‘‘(1) IN GENERAL.—At any time after the Di-
rector of OMB issues a sequestration report under 
subsection (a) and section 319(c) the provisions of 
section 258A of the Balanced Budget and Emer-
gency Deficit Control Act of 1985 shall apply to the 
consideration in the House of Representatives and 
the Senate of a bill or joint resolution to override the 
order if the bill or joint resolution, as enacted, would 
achieve the same level of reductions in new budget 
authority and outlays for the applicable fiscal year 
as set forth in the order. 
‘‘(2) POINT OF ORDER.—In the House of Rep-
resentatives or Senate, it shall not be in order to 
consider a bill or joint resolution which waives, 
modifies, or in any way alters a sequestration order 
unless the chair of the House or Senate Committee 
on the Budget certifies that the measure achieves 
the same levels of reductions in new budget author-
ity and outlays for the applicable year as set forth 
in the order.’’. 
TITLE II—CAP 
SEC. 201. LIMIT ON TOTAL SPENDING. 
(a) DEFINITIONS.—Section 250(c) of the Balanced 
Budget and Emergency Deficit Control Act of 1985 is 
amended by striking paragraph (4), redesignating the suc-
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ceeding paragraphs accordingly, and adding the following 
new paragraph: 
‘‘(19) The term ‘GDP’, for any fiscal year, 
means the gross domestic product during such fiscal 
year consistent with Department of Commerce defi-
nitions.’’. 
(b) CAPS.—The Congressional Budget Act of 1974 
is amended by inserting after section 318 the following 
new section: 
‘‘SEC. 319. ENFORCING GDP OUTLAY LIMITS. 
‘‘(a) ENFORCING GDP OUTLAY LIMITS.—In this sec-
tion, the term ‘GDP outlay limit’ means an amount, as 
estimated by OMB, equal to— 
‘‘(1) projected GDP for that fiscal year as esti-
mated by OMB, multiplied by 
‘‘(2) 21.7 percent for fiscal year 2013; 20.8 
percent for fiscal year 2014; 20.2 percent for fiscal 
year 2015; 20.1 percent for fiscal year 2016; 19.9 
percent for fiscal year 2017; 19.7 percent for fiscal 
year 2018; 19.9 percent for fiscal year 2019; 19.9 
percent for fiscal year 2020; and 19.9 percent for 
fiscal year 2021. 
‘‘(b) GDP OUTLAY LIMIT AND OUTLAYS.— 
‘‘(1) DETERMINING THE GDP OUTLAY LIMIT.— 
The Office of Management and Budget shall estab-
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lish in the President’s budget the GDP outlay limit 
for the budget year. 
‘‘(2) TOTAL FEDERAL OUTLAYS.—In this sec-
tion, total Federal outlays shall include all on-budget 
and off-budget outlays. 
‘‘(c) SEQUESTRATION.—The sequestration to enforce 
this section shall be implemented pursuant to section 254 
of the Balanced Budget and Emergency Deficit Control 
Act of 1985. 
‘‘(d) EXEMPT PROGRAMS.—Section 255 of the Bal-
anced Budget and Control Act of 1985 shall not apply 
to this section, except that payments for military per-
sonnel accounts (within subfunctional category 051), 
TRICARE for Life, Medicare (functional category 570), 
military retirement, Social Security (functional category 
650), veterans (functional category 700), and net interest 
(functional category 900) shall be exempt.’’. 
SEC. 202. ENFORCEMENT PROCEDURES UNDER THE CON-
GRESSIONAL BUDGET ACT OF 1974. 
(a) ENFORCEMENT.—Title III of the Congressional 
Budget Act of 1974 is amended by adding after section 
319 the following new section: 
‘‘SEC. 320. ENFORCEMENT PROCEDURES. 
‘‘It shall not be in order in the House of Representa-
tives or the Senate to consider any bill, joint resolution, 
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amendment, or conference report that would cause the 
most recently reported current GDP outlay limits set forth 
in section 319 of the Congressional Budget Act of 1974 
to be exceeded.’’. 
(b) TABLE OF CONTENTS.—The table of contents in 
section 1(b) of the Congressional Budget and Impound-
ment Control Act of 1974 is amended by inserting after 
the item relating to section 315 the following new items: 
‘‘Sec. 316. Discretionary spending limits. 
‘‘Sec. 317. Certain direct spending limits. 
‘‘Sec. 318. Enforcement of discretionary and direct spending caps. 
‘‘Sec. 319. Enforcing GDP outlay limits. 
‘‘Sec. 320. Enforcement procedures.’’. 
TITLE III—BALANCE 
SEC. 301. REQUIREMENT THAT A BALANCED BUDGET 
AMENDMENT BE SUBMITTED TO STATES. 
(a) IN GENERAL.—The Secretary of the Treasury 
shall not exercise the additional borrowing authority pro-
vided under subsection (b) until the Archivist of the 
United States transmits to the States H.J. Res. 1 in the 
form reported on June 23, 2011, S.J. Res. 10 in the form 
introduced on March 31, 2011, or H.J. Res. 56 in the 
form introduced on April 7, 2011, a balanced budget 
amendment to the Constitution, or a similar amendment 
if it requires that total outlays not exceed total receipts, 
that contains a spending limitation as a percentage of 
GDP, and requires that tax increases be approved by a 
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two-thirds vote in both Houses of Congress for their ratifi-
cation. 
(b) AMENDMENT TO TITLE 31.—Effective on the 
date the Archivist of the United States transmits to the 
States H.J. Res 1 in the form reported, S.J. Res. 10 in 
the form introduced, or H.J. Res. 56 in the form intro-
duced, a balanced budget amendment to the Constitution, 
or a similar amendment if it requires that total outlays 
not exceed total receipts, contains a spending limitation 
as a percentage of GDP, and requires tax increases be 
approved by a two-thirds vote in both Houses of Congress 
for their ratification, section 3101(b) of title 31, United 
States Code, is amended by striking the dollar limitation 
contained 
in 
such 
subsection 
and 
inserting 
$16,700,000,000,000. 
Æ 
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