United States Code, including any 

11 general or special appropriation Act, or any Act 

12 making supplemental, deficiency, or continuing ap13 propriations, that has been signed into law pursuant 

14 to article I, section 7, of the Constitution of the 

15 United States. 

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

17 means a bill or joint resolution which only approves 

18 proposed cancellations of dollar amounts of discre19 tionary budget authority, items of new direct spend20 ing, limited tariff benefits, or targeted tax benefits 

21 in a special message transmitted by the President 

22 under this part and— 

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

24 approving the proposed cancellations trans25 mitted by the President on lll’, the blank 

26 space being filled in with the date of transVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00088 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
89 

•S 439 IS

1 mission of the relevant special message and the 

2 public law number to which the message re3 lates; 

4 ‘‘(B) which does not have a preamble; and 

5 ‘‘(C) which provides only the following 

6 after the enacting clause: ‘That the Congress 

7 approves of proposed cancellations lll’, the 

8 blank space being filled in with a list of the 

9 cancellations contained in the President’s spe10 cial message, ‘as transmitted by the President 

11 in a special message on llll’, the blank 

12 space being filled in with the appropriate date, 

13 ‘regarding llll.’, the blank space being 

14 filled in with the public law number to which 

15 the special message relates; 

16 ‘‘(D) which only includes proposed can17 cellations that are estimated by CBO to meet 

18 the definition of discretionary budgetary au19 thority or items of direct spending, or limited 

20 tariff benefits, or that are identified as targeted 

21 tax benefits pursuant to section 1014; 

22 ‘‘(E) if any proposed cancellation other 

23 than discretionary budget authority or targeted 

24 tax benefits is estimated by CBO to not meet 

25 the definition of item of direct spending, then 


rfrederick on DSKD9S0YB1PROD with BILLS
90 

•S 439 IS

1 the approval bill shall include at the end: ‘The 

2 President shall cease the suspension of the im3 plementation of the following under section 

4 1013 of the Impoundment Control Act of 1974: 

5 lllll’, the blank space being filled in 

6 with the list of such proposed cancellations; and 

7 ‘‘(F) if no CBO estimate is available, then 

8 the entire list of legislative provisions proposed 

9 by the President is inserted in the second blank 

10 space in subparagraph (C). 

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

12 means a standard 24-hour period beginning at mid13 night. 

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

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

16 ‘‘(A) budget authority from having legal 

17 force or effect; 

18 ‘‘(B) in the case of entitlement authority, 

19 to prevent the specific legal obligation of the 

20 United States from having legal force or effect; 

21 ‘‘(C) in the case of the food stamp pro22 gram, to prevent the specific provision of law 

23 that provides such benefit from having legal 

24 force or effect; or 


rfrederick on DSKD9S0YB1PROD with BILLS
91 

•S 439 IS

1 ‘‘(D) a limited tariff benefit from having 

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

3 conforming statutory change to ensure that 

4 such limited tariff benefit is not implemented; 

5 or 

6 ‘‘(E) a targeted tax benefit from having 

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

8 conforming statutory change to ensure that 

9 such targeted tax benefit is not implemented 

10 and that any budgetary resources are appro11 priately canceled. 

12 ‘‘(5) CONGRESSIONAL BUDGET OFFICE.—The 

13 term ‘CBO’ means the Director of the Congressional 

14 Budget Office. 

15 ‘‘(6) DIRECT SPENDING.—The term ‘direct 

16 spending’ means— 

17 ‘‘(A) budget authority provided by law 

18 (other than an appropriation law); 

19 ‘‘(B) entitlement authority; and 

20 ‘‘(C) the food stamp program. 

21 ‘‘(7) AMOUNT OF DISCRETIONARY BUDGET AU22 THORITY.—(A) Except as provided in subparagraph 

23 (B), the term ‘dollar amount of discretionary budget 

24 authority’ means the entire dollar amount of budget 

25 authority— 


rfrederick on DSKD9S0YB1PROD with BILLS
92 

•S 439 IS

1 ‘‘(i) specified in an appropriation law, 

2 or the entire dollar amount of budget au3 thority or obligation limitation required to 

4 be allocated by a specific proviso in an ap5 propriation law for which a specific dollar 

6 figure was not included; 

7 ‘‘(ii) represented separately in any 

8 table, chart, or explanatory text included 

9 in the statement of managers or the gov10 erning committee report accompanying 

11 such law; 

12 ‘‘(iii) required to be allocated for a 

13 specific program, project, or activity in a 

14 law (other than an appropriation law) that 

15 mandates the expenditure of budget au16 thority from accounts, programs, projects, 

17 or activities for which budget authority is 

18 provided in an appropriation law; 

19 ‘‘(iv) represented by the product of 

20 the estimated procurement cost and the 

21 total quantity of items specified in an ap22 propriation law or included in the state23 ment of managers or the governing com24 mittee report accompanying such law; or 


rfrederick on DSKD9S0YB1PROD with BILLS
93 

•S 439 IS

1 ‘‘(v) represented by the product of the 

2 estimated procurement cost and the total 

3 quantity of items required to be provided 

4 in a law (other than an appropriation law) 

5 that mandates the expenditure of budget 

6 authority from accounts, programs, 

7 projects, or activities for which budget au8 thority is provided in an appropriation law. 

9 ‘‘(B) The term ‘dollar amount of discre10 tionary budget authority’ does not include— 

11 ‘‘(i) direct spending; 

12 ‘‘(ii) budget authority in an appro13 priation law which funds direct spending 

14 provided for in other law; 

15 ‘‘(iii) any existing budget authority 

16 canceled in an appropriation law; or 

17 ‘‘(iv) any restriction, condition, or lim18 itation in an appropriation law or the ac19 companying statement of managers or 

20 committee reports on the expenditure of 

21 budget authority for an account, program, 

22 project, or activity, or on activities involv23 ing such expenditure. 

24 ‘‘(8) ITEM OF DIRECT SPENDING.—The term 

25 ‘item of direct spending’ means any provision of law 


rfrederick on DSKD9S0YB1PROD with BILLS
94 

•S 439 IS

1 that results in an increase in budget authority or 

2 outlays for direct spending relative to the most re3 cent levels calculated consistent with the method4 ology used to calculate a baseline under section 257 

5 of the Balanced Budget and Emergency Deficit Con6 trol Act of 1985 and included with a budget submis7 sion under section 1105(a) of title 31, United States 

8 Code, in the first year or the 5-year period for which 

9 the item is effective. However, such item does not in10 clude an extension or reauthorization of existing di11 rect spending, but instead only refers to provisions 

12 of law that increase such direct spending. 

13 ‘‘(9) 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 ‘‘(10) OMB.—The term ‘OMB’ means the Di19 rector of the Office of Management and Budget. 

20 ‘‘(11) 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 


rfrederick on DSKD9S0YB1PROD with BILLS
95 

•S 439 IS

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 ‘‘(12) 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 

15 that are members of the same controlled 

16 group of corporations (as defined in sec17 tion 1563(a) of the Internal Revenue Code 

18 of 1986) shall be treated as a single bene19 ficiary; 

20 ‘‘(ii) all shareholders, partners, mem21 bers, or beneficiaries of a corporation, 

22 partnership, association, or trust or estate, 

23 respectively, shall be treated as a single 

24 beneficiary; 


rfrederick on DSKD9S0YB1PROD with BILLS
96 

•S 439 IS

1 ‘‘(iii) all employees of an employer 

2 shall be treated as a single beneficiary; 

3 ‘‘(iv) all qualified plans of an em4 ployer shall be treated as a single bene5 ficiary; 

6 ‘‘(v) all beneficiaries of a qualified 

7 plan shall be treated as a single bene8 ficiary; 

9 ‘‘(vi) all contributors to a charitable 

10 organization shall be treated as a single 

11 beneficiary; 

12 ‘‘(vii) all holders of the same bond 

13 issue shall be treated as a single bene14 ficiary; and 

15 ‘‘(viii) if a corporation, partnership, 

16 association, trust or estate is the bene17 ficiary of a provision, the shareholders of 

18 the corporation, the partners of the part19 nership, the members of the association, or 

20 the beneficiaries of the trust or estate shall 

21 not also be treated as beneficiaries of such 

22 provision; 

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

24 term ‘revenue-losing provision’ means any pro25 vision that is estimated to result in a reduction 


rfrederick on DSKD9S0YB1PROD with BILLS
97 

•S 439 IS

1 in Federal tax revenues (determined with re2 spect to either present law or any provision of 

3 which the provision is a part) for any one of the 

4 two following periods— 

5 ‘‘(i) the first fiscal year for which the 

6 provision is effective; or 

7 ‘‘(ii) the period of the five fiscal years 

8 beginning with the first fiscal year for 

9 which the provision is effective; 

10 ‘‘(D) the term ‘targeted tax benefit’ does 

11 not include any provision which applies uni12 formly to an entire industry; and 

13 ‘‘(E) the terms used in this paragraph 

14 shall have the same meaning as those terms 

15 have generally in the Internal Revenue Code of 

16 1986, unless otherwise expressly provided. 

17 ‘‘EXPIRATION

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

19 on or after October 1, 2021. 

20 ‘‘DEFICIT REDUCTION

21 ‘‘SEC. 1019. All spending reductions related to this 

22 title shall be for deficit reduction.’’. 

23 SEC. 403. TECHNICAL AND CONFORMING AMENDMENTS. 

24 (a) EXERCISE OF RULEMAKING POWERS.—Section 

25 904 of the Congressional Budget Act of 1974 (2 U.S.C. 

26 621 note) is amended— 


rfrederick on DSKD9S0YB1PROD with BILLS
98 

•S 439 IS

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

2 inserting ‘‘1012’’; and 

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

4 1017’’ and inserting ‘‘section 1012’’. 

5 (b) ANALYSIS BY CONGRESSIONAL BUDGET OF6 FICE.—Section 402 of the Congressional Budget Act of 

7 1974 is amended by inserting ‘‘(a)’’ after ‘‘402.’’ and by 

8 adding at the end the following new subsection: 

9 ‘‘(b) Upon the receipt of a special message under sec10 tion 1011 proposing to cancel any item of direct spending, 

11 the Director of the Congressional Budget Office shall pre12 pare an estimate of the savings in budget authority or out13 lays resulting from such proposed cancellation relative to 

14 the most recent levels calculated consistent with the meth15 odology used to calculate a baseline under section 257 of 

16 the Balanced Budget and Emergency Deficit Control Act 

17 of 1985 and included with a budget submission under sec18 tion 1105(a) of title 31, United States Code, and transmit 

19 such estimate to the chairmen of the Committees on the 

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

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

22 the Congressional Budget and Impoundment Control Act 

23 of 1974 is amended by striking the last sentence. 

24 (2) Section 1021(c) of such Act (as redesignated) is 

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


rfrederick on DSKD9S0YB1PROD with BILLS
99 

•S 439 IS

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

2 ‘‘1012’’ and inserting ‘‘1011’’. 

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

4 forth in section 1(b) of the Congressional Budget and Im5 poundment Control Act of 1974 is amended by deleting 

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

7 the following: 

‘‘PART B—LEGISLATIVE LINE-ITEM VETO

‘‘Sec. 1011. Line-item veto authority. 

‘‘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. Deficit reduction. 

‘‘Sec. 1020. Suits by Comptroller General. 

‘‘Sec. 1021. Proposed deferrals of budget authority.’’. 

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

9 this subtitle shall take effect on the date of its enactment 

10 and apply only to any dollar amount of discretionary budg11 et authority, item of direct spending, or targeted tax ben12 efit provided in an Act enacted on or after the date of 

13 enactment of this Act. 

14 SEC. 404. RESCISSION MEASURES CONSIDERED. 

15 (a) RULES AMENDMENT.—Clause 6(c) of rule XIII 

16 of the Rules of the House of Representatives is amended 

17 by inserting before the period ‘‘, or a rule or order that 

18 limits any amendment otherwise in order to a rescission 

19 bill’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
100 

•S 439 IS

1 (b) AUTOMATIC ALLOCATIONS REDUCTIONS.— 

2 Clause 4(b) of rule X of the Rules of the House of Rep3 resentatives is amended by inserting ‘‘(1)’’ after ‘‘(b)’’, by 

4 redesignating subparagraphs (1) through (6) as subdivi5 sions (A) through (F), respectively, and by adding at the 

6 end the following: 

7 ‘‘(2)(A) Whenever a rescission bill passes the House 

8 of Representatives, the Committee on the Budget shall im9 mediately reduce the applicable allocations under section 

10 302(a) of the Congressional Budget Act of 1974 by the 

11 total amount of reductions in budget authority and in out12 lays resulting from such rescission bill. 

13 ‘‘(B) As used in this subparagraph, the term ‘rescis14 sion bill’ means a bill or joint resolution which only re15 scinds, in whole or in part, budget authority and which 

16 includes only titles corresponding to the most recently en17 acted appropriation bills that continue to include unobli18 gated balances.’’. 

19 (c) PRIVILEGED DISCHARGE RESOLUTIONS.—Rule 

20 XIII of the Rules of the House of Representatives is 

21 amended by adding at the end the following new clause: 

22 ‘‘8. (a) By February 1, May 1, July 30, and Novem23 ber 11 of each session, the majority leader shall introduce 

24 a rescission bill. If such bill is not introduced by that date, 

25 then whenever a rescission bill is introduced during a sesVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00100 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
101 

•S 439 IS

1 sion on or after that date, a motion to discharge the com2 mittee from its consideration shall be privileged after the 

3 10-legislative day period beginning on that date for the 

4 first 5 such bills. 

5 ‘‘(b) It shall not be in order to offer any amendment 

6 to a rescission bill except an amendment that increases 

7 the amount of budget authority that such bill rescinds. 

8 ‘‘(c) As used in this clause and in clause 6, the term 

9 ‘rescission bill’ has the meaning given such term in clause 

10 4(b)(2)(B) of rule X.’’. 

11 (d) POINT OF ORDER.—Rule XXI of the Rules of the 

12 House of Representatives (as amended by subsection (d)) 

13 is further amended by adding at the end the following new 

14 clause: 

15 ‘‘9. It shall not be in order to consider any rescission 

16 bill, or conference report thereon or amendment thereto, 

17 unless— 

18 ‘‘(1) in the case of such bill or conference re19 port thereon, it is made available to Members and 

20 the general public on the Internet for at least 48 

21 hours before its consideration; or 

22 ‘‘(2)(A) in the case of an amendment to such 

23 rescission bill made in order by a rule, it is made 

24 available to Members and the general public on the 

25 Internet within one hour after the rule is filed; or 


rfrederick on DSKD9S0YB1PROD with BILLS
102 

•S 439 IS

1 ‘‘(B) in the case of an amendment under an 

2 open rule, it is made available to Members and the 

3 general public on the Internet immediately after 

4 being offered; in a format that is searchable and 

5 sortable. 

6 ‘‘(3) No amendment to an amendment to a re7 scission bill shall be in order unless germane to the 

8 amendment to which it is offered.’’. 

9 TITLE V—BIENNIAL BUDGET 

10 DEFICIT REDUCTION 

11 SEC. 501. JOINT COMMITTEE ON DEFICIT REDUCTION. 

12 (a) ESTABLISHMENT AND COMPOSITION.— 

13 (1) IN GENERAL.—There is established a Joint 

14 Committee on Deficit Reduction (referred to in this 

15 Act as the ‘‘joint committee’’) to be composed of 20 

16 members as follows: 

17 (A) Ten members of the House of Rep18 resentatives, including 5 members appointed 

19 from the majority party by the Speaker of the 

20 House and 5 members from the minority party 

21 to be appointed by the minority leader. 

22 (B) Ten members of the Senate, including 

23 5 members appointed from the majority party 

24 by the majority leader of the Senate and 5 


rfrederick on DSKD9S0YB1PROD with BILLS
103 

•S 439 IS

1 members from the minority party to be ap2 pointed by the minority leader. 

3 (2) VACANCY.—A vacancy in the joint com4 mittee shall not affect the power of the remaining 

5 members to execute the functions of the joint com6 mittee, and shall be filled in the same manner as the 

7 original selection. 

8 (3) AGREEMENT.—No recommendation shall be 

9 made by the joint committee except upon the major10 ity vote of the members from each House, respec11 tively. 

12 (4) PUBLIC MEETINGS.—The joint committee 

13 shall hold not fewer than 5 public hearings in pre14 paring legislation as required under section 502. 

15 (b) DUTIES.—The joint committee shall be respon16 sible for reporting biennial legislation as provided in sec17 tion 502. 

18 (c) RESOURCES.—The joint committee may utilize 

19 the resources of the House and Senate. 

20 SEC. 502. BIENNIAL BUDGET DEFICIT REDUCTION LEGISLA21 TION. 

22 (a) AGENCY REPORTS.—Not later than June 1st of 

23 each odd numbered year, the Government Accountability 

24 Office and Congressional Budget Office shall report to the 

25 joint committee— 


rfrederick on DSKD9S0YB1PROD with BILLS
104 

•S 439 IS

1 (1) recommendations for eliminating waste, 

2 fraud, abuse, and ineffective, duplicative, or out3 dated Government programs and recommendations 

4 for streamlining, consolidating, or eliminating waste5 ful Government programs; and 

6 (2) the projected savings of the recommenda7 tions over the 2-year period of the current budget 

8 cycle. 

9 (b) DEFICIT REDUCTION TARGET.—In this section, 

10 the term ‘‘deficit reduction target’’ means savings over the 

11 2-year period of the current budget cycle of 10 percent 

12 of the 2 preceding years’ budget deficit but not exceeding 

13 10 percent of the preceding year’s outlays and not less 

14 than 1 percent of the preceding year’s outlays. 

15 (c) LEGISLATION.— 

16 (1) INTRODUCTION.—Not later than July 15th 

17 of each odd numbered year, the chairman or ranking 

18 member of the joint committee or their designees 

19 shall introduce legislation (referred to in this Act as 

20 the ‘‘legislation’’) which shall be referred to the joint 

21 committee— 

22 (A) to eliminate or reduce spending on 

23 wasteful, fraudulent, abusive, ineffective, dupli24 cative, or outdated Government programs; and 


rfrederick on DSKD9S0YB1PROD with BILLS
105 

•S 439 IS

1 (B) that achieves a savings equal to or 

2 greater than the deficit reduction target. 

3 (2) DISCHARGE.—After the legislation is intro4 duced and made public for at least 72 hours, the 

5 joint committee shall discharge the legislation not 

6 later than 2 weeks after introduction to the House 

7 and the Senate and report the legislation with a fa8 vorable recommendation, unfavorable recommenda9 tion, or no recommendation. 

10 (3) CONSIDERATION.—Once the legislation is 

11 discharged from the joint committee, it shall be in 

12 order in the House or the Senate, as appropriate, to 

13 move to the legislation not later than September 

14 15th of the year of introduction. The legislation 

15 shall not be subject to amendment or points of 

16 order. Debate on the legislation shall be limited to 

17 20 hours in the Senate and 3 hours in the House. 

18 (4) OTHER HOUSE.—Upon passage of legisla19 tion in the House or the Senate under paragraph 

20 (3), it shall be in order for the other house to move 

21 to the respective bill not later than September 25th 

22 with the same rules of debate. 

23 (5) VETO.—If the legislation is vetoed, both the 

24 House and the Senate shall vote on whether override 

25 the veto not later than 1 week after the veto. 


rfrederick on DSKD9S0YB1PROD with BILLS
106 

•S 439 IS

1 (d) ADJUSTMENT OF BUDGET CAPS.—If legislation 

2 is enacted pursuant to this title, the Chairmen of the 

3 House and Senate Committees on the Budget shall reduce 

4 the appropriate budgetary allocations and levels in the 

5 most recently enacted budget resolution to reflect the re6 ductions achieved by such legislation, including the discre7 tionary spending caps established in title III. 

8 SEC. 503. DEBT BUYBACK FUND. 

9 (a) ESTABLISHMENT.—There is established in the 

10 Treasury of the United States a trust fund to be known 

11 as the ‘‘Debt Buyback Fund’’ (in this section referred to 

12 as the ‘‘Trust Fund’’). 

13 (b) SAVINGS.—There is appropriated to the Trust 

14 Fund amounts equivalent to the reductions in Federal 

15 spending, as estimated by the Secretary of the Treasury 

16 from time to time, as a result of the laws enacted pursuant 

17 to this title. 

18 (c) USE OF FUNDS.—The Secretary of the Treasury 

19 shall use the moneys in the Trust Fund solely to pay at 

20 maturity, or to redeem or buy before maturity, an obliga21 tion of the Government included in the public debt. 

22 (d) PROHIBITION ON REISSUING DEBT.—Any obliga23 tion of the Government which is paid, redeemed, or bought 

24 with money from the Trust Fund shall be canceled and 

25 retired and may not be reissued. 


rfrederick on DSKD9S0YB1PROD with BILLS
107 

•S 439 IS

1 TITLE VI—PAYGO HONESTY 

2 WITH RESPECT TO TRUST 

3 FUNDS AND EMERGENCY 

4 DESIGNATIONS 

5 SEC. 601. PAYGO AND TRUST FUNDS. 

6 (a) IN GENERAL.—Any increase in revenues or re7 duced spending in a Federal trust fund resulting from a 

8 bill, amendment, resolution, motion, or conference report 

9 shall— 

10 (1) not be counted for purposes of offsetting 

11 revenues, receipts, or discretionary spending under 

12 the Congressional Budget Act of 1974 or the Statu13 tory Pay-As-You-Go Act of 2010; and 

14 (2) only be used for the purposes of the Federal 

15 trust as provided by law. 

16 (b) INTERGOVERNMENTAL TRANSFERS.—Nothing in 

17 this section shall impact intergovernmental lending from 

18 a Federal trust fund to annual government operations. 

19 SEC. 602. EMERGENCY DESIGNATIONS. 

20 Section 4(g)(3) of the Statutory Pay-As-You-Go Act 

21 of 2010 (Public Law 111–139) is amended to read as fol22 lows: 

23 ‘‘(3) PROCEDURE IN THE SENATE AND VOTE

24 REQUIREMENT.— 


rfrederick on DSKD9S0YB1PROD with BILLS
108 

•S 439 IS

1 ‘‘(A) IN GENERAL.—When the Senate is 

2 considering a PAYGO Act, any provision mak3 ing an emergency designation shall be stricken 

4 from the measure and may not be offered as an 

5 amendment from the floor unless a waiver is of6 fered and agreed to. 

7 ‘‘(B) SUPERMAJORITY WAIVER AND AP8 PEALS.— 

9 ‘‘(i) WAIVER.—Subparagraph (A) may 

10 be waived or suspended in the Senate only 

11 by an affirmative vote of two-thirds of the 

12 Members, duly chosen and sworn. 

13 ‘‘(ii) APPEALS.—Appeals in the Sen14 ate from the decisions of the Chair relating 

15 to any provision of this subsection shall be 

16 limited to 1 hour, to be equally divided be17 tween, and controlled by, the appellant and 

18 the manager of the bill or joint resolution, 

19 as the case may be. An affirmative vote of 

20 two-thirds of the Members of the Senate, 

21 duly chosen and sworn, shall be required to 

22 sustain an appeal of the ruling of the 

23 Chair on a point of order raised under this 

24 subsection. 


rfrederick on DSKD9S0YB1PROD with BILLS
109 

•S 439 IS

1 ‘‘(C) WAIVER PETITION.—Prior to making 

2 a motion to waive under this paragraph, a Sen3 ator shall file a petition— 

4 ‘‘(i) signed by 16 members requesting 

5 the waiver; 

6 ‘‘(ii) with a Member of both the ma7 jority and minority signing; and 

8 ‘‘(iii) stating that the spending is an 

9 emergency as described in subparagraph 

10 (D). 

11 ‘‘(D) EMERGENCY SPENDING.— 

12 ‘‘(i) IN GENERAL.—For purposes of 

13 this subparagraph, spending is emergency 

14 spending if the spending is— 

15 ‘‘(I) necessary, essential, or vital 

16 (not merely useful or beneficial); 

17 ‘‘(II) sudden, quickly coming into 

18 being, and not building up over time; 

19 ‘‘(III) an urgent, pressing, and 

20 compelling need requiring immediate 

21 action; 

22 ‘‘(IV) subject to clause (ii), un23 foreseen, unpredictable, and unantici24 pated; and 


rfrederick on DSKD9S0YB1PROD with BILLS
110 

•S 439 IS

1 ‘‘(V) not permanent, temporary 

2 in nature. 

3 ‘‘(ii) UNFORSEEN.—An emergency 

4 that is part of an aggregate level of antici5 pated emergencies, particularly when nor6 mally estimated in advance, is not unfore7 seen.’’. 

8 TITLE VII—CREDIT REFORM 

9 SEC. 701. CREDIT REFORM ACT TREATMENT OF THE PUR10 CHASE OF PRIVATE STOCK, EQUITY, OR CAP11 ITAL. 

12 Section 502(5) of the Federal Credit Reform Act of 

13 1990 (2 U.S.C. 661a(5)) is amended by inserting at the 

14 end the following: 

15 ‘‘(G) The cost of the purchase of stock, equity, 

16 capital, or debt instruments, or the option to pur17 chase any such assets, of a private or publicly-traded 

18 company or any enterprise under the conservator19 ship of the Federal Government shall be determined 

20 on a fair value basis according to Financial Account21 ing Standards No. 157 of the Financial Accounting 

22 Standards Board.’’. 


rfrederick on DSKD9S0YB1PROD with BILLS
111 

•S 439 IS

1 TITLE VIII—RESPONSIBLE 

2 HEALTH CARE BUDGETING 

3 LIMITS 

4 Subtitle A—Cost Containment of 

5 the CLASS Program 

6 SEC. 801. CLASS FUNDING WARNING. 

7 For purposes of section 1105(i) of title 31, United 

8 States Code, and this subtitle, a determination in 2 con9 secutive annual reports of the Board of Trustees of the 

10 CLASS Independence Fund established under section 

11 3206 of the Public Health Service Act (42 U.S.C. 300ll– 

12 5) that the CLASS Independence Fund is not projected 

13 to be actuarially sound over the 75-year period addressed 

14 in each such report shall be treated as a CLASS funding 

15 warning in the year in which the second such report is 

16 made. 

17 SEC. 802. PRESIDENTIAL SUBMISSION OF LEGISLATION. 

18 (a) IN GENERAL.—Section 1105 of title 31, United 

19 States Code, is amended by adding at the end the fol20 lowing new subsection: 

21 ‘‘(i)(1) If a CLASS funding warning under section 

22 801 of the Deficit Reduction and Budget Reform Act of 

23 2011 is made in a year, the President shall submit to Con24 gress, within the 15-day period beginning on the date of 

25 the budget submission to Congress under subsection (a) 


rfrederick on DSKD9S0YB1PROD with BILLS
112 

•S 439 IS

1 for the succeeding year, proposed legislation to respond 

2 to such warning. 

3 ‘‘(2) Paragraph (1) does not apply if, during the year 

4 in which the warning is made, legislation is enacted which 

5 makes the CLASS Independence Fund established under 

6 section 3206 of the Public Health Service Act (42 U.S.C. 

7 300ll–5) actuarially sound for the 75-year period that be8 gins in such year not later than 30 days after the date 

9 of the enactment of such legislation.’’. 

10 (b) SENSE OF CONGRESS.—It is the sense of Con11 gress that legislation submitted pursuant to section 

12 1105(i) of title 31, United States Code, in a year should 

13 be designed to make the CLASS Independence Fund es14 tablished under section 3206 of the Public Health Service 

15 Act (42 U.S.C. 300ll–5) actuarially sound for the 75-year 

16 period that begins in such year. 

17 SEC. 803. PROCEDURES IN THE HOUSE OF REPRESENTA18 TIVES. 

19 (a) INTRODUCTION AND REFERRAL OF PRESIDENT’S

20 LEGISLATIVE PROPOSAL.— 

21 (1) INTRODUCTION.—In the case of a legislative 

22 proposal submitted by the President pursuant to sec23 tion 1105(i) of title 31, United States Code, within 

24 the 15-day period specified in paragraph (1) of such 

25 section, the majority leader of the House of RepVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00112 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
113 

•S 439 IS

1 resentatives (or his designee) and the Minority 

2 Leader of the House of Representatives (or his des3 ignee) shall introduce such proposal (by request), 

4 the title of which is as follows: ‘‘A bill to respond to 

5 a CLASS funding warning.’’ Such bill shall be intro6 duced within 3 legislative days after Congress re7 ceives such proposal. 

8 (2) REFERRAL.—Any legislation introduced 

9 pursuant to paragraph (1) shall be referred to the 

10 appropriate committees of the House of Representa11 tives. 

12 (b) DIRECTION TO THE APPROPRIATE HOUSE COM13 MITTEES.— 

14 (1) IN GENERAL.—In the House, in any year 

15 during which the President is required to submit 

16 proposed legislation to Congress under section 

17 1105(i) of title 31, United States Code, the appro18 priate committees shall report CLASS funding legis19 lation by not later than June 30 of such year. 

20 (2) CLASS FUNDING LEGISLATION.—For pur21 poses of this section, the term ‘‘CLASS funding leg22 islation’’ means— 

23 (A) legislation introduced pursuant to sub24 section (a)(1), but only if the legislative pro25 posal upon which the legislation is based was 


rfrederick on DSKD9S0YB1PROD with BILLS
114 

•S 439 IS

1 submitted within the 15-day period referred to 

2 in such subsection; or 

3 (B) any bill the title of which is as follows: 

4 ‘‘A bill to respond to a CLASS funding warn5 ing.’’. 

6 (3) CERTIFICATION.—With respect to any 

7 CLASS funding legislation or any amendment to 

8 such legislation to respond to a CLASS funding 

9 warning, the chairman of the Committee on the 

10 Budget of the House shall certify— 

11 (A) whether or not such legislation makes 

12 the CLASS Independence Fund established 

13 under section 3206 of the Public Health Service 

14 Act (42 U.S.C. 300ll–5) actuarially sound for 

15 the 75-year period that begins with the year in 

16 which the legislation is introduced; and 

17 (B) with respect to such an amendment, 

18 whether the legislation, as amended, would 

19 make the CLASS Independence Fund estab20 lished under section 3206 of the Public Health 

21 Service Act (42 U.S.C. 300ll–5) actuarially 

22 sound for the 75-year period that begins with 

23 the year in which the amendment is offered. 

24 (4) AMENDMENTS.—During any committee 

25 consideration of any CLASS funding legislation, 


rfrederick on DSKD9S0YB1PROD with BILLS
115 

•S 439 IS

1 only an amendment to such legislation that is ger2 mane and for which there is an affirmative certifi3 cation under paragraph (3)(B) shall be in order. 

4 (c) FALLBACK PROCEDURE FOR FLOOR CONSIDER5 ATION IF THE HOUSE FAILS TO VOTE ON FINAL PAS6 SAGE BY JULY 30.— 

7 (1) After July 30 of any year during which the 

8 President is required to submit proposed legislation 

9 to Congress under section 1105(i) of title 31, United 

10 States Code, unless the House of Representatives 

11 has voted on final passage of any CLASS funding 

12 legislation for which there is an affirmative certifi13 cation under subsection (b)(3)(A), then, after the ex14 piration of not less than 30 calendar days (and con15 currently 5 legislative days), it is in order to move 

16 to discharge any committee to which CLASS fund17 ing legislation which has such a certification and 

18 which has been referred to such committee for 30 

19 calendar days from further consideration of the leg20 islation. 

21 (2) A motion to discharge may be made only by 

22 an individual favoring the legislation, may be made 

23 only if supported by one-fifth of the total member24 ship of the House (a quorum being present), and is 

25 highly privileged in the House. Debate thereon shall 


rfrederick on DSKD9S0YB1PROD with BILLS
116 

•S 439 IS

1 be limited to not more than one hour, the time to 

2 be divided in the House equally between those favor3 ing and those opposing the motion. An amendment 

4 to the motion is not in order, and it is not in order 

5 to move to reconsider the vote by which the motion 

6 is agreed to or disagreed to. 

7 (3) Notwithstanding paragraph (1), it shall not 

8 be in order to move to discharge a committee from 

9 further consideration of CLASS funding legislation 

10 pursuant to this subsection during a session of a 

11 Congress if, during the previous session of the Con12 gress, the House passed CLASS funding legislation 

13 for which there is an affirmative certification under 

14 subsection (b)(3)(A). 

15 (d) FLOOR CONSIDERATION IN THE HOUSE OF DIS16 CHARGED LEGISLATION.— 

17 (1) In the House, not later than 3 legislative 

18 days after any committee has been discharged from 

19 further consideration of legislation under subsection 

20 (c), the Speaker shall resolve the House into the 

21 Committee of the Whole for consideration of the leg22 islation. 

23 (2) The first reading of the legislation shall be 

24 dispensed with. All points of order against consider25 ation of the legislation are waived. General debate 


rfrederick on DSKD9S0YB1PROD with BILLS
117 

•S 439 IS

1 shall be confined to the legislation and shall not ex2 ceed five hours, which shall be divided equally be3 tween those favoring and those opposing the legisla4 tion. After general debate the legislation shall be 

5 considered for amendment under the five-minute 

6 rule. During consideration of the legislation, no 

7 amendments shall be in order in the House or in the 

8 Committee of the Whole except those which are ger9 mane and for which there has been an affirmative 

10 certification under subsection (b)(3)(B). All points 

11 of order against consideration of any such amend12 ment in the Committee of the Whole are waived. 

13 The legislation, together with any amendments 

14 which shall be in order, shall be considered as read. 

15 During the consideration of the bill for amendment, 

16 the Chairman of the Committee of the Whole may 

17 accord priority in recognition on the basis of wheth18 er the Member offering an amendment has caused it 

19 to be printed in the portion of the Congressional 

20 Record designated for that purpose in clause 8 of 

21 Rule XVIII of the Rules of the House of Represent22 atives. Debate on any amendment shall not exceed 

23 one hour, which shall be divided equally between 

24 those favoring and those opposing the amendment, 

25 and no pro forma amendments shall be offered durVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00117 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
118 

•S 439 IS

1 ing the debate. The total time for debate on all 

2 amendments shall not exceed 10 hours. At the con3 clusion of consideration of the legislation for amend4 ment, the Committee shall rise and report the legis5 lation to the House with such amendments as may 

6 have been adopted. The previous question shall be 

7 considered as ordered on the legislation and amend8 ments thereto to final passage without intervening 

9 motion except one motion to recommit with or with10 out instructions. If the Committee of the Whole rises 

11 and reports that it has come to no resolution on the 

12 bill, then on the next legislative day the House shall, 

13 immediately after the third daily order of business 

14 under clause 1 of Rule XIV of the Rules of the 

15 House of Representatives, resolve into the Com16 mittee of the Whole for further consideration of the 

17 bill. 

18 (3) All appeals from the decisions of the Chair 

19 relating to the application of the Rules of the House 

20 of Representatives to the procedure relating to any 

21 such legislation shall be decided without debate. 

22 (4) Except to the extent specifically provided in 

23 the preceding provisions of this subsection, consider24 ation of any such legislation and amendments there25 to (or any conference report thereon) shall be govVerDate Mar 15 2010 00:43 Mar 03, 2011 Jkt 099200 PO 00000 Frm 00118 Fmt 6652 Sfmt 6201 E:\BILLS\S439.IS S439

rfrederick on DSKD9S0YB1PROD with BILLS
119 

•S 439 IS

1 erned by the Rules of the House of Representatives 

2 applicable to other bills and resolutions, amend3 ments, and conference reports in similar cir4 cumstances. 

5 (e) LEGISLATIVE DAY DEFINED.—As used in this 

6 section, the term ‘‘legislative day’’ means a day on which 

7 the House of Representatives is in session. 

8 (f) RESTRICTION ON WAIVER.—In the House, the 

9 provisions of this section may be waived only by a rule 

10 or order proposing only to waive such provisions. 

11 (g) RULEMAKING POWER.—The provisions of this 

12 section are enacted by the Congress— 

13 (1) as an exercise of the rulemaking power of 

14 the House of Representatives and, as such, shall be 

15 considered as part of the rules of that House and 

16 shall supersede other rules only to the extent that 

17 they are inconsistent therewith; and 

18 (2) with full recognition of the constitutional 

19 right of that House to change the rules (so far as 

20 they relate to the procedures of that House) at any 

21 time, in the same manner, and to the same extent 

22 as in the case of any other rule of that House. 

23 SEC. 804. PROCEDURES IN THE SENATE. 

24 (a) INTRODUCTION AND REFERRAL OF PRESIDENT’S

25 LEGISLATIVE PROPOSAL.— 


rfrederick on DSKD9S0YB1PROD with BILLS
120 

•S 439 IS

1 (1) INTRODUCTION.—In the case of a legislative 

2 proposal submitted by the President pursuant to sec3 tion 1105(i) of title 31, United States Code, within 

4 the 15-day period specified in paragraph (1) of such 

5 section, the majority leader and minority leader of 

6 the Senate (or their designees) shall introduce such 

7 proposal (by request), the title of which is as follows: 

8 ‘‘A bill to respond to a CLASS funding warning.’’ 

9 Such bill shall be introduced within 3 days of session 

10 after Congress receives such proposal. 

11 (2) REFERRAL.—Any legislation introduced 

12 pursuant to paragraph (1) shall be referred to the 

13 Committee on Health, Education, Labor, and Pen14 sions. 

15 (b) CLASS FUNDING LEGISLATION.—For purposes 

16 of this section, the term ‘‘CLASS funding legislation’’ 

17 means— 

18 (1) legislation introduced pursuant to sub19 section (a)(1), but only if the legislative proposal 

20 upon which the legislation is based was submitted 

21 within the 15-day period referred to in such sub22 section; or 

23 (2) any bill the title of which is as follows: ‘‘A 

24 bill to respond to a CLASS funding warning.’’. 

25 (c) QUALIFICATION FOR SPECIAL PROCEDURES.— 


rfrederick on DSKD9S0YB1PROD with BILLS
121 

•S 439 IS

1 (1) IN GENERAL.—The special procedures set 

2 forth in subsections (d), (e), and (f) shall apply to 

3 CLASS funding legislation, as described in sub4 section (b), only if the legislation— 

5 (A) is CLASS funding legislation that is 

6 passed by the House of Representatives; or 

7 (B) contains matter within the jurisdiction 

8 of the Committee on Health, Education, Labor, 

9 and Pensions in the Senate. 

10 (2) FAILURE TO QUALIFY FOR SPECIAL PROCE11 DURES.—If the CLASS funding legislation does not 

12 satisfy paragraph (1), then the legislation shall be 

13 considered under the ordinary procedures of the 

14 Standing Rules of the Senate. 

15 (d) DISCHARGE.— 

16 (1) IN GENERAL.—If the Committee on Health, 

17 Education, Labor, and Pensions has not reported 

18 CLASS funding legislation described in subsection 

19 (c)(1) by June 30 of a year in which the President 

20 is required to submit CLASS funding legislation to 

21 Congress under section 1105(i) of title 31, United 

22 States Code, then any Senator may move to dis23 charge the Committee of any single CLASS funding 

24 legislation measure. 


rfrederick on DSKD9S0YB1PROD with BILLS
122 

•S 439 IS

1 (2) DEBATE LIMITS.—Debate in the Senate on 

2 any such motion to discharge, and all appeals in 

3 connection therewith, shall be limited to not more 

4 than 2 hours. The time shall be equally divided be5 tween, and controlled by, the maker of the motion 

6 and the majority leader, or their designees, except 

7 that in the event the majority leader is in favor of 

8 such motion, the time in opposition thereto shall be 

9 controlled by the minority leader or the minority 

10 leader’s designee. A point of order under this sub11 section may be made at any time. It is not in order 

12 to move to proceed to another measure or matter 

13 while such motion (or the motion to reconsider such 

14 motion) is pending. 

15 (3) AMENDMENTS.—No amendment to the mo16 tion to discharge shall be in order. 

17 (4) EXCEPTION IF CERTIFIED LEGISLATION EN18 ACTED.—Notwithstanding paragraph (1), it shall 

19 not be in order to discharge the Committee from 

20 further consideration of CLASS funding legislation 

21 pursuant to this subsection during a session of a 

22 Congress if the chairman of the Committee on the 

23 Budget of the Senate certifies that CLASS funding 

24 legislation has been enacted that makes the CLASS 

25 Independence Fund established under section 3206 


rfrederick on DSKD9S0YB1PROD with BILLS
123 

•S 439 IS

1 of the Public Health Service Act (42 U.S.C. 300ll– 

2 5) actuarially sound for the 75-year period that be3 gins with the year in which the legislation is en4 acted. 

5 (e) CONSIDERATION.— 

6 (1) MOTION TO PROCEED.—After the date on 

7 which the Committee on Health, Education, Labor, 

8 and Pensions has reported CLASS funding legisla9 tion described in subsection (c)(1), or has been dis10 charged (under subsection (d)) from further consid11 eration of, such legislation, it is in order (even 

12 though a previous motion to the same effect has 

13 been disagreed to) for any Member of the Senate to 

14 move to proceed to the consideration of such legisla15 tion. Adoption of the motion shall require an affirm16 ative vote of the majority of the Members, duly cho17 sen and sworn. 

18 (2) DEBATE.—All points of order against a 

19 CLASS funding legislation and against consideration 

20 of a CLASS funding legislation are waived. Consid21 eration of a spending reduction bill and of all debat22 able motions and appeals in connection therewith 

23 shall not exceed a total of 30 hours. Debate shall be 

24 divided equally between the majority and minority 

25 leaders or their designees. A motion further to limit 


rfrederick on DSKD9S0YB1PROD with BILLS
124 

•S 439 IS

1 debate on a CLASS funding legislation is in order, 

2 shall require an affirmative vote of the majority of 

3 the Members duly chosen and sworn, and is not de4 batable. Any debatable motion or appeal is debatable 

5 for not to exceed 1 hour, to be divided equally be6 tween those favoring and those opposing the motion 

7 or appeal. All time used for consideration of a 

8 CLASS funding legislation, including time used for 

9 quorum calls and voting, shall be counted against 

10 the total 30 hours of consideration. 

11 (f) ONLY GERMANE, ACTUARIALLY SOUND AMEND12 MENTS PERMITTED.—During any committee or floor con13 sideration of any CLASS funding legislation, only an 

14 amendment to such legislation that is germane and for 

15 which there has been an affirmative certification under 

16 subsection (d)(4) shall be in order. 

17 (g) RULES OF THE SENATE.—This section is enacted 

18 by the Senate— 

19 (1) as an exercise of the rulemaking power of 

20 the Senate and as such it is deemed a part of the 

21 rules of the Senate, but applicable only with respect 

22 to the procedure to be followed in the Senate in the 

23 case of a bill described in this paragraph, and it su24 persedes other rules only to the extent that it is in25 consistent with such rules; and 


rfrederick on DSKD9S0YB1PROD with BILLS
125 

•S 439 IS

1 (2) with full recognition of the constitutional 

2 right of the Senate to change the rules (so far as re3 lating to the procedure of the Senate) at any time, 

4 in the same manner, and to the same extent as in 

5 the case of any other rule of the Senate. 

6 Subtitle B—Modification of Medi7 care Cost Containment Trigger 

8 SEC. 811. MODIFICATION OF MEDICARE COST CONTAIN9 MENT TRIGGER. 

10 Section 801(a) of the Medicare Prescription Drug, 

11 Improvement, and Modernization Act of 2003 (42 U.S.C. 

12 1395i note) is amended by adding at the end the following 

13 new paragraph: 

14 ‘‘(4) DISREGARD OF PPACA.—On and after the 

15 date of the enactment of this paragraph, any deter16 mination under subparagraph (A) (with respect to 

17 compiling information) or subparagraph (B) of para18 graph (1) shall be made as if the provisions of, and 

19 amendments made by, the Patient Protection and 

20 Affordable Care Act (Public Law 111–148) and the 

21 Health Care and Education Reconciliation Act of 

22 2010 (Public Law 11–152), had not been enacted.’’. 

Æ 


rfrederick on DSKD9S0YB1PROD with BILLS