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(A) By 2040 social security, medicare, and 
medicaid alone will consume 20 percent of our 
economy. 
(B) By 2040 Americans will have to pay 
twice the current rate of taxes. 
(3) Entitlements must be reformed to survive 
with the retirement of the baby boomers, the situa-
tion will only get worse, making the necessary re-
forms more sudden and severe. 
(4) Entitlements aren’t all that’s at risk. If left 
unreformed, these programs will also impose a 
crushing burden on both the budget and the econ-
omy. Our now strong economy, which has created 
millions of jobs and been the key factor in reducing 
the deficit. Entitlements will eventually crowd out all 
other priorities such as education, veterans, science, 
agriculture, environment, even defense and homeland 
security. 
(5) The rising costs of government entitlements 
are a ‘‘fiscal cancer’’ that threaten ‘‘catastrophic 
consequences for our country’’ and could ‘‘bankrupt 
America’’ said America’s chief accountant, U.S. 
Comptroller General David Walker. 
(6) Without ‘‘early and meaningful action’’ to 
address the rapid growth of entitlements, ‘‘the U.S. 
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economy could be seriously weakened, with future 
generations bearing much of the cost’’ warned Fed 
Chairman Ben Bernanke. 
(7) Spending is the problem. Massive Tax 
Hikes are Not the Solution. Even if taxes are raised 
to balance the budget in the short term, entitlements 
would quickly drive the Federal Government back 
into deficit. 
(8) The U.S. Comptroller General testified that 
the United States Government ‘‘cannot grow [its] 
way out of this problem; eliminating earmarks will 
not solve the problem; wiping out fraud, waste, and 
abuse will not solve the problem; ending the war or 
cutting way back on defense will not solve the prob-
lem’’. 
(9) The budget must drive entitlement reform. 
Entitlement programs are well-intended, and provide 
a critical safety net for millions of Americans, but 
their costs are out of control, and growing worse 
every year typically without regular reform or con-
gressional oversight. Congress must use the budget 
process to promote reforms that will make these pro-
grams better, more efficient, and more sustainable 
for the long term. 
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(b) POLICY ON ENTITLEMENTS.—It is the policy of 
this resolution that Congress must immediately address 
the out-of-control growth of entitlement spending that 
may do substantial harm to the United States economy 
and hurt the standard of living of future generations. Fur-
thermore, Congress must also commit itself to consider 
during this fiscal year fundamental reform packages to se-
cure the long-term solvency of medicare, medicaid and so-
cial security. 
SEC. 303. BONNEVILLE POWER MARKETING ADMINISTRA-
TION. 
It is the policy of this resolution that it does not spe-
cifically assume any savings from the President’s proposal 
related to the Bonneville Power Marketing Administra-
tions and the Energy and Commerce Committee will deter-
mine its own policies subject to the applicable numerical 
allocation limits and reconciliation directives. 
TITLE IV—GENERAL BUDGET 
ENFORCEMENT 
SEC. 401. RESTRICTIONS ON ADVANCE APPROPRIATIONS. 
(a) IN GENERAL.—(1) In the House, except as pro-
vided in subsection (b), an advance appropriation may not 
be reported in a bill or joint resolution making a general 
appropriation or continuing appropriation, and may not 
be in order as an amendment thereto. 
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(2) Managers on the part of the House may not agree 
to a Senate amendment that would violate paragraph (1) 
unless specific authority to agree to the amendment first 
is given by the House by a separate vote with respect 
thereto. 
(b) ADVANCE APPROPRIATION.—In the House, an 
advance appropriation may be provided for the fiscal years 
2009 and 2010 for programs, projects, activities, or ac-
counts identified in the joint explanatory statement of 
managers accompanying this resolution under the heading 
‘‘Accounts Identified for Advance Appropriations’’ in an 
aggregate amount not to exceed $23,565,000,000 in new 
budget authority in each year. 
(c) DEFINITION.—In this section, the term ‘‘advance 
appropriation’’ means any new budget authority provided 
in a bill or joint resolution making general appropriations 
or any new budget authority provided in a bill or joint 
resolution making continuing appropriations for fiscal 
year 2008 that first becomes available for any fiscal year 
after 2008. 
SEC. 402. CONTINGENCY OPERATIONS RELATED TO THE 
GLOBAL WAR ON TERRORISM AND FOR UN-
ANTICIPATED DEFENSE NEEDS. 
(a) EXEMPTION OF CONTINGENCY OPERATIONS RE-
LATED TO THE GLOBAL WAR ON TERRORISM AND FOR 
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UNANTICIPATED DEFENSE NEEDS.—In the House, if any 
bill or joint resolution is reported, or an amendment is 
offered thereto or a conference report is filed thereon, that 
makes appropriations for fiscal year 2008 for contingency 
operations directly related to the global war on terrorism, 
and other unanticipated defense-related operations, then 
the new budget authority, new entitlement authority, out-
lays, or receipts resulting therefrom shall not count for 
purposes of titles III or IV of the Congressional Budget 
Act of 1974. 
(b) CURRENT LEVEL.—Amounts included in this res-
olution for the purpose set forth in this section shall be 
considered to be current law for purposes of the prepara-
tion of the current level of budget authority and outlays 
and the appropriate levels shall be adjusted upon the en-
actment of such bill. 
SEC. 403. APPLICATION AND EFFECT OF CHANGES IN ALLO-
CATIONS AND AGGREGATES. 
(a) APPLICATION.—Any adjustments of allocations 
and aggregates made pursuant to this resolution shall— 
(1) apply while that measure is under consider-
ation; 
(2) take effect upon the enactment of that 
measure; and 
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(3) be published in the Congressional Record as 
soon as practicable. 
(b) EFFECT OF CHANGED ALLOCATIONS AND AG-
GREGATES.—Revised allocations and aggregates resulting 
from these adjustments shall be considered for the pur-
poses of the Congressional Budget Act of 1974 as alloca-
tions and aggregates contained in this resolution. 
(c) BUDGET COMMITTEE DETERMINATIONS.—For 
purposes of this resolution— 
(1) the levels of new budget authority, outlays, 
direct spending, new entitlement authority, revenues, 
deficits, and surpluses for a fiscal year or period of 
fiscal years shall be determined on the basis of esti-
mates made by the appropriate Committee on the 
Budget; and 
(2) such chairman may make any other nec-
essary adjustments to such levels to reflect the tim-
ing of responses to reconciliation directives pursuant 
to section 201 of this resolution. 
SEC. 404. ADJUSTMENTS TO REFLECT CHANGES IN CON-
CEPTS AND DEFINITIONS. 
Upon the enactment of a bill or joint resolution pro-
viding for a change in concepts or definitions, the appro-
priate chairman of the Committee on the Budget shall 
make adjustments to the levels and allocations in this res-
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olution in accordance with section 251(b) of the Balanced 
Budget and Emergency Deficit Control Act of 1985 (as 
in effect prior to September 30, 2002). 
SEC. 405. COMPLIANCE WITH SECTION 13301 OF THE BUDG-
ET ENFORCEMENT ACT OF 1990. 
(a) IN GENERAL.—In the House and the Senate, not-
withstanding section 302(a)(1) of the Congressional 
Budget Act of 1974 and section 13301 of the Budget En-
forcement Act of 1990, the joint explanatory statement 
accompanying the conference report on any concurrent 
resolution on the budget shall include in its allocation 
under section 302(a) of the Congressional Budget Act of 
1974 to the Committee on Appropriations amounts for the 
discretionary administrative expenses of the Social Secu-
rity Administration. 
(b) SPECIAL RULE.—In the House, for purposes of 
applying section 302(f) of the Congressional Budget Act 
of 1974, estimates of the level of total new budget author-
ity and total outlays provided by a measure shall include 
any discretionary amounts provided for the Social Security 
Administration. 
SEC. 406. EXERCISE OF RULEMAKING POWERS. 
Congress adopts the provisions of this title— 
(1) as an exercise of the rulemaking power of 
the Senate and the House, respectively, and as such 
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they shall be considered as part of the rules of each 
House, or of that House to which they specifically 
apply, and such rules shall supersede other rules 
only to the extent that they are inconsistent there-
with; and 
(2) with full recognition of the constitutional 
right of either House to change those rules (so far 
as they relate to that House) at any time, in the 
same manner, and to the same extent as in the case 
of any other rule of that House. 
SEC. 407. ADJUSTMENTS FOR TAX LEGISLATION. 
In the House, if the Committee on Ways and Means 
reports a bill or joint resolution, or an amendment is of-
fered thereto or a conference report is submitted thereon, 
that amends the Internal Revenue Code of 1986 by ex-
tending the expiration dates for Federal tax policies that 
expired during fiscal year 2008 or that expire during the 
period of fiscal years 2008 through 2012, then the chair-
man of the Committee on the Budget may make appro-
priate adjustments in the allocations and aggregates of 
budget authority, outlays, and revenue set forth in this 
resolution to reflect the budgetary effects of such legisla-
tion, but only to the extent the adjustments would not 
cause the level of revenue to be less than the level of rev-
enue provided for in this resolution for the period of fiscal 
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years 2008 through 2012 and would not cause the deficit 
to exceed the appropriate level of deficits provided for in 
this resolution for the period of fiscal years 2008 through 
2012. 
SEC. 408. REPEAL OF THE GEPHARDT RULE. 
With respect to the adoption by the Congress of a 
concurrent resolution on the budget for fiscal year 2008, 
the clerk of the House shall not prepare an engrossment 
of a joint resolution increasing or decreasing, as the case 
may be, the statutory limit on the public debt. 
SEC. 409. BUDGET COMPLIANCE STATEMENTS. 
Each report of a committee on a public bill or public 
joint resolution shall contain a budget compliance state-
ment prepared by the chairman of the Committee on the 
Budget, if timely submitted prior to the filing of the re-
port, which shall include assessment by such chairman as 
to whether the bill or joint resolution complies with the 
requirements of sections 302, 303, 306, 311, and 401 of 
the Congressional Budget Act of 1974. 
SEC. 410. COST ESTIMATES FOR CONFERENCE REPORTS 
AND UNREPORTED MEASURES. 
It shall not be in order to consider a conference re-
port or an unreported bill or joint resolution unless an 
estimate of costs as described in clause 3(d)(2) of Rule 
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XIII has been printed in the Congressional Record at least 
one day before its consideration. 
SEC. 411. ROLL CALL VOTES FOR NEW SPENDING. 
The yeas and nays shall be considered as ordered 
when the Speaker puts the question on passage of a bill 
or joint resolution, or on adoption of a conference report, 
for which the chairman of the Budget Committee has ad-
vised the Speaker that such bill, joint resolution or con-
ference report authorizes or provides new budget authority 
of not less than $50,000,000. The Speaker may not enter-
tain a unanimous consent request or motion to suspend 
this section. 
SEC. 412. BUDGET PROCESS REFORM. 
Before September 30, 2007, the chairman or ranking 
minority member of the Committee on the Budget of the 
House of Representatives shall introduce, and the com-
mittee shall conduct hearings on, budget reform legislation 
that includes the following provisions: 
(1) Statutory discretionary spending limits. 
(2) Provisions to slow the growth of entitlement 
spending by requiring offsets for new benefits, and 
examining programs with annual increases higher 
than the rate of inflation. 
(3) Presidential legislative line item veto au-
thority that preserves Congress’ constitutional power 
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of the purse by requiring an expedited up or down 
vote on the President’s proposals. 
(4) Enforcement tools that restrict the defini-
tion of ‘‘emergency’’ so that emergency supplemental 
appropriation bills include only needs that are sud-
den, urgent, unforeseen, unpredictable, unantici-
pated, and temporary in nature. 
(5) Accrual accounting of the Government’s 
long-term obligations. 
(6) Periodic reporting from the Government Ac-
countability Office that examine the causes of long- 
term deficits and present options to reduce these 
deficits. 
(7) Annual audit summaries from the Federal 
Accounting Standards Advisory Board for all depart-
ments of the Government that represent more than 
20 percent of discretionary spending, with rec-
ommendations on how to improve the quality of fi-
nancial information available to Congress. 
SEC. 413. TREASURY DEPARTMENT STUDY AND REPORT. 
(a) REQUEST.—Not later than June 1, 2007, the 
chairman or ranking member of the Committee on the 
Budget of the House of Representatives shall submit a re-
quest to the Secretary of the Treasury for a study of the 
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impact of the current United States tort system on global 
competition and gross domestic product (GDP) growth. 
(b) SUBMISSION
OF STUDY.—The results of the 
study described in subsection (a) shall be submitted by 
the Secretary of the Treasury to the Committee on the 
Budget of the House of Representatives not later than 
September 30, 2007. 
SEC. 414. ASSISTANCE BY FEDERAL AGENCIES TO STAND-
ING COMMITTEES OF THE SENATE AND THE 
HOUSE OF REPRESENTATIVES. 
(a) INFORMATION REGARDING AGENCY APPROPRIA-
TIONS REQUESTS.—To assist each standing committee of 
the House of Representatives and the Senate in carrying 
out its responsibilities, the chairman of each authorizing 
committee of the House and Senate shall request the head 
of each Federal agency which administers the laws or 
parts of laws under the jurisdiction of such committee, to 
provide to such committee such studies, information, anal-
yses, reports, and assistance. 
(b) INFORMATION REGARDING AGENCY PROGRAM 
ADMINISTRATION.—To assist each standing committee of 
the House of Representatives and the Senate in carrying 
out its responsibilities, the chairman of each authorizing 
committee of the House and Senate shall request of the 
head of any agency under his committee’s jurisdiction, to 
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furnish to such committee documentation, containing in-
formation received, compiled, or maintained by the agency 
as part of the operation or administration of a program, 
or specifically compiled pursuant to a request in support 
of a review of a program, as may be requested by the 
chairman and ranking minority member of such com-
mittee. 
(c) SUMMARIES BY COMPTROLLER GENERAL.—With-
in thirty days after the receipt of a request from a chair-
man and ranking minority member of a standing com-
mittee having jurisdiction over a program being reviewed 
and studied by such committee under this section, the 
Comptroller General of the United States shall furnish to 
such committee summaries of any audits or reviews of 
such program which the Comptroller General has com-
pleted during the preceding six years. 
(d) CONGRESSIONAL ASSISTANCE.—Consistent with 
their duties and functions under law, the Comptroller Gen-
eral of the United States, the Director of the Congres-
sional Budget Office, and the Director of the Congres-
sional Research Service shall continue to furnish (con-
sistent with established protocols) to each standing com-
mittee of the House of Representatives or the Senate such 
information, studies, analyses, and reports as the chair-
man and ranking minority member may request to assist 
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the committee in conducting reviews and studies of pro-
grams under this section. 
SEC. 415. BUDGETARY TREATMENT OF THE NATIONAL 
FLOOD INSURANCE PROGRAM. 
(a) TREATMENT.—For purposes of the allocations 
and aggregates in this resolution, the reconciliation direc-
tives established by this resolution, and for any other pur-
pose under titles III and IV of the Congressional Budget 
Act of 1974, the budgetary effects of any bill or joint reso-
lution, amendment thereto, or conference report thereon, 
or any recommendations submitted pursuant to section 
201 that includes the reforms set forth in subsection (b) 
shall be scored without regard to the obligations resulting 
from the enactment of Public Law 109–208. Such esti-
mate shall assume the liquidating of the National Flood 
Insurance Fund’s remaining contractual obligations re-
sulting from claims made as a result of floods that oc-
curred in 2005. 
(b) LEGISLATION.—The legislation referred to in 
subsection (a) shall— 
(1) establish more actuarially sound rates on 
policies issued by the National Flood Insurance Pro-
gram; and 
(2) end flood insurance subsidies on pre-FIRM 
structures not used as primary residences. 
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TITLE V—EMERGENCY RESERVE 
FUND 
SEC. 
501. 
NONDEFENSE 
RESERVE 
FUND 
FOR 
EMER-
GENCIES. 
(a) NONDEFENSE SET ASIDE.— 
(1) DISCRETIONARY SET ASIDE FUND.—In the 
House and except as provided by subsection (b), if 
a bill or joint resolution is reported, or an amend-
ment is offered thereto (or considered as adopted) or 
a conference report is filed thereon, that provides 
new discretionary budget authority (and outlays 
flowing therefrom), and such provision is designated 
as an emergency pursuant to this section, the chair-
man of the Committee on the Budget shall make ad-
justments to the allocations and aggregates set forth 
in this resolution up to the amount of such provi-
sions if the requirements set forth in section 504 are 
met, but the sum of all adjustments made under this 
paragraph shall not exceed $6,450,000,000 for fiscal 
year 2008. 
(2) OTHER ADJUSTMENTS.—In the House, if a 
bill or joint resolution is reported or a conference re-
port is filed thereon, and a direct spending or receipt 
provision included therein is designated as an emer-
gency pursuant to this paragraph, the chairman of 
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the Committee on the Budget may make adjust-
ments to the allocations and aggregates set forth in 
this resolution. 
(b) ADDITIONAL ADJUSTMENT PROCEDURES.—In 
the House, before any adjustment is made pursuant to 
this section for any bill, joint resolution, or conference re-
port that designates a provision an emergency, the enact-
ment of which would cause the total amount of the set 
aside fund set forth in subsection (a)(1) for fiscal year 
2008 to be exceeded: 
(1) The chairman of the Committee on the 
Budget shall convene a meeting of that committee, 
where it shall be in order, subject to the terms set 
forth in this section, for one motion described in 
paragraph (2) to be made to authorize the chairman 
to make adjustments above the maximum amount of 
adjustments set forth in subsection (a). If the Chair-
man does not call such a meeting within 24 hours 
of a committee reporting such a measure, any mem-
ber of the Committee may call such a meeting. 
(2) The motion referred to in paragraph (1) 
shall be in the following form: ‘‘I move that the 
chairman of the Committee on the Budget be au-
thorized to adjust the allocations and aggregates set 
forth in the concurrent resolution on the budget for 
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fiscal 
year 
2008 
by 
the 
following 
amount: 
$lllll for fiscal year 2008.’’, with the blank 
being filled in with amount determined by the chair-
man of the Committee on the Budget. For any 
measure referred to in subsection (a)(1), such 
amount shall not exceed the total amount for fiscal 
year 2008 designated as an emergency in excess of 
the applicable amount remaining in the set aside 
fund. 
(3) The motion set forth in paragraph (2) shall 
be open for debate and amendment, but any amend-
ment offered thereto is only in order if limited to 
changing an amount in the motion. 
(4) Except as provided by paragraph (5), the 
chairman of the Committee on the Budget may not 
make any adjustments under subsection (a) or sub-
section (b) unless or until the committee filing a re-
port or joint statement of managers on a conference 
report on a measure including an emergency des-
ignation fulfills the terms set forth in section 504. 
(5) The chairman of the Committee on the 
Budget shall make any adjustments he deems nec-
essary under this section if he determines the enact-
ment of the provision or provisions designated as an 
emergency is essential to respond to an urgent and 
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imminent need, the chairman determines the excep-
tional circumstances referred to in rule 3 of the 
rules of the committee are met and the committee 
cannot convene to consider the motion referred to in 
this section in a timely fashion. 
(c) APPLICATION OF ADJUSTMENTS.—The adjust-
ments made pursuant to subsection (a) or (b) shall— 
(1) apply while that bill, joint resolution, con-
ference report or amendment is under consideration; 
(2) take effect upon the enactment of that leg-
islation; and 
(3) be published in the Congressional Record as 
soon as practicable. 
SEC. 502. EMERGENCY CRITERIA. 
As used in this title: 
(1) The term ‘‘emergency’’ means a situation 
that— 
(A) requires new budget authority and out-
lays (or new budget authority and the outlays 
flowing therefrom) for the prevention or mitiga-
tion of, or response to, loss of life or property, 
or a threat to national security; and 
(B) is unanticipated. 
(2) The term ‘‘unanticipated’’ means that the 
underlying situation is— 
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(A) sudden, which means quickly coming 
into being or not building up over time; 
(B) urgent, which means a pressing and 
compelling need requiring immediate action; 
(C) unforeseen, which means not predicted 
or anticipated as an emerging need; and 
(D) temporary, which means not of a per-
manent duration. 
SEC. 503. DEVELOPMENT OF GUIDELINES FOR APPLICA-
TION OF EMERGENCY DEFINITION. 
In the House, as soon as practicable after the adop-
tion of this resolution, the chairman of the Committee on 
the Budget shall, after consultation with the chairmen of 
the applicable committees, the Ranking Member of the 
Committee on the Budget, and the Director of the Con-
gressional Budget Office, prepare additional guidelines for 
application of the definition of an emergency and shall 
issue a committee print from the Committee on the Budg-
et for this purpose. 
SEC. 504. COMMITTEE NOTIFICATION OF EMERGENCY LEG-
ISLATION. 
(a) COMMITTEE NOTIFICATION.—Whenever a com-
mittee of the House (including a committee of conference) 
reports any bill or joint resolution that includes a provision 
designated as an emergency pursuant to this title, the re-
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port accompanying that bill or joint resolution (or the joint 
explanatory statement of managers in the case of a con-
ference report on any such bill or joint resolution) shall 
identify all provisions that provide amounts designated as 
an emergency and shall provide an explanation of the 
manner in which the provision meets the criteria set forth 
in section 502. 
(b) CONGRESSIONAL RECORD.—If such a measure is 
to be considered by the House without being reported by 
the committee of jurisdiction, then the committee shall 
cause the explanation to be published in the Congressional 
Record as soon as practicable. 
SEC. 505. UP-TO-DATE TABULATIONS. 
The Committee on the Budget of the House shall 
publish in the Congressional Record up-to-date tabulations 
of amounts remaining in the set aside fund set forth in 
section 501, or authorized in excess thereof, as soon as 
practicable after the enactment of such amounts des-
ignated as emergencies. 
TITLE VI—LEGISLATIVE LINE 
ITEM VETO AUTHORITY 
SEC. 601. PRESIDENTIAL RECOMMENDATIONS. 
(a) PROPOSED CANCELLATIONS.—If, within 45 cal-
endar days after the enactment of any bill or joint resolu-
tion providing any discretionary budget authority, item of 
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direct spending, limited tariff benefit, or targeted tax ben-
efit, the President proposes, in the manner provided in 
subsection (b), the cancellation of any dollar amount of 
such discretionary budget authority, item of direct spend-
ing, or targeted tax benefit, such recommendation shall 
be introduced as a freestanding measure consistent with 
the terms of this title and shall be eligible for the expe-
dited procedures set forth herein. If the 45 calendar-day 
period expires during a period where either House of Con-
gress stands adjourned sine die at the end of a Congress 
or for a period greater than 45 calendar days, the Presi-
dent may propose a cancellation under this section and 
transmit a special message under subsection (b) on the 
first calendar day of session following such a period of 
adjournment. 
(b) TRANSMITTAL OF SPECIAL MESSAGE.— 
(1) SPECIAL MESSAGE.— 
(A) CONTENTS
OF
SPECIAL
MESSAGE.— 
Each special message shall specify, with respect 
to the discretionary budget authority, items of 
direct spending proposed, limited tariff benefits, 
or targeted tax benefits to be canceled— 
(i) the dollar amount of discretionary 
budget authority, the specific item of direct 
spending (that OMB, after consultation 
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with CBO, estimates to increase budget 
authority or outlays as required by section 
1017(9)), the limited tariff benefit, or the 
targeted tax benefit that the President pro-
poses be canceled; 
(ii) any account, department, or es-
tablishment of the Government to which 
such discretionary budget authority is 
available for obligation, and the specific 
project or governmental functions involved; 
(iii) the reasons why such discre-
tionary budget authority, item of direct 
spending, limited tariff benefit, or targeted 
tax benefit should be canceled; 
(iv) to the maximum extent prac-
ticable, the estimated fiscal, economic, and 
budgetary effect (including the effect on 
outlays and receipts in each fiscal year) of 
the proposed cancellation; 
(v) to the maximum extent prac-
ticable, all facts, circumstances, and con-
siderations relating to or bearing upon the 
proposed cancellation and the decision to 
propose the cancellation, and the estimated 
effect of the proposed cancellation upon 
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the objects, purposes, or programs for 
which the discretionary budget authority, 
item of direct spending, limited tariff ben-
efit, or the targeted tax benefit is provided; 
(vi) a numbered list of cancellations to 
be included in an approval bill that, if en-
acted, would cancel discretionary budget 
authority, items of direct spending, limited 
tariff benefit, or targeted tax benefits pro-
posed in that special message; and 
(vii) if the special message is trans-
mitted subsequent to or at the same time 
as another special message, a detailed ex-
planation why the proposed cancellations 
are not substantially similar to any other 
proposed cancellation in such other mes-
sage. 
(B) DUPLICATIVE
PROPOSALS
PROHIB-
ITED.—The President may not propose to can-
cel the same or substantially similar discre-
tionary budget authority, item of direct spend-
ing, limited tariff benefit, or targeted tax ben-
efit more than one time under this Act. 
(C) MAXIMUM NUMBER OF SPECIAL MES-
SAGES.—The President may not transmit to the 
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Congress more than 5 special messages under 
this subsection related to any bill or joint reso-
lution described in subsection (a), but may 
transmit not more than 10 special messages for 
any omnibus budget reconciliation or appropria-
tion measure. 
(2) ENACTMENT OF APPROVAL BILL.— 
(A) DEFICIT
REDUCTION.—Amounts of 
budget authority, items of direct spending, lim-
ited tariff benefit, or targeted tax benefits 
which are canceled pursuant to enactment of a 
bill as provided under this section shall be dedi-
cated only to reducing the deficit or increasing 
the surplus. 
(B) ADJUSTMENT OF LEVELS IN THE CON-
CURRENT RESOLUTION ON THE BUDGET.—Not 
later than 5 days after the date of enactment 
of an approval bill as provided under this sec-
tion, the chairs of the Committees on the Budg-
et of the Senate and the House of Representa-
tives shall revise allocations and aggregates and 
other appropriate levels under the appropriate 
concurrent resolution on the budget to reflect 
the cancellation, and the applicable committees 
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shall report revised suballocations pursuant to 
section 302(b), as appropriate. 
(C) TRUST FUNDS AND SPECIAL FUNDS.— 
Notwithstanding subparagraph (A), nothing in 
this title shall be construed to require or allow 
the deposit of amounts derived from a trust 
fund or special fund which are canceled pursu-
ant to enactment of a bill as provided under 
this section to any other fund. 
SEC. 602. PROCEDURES IN UNITED STATES CONGRESS. 
(a) EXPEDITED CONSIDERATION.— 
(1) IN GENERAL.—The majority leader or mi-
nority leader of each House or his designee shall (by 
request) introduce an approval bill as defined in sec-
tion 1017 not later than the third day of session of 
that House after the date of receipt of a special mes-
sage transmitted to the Congress under section 
1011(b). If the bill is not introduced as provided in 
the preceding sentence in either House, then, on the 
fourth day of session of that House after the date 
of receipt of the special message, any Member of 
that House may introduce the bill. 
(2) CONSIDERATION IN THE HOUSE OF REP-
RESENTATIVES.— 
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(A) REFERRAL
AND
REPORTING.—Any 
committee of the House of Representatives to 
which an approval bill is referred shall report it 
to the House without amendment not later than 
the seventh legislative day after the date of its 
introduction. If a committee fails to report the 
bill within that period or the House has adopt-
ed a concurrent resolution providing for ad-
journment sine die at the end of a Congress, 
such committee shall be automatically dis-
charged from further consideration of the bill 
and it shall be placed on the appropriate cal-
endar. 
(B) PROCEEDING
TO
CONSIDERATION.— 
After an approval bill is reported by or dis-
charged from committee or the House has 
adopted a concurrent resolution providing for 
adjournment sine die at the end of a Congress, 
it shall be in order to move to proceed to con-
sider the approval bill in the House. Such a mo-
tion shall be in order only at a time designated 
by the Speaker in the legislative schedule within 
two legislative days after the day on which the 
proponent announces his intention to offer the 
motion. Such a motion shall not be in order 
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after the House has disposed of a motion to 
proceed with respect to that special message. 
The previous question shall be considered as or-
dered on the motion to its adoption without in-
tervening motion. A motion to reconsider the 
vote by which the motion is disposed of shall 
not be in order. 
(C) CONSIDERATION.—The approval bill 
shall be considered as read. All points of order 
against an approval bill and against its consid-
eration are waived. The previous question shall 
be considered as ordered on an approval bill to 
its passage without intervening motion except 
five hours of debate equally divided and con-
trolled by the proponent and an opponent and 
one motion to limit debate on the bill. A motion 
to reconsider the vote on passage of the bill 
shall not be in order. 
(D) SENATE BILL.—An approval bill re-
ceived from the Senate shall not be referred to 
committee. 
(3) CONSIDERATION IN THE SENATE.— 
(A) MOTION TO PROCEED TO CONSIDER-
ATION.—A motion to proceed to the consider-
ation of a bill under this subsection in the Sen-
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ate shall not be debatable. It shall not be in 
order to move to reconsider the vote by which 
the motion to proceed is agreed to or disagreed 
to. 
(B) LIMITS ON DEBATE.—Debate in the 
Senate on a bill under this subsection, and all 
debatable motions and appeals in connection 
therewith (including debate pursuant to sub-
paragraph (D)), shall not exceed 10 hours, 
equally divided and controlled in the usual 
form. 
(C) APPEALS.—Debate in the Senate on 
any debatable motion or appeal in connection 
with a bill under this subsection shall be limited 
to not more than 1 hour, to be equally divided 
and controlled in the usual form. 
(D) MOTION TO LIMIT DEBATE.—A motion 
in the Senate to further limit debate on a bill 
under this subsection is not debatable. 
(E) MOTION TO RECOMMIT.—A motion to 
recommit a bill under this subsection is not in 
order. 
(F) CONSIDERATION
OF
THE
HOUSE 
BILL.— 
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(i) IN GENERAL.—If the Senate has 
received the House companion bill to the 
bill introduced in the Senate prior to the 
vote required under paragraph (1)(C), then 
the Senate may consider, and the vote 
under paragraph (1)(C) may occur on, the 
House companion bill. 
(ii) PROCEDURES
AFTER
VOTE
ON 
SENATE BILL.—If the Senate votes, pursu-
ant to paragraph (1)(C), on the bill intro-
duced in the Senate, then immediately fol-
lowing that vote, or upon receipt of the 
House companion bill, the House bill shall 
be deemed to be considered, read the third 
time, and the vote on passage of the Sen-
ate bill shall be considered to be the vote 
on the bill received from the House. 
(b) AMENDMENTS PROHIBITED.—No amendment to, 
or motion to strike a provision from, a bill considered 
under this section shall be in order in either the Senate 
or the House of Representatives. 
SEC. 603. IDENTIFICATION OF TARGETED TAX BENEFITS. 
(a) STATEMENT.—The chairman of the Committee 
on Ways and Means of the House of Representatives and 
the chairman of the Committee on Finance of the Senate 
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acting jointly (hereafter in this subsection referred to as 
‘‘the chairmen’’ shall review any revenue or reconciliation 
bill or joint resolution which includes any amendment to 
the Internal Revenue Code of 1986 that is being prepared 
for filing by a committee of conference of the two Houses, 
and shall identify whether such bill or joint resolution con-
tains any targeted tax benefits. The chairmen shall pro-
vide to the committee of conference a statement identi-
fying any such targeted tax benefits or declaring that the 
bill or joint resolution does not contain any targeted tax 
benefits. Any such statement shall be made available to 
any Member of Congress by the chairmen immediately 
upon request. 
(b) STATEMENT INCLUDED IN LEGISLATION.— 
(1) IN GENERAL.—Notwithstanding any other 
rule of the House of Representatives or any rule or 
precedent of the Senate, any revenue or reconcili-
ation bill or joint resolution which includes any 
amendment to the Internal Revenue Code of 1986 
reported by a committee of conference of the two 
Houses may include, as a separate section of such 
bill or joint resolution, the information contained in 
the statement of the chairmen, but only in the man-
ner set forth in paragraph (2). 
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(2) APPLICABILITY.—The separate section per-
mitted under subparagraph (A) shall read as follows: 
‘‘Section 1021 of the Congressional Budget and Im-
poundment Control Act of 1974 shall llllll 
apply 
to 
llllll,llllll,000,000’’, 
with the blank spaces being filled in with— 
(A) in any case in which the chairmen 
identify targeted tax benefits in the statement 
required under subsection (a), the word ‘‘only’’ 
in the first blank space and a list of all of the 
specific provisions of the bill or joint resolution 
in the second blank space; or 
(B) in any case in which the chairmen de-
clare that there are no targeted tax benefits in 
the statement required under subsection (a), 
the word ‘‘not’’ in the first blank space and the 
phrase ‘‘any provision of this Act’’ in the sec-
ond blank space. 
(c) IDENTIFICATION IN REVENUE ESTIMATE.—With 
respect to any revenue or reconciliation bill or joint resolu-
tion with respect to which the chairmen provide a state-
ment under subsection (a), the Joint Committee on Tax-
ation shall— 
(1) in the case of a statement described in sub-
section (b)(2)(A), list the targeted tax benefits in 
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any revenue estimate prepared by the Joint Com-
mittee on Taxation for any conference report which 
accompanies such bill or joint resolution, or 
(2) in the case of a statement described in sec-
tion 13(b)(2)(B), indicate in such revenue estimate 
that no provision in such bill or joint resolution has 
been identified as a targeted tax benefit. 
(d) PRESIDENT’S AUTHORITY.—If any revenue or 
reconciliation bill or joint resolution is signed into law— 
(1) with a separate section described in sub-
section (b)(2), then the President may use the au-
thority granted in this section only with respect to 
any targeted tax benefit in that law, if any, identi-
fied in such separate section; or 
(2) without a separate section described in sub-
section (b)(2), then the President may use the au-
thority granted in this section with respect to any 
targeted tax benefit in that law. 
SEC. 604. ADDITIONAL MATTERS. 
(a) DEFINITIONS.— 
(1) APPROPRIATION LAW.—The term ‘‘appro-
priation law’’ means an Act referred to in section 
105 of title I, United States Code, including any 
general or special appropriation Act, or any Act 
making supplemental, deficiency, or continuing ap-
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propriations, that has been signed into law pursuant 
to Article I, section 7, of the Constitution of the 
United States. 
(2) APPROVAL BILL.—The term ‘‘approval bill’’ 
means a bill or joint resolution which only approves 
proposed cancellations of dollar amounts of discre-
tionary budget authority, items of new direct spend-
ing, limited tariff benefits, or targeted tax benefits 
in a special message transmitted by the President 
under this part and— 
(A) the title of which is as follows: ‘‘A bill 
approving the proposed cancellations trans-
mitted by the President on llll’’, the 
blank space being filled in with the date of 
transmission of the relevant special message 
and the public law number to which the mes-
sage relates; 
(B) which does not have a preamble; and 
(C) which provides only the following after 
the enacting clause: That the Congress ap-
proves of proposed cancellations llll, the 
blank space being filled in with a list of the 
cancellations contained in the President’s spe-
cial message, as transmitted by the President in 
a special message on llll, the blank space 
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being filled in with the appropriate date, re-
garding llll, the blank space being filled 
in with the Public Law number to which the 
special message relates; 
(D) which only includes proposed cancella-
tions that are estimated by CBO to meet the 
definition of discretionary budgetary authority 
or items of direct spending, or limited tariff 
benefits, or that are identified as targeted tax 
benefits pursuant to section 1014; 
(E) if any proposed cancellation other than 
discretionary budget authority or targeted tax 
benefits is estimated by CBO to not meet the 
definition of item of direct spending, then the 
approval bill shall include at the end: The 
President shall cease the suspension of the im-
plementation of the following under section 
1013 of the Legislative Line Item Veto Act of 
2006: llll, the blank space being filled in 
with the list of such proposed cancellations; and 
(F) if no CBO estimate is available, then 
the entire list of legislative provisions proposed 
by the President is inserted in the second blank 
space in subparagraph (C). 
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(3) CALENDAR DAY.—The term ‘‘calendar day’’ 
means a standard 24-hour period beginning at mid-
night. 
(4) CANCEL
OR
CANCELLATION.—The terms 
‘‘cancel’’ or ‘‘cancellation’’ means to prevent— 
(A) budget authority from having legal 
force or effect; 
(B) in the case of entitlement authority, to 
prevent the specific legal obligation of the 
United States from having legal force or effect; 
(C) in the case of the food stamp program, 
to prevent the specific provision of law that pro-
vides such benefit from having legal force or ef-
fect; 
(D) a limited tariff benefit from having 
legal force or effect, and to make any necessary, 
conforming statutory change to ensure that 
such limited tariff benefit is not implemented; 
or 
(E) a targeted tax benefit from having 
legal force or effect, and to make any necessary, 
conforming statutory change to ensure that 
such targeted tax benefit is not implemented 
and that any budgetary resources are appro-
priately canceled. 
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