II

106TH CONGRESS

1ST SESSION S. 1889

To amend the Congressional Budget Act of 1974 to provide for joint resolutions on the budget, reserve funds for emergency spending, strengthened

enforcement of budgetary decisions, increased accountability for Federal

spending, accrual budgeting for Federal insurance programs, mitigation

of the bias in the budget process toward higher spending, modifications

in paygo requirements when there is an on-budget surplus, and for

other purposes.

IN THE SENATE OF THE UNITED STATES

NOVEMBER 9, 1999

Mr. GRAMS introduced the following bill; which was read twice and referred

jointly pursuant to the order of August 4, 1977, to the Committees on

the Budget and Governmental Affairs, with instructions that if one Committee reports, the other Committee has thirty days to report or be discharged.

A BILL

To amend the Congressional Budget Act of 1974 to provide

for joint resolutions on the budget, reserve funds for

emergency spending, strengthened enforcement of budgetary decisions, increased accountability for Federal

spending, accrual budgeting for Federal insurance programs, mitigation of the bias in the budget process toward higher spending, modifications in paygo requirements when there is an on-budget surplus, and for other

purposes.
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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; TABLE OF CONTENTS.

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

5 ‘‘Comprehensive Budget Process Reform Act of 1999’’.

6 (b) TABLE OF CONTENTS.—

Sec. 1. Short title; table of contents.

Sec. 2. Purpose.

Sec. 3. Effective date.

Sec. 4. Declaration of purposes for the Budget Act.

TITLE I—BUDGET WITH FORCE OF LAW

Sec. 101. Purposes.

Sec. 102. The timetable.

Sec. 103. Annual joint resolutions on the budget.

Sec. 104. Budget required before spending bills may be considered; fall-back

procedures if President vetoes joint budget resolution.

Sec. 105. Conforming amendments to effectuate joint resolutions on the budget.

TITLE II—RESERVE FUND FOR EMERGENCIES

Sec. 201. Purpose.

Sec. 202. Repeal of adjustments for emergencies.

Sec. 203. OMB emergency criteria.

Sec. 204. Development of guidelines for application of emergency definition.

Sec. 205. Reserve fund for emergencies in President’s budget.

Sec. 206. Adjustments and reserve fund for emergencies in joint budget resolutions.

Sec. 207. Up-to-date tabulations.

Sec. 208. Prohibition on amendments to emergency reserve fund.

Sec. 209. Effective date.

TITLE III—ENFORCEMENT OF BUDGETARY DECISIONS

Sec. 301. Purposes.

Subtitle A—Application of Points of Order to Unreported Legislation

Sec. 311. Application of Budget Act points of order to unreported legislation.

Subtitle B—Compliance with Budget Resolution

Sec. 321. Budget compliance statements.

Subtitle C—Justification for Budget Act Waivers

Sec. 331. Justification for Budget Act waivers in the House of Representatives.

Subtitle D—CBO Scoring of Conference Reports
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Sec. 341. CBO scoring of conference reports.

TITLE IV—ACCOUNTABILITY FOR FEDERAL SPENDING

Sec. 401. Purposes.

Subtitle A—Limitations on Direct Spending

Sec. 411. Fixed-year authorizations required for new programs.

Sec. 412. Amendments to subject new direct spending to annual appropriations.

Subtitle B—Enhanced Congressional Oversight Responsibilities

Sec. 421. Ten-year congressional review requirement of permanent budget authority.

Sec. 422. Justifications of direct spending.

Sec. 423. Survey of activity reports of House committees.

Sec. 424. Continuing study of additional budget process reforms.

Sec. 425. GAO reports.

Subtitle C—Strengthened Accountability

Sec. 431. Ten-year CBO estimates.

Sec. 432. Repeal of rule XXIII of the Rules of the House of Representatives.

TITLE V—BUDGETING FOR UNFUNDED LIABILITIES AND OTHER

LONG-TERM OBLIGATIONS

Sec. 501. Purposes.

Subtitle A—Budgetary Treatment of Federal Insurance Programs

Sec. 511. Federal insurance programs.

Subtitle B—Reports on Long-Term Budgetary Trends

Sec. 521. Reports on long-term budgetary trends.

TITLE VI—BASELINE, BYRD RULE, LOCK-BOX, AND AUTOMATIC

CONTINUING RESOLUTION

Sec. 601. Purpose.

Subtitle A—The Baseline

Sec. 611. The President’s budget.

Sec. 612. The congressional budget.

Sec. 613. Congressional Budget Office reports to committees.

Sec. 614. Outyear assumptions for discretionary spending.

Subtitle B—The Byrd Rule

Sec. 621. Limitation on Byrd rule.

Subtitle C—Spending Accountability Lock-Box

Sec. 631. Short title.

Sec. 632. Spending accountability lock-box ledger.

Sec. 633. Downward adjustment of section 302(a) allocations and section

302(b) suballocations.
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Sec. 634. Periodic reporting of ledger statements.

Sec. 635. Downward adjustment of discretionary spending limits.

Subtitle D—Automatic Continuing Resolution

Sec. 641. Automatic continuing resolution.

TITLE VII—BUDGETING IN AN ERA OF SURPLUSES

Sec. 701. Paygo requirements and the on-budget surplus.

TITLE VIII—SOCIAL SECURITY SURPLUS PROTECTION ACT OF

1999

Sec. 801. Short title.

Sec. 802. Sequester to protect the social security surplus.

1 SEC. 2. PURPOSE.

2 The purposes of this Act are to—

3 (1) give the budget the force of law;

4 (2) budget for emergencies;

5 (3) display the unfunded liabilities of Federal

6 insurance programs;

7 (4) strengthen enforcement of budgetary deci8 sions;

9 (5) increase accountability for Federal spend10 ing;

11 (6) mitigate the bias in the budget process to12 ward higher spending; and

13 (7) modify paygo requirements when there is an

14 on-budget surplus.

15 SEC. 3. EFFECTIVE DATE.

16 Except as otherwise specifically provided, this Act

17 and the amendments made by this Act shall become effec18 tive on the date of enactment of this Act and shall apply
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1 with respect to fiscal years beginning after September 30,

2 2000.

3 SEC. 4. DECLARATION OF PURPOSES FOR THE BUDGET

4 ACT.

5 Paragraphs (1) and (2) of section 2 of the Congres6 sional Budget and Impoundment Control Act of 1974 are

7 amended to read as follows:

8 ‘‘(1) to assure effective control over the budg9 etary process;

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

11 the appropriate level of Federal revenues and ex12 penditures by the Congress and the President;’’.

13 TITLE I—BUDGET WITH FORCE

14 OF LAW

15 SEC. 101. PURPOSES.

16 The purposes of this title are to—

17 (1) focus initial budgetary deliberations on ag18 gregate levels of Federal spending and taxation;

19 (2) encourage cooperation between Congress

20 and the President in developing overall budgetary

21 priorities; and

22 (3) reach budgetary decisions early in the legis23 lative cycle.
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1 SEC. 102. THE TIMETABLE.

2 Section 300 of the Congressional Budget Act of 1974

3 is amended to read as follows:

4 ‘‘TIMETABLE

5 ‘‘SEC. 300. The timetable with respect to the congres6 sional budget process for any fiscal year is as follows:

‘‘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 ........................................... Senate Budget Committee reports

joint resolution on the budget.

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.’’.

7 SEC. 103. ANNUAL JOINT RESOLUTIONS ON THE BUDGET.

8 (a) CONTENT OF ANNUAL JOINT RESOLUTIONS ON

9 THE BUDGET.—Section 301(a) of the Congressional

10 Budget Act of 1974 is amended as follows:

11 (1) Strike paragraph (4) and insert the fol12 lowing new paragraph:

13 ‘‘(4) subtotals of new budget authority and out14 lays for nondefense discretionary spending, defense

15 discretionary spending, direct spending (excluding

16 interest), and interest; and for fiscal years to which

17 the amendments made by title II of the Comprehen-
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1 sive Budget Process Reform Act of 1999 apply, sub2 totals of new budget authority and outlays for emer3 gencies;’’.

4 (2) Strike the last sentence of such subsection.

5 (b) ADDITIONAL MATTERS IN JOINT RESOLUTION.—

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

7 is amended as follows:

8 (1) Strike paragraphs (2), (4), (6), (8), and (9)

9 and redesignate paragraph (7) as paragraph (6).

10 (2) After paragraph (1), insert the following

11 new paragraph:

12 ‘‘(2) if submitted by the Committee on Ways

13 and Means of the House of Representatives or the

14 Committee on Finance of the Senate to the Com15 mittee on the Budget of that House of Congress,

16 amend section 3101 of title 31, United States Code,

17 to change the statutory limit on the public debt;’’.

18 (3) After paragraph (3), insert the following

19 new paragraph:

20 ‘‘(4) require such other congressional proce21 dures, relating to the budget, as may be appropriate

22 to carry out the purposes of this Act;’’.

23 (c) REQUIRED CONTENTS OF REPORT.—Section

24 301(e)(2) of the Congressional Budget Act of 1974 is

25 amended as follows:
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1 (1) Redesignate subparagraphs (A), (B), (C),

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

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

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

5 insert the following new subparagraph:

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

7 each major functional category, based on alloca8 tions of the total levels set forth pursuant to

9 subsection (a)(1);’’.

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

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

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

13 insert the following new subparagraph:

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

15 domestic product, of total outlays, total Federal

16 revenues, the surplus or deficit, and new out17 lays for nondefense discretionary spending, de18 fense spending, and direct spending as set forth

19 in such resolution;’’.

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

21 insert the following new subparagraph:

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

23 includes any allocation to a committee (other

24 than the Committee on Appropriations) of levels

25 in excess of current law levels, a justification
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1 for not subjecting any program, project, or ac2 tivity (for which the allocation is made) to an3 nual discretionary appropriations;’’.

4 (d) ADDITIONAL CONTENTS OF REPORT.—Section

5 301(e)(3) of the Congressional Budget Act of 1974 is

6 amended as follows:

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

8 subparagraphs (B) and (C), respectively, strike sub9 paragraphs (C) and (D), and redesignate subpara10 graph (E) as subparagraph (D).

11 (2) Before subparagraph (B), insert the fol12 lowing new subparagraph:

13 ‘‘(A) reconciliation directives described in

14 section 310;’’.

15 (e) PRESIDENT’S BUDGET SUBMISSION TO THE CON16 GRESS.—(1) The first two sentences of section 1105(a)

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

18 follows:

19 ‘‘On or after the first Monday in January but not later

20 than the first Monday in February of each year the Presi21 dent shall submit a budget of the United States Govern22 ment for the following fiscal year which shall set forth the

23 following levels:

24 ‘‘(A) totals of new budget authority and out25 lays;
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1 ‘‘(B) total Federal revenues and the amount, if

2 any, by which the aggregate level of Federal reve3 nues should be increased or decreased by bills and

4 resolutions to be reported by the appropriate com5 mittees;

6 ‘‘(C) the surplus or deficit in the budget;

7 ‘‘(D) subtotals of new budget authority and

8 outlays for nondefense discretionary spending, de9 fense discretionary spending, direct spending, and

10 interest; and for fiscal years to which the amend11 ments made by title II of the Comprehensive Budget

12 Process Reform Act of 1999 apply, subtotals of new

13 budget authority and outlays for emergencies; and

14 ‘‘(E) the public debt.

15 Each budget submission shall include a budget message

16 and summary and supporting information and, as a sepa17 rately delineated statement, the levels required in the pre18 ceding sentence for at least each of the 9 ensuing fiscal

19 years.’’.

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

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

22 after ‘‘budget’’.

23 (f) LIMITATION ON CONTENTS OF BUDGET RESOLU24 TIONS.—Section 305 of the Congressional Budget Act of
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1 1974 is amended by adding at the end the following new

2 subsection:

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

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

5 to consider any joint resolution on the budget or any

6 amendment thereto or conference report thereon that con7 tains any matter referred to in paragraph (2).

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

9 amendment thereto or conference report thereon that con10 tains any matter not permitted in section 301(a) or (b)

11 shall not be treated in the House of Representatives or

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

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

14 subsection (c) of this section.’’.

15 SEC. 104. BUDGET REQUIRED BEFORE SPENDING BILLS

16 MAY BE CONSIDERED; FALL-BACK PROCE17 DURES IF PRESIDENT VETOES JOINT BUDG18 ET RESOLUTION.

19 (a) AMENDMENTS TO SECTION 302.—Section 302(a)

20 of the Congressional Budget Act of 1974 is amended by

21 striking paragraph (5).

22 (b) AMENDMENTS TO SECTION 303 AND CON23 FORMING AMENDMENTS.—(1) Section 303 of the Con24 gressional Budget Act of 1974 is amended—
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1 (A) in subsection (b), by striking paragraph

2 (2), by inserting ‘‘or’’ at the end of paragraph (1),

3 and by redesignating paragraph (3) as paragraph

4 (2); and

5 (B) by striking its section heading and inserting

6 the following new section heading: ‘‘CONSIDERATION

7 OF BUDGET-RELATED LEGISLATION BEFORE BUDG8 ET BECOMES LAW’’.

9 (2) Section 302(g)(1) of the Congressional Budget

10 Act of 1974 is amended by striking ‘‘and, after April 15,

11 section 303(a)’’.

12 (3)(A) Section 904(c)(1) of the Congressional Budget

13 Act of 1974 is amended by inserting ‘‘303(a),’’ before

14 ‘‘305(b)(2),’’.

15 (B) Section 904(d)(2) of the Congressional Budget

16 Act of 1974 is amended by inserting ‘‘303(a),’’ before

17 ‘‘305(b)(2),’’.

18 (c) EXPEDITED PROCEDURES UPON VETO OF JOINT

19 RESOLUTION ON THE BUDGET.—(1) Title III of the Con20 gressional Budget Act of 1974 is amended by adding after

21 section 315 the following new section:

22 ‘‘EXPEDITED PROCEDURES UPON VETO OF JOINT

23 RESOLUTION ON THE BUDGET

24 ‘‘SEC. 316. (a) SPECIAL RULE.—If the President ve25 toes a joint resolution on the budget for a fiscal year, the

26 majority leader of the House of Representatives or Senate
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1 (or his designee) may introduce a concurrent resolution

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

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

4 House fails to report such concurrent or joint resolution

5 referred to it within five calendar days (excluding Satur6 days, Sundays, or legal holidays except when that House

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

8 the committee shall be automatically discharged from fur9 ther consideration of such resolution and such resolution

10 shall be placed on the appropriate calendar.

11 ‘‘(b) PROCEDURE IN THE HOUSE OF REPRESENTA12 TIVES AND THE SENATE.—

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

14 provisions of section 305 for the consideration in the

15 House of Representatives and in the Senate of joint

16 resolutions on the budget and conference reports

17 thereon shall also apply to the consideration of con18 current resolutions on the budget introduced under

19 subsection (a) and conference reports thereon.

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

21 resolution on the budget or joint resolution on the

22 budget introduced under subsection (a), and all

23 amendments thereto and debatable motions and ap24 peals in connection therewith, shall be limited to not
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1 more than 10 hours and in the House such debate

2 shall be limited to not more than 3 hours.

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

4 Any concurrent resolution on the budget introduced under

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

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

7 BUDGET.—Notwithstanding any other provision of this

8 title, whenever a concurrent resolution on the budget de9 scribed in subsection (a) is agreed to, then the aggregates,

10 allocations, and reconciliation directives (if any) contained

11 in the report accompanying such concurrent resolution or

12 in such concurrent resolution shall be considered to be the

13 aggregates, allocations, and reconciliation directives for all

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

15 fiscal years and such concurrent resolution shall be

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

17 title and the Rules of the House of Representatives and

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

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

20 date agreed to when applied to such concurrent resolu21 tion.’’.

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

23 the Congressional Budget and Impoundment Control Act

24 of 1974 is amended by inserting after the item relating

25 to section 315 the following new item:

‘‘Sec. 316. Expedited procedures upon veto of joint resolution on the budget.’’.
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1 SEC. 105. CONFORMING AMENDMENTS TO EFFECTUATE

2 JOINT RESOLUTIONS ON THE BUDGET.

3 (a) CONFORMING AMENDMENTS TO THE CONGRES4 SIONAL BUDGET AND IMPOUNDMENT CONTROL ACT OF

5 1974.—(1)(A) Sections 301, 302, 303, 305, 308, 310,

6 311, 312, 314, 405, and 904 of the Congressional Budget

7 Act of 1974 (2 U.S.C. 621 et seq.) are amended by strik8 ing ‘‘concurrent’’ each place it appears and by inserting

9 ‘‘joint’’.

10 (B)(i) Sections 302(d), 302(g), 308(a)(1)(A), and

11 310(d)(1) of the Congressional Budget Act of 1974 are

12 amended by striking ‘‘most recently agreed to concurrent

13 resolution on the budget’’ each place it occurs and insert14 ing ‘‘most recently enacted joint resolution on the budget

15 or agreed to concurrent resolution on the budget (as appli16 cable)’’.

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

18 by striking ‘‘adoption of concurrent resolution’’ and insert19 ing ‘‘joint resolutions’’;

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

21 follows:

22 ‘‘PERMISSIBLE REVISIONS OF BUDGET RESOLUTIONS

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

24 the budget for a fiscal year has been enacted pursuant

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

26 two Houses and the President may enact a joint resolution
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1 on the budget which revises or reaffirms the joint resolu2 tion on the budget for such fiscal year most recently en3 acted. If a concurrent resolution on the budget has been

4 agreed to pursuant to section 316, then before the end

5 of such fiscal year, the two Houses may adopt a concur6 rent resolution on the budget which revises or reaffirms

7 the concurrent resolution on the budget for such fiscal

8 year most recently agreed to.’’.

9 (C) Sections 302, 303, 310, and 311, of such Act

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

11 and by inserting ‘‘enacted’’.

12 (2)(A) Paragraph (4) of section 3 of the Congres13 sional Budget and Impoundment Control Act of 1974 is

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

15 and by inserting ‘‘joint’’.

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

17 of such Act is amended—

18 (i) in the item relating to section 301, by strik19 ing ‘‘adoption of concurrent resolution’’ and insert20 ing ‘‘joint resolutions’’;

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

22 and inserting the following:

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

law.’’;

23 (iii) in the item relating to section 304, by

24 striking ‘‘concurrent’’ and inserting ‘‘budget’’ the
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1 first place it appears and by striking ‘‘on the budg2 et’’; and

3 (iv) by striking ‘‘concurrent’’ and inserting

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

5 (b) CONFORMING AMENDMENTS TO THE RULES OF

6 THE HOUSE OF REPRESENTATIVES.—(1) Clauses 1(e)(1),

7 4(a)(4), 4(b)(2), 4(f)(1)(A), and 4(f)(2) of rule X, clause

8 10 of rule XVIII, and clause 10 of rule XX of the Rules

9 of the House of Representatives are amended by striking

10 ‘‘concurrent’’ each place it appears and inserting ‘‘joint’’.

11 (2) Clause 10 of rule XVIII of the Rules of the House

12 of Representatives is amended—

13 (A) in paragraph (b)(2), by striking ‘‘(5)’’ and

14 inserting ‘‘(6)’’; and

15 (B) by striking paragraph (c).

16 (c) 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 (d) CONFORMING AMENDMENTS TO SECTION 310

23 REGARDING RECONCILIATION DIRECTIVES.—(1) The side

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

25 of 1974 (as amended by section 105(a)) is further amend-
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1 ed by inserting ‘‘JOINT EXPLANATORY STATEMENT AC2 COMPANYING CONFERENCE REPORT ON’’ before ‘‘JOINT’’.

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

4 ‘‘A’’ and inserting ‘‘The joint explanatory statement ac5 companying the conference report on a’’.

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

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

8 explanatory statement accompanying the conference re9 port on’’.

10 (4) Section 310(c)(1) of such Act is amended by in11 serting ‘‘the joint explanatory statement accompanying

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

13 (5) Subsection (g) of section 310 of such Act is re14 pealed.

15 (e) CONFORMING AMENDMENTS TO SECTION 3 RE16 GARDING DIRECT SPENDING.—Section 3 of the Congres17 sional Budget and Impoundment Control Act of 1974 is

18 amended by adding at the end the following new para19 graph:

20 ‘‘(11) The term ‘direct spending’ has the mean21 ing given to such term in section 250(c)(8) of the

22 Balanced Budget and Emergency Deficit Control

23 Act of 1985.’’.
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1 (f) TECHNICAL AMENDMENT REGARDING REVISED

2 SUBALLOCATIONS.—Section 314(d) of the Congressional

3 Budget Act of 1974 is amended by—

4 (1) striking ‘‘REPORTING’’ in the side heading,

5 by inserting ‘‘the chairmen of’’ before ‘‘the Commit6 tees’’, and by striking ‘‘may report’’ and inserting

7 ‘‘shall make and have published in the Congressional

8 Record’’; and

9 (2) adding at the end the following new sen10 tence: ‘‘For purposes of considering amendments

11 (other than for amounts for emergencies covered by

12 subsection (b)(1)), suballocations shall be deemed to

13 be so adjusted.’’.

14 TITLE II—RESERVE FUND FOR

15 EMERGENCIES

16 SEC. 201. PURPOSE.

17 The purposes of this title are to—

18 (1) develop budgetary and fiscal procedures for

19 emergencies;

20 (2) subject spending for emergencies to budg21 etary procedures and controls; and

22 (3) establish criteria for determining compliance

23 with emergency requirements.
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1 SEC. 202. REPEAL OF ADJUSTMENTS FOR EMERGENCIES.

2 (a) DISCRETIONARY SPENDING LIMITS.—(1) Section

3 251(b)(2)(A) of the Balanced Budget and Emergency

4 Deficit Control Act of 1985 is repealed.

5 (2) Such section 251(b)(2) is further amended by re6 designating subparagraphs (B) through (G) as subpara7 graphs (A) through (F).

8 (b) DIRECT SPENDING.—Sections 252(e) and

9 252(d)(4)(B) of the Balanced Budget and Emergency

10 Deficit Control Act of 1985 are repealed.

11 (c) EMERGENCY DESIGNATION.—Clause 2 of rule

12 XXI of the Rules of the House of Representatives is

13 amended by repealing paragraph (e) and by redesignating

14 paragraph (f) as paragraph (e).

15 (d) AMOUNT OF ADJUSTMENTS.—Section 314(b) of

16 the Congressional Budget Act of 1974 is amended by

17 striking paragraph (1) and by redesignating paragraphs

18 (2) through (6) as paragraphs (1) through (5), respec19 tively.

20 SEC. 203. OMB EMERGENCY CRITERIA.

21 Section 3 of the Congressional Budget and Impound22 ment Control Act of 1974 (as amended by section 105(e))

23 is further amended by adding at the end the following new

24 paragraph:

25 ‘‘(12)(A) The term ‘emergency’ means a situa26 tion that—
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1 ‘‘(i) requires new budget authority and

2 outlays (or new budget authority and the out3 lays flowing therefrom) for the prevention or

4 mitigation of, or response to, loss of life or

5 property, or a threat to national security; and

6 ‘‘(ii) is unanticipated.

7 ‘‘(B) As used in subparagraph (A), the term

8 ‘unanticipated’ means that the situation is—

9 ‘‘(i) sudden, which means quickly coming

10 into being or not building up over time;

11 ‘‘(ii) urgent, which means a pressing and

12 compelling need requiring immediate action;

13 ‘‘(iii) unforeseen, which means not pre14 dicted or anticipated as an emerging need; and

15 ‘‘(iv) temporary, which means not of a per16 manent duration.’’.

17 SEC. 204. DEVELOPMENT OF GUIDELINES FOR APPLICA18 TION OF EMERGENCY DEFINITION.

19 Not later than 5 months after the date of enactment

20 of this Act, the chairmen of the Committees on the Budget

21 (in consultation with the President) shall, after consulting

22 with the chairmen of the Committees on Appropriations

23 and applicable authorizing committees of their respective

24 Houses and the Directors of the Congressional Budget Of25 fice and the Office of Management and Budget, jointly
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1 publish in the Congressional Record guidelines for applica2 tion of the definition of emergency set forth in section

3 3(12) of the Congressional Budget and Impoundment

4 Control Act of 1974.

5 SEC. 205. RESERVE FUND FOR EMERGENCIES IN PRESI6 DENT’S BUDGET.

7 Section 1105(f) of title 31, United States Code is

8 amended by adding at the end the following new sen9 tences: ‘‘Such budget submission shall also comply with

10 the requirements of section 317(b) of the Congressional

11 Budget Act of 1974 and, in the case of any budget author12 ity requested for an emergency, such submission shall in13 clude a detailed justification of why such emergency is an

14 emergency within the meaning of section 3(12) of the Con15 gressional Budget Act of 1974.’’.

16 SEC. 206. ADJUSTMENTS AND RESERVE FUND FOR EMER17 GENCIES IN JOINT BUDGET RESOLUTIONS.

18 (a) EMERGENCIES.—Title III of the Congressional

19 Budget Act of 1974 (as amended by section 104(c)) is

20 further amended by adding at the end the following new

21 section:

22 ‘‘EMERGENCIES

23 ‘‘SEC. 317. (a) ADJUSTMENTS.—

24 ‘‘(1) IN GENERAL.—After the reporting of a bill

25 or joint resolution or the submission of a conference

26 report thereon that provides budget authority for
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1 any emergency as identified pursuant to subsection

2 (c), the Committee on the Budget of the House of

3 Representatives or the Senate shall—

4 ‘‘(A) determine and certify, pursuant to

5 the guidelines referred to in section 204 of the

6 Comprehensive Budget Process Reform Act of

7 1999, the portion (if any) of the amount so

8 specified that is for an emergency within the

9 meaning of section 3(12); and

10 ‘‘(B) make the adjustment set forth in

11 paragraph (2) for the amount of new budget

12 authority (or outlays) in that measure and the

13 outlays flowing from that budget authority.

14 ‘‘(2) MATTERS TO BE ADJUSTED.—The adjust15 ments referred to in paragraph (1) are to be made

16 to the allocations made pursuant to the appropriate

17 joint resolution on the budget (or concurrent resolu18 tion on the budget, as the case may be) pursuant to

19 section 302(a) and shall be in an amount not to ex20 ceed the amount reserved for emergencies pursuant

21 to the requirements of subsection (b).

22 ‘‘(b) RESERVE FUND FOR EMERGENCIES.—

23 ‘‘(1) AMOUNTS.—The amount set forth in the

24 reserve fund for emergencies for budget authority
24

•S 1889 RIS

1 and outlays for a fiscal year pursuant to section

2 301(a)(4) shall equal—

3 ‘‘(A) the average of the enacted levels of

4 budget authority for emergencies in the 5 fiscal

5 years preceding the current year; and

6 ‘‘(B) the average of the levels of outlays

7 for emergencies in the 5 fiscal years preceding

8 the current year flowing from the budget au9 thority referred to in subparagraph (A), but

10 only in the fiscal year for which such budget

11 authority first becomes available for obligation.

12 ‘‘(2) AVERAGE LEVELS.—For purposes of para13 graph (1), the amount used for a fiscal year to cal14 culate the average of the enacted levels when one or

15 more of such 5 preceding fiscal years is any of fiscal

16 years 1994 through 1998 is as follows: the amount

17 of enacted levels of budget authority and the amount

18 of new outlays flowing therefrom for emergencies,

19 but only in the fiscal year for which such budget au20 thority first becomes available for obligation for each

21 of such 5 fiscal years, which shall be determined by

22 the Committees on the Budget of the House of Rep23 resentatives and the Senate after receipt of a report

24 on such matter transmitted to such committees by

25 the Director of the Congressional Budget Office 6
25

•S 1889 RIS

1 months after the date of enactment of this section

2 and thereafter in February of each calendar year.

3 ‘‘(c) COMMITTEE NOTIFICATION OF EMERGENCY

4 LEGISLATION.—Whenever any committee of either House

5 (including a committee of conference) reports any bill or

6 joint resolution that provides budget authority for any

7 emergency, the report accompanying that bill or joint reso8 lution (or the joint explanatory statement of managers in

9 the case of a conference report on any such bill or joint

10 resolution) shall identify all provisions that provide budget

11 authority and the outlays flowing therefrom for such emer12 gency and include a statement of the reasons why such

13 budget authority meets the definition of an emergency

14 pursuant to the guidelines referred to in section 204 of

15 the Comprehensive Budget Process Reform Act of 1999.’’.

16 (b) CONFORMING AMENDMENT.—The table of con17 tents set forth in section 1(b) of the Congressional Budget

18 and Impoundment Control Act of 1974 is amended by in19 serting after the item relating to section 316 the following

20 new item:

‘‘Sec. 317. Emergencies.’’.

21 SEC. 207. UP-TO-DATE TABULATIONS.

22 Section 308(b)(2) of the Congressional Budget Act

23 of 1974 is amended by striking ‘‘and’’ at the end of sub24 paragraph (B), by striking the period at the end of sub-
26

•S 1889 RIS

1 paragraph (C) and inserting ‘‘; and’’, and by adding at

2 the end the following new subparagraph:

3 ‘‘(D) shall include an up-to-date tabulation

4 of amounts remaining in the reserve fund for

5 emergencies.’’.

6 SEC. 208. PROHIBITION ON AMENDMENTS TO EMERGENCY

7 RESERVE FUND.

8 (a) POINT OF ORDER.—Section 305 of the Congres9 sional Budget Act of 1974 (as amended by section 103(c))

10 is further amended by adding at the end the following new

11 subsection:

12 ‘‘(f) POINT OF ORDER REGARDING EMERGENCY RE13 SERVE FUND.—It shall not be in order in the House of

14 Representatives or in the Senate to consider an amend15 ment to a joint resolution on the budget (or concurrent

16 resolution on the budget, as the case may be) which

17 changes the amount of budget authority and outlays set

18 forth in section 301(a)(4) for emergency reserve fund.’’.

19 (b) TECHNICAL AMENDMENT.—(1) Section 904(c)(1)

20 of the Congressional Budget Act of 1974 is amended by

21 inserting ‘‘305(e), 305(f),’’ after ‘‘305(c)(4),’’.

22 (2) Section 904(d)(2) of the Congressional Budget

23 Act of 1974 is amended by inserting ‘‘305(e), 305(f),’’

24 after ‘‘305(c)(4),’’.
27

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1 SEC. 209. EFFECTIVE DATE.

2 The amendments made by this title shall apply to fis3 cal year 2001 and subsequent fiscal years, but such

4 amendments shall take effect only after the enactment of

5 legislation changing or extending for any fiscal year the

6 budgetary procedures set forth in sections 251 and 252

7 of the Balanced Budget and Emergency Deficit Control

8 Act of 1985.

9 TITLE III—ENFORCEMENT OF

10 BUDGETARY DECISIONS

11 SEC. 301. PURPOSES.

12 The purposes of this title are to—

13 (1) close loopholes in the enforcement of budget

14 resolutions;

15 (2) require committees of the House of Rep16 resentatives to include budget compliance statements

17 in reports accompanying all legislation;

18 (3) require committees of the House of Rep19 resentatives to justify the need for waivers of the

20 Congressional Budget Act of 1974; and

21 (4) provide cost estimates of conference reports.
28

•S 1889 RIS

1 Subtitle A—Application of Points of

2 Order to Unreported Legislation

3 SEC. 311. APPLICATION OF BUDGET ACT POINTS OF ORDER

4 TO UNREPORTED LEGISLATION.

5 (a) Section 315 of the Congressional Budget Act of

6 1974 is amended by striking ‘‘reported’’ the first place it

7 appears.

8 (b) Section 303(b) of the Congressional Budget Act

9 of 1974 (as amended by section 104(b)(1)) is further

10 amended—

11 (1) in paragraph (1), by striking ‘‘(A)’’ and by

12 redesignating subparagraph (B) as paragraph (2)

13 and by striking the semicolon at the end of such new

14 paragraph (2) and inserting a period; and

15 (2) by striking paragraph (2) (as redesignated

16 by such section 104(b)(1)).

17 Subtitle B—Compliance with

18 Budget Resolution

19 SEC. 321. BUDGET COMPLIANCE STATEMENTS.

20 Clause 3(d) of rule XIII of the Rules of the House

21 of Representatives is amended by adding at the end the

22 following new subparagraph:

23 ‘‘(4) A budget compliance statement prepared

24 by the chairman of the Committee on the Budget,

25 if timely submitted prior to the filing of the report,
29

•S 1889 RIS

1 which shall include assessment by such chairman as

2 to whether the bill or joint resolution complies with

3 the requirements of sections 302, 303, 306, 311,

4 and 401 of the Congressional Budget Act of 1974

5 and may include the budgetary implications of that

6 bill or joint resolution under section 251 or 252 of

7 the Balanced Budget and Emergency Deficit Control

8 Act of 1985, as applicable.’’.

9 Subtitle C—Justification for

10 Budget Act Waivers

11 SEC. 331. JUSTIFICATION FOR BUDGET ACT WAIVERS IN

12 THE HOUSE OF REPRESENTATIVES.

13 Clause 6 of rule XIII of the Rules of the House of

14 Representatives is amended by adding at the end the fol15 lowing new paragraph:

16 ‘‘(h) It shall not be in order to consider any resolution

17 from the Committee on Rules for the consideration of any

18 reported bill or joint resolution which waives section 302,

19 303, 311, or 401 of the Congressional Budget Act of

20 1974, unless the report accompanying such resolution in21 cludes a description of the provision proposed to be

22 waived, an identification of the section being waived, the

23 reasons why such waiver should be granted, and an esti24 mated cost of the provisions to which the waiver applies.’’.
30

•S 1889 RIS

1 Subtitle D—CBO Scoring of

2 Conference Reports

3 SEC. 341. CBO SCORING OF CONFERENCE REPORTS.

4 (a) The first sentence of section 402 of the Congres5 sional Budget Act of 1974 is amended as follows:

6 (1) Insert ‘‘or conference report thereon,’’ be7 fore ‘‘and submit’’.

8 (2) In paragraph (1), strike ‘‘bill or resolution’’

9 and insert ‘‘bill, joint resolution, or conference re10 port’’.

11 (3) At the end of paragraph (2) strike ‘‘and’’,

12 at the end of paragraph (3) strike the period and in13 sert ‘‘; and’’, and after such paragraph (3) add the

14 following new paragraph:

15 ‘‘(4) A determination of whether such bill, joint

16 resolution, or conference report provides direct

17 spending.’’.

18 (b) The second sentence of section 402 of the Con19 gressional Budget Act of 1974 is amended by inserting

20 before the period the following: ‘‘, or in the case of a con21 ference report, shall be included in the joint explanatory

22 statement of managers accompanying such conference re23 port if timely submitted before such report is filed’’.
31

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1 TITLE IV—ACCOUNTABILITY

2 FOR FEDERAL SPENDING

3 SEC. 401. PURPOSES.

4 The purposes of this title are to—

5 (1) require committees to develop a schedule for

6 reauthorizing all programs within their jurisdictions;

7 (2) facilitate amendments to subject new enti8 tlement programs to annual discretionary appropria9 tions;

10 (3) require the Committee on the Budget to

11 justify any allocation to an authorizing committee

12 for legislation that would not be subject to annual

13 discretionary appropriation;

14 (4) provide estimates of the long-term impact of

15 spending and tax legislation;

16 (5) provide a point of order for legislation cre17 ating a new direct spending program that does not

18 expire within 10 years; and

19 (6) require a vote in the House of Representa20 tives on any measure that increases the statutory

21 limit on the public debt.
32

•S 1889 RIS

1 Subtitle A—Limitations on Direct

2 Spending

3 SEC. 411. FIXED-YEAR AUTHORIZATIONS REQUIRED FOR

4 NEW PROGRAMS.

5 (a) IN GENERAL.—Section 401 of the Congressional

6 Budget Act of 1974 is amended—

7 (1) by striking subsections (a) and (b) and in8 serting the following new subsection:

9 ‘‘(a) LIMITATION ON DIRECT SPENDING.—It shall

10 not be in order in the House of Representatives or in the

11 Senate to consider a bill or joint resolution, or an amend12 ment, motion, or conference report that provides direct

13 spending for a new program, unless such spending is lim14 ited to a period of 10 or fewer fiscal years.’’;

15 (2) by redesignating subsection (c) as sub16 section (b) and by striking ‘‘Subsections (a) and (b)

17 each place it appears and inserting ‘‘Subsection (a)’’

18 in such redesignated subsection (b); and

19 (3) by amending the section heading to read as

20 follows:

21 ‘‘FIXED-YEAR AUTHORIZATIONS REQUIRED FOR DIRECT

22 SPENDING’’.

23 (b) CONFORMING AMENDMENT.—The item relating

24 to section 401 in the table of contents set forth in section
33

•S 1889 RIS

1 1(b) of the Congressional Budget and Impoundment Con2 trol Act of 1974 is amended to read as follows:

‘‘Sec. 401. Fixed-year authorizations required for direct spending.’’.

3 (c) LIMITATION ON AUTHORIZATION OF DISCRE4 TIONARY APPROPRIATIONS.—Rule XXI of the Rules of the

5 House of Representatives is amended by adding at the end

6 the following new clause:

7 ‘‘6. It shall not be in order to consider any bill, joint

8 resolution, amendment, or conference report that author9 izes the appropriation of new budget authority (as defined

10 in section 3(2)(C) of the Congressional Budget and Im11 poundment Control Act of 1974) for a new program, un12 less such authorization is specifically provided for a period

13 of 10 or fewer fiscal years.’’.

14 SEC. 412. AMENDMENTS TO SUBJECT NEW DIRECT SPEND15 ING TO ANNUAL APPROPRIATIONS.

16 (a) HOUSE PROCEDURES.—Clause 5 of rule XVIII

17 of the Rules of the House of Representatives is amended

18 by adding at the end the following new paragraph:

19 ‘‘(c)(1) In the Committee of the Whole, an amend20 ment only to subject a new program which provides direct

21 spending to discretionary appropriations, if offered by the

22 chairman of the Committee on the Budget (or his des23 ignee) or the chairman of the Committee of Appropria24 tions (or his designee), may be precluded from consider25 ation only by the specific terms of a special order of the
34

•S 1889 RIS

1 House. Any such amendment, if offered, shall be debatable

2 for twenty minutes equally divided and controlled by the

3 proponent of the amendment and a Member opposed and

4 shall not be subject to amendment.

5 ‘‘(2) As used in subparagraph (1), the term ‘direct

6 spending’ has the meaning given such term in section

7 3(11) of the Congressional Budget and Impoundment

8 Control Act of 1974.’’.

9 (b) ADJUSTMENT OF DISCRETIONARY SPENDING

10 LIMITS FOR DISCRETIONARY APPROPRIATIONS OFFSET

11 BY DIRECT SPENDING SAVINGS.—

12 (1) PURPOSE.—The purpose of the amend13 ments made by this subsection is to hold the discre14 tionary spending limits and the allocations made to

15 the Committee on Appropriations under section

16 302(a) of the Congressional Budget Act of 1974

17 harmless for legislation that offsets a new discre18 tionary program with a designated reduction in di19 rect spending.

20 (2) DESIGNATING DIRECT SPENDING SAVINGS

21 IN AUTHORIZATION LEGISLATION FOR NEW DISCRE22 TIONARY PROGRAMS.—Section 252 of the Balanced

23 Budget and Emergency Deficit Control Act of 1985

24 (as amended by section 202) is further amended by

25 adding at the end the following new subsection:
35

•S 1889 RIS

1 ‘‘(e) OFFSETS.—If a provision of direct spending leg2 islation is enacted that—

3 ‘‘(1) decreases direct spending for any fiscal

4 year; and

5 ‘‘(2) is designated as an offset pursuant to this

6 subsection and such designation specifically identi7 fies an authorization of discretionary appropriations

8 (contained in such legislation) for a new program,

9 then the reductions in new budget authority and outlays

10 in all fiscal years resulting from that provision shall be

11 designated as an offset in the reports required under sub12 section (d).’’.

13 (3) EXEMPTING SUCH DESIGNATED DIRECT

14 SPENDING SAVINGS FROM PAYGO SCORECARD.—Sec15 tion 252(d)(4) of the Balanced Budget and Emer16 gency Deficit Control Act of 1985 (as amended by

17 section 202(b)) is further amended by adding at the

18 end the following new subparagraph:

19 ‘‘(B) offset provisions as designated under

20 subsection (e).’’.

21 (4) ADJUSTMENT IN DISCRETIONARY SPENDING

22 LIMITS.—Section 251(b)(2) of the Balanced Budget

23 and Emergency Deficit Control Act of 1985 (as

24 amended by section 202(a)(2)) is further amended
36

•S 1889 RIS

1 by adding at the end the following new subpara2 graph:

3 ‘‘(G) DISCRETIONARY AUTHORIZATION

4 OFFSETS.—If an Act other than an appropria5 tion Act includes any provision reducing direct

6 spending and specifically identifies any such

7 provision as an offset pursuant to section

8 252(e), the adjustments shall be an increase in

9 the discretionary spending limits for budget au10 thority and outlays in each fiscal year equal to

11 the amount of the budget authority and outlay

12 reductions, respectively, achieved by the speci13 fied offset in that fiscal year, except that the

14 adjustments for the budget year in which the

15 offsetting provision takes effect shall not exceed

16 the amount of discretionary new budget author17 ity provided for the new program (authorized in

18 that Act) in an Act making discretionary appro19 priations and the outlays flowing therefrom.’’.

20 (5) ADJUSTMENT IN APPROPRIATION COMMIT21 TEE’S ALLOCATIONS.—Section 314(b) of the Con22 gressional Budget Act of 1974 (as amended by sec23 tion 202(d)) is further amended by striking ‘‘; or’’

24 at the end of paragraph (4), by striking the period

25 and inserting ‘‘; or’’ at the end of paragraph (5),
37

•S 1889 RIS

1 and by adding at the end the following new para2 graph:

3 ‘‘(6) the amount provided in an Act making dis4 cretionary appropriations for the program for which

5 an offset was designated pursuant to section 252(e)

6 of the Balanced Budget and Emergency Deficit Con7 trol Act of 1985 and any outlays flowing therefrom,

8 but not to exceed the amount of the designated de9 crease in direct spending for that year for that pro10 gram in a prior law.’’.

11 (6) ADJUSTMENT IN AUTHORIZING COMMIT12 TEE’S ALLOCATIONS.—Section 314 of the Congres13 sional Budget Act of 1974 is amended by adding at

14 the end the following new subsection:

15 ‘‘(f) ADJUSTMENT IN AUTHORIZING COMMITTEE’S

16 ALLOCATIONS BY AMOUNT OF DIRECT SPENDING OFF17 SET.—After the reporting of a bill or joint resolution (by

18 a committee other than the Committee on Appropria19 tions), or the offering of an amendment thereto or the sub20 mission of a conference report thereon, that contains a

21 provision that decreases direct spending for any fiscal year

22 and that is designated as an offset pursuant to section

23 252(e) of the Balanced Budget and Emergency Deficit

24 Control Act of 1985, the chairman of the Committee on

25 the Budget shall reduce the allocations of new budget au-
38

•S 1889 RIS

1 thority and outlays made to such committee under section

2 302(a)(1) by the amount so designated.’’.

3 Subtitle B—Enhanced Congres4 sional Oversight Responsibil5 ities

6 SEC. 421. TEN-YEAR CONGRESSIONAL REVIEW REQUIRE7 MENT OF PERMANENT BUDGET AUTHORITY.

8 (a) TIMETABLE FOR REVIEW.—Clause 2(d)(1) of

9 rule X of the Rules of the House of Representatives is

10 amended by striking subdivisions (B) and (C) and insert11 ing the following new subdivision:

12 ‘‘(B) provide in its plans a specific timetable for

13 its review of those laws, programs, or agencies with14 in its jurisdiction, including those that operate under

15 permanent budget authority or permanent statutory

16 authority and such timetable shall demonstrate that

17 each law, program, or agency within the committee’s

18 jurisdiction will be reauthorized at least once every

19 ten years.’’.

20 (b) REVIEW OF PERMANENT BUDGET AUTHORITY

21 BY THE COMMITTEE ON APPROPRIATIONS.—Clause 4(a)

22 of rule X of the Rules of the House of Representatives

23 is amended—

24 (1) by striking subparagraph (2); and
39

•S 1889 RIS

1 (2) by redesignating subparagraphs (3) and (4)

2 as subparagraphs (2) and (3) and by striking ‘‘from

3 time to time’’ and inserting ‘‘at least once each Con4 gress’’ in subparagraph (2) (as redesignated).

5 (c) CONFORMING AMENDMENT.—Clause 4(e)(2) of

6 rule X of the Rules of the House of Representatives is

7 amended by striking ‘‘from time to time’’ and inserting

8 ‘‘at least once every ten years’’.

9 SEC. 422. JUSTIFICATIONS OF DIRECT SPENDING.

10 (a) SECTION 302 ALLOCATIONS.—Section 302(a) of

11 the Congressional Budget Act of 1974 (as amended by

12 section 104(a)) is further amended by adding at the end

13 the following new paragraph:

14 ‘‘(5) JUSTIFICATION OF CERTAIN SPENDING AL15 LOCATIONS.—The joint explanatory statement ac16 companying a conference report on a joint resolution

17 on the budget that includes any allocation to a com18 mittee (other than the Committee on Appropria19 tions) of levels in excess of current law levels shall

20 set forth a justification for not subjecting any pro21 gram, project, or activity (for which the allocation is

22 made) to annual discretionary appropriation.’’.

23 (b) PRESIDENTS’ BUDGET SUBMISSIONS.—Section

24 1105(a) of title 31, United States Code, is amended by

25 adding at the end the following new paragraph:
40

•S 1889 RIS

1 ‘‘(33) a justification for not subjecting each

2 new program, project, or activity to discretionary ap3 propriations.’’.

4 (c) COMMITTEE JUSTIFICATION FOR DIRECT SPEND5 ING.—Clause 4(e)(2) of rule X of the Rules of the House

6 of Representatives is amended by inserting before the pe7 riod the following: ‘‘, and will provide specific information

8 in any report accompanying such bills and joint resolu9 tions to the greatest extent practicable to justify why the

10 programs, projects, and activities involved would not be

11 subject to annual appropriation’’.

12 SEC. 423. SURVEY OF ACTIVITY REPORTS OF HOUSE COM13 MITTEES.

14 Clause 1(d) of rule XI of the Rules of the House of

15 Representatives is amended by redesignating paragraph

16 (4) as paragraph (5) and by inserting after paragraph (3)

17 the following new paragraph:

18 ‘‘(4) Such report shall include a summary of and jus19 tifications for all bills and joint resolutions reported by

20 such committee that—

21 ‘‘(A) were considered before the adoption of the

22 appropriate budget resolution and did not fall within

23 an exception set forth in section 303(b) of the Con24 gressional Budget Act of 1974;
41

•S 1889 RIS

1 ‘‘(B) exceeded its allocation under section

2 302(a) of such Act or breached an aggregate level

3 in violation of section 311 of such Act; or

4 ‘‘(C) contained provisions in violation of section

5 401(a) of such Act pertaining to indefinite direct

6 spending authority.

7 Such report shall also specify the total amount by which

8 legislation reported by that committee exceeded its alloca9 tion under section 302(a) or breached the revenue floor

10 under section 311(a) of such Act for each fiscal year dur11 ing that Congress.’’.

12 SEC. 424. CONTINUING STUDY OF ADDITIONAL BUDGET

13 PROCESS REFORMS.

14 Section 703 of the Congressional Budget Act of 1974

15 is amended as follows:

16 (1) In subsection (a), strike ‘‘and’’ at the end

17 of paragraph (3), strike the period at the end of

18 paragraph (4) and insert ‘‘; and’’, and at the end

19 add the following new paragraph:

20 ‘‘(5) evaluating whether existing programs,

21 projects, and activities should be subject to discre22 tionary appropriations and establishing guidelines

23 for subjecting new or expanded programs, projects,

24 and activities to annual appropriation and rec25 ommend any necessary changes in statutory enforce-
42

•S 1889 RIS

1 ment mechanisms and scoring conventions to effec2 tuate such changes.’’.

3 (2) In subsection (b), strike ‘‘from time to

4 time’’ and insert ‘‘during the One Hundred Sixth

5 Congress’’.

6 SEC. 425. GAO REPORTS.

7 The last sentence of section 404 of the Congres8 sional Budget Act of 1974 is amended to read as follows:

9 ‘‘Such report shall be revised at least once every five years

10 and shall be transmitted to the chairman and ranking mi11 nority member of each committee of the House of Rep12 resentatives and the Senate.’’.

13 Subtitle C—Strengthened

14 Accountability

15 SEC. 431. TEN-YEAR CBO ESTIMATES.

16 (a) CBO REPORTS ON LEGISLATION.—Section

17 308(a)(1)(B) of the Congressional Budget Act of 1974 is

18 amended by striking ‘‘four’’ and inserting ‘‘nine’’.

19 (b) ANALYSIS BY CBO.—Section 402(1) of the Con20 gressional Budget Act of 1974 is amended by striking ‘‘4’’

21 and inserting ‘‘nine’’.

22 (c) COST ESTIMATES.—Clause 3(d)(2)(A) of rule

23 XIII of the Rules of the House of Representatives is

24 amended by striking ‘‘five’’ each place it appears and in25 serting ‘‘10’’.
43

•S 1889 RIS

1 SEC. 432. REPEAL OF RULE XXIII OF THE RULES OF THE

2 HOUSE OF REPRESENTATIVES.

3 Rule XXIII of the Rules of the House of Representa4 tives (relating to the establishment of the statutory limit

5 on the public debt) is repealed.

6 TITLE V—BUDGETING FOR UN7 FUNDED LIABILITIES AND

8 OTHER LONG-TERM OBLIGA9 TIONS

10 SEC. 501. PURPOSES.

11 The purposes of this title are to—

12 (1) budget for the long-term costs of Federal

13 insurance programs;

14 (2) improve congressional control of those costs;

15 and

16 (3) periodically report on long-term budgetary

17 trends.

18 Subtitle A—Budgetary Treatment

19 of Federal Insurance Programs

20 SEC. 511. FEDERAL INSURANCE PROGRAMS.

21 (a) IN GENERAL.—The Congressional Budget Act of

22 1974 is amended by adding after title V the following new

23 title:
44

•S 1889 RIS

1 ‘‘TITLE VI—BUDGETARY TREAT2 MENT OF FEDERAL INSUR3 ANCE PROGRAMS

4 ‘‘SEC. 601. SHORT TITLE.

5 ‘‘This title may be cited as the ‘Federal Insurance

6 Budgeting Act of 1999’.

7 ‘‘SEC. 602. BUDGETARY TREATMENT.

8 ‘‘(a) PRESIDENT’S BUDGET.—Beginning with fiscal

9 year 2006, the budget of the Government pursuant to sec10 tion 1105(a) of title 31, United States Code, shall be

11 based on the risk-assumed cost of Federal insurance pro12 grams.

13 ‘‘(b) BUDGET ACCOUNTING.—For any Federal insur14 ance program—

15 ‘‘(1) the program account shall—

16 ‘‘(A) pay the risk-assumed cost borne by

17 the taxpayer to the financing account, and

18 ‘‘(B) pay actual insurance program admin19 istrative costs;

20 ‘‘(2) the financing account shall—

21 ‘‘(A) receive premiums and other income,

22 ‘‘(B) pay all claims for insurance and re23 ceive all recoveries,

24 ‘‘(C) transfer to the program account on

25 not less than an annual basis amounts nec-
45

•S 1889 RIS

1 essary to pay insurance program administrative

2 costs;

3 ‘‘(3) a negative risk-assumed cost shall be

4 transferred from the financing account to the pro5 gram account, and shall be transferred from the pro6 gram account to the general fund; and

7 ‘‘(4) all payments by or receipts of the financ8 ing accounts shall be treated in the budget as a

9 means of financing.

10 ‘‘(c) APPROPRIATIONS REQUIRED.—(1) Notwith11 standing any other provision of law, insurance commit12 ments may be made for fiscal year 2006 and thereafter

13 only to the extent that new budget authority to cover their

14 risk-assumed cost is provided in advance in an appropria15 tion Act.

16 ‘‘(2) An outstanding insurance commitment shall not

17 be modified in a manner that increases its risk-assumed

18 cost unless budget authority for the additional cost has

19 been provided in advance.

20 ‘‘(3) Paragraph (1) shall not apply to Federal insur21 ance programs that constitute entitlements.

22 ‘‘(d) REESTIMATES.—The risk-assumed cost for a

23 fiscal year shall be reestimated in each subsequent year.

24 Such reestimate can equal zero. In the case of a positive

25 reestimate, the amount of the reestimate shall be paid
46

•S 1889 RIS

1 from the program account to the financing account. In

2 the case of a negative reestimate, the amount of the reesti3 mate shall be paid from the financing account to the pro4 gram account, and shall be transferred from the program

5 account to the general fund. Reestimates shall be dis6 played as a distinct and separately identified subaccount

7 in the program account.

8 ‘‘(e) ADMINISTRATIVE EXPENSES.—All funding for

9 an agency’s administration of a Federal insurance pro10 gram shall be displayed as a distinct and separately identi11 fied subaccount in the program account.

12 ‘‘SEC. 603. TIMETABLE FOR IMPLEMENTATION OF ACCRUAL

13 BUDGETING FOR FEDERAL INSURANCE PRO14 GRAMS.

15 ‘‘(a) AGENCY REQUIREMENTS.—Agencies with re16 sponsibility for Federal insurance programs shall develop

17 models to estimate their risk-assumed cost by year

18 through the budget horizon and shall submit those models,

19 all relevant data, a justification for critical assumptions,

20 and the annual projected risk-assumed costs to OMB with

21 their budget requests each year starting with the request

22 for fiscal year 2002. Agencies will likewise provide OMB

23 with annual estimates of modifications, if any, and reesti24 mates of program costs.
47

•S 1889 RIS

1 ‘‘(b) DISCLOSURE.—When the President submits a

2 budget of the Government pursuant to section 1105(a) of

3 title 31, United States Code, for fiscal year 2002, OMB

4 shall publish a notice in the Federal Register advising in5 terested persons of the availability of information describ6 ing the models, data (including sources), and critical as7 sumptions (including explicit or implicit discount rate as8 sumptions) that it would use to estimate the risk-assumed

9 cost of Federal insurance programs and giving such inter10 ested persons an opportunity to submit comments.

11 ‘‘(c) REVISION.—(1) After consideration of comments

12 pursuant to subsection (b), and in consultation with the

13 Committees on the Budget of the House of Representa14 tives and the Senate, OMB and CBO shall revise the mod15 els, data, and major assumptions they would use to esti16 mate the risk-assumed cost of Federal insurance pro17 grams.

18 ‘‘(2) When the President submits a budget of the

19 Government pursuant to section 1105(a) of title 31,

20 United States Code, for fiscal year 2003, OMB shall pub21 lish a notice in the Federal Register advising interested

22 persons of the availability of information describing the

23 models, data (including sources), and critical assumptions

24 (including explicit or implicit discount rate assumptions)
48

•S 1889 RIS

1 that it or other executive branch entities used to estimate

2 the risk-assumed cost of Federal insurance programs.

3 ‘‘(d) DISPLAY.—

4 ‘‘(1) IN GENERAL.—For fiscal years 2003,

5 2004, and 2005 the budget submissions of the Presi6 dent pursuant to section 1105(a) of title 31, United

7 States Code, and CBO’s reports on the economic

8 and budget outlook pursuant to section 202(e)(1)

9 and the President’s budgets, shall for display pur10 poses only, estimate the risk-assumed cost of exist11 ing or proposed Federal insurance programs.

12 ‘‘(2) OMB.—The display in the budget submis13 sions of the President for fiscal years 2003, 2004,

14 and 2005 shall include—

15 ‘‘(A) a presentation for each Federal insur16 ance program in budget-account level detail of

17 estimates of risk-assumed cost;

18 ‘‘(B) a summary table of the risk-assumed

19 costs of Federal insurance programs; and

20 ‘‘(C) an alternate summary table of budget

21 functions and aggregates using risk-assumed

22 rather than cash-based cost estimates for Fed23 eral insurance programs.

24 ‘‘(3) CBO.—In the second session of the 107th

25 Congress and the 108th Congress, CBO shall in-
49

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1 clude in its estimates under section 308, for display

2 purposes only, the risk-assumed cost of existing Fed3 eral insurance programs, or legislation that CBO, in

4 consultation with the Committees on the Budget of

5 the House of Representatives and the Senate, deter6 mines would create a new Federal insurance pro7 gram.

8 ‘‘(e) OMB, CBO, AND GAO EVALUATIONS.—(1) Not

9 later than 6 months after the budget submission of the

10 President pursuant to section 1105(a) of title 31, United

11 States Code, for fiscal year 2005, OMB, CBO, and GAO

12 shall each submit to the Committees on the Budget of the

13 House of Representatives and the Senate a report that

14 evaluates the advisability and appropriate implementation

15 of this title.

16 ‘‘(2) Each report made pursuant to paragraph (1)

17 shall address the following:

18 ‘‘(A) The adequacy of risk-assumed estimation

19 models used and alternative modeling methods.

20 ‘‘(B) The availability and reliability of data or

21 information necessary to carry out this title.

22 ‘‘(C) The appropriateness of the explicit or im23 plicit discount rate used in the various risk-assumed

24 estimation models.
50

•S 1889 RIS

1 ‘‘(D) The advisability of specifying a statutory

2 discount rate (such as the Treasury rate) for use in

3 risk-assumed estimation models.

4 ‘‘(E) The ability of OMB, CBO, or GAO, as ap5 plicable, to secure any data or information directly

6 from any Federal agency necessary to enable it to

7 carry out this title.

8 ‘‘(F) The relationship between risk-assumed ac9 crual budgeting for Federal insurance programs and

10 the specific requirements of the Balanced Budget

11 and Emergency Deficit Control Act of 1985.

12 ‘‘(G) Whether Federal budgeting is improved by

13 the inclusion of risk-assumed cost estimates for Fed14 eral insurance programs.

15 ‘‘(H) The advisability of including each of the

16 programs currently estimated on a risk-assumed cost

17 basis in the Federal budget on that basis.

18 ‘‘SEC. 604. DEFINITIONS.

19 ‘‘For purposes of this title:

20 ‘‘(1) The term ‘Federal insurance program’

21 means a program that makes insurance commit22 ments and includes the list of such programs in23 cluded in the joint explanatory statement of man24 agers accompanying the conference report on the

25 Comprehensive Budget Process Reform Act of 1999.
51

•S 1889 RIS

1 ‘‘(2) The term ‘insurance commitment’ means

2 an agreement in advance by a Federal agency to in3 demnify a nonfederal entity against specified losses.

4 This term does not include loan guarantees as de5 fined in title V or benefit programs such as social

6 security, medicare, and similar existing social insur7 ance programs.

8 ‘‘(3)(A) The term ‘risk-assumed cost’ means the

9 net present value of the estimated cash flows to and

10 from the Government resulting from an insurance

11 commitment or modification thereof.

12 ‘‘(B) The cash flows associated with an insur13 ance commitment include—

14 ‘‘(i) expected claims payments inherent in

15 the Government’s commitment;

16 ‘‘(ii) net premiums (expected premium col17 lections received from or on behalf of the in18 sured less expected administrative expenses);

19 ‘‘(iii) expected recoveries; and

20 ‘‘(iv) expected changes in claims, pre21 miums, or recoveries resulting from the exercise

22 by the insured of any option included in the in23 surance commitment.

24 ‘‘(C) The cost of a modification is the difference

25 between the current estimate of the net present
52

•S 1889 RIS

1 value of the remaining cash flows under the terms

2 of the insurance commitment, and the current esti3 mate of the net present value of the remaining cash

4 flows under the terms of the insurance commitment

5 as modified.

6 ‘‘(D) The cost of a reestimate is the difference

7 between the net present value of the amount cur8 rently required by the financing account to pay esti9 mated claims and other expenditures and the

10 amount currently available in the financing account.

11 The cost of a reestimate shall be accounted for in

12 the current year in the budget of the Government

13 pursuant to section 1105(a) of title 31, United

14 States Code.

15 ‘‘(E) For purposes of this definition, expected

16 administrative expenses shall be construed as the

17 amount estimated to be necessary for the proper ad18 ministration of the insurance program. This amount

19 may differ from amounts actually appropriated or

20 otherwise made available for the administration of

21 the program.

22 ‘‘(4) The term ‘program account’ means the

23 budget account for the risk-assumed cost, and for

24 paying all costs of administering the insurance pro-
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•S 1889 RIS

1 gram, and is the account from which the risk-as2 sumed cost is disbursed to the financing account.

3 ‘‘(5) The term ‘financing account’ means the

4 nonbudget account that is associated with each pro5 gram account which receives payments from or

6 makes payments to the program account, receives

7 premiums and other payments from the public, pays

8 insurance claims, and holds balances.

9 ‘‘(6) The term ‘modification’ means any Gov10 ernment action that alters the risk-assumed cost of

11 an existing insurance commitment from the current

12 estimate of cash flows. This includes any action re13 sulting from new legislation, or from the exercise of

14 administrative discretion under existing law, that di15 rectly or indirectly alters the estimated cost of exist16 ing insurance commitments.

17 ‘‘(7) The term ‘model’ means any actuarial, fi18 nancial, econometric, probabilistic, or other method19 ology used to estimate the expected frequency and

20 magnitude of loss-producing events, expected pre21 miums or collections from or on behalf of the in22 sured, expected recoveries, and administrative ex23 penses.
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1 ‘‘(8) The term ‘current’ has the same meaning

2 as in section 250(c)(9) of the Balanced Budget and

3 Emergency Deficit Control Act of 1985.

4 ‘‘(9) The term ‘OMB’ means the Director of

5 the Office of Management and Budget.

6 ‘‘(10) The term ‘CBO’ means the Director of

7 the Congressional Budget Office.

8 ‘‘(11) The term ‘GAO’ means the Comptroller

9 General of the United States.

10 ‘‘SEC. 605. AUTHORIZATIONS TO ENTER INTO CONTRACTS;

11 ACTUARIAL COST ACCOUNT.

12 ‘‘(a) AUTHORIZATION OF APPROPRIATIONS.—There

13 is authorized to be appropriated $600,000 for each of fis14 cal years 2000 through 2005 to the Director of the Office

15 of Management and Budget and each agency responsible

16 for administering a Federal program to carry out this

17 title.

18 ‘‘(b) TREASURY TRANSACTIONS WITH THE FINANC19 ING ACCOUNTS.—The Secretary of the Treasury shall bor20 row from, receive from, lend to, or pay the insurance fi21 nancing accounts such amounts as may be appropriate.

22 The Secretary of the Treasury may prescribe forms and

23 denominations, maturities, and terms and conditions for

24 the transactions described above. The authorities de25 scribed above shall not be construed to supersede or over-
55

•S 1889 RIS

1 ride the authority of the head of a Federal agency to ad2 minister and operate an insurance program. All the trans3 actions provided in this subsection shall be subject to the

4 provisions of subchapter II of chapter 15 of title 31,

5 United States Code. Cash balances of the financing ac6 counts in excess of current requirements shall be main7 tained in a form of uninvested funds, and the Secretary

8 of the Treasury shall pay interest on these funds.

9 ‘‘(c) APPROPRIATION OF AMOUNT NECESSARY TO

10 COVER RISK-ASSUMED COST OF INSURANCE COMMIT11 MENTS AT TRANSITION DATE.—(1) A financing account

12 is established on September 30, 2005, for each Federal

13 insurance program.

14 ‘‘(2) There is appropriated to each financing account

15 the amount of the risk-assumed cost of Federal insurance

16 commitments outstanding for that program as of the close

17 of September 30, 2005.

18 ‘‘(3) These financing accounts shall be used in imple19 menting the budget accounting required by this title.

20 ‘‘SEC. 606. EFFECTIVE DATE.

21 ‘‘(a) IN GENERAL.—This title shall take effect imme22 diately and shall expire on September 30, 2007.

23 ‘‘(b) SPECIAL RULE.—If this title is not reauthorized

24 by September 30, 2007, then the accounting structure and

25 budgetary treatment of Federal insurance programs shall
56

•S 1889 RIS

1 revert to the accounting structure and budgetary treat2 ment in effect immediately before the date of enactment

3 of this title.’’.

4 (b) CONFORMING AMENDMENT.—The table of con5 tents set forth in section 1(b) of the Congressional Budget

6 and Impoundment Control Act of 1974 is amended by in7 serting after the item relating to section 507 the following

8 new items:

‘‘TITLE VI—BUDGETARY TREATMENT OF FEDERAL INSURANCE

PROGRAMS

‘‘Sec. 601. Short title.

‘‘Sec. 602. Budgetary treatment.

‘‘Sec. 603. Timetable for implementation of accrual budgeting for Federal insurance programs.

‘‘Sec. 604. Definitions.

‘‘Sec. 605. Authorizations to enter into contracts; actuarial cost account.

‘‘Sec. 606. Effective date.’’.

9 Subtitle B—Reports on Long-Term

10 Budgetary Trends

11 SEC. 521. REPORTS ON LONG-TERM BUDGETARY TRENDS.

12 (a) THE PRESIDENT’S BUDGET.—Section 1105(a) of

13 title 31, United States Code (as amended by section 404),

14 is further amended by adding at the end the following new

15 paragraph:

16 ‘‘(34) an analysis based upon current law and

17 an analysis based upon the policy assumptions un18 derlying the budget submission for every fifth year

19 of the period of 75 fiscal years beginning with such

20 fiscal year, of the estimated levels of total new budg21 et authority and total budget outlays, estimated rev-
57

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1 enues, estimated surpluses and deficits, and, for so2 cial security, medicare, medicaid, and all other direct

3 spending, estimated levels of total new budget au4 thority and total budget outlays; and a specification

5 of its underlying assumptions and a sensitivity anal6 ysis of factors that have a significant effect on the

7 projections made in each analysis; and a comparison

8 of the effects of each of the two analyses on the

9 economy, including such factors as inflation, foreign

10 investment, interest rates, and economic growth.’’.

11 (b) CBO REPORTS.—Section 202(e)(1) of the Con12 gressional Budget Act of 1974 is amended by adding at

13 the end the following new sentences: ‘‘Such report shall

14 also include an analysis based upon current law for every

15 fifth year of the period of 75 fiscal years beginning with

16 such fiscal year, of the estimated levels of total new budget

17 authority and total budget outlays, estimated revenues, es18 timated surpluses and deficits, and, for social security,

19 medicare, medicaid, and all other direct spending, esti20 mated levels of total new budget authority and total budg21 et outlays. The report described in the preceding sentence

22 shall also specify its underlying assumptions and set forth

23 a sensitivity analysis of factors that have a significant ef24 fect on the projections made in the report.’’.
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1 TITLE VI—BASELINES, BYRD

2 RULE, AND LOCK-BOX

3 SEC. 601. PURPOSE.

4 The purposes of this title are to—

5 (1) require budgetary comparisons to prior year

6 levels;

7 (2) restrict the application of the Byrd rule to

8 measures other than conference reports; and

9 (3) establish a procedure to allow savings from

10 spending cuts in appropriation measures to be

11 locked-in to increase the surplus or reduce the def12 icit.

13 Subtitle A—The Baseline

14 SEC. 611. THE PRESIDENT’S BUDGET.

15 (a) Paragraph (5) of section 1105(a) of title 31,

16 United States Code, is amended to read as follows:

17 ‘‘(5) except as provided in subsection (b) of this

18 section, estimated expenditures and appropriations

19 for the current year and estimated expenditures and

20 proposed appropriations the President decides are

21 necessary to support the Government in the fiscal

22 year for which the budget is submitted and the 4 fis23 cal years following that year, and, except for detailed

24 budget estimates, the percentage change from the

25 current year to the fiscal year for which the budget
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1 is submitted for estimated expenditures and for ap2 propriations.’’.

3 (b) Section 1105(a)(6) of title 31, United States

4 Code, is amended to read as follows:

5 ‘‘(6) estimated receipts of the Government in

6 the current year and the fiscal year for which the

7 budget is submitted and the 4 fiscal years after that

8 year under—

9 ‘‘(A) laws in effect when the budget is sub10 mitted; and

11 ‘‘(B) proposals in the budget to increase

12 revenues,

13 and the percentage change (in the case of each cat14 egory referred to in subparagraphs (A) and (B)) be15 tween the current year and the fiscal year for which

16 the budget is submitted and between the current

17 year and each of the 9 fiscal years after the fiscal

18 year for which the budget is submitted.’’.

19 (c) Section 1105(a)(12) of title 31, United States

20 Code, is amended to read as follows:

21 ‘‘(12) for each proposal in the budget for legis22 lation that would establish or expand a Government

23 activity or function, a table showing—

24 ‘‘(A) the amount proposed in the budget

25 for appropriation and for expenditure because
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1 of the proposal in the fiscal year for which the

2 budget is submitted;

3 ‘‘(B) the estimated appropriation required

4 because of the proposal for each of the 4 fiscal

5 years after that year that the proposal will be

6 in effect; and

7 ‘‘(C) the estimated amount for the same

8 activity or function, if any, in the current fiscal

9 year,

10 and, except for detailed budget estimates, the per11 centage change (in the case of each category re12 ferred to in subparagraphs (A), (B), and (C)) be13 tween the current year and the fiscal year for which

14 the budget is submitted.’’.

15 (d) Section 1105(a)(18) of title 31, United States

16 Code, is amended by inserting ‘‘new budget authority

17 and’’ before ‘‘budget outlays’’.

18 (e) Section 1105(a) of title 31, United States Code,

19 (as amended by sections 412(b) and 521(a)) is further

20 amended by adding at the end the following new para21 graphs:

22 ‘‘(35) a comparison of levels of estimated ex23 penditures and proposed appropriations for each

24 function and subfunction in the current fiscal year

25 and the fiscal year for which the budget is sub-
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1 mitted, along with the proposed increase or decrease

2 of spending in percentage terms for each function

3 and subfunction.

4 ‘‘(36) a table on sources of growth in total di5 rect spending under current law and as proposed in

6 this budget submission for the budget year and the

7 ensuing 9 fiscal years, which shall include changes

8 in outlays attributable to the following: cost-of-living

9 adjustments; changes in the number of program re10 cipients; increases in medical care prices, utilization

11 and intensity of medical care; and residual factors.’’.

12 (f) Section 1109(a) of title 31, United States Code,

13 is amended by inserting after the first sentence the fol14 lowing new sentence: ‘‘For discretionary spending, these

15 estimates shall assume the levels set forth in the discre16 tionary spending limits under section 251(c) of the Bal17 anced Budget and Emergency Deficit Control Act of 1985,

18 as adjusted, for the appropriate fiscal years (and if no

19 such limits are in effect, these estimates shall assume the

20 adjusted levels for the most recent fiscal year for which

21 such levels were in effect).’’.

22 SEC. 612. THE CONGRESSIONAL BUDGET.

23 Section 301(e) of the Congressional Budget Act of

24 1974 (as amended by section 103) is further amended—
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1 (1) in paragraph (1), by inserting at the end

2 the following: ‘‘The basis of deliberations in devel3 oping such joint resolution shall be the estimated

4 budgetary levels for the preceding fiscal year. Any

5 budgetary levels pending before the committee and

6 the text of the joint resolution shall be accompanied

7 by a document comparing such levels or such text to

8 the estimated levels of the prior fiscal year. Any

9 amendment offered in the committee that changes a

10 budgetary level and is based upon a specific policy

11 assumption for a program, project, or activity shall

12 be accompanied by a document indicating the esti13 mated amount for such program, project, or activity

14 in the current year.’’; and

15 (2) in paragraph (2), by striking ‘‘and’’ at the

16 end of subparagraph (H) (as redesignated), by strik17 ing the period and inserting ‘‘; and’’ at the end of

18 subparagraph (I) (as redesignated), and by adding

19 at the end the following new subparagraph:

20 ‘‘(J) a comparison of levels for the current

21 fiscal year with proposed spending and revenue

22 levels for the subsequent fiscal years along with

23 the proposed increase or decrease of spending

24 in percentage terms for each function.’’.
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1 SEC. 613. CONGRESSIONAL BUDGET OFFICE REPORTS TO

2 COMMITTEES.

3 (a) The first sentence of section 202(e)(1) of the Con4 gressional Budget Act of 1974 is amended by inserting

5 ‘‘compared to comparable levels for the current year’’ be6 fore the comma at the end of subparagraph (A) and before

7 the comma at the end of subparagraph (B).

8 (b) Section 202(e)(1) of the Congressional Budget

9 Act of 1974 is amended by inserting after the first sen10 tence the following new sentence: ‘‘Such report shall also

11 include a table on sources of spending growth in total di12 rect spending for the budget year and the ensuing 9 fiscal

13 years, which shall include changes in outlays attributable

14 to the following: cost-of-living adjustments; changes in the

15 number of program recipients; increases in medical care

16 prices, utilization and intensity of medical care; and resid17 ual factors.’’.

18 (c) Section 308(a)(1)(B) of the Congressional Budget

19 Act of 1974 is amended by inserting ‘‘and shall include

20 a comparison of those levels to comparable levels for the

21 current fiscal year’’ before ‘‘if timely submitted’’.

22 SEC. 614. OUTYEAR ASSUMPTIONS FOR DISCRETIONARY

23 SPENDING.

24 For purposes of chapter 11 of title 31 of the United

25 States Code, or the Congressional Budget Act of 1974,

26 unless otherwise expressly provided, in making budgetary
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1 projections for years for which there are no discretionary

2 spending limits, the Director of the Office of Management

3 and Budget and the Director of the Congressional Budget

4 Office shall assume discretionary spending levels at the

5 levels for the last fiscal year for which such levels were

6 in effect.

7 Subtitle B—The Byrd Rule

8 SEC. 621. LIMITATION ON BYRD RULE.

9 (a) PROTECTION OF CONFERENCE REPORTS.—Sec10 tion 313 of the Congressional Budget Act of 1974 is

11 amended—

12 (1) in subsection (c), by striking ‘‘and again

13 upon the submission of a conference report on such

14 a reconciliation bill or resolution,’’;

15 (2) by striking subsection (d);

16 (3) by redesignating subsection (e) as sub17 section (d); and

18 (4) in subsection (e), as redesignated—

19 (A) by striking ‘‘, motion, or conference re20 port’’ the first place it appears and inserting ‘‘,

21 or motion’’; and

22 (B) by striking ‘‘, motion, or conference re23 port’’ the second and third places it appears

24 and inserting ‘‘or motion’’.
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1 (b) CONFORMING AMENDMENT.—The first sentence

2 of section 312(e) of the Congressional Budget Act of 1974

3 is amended by inserting ‘‘, except for section 313,’’ after

4 ‘‘Act’’.

5 Subtitle C—Spending

6 Accountability Lock-Box

7 SEC. 631. SHORT TITLE.

8 This subtitle may be cited as the ‘‘Spending Account9 ability Lock-Box Act of 1999’’.

10 SEC. 632. SPENDING ACCOUNTABILITY LOCK-BOX LEDGER.

11 (a) ESTABLISHMENT OF LEDGER.—Title III of the

12 Congressional Budget Act of 1974 (as amended by sec13 tions 104(c) and 206(a)) is further amended by adding

14 after section 317 the following new section:

15 ‘‘SPENDING ACCOUNTABILITY LOCK-BOX LEDGER

16 ‘‘SEC. 318. (a) ESTABLISHMENT OF LEDGER.—The

17 chairman of the Committee on the Budget of the House

18 of Representatives and the chairman on the Committee

19 on the Budget of the Senate shall each maintain a ledger

20 to be known as the ‘Spending Accountability Lock-Box

21 Ledger’. The Ledger shall be divided into entries cor22 responding to the subcommittees of the Committees on

23 Appropriations. Each entry shall consist of three compo24 nents: the ‘House Lock-Box Balance’; the ‘Senate Lock25 Box Balance’; and the ‘Joint House-Senate Lock-Box Bal26 ance’.
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1 ‘‘(b) COMPONENTS OF LEDGER.—Each component in

2 an entry shall consist only of amounts credited to it under

3 subsection (c). No entry of a negative amount shall be

4 made.

5 ‘‘(c) CREDIT OF AMOUNTS TO LEDGER.—(1) In the

6 House of Representatives or the Senate, whenever a Mem7 ber offers an amendment to an appropriation bill to reduce

8 new budget authority in any account, that Member may

9 state the portion of such reduction that shall be—

10 ‘‘(A) credited to the House or Senate Lock-Box

11 Balance, as applicable; or

12 ‘‘(B) used to offset an increase in new budget

13 authority in any other account;

14 ‘‘(C) allowed to remain within the applicable

15 section 302(b) suballocation.

16 If no such statement is made, the amount of reduction

17 in new budget authority resulting from the amendment

18 shall be credited to the House or Senate Lock-Box Bal19 ance, as applicable, if the amendment is agreed to.

20 ‘‘(2)(A) Except as provided by subparagraph (B), the

21 chairmen of the Committees on the Budget shall, upon

22 the engrossment of any appropriation bill by the House

23 of Representatives and upon the engrossment of Senate

24 amendments to that bill, credit to the applicable entry bal25 ance of that House amounts of new budget authority and
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1 outlays equal to the net amounts of reductions in new

2 budget authority and in outlays resulting from amend3 ments agreed to by that House to that bill.

4 ‘‘(B) When computing the net amounts of reductions

5 in new budget authority and in outlays resulting from

6 amendments agreed to by the House of Representatives

7 or the Senate to an appropriation bill, the chairmen of

8 the Committees on the Budget shall only count those por9 tions of such amendments agreed to that were so des10 ignated by the Members offering such amendments as

11 amounts to be credited to the House or Senate Lock-Box

12 Balance, as applicable, or that fall within the last sentence

13 of paragraph (1).

14 ‘‘(3) The chairmen of the Committees on the Budget

15 shall, upon the engrossment of Senate amendments to any

16 appropriation bill, credit to the applicable Joint House17 Senate Lock-Box Balance the amounts of new budget au18 thority and outlays equal to—

19 ‘‘(A) an amount equal to one-half of the sum of

20 (i) the amount of new budget authority in the House

21 Lock-Box Balance plus (ii) the amount of new budg22 et authority in the Senate Lock-Box Balance for

23 that subcommittee; and

24 ‘‘(B) an amount equal to one-half of the sum

25 of (i) the amount of outlays in the House Lock-Box
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1 Balance plus (ii) the amount of outlays in the Sen2 ate Lock-Box Balance for that subcommittee.

3 ‘‘(4) CALCULATION OF LOCK-BOX SAVINGS IN SEN4 ATE.—For purposes of calculating under this section the

5 net amounts of reductions in new budget authority and

6 in outlays resulting from amendments agreed to by the

7 Senate on an appropriation bill, the amendments reported

8 to the Senate by its Committee on Appropriations shall

9 be considered to be part of the original text of the bill.

10 ‘‘(d) DEFINITION.—As used in this section, the term

11 ‘appropriation bill’ means any general or special appro12 priation bill, and any bill or joint resolution making sup13 plemental, deficiency, or continuing appropriations

14 through the end of a fiscal year.

15 ‘‘(e) TALLY DURING HOUSE CONSIDERATION.—The

16 chairman of the Committee on the Budget of the House

17 of Representatives shall maintain a running tally of the

18 amendments adopted reflecting increases and decreases of

19 budget authority in the bill as reported. This tally shall

20 be available to Members in the House of Representatives

21 during consideration of any appropriations bill by the

22 House.’’.

23 (b) CONFORMING AMENDMENT.—The table of con24 tents set forth in section 1(b) of the Congressional Budget

25 and Impoundment Control Act of 1974 is amended by in-
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1 serting after the item relating to section 317 the following

2 new item:

‘‘Sec. 318. Spending accountability lock-box ledger.’’.

3 SEC. 633. DOWNWARD ADJUSTMENT OF SECTION 302(a) AL4 LOCATIONS AND SECTION 302(b) SUBALLOCA5 TIONS.

6 (a) ALLOCATIONS.—Section 302(a) of the Congres7 sional Budget Act of 1974 (as amended by section 422)

8 is further amended by adding at the end the following new

9 paragraph:

10 ‘‘(6) ADJUSTMENT OF ALLOCATIONS.—Upon

11 the engrossment of Senate amendments to any ap12 propriation bill (as defined in section 318(d)) for a

13 fiscal year, the amounts allocated under paragraph

14 (1) or (2) to the Committee on Appropriations of

15 each House upon the adoption of the most recent

16 joint resolution on the budget for that fiscal year

17 shall be adjusted downward by the amounts credited

18 to the applicable Joint House-Senate Lock-Box Bal19 ance under section 318(c)(2). The revised levels of

20 new budget authority and outlays shall be submitted

21 to each House by the chairman of the Committee on

22 the Budget of that House and shall be printed in the

23 Congressional Record.’’.

24 (b) SUBALLOCATIONS.—Section 302(b) of the Con25 gressional Budget Act of 1974 is amended by adding at
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1 the end the following new sentence: ‘‘Whenever an adjust2 ment is made under subsection (a)(7) to an allocation

3 under that subsection, the Committee on Appropriations

4 of each House shall make downward adjustments in the

5 most recent suballocations of new budget authority and

6 outlays under this subparagraph to the appropriate sub7 committees of that committee in the total amounts of

8 those adjustments under section 318(c)(2). The revised

9 suballocations shall be submitted to each House by the

10 chairman of the Committee on Appropriations of that

11 House and shall be printed in the Congressional Record.’’.

12 SEC. 634. PERIODIC REPORTING OF LEDGER STATEMENTS.

13 Section 308(b)(1) of the Congressional Budget Act

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

15 new sentence: ‘‘Such reports shall also include an up-to16 date tabulation of the amounts contained in the ledger and

17 each entry established by section 318(a).’’.

18 SEC. 635. DOWNWARD ADJUSTMENT OF DISCRETIONARY

19 SPENDING LIMITS.

20 The discretionary spending limits for new budget au21 thority and outlays for any fiscal year set forth in section

22 251(c) of the Balanced Budget and Emergency Deficit

23 Control Act of 1985, shall be reduced by the amounts set

24 forth in the final regular appropriation bill for that fiscal

25 year or joint resolution making continuing appropriations
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1 through the end of that fiscal year. Those amounts shall

2 be the sums of the Joint House-Senate Lock-Box Balances

3 for that fiscal year, as calculated under section 302(a)(6)

4 of the Congressional Budget Act of 1974. That bill or joint

5 resolution shall contain the following statement of law:

6 ‘‘As required by section 636 of the Spending Account7 ability Lock-Box Act of 1999, for fiscal year [insert appro8 priate fiscal year] and each outyear, the adjusted discre9 tionary spending limit for new budget authority shall be

10 reduced by $ [insert appropriate amount of reduction] and

11 the adjusted discretionary limit for outlays shall be re12 duced by $ [insert appropriate amount of reduction] for

13 the fiscal year and each outyear.’’. Notwithstanding sec14 tion 904(c) of the Congressional Budget Act of 1974, sec15 tion 306 as it applies to this statement shall not apply.

16 This adjustment shall be reflected in reports under sec17 tions 254(f) and 254(g) of the Balanced Budget and

18 Emergency Deficit Control Act of 1985.

19 Subtitle D—Automatic Continuing

20 Resolution

21 SEC. 641. AUTOMATIC CONTINUING RESOLUTION.

22 (a) AMENDMENT TO TITLE 31.—Chapter 13 of title

23 31, United States Code, is amended by inserting after sec24 tion 1310 the following new section:
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1 ‘‘§ 1311. Continuing appropriations

2 ‘‘(a)(1) If any regular appropriation bill for a fiscal

3 year does not become law prior to the beginning of such

4 fiscal year or a joint resolution making continuing appro5 priations is not in effect, there is appropriated, out of any

6 moneys in the Treasury not otherwise appropriated, and

7 out of applicable corporate or other revenues, receipts, and

8 funds, such sums as may be necessary to continue any

9 program, project, or activity for which funds were provided

10 in the preceding fiscal year—

11 ‘‘(A) in the corresponding regular appropriation

12 Act for such preceding fiscal year; or

13 ‘‘(B) if the corresponding regular appropriation

14 bill for such preceding fiscal year did not become

15 law, then in a joint resolution making continuing ap16 propriations for such preceding fiscal year.

17 ‘‘(2)(A) Except as provided by subparagraph (B), ap18 propriations and funds made available, and authority

19 granted, for a program, project, or activity for any fiscal

20 year pursuant to this section shall be at a rate of oper21 ations not in excess of the rate of operations provided for

22 in the regular appropriation Act providing for such pro23 gram, project, or activity for the preceding fiscal year, or

24 in the absence of such an Act, the rate of operations pro25 vided for such program, project, or activity pursuant to

26 a joint resolution making continuing appropriations for
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1 such preceding fiscal year (but not including amounts for

2 such program, project, or activity designated as an emer3 gency for that fiscal year before the date of enactment

4 of this section).

5 ‘‘(B) The applicable rate of operations for a program,

6 project, or activity pursuant to this section shall exclude

7 amounts—

8 ‘‘(i) for which any adjustment was made under

9 section 251(b)(2)(A) or section 252(e) of the Bal10 anced Budget and Emergency Deficit Control Act of

11 1985 before the date of enactment of this section; or

12 ‘‘(ii) for which any adjustment is made under

13 section 251(b)(2) (D) or (E) of such Act.

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

15 authority granted, for any fiscal year pursuant to this sec16 tion for a program, project, or activity shall be available

17 for the period beginning with the first day of a lapse in

18 appropriations and ending with the earlier of—

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

20 appropriation bill for such fiscal year becomes law

21 (whether or not such law provides for such program,

22 project, or activity) or a continuing resolution mak23 ing appropriations becomes law, as the case may be,

24 or

25 ‘‘(B) the last day of such fiscal year.
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1 ‘‘(b) An appropriation or funds made available, or au2 thority granted, for a program, project, or activity for any

3 fiscal year pursuant to this section shall be subject to the

4 terms and conditions imposed with respect to the appro5 priation made or funds made available for the preceding

6 fiscal year, or authority granted for such program, project,

7 or activity under current law.

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

9 authority granted, for any program, project, or activity for

10 any fiscal year pursuant to this section shall cover all obli11 gations or expenditures incurred for such program,

12 project, or activity during the portion of such fiscal year

13 for which this section applies to such program, project,

14 or activity.

15 ‘‘(d) Expenditures made for a program, project, or

16 activity for any fiscal year pursuant to this section shall

17 be charged to the applicable appropriation, fund, or au18 thorization whenever a regular appropriation bill or a joint

19 resolution making continuing appropriations until the end

20 of a fiscal year providing for such program, project, or

21 activity for such period becomes law.

22 ‘‘(e) This section shall not apply to a program,

23 project, or activity during a fiscal year if any other provi24 sion of law (other than an authorization of appropria25 tions)—
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1 ‘‘(1) makes an appropriation, makes funds

2 available, or grants authority for such program,

3 project, or activity to continue for such period, or

4 ‘‘(2) specifically provides that no appropriation

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

6 no authority shall be granted for such program,

7 project, or activity to continue for such period; or

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

9 appropriation bill’ means any annual appropriation bill

10 making appropriations, otherwise making funds available,

11 or granting authority, for any of the following categories

12 of programs, projects, and activities:

13 ‘‘(1) Agriculture, rural development, and re14 lated agencies programs.

15 ‘‘(2) The Departments of Commerce, Justice,

16 and State, the judiciary, and related agencies.

17 ‘‘(3) The Department of Defense.

18 ‘‘(4) The government of the District of Colum19 bia and other activities chargeable in whole or in

20 part against the revenues of the District.

21 ‘‘(5) The Departments of Labor, Health and

22 Human Services, and Education, and related agen23 cies.
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1 ‘‘(6) The Department of Housing and Urban

2 Development, and sundry independent agencies,

3 boards, commissions, corporations, and offices.

4 ‘‘(7) Energy and water development.

5 ‘‘(8) Foreign assistance and related programs.

6 ‘‘(9) The Department of the Interior and re7 lated agencies.

8 ‘‘(10) Military construction.

9 ‘‘(11) The Department of Transportation and

10 related agencies.

11 ‘‘(12) The Treasury Department, the U.S.

12 Postal Service, the Executive Office of the President,

13 and certain independent agencies.

14 ‘‘(13) The legislative branch.’’.

15 (b) CONFORMING AMENDMENT.—Section 202(e)(3)

16 of the Congressional Budget Act of 1974 is amended by

17 inserting ‘‘and on or before September 30’’ before ‘‘of each

18 year’’.

19 (c) CHAPTER ANALYSIS.—The analysis of chapter 13

20 of title 31, United States Code, is amended by inserting

21 after the item relating to section 1310 the following new

22 item:

‘‘1311. Continuing appropriations.’’.

23 (d) EFFECT OF AMENDMENTS.—Nothing in the

24 amendments made by this section shall be construed to

25 affect Government obligations mandated by other law, in-
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1 cluding obligations with respect to social security, medi2 care, and medicaid.

3 TITLE VII—BUDGETING IN AN

4 ERA OF SURPLUSES

5 SEC. 701. PAYGO REQUIREMENTS AND THE ON-BUDGET

6 SURPLUS.

7 (a) Section 252(a) of the Balanced Budget and

8 Emergency Deficit Control Act of 1985 is amended to

9 read as follows:

10 ‘‘(a) PURPOSE.—The purpose of this section is to

11 trigger an offsetting sequestration in the amount by which

12 any excess of decreases in receipts and increases in direct

13 spending over increases in receipts and decreases in direct

14 spending, caused by all direct spending and receipts legis15 lation enacted prior to October 1, 2002, exceeds estimates

16 of the on-budget surplus.’’.

17 (b) TIMING AND CALCULATION OF SEQUESTRA18 TION.—Section 252(b) of the Balanced Budget and Emer19 gency Deficit Control Act of 1985 is amended to read as

20 follows:

21 ‘‘(b) SEQUESTRATION.—

22 ‘‘(1) TIMING.—Not later than 15 calendar days

23 after the date Congress adjourns to end a session

24 and on the same day as a sequestration (if any)
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1 under section 251, there shall be a sequestration to

2 offset an amount equal to—

3 ‘‘(A) any excess of decreases in receipts

4 and increases in direct spending over increases

5 in receipts and decreases in direct spending for

6 legislation enacted prior to October 1, 2002;

7 minus

8 ‘‘(B) the estimated on-budget surplus,

9 as calculated under paragraph (2).

10 ‘‘(2) CALCULATION OF SEQUESTRATION.—OMB

11 shall calculate the amount of the sequestration by

12 adding—

13 ‘‘(A) all OMB estimates for the budget

14 year of direct spending and receipts legislation

15 transmitted under subsection (d) for legislation

16 enacted prior to October 1, 2002;

17 ‘‘(B) the estimated amount of savings in

18 direct spending programs applicable to the

19 budget year resulting from the prior year’s se20 questration under this section, if any, as pub21 lished in OMB’s final sequestration report for

22 that prior year; and

23 ‘‘(C) all OMB estimates for the current

24 year that were not reflected in the final OMB

25 sequestration report for that year; and
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1 then by subtracting from such sum the OMB esti2 mate for the budget year of the on-budget surplus

3 (if any) as set forth in the OMB sequestration up4 date report.’’.

5 (c) PREVIEW REPORTS.—Section 254(c)(3) of the

6 Balanced Budget and Emergency Deficit Control Act of

7 1985 is amended by redesignating subparagraph (C) as

8 subparagraph (D) and by adding after subparagraph (B)

9 the following new subparagraph:

10 ‘‘(C) The estimated on-budget surplus for

11 the budget year (if any) shall exclude all esti12 mates of direct spending and receipts legislation

13 for such year enacted after the date of enact14 ment of this subparagraph (as estimated by

15 OMB when such legislation was originally en16 acted). Except as provided by the preceding

17 sentence, the following assumptions shall apply

18 to the calculation of such estimated surplus:

19 Budgetary resources other than unobligated

20 balances shall be at the level provided for the

21 budget year in a regular appropriation Act or

22 a joint resolution (other than pursuant to sec23 tion 1311 of title 31, United States Code) con24 tinuing appropriations through the end of the

25 budget year, but if for any account a full-year
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1 appropriation has not yet been enacted, budg2 etary resources other than unobligated balances

3 shall be at the level available in the current

4 year, adjusted using the assumptions set forth

5 in section 257(c).’’.

6 (d) FINAL SEQUESTRATION REPORT.—Section

7 254(f)(3) of the Balanced Budget and Emergency Deficit

8 Control Act of 1985 is amended by adding at the end the

9 following new sentence: ‘‘In calculating the estimated on10 budget surplus pursuant to section 252(b)(2), notwith11 standing section 254(j), OMB shall use economic and

12 technical assumptions that are up-to-date as of the date

13 of issuance of the sequestration preview reports.’’.

14 (e) DEFINITION OF ON-BUDGET SURPLUS.—Section

15 250(c) of the Balanced Budget and Emergency Deficit

16 Control Act of 1985 is amended by adding at the end the

17 following new paragraph:

18 ‘‘(20) The term ‘on-budget surplus’ means, with

19 respect to a fiscal year, the amount by which re20 ceipts exceed outlays for all spending and receipt ac21 counts of the United States Government that are

22 designated as on-budget. Such term does not include

23 outlays and receipts of the Federal Old-Age and

24 Survivors Insurance Trust Fund, the Federal Dis-
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•S 1889 RIS

1 ability Insurance Trust Fund, or any other off-budg2 et entity.’’.

3 (f) EXPEDITED RECONCILIATION PROCESS.—Section

4 258C of the Balanced Budget and Emergency Deficit

5 Control Act of 1985 is amended as follows:

6 (1) The side heading of subsection (a) is

7 amended by inserting ‘‘OR IN THE HOUSE OF REP8 RESENTATIVES’’ after ‘‘SENATE’’.

9 (2) In paragraphs (1), (2), (3), and (4) of sub10 section (a), insert ‘‘or House’’ after ‘‘Senate’’ each

11 place it appears.

12 (3) In subsection (a)(7), strike ‘‘For’’ and in13 sert ‘‘In the Senate, for’’.

14 (4) In subsection (b)(1), insert ‘‘or House’’

15 after ‘‘Senate’’.

16 (5) In the side heading of subsection (b)(4), in17 sert ‘‘OTHER’’ after ‘‘THE’’.

18 (6) In subsection (b)(4), strike ‘‘in the Senate

19 from the House’’ and insert ‘‘in the Senate or House

20 of Representatives from the other House’’, strike

21 ‘‘Senate’’ the second place it appears and insert

22 ‘‘Senate or House of Representatives, as the case

23 may be,’’, and strike ‘‘Senate’’ the third place it ap24 pears and insert ‘‘in the applicable House’’.
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1 TITLE VIII—SOCIAL SECURITY

2 SURPLUS PROTECTION ACT

3 OF 1999

4 SEC. 801. SHORT TITLE.

5 This title may be cited as the ‘‘Social Security Sur6 plus Protection Act of 1999’’.

7 SEC. 802. SEQUESTER TO PROTECT THE SOCIAL SECURITY

8 SURPLUS.

9 Section 251 of the Balanced Budget and Emergency

10 Deficit Control Act of 1985 (2 U.S.C. 901) is amended

11 by adding at the end the following:

12 ‘‘(d) SOCIAL SECURITY SURPLUS PROTECTION SE13 QUESTER.—

14 ‘‘(1) IN GENERAL.—Within 15 calendar days

15 after Congress adjourns to end a session and on the

16 same day as a sequestration (if any) under sub17 section (a), section 252, and section 253, there shall

18 be a sequestration to eliminate any on-budget deficit

19 (excluding any surplus in the Social Security Trust

20 Funds).

21 ‘‘(2) ELIMINATING DEFICIT.—The sequester re22 quired by this subsection shall be applied in accord23 ance with the procedures set forth in subsection (a).
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1 The on-budget deficit shall not be subject to adjust2 ment for any purpose.’’.

Æ