I 
117TH CONGRESS 
1ST SESSION H. R. 1964 
To assess the State by State impact of Federal taxation and spending. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 17, 2021 
Mr. FOSTER (for himself, Mr. TAYLOR, Mr. ZELDIN, Mrs. BUSTOS, Mr. 
GOTTHEIMER, Mr. SUOZZI, Mr. ALLRED, Ms. SCHAKOWSKY, and Mr. 
GOHMERT) introduced the following bill; which was referred to the Com-
mittee on Oversight and Reform 
A BILL 
To assess the State by State impact of Federal taxation 
and spending. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Payer State Trans-
parency Act of 2021’’. 
SEC. 2. CALCULATION OF FEDERAL TAX BURDENS AND 
OUTLAYS. 
(a) STATE BY STATE CALCULATION OF FEDERAL 
TAX BURDENS.— 
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(1) IN GENERAL.—The Secretary of Commerce, 
acting through the Director of the Bureau of Eco-
nomic Analysis, shall calculate the Federal tax bur-
den of each State for each calendar year. 
(2) CALCULATION
OF
FEDERAL
TAX
BUR-
DEN.—For purposes of calculating the Federal tax 
burden of each State under paragraph (1), the Sec-
retary shall— 
(A) treat Federal taxes paid by an indi-
vidual as a burden on the State in which such 
individual resides; and 
(B) treat Federal taxes paid by a legal 
business entity as a burden on each State in 
which economic activity of such entity is per-
formed in the same proportion that the eco-
nomic activity of such entity in such State 
bears to the economic activity of such entity in 
all the States. 
(b) STATE BY STATE CALCULATION OF FEDERAL 
OUTLAYS.— 
(1) IN GENERAL.—The Director of the Office of 
Management and Budget, in coordination with the 
Council of Economic Advisers and the Secretary of 
the Treasury, shall calculate the total amount of 
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Federal outlays received by each State in each fiscal 
year. 
(2) TREATMENT OF CONTRACT AWARDS.—For 
purposes of calculating the amount of Federal out-
lays received by a State under paragraph (1), a Fed-
eral contract award shall be treated as a Federal 
outlay received by each State in which performance 
under the award takes place in the same proportion 
that such performance in such State bears to such 
performance in all the States. 
(c) STATE DEFINED.—In this section the term 
‘‘State’’ means each of the several States. 
SEC. 3. JOINT REPORT. 
Not later than the date that is 180 days after the 
beginning of each calendar year, the Secretary of Com-
merce and the Director of the Office of Management and 
Budget shall— 
(1) jointly submit to Congress a report con-
taining the results of the calculations described in 
section 2 with respect to such calendar year; and 
(2) publish the report on a publicly accessible 
website of the Bureau of Economic Analysis. 
Æ 
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