II

105TH CONGRESS

2D SESSION S. 1678

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

to extend and clarify the pay-as-you-go requirements regarding the Social

Security trust funds.

IN THE SENATE OF THE UNITED STATES

FEBRUARY 25, 1998

Mr. FEINGOLD (for himself and Mr. HOLLINGS) introduced the following bill;

which was read twice and referred jointly pursuant to the order of August

4, 1977, as modified by the order of April 11, 1986, to the Committees

on the Budget and Governmental Affairs, with instructions that if one

committee reports, the other committee have thirty days to report or be

discharged

A BILL

To amend the Balanced Budget and Emergency Deficit Control Act of 1985 to extend and clarify the pay-as-yougo requirements regarding the Social Security trust

funds.

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Social Security Trust

5 Fund Protection Act of 1998’’.
2

•S 1678 IS

1 SEC. 2. EXTENSION AND MODIFICATION OF PAY-AS-YOU-GO

2 REQUIREMENT.

3 (a) EXTENSION.—(1) Section 252(a) of the Balanced

4 Budget and Emergency Deficit Control Act of 1985 is

5 amended by striking ‘‘enacted before October 1, 2002,’’

6 both places it appears.

7 (2) Section 275(b) of the Balanced Budget and

8 Emergency Deficit Control Act of 1985 is amended by

9 striking the last sentence.

10 (b) MODIFICATION.—(1) Section 250(c) of the Bal11 anced Budget and Emergency Deficit Control Act of 1985

12 is amended by adding at the end the following new para13 graph:

14 ‘‘(20) The term ‘budget increase’ means, for

15 purposes of section 252, an increase in direct spend16 ing outlays or a decrease in receipts relative to the

17 baseline, and the term ‘budget decrease’ means, for

18 purposes of section 252, a decrease in direct spend19 ing outlays or an increase in receipts relative to the

20 baseline.’’.

21 (2) Section 252(a) of the Balanced Budget and

22 Emergency Deficit Control Act of 1985 is amended—

23 (A) by striking ‘‘increases the deficit’’ and in24 serting ‘‘results in a net budget increase’’; and
3

•S 1678 IS

1 (B) by inserting before the period the following:

2 ‘‘except to the extent that the total budget surplus

3 exceeds the social security surplus’’.

4 (3) Section 252(b)(1) of the Balanced Budget and

5 Emergency Deficit Control Act of 1985 is amended—

6 (A) in its side heading by inserting ‘‘AND

7 AMOUNT’’ after ‘‘TIMING’’; and

8 (B) by striking ‘‘net deficit increase’’ and in9 serting ‘‘net budget increase’’ and by adding at the

10 end the following new sentence: ‘‘The requirement of

11 the preceding sentence shall apply for any fiscal year

12 only to the extent that the surplus, if any, before the

13 sequestration required by this section in the total

14 budget (which, notwithstanding section 710 of the

15 Social Security Act, includes both on-budget and off16 budget Government accounts) is less than the com17 bined surplus for that year in the Federal Old-Age

18 and Survivors Insurance Trust Fund and the Fed19 eral Disability Insurance Trust Fund.’’.

20 (4) Section 252(b)(2) of the Balanced Budget and

21 Emergency Deficit Control Act of 1985 is amended—

22 (A) in its side heading by striking ‘‘DEFICIT IN23 CREASE’’ and inserting ‘‘NET BUDGET INCREASE’’;
4

•S 1678 IS

1 (B) by striking ‘‘deficit increase or decrease’’

2 the first place it appears and inserting ‘‘any net

3 budget increase’’; and

4 (C) by striking ‘‘any net deficit increase or de5 crease in the current year resulting from’’.

6 (5) The side heading of section 252(c) of the Bal7 anced Budget and Emergency Deficit Control Act of 1985

8 is amended by striking ‘‘DEFICIT INCREASE’’ and insert9 ing ‘‘NET BUDGET INCREASE’’.

Æ