Maximizing America's Prosperity Act of 2015

To cap noninterest Federal Spending as a percentage of potential GDP to right-size the government, grow the economy, and balance the budget. 1. Short title This title may be cited as the Maximizing America’s Prosperity Act of 2015 2. Total spending limits (a) Total Spending Limits Section 251 of the Balanced Budget and Emergency Deficit Control Act of 1985 ( 2 U.S.C. 901 251. Total spending limits (a) Projections (1) OMB report OMB shall prepare a report comparing projected total spending under section 257 and the total spending limits in subsection (c), and include such report in the budget as submitted by the President annually under section 1105(a) of title 31, United States Code. (2) CBO report CBO shall prepare a report comparing projected total spending under section 257 and the total spending limits in subsection (c) and include such report in the CBO annual baseline and reestimate of the President’s budget. (3) Inclusion in spending reduction orders Reports prepared pursuant to this subsection shall be included in the spending reduction report. (b) Spending Reduction Order (1) Within 15 calendar days after Congress adjourns to end a session, there shall be a spending reduction order under section 254(f)(5). (2) Each non-exempt discretionary budget account shall be reduced by a dollar amount calculated by multiplying the enacted level of sequestrable budgetary resources in that account at that time by the uniform percentage necessary to achieve the required automatic spending reduction. (3) No discretionary budget account shall be subject to a spending reduction of more than five percent of its budgetary resources. (c) Fiscal Years of the Total Spending Period The fiscal years within the total spending period shall be as follows: (1) Fiscal year 2016: 19.0 percent of potential GDP. (2) Fiscal year 2017: 17.7 percent of potential GDP. (3) Fiscal year 2018: 17.0 percent of potential GDP. (4) Fiscal year 2019: 16.8 percent of potential GDP. (5) Fiscal year 2020: 16.7 percent of potential GDP. (6) Fiscal year 2021: 16.6 percent of potential GDP. (7) Fiscal year 2022: 16.6 percent of potential GDP. (8) Fiscal year 2023: 16.3 percent of potential GDP. (9) Fiscal year 2024: 16.0 percent of potential GDP. (10) Fiscal year 2025 and subsequent fiscal years: 16.0 percent of potential GDP. (d) Reduction for unfunded Federal mandates The amount determined under subsection (c) with respect to each fiscal year shall be reduced by an amount equal to the amount of the unfunded direct costs with respect to such fiscal year of Federal mandates (as such terms are defined under section 421 of the Congressional Budget Act of 1974) enacted after the date of the enactment of this section. Such amount shall not be treated as being less than zero with respect to any fiscal year. . (b) Repeal of section 251A Section 251A of the Balanced Budget and Emergency Deficit Control Act of 1985 ( 2 U.S.C. 901a (c) Definitions Section 3 of the Congressional Budget and Impoundment Control Act of 1974 ( 2 U.S.C. 622 (12) The term total spending (13) The term total spending limit (14) The term potential GDP . (d) Conforming amendments resulting from the repeal of old section 251 (1) Definitions Paragraphs (3) and (4) of section 250(c) of the Balanced Budget and Emergency Deficit Control Act of 1985 are repealed. (2) Sections 254(c) 254(f) Sections 254(c)(2) and 254(f)(2) of such Act are repealed. (e) Additional conforming amendments to section 254 (1) The table set forth in section 254(a) of the Balanced Budget and Emergency Deficit Control Act of 1985 ( 2 U.S.C. 904(a) sequestration (2) Section 254(c)(1) of such Act is amended by inserting and pay-as-you-go , and deficit and regarding spending reduction (3) Section 254(c)(4) of such Act is amended to read as follows: (4) Spending reduction report The preview report shall set forth for the budget year estimates for each of the following: (A) Estimated total spending. (B) Estimate of potential GDP. (C) The spending reduction percentage necessary to achieve the applicable percent of potential GDP under section 251(c). . (4) Section 254(f)(3) of such Act is amended— (A) in the side heading, by striking and deficit sequestration reports sequestration report and spending reduction report (B) in the first sentence, by striking and deficit sequestration preview reports sequestration preview report and the spending reduction report (f) Conforming amendment to section 250 The item relating to section 251 in the table of contents set forth in 250(a) of the Balanced Budget and Emergency Deficit Control Act of 1985 ( 2 U.S.C. 900(a) Sec. 251. Total spending limits. . 3. Allocation for emergencies (a) Section 302(a) of the Congressional Budget Act of 1974 ( 2 U.S.C. 633(a) (6) Allocation to the Committees on Appropriations for emergencies Of the amounts of new budget authority and outlays allocated to the Committees on Appropriations for the first fiscal year of the concurrent resolution on the budget, 1 percent shall be set aside for emergencies and may be used for no other purpose. . (b) Section 1105(a)(14) of title 31, United States Code, is amended by inserting , including an amount for emergency spending not less than 1 percent of all discretionary spending for that year

Summary: Maximizing America's Prosperity Act of 2015 This bill amends the Balanced Budget and Emergency Deficit Control Act of 1985 and the Congressional Budget and Impoundment Control Act of 1974 to limit total noninterest federal spending to a specified percentage of potential gross domestic product (GDP). The cap begins at 19% of potential GDP for FY2016 and decreases each fiscal year until it reaches 16% of potential GDP for FY2024 and subsequent fiscal years. The total cap for each year fiscal year must be reduced by an amount equal to the unfunded direct costs of federal mandates for the year. The bill revises the existing sequestration process to establish a new process to enforce the limits established by this bill. To enforce the caps, the bill's sequestration process would impose automatic cuts to discretionary spending. No discretionary budget account is permitted to be reduced by more than 5% of its budgetary resources. The bill eliminates adjustments to spending limits that are currently permitted for emergency spending. The President's budget must include an allowance for emergency spending that is no less than 1% of discretionary spending for the year. The appropriations committees must set aside for emergencies 1% of the funding allocation provided to the committees by the budget resolution.