II

104TH CONGRESS

2D SESSION H. R. 842

IN THE SENATE OF THE UNITED STATES

APRIL 18, 1996

Received; read twice and referred jointly pursuant to the order of August 4,

1977, to the Committee on the Budget and Governmental Affairs, with

instructions that if one committee reports, the other committee have thirty days to report or be discharged

AN ACT

To provide off-budget treatment for the Highway Trust

Fund, the Airport and Airway Trust Fund, the Inland

Waterways Trust Fund, and the Harbor Maintenance

Trust Fund.

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

2 This Act may be cited as the ‘‘Truth in Budgeting

3 Act’’.

4 SEC. 2. BUDGETARY TREATMENT OF HIGHWAY TRUST

5 FUND, AIRPORT AND AIRWAY TRUST FUND,

6 INLAND WATERWAYS TRUST FUND, AND HAR7 BOR MAINTENANCE TRUST FUND.

8 (a) IN GENERAL.—Notwithstanding any other provi9 sion of law except the Line Item Veto Act of 1996, the

10 receipts and disbursements of the Highway Trust Fund,

11 the Airport and Airway Trust Fund, the Inland Water12 ways Trust Fund, and the Harbor Maintenance Trust

13 Fund—

14 (1) shall not be counted as new budget author15 ity, outlays, receipts, or deficit or surplus for pur16 poses of—

17 (A) the budget of the United States Gov18 ernment as submitted by the President,

19 (B) the congressional budget (including al20 locations of budget authority and outlays pro21 vided therein), or

22 (C) the Balanced Budget and Emergency

23 Deficit Control Act of 1985; and

24 (2) shall be exempt from any general budget

25 limitation imposed by statute on expenditures and
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1 net lending (budget outlays) of the United States

2 Government.

3 (b) LIMITATION ON INTEREST PAID TO TRUST

4 FUNDS.—

5 (1) IN GENERAL.—Paragraph (3) of section

6 9602(b) of the Internal Revenue Code of 1986 is

7 amended by adding at the end the following new

8 sentence: ‘‘The amount of interest credited to the

9 Airport and Airway Trust Fund, the Highway Trust

10 Fund, the Harbor Maintenance Trust Fund, or the

11 Inland Waterways Trust Fund for any fiscal year

12 shall not exceed the amount of interest which would

13 be credited to such Fund if such interest were deter14 mined at the average interest rate on 52-week

15 Treasury securities sold to the public during such

16 fiscal year.’’.

17 (2) EFFECTIVE DATE.—The amendment made

18 by paragraph (1) shall apply to fiscal years begin19 ning after the date of the enactment of this Act.

20 SEC. 3. SAFEGUARDS AGAINST DEFICIT SPENDING OUT OF

21 AIRPORT AND AIRWAY TRUST FUND.

22 (a) IN GENERAL.—Chapter 471 of title 49, United

23 States Code, is amended—

24 (1) by redesignating section 47131 as section

25 47132; and
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1 (2) by inserting after section 47130 the follow2 ing new section:

3 ‘‘§ 47131. Safeguards against deficit spending

4 ‘‘(a) ESTIMATES OF UNFUNDED AVIATION AUTHOR5 IZATIONS AND NET AVIATION RECEIPTS.—Not later than

6 March 31 of each year, the Secretary, in consultation with

7 the Secretary of the Treasury, shall estimate—

8 ‘‘(1) the amount which would (but for this sec9 tion) be the unfunded aviation authorizations at the

10 close of the first fiscal year that begins after that

11 Mach 31, and

12 ‘‘(2) the net aviation receipts at the close of

13 such fiscal year.

14 ‘‘(b) PROCEDURE IF EXCESS UNFUNDED AVIATION

15 AUTHORIZATIONS.—If the Secretary determines for any

16 fiscal year that the amount described in subsection (a)(1)

17 exceeds the amount described in subsection (a)(2), the

18 Secretary shall determine the amount of such excess.

19 ‘‘(c) ADJUSTMENT OF AUTHORIZATIONS IF UN20 FUNDED AUTHORIZATIONS EXCEED RECEIPTS.—

21 ‘‘(1) DETERMINATION OF PERCENTAGE.—If the

22 Secretary determines that there is an excess referred

23 to in subsection (b) for a fiscal year, the Secretary

24 shall determine the percentage which—

25 ‘‘(A) such excess, is of
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1 ‘‘(B) the total of the amounts authorized

2 to be appropriated from the Airport and Airway

3 Trust Fund for the next fiscal year.

4 ‘‘(2) ADJUSTMENT OF AUTHORIZATIONS.—If

5 the Secretary determines a percentage under para6 graph (1), each amount authorized to be appro7 priated from the Airport and Airway Trust Fund for

8 the next fiscal year shall be reduced by such percent9 age.

10 ‘‘(d) AVAILABILITY OF AMOUNTS PREVIOUSLY WITH11 HELD.—

12 ‘‘(1) ADJUSTMENT OF AUTHORIZATIONS.—If,

13 after a reduction has been made under subsection

14 (c)(2), the Secretary determines that the amount de15 scribed in subsection (a)(1) does not exceed the

16 amount described in subsection (a)(2) or that the ex17 cess referred to in subsection (b) is less than the

18 amount previously determined, each amount author19 ized to be appropriated that was reduced under sub20 section (c)(2) shall be increased, by an equal per21 centage, to the extent the Secretary determines that

22 it may be so increased without causing the amount

23 described in subsection (a)(1) to exceed the amount

24 described in subsection (a)(2) (but not by more than

25 the amount of the reduction).
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1 ‘‘(2) APPORTIONMENT.—The Secretary shall

2 apportion amounts made available for apportionment

3 by paragraph (1).

4 ‘‘(3) PERIOD OF AVAILABILITY.—Any funds ap5 portioned under paragraph (2) shall remain available

6 for the period for which they would be available if

7 such apportionment took effect with the fiscal year

8 in which they are apportioned under paragraph (2).

9 ‘‘(e) REPORTS.—Any estimate under subsection (a)

10 and any determination under subsection (b), (c), or (d)

11 shall be reported by the Secretary to Congress.

12 ‘‘(f) DEFINITIONS.—For purposes of this section, the

13 following definitions apply:

14 ‘‘(1) NET AVIATION RECEIPTS.—The term ‘net

15 aviation receipts’ means, with respect to any period,

16 the excess of—

17 ‘‘(A) the receipts (including interest) of the

18 Airport and Airway Trust Fund during such

19 period, over

20 ‘‘(B) the amounts to be transferred during

21 such period from the Airport and Airway Trust

22 Fund under section 9502(d) of the Internal

23 Revenue Code of 1986 (other than paragraph

24 (1) thereof).
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1 ‘‘(2) UNFUNDED AVIATION AUTHORIZATIONS.—

2 The term ‘unfunded aviation authorization’ means,

3 at any time, the excess (if any) of—

4 ‘‘(A) the total amount authorized to be ap5 propriated from the Airport and Airway Trust

6 Fund which has not been appropriated, over

7 ‘‘(B) the amount available in the Airport

8 and Airway Trust Fund at such time to make

9 such appropriation (after all other unliquidated

10 obligations at such time which are payable from

11 the Airport and Airway Trust Fund have been

12 liquidated).’’.

13 (b) CONFORMING AMENDMENT.—The analysis for

14 chapter 471 of title 49, United States Code, is amended

15 by striking

‘‘47131. Annual report.’’

16 and inserting the following:

‘‘47131. Safeguards against deficit spending.

‘‘47132. Annual report.’’.

17 SEC. 4. SAFEGUARDS AGAINST DEFICIT SPENDING OUT OF

18 THE INLAND WATERWAYS TRUST FUND AND

19 HARBOR MAINTENANCE TRUST FUND.

20 (a) ESTIMATES OF UNFUNDED INLAND WATERWAYS

21 AUTHORIZATIONS AND NET INLAND WATERWAYS RE22 CEIPTS.—Not later than March 31 of each year, the Sec-
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1 retary of the Army, in consultation with the Secretary of

2 the Treasury, shall estimate—

3 (1) the amount which would (but for this sec4 tion) be the unfunded inland waterways authoriza5 tions and unfunded harbor maintenance authoriza6 tions at the close of the first fiscal year that begins

7 after that March 31; and

8 (2) the net inland waterways receipts and net

9 harbor maintenance receipts at the close of such fis10 cal year.

11 (b) PROCEDURE IF EXCESS UNFUNDED INLAND WA12 TERWAYS AUTHORIZATIONS.—If the Secretary of the

13 Army determines with respect to the Inland Waterways

14 Trust Fund or the Harbor Maintenance Trust Fund for

15 any fiscal year that the amount described in subsection

16 (a)(1) exceeds the amount described in subsection (a)(2),

17 the Secretary shall determine the amount of such excess.

18 (c) ADJUSTMENT OF AUTHORIZATIONS IF UN19 FUNDED AUTHORIZATIONS EXCEED RECEIPTS.—

20 (1) DETERMINATION OF PERCENTAGE.—If the

21 Secretary of the Army determines that there is an

22 excess referred to in subsection (b) for a fiscal year,

23 the Secretary of the Army shall determine the per24 centage which—

25 (A) such excess, is of
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1 (B) the total of the amounts authorized to

2 be appropriated from the Inland Waterways

3 Trust Fund or the Harbor Maintenance Trust

4 Fund, as the case may be, for the next fiscal

5 year.

6 (2) ADJUSTMENT OF AUTHORIZATIONS.—If the

7 Secretary of the Army determines a percentage

8 under paragraph (1), each amount authorized to be

9 appropriated from the Trust Fund for the next fiscal

10 year shall be reduced by such percentage.

11 (d) AVAILABILITY OF AMOUNTS PREVIOUSLY WITH12 HELD.—If, after an adjustment has been made under sub13 section (c)(2), the Secretary of the Army determines with

14 respect to the Inland Waterways Trust Fund or the Har15 bor Maintenance Trust Fund that the amount described

16 in subsection (a)(1) does not exceed the amount described

17 in subsection (a)(2) or that the excess referred to in sub18 section (b) with respect to the Trust Fund is less than

19 the amount previously determined, each amount author20 ized to be appropriated that was reduced under subsection

21 (c)(2) with respect to the Trust Fund shall be increased,

22 by an equal percentage, to the extent the Secretary of the

23 Army determines that it may be so increased without caus24 ing the amount described in subsection (a)(1) to exceed

25 with respect to the Trust Fund the amount described in
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1 subsection (a)(2) (but not by more than the amount of

2 the reduction).

3 (e) REPORTS.—Any estimate under subsection (a)

4 and any determination under subsection (b), (c), or (d)

5 shall be reported by the Secretary of the Army to Con6 gress.

7 (f) DEFINITIONS.—For purposes of this section the

8 following definitions apply:

9 (1) AIRPORT AND AIRWAY TRUST FUND.—The

10 term ‘‘Airport and Airway Trust Fund’’ means the

11 Airport and Airway Trust Fund established by sec12 tion 9502 of the Internal Revenue Code of 1986.

13 (2) HARBOR MAINTENANCE TRUST FUND.—The

14 term ‘‘Harbor Maintenance Trust Fund’’ means the

15 Harbor Maintenance Trust Fund established by sec16 tion 9505 of the Internal Revenue Code of 1986.

17 (3) HIGHWAY TRUST FUND.—The term ‘‘High18 way Trust Fund’’ means the Highway Trust Fund

19 established by section 9503 of the Internal Revenue

20 Code of 1986.

21 (4) INLAND WATERWAYS TRUST FUND.—The

22 term ‘‘Inland Waterways Trust Fund’’ means the

23 Inland Waterways Trust Fund established by section

24 9506 of the Internal Revenue Code of 1986.
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1 (5) NET HARBOR MAINTENANCE RECEIPTS.—

2 The term ‘‘net harbor maintenance receipts’’ means,

3 with respect to any period, the receipts (including in4 terest) of the Harbor Maintenance Trust Fund dur5 ing such period.

6 (6) NET INLAND WATERWAYS RECEIPTS.—The

7 term ‘‘net inland waterways receipts’’ means, with

8 respect to any period, the receipts (including inter9 est) of the Inland Waterways Trust Fund during

10 such period.

11 (7) UNFUNDED INLAND WATERWAYS AUTHOR12 IZATIONS.—The term ‘‘unfunded inland waterways

13 authorizations’’ means, at any time, the excess (if

14 any) of—

15 (A) the total amount authorized to be ap16 propriated from the Inland Waterways Trust

17 Fund which has not been appropriated, over

18 (B) the amount available in the Inland

19 Waterways Trust Fund at such time to make

20 such appropriations.

21 (8) UNFUNDED HARBOR MAINTENANCE AU22 THORIZATIONS.—The term ‘‘unfunded harbor main23 tenance authorizations’’ means, at any time, the ex24 cess (if any) of—
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1 (A) the total amount authorized to be ap2 propriated from the Harbor Maintenance Trust

3 Fund which has not been appropriated, over

4 (B) the amount available in the Harbor

5 Maintenance Trust Fund at such time to make

6 such appropriations.

7 SEC. 5. APPLICABILITY.

8 This Act (including the amendments made by this

9 Act) shall apply to fiscal years beginning after September

10 30, 1995.

Passed the House of Representatives April 17, 1996.

Attest: ROBIN H. CARLE,

Clerk.