139 
‘‘(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 pro-
gram, to prevent the specific provision of law 
that provides such benefit from having legal 
force or effect; or 
‘‘(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. 
‘‘(5) CBO.—The term ‘CBO’ means the Direc-
tor of the Congressional Budget Office. 
‘‘(6) DIRECT
SPENDING.—The term ‘direct 
spending’ means— 
‘‘(A) budget authority provided by law 
(other than an appropriation law); 
‘‘(B) entitlement authority; and 
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140 
‘‘(C) the food stamp program. 
‘‘(7) DOLLAR
AMOUNT
OF
DISCRETIONARY 
BUDGET
AUTHORITY.—(A) Except as provided in 
subparagraph (B), the term ‘dollar amount of dis-
cretionary budget authority’ means the entire dollar 
amount of budget authority— 
‘‘(i) specified in an appropriation law, 
or the entire dollar amount of budget au-
thority or obligation limitation required to 
be allocated by a specific proviso in an ap-
propriation law for which a specific dollar 
figure was not included; 
‘‘(ii) represented separately in any 
table, chart, or explanatory text included 
in the statement of managers or the gov-
erning committee report accompanying 
such law; 
‘‘(iii) required to be allocated for a 
specific program, project, or activity in a 
law (other than an appropriation law) that 
mandates the expenditure of budget au-
thority from accounts, programs, projects, 
or activities for which budget authority is 
provided in an appropriation law; 
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141 
‘‘(iv) represented by the product of 
the estimated procurement cost and the 
total quantity of items specified in an ap-
propriation law or included in the state-
ment of managers or the governing com-
mittee report accompanying such law; or 
‘‘(v) represented by the product of the 
estimated procurement cost and the total 
quantity of items required to be provided 
in a law (other than an appropriation law) 
that mandates the expenditure of budget 
authority 
from 
accounts, 
programs, 
projects, or activities for which budget au-
thority is provided in an appropriation law. 
‘‘(B) The term ‘dollar amount of discre-
tionary budget authority’ does not include— 
‘‘(i) direct spending; 
‘‘(ii) budget authority in an appro-
priation law which funds direct spending 
provided for in other law; 
‘‘(iii) any existing budget authority 
canceled in an appropriation law; or 
‘‘(iv) any restriction, condition, or lim-
itation in an appropriation law or the ac-
companying statement of managers or 
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142 
committee reports on the expenditure of 
budget authority for an account, program, 
project, or activity, or on activities involv-
ing such expenditure. 
‘‘(8) ITEM OF DIRECT SPENDING.—The term 
‘item of direct spending’ means any provision of law 
that results in an increase in budget authority or 
outlays for direct spending relative to the most re-
cent levels calculated consistent with the method-
ology used to calculate a baseline under section 257 
of the Balanced Budget and Emergency Deficit Con-
trol Act of 1985 and included with a budget submis-
sion under section 1105(a) of title 31, United States 
Code, in the first year or the 5-year period for which 
the item is effective. However, such item does not in-
clude an extension or reauthorization of existing di-
rect spending, but instead only refers to provisions 
of law that increase such direct spending. 
‘‘(9) LIMITED
TARIFF
BENEFIT.—The term 
‘limited tariff benefit’ means any provision of law 
that modifies the Harmonized Tariff Schedule of the 
United States in a manner that benefits 10 or fewer 
entities (as defined in paragraph (12)(B)). 
‘‘(10) OMB.—The term ‘OMB’ means the Di-
rector of the Office of Management and Budget. 
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143 
‘‘(11) OMNIBUS
RECONCILIATION
OR
APPRO-
PRIATION MEASURE.—The term ‘omnibus reconcili-
ation or appropriation measure’ means— 
‘‘(A) in the case of a reconciliation bill, any 
such bill that is reported to its House by the 
Committee on the Budget; or 
‘‘(B) in the case of an appropriation meas-
ure, any such measure that provides appropria-
tions for programs, projects, or activities falling 
within 2 or more section 302(b) suballocations. 
‘‘(12) TARGETED TAX BENEFIT.—(A) The term 
‘targeted tax benefit’ means any revenue-losing pro-
vision that provides a Federal tax deduction, credit, 
exclusion, or preference to ten or fewer beneficiaries 
(determined with respect to either present law or 
any provision of which the provision is a part) under 
the Internal Revenue Code of 1986 in any year for 
which the provision is in effect; 
‘‘(B) for purposes of subparagraph (A)— 
‘‘(i) all businesses and associations 
that are members of the same controlled 
group of corporations (as defined in sec-
tion 1563(a) of the Internal Revenue Code 
of 1986) shall be treated as a single bene-
ficiary; 
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144 
‘‘(ii) all shareholders, partners, mem-
bers, or beneficiaries of a corporation, 
partnership, association, or trust or estate, 
respectively, shall be treated as a single 
beneficiary; 
‘‘(iii) all employees of an employer 
shall be treated as a single beneficiary; 
‘‘(iv) all qualified plans of an em-
ployer shall be treated as a single bene-
ficiary; 
‘‘(v) all beneficiaries of a qualified 
plan shall be treated as a single bene-
ficiary; 
‘‘(vi) all contributors to a charitable 
organization shall be treated as a single 
beneficiary; 
‘‘(vii) all holders of the same bond 
issue shall be treated as a single bene-
ficiary; and 
‘‘(viii) if a corporation, partnership, 
association, trust or estate is the bene-
ficiary of a provision, the shareholders of 
the corporation, the partners of the part-
nership, the members of the association, or 
the beneficiaries of the trust or estate shall 
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145 
not also be treated as beneficiaries of such 
provision; 
‘‘(C) for the purpose of this paragraph, the 
term ‘revenue-losing provision’ means any pro-
vision that is estimated to result in a reduction 
in Federal tax revenues (determined with re-
spect to either present law or any provision of 
which the provision is a part) for any one of the 
two following periods— 
‘‘(i) the first fiscal year for which the 
provision is effective; or 
‘‘(ii) the period of the 5 fiscal years 
beginning with the first fiscal year for 
which the provision is effective; 
‘‘(D) the term ‘targeted tax benefit’ does 
not include any provision which applies uni-
formly to an entire industry; and 
‘‘(E) the terms used in this paragraph 
shall have the same meaning as those terms 
have generally in the Internal Revenue Code of 
1986, unless otherwise expressly provided. 
‘‘EXPIRATION 
‘‘SEC. 1018. This title shall have no force or effect 
on or after October 1, 2012’’. 
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146 
SEC. 312. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) EXERCISE OF RULEMAKING POWERS.—Section 
904 of the Congressional Budget Act of 1974 (2 U.S.C. 
621 note) is amended— 
(1) in subsection (a), by striking ‘‘1017’’ and 
inserting ‘‘1012’’; and 
(2) in subsection (d), by striking ‘‘section 
1017’’ and inserting ‘‘section 1012’’. 
(b) ANALYSIS
BY CONGRESSIONAL BUDGET OF-
FICE.—Section 402 of the Congressional Budget Act of 
1974 is amended by inserting ‘‘(a)’’ after ‘‘402.’’ and by 
adding at the end the following new subsection: 
‘‘(b) Upon the receipt of a special message under sec-
tion 1011 proposing to cancel any item of direct spending, 
the Director of the Congressional Budget Office shall pre-
pare an estimate of the savings in budget authority or out-
lays resulting from such proposed cancellation relative to 
the most recent levels calculated consistent with the meth-
odology used to calculate a baseline under section 257 of 
the Balanced Budget and Emergency Deficit Control Act 
of 1985 and included with a budget submission under sec-
tion 1105(a) of title 31, United States Code, and transmit 
such estimate to the chairmen of the Committees on the 
Budget of the House of Representatives and Senate.’’. 
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147 
(c) CLERICAL AMENDMENTS.—(1) Section 1(a) of 
the Congressional Budget and Impoundment Control Act 
of 1974 is amended by striking the last sentence. 
(2) Section 1022(c) of such Act (as redesignated) is 
amended is amended by striking ‘‘rescinded or that is to 
be reserved’’ and insert ‘‘canceled’’ and by striking 
‘‘1012’’ and inserting ‘‘1011’’. 
(3) TABLE OF CONTENTS.—The table of contents set 
forth in section 1(b) of the Congressional Budget and Im-
poundment Control Act of 1974 is amended by deleting 
the contents for parts B and C of title X and inserting 
the following: 
‘‘PART B—LEGISLATIVE LINE-ITEM VETO 
‘‘Sec. 1011. Line-item veto authority. 
‘‘Sec. 1012. Procedures for expedited consideration. 
‘‘Sec. 1013. Presidential deferral authority. 
‘‘Sec. 1014. Identification of targeted tax benefits. 
‘‘Sec. 1015. Treatment of cancellations. 
‘‘Sec. 1016. Reports by comptroller general. 
‘‘Sec. 1017. Definitions. 
‘‘Sec. 1018. Expiration. 
‘‘Sec. 1019. Suits by Comptroller General. 
‘‘Sec. 1020. Proposed deferrals of budget authority.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this Act shall take effect on the date of its enactment and 
apply only to any dollar amount of discretionary budget 
authority, item of direct spending, or targeted tax benefit 
provided in an Act enacted on or after the date of enact-
ment of this Act. 
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148 
SEC. 313. SENSE OF CONGRESS ON ABUSE OF PROPOSED 
CANCELLATIONS. 
It is the sense of Congress no President or any execu-
tive branch official should condition the inclusion or exclu-
sion or threaten to condition the inclusion or exclusion of 
any proposed cancellation in any special message under 
this section upon any vote cast or to be cast by any Mem-
ber of either House of Congress. 
SEC. 314. AMENDING HOUSE RULES TO REQUIRE THAT RE-
SCISSION BILLS ALWAYS BE CONSIDERED 
UNDER OPEN RULES. 
(a) RULES AMENDMENT.—Clause 6(c) of rule XIII 
of the Rules of the House of Representatives is amended 
by striking the period and inserting ‘‘; or’’ at the end of 
subparagraph (2) and by adding at the end the following 
new subparagraph: 
‘‘(3) a rule or order that would limit any amendment 
that would otherwise be in order to a rescission bill.’’. 
(b) 
AUTOMATIC
ALLOCATIONS
REDUCTIONS.— 
Clause 4(b) of rule X of the Rules of the House of Rep-
resentatives is amended by inserting ‘‘(1)’’ after ‘‘(b)’’, by 
redesignating subparagraphs (1) through (6) as subdivi-
sions (A) through (F), respectively, and by adding at the 
end the following: 
‘‘(2)(A) Whenever a rescission bill passes the House, 
the Committee on the Budget shall immediately reduce the 
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149 
applicable allocations under section 302(a) of the Congres-
sional Budget Act of 1974 by the total amount of reduc-
tions in budget authority and in outlays resulting from 
such rescission bill. 
‘‘(B) As used in this subparagraph, the term ‘rescis-
sion bill’ means a bill or joint resolution which only re-
scinds, in whole or in part, budget authority and which 
includes only titles corresponding to the most recently en-
acted appropriation bills that continue to include unobli-
gated balances.’’. 
(c) PRIVILEGED DISCHARGE RESOLUTIONS.—Rule 
XIII of the Rules of the House of Representatives is 
amended by adding at the end the following new clause: 
‘‘8. (a) By February 1, May 1, July 30, and Novem-
ber 11 of each session, the majority leader shall introduce 
a rescission bill. If such bill is not introduced by that date, 
then whenever a rescission bill is introduced during a ses-
sion on or after that date, a motion to discharge the com-
mittee from its consideration shall be privileged after the 
10-legislative day period beginning on that date for the 
first 5 such bills. 
‘‘(b) It shall not be in order to offer any amendment 
to a rescission bill except an amendment that increases 
the amount of budget authority that such bill rescinds. 
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150 
‘‘(c) As used in this clause and in clause 6, the term 
‘rescission bill’ has the meaning given such term in clause 
4(b)(2)(B) of rule X.’’. 
(d) POINT OF ORDER.—Rule XXI of the Rules of the 
House of Representatives (as amended by subsection (d)) 
is further amended by adding at the end the following new 
clause: 
‘‘9. (a) It shall not be in order to consider any rescis-
sion bill, or conference report thereon or amendment 
thereto, unless— 
‘‘(1) in the case of such bill or conference re-
port thereon, it is made available to Members and 
the general public on the Internet for at least 48 
hours before its consideration; or 
‘‘(2)(A) in the case of an amendment to such 
rescission bill made in order by a rule, it is made 
available to Members and the general public on the 
Internet within one hour after the rule is filed; or 
‘‘(B) in the case of an amendment under an 
open rule, it is made available to Members and the 
general public on the Internet immediately after 
being offered; in a format that is searchable and 
sortable. 
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151 
‘‘(b) No amendment to an amendment to a rescission 
bill shall be in order unless germane to the amendment 
to which it is offered.’’. 
Subtitle C—Commission to 
Eliminate Waste, Fraud, and Abuse 
SEC. 331. ESTABLISHMENT OF COMMISSION. 
(a) ESTABLISHMENT.—There is established the Com-
mission to Eliminate Waste, Fraud, and Abuse (hereafter 
in this subtitle referred to as the ‘‘Commission’’). 
(b) MEMBERSHIP.— 
(1) IN GENERAL.—The Commission shall con-
sist of 12 members, all of whom shall be appointed 
by the President not later than 90 days after the 
date of enactment of this Act. 
(2) CHAIRPERSON AND VICE CHAIRPERSON.— 
The President shall designate a chairperson and vice 
chairperson from among the members of the Com-
mission. 
(c) PERIOD OF APPOINTMENT; VACANCIES.—Mem-
bers shall be appointed for the life of the Commission. Any 
vacancy in the Commission shall not affect its powers, but 
shall be filled in the same manner as the original appoint-
ment. 
(d) MEETINGS.— 
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152 
(1) INITIAL MEETING.—Not later than 30 days 
after the date on which all members of the Commis-
sion have been appointed, the Commission shall hold 
its first meeting. 
(2) SUBSEQUENT MEETINGS.—The Commission 
shall meet at the call of the chairperson. 
(e) QUORUM.—A majority of the members of the 
Commission shall constitute a quorum, but a lesser num-
ber of members may hold hearings. 
SEC. 332. DUTIES OF THE COMMISSION. 
(a) DEFINITIONS.—In this section, the following defi-
nitions shall apply: 
(1) AGENCY.—The term ‘‘agency’’ has the 
meaning given the term ‘‘Executive agency’’ under 
section 105 of title 5, United States Code. 
(2) PROGRAM.—The term ‘‘program’’ means 
any activity or function of an agency. 
(b) IN GENERAL.—The Commission shall— 
(1) evaluate all agencies and programs within 
those agencies, using the criteria under subsection 
(c); and 
(2) submit to Congress— 
(A) a plan with recommendations of the 
agencies and programs that should be realigned 
or eliminated; and 
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153 
(B) proposed legislation to implement the 
plan described under subparagraph (A). 
(c) CRITERIA.— 
(1) DUPLICATIVE.—If two or more agencies or 
programs are performing the same essential function 
and the function can be consolidated or streamlined 
into a single agency or program, the Commission 
shall recommend that the agency or program be re-
aligned. 
(2) WASTEFUL
OR
INEFFICIENT.—The Com-
mission shall recommend the realignment or elimi-
nation of any agency or program that has wasted 
Federal funds by— 
(A) egregious spending; 
(B) mismanagement of resources and per-
sonnel; or 
(C) use of such funds for personal benefit 
or the benefit of a special interest group. 
(3) OUTDATED, IRRELEVANT, OR FAILED.—The 
Commission shall recommend the elimination of any 
agency or program that— 
(A) has completed its intended purpose; 
(B) has become irrelevant; or 
(C) has failed to meet its objectives. 
(d) SYSTEMATIC ASSESSMENT OF PROGRAMS.— 
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154 
(1) IN GENERAL.—Not later than 1 year after 
the date of enactment of this Act, the President 
shall— 
(A) establish a systematic method for as-
sessing the effectiveness and accountability of 
agency programs; and 
(B) submit, to the Commission, assess-
ments of not less than 1⁄2 of all programs cov-
ered under subsection (b)(1) that use the meth-
od established under subparagraph (A). 
(2) METHOD OBJECTIVES.—The method estab-
lished under paragraph (1) shall— 
(A) recognize different types of Federal 
programs; 
(B) assess programs based primarily on 
the achievement of performance goals (as de-
fined under section 1115(f)(4) of title 31, 
United States Code); and 
(C) assess programs based in part on the 
adequacy of the program’s performance meas-
ures, financial management, and other factors 
determined by the President. 
(3) DEVELOPMENT.—The method established 
under paragraph (1) shall not be implemented until 
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155 
it has been reviewed and accepted by the Commis-
sion. 
(4) CONSIDERATION
OF
ASSESSMENTS.—The 
Commission shall consider assessments submitted 
under this subsection when evaluating programs 
under subsection (b)(1). 
(e) COMMON PERFORMANCE MEASURES.—Not later 
than 1 year after the date of enactment of this Act, the 
President shall identify common performance measures 
for programs covered in subsection (b)(1) that have simi-
lar functions and, to the extent feasible, provide the Com-
mission with data on such performance measures. 
(f) REPORT.— 
(1) IN GENERAL.—Not later than 2 years after 
the date of enactment of this Act, the Commission 
shall submit to the President and Congress a report 
that includes— 
(A) the plan described under subsection 
(b)(2)(A), with supporting documentation for 
all recommendations; and 
(B) the proposed legislation described 
under subsection (b)(2)(B). 
(2) RELOCATION OF FEDERAL EMPLOYEES.— 
The proposed legislation under paragraph (1)(B) 
shall provide that if the position of an employee of 
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156 
an agency is eliminated as a result of the implemen-
tation of the plan under paragraph (1)(A), the af-
fected agency shall make reasonable efforts to relo-
cate such employee to another position within the 
agency or within another Federal agency. 
SEC. 333. POWERS OF THE COMMISSION. 
(a) HEARINGS.—The Commission or, at its direction, 
any subcommittee or member of the Commission, may, for 
the purpose of carrying out this subtitle— 
(1) hold such hearings, sit and act at such 
times and places, take such testimony, receive such 
evidence, and administer such oaths as any member 
of the Commission considers advisable; 
(2) require, by subpoena or otherwise, the at-
tendance and testimony of such witnesses as any 
member of the Commission considers advisable; and 
(3) require, by subpoena or otherwise, the pro-
duction of such books, records, correspondence, 
memoranda, papers, documents, tapes, and other 
evidentiary materials relating to any matter under 
investigation by the Commission. 
(b) SUBPOENAS.— 
(1) ISSUANCE.—Subpoenas issued under sub-
section (a) shall bear the signature of the chair-
person of the Commission and shall be served by any 
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157 
person or class of persons designated by the chair-
person for that purpose. 
(2) ENFORCEMENT.—In the case of contumacy 
or failure to obey a subpoena issued under sub-
section (a), the United States district court for the 
judicial district in which the subpoenaed person re-
sides, is served, or may be found, may issue an order 
requiring such person to appear at any designated 
place to testify or to produce documentary or other 
evidence. Any failure to obey the order of the court 
may be punished by the court as a contempt of that 
court. 
(c) INFORMATION FROM FEDERAL AGENCIES.—The 
Commission may secure directly from any Federal depart-
ment or agency such information as the Commission con-
siders necessary to carry out this Act. Upon request of 
the chairperson of the Commission, the head of such de-
partment or agency shall furnish such information to the 
Commission. 
(d) POSTAL SERVICES.—The Commission may use 
the United States mails in the same manner and under 
the same conditions as other departments and agencies of 
the Government. 
(e) GIFTS.—The Commission may accept, use, and 
dispose of gifts or donations of services or property. 
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158 
SEC. 334. COMMISSION PERSONNEL MATTERS. 
(a) COMPENSATION OF MEMBERS.— 
(1) NON-FEDERAL MEMBERS.—Except as pro-
vided under subsection (b), each member of the 
Commission who is not an officer or employee of the 
Government shall not be compensated. 
(2) FEDERAL OFFICERS OR EMPLOYEES.—All 
members of the Commission who are officers or em-
ployees of the United States shall serve without com-
pensation in addition to that received for their serv-
ices as officers or employees of the United States. 
(b) TRAVEL EXPENSES.—The members of the Com-
mission shall be allowed travel expenses, including per 
diem in lieu of subsistence, at rates authorized for employ-
ees of agencies under subchapter I of chapter 57 of title 
5, United States Code, while away from their homes or 
regular places of business in the performance of services 
for the Commission. 
(c) STAFF.— 
(1) IN GENERAL.—The chairperson of the Com-
mission may, without regard to the civil service laws 
and regulations, appoint and terminate an executive 
director and such other additional personnel as may 
be necessary to enable the Commission to perform 
its duties. The employment of an executive director 
shall be subject to confirmation by the Commission. 
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159 
(2) COMPENSATION.—Upon the approval of the 
chairperson, the executive director may fix the com-
pensation of the executive director and other per-
sonnel without regard to chapter 51 and subchapter 
III of chapter 53 of title 5, United States Code, re-
lating to classification of positions and General 
Schedule pay rates, except that the rate of pay for 
the executive director and other personnel may not 
exceed the maximum rate payable for a position at 
GS–15 of the General Schedule under section 5332 
of such title. 
(3) PERSONNEL AS FEDERAL EMPLOYEES.— 
(A) IN GENERAL.—The executive director 
and any personnel of the Commission who are 
employees shall be employees under section 
2105 of title 5, United States Code, for pur-
poses of chapters 63, 81, 83, 84, 85, 87, 89, 
and 90 of that title. 
(B) MEMBERS OF COMMISSION.—Subpara-
graph (A) shall not be construed to apply to 
members of the Commission. 
(d) DETAIL
OF GOVERNMENT EMPLOYEES.—Any 
Government employee may be detailed to the Commission 
without reimbursement, and such detail shall be without 
interruption or loss of civil service status or privilege. 
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160 
(e) PROCUREMENT OF TEMPORARY AND INTERMIT-
TENT SERVICES.—The chairperson of the Commission 
may procure temporary and intermittent services under 
section 3109(b) of title 5, United States Code, at rates 
for individuals which do not exceed the daily equivalent 
of the annual rate of basic pay prescribed for level V of 
the Executive Schedule under section 5316 of such title. 
SEC. 335. TERMINATION OF THE COMMISSION. 
The Commission shall terminate 90 days after the 
date on which the Commission submits the report under 
section 232(f). 
SEC. 336. CONGRESSIONAL CONSIDERATION OF REFORM 
PROPOSALS. 
(a) DEFINITIONS.—In this section: 
(1) IMPLEMENTATION BILL.—The term ‘‘imple-
mentation bill’’ means only a bill which is introduced 
as provided under subsection (b), and contains the 
proposed legislation included in the report submitted 
to Congress under section 232, without modification. 
(2) CALENDAR DAY.—The term ‘‘calendar day’’ 
means a calendar day other than one on which ei-
ther House is not in session because of an adjourn-
ment of more than 3 days to a date certain. 
(b) INTRODUCTION; REFERRAL; AND REPORT
OR 
DISCHARGE.— 
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161 
(1) INTRODUCTION.—On the first calendar day 
on which both Houses are in session, on or imme-
diately following the date on which the report is sub-
mitted to Congress under section 232, a single im-
plementation bill shall be introduced (by request)— 
(A) in the Senate by the majority leader of 
the Senate, for himself and the minority leader 
of the Senate, or by Members of the Senate 
designated by the majority leader and minority 
leader of the Senate; and 
(B) in the House of Representatives by the 
Speaker of the House of Representatives, for 
himself and the minority leader of the House of 
Representatives, or by Members of the House of 
Representatives designated by the Speaker and 
minority leader of the House of Representa-
tives. 
(2) REFERRAL.—The implementation bills in-
troduced under paragraph (1) shall be referred to 
any appropriate committee of jurisdiction in the 
Senate and any appropriate committee of jurisdic-
tion in the House of Representatives. A committee 
to which an implementation bill is referred under 
this paragraph may report such bill to the respective 
House without amendment. 
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162 
(3) REPORT OR DISCHARGE.—If a committee to 
which an implementation bill is referred has not re-
ported such bill by the end of the 15th calendar day 
after the date of the introduction of such bill, such 
committee shall be immediately discharged from fur-
ther consideration of such bill, and upon being re-
ported or discharged from the committee, such bill 
shall be placed on the appropriate calendar. 
(c) FLOOR CONSIDERATION.— 
(1) IN
GENERAL.—When the committee to 
which an implementation bill is referred has re-
ported, or has been discharged under subsection 
(b)(3), it is at any time thereafter in order (even 
though a previous motion to the same effect has 
been disagreed to) for any Member of the respective 
House to move to proceed to the consideration of the 
implementation bill, and all points of order against 
the implementation bill (and against consideration of 
the implementation bill) are waived. The motion is 
highly privileged in the House of Representatives 
and is privileged in the Senate and is not debatable. 
The motion is not subject to amendment, or to a 
motion to postpone, or to a motion to proceed to the 
consideration of other business. A motion to recon-
sider the vote by which the motion is agreed to or 
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163 
disagreed to shall not be in order. If a motion to 
proceed to the consideration of the implementation 
bill is agreed to, the implementation bill shall remain 
the unfinished business of the respective House until 
disposed of. 
(2) AMENDMENTS.—An implementation bill 
may not be amended in the Senate or the House of 
Representatives. 
(3) DEBATE.—Debate on the implementation 
bill, and on all debatable motions and appeals in 
connection therewith, shall be limited to not more 
than 10 hours, which shall be divided equally be-
tween those favoring and those opposing the resolu-
tion. A motion further to limit debate is in order and 
not debatable. An amendment to, or a motion to 
postpone, or a motion to proceed to the consider-
ation of other business, or a motion to recommit the 
implementation bill is not in order. A motion to re-
consider the vote by which the implementation bill is 
agreed to or disagreed to is not in order. 
(4) VOTE
ON
FINAL
PASSAGE.—Immediately 
following the conclusion of the debate on an imple-
mentation bill, and a single quorum call at the con-
clusion of the debate if requested in accordance with 
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164 
the rules of the appropriate House, the vote on final 
passage of the implementation bill shall occur. 
(5) RULINGS OF THE CHAIR ON PROCEDURE.— 
Appeals from the decisions of the Chair relating to 
the application of the rules of the Senate or the 
House of Representatives, as the case may be, to the 
procedure relating to an implementation bill shall be 
decided without debate. 
(d) COORDINATION
WITH
ACTION
BY
OTHER 
HOUSE.—If, before the passage by 1 House of an imple-
mentation bill of that House, that House receives from 
the other House an implementation bill, then the following 
procedures shall apply: 
(1) NONREFERRAL.—The implementation bill 
of the other House shall not be referred to a com-
mittee. 
(2) VOTE ON BILL OF OTHER HOUSE.—With 
respect to an implementation bill of the House re-
ceiving the implementation bill— 
(A) the procedure in that House shall be 
the same as if no implementation bill had been 
received from the other House; but 
(B) the vote on final passage shall be on 
the implementation bill of the other House. 
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165 
(e) RULES OF SENATE AND HOUSE OF REPRESENTA-
TIVES.—This section is enacted by Congress— 
(1) as an exercise of the rulemaking power of 
the Senate and House of Representatives, respec-
tively, and as such it is deemed a part of the rules 
of each House, respectively, but applicable only with 
respect to the procedure to be followed in that 
House in the case of an implementation bill de-
scribed in subsection (a), and it supersedes other 
rules only to the extent that it is inconsistent with 
such rules; and 
(2) with full recognition of the constitutional 
right of either House to change the rules (so far as 
relating to the procedure of 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. 337. AUTHORIZATION OF APPROPRIATIONS. 
There are authorized to be appropriated such sums 
as may be necessary for carrying out this subtitle for each 
of the fiscal years 2008 through 2010. 
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166 
TITLE IV—TRUTH IN 
ACCOUNTING 
Subtitle 
A—Accrual 
Funding 
of 
Pensions and Retirement Pay 
for Federal Employees and Uni-
formed Services Personnel 
SEC. 401. CIVIL SERVICE RETIREMENT SYSTEM. 
(a) CIVIL SERVICE RETIREMENT AND DISABILITY 
FUND.—Chapter 83 of title 5, United States Code, is 
amended— 
(1) in section 8331— 
(A) in paragraph (17)— 
(i) by striking ‘‘normal cost’’ and in-
serting ‘‘normal cost percentage’’; and 
(ii) by inserting ‘‘and standards 
(using dynamic assumptions)’’ after ‘‘prac-
tice’’; 
(B) by amending paragraph (18) to read 
as follows: 
‘‘(18) ‘Fund balance’ means the current net as-
sets of the Fund available for payment of benefits, 
as determined by the Office in accordance with ap-
propriate accounting standards, but does not include 
any amount attributable to— 
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167 
‘‘(A) the Federal Employees’ Retirement 
System; or 
‘‘(B) contributions made under the Federal 
Employees’ Retirement Contribution Temporary 
Adjustment Act of 1983 by or on behalf of any 
individual who became subject to the Federal 
Employees’ Retirement System;’’ 
(C) by amending paragraph (19) to read 
as follows: 
‘‘(19) ‘accrued liability’ means the estimated ex-
cess of the present value of all benefits payable from 
the Fund to employees and Members, and former 
employees and Members, subject to this subchapter, 
and their survivors, over the present value of deduc-
tions to be withheld from the future basic pay of em-
ployees and Members currently subject to this sub-
chapter and of future agency contributions to be 
made in their behalf;’’ 
(D) in paragraph (27) by striking ‘‘and’’ 
at the end; 
(E) in paragraph (28) by striking the pe-
riod at the end and inserting a semicolon; and 
(F) by adding at the end the following 
paragraphs: 
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168 
‘‘(29) ‘dynamic assumptions’ means economic 
assumptions that are used in determining actuarial 
costs and liabilities of a retirement system and in 
anticipating the effects of long-term future— 
‘‘(A) investment yields; 
‘‘(B) increases in rates of basic pay; and 
‘‘(C) rates of price inflation; and 
‘‘(30) ‘unfunded liability’ means the estimated 
excess of— 
‘‘(A) the actuarial present value of all fu-
ture benefits payable from the Fund under this 
subchapter based on the service of current or 
former employees or Members, over 
‘‘(B) the sum of— 
‘‘(i) the actuarial present value of de-
ductions to be withheld from the future 
basic pay of employees and Members cur-
rently subject to this chapter pursuant to 
section 8334; 
‘‘(ii) the actuarial present value of the 
future contributions to be made pursuant 
to section 8334 with respect to employees 
and Members currently subject to this sub-
chapter; 
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169 
‘‘(iii) the Fund balance, as defined in 
paragraph (18), as of the date the un-
funded liability is determined; and 
‘‘(iv) any other appropriate amount, 
as determined by the Office of Personnel 
Management in accordance with generally 
accepted actuarial practices and prin-
ciples.’’; 
(2) in section 8334— 
(A) in subsection (a)(1)— 
(i) by striking the last two sentences; 
(ii) by redesignating that subsection, 
as so amended, as (a)(1)(A); and 
(iii) by adding at the end the fol-
lowing new subparagraphs: 
‘‘(B) Except as provided in subparagraph (E), each 
employing agency having any employees or Members sub-
ject to subparagraph (A) shall contribute from amounts 
available for salaries and expenses an amount equal to the 
sum of— 
‘‘(i) the product of— 
‘‘(I) the normal cost percentage, as deter-
mined for employees (other than employees cov-
ered by clause (ii)), multiplied by 
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170 
‘‘(II) the aggregate amount of basic pay 
payable by the agency, for the period involved, 
to employees (under subclause (I)) who are 
within such agency; and 
‘‘(ii) the product of— 
‘‘(I) the normal cost percentage, as deter-
mined for Members, Congressional employees, 
law enforcement officers, firefighters, air traffic 
controllers, bankruptcy judges, Court of Fed-
eral Claims judges, United States magistrates, 
judges of the United States Court of Appeals 
for the Armed Forces, members of the Capitol 
Police, nuclear materials couriers, and members 
of the Supreme Court Police, multiplied by 
‘‘(II) the aggregate amount of basic pay 
payable by the agency for the period involved, 
to employees and Members (under subclause 
(I)) who are within such agency. 
‘‘(C) In determining the normal cost percentage to 
be applied under subparagraph (B), amounts provided for 
under subparagraph (A) shall be taken into account. 
‘‘(D) Contributions under this paragraph shall be 
paid— 
‘‘(i) in the case of law enforcement officers, 
firefighters, 
air 
traffic 
controllers, 
bankruptcy 
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171 
judges, Court of Federal Claims judges, United 
States magistrates, judges of the United States 
Court of Appeals for the Armed Forces, members of 
the Supreme Court Police, nuclear materials couriers 
and other employees, from the appropriations or 
fund used to pay such law enforcement officers, fire-
fighters, air traffic controllers, bankruptcy judges, 
Court of Federal Claims judges, United States mag-
istrates, judges of the United States Court of Ap-
peals for the Armed Forces, members of the Su-
preme Court Police, nuclear materials couriers and 
other employees, respectively; 
‘‘(ii) in the case of elected officials, from an ap-
propriation or fund available for payment of other 
salaries of the same office or establishment; and 
‘‘(iii) in the case of employees of the legislative 
branch paid by the Clerk of the House of Represent-
atives, from the contingent fund of the House. 
‘‘(E) In the case of the United States Postal Service, 
the Metropolitan Washington Airports Authority, and the 
government of the District of Columbia, an amount equal 
to that withheld under subparagraph (A) shall be contrib-
uted from the appropriation or fund used to pay the em-
ployee.’’; and 
(B) in subsection (k)— 
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172 
(i) in paragraph (1)— 
(I) in subparagraph (A) by strik-
ing ‘‘the first sentence of subsection 
(a)(1) of this section’’ and inserting 
‘‘subsection (a)(1)(A)’’; and 
(II) by amending subparagraph 
(B) to read as follows: 
‘‘(B) the amount of the contribution under sub-
section (a)(1)(B) shall be the amount which would 
have been contributed under such subsection if this 
subsection had not been enacted.’’; and 
(ii) in paragraph (2)(C)(iii) by strik-
ing ‘‘the first sentence of subsection 
(a)(1)’’ 
and 
inserting 
‘‘subsection 
(a)(1)(A)’’; and 
(3) in section 8348— 
(A) by repealing subsection (f); 
(B) by amending subsection (g) to read as 
follows: 
‘‘(g)(1)(A) Not later than June 30, 2008, the Office 
of the Actuary shall determine the unfunded liability of 
the Fund, as of September 30, 2007, attributable to bene-
fits payable under this chapter and make recommenda-
tions regarding its liquidation. After considering such rec-
ommendations, the Office shall establish an amortization 
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173 
schedule, including a series of annual installments com-
mencing October 1, 2008, which provides for the liquida-
tion of such liability by October 1, 2046. 
‘‘(B) The Office shall redetermine the unfunded li-
ability of the Fund as of the close of the fiscal year, for 
each fiscal year beginning after September 30, 2007, 
through the fiscal year ending September 30, 2041, and 
shall establish a new amortization schedule, including a 
series of annual installments commencing on October 1 
of the second subsequent fiscal year, which provides for 
the liquidation of such liability by October 1, 2046. 
‘‘(C) The Office shall redetermine the unfunded li-
ability of the Fund as of the close of the fiscal year for 
each fiscal year beginning after September 30, 2041, and 
shall establish a new amortization schedule, including a 
series of annual installments commencing on October 1 
of the second subsequent fiscal year, which provides for 
the liquidation of such liability over five years. 
‘‘(D) Amortization schedules established under this 
paragraph shall be set in accordance with generally accept-
ed actuarial practices and principles, with interest com-
puted at the rate used in the most recent valuation of the 
Civil Service Retirement System. 
‘‘(2) At the beginning of each fiscal year, beginning 
on October 1, 2008, the Office shall notify the Secretary 
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174 
of the Treasury of the amount of the first installment 
under the most recent amortization schedule established 
under paragraph (1). The Secretary shall credit that 
amount to the Fund, as a Government contribution, out 
of any money in the Treasury of the United States not 
otherwise appropriated. 
‘‘(3) For the purpose of carrying out paragraph (1) 
with respect to any fiscal year, the Office may— 
‘‘(A) require the Board of Actuaries of the Civil 
Service Retirement System to make actuarial deter-
minations and valuations, make recommendations, 
and maintain records in accordance with section 
8347(f); and 
‘‘(B) use the latest actuarial determinations 
and valuations made by such Board of Actuaries.’’; 
(C) in subsections (h), (i), and (m) by 
striking ‘‘unfunded’’ and inserting ‘‘accrued’’ 
each place it appears; and 
(D) by adding at the end the following new 
subsection: 
‘‘(n) Under regulations prescribed by the Office, the 
head of an agency may request reconsideration of any 
amount determined to be payable with respect to such 
agency under section 8334(a)(1)(B)–(D). Any such re-
quest shall be referred to the Board of Actuaries of the 
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175 
Civil Service Retirement System. The Board of Actuaries 
shall review the computations of the Office and may make 
any adjustment with respect to any such amount which 
the Board determines appropriate. A determination by the 
Board of Actuaries under this subsection shall be final.’’. 
(b) GOVERNMENT CONTRIBUTIONS.—Section 8423 
of title 5, United States Code, is amended— 
(1) in subsection (a)(2) by striking ‘‘section 
8422’’ and inserting ‘‘section 8422(a)’’; and 
(2) in subsection (b)(2) by striking ‘‘equal an-
nual installments’’ and inserting ‘‘annual install-
ments set in accordance with generally accepted ac-
tuarial practices and principles’’. 
SEC. 402. CENTRAL INTELLIGENCE AGENCY RETIREMENT 
AND DISABILITY SYSTEM. 
(a) Section 101 of the Central Intelligence Agency 
Retirement Act (50 U.S.C. 2001) is amended— 
(1) in paragraph (5), to read as follows: 
‘‘(5) UNFUNDED
LIABILITY.—The term ‘un-
funded liability’ means the estimated excess of— 
‘‘(A) the actuarial present value of all fu-
ture benefits payable from the Fund under title 
II of this Act based on the service of current 
or former participants, over 
‘‘(B) the sum of— 
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176 
‘‘(i) the actuarial present value of de-
ductions to be withheld from the future 
basic pay of participants currently subject 
to title II of this Act pursuant to section 
211; 
‘‘(ii) the actuarial present value of the 
future contributions to be made pursuant 
to section 211 with respect to participants 
currently subject to title II of this Act; 
‘‘(iii) the Fund balance, as defined in 
paragraph (4), as of the date the unfunded 
liability is determined; and 
‘‘(iv) any other appropriate amount, 
as determined by the Director in accord-
ance with generally accepted actuarial 
practices and principles.’’; 
(2) in paragraph (6)— 
(A) by striking ‘‘ ‘normal cost’ ’’ and in-
serting ‘‘ ‘normal cost percentage’ ’’; and 
(B) by inserting ‘‘and standards (using dy-
namic assumptions)’’ after ‘‘practice’’; and 
(3) by adding at the end the following para-
graph: 
‘‘(10) DYNAMIC ASSUMPTIONS.—The term ‘dy-
namic assumptions’ means economic assumptions 
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177 
that are used in determining actuarial costs and li-
abilities of a retirement system and in anticipating 
the effects of long-term future— 
‘‘(A) investment yields; 
‘‘(B) increases in rates of basic pay; and 
‘‘(C) rates of price inflation.’’. 
(b) Section 202 of such Act (50 U.S.C. 2012) is 
amended by adding at the end the following: ‘‘The Fund 
is appropriated for the payment of benefits as provided 
by this title.’’. 
(c) Section 211(a)(2) of such Act (50 U.S.C. 
2021(a)(2)) is amended to read as follows: 
‘‘(2) AGENCY
CONTRIBUTIONS.—The Agency 
shall contribute to the Fund the amount computed 
in a manner similar to that used under section 
8334(a) of title 5, United States Code, pursuant to 
determinations of the normal cost percentage of the 
Central Intelligence Agency Retirement and Dis-
ability System by the Director. Contributions under 
this paragraph shall be paid from amounts available 
for salaries and expenses.’’. 
(d) Section 261 of such Act (50 U.S.C. 2091) is 
amended— 
(1) by striking subsections (c), (d), and (e); and 
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178 
(2) by inserting after subsection (b) the fol-
lowing new subsections: 
‘‘(c)(1) Not later than June 30, 2008, the Director 
shall cause to be made actuarial valuations of the Fund 
that determine the unfunded liability of the Fund, as of 
September 30, 2007, attributable to benefits payable 
under this title and make recommendations regarding its 
liquidation. After considering such recommendations, the 
Director shall establish an amortization schedule, includ-
ing a series of annual installments commencing October 
1, 2008, which provides for the liquidation of such liability 
by October 1, 2046. 
‘‘(2) The Director shall redetermine the unfunded li-
ability of the Fund as of the close of the fiscal year, for 
each fiscal year beginning after September 30, 2007, 
through the fiscal year ending September 30, 2041, and 
shall establish a new amortization schedule, including a 
series of annual installments commencing on October 1 
of the second subsequent fiscal year, which provides for 
the liquidation of such liability by October 1, 2046. 
‘‘(3) The Director shall redetermine the unfunded li-
ability of the Fund as of the close of the fiscal year for 
each fiscal year beginning after September 30, 2041, and 
shall establish a new amortization schedule, including a 
series of annual installments commencing on October 1 
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