II 

111TH CONGRESS 

2D SESSION S. 3026 

To provide fiscal discipline through a freeze on spending and budget process 

reforms. 

IN THE SENATE OF THE UNITED STATES 

FEBRUARY 23, 2010 

Mr. BAYH (for himself and Mr. MCCAIN) introduced the following bill; which 

was read twice and referred to the Committee on the Budget 

A BILL 

To provide fiscal discipline through a freeze on spending 

and budget process reforms. 

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

3 SECTION 1. SHORT TITLE AND TABLE OF CONTENTS. 

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

5 ‘‘Fiscal Freeze Act of 2010’’. 

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

7 this Act is as follows: 

Sec. 1. Short title and table of contents. 

TITLE I—CONGRESSIONAL ACCOUNTABILITY AND LINE-ITEM 

VETO ACT OF 2010 

Sec. 101. Short title. 

Sec. 102. Legislative line-item veto. 


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Sec. 103. Technical and conforming amendments. 

Sec. 104. Sense of Congress on abuse of proposed repeals and cancellations. 

TITLE II—BUDGET REFORMS 

Subtitle A—Earmarks 

Sec. 211. Earmarks prohibited in years in which there is a deficit. 

Subtitle B—Deficit Reduction Accounts 

Sec. 221. Establishment of Discretionary Deficit Reduction Account. 

Sec. 222. Establishment of Mandatory Deficit Reduction Account. 

Sec. 223. Conforming amendment. 

Subtitle C—Statutory Budget Limits and Enforcement 

PART I—SPENDING LIMITS AND DEFICIT CONTROL

Sec. 231. Discretionary spending limits. 

Sec. 232. Total spending limits. 

Sec. 233. Deficit limits. 

PART II—REPORTS AND ORDERS

Sec. 241. Reports and orders. 

Sec. 242. Spending and deficit limits enforcement. 

Sec. 243. Spending reduction orders. 

Subtitle D—Prevention of Government Shutdown 

Sec. 251. Amendment to title 31. 

Subtitle E—Joint Budget Resolution 

Sec. 271. Purposes. 

Sec. 272. Timetable. 

Sec. 273. Joint resolution on the budget. 

Sec. 274. Budget required before spending bills may be considered. 

Sec. 275. Amendments to joint resolutions on the budget. 

TITLE III—FISCAL DISCIPLINE, EARMARK REFORM, AND 

ACCOUNTABILITY ACT 

Sec. 301. Short title. 

Sec. 302. Reform of consideration of appropriations bills in the Senate. 

Sec. 303. Lobbying on behalf of recipients of Federal funds. 


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1 TITLE I—CONGRESSIONAL AC2 COUNTABILITY AND LINE3 ITEM VETO ACT OF 2010 

4 SEC. 101. SHORT TITLE. 

5 This title may be cited as the ‘‘Congressional Ac6 countability and Line-Item Veto Act of 2010’’. 

7 SEC. 102. LEGISLATIVE LINE-ITEM VETO. 

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

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

10 621 et seq.) is amended by striking all of part B (except 

11 for sections 1016 and 1013, which are redesignated as sec12 tions 1019 and 1020, respectively) and part C and insert13 ing the following: 

14 ‘‘PART B—LEGISLATIVE LINE-ITEM VETO

15 ‘‘LINE-ITEM VETO AUTHORITY

16 ‘‘SEC. 1011. (a) PROPOSED CANCELLATIONS.—With17 in 30 calendar days after the enactment of any bill or joint 

18 resolution containing any congressional earmark or pro19 viding any limited tariff benefit or targeted tax benefit, 

20 the President may propose, in the manner provided in sub21 section (b), the repeal of the congressional earmark or the 

22 cancellation of any limited tariff benefit or targeted tax 

23 benefit. If the 30 calendar-day period expires during a pe24 riod where either House of Congress stands adjourned sine 

25 die at the end of Congress or for a period greater than 


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1 30 calendar days, the President may propose a cancella2 tion under this section and transmit a special message 

3 under subsection (b) on the first calendar day of session 

4 following such a period of adjournment. 

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

6 ‘‘(1) SPECIAL MESSAGE.— 

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

8 transmit to the Congress a special message pro9 posing to repeal any congressional earmarks or 

10 to cancel any limited tariff benefits or targeted 

11 tax benefits. 

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

13 Each special message shall specify, with respect 

14 to the congressional earmarks, limited tariff 

15 benefits, or targeted tax benefits to be repealed 

16 or canceled— 

17 ‘‘(i) the congressional earmark that 

18 the President proposes to repeal or the 

19 limited tariff benefit or the targeted tax 

20 benefit that the President proposes be can21 celed; 

22 ‘‘(ii) the specific project or govern23 mental functions involved; 

24 ‘‘(iii) the reasons why such congres25 sional earmark should be repealed or such 


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1 limited tariff benefit or targeted tax ben2 efit should be canceled; 

3 ‘‘(iv) to the maximum extent prac4 ticable, the estimated fiscal, economic, and 

5 budgetary effect (including the effect on 

6 outlays and receipts in each fiscal year) of 

7 the proposed repeal or cancellation; 

8 ‘‘(v) to the maximum extent prac9 ticable, all facts, circumstances, and con10 siderations relating to or bearing upon the 

11 proposed repeal or cancellation and the de12 cision to propose the repeal or cancellation, 

13 and the estimated effect of the proposed 

14 repeal or cancellation upon the objects, 

15 purposes, or programs for which the con16 gressional earmark, limited tariff benefit, 

17 or the targeted tax benefit is provided; 

18 ‘‘(vi) a numbered list of repeals and 

19 cancellations to be included in an approval 

20 bill that, if enacted, would repeal congres21 sional earmarks and cancel limited tariff 

22 benefits or targeted tax benefits proposed 

23 in that special message; and 

24 ‘‘(vii) if the special message is trans25 mitted subsequent to or at the same time 


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1 as another special message, a detailed ex2 planation why the proposed repeals or can3 cellations are not substantially similar to 

4 any other proposed repeal or cancellation 

5 in such other message. 

6 ‘‘(C) DUPLICATIVE PROPOSALS PROHIB7 ITED.—The President may not propose to re8 peal or cancel the same or substantially similar 

9 congressional earmark, limited tariff benefit, or 

10 targeted tax benefit more than one time under 

11 this part. 

12 ‘‘(D) MAXIMUM NUMBER OF SPECIAL MES13 SAGES.—The President may not transmit to the 

14 Congress more than one special message under 

15 this subsection related to any bill or joint reso16 lution described in subsection (a), but may 

17 transmit not more than 2 special messages for 

18 any omnibus budget reconciliation or appropria19 tion measure. 

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

21 ‘‘(A) DEFICIT REDUCTION.—Congressional 

22 earmarks, limited tariff benefits, or targeted tax 

23 benefits which are repealed or canceled pursu24 ant to enactment of a bill as provided under 


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1 this section shall be dedicated only to reducing 

2 the deficit or increasing the surplus. 

3 ‘‘(B) ADJUSTMENT OF LEVELS IN THE

4 CONCURRENT RESOLUTION ON THE BUDGET.— 

5 Not later than 5 days after the date of enact6 ment of an approval bill as provided under this 

7 section, the chairs of the Committees on the 

8 Budget of the Senate and the House of Rep9 resentatives shall revise allocations and aggre10 gates and other appropriate levels under the ap11 propriate concurrent resolution on the budget to 

12 reflect the repeal or cancellation, and the appli13 cable committees shall report revised suballoca14 tions pursuant to section 302(b), as appro15 priate. 

16 ‘‘(C) ADJUSTMENTS TO STATUTORY LIM17 ITS.—After enactment of an approval bill as 

18 provided under this section, the Office of Man19 agement and Budget shall revise applicable lim20 its under the Balanced Budget and Emergency 

21 Deficit Control Act of 1985, as appropriate. 

22 ‘‘(D) TRUST FUNDS AND SPECIAL

23 FUNDS.—Notwithstanding subparagraph (A), 

24 nothing in this part shall be construed to re25 quire or allow the deposit of amounts derived 


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1 from a trust fund or special fund which are 

2 canceled pursuant to enactment of a bill as pro3 vided under this section to any other fund. 

4 ‘‘PROCEDURES FOR EXPEDITED CONSIDERATION

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

6 ‘‘(1) IN GENERAL.—The majority leader or mi7 nority leader of each House or his designee shall (by 

8 request) introduce an approval bill as defined in sec9 tion 1017 not later than the third day of session of 

10 that House after the date of receipt of a special mes11 sage transmitted to the Congress under section 

12 1011(b). If the bill is not introduced as provided in 

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

14 fourth day of session of that House after the date 

15 of receipt of the special message, any Member of 

16 that House may introduce the bill. 

17 ‘‘(2) CONSIDERATION IN THE HOUSE OF REP18 RESENTATIVES.— 

19 ‘‘(A) REFERRAL AND REPORTING.—Any 

20 committee of the House of Representatives to 

21 which an approval bill is referred shall report it 

22 to the House without amendment not later than 

23 the seventh legislative day after the date of its 

24 introduction. If a committee fails to report the 

25 bill within that period or the House has adopt26 ed a concurrent resolution providing for adVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 journment sine die at the end of a Congress, 

2 such committee shall be automatically dis3 charged from further consideration of the bill 

4 and it shall be placed on the appropriate cal5 endar. 

6 ‘‘(B) PROCEEDING TO CONSIDERATION.— 

7 After an approval bill is reported by or dis8 charged from committee or the House has 

9 adopted a concurrent resolution providing for 

10 adjournment sine die at the end of a Congress, 

11 it shall be in order to move to proceed to con12 sider the approval bill in the House. Such a mo13 tion shall be in order only at a time designated 

14 by the Speaker in the legislative schedule within 

15 two legislative days after the day on which the 

16 proponent announces his intention to offer the 

17 motion. Such a motion shall not be in order 

18 after the House has disposed of a motion to 

19 proceed with respect to that special message. 

20 The previous question shall be considered as or21 dered on the motion to its adoption without in22 tervening motion. A motion to reconsider the 

23 vote by which the motion is disposed of shall 

24 not be in order. 


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

2 shall be considered as read. All points of order 

3 against an approval bill and against its consid4 eration are waived. The previous question shall 

5 be considered as ordered on an approval bill to 

6 its passage without intervening motion except 

7 five hours of debate equally divided and con8 trolled by the proponent and an opponent and 

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

10 to reconsider the vote on passage of the bill 

11 shall not be in order. 

12 ‘‘(D) SENATE BILL.—An approval bill re13 ceived from the Senate shall not be referred to 

14 committee. 

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

16 ‘‘(A) REFERRAL AND REPORTING.—Any 

17 committee of the Senate to which an approval 

18 bill is referred shall report it to the Senate 

19 without amendment not later than the seventh 

20 legislative day after the date of its introduction. 

21 If a committee fails to report the bill within 

22 that period or the Senate has adopted a concur23 rent resolution providing for adjournment sine 

24 die at the end of a Congress, such committee 

25 shall be automatically discharged from further 


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1 consideration of the bill and it shall be placed 

2 on the appropriate calendar. 

3 ‘‘(B) MOTION TO PROCEED TO CONSIDER4 ATION.—After an approval bill is reported by or 

5 discharged from committee or the Senate has 

6 adopted a concurrent resolution providing for 

7 adjournment sine die at the end of a Congress, 

8 it shall be in order to move to proceed to con9 sider the approval bill in the Senate. A motion 

10 to proceed to the consideration of a bill under 

11 this subsection in the Senate shall not be debat12 able. It shall not be in order to move to recon13 sider the vote by which the motion to proceed 

14 is agreed to or disagreed to. 

15 ‘‘(C) LIMITS ON DEBATE.—Debate in the 

16 Senate on a bill under this subsection, and all 

17 debatable motions and appeals in connection 

18 therewith (including debate pursuant to sub19 paragraph (D)), shall not exceed 10 hours, 

20 equally divided and controlled in the usual 

21 form. 

22 ‘‘(D) APPEALS.—Debate in the Senate on 

23 any debatable motion or appeal in connection 

24 with a bill under this subsection shall be limited 


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

2 and controlled in the usual form. 

3 ‘‘(E) MOTION TO LIMIT DEBATE.—A mo4 tion in the Senate to further limit debate on a 

5 bill under this subsection is not debatable. 

6 ‘‘(F) MOTION TO RECOMMIT.—A motion to 

7 recommit a bill under this subsection is not in 

8 order. 

9 ‘‘(G) CONSIDERATION OF THE HOUSE

10 BILL.— 

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

12 received the House companion bill to the 

13 bill introduced in the Senate prior to a 

14 vote under subparagraph (C), then the 

15 Senate may consider, and the vote under 

16 subparagraph (C) may occur on, the House 

17 companion bill. 

18 ‘‘(ii) PROCEDURE AFTER VOTE ON

19 SENATE BILL.—If the Senate votes, pursu20 ant to subparagraph (C), on the bill intro21 duced in the Senate, then immediately fol22 lowing that vote, or upon receipt of the 

23 House companion bill, the House bill shall 

24 be deemed to be considered, read the third 

25 time, and the vote on passage of the SenVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00012 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 ate bill shall be considered to be the vote 

2 on the bill received from the House. 

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

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

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

6 or the House of Representatives. 

7 ‘‘PRESIDENTIAL DEFERRAL AUTHORITY

8 ‘‘SEC. 1013. (a) TEMPORARY PRESIDENTIAL AU9 THORITY TO WITHHOLD CONGRESSIONAL EARMARKS.— 

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

11 President transmits to the Congress a special mes12 sage pursuant to section 1011(b), the President may 

13 direct that any congressional earmark to be repealed 

14 in that special message shall not be made available 

15 for obligation for a period of 45 calendar days of 

16 continuous session of the Congress after the date on 

17 which the President transmits the special message to 

18 the Congress. 

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

20 shall make any congressional earmark deferred pur21 suant to paragraph (1) available at a time earlier 

22 than the time specified by the President if the Presi23 dent determines that continuation of the deferral 

24 would not further the purposes of this part. 

25 ‘‘(b) TEMPORARY PRESIDENTIAL AUTHORITY TO

26 SUSPEND A LIMITED TARIFF BENEFIT.— 


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

2 President transmits to the Congress a special mes3 sage pursuant to section 1011(b), the President may 

4 suspend the implementation of any limited tariff 

5 benefit proposed to be canceled in that special mes6 sage for a period of 45 calendar days of continuous 

7 session of the Congress after the date on which the 

8 President transmits the special message to the Con9 gress. 

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

11 shall terminate the suspension of any limited tariff 

12 benefit at a time earlier than the time specified by 

13 the President if the President determines that con14 tinuation of the suspension would not further the 

15 purposes of this part. 

16 ‘‘(c) TEMPORARY PRESIDENTIAL AUTHORITY TO

17 SUSPEND A TARGETED TAX BENEFIT.— 

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

19 President transmits to the Congress a special mes20 sage pursuant to section 1011(b), the President may 

21 suspend the implementation of any targeted tax ben22 efit proposed to be repealed in that special message 

23 for a period of 45 calendar days of continuous ses24 sion of the Congress after the date on which the 


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1 President transmits the special message to the Con2 gress. 

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

4 shall terminate the suspension of any targeted tax 

5 benefit at a time earlier than the time specified by 

6 the President if the President determines that con7 tinuation of the suspension would not further the 

8 purposes of this part. 

9 ‘‘IDENTIFICATION OF TARGETED TAX BENEFITS

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

11 Committee on Ways and Means of the House of Rep12 resentatives and the chairman of the Committee on Fi13 nance of the Senate acting jointly (hereafter in this sub14 section referred to as the ‘chairmen’) shall review any rev15 enue or reconciliation bill or joint resolution which in16 cludes any amendment to the Internal Revenue Code of 

17 1986 that is being prepared for filing by a committee of 

18 conference of the two Houses, and shall identify whether 

19 such bill or joint resolution contains any targeted tax ben20 efits. The chairmen shall provide to the committee of con21 ference a statement identifying any such targeted tax ben22 efits or declaring that the bill or joint resolution does not 

23 contain any targeted tax benefits. Any such statement 

24 shall be made available to any Member of Congress by 

25 the chairmen immediately upon request. 

26 ‘‘(b) STATEMENT INCLUDED IN LEGISLATION.— 


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1 ‘‘(1) IN GENERAL.—Notwithstanding any other 

2 rule of the House of Representatives or any rule or 

3 precedent of the Senate, any revenue or reconcili4 ation bill or joint resolution which includes any 

5 amendment to the Internal Revenue Code of 1986 

6 reported by a committee of conference of the two 

7 Houses may include, as a separate section of such 

8 bill or joint resolution, the information contained in 

9 the statement of the chairmen, but only in the man10 ner set forth in paragraph (2). 

11 ‘‘(2) APPLICABILITY.—The separate section 

12 permitted under subparagraph (A) shall read as fol13 lows: ‘Section 1021 of the Congressional Budget and 

14 Impoundment Control Act of 1974 shall 

15 llllll apply to llllllll.’, with 

16 the blank spaces being filled in with— 

17 ‘‘(A) in any case in which the chairmen 

18 identify targeted tax benefits in the statement 

19 required under subsection (a), the word ‘only’ 

20 in the first blank space and a list of all of the 

21 specific provisions of the bill or joint resolution 

22 in the second blank space; or 

23 ‘‘(B) in any case in which the chairmen de24 clare that there are no targeted tax benefits in 

25 the statement required under subsection (a), 


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1 the word ‘not’ in the first blank space and the 

2 phrase ‘any provision of this Act’ in the second 

3 blank space. 

4 ‘‘(c) IDENTIFICATION IN REVENUE ESTIMATE.— 

5 With respect to any revenue or reconciliation bill or joint 

6 resolution with respect to which the chairmen provide a 

7 statement under subsection (a), the Joint Committee on 

8 Taxation shall— 

9 ‘‘(1) in the case of a statement described in 

10 subsection (b)(2)(A), list the targeted tax benefits in 

11 any revenue estimate prepared by the Joint Com12 mittee on Taxation for any conference report which 

13 accompanies such bill or joint resolution, or 

14 ‘‘(2) in the case of a statement described in 13 

15 subsection (b)(2)(B), indicate in such revenue esti16 mate that no provision in such bill or joint resolution 

17 has been identified as a targeted tax benefit. 

18 ‘‘(d) PRESIDENT’S AUTHORITY.—If any revenue or 

19 reconciliation bill or joint resolution is signed into law— 

20 ‘‘(1) with a separate section described in sub21 section (b)(2), then the President may use the au22 thority granted in this section only with respect to 

23 any targeted tax benefit in that law, if any, identi24 fied in such separate section; or 


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1 ‘‘(2) without a separate section described in 

2 subsection (b)(2), then the President may use the 

3 authority granted in this section with respect to any 

4 targeted tax benefit in that law. 

5 ‘‘TREATMENT OF CANCELLATIONS

6 ‘‘SEC. 1015. The repeal of any congressional earmark 

7 or cancellation of any limited tariff benefit or targeted tax 

8 benefit shall take effect only upon enactment of the appli9 cable approval bill. If an approval bill is not enacted into 

10 law before the end of the applicable period under section 

11 1013, then all proposed repeals and cancellations con12 tained in that bill shall be null and void and any such 

13 congressional earmark, limited tariff benefit, or targeted 

14 tax benefit shall be effective as of the original date pro15 vided in the law to which the proposed repeals or cancella16 tions applied. 

17 ‘‘REPORTS BY COMPTROLLER GENERAL

18 ‘‘SEC. 1016. With respect to each special message 

19 under this part, the Comptroller General shall issue to the 

20 Congress a report determining whether any congressional 

21 earmark is not repealed or limited tariff benefit or tar22 geted tax benefit continues to be suspended after the de23 ferral authority set forth in section 1013 of the President 

24 has expired. 

25 ‘‘DEFINITIONS

26 ‘‘SEC. 1017. As used in this part: 


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1 ‘‘(1) APPROPRIATION LAW.—The term ‘appro2 priation law’ means an Act referred to in section 

3 105 of title 1, United States Code, including any 

4 general or special appropriation Act, or any Act 

5 making supplemental, deficiency, or continuing ap6 propriations, that has been signed into law pursuant 

7 to Article I, section 7, of the Constitution of the 

8 United States. 

9 ‘‘(2) APPROVAL BILL.—The term ‘approval bill’ 

10 means a bill or joint resolution which only approves 

11 proposed repeals of congressional earmarks or can12 cellations of limited tariff benefits or targeted tax 

13 benefits in a special message transmitted by the 

14 President under this part and— 

15 ‘‘(A) the title of which is as follows: ‘A bill 

16 approving the proposed repeals and cancella17 tions transmitted by the President on lll’, 

18 the blank space being filled in with the date of 

19 transmission of the relevant special message 

20 and the public law number to which the mes21 sage relates; 

22 ‘‘(B) which does not have a preamble; 

23 ‘‘(C) which provides only the following 

24 after the enacting clause: ‘That the Congress 

25 approves of proposed repeals and cancellations 


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1 lll’, the blank space being filled in with a 

2 list of the repeals and cancellations contained in 

3 the President’s special message, ‘as transmitted 

4 by the President in a special message on 

5 llll’, the blank space being filled in with 

6 the appropriate date, ‘regarding llll.’, the 

7 blank space being filled in with the public law 

8 number to which the special message relates; 

9 ‘‘(D) which only includes proposed repeals 

10 and cancellations that are estimated by CBO to 

11 meet the definition of congressional earmark or 

12 limited tariff benefits, or that are identified as 

13 targeted tax benefits pursuant to section 1014; 

14 and 

15 ‘‘(E) if no CBO estimate is available, then 

16 the entire list of legislative provisions proposed 

17 by the President is inserted in the second blank 

18 space in subparagraph (C). 

19 ‘‘(3) CALENDAR DAY.—The term ‘calendar day’ 

20 means a standard 24-hour period beginning at mid21 night. 

22 ‘‘(4) CANCEL OR CANCELLATION.—The terms 

23 ‘cancel’ or ‘cancellation’ means to prevent— 

24 ‘‘(A) a limited tariff benefit from having 

25 legal force or effect, and to make any necessary, 


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1 conforming statutory change to ensure that 

2 such limited tariff benefit is not implemented; 

3 or 

4 ‘‘(B) a targeted tax benefit from having 

5 legal force or effect, and to make any necessary, 

6 conforming statutory change to ensure that 

7 such targeted tax benefit is not implemented 

8 and that any budgetary resources are appro9 priately canceled. 

10 ‘‘(5) CBO.—The term ‘CBO’ means the Direc11 tor of the Congressional Budget Office. 

12 ‘‘(6) CONGRESSIONAL EARMARK.—The term 

13 ‘congressional earmark’ means a provision or report 

14 language included primarily at the request of a 

15 Member, Delegate, Resident Commissioner, or Sen16 ator providing, authorizing or recommending a spe17 cific amount of discretionary budget authority, credit 

18 authority, or other spending authority for a contract, 

19 loan, loan guarantee, grant, loan authority, or other 

20 expenditure with or to an entity, or targeted to a 

21 specific State, locality or Congressional district, 

22 other than through a statutory or administrative for23 mula-driven or competitive award process. 


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1 ‘‘(7) ENTITY.—As used in paragraph (6), the 

2 term ‘entity’ includes a private business, State, terri3 tory or locality, or Federal entity. 

4 ‘‘(8) LIMITED TARIFF BENEFIT.—The term 

5 ‘limited tariff benefit’ means any provision of law 

6 that modifies the Harmonized Tariff Schedule of the 

7 United States in a manner that benefits 10 or fewer 

8 entities (as defined in paragraph (12)(B)). 

9 ‘‘(9) OMB.—The term ‘OMB’ means the Direc10 tor of the Office of Management and Budget. 

11 ‘‘(10) OMNIBUS RECONCILIATION OR APPRO12 PRIATION MEASURE.—The term ‘omnibus reconcili13 ation or appropriation measure’ means— 

14 ‘‘(A) in the case of a reconciliation bill, any 

15 such bill that is reported to its House by the 

16 Committee on the Budget; or 

17 ‘‘(B) in the case of an appropriation meas18 ure, any such measure that provides appropria19 tions for programs, projects, or activities falling 

20 within 2 or more section 302(b) suballocations. 

21 ‘‘(11) TARGETED TAX BENEFIT.—The term 

22 ‘targeted tax benefit’ means— 

23 ‘‘(A) any revenue provision that— 

24 ‘‘(i) provides a Federal tax deduction, 

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1 ticular beneficiary or limited group of 

2 beneficiaries under the Internal Revenue 

3 Code of 1986; and 

4 ‘‘(ii) contains eligibility criteria that 

5 are not uniform in application with respect 

6 to potential beneficiaries of such provision; 

7 or 

8 ‘‘(B) any Federal tax provision which pro9 vides one beneficiary temporary or permanent 

10 transition relief from a change to the Internal 

11 Revenue Code of 1986. 

12 ‘‘EXPIRATION

13 ‘‘SEC. 1018. This title shall have no force or effect 

14 on or after December 31, 2014.’’. 

15 SEC. 103. TECHNICAL AND CONFORMING AMENDMENTS. 

16 (a) EXERCISE OF RULEMAKING POWERS.—Section 

17 904 of the Congressional Budget Act of 1974 (2 U.S.C. 

18 621 note) is amended— 

19 (1) in subsection (a), by striking ‘‘1017’’ and 

20 inserting ‘‘1012’’; and 

21 (2) in subsection (d), by striking ‘‘section 

22 1017’’ and inserting ‘‘section 1012’’. 

23 (b) ANALYSIS BY CONGRESSIONAL BUDGET OF24 FICE.—Section 402 of the Congressional Budget Act of 

25 1974 is amended by inserting ‘‘(a)’’ after ‘‘402.’’ and by 

26 adding at the end the following new subsection: 


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1 ‘‘(b) Upon the receipt of a special message under sec2 tion 1011 proposing to repeal any congressional earmark, 

3 the Director of the Congressional Budget Office shall pre4 pare an estimate of the savings in budget authority or out5 lays resulting from such proposed repeal relative to the 

6 most recent levels calculated consistent with the method7 ology used to calculate a baseline under section 257 of 

8 the Balanced Budget and Emergency Deficit Control Act 

9 of 1985 and included with a budget submission under sec10 tion 1105(a) of title 31, United States Code, and transmit 

11 such estimate to the chairmen of the Committees on the 

12 Budget of the House of Representatives and Senate.’’. 

13 (c) CLERICAL AMENDMENTS.—(1) Section 1(a) of 

14 the Congressional Budget and Impoundment Control Act 

15 of 1974 is amended by striking the last sentence. 

16 (2) Section 1022(c) of such Act (as redesignated) is 

17 amended is amended by striking ‘‘rescinded or that is to 

18 be reserved’’ and insert ‘‘canceled’’ and by striking 

19 ‘‘1012’’ and inserting ‘‘1011’’. 

20 (3) TABLE OF CONTENTS.—The table of contents set 

21 forth in section 1(b) of the Congressional Budget and Im22 poundment Control Act of 1974 is amended by deleting 

23 the contents for parts B and C of title X and inserting 

24 the following: 

‘‘PART B—LEGISLATIVE LINE-ITEM VETO

‘‘Sec. 1011. Line-item veto authority. 


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‘‘Sec. 1012. Procedures for expedited consideration. 

‘‘Sec. 1013. Presidential deferral authority. 

‘‘Sec. 1014. Identification of targeted tax benefits. 

‘‘Sec. 1015. Treatment of cancellations. 

‘‘Sec. 1016. Reports by Comptroller General. 

‘‘Sec. 1017. Definitions. 

‘‘Sec. 1018. Expiration. 

‘‘Sec. 1019. Suits by Comptroller General. 

‘‘Sec. 1020. Proposed Deferrals of budget authority.’’. 

1 (d) EFFECTIVE DATE.—The amendments made by 

2 this title shall take effect on the date of its enactment 

3 and apply only to any congressional earmark, limited tariff 

4 benefit, or targeted tax benefit provided in an title enacted 

5 on or after the date of enactment of this title. 

6 SEC. 104. SENSE OF CONGRESS ON ABUSE OF PROPOSED 

7 REPEALS AND CANCELLATIONS. 

8 It is the sense of Congress no President or any execu9 tive branch official should condition the inclusion or exclu10 sion or threaten to condition the inclusion or exclusion of 

11 any proposed repeal or cancellation in any special message 

12 under this section upon any vote cast or to be cast by 

13 any Member of either House of Congress. 

14 TITLE II—BUDGET REFORMS 

15 Subtitle A—Earmarks 

16 SEC. 211. EARMARKS PROHIBITED IN YEARS IN WHICH 

17 THERE IS A DEFICIT. 

18 (a) IN GENERAL.—It shall not be in order in the Sen19 ate or the House of Representatives to consider a bill, joint 

20 resolution, or conference report containing a congressional 

21 earmark or an earmark attributable to the President for 


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1 any fiscal year in which there is or will be a deficit as 

2 determined by CBO. 

3 (b) CONGRESSIONAL EARMARK.—In this section, the 

4 term ‘‘congressional earmark’’ means the following: 

5 (1) A congressionally directed spending item, as 

6 defined in Rule XLIV of the Standing Rules of the 

7 Senate. 

8 (2) A congressional earmark for purposes of 

9 Rule XXI of the House of Representatives. 

10 (c) WAIVER AND APPEAL.— 

11 (1) WAIVER.—This section may be waived or 

12 suspended in the Senate only by the affirmative vote 

13 of three-fifths of the Members, duly chosen and 

14 sworn. 

15 (2) APPEALS.—Appeals in the Senate from the 

16 decisions of the Chair relating to any provision of 

17 this section shall be limited to 1 hour, to be equally 

18 divided between, and controlled by, the appellant 

19 and the manager of the bill or joint resolution, as 

20 the case may be. An affirmative vote of three-fifths 

21 of the Members of the Senate, duly chosen and 

22 sworn, shall be required to sustain an appeal of the 

23 ruling of the Chair on a point of order raised under 

24 this section. 


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1 Subtitle B—Deficit Reduction 

2 Accounts 

3 SEC. 221. ESTABLISHMENT OF DISCRETIONARY DEFICIT 

4 REDUCTION ACCOUNT. 

5 (a) DISCRETIONARY DEFICIT REDUCTION AC6 COUNT.—Title III of the Congressional Budget Act of 

7 1974 (as amended by section 605) is further amended by 

8 adding at the end the following new section: 

9 ‘‘DISCRETIONARY DEFICIT REDUCTION ACCOUNT

10 ‘‘SEC. 316. (a) ESTABLISHMENT OF ACCOUNT.—The 

11 chairman of the Committee on the Budget of the House 

12 of Representatives and of the Senate shall each maintain 

13 an account to be known as the ‘deficit reduction Discre14 tionary Account’. The Account shall be divided into entries 

15 corresponding to the subcommittees of the Committee on 

16 Appropriations of that House and each entry shall consist 

17 of the ‘deficit reduction Balance’. 

18 ‘‘(b) COMPONENTS.—Each entry shall consist only of 

19 amounts credited to it under subsection (c). No entry of 

20 a negative amount shall be made. 

21 ‘‘(c) CREDITING OF AMOUNTS TO ACCOUNT.— 

22 ‘‘(1) Whenever a Member or Senator, as the 

23 case may be, offers an amendment to an appropria24 tion bill to reduce new budget authority in any acVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00027 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 count, that Member or Senator may state the por2 tion of such reduction that shall be credited to— 

3 ‘‘(A) the deficit reduction Balance; 

4 ‘‘(B) used to offset an increase in new 

5 budget authority in any other account; or 

6 ‘‘(C) allowed to remain within the applica7 ble section 302(b) suballocation. 

8 ‘‘(2) If no such statement is made, the amount 

9 of reduction in new budget authority resulting from 

10 the amendment shall be credited to the deficit reduc11 tion Balance, as applicable, if the amendment is 

12 agreed to. 

13 ‘‘(3) Except as provided by paragraph (4), the 

14 chairman of the Committee on the Budget of the 

15 House of Representatives or Senate, as applicable, 

16 shall, upon the engrossment of any appropriation bill 

17 by the House of Representatives or Senate, as appli18 cable, credit to the applicable entry balances 

19 amounts of new budget authority and outlays equal 

20 to the net amounts of reductions in budget authority 

21 and in outlays resulting from amendments agreed to 

22 by that House to that bill. 

23 ‘‘(4) When computing the net amounts of re24 ductions in new budget authority and in outlays re25 sulting from amendments agreed to by the House of 


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1 Representatives or Senate, as applicable, to an ap2 propriation bill, the chairman of the Committee on 

3 the Budget of that House shall only count those por4 tions of such amendments agreed to that were so 

5 designated by the Members offering such amend6 ments as amounts to be credited to the deficit reduc7 tion Balance, or that fall within the last sentence of 

8 paragraph (1). 

9 ‘‘(5) The chairman of the Committee on the 

10 Budget of the House of Representatives and of the 

11 Senate shall each maintain a running tally of the 

12 amendments adopted reflecting increases and de13 creases of budget authority in the bill as reported to 

14 its House. This tally shall be available to Members 

15 or Senators during consideration of any bill by that 

16 House. 

17 ‘‘(d) CALCULATION OF SAVINGS IN DEFICIT REDUC18 TION ACCOUNTS IN THE HOUSE OF REPRESENTATIVES

19 AND SENATE.— 

20 ‘‘(1) For the purposes of enforcing section 302(a), 

21 upon the engrossment of any appropriation bill by the 

22 House of Representatives or Senate, as applicable, the 

23 amount of budget authority and outlays calculated pursu24 ant to subsection (c)(3) shall be counted against the 

25 302(a) allocation provided to the Committee on ApproVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00029 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 priations as if the amount calculated pursuant to sub2 section (c)(3) was included in the bill just engrossed. 

3 ‘‘(2) For purposes of enforcing section 302(b), upon 

4 the engrossment of any appropriation bill by the House 

5 of Representatives or Senate, as applicable, the 302(b) al6 location provided to the subcommittee for the bill just en7 grossed shall be deemed to have been reduced by the 

8 amount of budget authority and outlays calculated, pursu9 ant to subsection (c)(3). 

10 ‘‘(e) 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 fiscal year 2010 or any subsequent fis15 cal year, as the case may be.’’. 

16 SEC. 222. ESTABLISHMENT OF MANDATORY DEFICIT RE17 DUCTION ACCOUNT. 

18 Title III of the Congressional Budget Act of 1974 

19 (as amended by section 606) is further amended by adding 

20 at the end the following new section: 

21 ‘‘MANDATORY DEFICIT REDUCTION ACCOUNT

22 ‘‘SEC. 317. (a) ESTABLISHMENT OF ACCOUNT.—The 

23 chairman of the Committee on the Budget of the House 

24 of Representatives and of the Senate shall each maintain 

25 an account to be known as the ‘deficit reduction Manda26 tory Account’. The Account shall be divided into entries 


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1 corresponding to the House of Representatives or Senate 

2 committees, as applicable, that received allocations under 

3 section 302(a) in the most recently adopted joint resolu4 tion on the budget, except that it shall not include the 

5 Committee on Appropriations of that House and each 

6 entry shall consist of the ‘First Year deficit reduction Ac7 count’ and the ‘Five Year deficit reduction Account’ or 

8 the period covered by the resolution on the budget for that 

9 fiscal year, as applicable. 

10 ‘‘(b) COMPONENTS.—Each entry shall consist only of 

11 amounts credited to it under subsection (c). No entry of 

12 a negative amount shall be made. 

13 ‘‘(c) CALCULATION OF ACCOUNT SAVINGS IN HOUSE

14 AND SENATE.—For the purposes of enforcing section 

15 302(a), upon the engrossment of any bill, other than an 

16 appropriation bill, by the House of Representatives or 

17 Senate, as applicable, the amount of budget authority and 

18 outlays calculated pursuant to subsection (c)(3) shall be 

19 counted against the 302(a) allocation provided to the ap20 plicable committee or committees of that House which re21 ported the bill as if the amount calculated pursuant to 

22 subsection (c)(3) was included in the bill just engrossed. 

23 ‘‘(d) CREDITING OF AMOUNTS TO ACCOUNT.— 

24 ‘‘(1) Whenever a Member or Senator, as the 

25 case may be, offers an amendment to a bill that reVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00031 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 duces the amount of mandatory budget authority 

2 provided either under current law or proposed to be 

3 provided by the bill under consideration, that Mem4 ber or Senator may state the portion of such reduc5 tion achieved in the first year covered by the most 

6 recently adopted joint resolution on the budget and 

7 in addition the portion of such reduction achieved in 

8 the first five years covered by the most recently 

9 adopted joint resolution on the budget that shall be 

10 credited to the First Year deficit reduction Balance 

11 and the Five Year deficit reduction Balance, as ap12 plicable, if the amendment is agreed to. 

13 ‘‘(2) Except as provided by paragraph (3), the 

14 chairman of the Committee on the Budget of the 

15 House of Representatives or Senate, as applicable, 

16 shall, upon the engrossment of any bill, other than 

17 an appropriation bill, by the House of Representa18 tives or Senate, as applicable, credit to the applica19 ble entry balances amounts of new budget authority 

20 and outlays equal to the net amounts of reductions 

21 in budget authority and in outlays resulting from 

22 amendments agreed to by that House to that bill. 

23 ‘‘(3) When computing the net amounts of re24 ductions in budget authority and in outlays resulting 

25 from amendments agreed to by the House of RepVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 resentatives or Senate, as applicable, to a bill, the 

2 chairman of the Committee on the Budget of that 

3 House shall only count those portions of such 

4 amendments agreed to that were so designated by 

5 the Members or Senators offering such amendments 

6 as amounts to be credited to the First Year deficit 

7 reduction Balance and the Five Year deficit reduc8 tion Balance, or that fall within the last sentence of 

9 paragraph (1). 

10 ‘‘(4) The chairman of the Committee on the 

11 Budget of the House of Representatives and of the 

12 Senate shall each maintain a running tally of the 

13 amendments adopted reflecting increases and de14 creases of budget authority in the bill as reported to 

15 its House. This tally shall be available to Members 

16 or Senators during consideration of any bill by that 

17 House. 

18 ‘‘(e) DEFINITION.—As used in this section, the term 

19 ‘appropriation bill’ means any general or special appro20 priation bill, and any bill or joint resolution making sup21 plemental, deficiency, or continuing appropriations 

22 through the end of fiscal year 2009 or any subsequent fis23 cal year, as the case may be.’’. 


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1 SEC. 223. CONFORMING AMENDMENT. 

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

3 Congressional Budget and Impoundment Control Act of 

4 1974 is amended by inserting after the item relating to 

5 section 315 the following new items: 

‘‘Sec. 316. Discretionary deficit reduction account. 

‘‘Sec. 317. Mandatory deficit reduction account.’’. 

6 Subtitle C—Statutory Budget 

7 Limits and Enforcement 

8 PART I—SPENDING LIMITS AND DEFICIT 

9 CONTROL 

10 SEC. 231. DISCRETIONARY SPENDING LIMITS. 

11 (a) DISCRETIONARY SPENDING LIMITS.—Section 

12 251 of the Balanced Budget and Emergency Deficit Con13 trol of Act of 1985 is amended to read as follows: 

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

15 level of discretionary spending for all non-security discre16 tionary spending programs, projects, and activities means, 

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

18 year 2020, an amount of discretionary spending outlays 

19 not exceeding the discretionary spending outlays for the 

20 preceding fiscal year as adjusted for inflation. 

21 ‘‘(b) SEQUENCE OF SEQUESTRATION REPORTS.— 

22 Within 15 calendar days after Congress adjourns to end 

23 a session and on the same day as a spending reduction 

24 ordered under sections 252A and 253, but prior to any 


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1 spending reduction required by sections 252A and 253, 

2 OMB shall issue a final spending reduction report to re3 duce an excess spending amount. 

4 ‘‘(c) SPENDING REDUCTION ORDER.—A spending re5 duction ordered pursuant to subsection (b) shall be imple6 mented using the procedures set forth in section 256.’’. 

7 (b) CONFORMING AMENDMENT.—The item relating 

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

9 of the Balanced Budget and Emergency Deficit Control 

10 Act of 1985 is amended to read as follows: 

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

11 SEC. 232. TOTAL SPENDING LIMITS. 

12 (a) TOTAL SPENDING LIMITS.—After section 252 of 

13 the Balanced Budget and Emergency Deficit Control Act 

14 of 1985, add the following new section: 

15 ‘‘SEC. 252A. TOTAL SPENDING LIMITS. 

16 ‘‘(a) PROJECTIONS.— 

17 ‘‘(1) SPENDING PROJECTIONS.—For the cur18 rent fiscal year and each subsequent ten fiscal years: 

19 ‘‘(A) OMB shall prepare a report com20 paring projected total spending under section 

21 257 and the total spending limits in subsection 

22 (d), and include such report in the budget as 

23 submitted by the President annually under sec24 tion 1105(a) of title 31, United States Code. 


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1 ‘‘(B) CBO shall prepare a report com2 paring projected total spending under section 

3 257 and the total spending limits in subsection 

4 (d) and include such report in the CBO annual 

5 baseline and reestimate of the President’s budg6 et. 

7 ‘‘(2) INCLUSION IN SPENDING REDUCTION OR8 DERS.—Reports prepared pursuant to subsection (a) 

9 shall be included in the spending reduction report 

10 set forth in subsection (b). 

11 ‘‘(b) SPENDING REDUCTION REPORT.—Within 15 

12 calendar days after Congress adjourns to end a session 

13 and on the same day as a spending reduction ordered 

14 under sections 251, 252A, and 253, but after any spend15 ing reduction required by sections 251 and 252A, but be16 fore section 253, OMB shall issue a spending reduction 

17 report to reduce an excess spending amount (if any re18 mains). 

19 ‘‘(c) SPENDING REDUCTION ORDER.—A spending re20 duction ordered pursuant to subsection (b) shall be imple21 mented using the procedures set forth in section 256. 

22 ‘‘(d) TOTAL SPENDING LIMITS.— 

23 ‘‘(1) fiscal year 2010: 25 percent; 

24 ‘‘(2) fiscal year 2011: 24 percent; 

25 ‘‘(3) fiscal year 2012: 22 percent; 


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1 ‘‘(4) fiscal year 2013: 22 percent; 

2 ‘‘(5) fiscal year 2014: 22 percent; 

3 ‘‘(6) fiscal year 2015: 21 percent; 

4 ‘‘(7) fiscal year 2016: 21 percent; 

5 ‘‘(8) fiscal year 2017: 20 percent; 

6 ‘‘(9) fiscal year 2018: 20 percent; 

7 ‘‘(10) fiscal year 2019: 19 percent; and 

8 ‘‘(11) fiscal year 2020 and each year thereafter: 

9 18 percent; 

10 of the projected GDP for the budget year. 

11 ‘‘(e) TEMPORARY ADJUSTMENT AUTHORITY.—OMB 

12 shall make adjustments to the total spending limits set 

13 forth in subsection (d)(6) and the years thereafter equal 

14 to the percentage level of— 

15 ‘‘(1) the average per capita benefit for OASDI 

16 and Medicare eligible retirees born during the period 

17 of fiscal years 1946 through 1964 receiving benefits 

18 under the OASDI and Medicare programs in fiscal 

19 year 2014; 

20 ‘‘(2) multiplied by the increase in the number 

21 of such beneficiaries in the applicable fiscal year 

22 from the number of such beneficiaries in fiscal year 

23 2014; 

24 ‘‘(3) adjusted for— 


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1 ‘‘(A) the blend of the Consumer Price 

2 Index and the Medical Economic Index for 

3 Medicare programs; and 

4 ‘‘(B) the Consumer Price Index for OASDI 

5 programs; and 

6 ‘‘(4) as a percentage of the gross domestic 

7 product of the applicable fiscal year. 

8 OMB may modify the adjustments required by this sub9 section in order that the spending limits accommodate the 

10 OASDI and Medicare benefits of individuals who were 

11 born during the period of fiscal years 1946 through 1964. 

12 ‘‘(f) ADDITIONAL TEMPORARY ADJUSTMENT AU13 THORITY.—OMB shall make further adjustments to the 

14 total spending limits for any fiscal year set forth in sub15 section (d) to ensure that any individual who is at least 

16 55 years of age on January 1 of the calendar year in which 

17 this subsection is enacted shall receive full benefits under 

18 the OASDI and Medicare programs.’’. 

19 (b) DEFINITIONS.—Section 3 of such Act (2 U.S.C. 

20 622) is further amended by adding at the end the fol21 lowing new paragraph: 

22 ‘‘(14) The term ‘total spending’ means all out23 lays of the Federal Government including those from 

24 off-budget entities and budget authority and outlays 


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1 flowing therefrom, as applicable, designated as emer2 gencies.’’. 

3 (c) CONFORMING AMENDMENT.—The table of con4 tents set forth in 250(c) of the Balanced Budget and 

5 Emergency Deficit Control Act of 1985 is amended by in6 serting after the item relating to section 252A the fol7 lowing new item: 

‘‘Sec. 252A. Total spending limits.’’. 

8 SEC. 233. DEFICIT LIMITS. 

9 (a) Amend section 253 of the Balanced Budget and 

10 Emergency Deficit Control Act of 1985 to read as follows: 

11 ‘‘SEC. 253. DEFICIT LIMITS. 

12 ‘‘(a) DEFICIT PROJECTIONS.— 

13 ‘‘(1) DEFICIT AMOUNTS.—For the current fis14 cal year and each subsequent ten fiscal years: 

15 ‘‘(A) OMB shall prepare a report com16 paring projected total deficits and the Deficit 

17 Limits in subsection (d), and include such re18 port in the budget as submitted by the Presi19 dent annually under section 1105(a) of title 31, 

20 United States Code. 

21 ‘‘(B) CBO shall prepare a report com22 paring projected deficits amounts and the Def23 icit Limits in subsection (d) and include such 

24 report in the CBO annual baseline and reesti25 mate of the President’s budget. 


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1 ‘‘(2) INCLUSION IN SPENDING REDUCTION OR2 DERS.—Reports prepared pursuant to subsection (a) 

3 shall be included in the spending reduction report 

4 set forth in subsection (c). 

5 ‘‘(b) DEFICIT REDUCTION REPORT.—Within 15 cal6 endar days after Congress adjourns to end a session and 

7 on the same day as a spending reduction ordered under 

8 sections 251 and 252A, but after any spending reduction 

9 required by section 251, OMB shall issue a spending re10 duction report to reduce an excess spending amount (if 

11 any remains). 

12 ‘‘(c) DEFICIT REDUCTION ORDER.—A spending re13 duction ordered pursuant to subsection (b) shall be imple14 mented using the procedures set forth in section 256. 

15 ‘‘(d) DEFICIT LIMITS.—In this section, the term 

16 ‘Deficit Limit’ means an amount that equals with respect 

17 to— 

18 ‘‘(1) fiscal year 2011: 6.9 percent; 

19 ‘‘(2) fiscal year 2012: 4.8 percent; 

20 ‘‘(3) fiscal year 2013: 4.5 percent; 

21 ‘‘(4) fiscal year 2014: 3.8 percent; 

22 ‘‘(5) fiscal year 2015: 3.0 percent; 

23 ‘‘(6) fiscal year 2016: 2.7 percent; 

24 ‘‘(7) fiscal year 2017: 2.3 percent; 

25 ‘‘(8) fiscal year 2018: 2.0 percent; 


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1 ‘‘(9) fiscal year 2019: 1.3 percent; and 

2 ‘‘(10) fiscal year 2020 and each fiscal year 

3 thereafter 0.0 percent; 

4 of the projected GDP for the budget year.’’. 

5 (b) CONFORMING AMENDMENT.—The item relating 

6 to section 253 in the table of contents set forth in section 

7 250(c) of the Balanced Budget and Emergency Deficit 

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

‘‘Sec. 253. Deficit limits.’’. 

9 PART II—REPORTS AND ORDERS 

10 SEC. 241. REPORTS AND ORDERS. 

11 Section 254 of the Balanced Budget and Emergency 

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

13 ‘‘SEC. 254. REPORTS AND ORDERS. 

14 ‘‘(a) TIMETABLE.— 

‘‘Date: Action to be completed: 

5 days before the President’s 

budget submission.

CBO sequestration preview report. 

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

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

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

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

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

order. 

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

16 Each report required by this section shall be submitted 

17 to the Budget Committees of the House of Representatives 

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

19 shall be printed in the Federal Register. 

20 ‘‘(c) SEQUESTRATION PREVIEW REPORTS.— 


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

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

3 issue a preview report regarding discretionary, pay4 as-you-go, and deficit sequestration based on laws 

5 enacted through those dates. 

6 ‘‘(2) DISCRETIONARY SPENDING LIMIT SEQUES7 TRATION REPORT.—The preview reports shall set 

8 forth estimates for the current year and each subse9 quent year through 2019 of the applicable discre10 tionary spending limits and an explanation of any 

11 adjustments in such limits under section 251. 

12 ‘‘(3) TOTAL SPENDING LIMIT SEQUESTRATION

13 REPORT.—The preview reports shall set forth for the 

14 budget year estimates for each of the following: 

15 ‘‘(A) The total spending limit and the esti16 mated total spending amount calculated under 

17 section 252A, and the excess deficit. 

18 ‘‘(B) The amount of reductions required 

19 under sections 251 and 252A, the excess total 

20 spending amount remaining after those reduc21 tions have been made. 

22 ‘‘(C) The sequestration percentage nec23 essary to achieve the required reduction in any 

24 fiscal year for which a Deficit Limit is set forth 

25 pursuant to this Act. 


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1 ‘‘(4) DEFICIT LIMIT SEQUESTRATION RE2 PORT.—The preview reports shall set forth for the 

3 budget year estimates for each of the following: 

4 ‘‘(A) The maximum deficit amount, the es5 timated deficit calculated under section 253(b), 

6 the excess deficit; 

7 ‘‘(B) The amount of reductions required 

8 under sections 251 and 252A, the excess deficit 

9 remaining after those reductions have been 

10 made; and 

11 ‘‘(C) The sequestration percentage nec12 essary to achieve the required reduction in any 

13 fiscal year for which a Deficit Limit is set forth 

14 pursuant to this Act. 

15 ‘‘(5) EXPLANATION OF DIFFERENCES.—The 

16 OMB reports shall explain the differences between 

17 OMB and CBO estimates for each item set forth in 

18 this subsection. 

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

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

21 issue a sequestration update report, reflecting laws en22 acted through those dates, containing all of the informa23 tion required in the sequestration preview reports. 

24 ‘‘(e) FINAL SEQUESTRATION REPORTS.— 


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

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

3 issue a final sequestration report, updated to reflect 

4 laws enacted through those dates. 

5 ‘‘(2) DISCRETIONARY SPENDING SEQUESTRA6 TION REPORTS.—The final reports shall set forth es7 timates for each of the following: 

8 ‘‘(A) For the current year and each subse9 quent year the applicable discretionary spending 

10 limits for each category and an explanation of 

11 any adjustments in such limits under section 

12 251. 

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

14 year the estimated new budget authority and 

15 outlays for each category and the breach, if 

16 any, in each category. 

17 ‘‘(C) For each category for which a seques18 tration is required, the sequestration percent19 ages necessary to achieve the required reduc20 tion. 

21 ‘‘(D) For the budget year, for each ac22 count to be sequestered, estimates of the base23 line level of budgetary resources subject to se24 questration and resulting outlays and the 


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1 amount of budgetary resources to be seques2 tered and resulting outlay reductions. 

3 ‘‘(3) TOTAL SPENDING AND DEFICIT LIMIT SE4 QUESTRATION REPORTS.—The final reports shall 

5 contain all the information required in the total 

6 spending and deficit limit sequestration preview re7 ports. In addition, these reports shall contain, for 

8 the budget year, for each account to be sequestered, 

9 estimates of the baseline level of sequestrable budg10 etary resources and resulting outlays and the 

11 amount of budgetary resources to be sequestered 

12 and resulting outlay reductions. The reports shall 

13 also contain estimates of the effects on outlays of 

14 the sequestration in each outyear for direct spending 

15 programs. 

16 ‘‘(4) EXPLANATION OF DIFFERENCES.—The 

17 OMB report shall explain any differences between 

18 OMB and CBO estimates of any excess deficit, any 

19 breach, and any required sequestration percentage. 

20 The OMB report shall also explain differences in the 

21 amount of sequesterable resources for any budget 

22 account to be reduced if such difference is greater 

23 than $5,000,000. 

24 ‘‘(5) PRESIDENTIAL ORDER.—On the date spec25 ified in subsection (a), if in its final sequestration 


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1 report OMB estimates that any sequestration is re2 quired, the President shall issue an order fully im3 plementing without change all sequestrations re4 quired by the OMB calculations set forth in that re5 port. This order shall be effective on issuance. 

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

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

8 (after Congress adjourns to end the session for that budg9 et year and before July 1 of that fiscal year) that causes 

10 a breach, 10 days later CBO shall issue a report con11 taining the information required in subsection (e)(2). Fif12 teen days after enactment, OMB shall issue a report con13 taining the information required in subsections (e)(2) and 

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

15 shall issue an order fully implementing without change all 

16 sequestrations required by the OMB calculations set forth 

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

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

19 the Committee on the Budget of the House of Representa20 tives or the Senate, the Comptroller General shall submit 

21 to the Congress and the President a report on— 

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

23 the President under this section complies with all of 

24 the requirements contained in this part, either certi25 fying that the order fully and accurately complies 


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1 with such requirements or indicating the respects in 

2 which it does not; and 

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

4 OMB or CBO under this section complies with all of 

5 the requirements contained in this part, either certi6 fying that the report fully and accurately complies 

7 with such requirements or indicating the respects in 

8 which it does not. 

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

10 shall notify the Congress if— 

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

12 during which such notification is given, the quarter 

13 preceding such notification, and the 4 quarters fol14 lowing such notification, CBO or OMB has deter15 mined that real economic growth is projected or esti16 mated to be less than zero with respect to each of 

17 any 2 consecutive quarters within such period; or 

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

19 Commerce’s advance preliminary or final reports of 

20 actual real economic growth indicate that the rate of 

21 real economic growth for each of the most recently 

22 reported quarter and the immediately preceding 

23 quarter is less than one percent. 

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

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


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1 same economic and technical assumptions as used in the 

2 most recent budget submitted by the President under sec3 tion 1105(a) of title 31, United States Code.’’. 

4 SEC. 242. SPENDING AND DEFICIT LIMITS ENFORCEMENT. 

5 (a) CONFORMING AMENDMENTS TO SECTION 312.— 

6 Section 312 of the Congressional Budget Act of 1974 is 

7 amended— 

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

9 following: 

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

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

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

13 the increases or decreases of such levels for purpose of 

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

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

16 Representatives or the Senate, as applicable.’’. 

17 (2) by striking subsections (b) and (c) and re18 designating subsections (d), (e), and (f) as (h), (i), 

19 and (j). 

20 (b) ENFORCEMENT AMENDMENTS TO SECTION

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

22 1974 is further amended by adding at the end the fol23 lowing new subsections after subsection (a): 

24 ‘‘(b) DISCRETIONARY SPENDING LIMIT POINT OF

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1 resentatives or the Senate to consider any bill, joint resolu2 tion, amendment, concurrent resolution, or conference re3 port that— 

4 ‘‘(1) causes the discretionary spending limits 

5 for the budget year to be breached; 

6 ‘‘(2) increases the discretionary spending limits 

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

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

9 of modifying the application of section 251 of the 

10 Balanced Budget and Emergency Deficit Control 

11 Act of 1985. 

12 ‘‘(c) TOTAL SPENDING LIMIT POINT OF ORDER.— 

13 It shall not be in order in the House of Representatives 

14 or the Senate to consider any bill, joint resolution, concur15 rent resolution, amendment, or conference report that— 

16 ‘‘(1) causes the total spending limits for the 

17 budget year, as a percentage of gross domestic prod18 uct, to be breached; or 

19 ‘‘(2) increases outlays above the total spending 

20 limits, as a percentage of gross domestic product, for 

21 the budget year or any ensuing fiscal year after the 

22 budget year. 

23 ‘‘(d) DEFICIT LIMIT POINT OF ORDER.—It shall not 

24 be in order in the House of Representatives or the Senate 


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

3 ‘‘(1) causes the Deficit Limits for the budget 

4 year, as a percentage of gross domestic product, to 

5 be breached; or 

6 ‘‘(2) increases the amount of deficit, as a per7 centage of gross domestic product, for the budget 

8 year or any ensuing fiscal year. 

9 ‘‘(e) SEQUESTRATION APPLICATION.—It shall not be 

10 in order in the House of Representatives or the Senate 

11 to consider any bill, joint resolution, amendment, concur12 rent resolution, or conference report that— 

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

14 of modifying the application of section 256 of the 

15 Balanced Budget and Emergency Deficit Control 

16 Act of 1985 to any program subject to sequestration 

17 or exempt from sequestration; and 

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

19 of modifying the application of section 251, 252A, or 

20 253 to any program subject to sequestration or ex21 empt from sequestration. 

22 ‘‘(f) WAIVER OR SUSPENSION.—The provisions of 

23 this section may be waived or suspended: 


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

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

3 duly chosen and sworn. 

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

5 the House of Representatives: 

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

7 only to waive such provisions by an affirmative 

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

9 and sworn. 

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

11 rule or order that waives the application of sub12 paragraph (A). 

13 ‘‘(C) It shall not be in order for the Speak14 er to entertain a motion to suspend the applica15 tion of this section under clause 1 of rule XV 

16 of the Rules of the House of Representatives.’’. 

17 SEC. 243. SPENDING REDUCTION ORDERS. 

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

19 Budget and Emergency Deficit Control Act of 1985 is 

20 amended to read as follows: 

21 ‘‘SEC. 256. SPENDING REDUCTION ORDER. 

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

23 issued pursuant to this part shall apply to eliminate 

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1 tionary spending limits), 252A (total spending limits), and 

2 253 (Deficit limits). 

3 ‘‘(b) WAIVER OR SUSPENSION.—(1) In the Senate, 

4 the provisions of this section may be waived or suspended 

5 in the Senate only by the affirmative vote of two-thirds 

6 of the Members, duly chosen and sworn. 

7 ‘‘(2) In the House— 

8 ‘‘(A) The provisions of this section may be 

9 waived or suspended in the House of Representatives 

10 only by a rule or order proposing only to waive such 

11 provisions by an affirmative vote of two-thirds of the 

12 Members, duly chosen and sworn. 

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

14 or order that waives the application of paragraph 

15 (1). 

16 ‘‘(C) It shall not be in order for the Speaker to 

17 entertain a motion to suspend the application of this 

18 section under clause 1 of rule XV of the Rules of the 

19 House of Representatives. 

20 ‘‘(c) GENERAL RULES.— 

21 ‘‘(1) CALCULATION OF SPENDING REDUCTION

22 PERCENTAGE.—OMB shall include in its final 

23 spending sequestration report a requirement that 

24 each nonexempt spending account shall be reduced 

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1 tiplying the baseline level of budgetary resources in 

2 that account at that time by the uniform percentage 

3 necessary to reduce outlays sufficient to eliminate an 

4 excess spending amount. 

5 ‘‘(2) EXEMPTIONS.—The following shall be ex6 empt from reduction under any order issued under 

7 this part: 

8 ‘‘(A) Payments for net interest. 

9 ‘‘(B) Benefits payable under the old-age, 

10 survivors, and disability insurance program es11 tablished under title II of the Social Security 

12 Act if— 

13 ‘‘(i) OASDI Trust Funds are actuari14 ally solvent in the 75-year period utilized 

15 in the most recent annual report of the 

16 Board of Trustees provided pursuant to 

17 section 201(C)(2) of the Social Security 

18 Act; and 

19 ‘‘(ii) OASDI Trust Funds have not 

20 run a cash deficit in the fiscal year prior 

21 to the transmittal of the most recent Se22 questration Preview Report. 

23 ‘‘(C) Benefits provided to veterans defined 

24 as direct spending payable by the Department 

25 of Veterans affairs. 


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1 ‘‘(D) Obligated balances of budget author2 ity carried over from prior fiscal years. 

3 ‘‘(E) Any obligations of the Federal Gov4 ernment required to be paid under the United 

5 States Constitution or legally contractual obli6 gations. 

7 ‘‘(F) Provisions of spending legislation des8 ignated by the President, and so designated in 

9 statute, as an emergency, except an amount of 

10 budget authority and the outlays flowing there11 from so designated that is above the emergency 

12 reserve fund as calculated in section 317(b) of 

13 the Congressional Budget Act of 1974 shall not 

14 be exempt. 

15 ‘‘(G) Any program whose growth in the 

16 budget year is equal to or less than the con17 sumer price index. 

18 ‘‘(H) Intergovernmental transfers. 

19 ‘‘(3) ONE-PERCENT REDUCTION LIMITATION.— 

20 No program shall be subject to a spending reduction 

21 of more than one percent of its budgetary resources. 

22 ‘‘(4) CALCULATION OF SPENDING REDUC23 TION.—The percentage required to produce a spend24 ing reduction, as ordered by a spending reduction 

25 order, shall be calculated by OMB by adding all 


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1 budgetary resources of the Government, and reduc2 ing that amount by an amount sufficient to reduce 

3 the total amount of outlays of the Government to 

4 equal, or lower, a level of outlays than the amount 

5 set forth in the guideline period. 

6 ‘‘(5) APPLICATION.—Once issued, a spending 

7 reduction shall be applied to nonexempt programs as 

8 follows: 

9 ‘‘(A) Budgetary resources subject to a 

10 spending reduction to any discretionary account 

11 shall be permanently canceled. 

12 ‘‘(B) The same percentage spending reduc13 tion shall apply to all programs, projects, and 

14 activities within a budget account (with pro15 grams, projects, and activities as delineated in 

16 the appropriation Act or accompanying report 

17 for the relevant fiscal year covering that ac18 count, or for accounts not included in appro19 priation Acts, as delineated in the most recently 

20 submitted President’s budget). 

21 ‘‘(C) Administrative regulations imple22 menting a spending reduction shall be made 

23 within 120 days of the issue of a spending re24 duction order. 


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1 ‘‘(6) OASDI SPECIAL PROCEDURES.—If the 

2 OASDI Trust Funds are subject to sequestration, 

3 then payments from such Trust Funds shall be 

4 treated the same as other programs, except— 

5 ‘‘(A) reductions from such Trust Funds 

6 shall not exceed one percent of the 75-year un7 funded liability set forth in the most current 

8 Social Security Trustees Report; 

9 ‘‘(B) reduction in individual benefits shall 

10 be implemented by increasing the Normal Re11 tirement Age (NRA) by an amount certified by 

12 the Social Security Office of the Chief Actuary; 

13 ‘‘(C) the increase in the NRA shall not be 

14 applied to any beneficiary born in a year 55 

15 years or before— 

16 ‘‘(i) the year of the enactment of the 

17 Spending, Deficit, and Debt Control Act of 

18 2009; or 

19 ‘‘(ii) the year in which the final 

20 spending sequestration report is issued; 

21 and 

22 ‘‘(D) no change in the NRA shall be made 

23 before it is fully phased-in under the Social Se24 curity Act as in effect before the date of enactVerDate Nov 24 2008 02:01 Feb 24, 2010 Jkt 089200 PO 00000 Frm 00056 Fmt 6652 Sfmt 6201 E:\BILLS\S3026.IS S3026

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1 ment of the Spending, Deficit, and Debt Con2 trol Act of 2009. 

3 ‘‘(d) DISCRETIONARY SPENDING SEQUESTRATION.— 

4 ‘‘(1) ELIMINATING A BREACH.—Each non5 exempt account shall be reduced by an amount of 

6 budget authority calculated by multiplying the base7 line level of budgetary resources subject to seques8 tration in that account at that time by the uniform 

9 percentage necessary to eliminate a breach by— 

10 ‘‘(A) first, calculating the uniform percent11 age necessary to eliminate a breach in new 

12 budget authority, if any, and 

13 ‘‘(B) second, if any breach in outlays re14 mains, increasing the uniform percentage to a 

15 level sufficient to eliminate that breach. 

16 ‘‘(2) EMERGENCY SPENDING ABOVE THE RE17 SERVE FUND.—An amount of budget authority and 

18 the outlays flowing therefrom designated in statute 

19 as an emergency that is above level in the emergency 

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

21 Congressional Budget Act of 1974 shall count to22 ward the discretionary spending limits. 

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

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

25 Act making or continuing appropriations for part of 


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

2 sequestration calculated for that account under 

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

4 annualized amount otherwise available by law in that 

5 account under that or a subsequent part-year appro6 priation; and (B) when a full-year appropriation for 

7 that account is enacted, from the amount otherwise 

8 provided by the full year appropriation. 

9 ‘‘(4) LOOK-BACK.—If, after June 30, an appro10 priation for the fiscal year in progress is enacted 

11 that causes a breach for that year, the discretionary 

12 spending limits for the next fiscal year shall be re13 duced by the amount of the breach. 

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

15 appropriation for a fiscal year in progress is enacted 

16 (after Congress adjourns to end the session for that 

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

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

19 account any prior sequestration of amounts), 15 

20 days later there shall be a sequestration to eliminate 

21 that breach following the procedures set forth in 

22 paragraphs (2) through (3). 

23 ‘‘(6) ESTIMATES.— 

24 ‘‘(A) CBO ESTIMATES.—As soon as prac25 ticable after Congress completes action on any 


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1 discretionary appropriation, CBO, after con2 sultation with the Committees on the Budget of 

3 the House of Representatives and the Senate, 

4 shall provide OMB with an estimate of the 

5 amount of discretionary new budget authority 

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

7 the budget year provided by that legislation. 

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

9 seven calendar days (excluding Saturdays, Sun10 days, and legal holidays) after the date of en11 actment of any discretionary appropriation, 

12 OMB shall transmit a report to the House of 

13 Representatives and to the Senate containing 

14 the CBO estimate of that legislation, an OMB 

15 estimate of the amount of discretionary new 

16 budget authority and outlays for the current 

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

18 that legislation, and an explanation of any dif19 ference between the two estimates. 

20 ‘‘(C) EXPLANATION OF DIFFERENCES BE21 TWEEN OMB AND OMB ESTIMATES.—If OMB 

22 determines that there is a significant difference 

23 between OMB and CBO reports prepared pur24 suant to subparagraph (A) and (B), OMB shall 

25 consult with the Committees on the Budget of 


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1 the House of Representatives and the Senate 

2 regarding that difference and that consultation 

3 shall include, to extent practicable, written com4 munication to those committees that affords 

5 such committees the opportunity to comment 

6 before the issuance of the report. 

7 ‘‘(D) ASSUMPTIONS AND GUIDELINES.— 

8 OMB estimates under this paragraph shall be 

9 made using current economic and technical as10 sumptions. OMB shall use the OMB estimates 

11 transmitted to the Congress under this para12 graph. OMB and CBO shall prepare estimates 

13 under this paragraph in conformance with 

14 scorekeeping guidelines determined after con15 sultation among the House of Representatives 

16 and Senate Committees on the Budget, CBO, 

17 and OMB. 

18 ‘‘(E) ANNUAL APPROPRIATIONS.—For pur19 poses of this paragraph, amounts provided by 

20 annual appropriations shall include any new 

21 budget authority and outlays for the current 

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

23 for which funding is provided in that legislation 

24 that result from previously enacted legislation. 


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1 ‘‘(7) DISCRETIONARY SEQUESTRATION LIMITA2 TION.—If appropriations for a fiscal year do not re3 quire a sequester pursuant to the discretionary 

4 spending limits set forth in this Act, discretionary 

5 accounts shall not be subject to sequestration under 

6 section 252A or 253.’’. 

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

8 258(b) of the Balanced Budget and Emergency Deficit 

9 Control Act of 1985 to read as follows: 

10 ‘‘(b) SUSPENSION OF SEQUESTRATION PROCE11 DURES.—Upon the enactment of a declaration of war or 

12 a joint resolution described in subsection (a)— 

13 ‘‘(1) the subsequent issuance of any sequestra14 tion report to enforce the spending limits in section 

15 252A or the Deficit Limits in section 253 order is 

16 precluded; 

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

18 Congressional Budget Act of 1974 are suspended; 

19 and 

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

21 Code, is suspended.’’. 

22 (c) TECHNICAL AND CONFORMING AMENDMENTS.— 

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

24 Emergency Deficit Control Act of 1985 is repealed. 


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1 (2) CONFORMING AMENDMENT.—The item relating 

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

3 250(a) of the Balanced Budget and Emergency Deficit 

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

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

5 Subtitle D—Prevention of 

6 Government Shutdown 

7 SEC. 251. AMENDMENT TO TITLE 31. 

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

9 States Code, is amended by inserting after section 1310 

10 the following new section: 

11 ‘‘§ 1311. Continuing appropriations 

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

13 year (or, if applicable, for each fiscal year in a biennium) 

14 does not become law before the beginning of such fiscal 

15 year or a joint resolution making continuing appropria16 tions is not in effect, there are appropriated, out of any 

17 money in the Treasury not otherwise appropriated, and 

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

19 funds, excluding any budget authority designated as an 

20 emergency or temporary funding for projects or activities 

21 that are not part of ongoing operations, to such sums as 

22 may be necessary to continue any project or activity for 

23 which funds were provided in the preceding fiscal year— 

24 ‘‘(A) in the corresponding regular appropriation 

25 Act for such preceding fiscal year; or 


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1 ‘‘(B) if the corresponding regular appropriation 

2 bill for such preceding fiscal year did not become 

3 law, then in a joint resolution making continuing ap4 propriations for such preceding fiscal year. 

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

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

7 year pursuant to this section shall be at a rate of oper8 ations not in excess of the lower of— 

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

10 regular appropriation Act providing for such project 

11 or activity for the preceding fiscal year; 

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

13 operations provided for such project or activity pur14 suant to a joint resolution making continuing appro15 priations for such preceding fiscal year; 

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

17 regular appropriation bill as passed by the House of 

18 Representatives or the Senate for the fiscal year in 

19 question, except that the lower of these two versions 

20 shall be ignored for any project or activity for which 

21 there is a budget request if no funding is provided 

22 for that project or activity in either version; or 

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

24 for in the most recently enacted joint resolution 

25 making continuing appropriations for part of that 


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1 fiscal year or any funding levels established under 

2 the provisions of this Act. 

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

4 authority granted, for any fiscal year pursuant to this sec5 tion for a project or activity shall be available for the pe6 riod beginning with the first day of a lapse in appropria7 tions and ending with the earlier of— 

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

9 appropriation bill for such fiscal year becomes law 

10 (whether or not such law provides for such project 

11 or activity) or a continuing resolution making appro12 priations becomes law, as the case may be; or 

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

14 ‘‘(b) An appropriation or funds made available, or au15 thority granted, for a project or activity for any fiscal year 

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

17 conditions imposed with respect to the appropriation made 

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

19 authority granted for such project or activity under cur20 rent law. 

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

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

23 year pursuant to this section shall cover all obligations or 

24 expenditures incurred for such project or activity during 


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1 the portion of such fiscal year for which this section ap2 plies to such project or activity. 

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

4 any fiscal year pursuant to this section shall be charged 

5 to the applicable appropriation, fund, or authorization 

6 whenever a regular appropriation bill or a joint resolution 

7 making continuing appropriations until the end of a fiscal 

8 year providing for such project or activity for such period 

9 becomes law. 

10 ‘‘(e) This section shall not apply to a project or activ11 ity during a fiscal year if any other provision of law (other 

12 than an authorization of appropriations)— 

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

14 available, or grants authority for such project or ac15 tivity to continue for such period; or 

16 ‘‘(2) specifically provides that no appropriation 

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

18 no authority shall be granted for such project or ac19 tivity to continue for such period. 

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

21 appropriation bill’ means any annual appropriation bill 

22 making appropriations, otherwise making funds available, 

23 or granting authority, for any of the following categories 

24 of projects and activities: 


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

2 Drug Administration, and related agencies pro3 grams. 

4 ‘‘(2) The Department of Defense. 

5 ‘‘(3) Energy and water development, and re6 lated agencies. 

7 ‘‘(4) State, foreign operations, and related pro8 grams. 

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

10 ‘‘(6) The Department of the Interior, Environ11 mental Protection Agency, and related agencies. 

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

13 Human Services, and Education, and related agen14 cies. 

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

16 related agencies. 

17 ‘‘(9) Science, the Departments of State, Jus18 tice, and Commerce, and related agencies. 

19 ‘‘(10) The Departments of Transportation, 

20 Housing and Urban Development, and related agen21 cies. 

22 ‘‘(11) The Legislative Branch. 

23 ‘‘(12) Financial services and general govern24 ment.’’. 


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1 (b) CLERICAL AMENDMENT.—The analysis of chap2 ter 13 of title 31, United States Code, is amended by in3 serting after the item relating to section 1310 the fol4 lowing new item: 

‘‘1311. Continuing appropriations.’’. 

5 (c) EFFECTIVE DATE.—The amendment made by 

6 this section shall apply to fiscal year 2011. 

7 Subtitle E—Joint Budget 

8 Resolution 

9 SEC. 271. PURPOSES. 

10 Paragraphs (1) and (2) of section 2 of the Congres11 sional Budget and Impoundment Control Act of 1974 are 

12 amended to read as follows: 

13 ‘‘(1) to assure effective control over the budg14 etary process; and 

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

16 the appropriate level of Federal revenues and ex17 penditures by the Congress and the President;’’. 

18 SEC. 272. TIMETABLE. 

19 Section 300 of the Congressional Budget Act of 1974 

20 is amended to read as follows: 

21 ‘‘TIMETABLE

22 ‘‘SEC. 300. The timetable with respect to the Con23 gressional budget process for any fiscal year is as follows: 

‘‘First Session 

On or before: Action to be completed: 


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‘‘First Session—Continued 

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

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

to Budget Committees. 

Not later than 6 weeks after 

President submits budget.

Committees submit views and estimates to 

Budget Committees. 

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

the budget. 

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

on the budget. 

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

annual appropriation bill. 

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

legislation. 

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

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

1 SEC. 273. JOINT RESOLUTION ON THE BUDGET. 

2 (a) CONTENT OF JOINT RESOLUTIONS ON THE

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

4 Act of 1974 is amended to read as follows: 

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

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

9 for emergencies (for the reserve fund in section 

10 317(b) and for military operations in section 

11 317(C));’’. 

12 (b) ADDITIONAL MATTERS IN JOINT RESOLUTION.— 

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

14 is amended as follows: 

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

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

17 (5) accordingly. 


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

2 read as follows: 

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

4 such other procedures, relating to the budget as may 

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

6 but shall not include a suspension or alteration of 

7 the application of the motion to strike a provision as 

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

9 (c) REQUIRED CONTENTS OF REPORT.—Section 

10 301(e)(2) of the Congressional Budget Act of 1974 is 

11 amended as follows: 

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

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

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

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

16 insert the following new subparagraph: 

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

18 each major functional category, based on alloca19 tions of the total levels set forth pursuant to 

20 subsection (a)(1);’’. 

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

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

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

24 insert the following new subparagraph: 


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

2 domestic product, of total outlays, total Federal 

3 revenues, the surplus or deficit, and new out4 lays for nondefense discretionary spending, de5 fense spending, Medicare, Medicaid and other 

6 direct spending as set forth in such resolu7 tion;’’. 

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

9 insert the following new subparagraph: 

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

11 includes any allocation to a committee other 

12 than the Committee on Appropriations of levels 

13 in excess of current law levels, a justification 

14 for not subjecting any program, project, or ac15 tivity (for which the allocation is made) to an16 nual discretionary appropriations;’’. 

17 (d) ADDITIONAL CONTENTS OF REPORT.—Section 

18 301(e)(3) of the Congressional Budget Act of 1974 is 

19 amended as follows: 

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

21 subparagraphs (B) and (C), respectively, strike sub22 paragraphs (C) and (D), and redesignate subpara23 graph (E) as subparagraph (D) and strike the pe24 riod and insert ‘‘; and’’. 


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1 (2) Before subparagraph (B), insert the fol2 lowing new subparagraph: 

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

4 each major functional category, based on alloca5 tions of the total levels set forth pursuant to 

6 subsection (a)(1);’’. 

7 (3) At the end, add the following new subpara8 graph: 

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

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

11 of the Congress, the goals for reducing unem12 ployment set forth in section 4(b) of the Em13 ployment Act of 1946 should be achieved.’’. 

14 (e) BUDGET PRESENTATION.—After section 

15 301(e)(3) add the following new paragraph: 

16 ‘‘(4) BUDGET FORMAT.—In addition to the con17 tents that may be included in the report pursuant to 

18 paragraph (3), a presentation of the functional cat19 egories may also be included as follows: 

20 ‘‘(A) PRINCIPAL FEDERAL OBLIGATIONS.— 

21 Activities intrinsic to the Federal Government 

22 (including both discretionary and mandatory 

23 spending) as follows: 

24 ‘‘(i) National defense; 

25 ‘‘(ii) International affairs; 


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1 ‘‘(iii) Veterans benefits and services; 

2 and 

3 ‘‘(iv) Administration of justice. 

4 ‘‘(B) FEDERALLY SUPPORTED DOMESTIC

5 PRIORITIES.—The total domestic discretionary 

6 spending levels as follows: 

7 ‘‘(i) Total domestic discretionary 

8 spending. 

9 ‘‘(ii) Optional inclusion of additional 

10 specific recommended levels. 

11 ‘‘(C) MAJOR DOMESTIC ENTITLEMENTS.— 

12 Major domestic direct spending programs as 

13 follows: 

14 ‘‘(i) Medicare. 

15 ‘‘(ii) Medicaid. 

16 ‘‘(iii) Other direct spending. 

17 ‘‘(iv) Optional inclusion of additional 

18 specific recommended levels. 

19 ‘‘(D) GENERAL GOVERNMENT AND FINAN20 CIAL MANAGEMENT.—Funding for financing 

21 government operations as follows: 

22 ‘‘(i) General government. 

23 ‘‘(ii) Net interest. 

24 ‘‘(iii) Allowances. 

25 ‘‘(iv) Offsetting receipts.’’. 


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1 (f) PRESIDENT’S BUDGET SUBMISSION TO CON2 GRESS.—(1) The first two sentences of section 1105(a) 

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

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

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

6 President shall submit a budget of the United States Gov7 ernment for the following fiscal year which shall set forth 

8 the following levels: 

9 ‘‘(A) Totals of new budget authority and out10 lays. 

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

12 any, by which the aggregate level of Federal reve13 nues should be increased or decreased by bills and 

14 resolutions to be reported by the appropriate com15 mittees. 

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

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

18 outlays for nondefense discretionary spending, de19 fense discretionary spending, direct spending (ex20 cluding interest), and interest, and for emergencies 

21 (for the reserve fund in section 317(b) and for mili22 tary operations in section 317(c). 

23 ‘‘(E) The public debt. 

24 Each budget submission shall include a budget message 

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1 rately delineated statement, the levels requires in the pre2 ceding sentence for at least each of the 4 ensuing fiscal 

3 years.’’. 

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

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

6 after ‘‘budget’’. 

7 (g) LIMITATION ON THE CONTENT OF BUDGET RES8 OLUTIONS.—Section 305 of the Congressional Budget Act 

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

10 new subsection: 

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

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

13 to consider any joint resolution on the budget or any 

14 amendment thereto or conference report thereon that con15 tains any matter referred to in paragraph (2). 

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

17 amendment thereto or conference report thereon that con18 tains any matter not permitted in section 301(a) or (b) 

19 shall not be treated in the House of Representatives or 

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

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

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


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1 SEC. 274. BUDGET REQUIRED BEFORE SPENDING BILLS 

2 MAY BE CONSIDERED. 

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

4 the Congressional Budget Act of 1974 is amended— 

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

6 and 

7 (2) in subsection (f)(1)(A), by striking ‘‘as re8 ported’’. 

9 (b) AMENDMENTS TO SECTION 303 AND CON10 FORMING AMENDMENTS.—Section 303 of the Congres11 sional Budget Act of 1974 is amended— 

12 (1) by striking ‘‘(a) IN GENERAL.—’’, by strik13 ing ‘‘has been agreed to’’ and inserting ‘‘takes effect 

14 in subsection (a)’’, and by striking subsections (b) 

15 and (c); and 

16 (2) by striking its section heading and inserting 

17 the following new section heading: ‘‘CONSIDERATION

18 OF BUDGET-RELATED LEGISLATION BEFORE BUDG19 ET BECOMES LAW’’. 

20 (c) EXPEDITED PROCEDURES UPON VETO OF JOINT

21 RESOLUTION ON THE BUDGET.—(1) Title III of the Con22 gressional Budget Act of 1974 is amended by adding after 

23 section 315 the following new section: 


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1 ‘‘EXPEDITED PROCEDURES UPON VETO OF JOINT

2 RESOLUTION ON THE BUDGET

3 ‘‘SEC. 316. (a) SPECIAL RULE.—If the President ve4 toes a joint resolution on the budget for a fiscal year, the 

5 majority leader of the House of Representatives or Senate 

6 (or his designee) shall introduce a concurrent resolution 

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

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

9 House fails to report such concurrent or joint resolution 

10 referred to it within five calendar days (excluding Satur11 days, Sundays, or legal holidays except when that House 

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

13 the committee shall be automatically discharged from fur14 ther consideration of such resolution and such resolution 

15 shall be placed on the appropriate calendar. 

16 ‘‘(b) PROCEDURE IN THE HOUSE OF REPRESENTA17 TIVES AND THE SENATE.— 

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

19 provisions of section 305 for the consideration in the 

20 House of Representatives and in the Senate of joint 

21 resolutions on the budget and conference reports 

22 thereon shall also apply to the consideration of con23 current resolutions on the budget introduced under 

24 subsection (a) and conference reports thereon. 


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

2 resolution on the budget or joint resolution on the 

3 budget introduced under subsection (a), and all 

4 amendments thereto and debatable motions and ap5 peals in connection therewith, shall be limited to not 

6 more than 10 hours and in the House of Represent7 atives such debate shall be limited to not more than 

8 3 hours. 

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

10 Any concurrent resolution on the budget introduced under 

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

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

13 BUDGET.—Notwithstanding any other provision of this 

14 title, whenever a concurrent resolution on the budget de15 scribed in subsection (a) is agreed to, then the aggregates, 

16 allocations, and reconciliation directives (if any) contained 

17 in the report accompanying such concurrent resolution or 

18 in such concurrent resolution shall be considered to be the 

19 aggregates, allocations, and reconciliation directives for all 

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

21 fiscal years and such concurrent resolution shall be 

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

23 title and the Rules of the House of Representatives and 

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

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


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1 date agreed to when applied to such concurrent resolu2 tion.’’. 

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

4 the Congressional Budget and Impoundment Control Act 

5 of 1974 is amended by inserting after the item relating 

6 to section 315 the following new item: 

‘‘Sec. 316. Discretionary Deficit Reduction Account.’’. 

7 SEC. 275. AMENDMENTS TO JOINT RESOLUTIONS ON THE 

8 BUDGET. 

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

10 Congressional Budget Act of 1974 is amended to read as 

11 follows: 

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

13 means— 

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

15 budget for the United States Government for a 

16 fiscal year as provided in section 301; and 

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

18 budget for the United States Government for a 

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

20 (b) ADDITIONAL AMENDMENTS TO THE CONGRES21 SIONAL BUDGET AND IMPOUNDMENT CONTROL ACT OF

22 1974.—(1)(A) Sections 301, 302, 303, 305, 308, 310, 

23 311, 312, 314, 405, and 904 of the Congressional Budget 

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1 ing ‘‘concurrent’’ each place it appears and inserting 

2 ‘‘joint’’. 

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

4 1974 is further amended by striking the last sentence. 

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

6 310(d)(1) of the Congressional Budget Act of 1974 are 

7 amended by striking ‘‘most recently agreed to concurrent 

8 resolution on the budget’’ each place it occurs and insert9 ing ‘‘most recently enacted joint resolution on the budget 

10 or agreed to concurrent resolution on the budget (as appli11 cable)’’. 

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

13 by striking ‘‘ANNUAL ADOPTION OF CONCURRENT RESO14 LUTION’’ and inserting ‘‘JOINT RESOLUTIONS’’; and 

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

16 follows: 

17 ‘‘PERMISSIBLE REVISIONS OF BUDGET RESOLUTIONS

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

19 the budget for a fiscal year has been enacted pursuant 

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

21 two Houses and the President may enact a joint resolution 

22 on the budget which revises or reaffirms the joint resolu23 tion on the budget for such fiscal year most recently en24 acted, and for purposes of the enforcement of the Congres25 sional Budget Act of 1974, the chairman of the Budget 

26 Committee of the House of Representatives or the Senate, 


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1 as applicable, may adjust levels as needed for the enforce2 ment off of the budget resolution.’’. 

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

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

5 and by inserting ‘‘enacted’’. 

6 (2)(A) Paragraph (4) of section 3 of the Congres7 sional Budget and Impoundment Control Act of 1974 is 

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

9 and by inserting ‘‘joint’’. 

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

11 of such Act is amended— 

12 (i) in the item relating to section 301, by strik13 ing ‘‘Annual adoption of concurrent resolution’’ and 

14 inserting ‘‘Joint resolutions’’; 

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

16 and inserting the following: 

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

law.’’. 

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

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

19 (c) CONFORMING AMENDMENTS TO THE RULES OF

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

21 4(a)(4), 4(b)(2), 4(f)(1)(A), and 4(f)(2) of rule X, clause 

22 10 of rule XVIII, clause 10 of rule XX, and clauses 7 

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1 resentatives are amended by striking ‘‘concurrent’’ each 

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

3 (d) CONFORMING AMENDMENTS TO THE BALANCED

4 BUDGET AND EMERGENCY DEFICIT CONTROL ACT OF

5 1985.—Section 258C(b)(1) of the Balanced Budget and 

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

7 907d(b)(1)) is amended by striking ‘‘concurrent’’ and in8 serting ‘‘joint’’. 

9 (e) CONFORMING AMENDMENTS TO SECTION 310 

10 REGARDING RECONCILIATION DIRECTIVES.—(1) The side 

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

12 of 1974 (as amended by section 105(b)) is further amend13 ed by inserting ‘‘JOINT EXPLANATORY STATEMENT AC14 COMPANYING CONFERENCE REPORT ON’’ before ‘‘JOINT’’. 

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

16 ‘‘A’’ and inserting ‘‘The joint explanatory statement ac17 companying the conference report on a’’. 

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

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

20 explanatory statement accompanying the conference re21 port on’’. 

22 (4) Section 310(c)(1) of such Act is amended by in23 serting ‘‘the joint explanatory statement accompanying 

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


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1 (f) CONFORMING AMENDMENTS TO SECTION 3 RE2 GARDING DIRECT SPENDING.—Section 3 of the Congres3 sional Budget and Impoundment Control Act of 1974 is 

4 amended by adding at the end the following new para5 graph: 

6 ‘‘(11) The term ‘direct spending’ has the mean7 ing given to such term in section 250(c)(8) of the 

8 Balanced Budget and Emergency Deficit Control 

9 Act of 1985.’’. 

10 TITLE III—FISCAL DISCIPLINE, 

11 EARMARK REFORM, AND AC12 COUNTABILITY ACT 

13 SEC. 301. SHORT TITLE. 

14 This title may be cited as the ‘‘Fiscal Discipline, Ear15 mark Reform, and Accountability Act’’. 

16 SEC. 302. REFORM OF CONSIDERATION OF APPROPRIA17 TIONS BILLS IN THE SENATE. 

18 (a) IN GENERAL.—Rule XVI of the Standing Rules 

19 of the Senate is amended by adding at the end the fol20 lowing: 

21 ‘‘9. (a) On a point of order made by any Senator: 

22 ‘‘(1) No new or general legislation nor any un23 authorized appropriation may be included in any 

24 general appropriation bill. 


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1 ‘‘(2) No amendment may be received to any 

2 general appropriation bill the effect of which will be 

3 to add an unauthorized appropriation to the bill. 

4 ‘‘(3) No unauthorized appropriation may be in5 cluded in any amendment between the Houses, or 

6 any amendment thereto, in relation to a general ap7 propriation bill. 

8 ‘‘(b)(1) If a point of order under subparagraph (a)(1) 

9 against a Senate bill or amendment is sustained— 

10 ‘‘(A) the new or general legislation or unauthor11 ized appropriation shall be struck from the bill or 

12 amendment; and 

13 ‘‘(B) any modification of total amounts appro14 priated necessary to reflect the deletion of the mat15 ter struck from the bill or amendment shall be 

16 made. 

17 ‘‘(2) If a point of order under subparagraph (a)(1) 

18 against an Act of the House of Representatives is sus19 tained when the Senate is not considering an amendment 

20 in the nature of a substitute, an amendment to the House 

21 bill is deemed to have been adopted that— 

22 ‘‘(A) strikes the new or general legislation or 

23 unauthorized appropriation from the bill; and 


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1 ‘‘(B) modifies, if necessary, the total amounts 

2 appropriated by the bill to reflect the deletion of the 

3 matter struck from the bill; 

4 ‘‘(c) If the point of order against an amendment 

5 under subparagraph (a)(2) is sustained, the amendment 

6 shall be out of order and may not be considered. 

7 ‘‘(d)(1) If a point of order under subparagraph (a)(3) 

8 against a Senate amendment is sustained— 

9 ‘‘(A) the unauthorized appropriation shall be 

10 struck from the amendment; 

11 ‘‘(B) any modification of total amounts appro12 priated necessary to reflect the deletion of the mat13 ter struck from the amendment shall be made; and 

14 ‘‘(C) after all other points of order under this 

15 paragraph have been disposed of, the Senate shall 

16 proceed to consider the amendment as so modified. 

17 ‘‘(2) If a point of order under subparagraph (a)(3) 

18 against a House of Representatives amendment is sus19 tained— 

20 ‘‘(A) an amendment to the House amendment 

21 is deemed to have been adopted that— 

22 ‘‘(i) strikes the new or general legislation 

23 or unauthorized appropriation from the House 

24 amendment; and 


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1 ‘‘(ii) modifies, if necessary, the total 

2 amounts appropriated by the bill to reflect the 

3 deletion of the matter struck from the House 

4 amendment; and 

5 ‘‘(B) after all other points of order under this 

6 paragraph have been disposed of, the Senate shall 

7 proceed to consider the question of whether to con8 cur with further amendment. 

9 ‘‘(e) The disposition of a point of order made under 

10 any other paragraph of this rule, or under any other 

11 Standing Rule of the Senate, that is not sustained, or is 

12 waived, does not preclude, or affect, a point of order made 

13 under subparagraph (a) with respect to the same matter. 

14 ‘‘(f) A point of order under subparagraph (a) may 

15 be waived only by a motion agreed to by the affirmative 

16 vote of three-fifths of the Senators duly chosen and sworn. 

17 If an appeal is taken from the ruling of the Presiding Offi18 cer with respect to such a point of order, the ruling of 

19 the Presiding Officer shall be sustained absent an affirma20 tive vote of three-fifths of the Senators duly chosen and 

21 sworn. 

22 ‘‘(g) Notwithstanding any other rule of the Senate, 

23 it shall be in order for a Senator to raise a single point 

24 of order that several provisions of a general appropriation 

25 bill or an amendment between the Houses on a general 


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1 appropriation bill violate subparagraph (a). The Presiding 

2 Officer may sustain the point of order as to some or all 

3 of the provisions against which the Senator raised the 

4 point of order. If the Presiding Officer so sustains the 

5 point of order as to some or all of the provisions against 

6 which the Senator raised the point of order, then only 

7 those provisions against which the Presiding Officer sus8 tains the point of order shall be deemed stricken pursuant 

9 to this paragraph. Before the Presiding Officer rules on 

10 such a point of order, any Senator may move to waive 

11 such a point of order, in accordance with subparagraph 

12 (f), as it applies to some or all of the provisions against 

13 which the point of order was raised. Such a motion to 

14 waive is amendable in accordance with the rules and prece15 dents of the Senate. After the Presiding Officer rules on 

16 such a point of order, any Senator may appeal the ruling 

17 of the Presiding Officer on such a point of order as it 

18 applies to some or all of the provisions on which the Pre19 siding Officer ruled. 

20 ‘‘(h) For purposes of this paragraph: 

21 ‘‘(1) The term ‘new or general legislation’ has 

22 the meaning given that term when it is used in para23 graph 2 of this rule. 


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1 ‘‘(2) The term ‘new matter’ means matter not 

2 committed to conference by either House of Con3 gress. 

4 ‘‘(3)(A) The term ‘unauthorized appropriation’ 

5 means a ‘congressionally directed spending item’ as 

6 defined in rule XLIV— 

7 ‘‘(i) that is not specifically authorized by 

8 law or Treaty stipulation (unless the appropria9 tion has been specifically authorized by an Act 

10 or resolution previously passed by the Senate 

11 during the same session or proposed in pursu12 ance of an estimate submitted in accordance 

13 with law); or 

14 ‘‘(ii) the amount of which exceeds the 

15 amount specifically authorized by law or Treaty 

16 stipulation (or specifically authorized by an Act 

17 or resolution previously passed by the Senate 

18 during the same session or proposed in pursu19 ance of an estimate submitted in accordance 

20 with law) to be appropriated. 

21 ‘‘(B) An appropriation is not specifically au22 thorized if it is restricted or directed to, or author23 ized to be obligated or expended for the benefit of, 

24 an identifiable person, program, project, entity, or 

25 jurisdiction by earmarking or other specification, 


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1 whether by name or description, in a manner that is 

2 so restricted, directed, or authorized that it applies 

3 only to a single identifiable person, program, project, 

4 entity, or jurisdiction, unless the identifiable person, 

5 program, project, entity, or jurisdiction to which the 

6 restriction, direction, or authorization applies is de7 scribed or otherwise clearly identified in a law or 

8 Treaty stipulation (or an Act or resolution pre9 viously passed by the Senate during the same ses10 sion or in the estimate submitted in accordance with 

11 law) that specifically provides for the restriction, di12 rection, or authorization of appropriation for such 

13 person, program, project, entity, or jurisdiction. 

14 ‘‘10. (a) On a point of order made by any Senator, 

15 no new or general legislation, nor any unauthorized appro16 priation, new matter, or nongermane matter may be in17 cluded in any conference report on a general appropriation 

18 bill. 

19 ‘‘(b) If the point of order against a conference report 

20 under subparagraph (a) is sustained— 

21 ‘‘(1) the new or general legislation, unauthor22 ized appropriation, new matter, or nongermane mat23 ter in such conference report shall be deemed to 

24 have been struck; 


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1 ‘‘(2) any modification of total amounts appro2 priated necessary to reflect the deletion of the mat3 ter struck shall be deemed to have been made; 

4 ‘‘(3) when all other points of order under this 

5 paragraph have been disposed of— 

6 ‘‘(A) the Senate shall proceed to consider 

7 the question of whether the Senate should re8 cede from its amendment to the House bill, or 

9 its disagreement to the amendment of the 

10 House, and concur with a further amendment, 

11 which further amendment shall consist of only 

12 that portion of the conference report not 

13 deemed to have been struck (together with any 

14 modification of total amounts appropriated); 

15 ‘‘(B) the question shall be debatable; and 

16 ‘‘(C) no further amendment shall be in 

17 order; and 

18 ‘‘(4) if the Senate agrees to the amendment, 

19 then the bill and the Senate amendment thereto 

20 shall be returned to the House for its concurrence 

21 in the amendment of the Senate. 

22 ‘‘(c) The disposition of a point of order made under 

23 any other paragraph of this rule, or under any other 

24 Standing Rule of the Senate, that is not sustained, or is 


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1 waived, does not preclude, or affect, a point of order made 

2 under subparagraph (a) with respect to the same matter. 

3 ‘‘(d) A point of order under subparagraph (a) may 

4 be waived only by a motion agreed to by the affirmative 

5 vote of three-fifths of the Senators duly chosen and sworn. 

6 If an appeal is taken from the ruling of the Presiding Offi7 cer with respect to such a point of order, the ruling of 

8 the Presiding Officer shall be sustained absent an affirma9 tive vote of three-fifths of the Senators duly chosen and 

10 sworn. 

11 ‘‘(e) Notwithstanding any other rule of the Senate, 

12 it shall be in order for a Senator to raise a single point 

13 of order that several provisions of a conference report on 

14 a general appropriation bill violate subparagraph (a). The 

15 Presiding Officer may sustain the point of order as to 

16 some or all of the provisions against which the Senator 

17 raised the point of order. If the Presiding Officer so sus18 tains the point of order as to some or all of the provisions 

19 against which the Senator raised the point of order, then 

20 only those provisions against which the Presiding Officer 

21 sustains the point of order shall be deemed stricken pursu22 ant to this paragraph. Before the Presiding Officer rules 

23 on such a point of order, any Senator may move to waive 

24 such a point of order, in accordance with subparagraph 

25 (d), as it applies to some or all of the provisions against 


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1 which the point of order was raised. Such a motion to 

2 waive is amendable in accordance with the rules and prece3 dents of the Senate. After the Presiding Officer rules on 

4 such a point of order, any Senator may appeal the ruling 

5 of the Presiding Officer on such a point of order as it 

6 applies to some or all of the provisions on which the Pre7 siding Officer ruled. 

8 ‘‘(f) For purposes of this paragraph: 

9 ‘‘(1) The terms ‘new or general legislation’, 

10 ‘new matter’, and ‘unauthorized appropriation’ have 

11 the same meaning as in paragraph 9. 

12 ‘‘(2) The term ‘nongermane matter’ has the 

13 same meaning as in rule XXII and under the prece14 dents attendant thereto, as of the beginning of the 

15 110th Congress.’’. 

16 (b) REQUIRING CONFERENCE REPORTS TO BE

17 SEARCHABLE ONLINE.—Paragraph 3(a)(2) of rule XLIV 

18 of the Standing Rules of the Senate is amended by insert19 ing ‘‘in an searchable format’’ after ‘‘available’’. 

20 SEC. 303. LOBBYING ON BEHALF OF RECIPIENTS OF FED21 ERAL FUNDS. 

22 The Lobbying Disclosure Act of 1995 is amended by 

23 adding after section 5 the following: 


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92 

•S 3026 IS

1 ‘‘SEC. 5A. REPORTS BY RECIPIENTS OF FEDERAL FUNDS. 

2 ‘‘(a) IN GENERAL.—A recipient of Federal funds 

3 shall file a report as required by section 5(a) containing— 

4 ‘‘(1) the name of any lobbyist registered under 

5 this Act to whom the recipient paid money to lobby 

6 on behalf of the Federal funding received by the re7 cipient; and 

8 ‘‘(2) the amount of money paid as described in 

9 paragraph (1). 

10 ‘‘(b) DEFINITION.—In this section, the term ‘recipi11 ent of Federal funds’ means the recipient of Federal funds 

12 constituting an award, grant, or loan.’’. 

Æ 


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