Pro-Growth Budgeting Act

To amend the Congressional Budget and Impoundment Control Act of 1974 to provide for cost estimates of major legislation, and for other purposes. 1. Short title This Act may be cited as the Pro-Growth Budgeting Act 2. Estimates of major legislation (a) Sense of Congress It is the sense of Congress that increasing the debt of the Federal Government is a drag on economic output over the long run, and that transparency with regard to the methodology and assumptions made by the Congressional Budget Office and the Joint Committee on Taxation in providing estimates for spending and revenue legislation will always benefit the taxpayers whose monies Congress is entrusted. (b) Estimates of major legislation Part A of the Congressional Budget and Impoundment Control Act 1974 is amended by adding at the end the following new section: 407. Estimates of major legislation (a) CBO cost estimates An estimate provided by the Congressional Budget Office under section 402 for any major legislation shall, to the extent practicable, incorporate the budgetary effects of changes in economic output, employment, capital stock, tax revenues, the sources of financing new outlays, the total debt of the Federal Government, international trade, international capital flows, and other macroeconomic variables resulting from such legislation. (b) JCT cost estimates An estimate provided by the Joint Committee on Taxation to the Director of the Congressional Budget Office under section 201(f) for any major legislation shall, to the extent practicable, incorporate the budgetary effects of changes in economic output, employment, capital stock, tax revenues, the sources of financing new outlays, the total debt of the Federal Government, international trade, international capital flows, and other macroeconomic variables resulting from such legislation. (c) Content of estimates An estimate referred to in this section shall, to the extent practicable, include— (1) a qualitative assessment of the budgetary effects (including macroeconomic variables described in subsections (a) and (b)) of such legislation in the 20-fiscal year period beginning after the last fiscal year of the most recently agreed to concurrent resolution on the budget that set forth appropriate levels required by section 301; and (2) an identification of the critical assumptions and the source of data underlying that estimate. (d) Definitions In this section— (1) the term major legislation (A) for which an estimate is required to be prepared pursuant to section 402 and that causes a gross budgetary effect (before incorporating macroeconomic effects) in any fiscal year over the years of the most recently agreed to concurrent resolution on the budget equal to or greater than 0.25 percent of the current projected gross domestic product of the United States for that fiscal year; or (B) designated as such by the chair or ranking member of the Committee on the Budget for all direct spending legislation other than revenue legislation or the Member who is chair or vice chair, as applicable, of the Joint Committee on Taxation for revenue legislation; and (2) the term budgetary effects . (c) Clerical amendment The table of contents set forth in section 1(b) of the Congressional Budget and Impoundment Control Act of 1974 ( 2 U.S.C. 621 407. Estimates of major legislation. .

Summary: Pro-Growth Budgeting Act This bill requires the Congressional Budget Office and the Joint Committee on Taxation to incorporate a macroeconomic impact analysis in their cost estimates for major legislation. The macroeconomic impact analysis (commonly referred to as dynamic scoring) must include the budgetary effects of changes in economic output, employment, capital stock, tax revenues, the sources of financing new outlays, the total debt of the federal government, international trade, international capital flows, and other macroeconomic variables resulting from the legislation.