I
104TH CONGRESS
2D SESSION
H. R. 4285
To amend the Congressional Budget and Impoundment Control Act of 1974
to reform the budget process, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
SEPTEMBER 28, 1996
Mr. COX of California (for himself, Mr. LARGENT, Mr. BARTON of Texas, Mr.
GINGRICH, Mr. ARMEY, Mr. DELAY, Mr. BOEHNER, Mr. LIVINGSTON,
Mr. ARCHER, Mr. KASICH, Mr. PAXON, Ms. MOLINARI, Mr. CLINGER,
Mr. SOLOMON, Mr. GOSS, Mr. HORN, Mr. STENHOLM, Ms. HARMAN, Mr.
CONDIT, Mr. HALL
of Texas, Mr. PETERSON
of Minnesota, Mr.
POSHARD, Mr. MONTGOMERY, Mr. ROSE, Mr. PETE GEREN of Texas,
Mr. ALLARD, Mr. BACHUS, Mr. BAKER of California, Mr. BAKER of Lou-
isiana, Mr. BALLENGER, Mr. BARR of Georgia, Mr. BARRETT of Ne-
braska, Mr. BARTLETT of Maryland, Mr. BASS, Mr. BATEMAN, Mr. BE-
REUTER, Mr. BILBRAY, Mr. BILIRAKIS, Mr. BLILEY, Mr. BLUTE, Mr.
BOEHLERT, Mr. BONILLA, Mr. BONO, Mr. BROWNBACK, Mr. BRYANT of
Tennessee, Mr. BUNNING of Kentucky, Mr. BURR, Mr. BURTON of Indi-
ana, Mr. BUYER, Mr. CALLAHAN, Mr. CALVERT, Mr. CAMP, Mr. CAMP-
BELL, Mr. CANADY
of Florida, Mr. CASTLE, Mr. CHABOT, Mr.
CHAMBLISS, Mrs. CHENOWETH, Mr. CHRISTENSEN, Mr. CHRYSLER, Mr.
COBLE, Mr. COBURN, Mr. COLLINS of Georgia, Mr. COMBEST, Mr.
COOLEY of Oregon, Mr. CRANE, Mr. CRAPO, Mr. CREMEANS, Mrs.
CUBIN, Mr. CUNNINGHAM, Mr. DEAL of Georgia, Mr. DIAZ-BALART, Mr.
DICKEY, Mr. DOOLITTLE, Mr. DORNAN, Mr. DREIER, Mr. DUNCAN, Ms.
DUNN of Washington, Mr. EHLERS, Mr. EHRLICH, Mr. ENGLISH of
Pennsylvania, Mr. ENSIGN, Mr. EWING, Mr. FLANAGAN, Mr. FOLEY, Mr.
FOX of Pennsylvania, Mr. FIELDS of Texas, Mr. FORBES, Mr. FRANKS
of New Jersey, Mr. FRANKS of Connecticut, Mr. FRELINGHUYSEN, Mr.
FRISA, Mr. FUNDERBURK, Mr. GALLEGLY, Mr. GANSKE, Mr. GEKAS, Mr.
GILCHREST, Mr. GILLMOR, Mr. GILMAN, Mr. GOODLATTE, Mr. GOOD-
LING, Mr. GRAHAM, Mr. GREENWOOD, Ms. GREENE of Utah, Mr. GUN-
DERSON, Mr. GUTKNECHT, Mr. HANCOCK, Mr. HANSEN, Mr. HASTERT,
Mr. HASTINGS
of Washington, Mr. HAYES, Mr. HAYWORTH, Mr.
HEFLEY, Mr. HERGER, Mr. HILLEARY, Mr. HOEKSTRA, Mr. HOKE, Mr.
HOSTETTLER, Mr. HOUGHTON, Mr. HUNTER, Mr. HYDE, Mr. INGLIS of
South Carolina, Mr. ISTOOK, Mrs. JOHNSON of Connecticut, Mr. SAM
JOHNSON of Texas, Mr. JONES, Mrs. KELLY, Mr. KIM, Mr. KING, Mr.
KINGSTON, Mr. KLUG, Mr. KNOLLENBERG, Mr. KOLBE, Mr. LAHOOD,
Mr. LATHAM, Mr. LATOURETTE, Mr. LAUGHLIN, Mr. LAZIO of New
York, Mr. LEACH, Mr. LEWIS of California, Mr. LEWIS of Kentucky, Mr.
LIGHTFOOT, Mr. LINDER, Mr. LONGLEY, Mr. LUCAS of Oklahoma, Mr.
MCCOLLUM, Mr. MCCRERY, Mr. MCDADE, Mr. MCHUGH, Mr. MCINNIS,
Mr. MCINTOSH, Mr. MCKEON, Mr. MANZULLO, Mr. MARTINI, Mr.
METCALF, Mrs. MEYERS of Kansas, Mr. MICA, Mr. MILLER of Florida,
Mr. MOORHEAD, Mrs. MYRICK, Mr. NETHERCUTT, Mr. NEUMANN, Mr.
NEY, Mr. NORWOOD, Mr. OXLEY, Mr. PACKARD, Mr. PARKER, Mr.
PETRI, Mr. POMBO, Mr. PORTMAN, Ms. PRYCE, Mr. QUINN, Mr.
RADANOVICH, 
Mr. 
RAMSTAD, 
Mr. 
RIGGS, 
Mr. 
ROBERTS, 
Mr.
ROHRABACHER, Ms. ROS-LEHTINEN, Mr. ROTH, Mrs. ROUKEMA, Mr.
ROYCE, Mr. SALMON, Mr. SANFORD, Mr. SAXTON, Mr. SCARBOROUGH,
Mr. SCHAEFER, Mr. SCHIFF, Mrs. SEASTRAND, Mr. SENSENBRENNER,
Mr. SHADEGG, Mr. SHAW, Mr. SHAYS, Mr. SHUSTER, Mr. SKEEN, Mr.
SMITH of New Jersey, Mr. SMITH of Texas, Mrs. SMITH of Washington,
Mr. SMITH of Michigan, Mr. SOUDER, Mr. SPENCE, Mr. STEARNS, Mr.
STOCKMAN, Mr. STUMP, Mr. TALENT, Mr. TATE, Mr. TAUZIN, Mr.
THOMAS, Mr. THORNBERRY, Mr. TIAHRT, Mr. TORKILDSEN, Mr. UPTON,
Mrs. VUCANOVICH, Mr. WALKER, Mr. WALSH, Mr. WAMP, Mr. WATTS
of Oklahoma, Mr. WELDON of Pennsylvania, Mr. WELDON of Florida,
Mr. WELLER, Mr. WHITE, Mr. WICKER, Mr. WHITFIELD, Mr. WOLF,
and Mr. ZIMMER) introduced the following bill; which was referred to the
Committee on the Budget, and in addition to the Committees on Govern-
ment Reform and Oversight, Appropriations, and Rules, for a period to
be subsequently determined by the Speaker, in each case for consider-
ation of such provisions as fall within the jurisdiction of the committee
concerned
A BILL
To amend the Congressional Budget and Impoundment Con-
trol Act of 1974 to reform the budget process, and
for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Budget Process Reform Act’’.
(b) TABLE OF CONTENTS.—
Sec. 1. Short title; table of contents.
TITLE I—STATEMENT OF CONGRESSIONAL PURPOSE
Sec. 101. Improvement in decision-making process.
Sec. 102. Reform of fiscal management.
Sec. 103. Safeguards against delay and inaction.
TITLE II—BINDING BUDGET LAW
Sec. 201. Joint resolution establishing binding budget law.
Sec. 202. Budget required before spending bills may be considered.
Sec. 203. ‘‘Baseline’’ budgeting prohibited; objective year-to-year comparisons
required in budget law.
Sec. 204. ‘‘Rainy day’’ fund for natural disasters.
Sec. 205. President’s budget submissions.
TITLE III—ENFORCEMENT OF BUDGET DISCIPLINE
Subtitle A—Supermajority Required To Break Budget Law
Sec. 301. Two-thirds requirement for over-budget spending bills.
Sec. 302. Two-thirds requirement for waiver of this Act.
Subtitle B—Line Item Reduction
Sec. 303. Intent of Congress.
Sec. 304. President authorized to reduce spending to level contained in Con-
gressional Budget Law.
Subtitle C—‘‘Blank Check’’ Appropriations Prohibited
Sec. 305. Intent of Congress.
Sec. 306. Fixed-dollar appropriations required.
Sec. 307. Agency authority to adjust expenditures to appropriated amounts.
Sec. 308. Budget authority and entitlement authority may cover only a single
fiscal period.
Subtitle D—‘‘Pay-as-You-Go’’ Requirement for New Spending
Sec. 309. Spending offsets required; two-thirds point of order.
Subtitle E—‘‘Lock-Box’’ for Savings From Spending Reductions
Sec. 310. Intent of Congress.
Sec. 311. Spending cuts by amendment to appropriations bills on House and
Senate floors.
Sec. 312. CBO reports on ‘‘lock-box’’ savings from floor amendments.
Sec. 313. Reduced spending allocations.
TITLE IV—SUSTAINING MECHANISM
Sec. 401. Automatic continuing resolution.
Sec. 402. Contingency regulations.
Sec. 403. Indefinite appropriations prohibited.
TITLE V—PROTECTION OF SOCIAL SECURITY
Sec. 501. Benefits protected against deficit reduction.
Sec. 502. Conforming amendment.
TITLE VI—TECHNICAL AMENDMENTS TO FEDERAL LAW TO
CARRY OUT THIS ACT
Sec. 601. Amendments changing concurrent to joint resolutions.
Sec. 602. Further amendments to the Congressional Budget Act of 1974.
Sec. 603. Technical amendments to the Impoundment Control Act of 1974.
Sec. 604. Technical amendments to title 31, United States Code.
TITLE VII—DEFINITIONS AND RULES OF INTERPRETATION
Sec. 701. Definitions.
Sec. 702. Use of terms.
Sec. 703. Effective date.
TITLE I—STATEMENT OF
CONGRESSIONAL PURPOSE
SEC. 101. IMPROVEMENT IN DECISION-MAKING PROCESS.
Because the Federal budget process is the principal
vehicle by which many of the most fundamental policy
choices in Government are made, the purpose of this Act
is to facilitate rational, informed, and timely decisions by
the Congress in the course of that process.
SEC. 102. REFORM OF FISCAL MANAGEMENT.
It is the sense of the Congress that a properly func-
tioning Federal budget process should focus the attention
of policymakers and the public on the aggregate impact
of Federal spending on the economy, and on the tradeoffs
that must be made among priorities in order to control
overall levels of spending. To this end, the Act is intended
to establish a budget process that, in each fiscal period—
(1) requires the adoption of a budget before,
not after, any spending begins;
TITLE II—BINDING BUDGET LAW
SEC. 201. JOINT RESOLUTION ESTABLISHING BINDING
BUDGET LAW.
(a) INTENT OF CONGRESS.—(1) To encourage early
consultation and cooperation between the Congress and
the President on decisions concerning overall spending lev-
els for all Federal programs, the Congress shall enact a
binding budget law, in the form of a joint resolution, by
April 15 of the calendar year before that in which the fis-
cal period commences. The amendments contained in this
section and the technical amendments contained in sec-
tions 601 and 701 of this Act are intended to assist in
the establishment of this requirement. The budget law it-
self shall fit on a single page, which sets forth specific
budget ceilings for the major functional categories which
together comprise the entire Federal budget.
(2) By thus requiring that the budget process begin
with highly generalized macroeconomic decisions about
spending in major functional categories, this section is in-
tended to facilitate agreement within Congress itself, and
between Congress and the President, on how much the
Federal Government should spend in the ensuing fiscal pe-
riod.
(b) REVISION OF TIMETABLE.—Section 300 of the
Congressional Budget Act of 1974 (2 U.S.C. 631) is
amended to read as follows:
‘‘TIMETABLE
‘‘SEC. 300. The timetable with respect to the Con-
gressional budget process for any Congress (beginning
with the One Hundred Fifth Congress) is as follows:
‘‘On or before:
Action to be completed:
First Monday in February ............
President submits proposed one-page
budget law.
February 15 ...................................
Congressional Budget Office submits
report to Budget Committees.
February 25 ...................................
Committees submit views and esti-
mates to Budget Committees.
March 31 .......................................
Budget Committees report joint reso-
lution on the budget.
April 15 .........................................
Congress completes action on joint
resolution on the budget and trans-
mits it to the President for signa-
ture or veto.
President signs joint resolution or
Congress overrides veto.
Authorization and appropriations bills
may be considered in the Congress.
15th day after enactment of joint
budget resolution.
President submits detailed budget
and supporting documents.
June 10 .........................................
House Appropriations Committee re-
port last of annual appropriation
bills.
June 30 .........................................
House completes action on annual ap-
propriation bills.
August 1 ........................................
Senate completes action on annual
appropriation bills.
September 30 .................................
Congress completes action on rec-
onciliation legislation and annual
appropriation bills.
October 1 .......................................
Fiscal period begins. Congress com-
pletes all necessary action on budg-
et, authorizations and appropria-
tions, or automatic continuing reso-
lution takes effect.’’.
SEC. 202. BUDGET REQUIRED BEFORE SPENDING BILLS
MAY BE CONSIDERED.
(a) INTENT OF CONGRESS.—The purpose of this pro-
vision is to ensure that until the budget is signed into law,
no authorization or appropriations bill shall be considered
in the Congress.
(b) TWO-THIRDS REQUIREMENT FOR ALL SPENDING
BILLS IN ABSENCE OF BUDGET LAW.—Section 303 of the
Congressional Budget Act of 1974 is amended by striking
subsections (b) and (c) and inserting the following new
subsection:
‘‘(b) Unless and until a joint resolution on the budget
is enacted with respect to any major functional category
for a fiscal period, it shall not be in order in either the
House of Representatives or the Senate or any committee
or subcommittee thereof to mark up, amend, report, or
approve any spending bill affecting spending in that cat-
egory, unless such bill is required to be approved by the
affirmative vote of two-thirds of the Members voting, a
quorum being present.’’.
(c) REPEALER.—Section 603 of the Congressional
Budget Act of 1974, providing for consideration of spend-
ing bills prior to adoption of the budget resolution, is re-
pealed.
SEC. 203. ‘‘BASELINE’’ BUDGETING PROHIBITED; OBJEC-
TIVE 
YEAR-TO-YEAR 
COMPARISONS 
RE-
QUIRED IN BUDGET LAW.
In order to facilitate honest comparison of budget fig-
ures, the starting point for Presidential and congressional
budgets shall be the levels of outlays for the current fiscal
period. Any increases or decreases proposed in the budget
for the next fiscal period shall be measured from such lev-
els. The technical amendments contained in title VI of this
Act are intended to assist in the establishment of this re-
quirement.
SEC. 204. ‘‘RAINY DAY’’ FUND FOR NATURAL DISASTERS.
(a) INTENT OF CONGRESS.—It is the intent of Con-
gress, by this provision, to require that the budget contain
a separate functional category for a contingency fund for
natural disasters. This budget category shall specify the
amount of funds to be available for programs, projects,
and activities designed to provide relief in the case of
floods, earthquakes, hurricanes, and other natural disas-
ters. Disbursements from this ‘‘Rainy Day’’ fund shall be
permitted only for certified natural disasters, and shall not
be used for any other purpose. The purpose of this section
is to ensure that the unanticipated costs of disaster relief
do not disrupt the budget process, and that instead such
costs are provided for at the beginning of the budget cycle.
(b) AMENDMENT TO TITLE III OF THE CONGRES-
SIONAL BUDGET ACT OF 1974.—Title III of the Congres-
sional Budget Act of 1974 (as amended by section 311)
is amended by adding at the end the following new section:
‘‘RAINY DAY FUND FOR NATURAL DISASTERS
‘‘SEC. 316. (a) CONTINGENCY RESERVE FOR NATU-
RAL DISASTERS.—The budget law shall include a major
functional category for natural disasters.
‘‘(b) AUTHORIZATION OF FUNDS FROM NATURAL
DISASTER CATEGORY.—Any committee that receives an
allocation under section 602(a) for any budget authority
or outlays within functional category 950 (natural disas-
ters) may only report legislation providing that budget au-
thority or outlays if—
‘‘(1) the President has made a request for such
disaster funds;
‘‘(2) the programs to be funded are included in
the Presidential request; and
‘‘(3) the projected obligations for unforeseen
emergency needs exceed the ten-year rolling average
annual expenditure for existing programs included in
the Presidential request for any applicable year.
‘‘(c) MAINTENANCE
OF STATE
AND LOCAL EF-
FORTS.—States and local governments shall maintain cur-
rent disaster relief efforts so that Federal assistance pay-
ments do not replace, subvert, or otherwise have the effect
of reducing regularly budgeted State and local expendi-
tures for law enforcement, fire fighting, road construction
and maintenance, building construction and maintenance
or any other category of regular government expenditure.
Federal payments for natural disasters within major func-
tional category 950 shall only be made for incremental
costs directly attributable to unforeseen events resulting
from unforeseen disasters, and shall not replace or reduce
regular State and local expenditures for the same or simi-
lar purposes.
‘‘(d) INCENTIVE TO BUDGET SUFFICIENT FUNDS
FOR NATURAL DISASTERS.—In the event that the Con-
gress does not budget a sufficient amount for natural dis-
asters and then authorizes spending for natural disasters
in excess of the budgeted amount, the President shall im-
pound an amount equal to the excess in this or, if nec-
essary, subsequent fiscal years.
‘‘(e) EXECUTIVE LIMITATIONS.—The President may
not waive any requirement for States or local governments
to make minimum matching payments as a condition of
receiving Federal payments for natural disasters within
major functional category 950 or waive all or part of any
repayment of Federal loans for any State or local govern-
ment matching share required as a condition of receiving
any such payment.
‘‘(f) CONGRESSIONAL LIMITATIONS.—The House of
Representatives or the Senate may only reduce or waive
any State matching requirement or forgive all or part of
loans for any State matching share as required under the
Robert T. Stafford Disaster Relief and Emergency Assist-
ance Act (42 U.S.C. 5121 et seq.) by an affirmative vote
of two-thirds of the Members voting, a quorum being
present.’’.
SEC. 205. PRESIDENT’S BUDGET SUBMISSIONS.
(a) INTENT OF CONGRESS.—It is the intent of Con-
gress, by this provision, to require that not later than the
first Monday in February of each year before the begin-
ning of a new fiscal period the President submit a budget
of the United States Government for the following fiscal
period beginning on October 1 of the current calendar year
on a single page, which sets forth specific budget ceilings
in each major functional category. On or before the fif-
teenth day after a joint resolution on the budget is en-
acted, the President shall submit to the Congress a de-
tailed budget for that fiscal period, including all sum-
maries and explanations required under section 1105(a)
of title 31, United States Code.
(b) AMENDMENTS TO TITLE 31, UNITED STATES
CODE.—Section 1105(a) of title 31, United States Code
(relating to the contents of the President’s annual budget
submission to the Congress), is amended by striking the
first two sentences thereof and all that follows through
‘‘following:’’ and inserting in lieu thereof the following:
‘‘(a)(1) Not later than the first Monday in February
of each year before that in which a fiscal period com-
mences, the President shall submit a budget of the United
States Government for the following fiscal period on a sin-
gle page, which sets forth specific budget ceilings in each
major functional category.
‘‘(2) Not later than the fifteenth day after a joint
resolution on the budget for the following budget period
is enacted, the President shall submit a detailed budget
for that fiscal period, including a budget message and
summary and supporting information, including the fol-
lowing:’’.
TITLE III—ENFORCEMENT OF
BUDGET DISCIPLINE
Subtitle A—Supermajority
Required To Break Budget Law
SEC. 301. TWO-THIRDS REQUIREMENT FOR OVER-BUDGET
SPENDING BILLS.
(a) ADDITIONAL CBO DUTIES.—Section 308 of the
Congressional Budget Act of 1974 is amended by adding
at the end the following new subsections:
‘‘(d) DETERMINATION OF BUDGET EFFECT OF PRO-
POSED SPENDING BILLS.—The Congressional Budget Of-
fice shall provide to the appropriate House of Congress
(or the appropriate committee, subcommittee, or con-
ference thereof) prior to any spending bill being voted on
by the House of Representatives or the Senate, or by any
subcommittee, committee, or conference committee there-
of, its estimate of the costs in each major functional cat-
egory attributable to that bill during the fiscal period in
which it is to become effective and in each of the next
4 years, together with the basis for such estimate. The
Congressional Budget Office report shall not be required,
however, if the Congressional Budget Office certifies that
a spending bill will likely result in applicable costs of less
than $10,000,000. For purposes of estimating the costs
attributable to any spending bill that includes new credit
authority, the report shall deem the difference between (1)
the market value of any loan or other credit made or guar-
anteed by the Federal Government during a fiscal period
(if the underlying obligation were sold by the Federal Gov-
ernment) and (2) its face amount, to be the costs attrib-
utable to such loan or guarantee in the fiscal period in
which it is made.
‘‘(e) CBO REPORT REQUIRED PRIOR TO VOTE ON
SPENDING BILLS.—It shall not be in order in either the
House of Representatives or the Senate, or in any sub-
committee, conference committee, or committee thereof, to
vote on any spending bill, unless and until the report re-
ferred to in subsection (d) has been made available to that
House of Congress or the appropriate committee, con-
ference committee, or subcommittee thereof. This require-
ment may be waived only by the affirmative vote of two-
thirds of the Members voting, a quorum being present.’’.
(b) NEW
BUDGET
ENFORCEMENT
POINT
OF
ORDER.—Section 311 of the Congressional Budget Act of
1974 is amended by adding at the end the following new
subsections:
‘‘(d) TWO-THIRDS REQUIREMENT FOR ALL OVER-
BUDGET SPENDING BILLS.—It shall not be in order in
either the House of Representatives or the Senate (or in
any committee, subcommittee, or conference committee
thereof) to vote on any spending bill that the report re-
ferred to in section 308(d) indicates would in any fiscal
period covered by the report exceed a budget ceiling, un-
less such bill is required to be approved by the affirmative
vote of two-thirds of the Members voting, a quorum being
present.
‘‘(e) DETERMINATION
OF SPENDING
IN
A CAT-
EGORY.—A spending bill shall be deemed to exceed a
budget ceiling if—
‘‘(1) its cost in any major functional category
as estimated in the report referred to in section
308(d);
‘‘(2) all other budget authority, budget outlays,
and all entitlement authority, if any, in that major
functional category for the relevant fiscal periods
contained in any previously enacted legislation for
the fiscal period; and
‘‘(3) to the extent that new budget authority or
entitlement authority for the relevant fiscal period
has not been granted (or modified or rescinded from
the level of the previous fiscal period) in any other
enacted legislation for any program within such
major functional category, the amounts of budget
authority and entitlement authority for such major
functional category (or part thereof) for the previous
fiscal period;
exceed the applicable budget ceiling for such major func-
tional category.’’.
SEC. 302. TWO-THIRDS REQUIREMENT FOR WAIVER OF
THIS ACT.
No waiver or contravention of any provision of this
Act, including the calendar deadlines for completion of
Congressional action, the provisions establishing par-
liamentary points of order, the provisions concerning over-
budget spending, and the amendment of automatic con-
tinuing resolutions, shall be effective unless approved by
the affirmative vote of two-thirds of the Members of the
House of Representatives or the Senate, or both, as the
case may be, a quorum being present. No committee of
either the House of Representatives or the Senate shall
have jurisdiction to report a rule governing procedures for
consideration of spending bills covered by this Act, if such
rule would waive or violate the provisions of this section
or any other section of this Act. Nothing in this provision
shall be deemed to require a supermajority vote to amend
this Act. It shall not be in order in either the House of
Representatives or the Senate to proceed in violation of
this section.
Subtitle B—Line Item Reduction
SEC. 303. INTENT OF CONGRESS.
It is the purpose of this subtitle to provide a workable
means of enforcement of the binding budget law that Con-
gress is to enact prior to each fiscal period. The Presi-
dent’s line-item veto authority permits the elimination of
an appropriation, but does not permit enforcement of the
budget as written by Congress, a more traditional execu-
tive role. Line item reduction will permit enforcement of
the spending ceilings in the budget law already approved
by Congress, thus recognizing the respective roles given
to the legislative branch to pass a budget law, and to the
executive branch to take care that it is faithfully executed.
SEC. 304. PRESIDENT AUTHORIZED TO REDUCE SPENDING
TO LEVEL CONTAINED IN CONGRESSIONAL
BUDGET LAW.
The Impoundment Control Act of 1974 (2 U.S.C.
681 et seq.) is amended by inserting after section 1013
the following new section:
‘‘PRESIDENTIAL LINE-ITEM REDUCTION OF SPENDING IN
EXCESS OF LIMITS IN CONGRESSIONAL BUDGET LAW
‘‘SEC. 1013A. (a) SCOPE OF LINE ITEM REDUCTION
AUTHORITY.—If the Congress, by two-thirds vote, as pre-
scribed in the Budget Process Reform Act, shall exceed
the budget ceilings in the binding budget law or an auto-
matic continuing resolution for a fiscal period, the Presi-
dent may exercise line-item reduction authority as pro-
vided in this section. The President’s line-item reduction
authority shall permit the reduction of over-budget spend-
ing in a major functional category to the level established
in the binding budget law or the automatic continuing res-
olution.
‘‘(b) TRANSMITTAL OF MESSAGE DETAILING USE OF
LINE-ITEM REDUCTION.—The President shall transmit to
both Houses of Congress one or more special messages
detailing his use of line item reduction authority to rescind
(in whole or in part) items of budget authority or entitle-
ment authority sufficient to ensure that the levels of budg-
et authority, entitlement authority, and outlays in a func-
tional category do not exceed the levels stated in the budg-
et law or an automatic continuing resolution for the appli-
cable fiscal period. The levels of budget authority, entitle-
ment authority, and outlays shall be determined on the
basis of the reports made by the Congressional Budget
Office pursuant to section 308.
‘‘(c) CONTENTS OF SPECIAL MESSAGE.—Each spe-
cial message transmitted under subsection (a) shall speci-
fy, with respect to each item of budget authority to be
rescinded by line-item reduction, the matters referred to
in paragraphs (1) through (5) of section 1012(a).
‘‘(d) REQUIREMENT NOT TO MAKE AVAILABLE FOR
OBLIGATION.—Any item of budget authority to be re-
scinded by means of line-item reduction as set forth in
a special message pursuant to this section shall not be
made available for obligation if, within 45 calendar days
after the transmittal by the President of such special mes-
sage to both Houses of Congress, a bill has not been en-
acted disapproving the line-item reduction of the amount
to be rescinded. Funds made available for obligation under
this procedure may not be included in a special message
again.’’.
Subtitle C—‘‘Blank Check’’
Appropriations Prohibited
SEC. 305. INTENT OF CONGRESS.
It is the intent of Congress, by this provision, to put
an end to open-ended, ‘‘blank check’’ appropriations,
which typically provide for the spending of ‘‘such sums
as may be necessary.’’ By requiring explicit decisions con-
cerning the desired level of spending for each federal pro-
gram (except Social Security and interest on the debt),
it is intended that currently uncontrolled programs will be
brought within the discipline of an overall budget.
SEC. 306. FIXED-DOLLAR APPROPRIATIONS REQUIRED.
Section 401 of the Congressional Budget Act of 1974
is amended by adding at the end the following new sub-
section:
‘‘(e) FIXED-DOLLAR
APPROPRIATIONS.—(1) For
every account except Social Security, as defined in section
3(2)(B)(16) of the Congressional Budget Act of 1974, and
interest on the debt—
‘‘(A) every appropriation for a fiscal period for
any program, project, or activity (including claims,
judgments, and relief acts) shall be for a specific,
fixed dollar amount; and
‘‘(B) any appropriations of ‘such sums as may
be necessary’ (except with respect to the automatic
continuing resolution provided for by section 1311 of
title 31, United States Code) are hereby prohibited.
‘‘(2) It shall not be in order in either the House of
Representatives or the Senate (or in any committee, sub-
committee, or conference) to consider any appropriation
that is in violation of paragraph (1).’’.
SEC. 307. AGENCY AUTHORITY TO ADJUST EXPENDITURES
TO APPROPRIATED AMOUNTS.
Chapter 13 of title 31, United States Code (as
amended by section 502) is amended by inserting after
section 1314 the following new section:
‘‘§ 1315. Contingency regulations for former ‘blank-
check’ spending programs
‘‘(a) Notwithstanding any other provision of law, the
head of each Executive agency that administers any pro-
gram that previously operated with ‘blank-check’ spending
authority shall provide for or approve the adjustments of
any agency expenditures, including eligibility require-
ments, or the scope, duration, level, and availability of
payments, salaries and benefits, grants, loans, benefits,
services, or reimbursements, or both, with respect to the
program, such that aggregate outlays for a fiscal period
do not exceed the fixed-dollar appropriation provided pur-
suant to section 401(e) of the Congressional Budget Act
of 1974 (requiring fixed-dollar appropriations). Notwith-
standing any other provision of law, the obligation of the
United States to make payments (including loans and
grants) to any person or government shall be subject to
the authority granted under this section.
‘‘(b) Before the beginning of a fiscal period, the head
of each Executive agency referred to in subsection (a) shall
promulgate a reasonably detailed plan for each of its pro-
grams that previously operated with ‘blank check’ spend-
ing authority, setting forth the manner in which the agen-
cy shall implement this section for that fiscal period.
‘‘(c) In the event that any claim or judgment against
the United States exceeds the aggregate appropriations
for claims, judgments, and relief for the current fiscal pe-
riod, then the excess shall be paid first out of discretionary
funds appropriated in such fiscal period to the department
or agency against which the judgment or claim is due, next
out of unobligated funds appropriated to that department
or agency in such fiscal period, and finally out of such
funds as may be appropriated to that department or agen-
cy in the next and subsequent fiscal periods. The obliga-
tion set forth herein of a department or agency to pay
such claims or judgments in excess of amounts authorized
therefore in applicable judgment, claim and relief acts
shall supersede all other budget requirements for that de-
partment or agency, any other provision of law to the con-
trary notwithstanding.’’.
SEC. 308. BUDGET AUTHORITY AND ENTITLEMENT AU-
THORITY MAY COVER ONLY A SINGLE FISCAL
PERIOD.
Chapter 13 of title 31, United States Code (as
amended by sections 401 and 402), is amended by insert-
ing after section 1312 the following new section:
‘‘§ 1313. Budget authority and entitlement authority
must cover single fiscal period
‘‘(a) Notwithstanding any other provision of law and
except as provided by subsection (b), no budget authority
or entitlement authority—
‘‘(1) enacted on or after the date of enactment
of this section shall be effective for more than one
fiscal period; or
‘‘(2) enacted before the date of enactment of
this section shall continue in effect beyond the end
of the first fiscal period beginning after the date of
enactment of this section.
‘‘(b) Subsection (a) does not apply with respect to
appropriations for the repayment of indebtedness incurred
under chapter 31 or benefits payable under the old-age,
survivors, and disability insurance program established
under title II of the Social Security Act, as in effect on
of reductions in spending in any other functional category
or categories.
‘‘(b)(1) The point of order set forth in subsection
(a)(1) may be waived or suspended in the Senate or in
the House of Representatives, and an appeal of the ruling
of the Chair on a point of order raised under this section
may be sustained, only by the affirmative vote of two-
thirds of the Members voting, a quorum being present.
‘‘(2) In the case of a spending bill covered by sub-
section (a)(2), an appeal of the ruling of the chair on a
point of order raised under paragraph (1) may be sus-
tained by a majority of the Members voting, a quorum
being present.’’.
(b) CONFORMING AMENDMENT.—Section 602(e) of
the Congressional Budget Act of 1974, providing for an
exemption in the House from pay-as-you-go rules, is re-
pealed.
Subtitle E—‘‘Lock-Box’’ for Savings
From Spending Reductions
SEC. 310. INTENT OF CONGRESS.
It is the purpose of this subtitle to establish proce-
dures to ensure that budget savings from House and Sen-
ate amendments to appropriations bills result in actual
spending cuts, rather than higher spending on other pro-
grams.
SEC. 311. SPENDING CUTS BY AMENDMENT TO APPROPRIA-
TIONS 
BILLS 
ON 
HOUSE 
AND 
SENATE
FLOORS.
Title III of the Congressional Budget Act of 1974
(as amended by section 311) is amended by adding at the
end the following new section:
‘‘LOCK-BOX FOR SAVINGS FROM SPENDING REDUCTIONS
‘‘SEC. 315. (a) CONTEMPORANEOUS RECORD
OF
SPENDING CUT AMENDMENTS DURING FLOOR CONSID-
ERATION.—During floor consideration of any appropria-
tion bill, the Clerk of the House shall make available to
Members in the House of Representatives, and the Sec-
retary of the Senate shall make available to Members of
the Senate, a running tally of the amendments adopted
reflecting increases and decreases of budget authority
from the levels in the bill as reported from the Committee
on Appropriations of that House.
‘‘(b) CBO RECORD OF SPENDING REDUCTIONS.—
The Director of the Congressional Budget Office (the ‘Di-
rector’) shall maintain a record of net spending reductions
made by floor amendments to appropriation bills in the
House of Representatives and in the Senate. These ‘lock-
box’ totals shall be recorded for each subcommittee of the
respective Committees on Appropriations, separately re-
flecting the net amount of spending cuts made by the
House, and the net amount of spending cuts made by the
Senate. Each total shall include only amounts correspond-
ing to amendments that result in net spending reductions.
‘‘(c) CBO PROCEDURES FOR MAINTAINING RECORD
OF SPENDING CUTS.—(1) Upon the engrossment of any
appropriation bill by either House of Congress, the Direc-
tor shall credit the applicable appropriations subcommittee
‘lock-box’ totals with amounts equal to the net reductions
in new budget authority and in outlays resulting from
floor amendments agreed to by that House.
‘‘(2) CALCULATION OF ‘LOCK-BOX’ SAVINGS IN SEN-
ATE.—For purposes of calculating under this section and
section 315(a) the net amounts of reductions in new budg-
et authority and in outlays resulting from amendments
agreed to by the Senate on an appropriation bill, the
amendments reported to the Senate by its Committee on
Appropriations shall be considered to be part of the origi-
nal text of the bill.
‘‘(d) DEFINITION.—As used in this section, the term
‘appropriation bill’ means any general or special appro-
priation bill, and any bill or joint resolution making sup-
plemental, deficiency, or continuing appropriations.’’.
SEC. 312. CBO REPORTS ON ‘‘LOCK-BOX’’ SAVINGS FROM
FLOOR AMENDMENTS.
Section 308(b)(1) of the Congressional Budget Act
of 1974 is amended by adding at the end the following
new sentence: ‘‘Such reports shall also include an up-to-
date tabulation of the amounts contained in the record of
spending reductions under section 315(a).’’.
SEC. 313. REDUCED SPENDING ALLOCATIONS.
(a) ALLOCATIONS TO HOUSE AND SENATE COMMIT-
TEES ON APPROPRIATIONS.—Section 602(a) of the Con-
gressional Budget Act of 1974 is amended by adding at
the end the following new paragraph:
‘‘(5) Upon the engrossment of Senate amend-
ments to any appropriation bill (as defined in section
315(d)), the amounts allocated under paragraph (1)
or (2) to the Committee on Appropriations of each
House shall be reduced by the amount of any ‘lock-
box’ savings, as follows: New budget authority shall
be reduced by the average of the applicable House
and Senate ‘lock-box’ totals. Outlays shall also be re-
duced by the average of the applicable House and
Senate totals. The revised levels of budget authority
and outlays shall be submitted to each House by the
chairman of the Committee on the Budget of that
House and shall be printed in the Congressional
Record. Once an allocation has been reduced under
this section, the same spending reduction shall not
be used to reduce it further.’’.
(b) ALLOCATIONS TO SUBCOMMITTEES OF HOUSE
AND SENATE COMMITTEES ON APPROPRIATIONS.—Sec-
tion 602(b)(1) of the Congressional Budget Act of 1974
is amended by adding at the end the following new sen-
tence: ‘‘Whenever an adjustment is made to an allocation
pursuant to subsection (a)(5), the chairman of the Com-
mittee on Appropriations of each House shall reduce the
most recent suballocations under subparagraph (A) by the
same total amount as that adjustment. The revised sub-
allocations shall be submitted to each House by the chair-
man of the Committee on Appropriations of that House
and shall be printed in the Congressional Record.’’.
TITLE IV—SUSTAINING
MECHANISM
SEC. 401. AUTOMATIC CONTINUING RESOLUTION.
Chapter 13 of title 31, United States Code, is amend-
ed by inserting after section 1310 the following new sec-
tion:
‘‘§ 1311. Automatic continuing resolution
‘‘(a) If any appropriation bill, as defined in sub-
section (b) of this section, has not become law before the
beginning of a fiscal period, then the automatic continuing
resolution provided for in this section shall immediately
take effect. The automatic continuing resolution shall re-
main in effect for the entirety of the fiscal period, unless
amended in whole or in part by two-thirds vote of both
Houses of Congress, as provided in section 302 of the
Budget Process Reform Act. If the automatic continuing
resolution shall take effect, then there is hereby appro-
priated, out of any moneys in the Treasury not otherwise
appropriated, and out of applicable corporate or other rev-
enues, receipts, and funds, an amount equal to the budget
authority for each program, project, or activity regularly
provided for under that appropriation bill in the most re-
cent fiscal period. In no case shall the total dollar amount
of appropriations for any program, project or activity pur-
suant to an automatic continuing resolution exceed the
fixed-dollar appropriation for such program, project, or ac-
tivity in the most recent appropriation Act, determined on
a fiscal-period basis. In no case shall the total dollar
amount of appropriations pursuant to an automatic con-
tinuing resolution for any program, project, or activity in
a major functional category, when added to all other
spending appropriated by law for that major functional
category, exceed the ceiling in a binding budget law in ef-
fect for the fiscal period.
‘‘(b) ‘Appropriation bill’, for purposes of subsection
(a) of this section, means any of the 13 appropriations
bills that together comprise the regular appropriations
process, as revised to include any programs funded pursu-
SEC. 403. INDEFINITE APPROPRIATIONS PROHIBITED.
Section 401(b) of the Congressional Budget Act of
1974 is amended to read as follows:
‘‘(b) CONTROLS ON LEGISLATION PROVIDING FUND-
ING.—(1) It shall not be in order in either the House of
Representatives or the Senate to consider any bill, resolu-
tion, amendment, motion, or conference report that pro-
vides budget authority or spending authority described in
subsection (c)(2)(C) except a bill or resolution reported
by the Committee on Appropriations of that House or a
conference report made by a committee of conference all
of whose conferees are members of the Committee on Ap-
propriations.
‘‘(2) Paragraph (1) shall not apply to Social Security
benefits, as defined in section 3(2)(B)(16) of this Act.’’.
TITLE V—PROTECTION OF
SOCIAL SECURITY
SEC. 501. BENEFITS PROTECTED AGAINST DEFICIT REDUC-
TION.
Nothing in this Act shall be construed to require or
permit reductions in Social Security benefits otherwise
payable pursuant to applicable law or regulations.
SEC. 502. CONFORMING AMENDMENT.
Chapter 13 of title 31, United States Code (as
amended by section 310), is amended by inserting after
section 1313 the following new section:
‘‘§ 1314. Protection of social security from budget def-
icit reduction measures
‘‘No reductions in benefits payable under the old-age,
survivors, and disability insurance program established
under title II of the Social Security Act shall be made as
a consequence of the Budget Process Reform Act.’’.
TITLE VI—TECHNICAL AMEND-
MENTS TO FEDERAL LAW TO
CARRY OUT THIS ACT
SEC. 601. AMENDMENTS CHANGING CONCURRENT TO
JOINT RESOLUTIONS.
(a) Sections 300, 301, 302, 303, 304, 305, 308, 310,
311, 401, 406, 602 (except subsection (d)), 603, 604, 605,
and 606(b) of the Congressional Budget Act of 1974 (2
U.S.C. 631 et seq.) are amended by striking ‘‘concurrent’’
each place it appears and by inserting ‘‘joint’’.
(b) The table of contents set forth in section 1(b) of
the Congressional Budget and Impoundment Control Act
of 1974 is amended by striking ‘‘Concurrent’’ in the item
relating to section 303 and inserting ‘‘Joint’’ and by strik-
ing ‘‘concurrent’’ in the items relating to sections 301 and
304 and inserting ‘‘joint’’.
(c) Clauses 1(d)(2), 4(a)(2), 4(b)(2), 4(g), 4(h), and
4(i) of rule X, clause 2(l)(6) of rule XI, clause 7 of rule
XV, clause 8 of rule XXIII, and rule XLIX of the Rules
of the House of Representatives are amended by striking
‘‘concurrent’’ and by inserting ‘‘joint’’.
(d) Section 258C(b)(1) of the Balanced Budget and
Emergency Deficit Control Act of 1985 is amended by
striking ‘‘concurrent’’ and by inserting ‘‘joint’’.
SEC. 602. FURTHER AMENDMENTS TO THE CONGRES-
SIONAL BUDGET ACT OF 1974.
(a) The table of contents set forth in section 1(b) of
the Congressional Budget and Impoundment Control Act
of 1974—
(1) relating to section 302 is amended to read
as follows:
‘‘Sec. 302. Two-thirds requirement for over-budget spending bills.’’;
(2) is amended by striking ‘‘new budget author-
ity, new spending authority,’’ and the comma before
‘‘or changes’’ in the item relating to section 303;
and
(3) is amended by inserting after the item relat-
ing to section 313 the following new items:
‘‘Sec. 314. Spending offsets required.
‘‘Sec. 315. Lock-box for savings from spending reductions.
‘‘Sec. 316. Rainy day fund for natural disasters.’’.
(b) Section 302(f) of the Congressional Budget Act
of 1974 (2 U.S.C. 633(f)) is amended—
(1) in paragraph (1) by striking ‘‘(1) IN THE
HOUSE OF REPRESENTATIVES.—’’, by striking ‘‘new
budget authority for such fiscal year, new entitle-
ment authority effective during such fiscal year, or’’
and by striking ‘‘new discretionary budget authority,
new entitlement authority, or’’; and
(2) by striking paragraph (2).
(c) Section 303 of the Congressional Budget Act of
1974 is amended—
(1) in its heading by striking ‘‘NEW BUDGET
AUTHORITY, NEW SPENDING AUTHORITY,’’ and the
comma before ‘‘OR CHANGES’’; and
(2) in subsection (a) by striking paragraphs
(1), (4) and (5) and by redesignating paragraphs
(2), (3), and (6) as paragraphs (1), (2), and (3), re-
spectively.
(d) Section 304 of the Congressional Budget Act of
1974 is amended by adding at the end the following new
subsection:
‘‘(c) In the House of Representatives and in the Sen-
ate, the vote on final passage upon the adoption of any
joint resolution on the budget which revises any joint reso-
lution pursuant to this section shall require the approval
of two-thirds of those voting, a quorum being present.’’.
(e) The last sentence of clause 4(b) of rule XI of the
Rules of the House of Representatives is amended by in-
serting before the period at the end the following: ‘‘; nor
shall it report any rule or order which would waive any
point of order set forth in the Budget Process Reform Act
or any amendment made by it’’.
(f) The first sentence of section 202(f)(1) of the Con-
gressional Budget Act of 1974 is amended to read as fol-
lows: ‘‘On or before February 15 of each year, the Direc-
tor shall submit to the Committees on the Budget of the
House of Representatives and the Senate a report, for the
fiscal period commencing on October 1 of that year, with
respect to fiscal policy, including (A) estimated budget
outlays in all functions and subfunctions for appropriated
accounts for the current fiscal period and estimated budg-
et outlays under current law for all entitlement programs
for the next fiscal period, and (B) alternative levels of total
revenues, total new budget authority, and total outlays
(including related surpluses and deficits) compared to
comparable levels for the current fiscal period.’’.
(g) Section 202(f)(3) of the Congressional Budget
Act of 1974 is amended by striking ‘‘and’’ before ‘‘(B)’’
and inserting a comma, and by inserting before the period
at the end the following: ‘‘, and (C) all programs and ac-
tivities that fall within section 401(c)(2)(C)’’.
(h) Section 308(a)(1) of the Congressional Budget
Act of 1974 is amended—
(1) in subparagraph (C), by inserting ‘‘, and
shall include a comparison of those levels to com-
parable levels for the current fiscal period’’ before
‘‘if timely submitted’’; and
(2) by striking ‘‘and’’ at the end of subpara-
graph (C), by striking the period and inserting ‘‘;
and’’ at the end of subparagraph (D), and by adding
at the end the following new subparagraph:
‘‘(E) comparing the levels in existing pro-
grams in such measure to the levels for the cur-
rent fiscal period.’’.
(i) Except for purposes of adjusting the discretionary
spending limits set forth in section 601(a)(2) of the Con-
gressional Budget Act of 1974, section 257(c) of the Bal-
anced Budget and Emergency Deficit Control Act of 1985
is amended—
(1) in the second sentence of paragraph (1), by
striking ‘‘sequentially and cumulatively’’ and by
striking ‘‘for inflation as specified in paragraph
(5),’’; and
(2) by striking paragraph (5) and redesignating
paragraph (6) as paragraph (5).
(j) Section 301(e) of the Congressional Budget Act
of 1974 is amended—
(1) by inserting after the second sentence the
following: ‘‘The starting point for the President and
the Congressional Budget Office and for any delib-
erations in the Committee on the Budget of each
House on the joint resolution on the budget for the
next fiscal period shall be the level of outlays for the
current fiscal period in each function and subfunc-
tion. Any increases or decreases in the Congressional
budget for the next and subsequent fiscal periods
shall be from such levels.’’;
(2) by amending paragraph (3) to read as fol-
lows:
‘‘(3) a comparison of spending levels for the
current fiscal period with proposed spending levels
for the subsequent fiscal periods along with the pro-
posed increase or decrease of spending in percentage
terms for each function and subfunction;’’ and
(3) by amending paragraph (8) to read as fol-
lows:
‘‘(8) information, data, and comparisons indi-
cating the manner in which and the basis on which
the committee determined each of the matters set
forth in the joint resolution on the budget, including
information on outlays for the current fiscal period
and the decisions reached to set funding for the sub-
sequent fiscal periods;’’.
SEC. 603. TECHNICAL AMENDMENTS TO THE IMPOUND-
MENT CONTROL ACT OF 1974.
(a) Section 1014 of the Impoundment Control Act
of 1974 is amended—
(1) by striking ‘‘1012 or 1013’’ each place it
appears and inserting ‘‘1012, 1013, or 1013A’’;
(2) in subsection (b)(1) by striking ‘‘1012’’ and
inserting ‘‘1012 or 1013A’’; and
(3) in subsection (e)(1) by striking ‘‘and’’ at
the end of subparagraph (A), by redesignating sub-
paragraph (B) as subparagraph (C), by striking
‘‘1013’’ in subparagraph (C) (as redesignated), and
by inserting after subparagraph (A) the following
new subparagraph:
‘‘(B) he has transmitted a special message
under section 1013A with respect to a proposed
rescission; and’’.
(b) Section 1015 is amended by striking ‘‘1012 or
1013’’ each place it appears and inserting ‘‘1012, 1013,
or 1013A’’.
(c) Section 1012(b) is amended by inserting before
the last sentence the following new sentence: ‘‘The preced-
ing sentence shall not apply to any item or portion of any
item of budget authority proposed by the President to be
rescinded under this section that the President has also
proposed to rescind under section 1013A and with respect
to which the 45-day period referred to in subsection (e)
of such section has not expired.’’.
(d) The table of sections set forth in section 1(b) is
amended by inserting after the item relating to section
1013 the following new item:
‘‘Sec. 1013A. Rescission of spending outside of congressional budget.’’.
SEC. 604. TECHNICAL AMENDMENTS TO TITLE 31, UNITED
STATES CODE.
(a)(1) Paragraph (5) of section 1105(a) of title 31,
United States Code, is amended to read as follows:
‘‘(5) except as provided in subsection (b) of this
section, estimated expenditures and appropriations
for the current fiscal period and estimated expendi-
tures and proposed appropriations the President de-
cides are necessary to support the Government in
the fiscal period for which the budget is submitted
and the 4 years following that period;’’.
(2) Section 1105(a)(6) of title 31, United States
Code, is amended by inserting ‘‘current fiscal period and
the’’ before ‘‘fiscal year’’.
(3) Section 1105(a)(12) of title 31, United States
Code, is amended by striking ‘‘and’’ at the end of subpara-
graph (A), by striking the period and inserting ‘‘; and’’
at the end of subparagraph (B), and by adding at the end
the following new subparagraph:
‘‘(C) the estimated amount for the same activ-
ity (if any) in the current fiscal period.’’.
(4) Section 1105(a)(18) of title 31, United States
Code, is amended by inserting ‘‘new budget authority
and’’ before ‘‘budget outlays’’.
(5) Section 1105(a) of title 31, United States Code,
is amended by adding at the end the following new para-
graph:
‘‘(32) a comparison of levels of estimated ex-
penditures and proposed appropriations for each
function and subfunction in the current fiscal period
and the fiscal period for which the budget is submit-
ted, along with the proposed increase or decrease of
spending in percentage terms for each function and
subfunction.’’.
(b) Section 1109(a) of title 31, United States Code,
is amended by adding after the first sentence the following
new sentence: ‘‘These estimates shall not include any ad-
justment for inflation.’’.
(c) Section 1104(c) of title 31, United States Code,
is amended by striking the second and third sentences and
inserting the following new sentence: ‘‘However, a func-
tional category in the budget may be changed only by law
and the subfunctions comprising any such category may
also only be changed by law except to the extent necessary
to initially establish appropriate subfunctions within func-
tional category 950 (natural disasters).’’.
(d) Section 1312(b) of title 31, United States Code,
as added by section 402 of this Act, is amended by adding
at the end thereof the following new sentence: ‘‘The deci-
sion of a State to receive either an aggregate amount for
such programs (and its allocation of benefits among such
programs) or the amounts it received for, each such pro-
gram shall not be reviewable in any Federal court.’’.
(e) The analysis of chapter 13 of title 31, United
States Code, is amended by inserting after the item relat-
ing to section 1310 the following new items:
‘‘Sec. 1311. Automatic continuing resolution.
‘‘Sec. 1312. Contingency regulations for automatic continuing resolution.
‘‘Sec. 1313. Budget authority and entitlement authority must cover single fiscal
period.
‘‘Sec. 1314. Protection of Social Security from budget deficit reduction meas-
ures.
‘‘Sec. 1315. Contingency regulations for former ‘blank-check’ spending pro-
grams.’’.
TITLE VII—DEFINITIONS AND
RULES OF INTERPRETATION
SEC. 701. DEFINITIONS.
(a) DEFINITION OF BUDGET LAW.—Section 3(4) of
the Congressional Budget and Impoundment Control Act
of 1974 (2 U.S.C. 622(4)), containing general definitions,
is amended to read as follows:
‘‘(4) The term ‘budget law’ or ‘joint resolution
on the budget’ means—
‘‘(A) a joint resolution setting forth the
simplified budget for the United States Govern-
ment for a fiscal period as provided in section
301; and
‘‘(B) any other joint resolution revising the
budget for the United States Government for a
fiscal period as described in section 304.’’.
(b) CHANGING DEFINITION OF BUDGET AUTHORITY
TO EXCLUDE OFFSETTING RECEIPTS.—Section 3(2)(A)
of the Congressional Budget and Impoundment Control
Act of 1974 (2 U.S.C. 622(2)(A)) is amended by inserting
‘‘and’’ at the end of clause (ii), by striking ‘‘; and’’ at
the end of clause (iii), and by striking clause (iv).
(c) ADDITIONAL DEFINITIONS.—Section 3 of the
Congressional Budget and Impoundment Control Act of
1974 (2 U.S.C. 622) is amended by adding at the end
the following new paragraphs:
‘‘(11) The term ‘major functional category’ re-
fers to a grouping of budget authority, budget out-
lays, and credit authority into any one of the follow-
ing categories:
‘‘Function 050: National Defense
‘‘Function 150: International Affairs
‘‘Function 250: General Science, Space
and Technology
‘‘Function 270: Energy
‘‘Function 300: Natural Resources and
Environment
‘‘Function 350: Agriculture
‘‘Function 400: Transportation
‘‘Function 450: Community and Regional
Development
‘‘Function 500: Education, Training, Em-
ployment and Social Services
‘‘Function 550: Health
‘‘Function 570: Medicare
‘‘Function 600: Welfare, Federal Employee
Benefits, and Social Transfer Payments
‘‘Function 650: Social Security
‘‘Function 700: Veterans Benefits and
Services
‘‘Function 750: Administration of Justice
‘‘Function 800: General Government
‘‘Function 900: Net Interest
‘‘Function 920: Allowances
‘‘Function 950: Natural Disasters.’’.
For purposes of this definition, the foregoing func-
tional classifications shall be deemed to include the
subfunctions corresponding thereto as set forth in
the Glossary of Terms Used in the Federal Budget
Process published by the United States General Ac-
counting Office (Revised January 1993).
‘‘(12) The term ‘budget ceiling’ means the dol-
lar amount set forth in a budget law for a major
functional category.
‘‘(13) The term ‘spending’ means budget au-
thority, spending authority, credit authority, or out-
lays of the term ‘spending bill’ means any bill or res-
olution, or amendment thereto or conference report
thereon, which provides budget authority, spending
authority, credit authority, or outlays.
‘‘(14) The term ‘blank-check’ spending author-
ity means authority (whether temporary or perma-
nent) to make payments (including loans and
grants), the budget authority for which is not pro-
vided for in advance by appropriation Acts, to any
person or government if, under the provisions of the
law containing such authority, the United States is
obligated to make such payments to persons or gov-
ernments who meet the requirements established by
such law: Provided, That such term does not include
Social Security or interest on the debt.
‘‘(15) The term ‘fiscal period’ means a twelve-
month fiscal year beginning on October 1 of a cal-