I 

116TH CONGRESS 

1ST SESSION H. R. 2516 

To establish a direct spending safeguard limitation on any direct spending 

program without a specific level of authorized spending, and for other 

purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 3, 2019 

Ms. FOXX of North Carolina (for herself and Mr. WOODALL) introduced the 

following bill; which was referred to the Committee on the Budget 

A BILL 

To establish a direct spending safeguard limitation on any 

direct spending program without a specific level of authorized spending, and for other purposes. 

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 ‘‘Spending Safeguard 

5 Act’’. 

6 SEC. 2. SPENDING LIMITATION ON DIRECT SPENDING PRO7 GRAMS. 

8 (a) ESTABLISHMENT OF SPENDING SAFEGUARD

9 LIMITATION.— 


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1 (1) IN GENERAL.—The Director of the Office of 

2 Management and Budget shall establish a spending 

3 limitation (in this Act referred to as a ‘‘spending 

4 safeguard limitation’’) with respect to any direct 

5 spending program not later than 90 days after any 

6 such program is enacted or reauthorized (as the case 

7 may be). 

8 (2) DETERMINATION OF SPENDING SAFEGUARD

9 LIMITATION.—The spending safeguard limitation es10 tablished under paragraph (1) for a direct spending 

11 program shall be equal to— 

12 (A) with respect to any such program 

13 within budget function 050 (Defense), 550 

14 (Health), 570 (Medicare), 600 (Income Secu15 rity), 650 (Social Security), or 700 (Veterans 

16 Benefits and Services), 120 percent of the cost 

17 of the program; and 

18 (B) with respect to any such program 

19 within any other budget function, 110 percent 

20 of the cost of the program. 

21 (3) DETERMINATION OF COST OF PROGRAM.— 

22 For purposes of paragraphs (2)(A) and (B), the cost 

23 of the program shall be the estimated six-year cost 

24 of the program, as determined by the Director using 

25 the scorecards or estimate (as the case may be) apVerDate Sep 11 2014 02:44 May 09, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2516.IH H2516

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1 plicable to the program under section 4 of the Statu2 tory Pay-As-You-Go Act of 2010 (2 U.S.C. 933). 

3 (b) SPENDING SAFEGUARD LIMITATION SCORE4 CARDS.— 

5 (1) IN GENERAL.—The Director shall maintain 

6 and make publicly available a spending safeguard 

7 limitation scorecard displaying the spending level for 

8 any direct spending program that is subject to a 

9 spending safeguard limitation pursuant to this Act. 

10 (2) MONTHLY COSTS.—Not later than 7 days 

11 after the end of each month beginning after the first 

12 full month in which such a direct spending program 

13 is operational, the Secretary of the Treasury shall 

14 transmit to the Director a report listing the total 

15 amount of spending for any direct spending program 

16 listed on the scorecard. 

17 (3) OMB BIANNUAL REPORT.—After the end of 

18 any six-month period, the Director shall submit a re19 port to the Committees on the Budget of the House 

20 of Representatives and the Senate containing the 

21 total level of spending for any such direct spending 

22 program and the relation between such level and the 

23 spending safeguard limitation applicable to such pro24 gram. 

25 (c) PRESIDENT BUDGET SUBMISSIONS.— 


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1 (1) ANNUAL.—Section 1105(a) of title 31, 

2 United States Code, is amended by adding at the 

3 end the following: 

4 ‘‘(40) a report on the total level of spending for 

5 any direct spending program subject to a spending 

6 safeguard limitation pursuant to the Spending Safe7 guard Act, and the relation between such level and 

8 the spending safeguard limitation applicable to such 

9 program.’’. 

10 (2) MID-SESSION.—Section 1106(a)(1)(C) of 

11 such title is amended by striking ‘‘section 

12 1105(a)(8) and (9)(B) and (C)’’ and inserting ‘‘sec13 tion 1105(a)(8), (9) (B) and (C), and (40)’’. 

14 (d) PROCEDURES IN CASE OF BREACH.— 

15 (1) SPENDING LIMITATION BREACH REPORT.— 

16 If, during any of the six years used to determine the 

17 cost of a direct spending program pursuant to sub18 section (a)(3), the Director determines, using the re19 ports submitted under subsection (b)(2), that a di20 rect spending program listed on the scorecard estab21 lished under subsection (b) will reach the applicable 

22 spending safeguard limitation within six months, the 

23 Director shall transmit, not later than 15 days after 

24 the date of such determination, a report to the Com25 mittees on the Budget of the House of RepresentaVerDate Sep 11 2014 02:44 May 09, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H2516.IH H2516

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1 tives and the Senate and the committees that have 

2 jurisdiction over the program. 

3 (2) OBLIGATION LIMITATION.—If, during any 

4 of such six years, the Director determines using the 

5 reports submitted under subsection (b)(2) that such 

6 a direct spending program has reached the applica7 ble spending safeguard limitation— 

8 (A) effective 30 days after such determina9 tion, no funds may be obligated to carry out 

10 such program; and 

11 (B) on the date of such determination, the 

12 Director shall submit a report to the Commit13 tees on the Budget of the House of Representa14 tives and the Senate and the committees that 

15 have jurisdiction over the program that such an 

16 obligation limitation has been imposed. 

17 (e) AGENCY PROCEDURES.—Any Federal agency im18 plementing a direct spending program listed on the score19 card established under subsection (b) shall ensure that any 

20 contract, offer of benefits, or other material provided to 

21 the program participants includes information specifying 

22 that the program is subject to a spending safeguard limi23 tation that may impact future availability of funds to pay 

24 benefits. 

25 (f) DEFINITIONS.—In this Act— 


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1 (1) the term ‘‘Director’’ means the Director of 

2 the Office of Management and Budget; 

3 (2) the term ‘‘direct spending’’ has the meaning 

4 given such term in section 250(c)(8) of the Balanced 

5 Budget and Emergency Deficit Control Act of 1985 

6 (2 U.S.C. 900(c)(8)); and 

7 (3) the term ‘‘direct spending program’’ means 

8 any Federal program funded by direct spending 

9 that— 

10 (A) is enacted or reauthorized after the 

11 date of enactment of this Act; and 

12 (B) does not have, in statute, a specific 

13 level (expressed as a dollar amount) of author14 ization of appropriations. 

15 (g) PROHIBITION ON NEW AUTHORIZATION OF

16 FUNDING.—No additional funds are authorized to be ap17 propriated to carry out this Act. 

Æ 


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