I 
117TH CONGRESS 
1ST SESSION H. R. 2879 
To prevent a fiscal crisis by enacting legislation to balance the Federal 
budget through reductions of discretionary and mandatory spending, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 28, 2021 
Mr. GOOD of Virginia introduced the following bill; which was referred to the 
Committee on the Budget, and in addition to the Committee on Rules, 
for a period to be subsequently determined by the Speaker, in each case 
for consideration of such provisions as fall within the jurisdiction of the 
committee concerned 
A BILL 
To prevent a fiscal crisis by enacting legislation to balance 
the Federal budget through reductions of discretionary 
and mandatory spending, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Nickel Plan Act’’. 
SEC. 2. ESTABLISHMENT AND ENFORCEMENT OF SPEND-
ING CAPS. 
(a) OUTLAY
CAPS.—The Balanced Budget and 
Emergency Deficit Control Act of 1985 (2 U.S.C. 900 et 
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seq.) is amended by inserting after section 253 the fol-
lowing: 
‘‘SEC. 253A. ESTABLISHING OUTLAY CAPS. 
‘‘(a) OUTLAY CAPS.—In this section, the term ‘outlay 
cap’ means: 
‘‘(1) FISCAL YEAR 2022.—For fiscal year 2022, 
total outlays (less net interest payments) shall be 
not more than $4,298,244,000,000, less 5 percent. 
‘‘(2) FISCAL YEAR 2023.—For fiscal year 2023, 
total outlays (less net interest payments) shall be 
not more than the amount computed under para-
graph (1), less 5 percent. 
‘‘(3) FISCAL YEAR 2024.—For fiscal year 2024, 
total outlays (less net interest payments) shall be 
not more than the amount computed under para-
graph (2), less 5 percent. 
‘‘(4) FISCAL YEAR 2025.—For fiscal year 2025, 
total outlays (less net interest payments) shall be 
not more than the amount computed under para-
graph (3), less 5 percent. 
‘‘(5) FISCAL YEAR 2026.—For fiscal year 2026, 
total outlays (less net interest payments) shall be 
not more than the amount computed under para-
graph (4), less 5 percent. 
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‘‘(6) FISCAL YEAR 2027 AND SUBSEQUENT FIS-
CAL YEARS.— 
‘‘(A) IN GENERAL.—For fiscal year 2027 
and each fiscal year thereafter, total outlays 
shall be not more than 18 percent of the gross 
domestic product for that fiscal year, as esti-
mated by the Office of Management and Budg-
et prior to March of the previous fiscal year. 
‘‘(B) LIMITATION.—Notwithstanding sub-
paragraph (A), for any fiscal year beginning 
with fiscal year 2028, total projected outlays 
may not be less than total projected outlays for 
the preceding fiscal year. 
‘‘(b) SEQUESTRATION.— 
‘‘(1) IN GENERAL.— 
‘‘(A) EXCESS SPENDING.—Not later than 
45 calendar days after the beginning of a fiscal 
year, the Office of Management and Budget 
shall prepare and the President shall order a 
sequestration to eliminate any excess outlay 
amount. 
‘‘(B) DEFINITIONS.— 
‘‘(i) FISCAL
YEARS
2022
THROUGH 
2026.—For each of fiscal years 2022 
through 2026 and for purposes of this sub-
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section, the term ‘excess outlay amount’ 
means the amount by which total projected 
Federal outlays (less net interest pay-
ments) for a fiscal year exceeds the outlay 
cap for that fiscal year. 
‘‘(ii) FISCAL YEAR 2027 AND SUBSE-
QUENT
FISCAL
YEARS.—For fiscal year 
2027 and each fiscal year thereafter and 
for purposes of this subsection, the term 
‘excess outlay amount’ means the amount 
by which total projected Federal outlays 
for a fiscal year exceeds the outlay cap for 
that fiscal year. 
‘‘(2) SEQUESTRATION.— 
‘‘(A) CBO PREVIEW REPORT.—On August 
15 of each year, the Congressional Budget Of-
fice shall issue a sequestration preview report 
as described in section 254(c)(4). 
‘‘(B) OMB PREVIEW REPORT.—On August 
20 of each year, the Office of Management and 
Budget shall issue a sequestration preview re-
port as described in section 254(c)(4). 
‘‘(C) FINAL REPORT.—On October 31 of 
each year, the Office of Management and Budg-
et shall issue a final sequestration report as de-
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scribed in section 254(f)(3), which shall be ac-
companied by a Presidential order detailing 
spending reductions equal to the excess outlay 
amount. 
‘‘(D) PROCESS.—The reductions shall gen-
erally follow the process set forth in sections 
253 and 254, except as provided in this section. 
‘‘(3) CONGRESSIONAL ACTION.—If the August 
20 report by the Office of Management and Budget 
projects a sequestration, the Committee on the 
Budget of the Senate and the Committee on the 
Budget of the House of Representatives may report 
a resolution directing committees of their House to 
change the existing law to achieve the spending re-
ductions outlined in the August 20 report necessary 
to meet the outlay limits. 
‘‘(c) NO EXEMPT PROGRAMS.—Section 255 and sec-
tion 256 shall not apply to this section or any sequestra-
tion order issued under this section. 
‘‘(d) LOOK BACK.—If, after November 14, a bill re-
sulting in outlays for the fiscal year in progress is enacted 
that causes excess outlays, the excess outlay amount for 
the next fiscal year shall be increased by the amount or 
amounts of that breach.’’. 
(b) CONFORMING AMENDMENTS TO BBEDCA.— 
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(1) SEQUESTRATION PREVIEW REPORTS.—Sec-
tion 254(c)(4) of the Balanced Budget and Emer-
gency Deficit Control Act of 1985 (2 U.S.C. 
904(c)(4)) is amended to read as follows: 
‘‘(4) OUTLAY CAP SEQUESTRATION REPORTS.— 
The preview reports shall set forth for the budget 
year estimates for the following: 
‘‘(A)(i) For each of budget years 2022 
through 2026, total projected outlays (less net 
interest payments), less one percent. 
‘‘(ii) For budget year 2027 and each sub-
sequent budget year, the estimated gross do-
mestic product for that budget year. 
‘‘(B) The amount of reductions required 
under section 253A. 
‘‘(C) The sequestration percentage nec-
essary to achieve the required reduction under 
section 253A.’’. 
(2) FINAL SEQUESTRATION REPORTS.—Section 
254(f)(3) of the Balanced Budget and Emergency 
Deficit Control Act of 1985 (2 U.S.C. 904(f)(3)) is 
amended to read as follows: 
‘‘(3) 
OUTLAY
CAPS
SEQUESTRATION
RE-
PORTS.—The final reports shall contain all the infor-
mation required in the outlay cap sequestration pre-
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view reports. In addition, these reports shall contain, 
for the budget year, for each account to be seques-
tered, estimates of the baseline level of sequestrable 
budgetary resources and resulting outlays and the 
amount of budgetary sources to be sequestered and 
result in outlay reductions. The reports shall also 
contain estimates of the effects on outlays on the se-
questration of each outyear for direct spending pro-
grams.’’. 
(c) ENFORCEMENT.—Title III of the Congressional 
Budget Act of 1974 (2 U.S.C. 631 et seq.) is amended 
by adding after section 315 the following: 
‘‘SEC. 316. ENFORCEMENT PROCEDURES. 
‘‘(a) OUTLAY CAPS.—It shall not be in order in the 
House of Representatives or the Senate to consider any 
bill, joint resolution, amendment, amendment between the 
Houses, or conference report that includes any provision 
that would cause the most recently reported, current out-
lay cap set forth in section 253A of the Balanced Budget 
and Emergency Deficit Control Act of 1985 to be 
breached or increased. 
‘‘(b) WAIVER OR SUSPENSION.— 
‘‘(1) IN THE SENATE.—The provisions of this 
section may be waived or suspended in the Senate 
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only by the affirmative vote of two-thirds of the 
Members, duly chosen and sworn. 
‘‘(2) IN THE HOUSE.—The provisions of this 
section may be waived or suspended in the House of 
Representatives only by a rule or order proposing 
only to waive such provisions by an affirmative vote 
of two-thirds of the Members, duly chosen and 
sworn. 
‘‘(c) POINT OF ORDER PROTECTION.—In the House, 
it shall not be in order to consider a rule or order that 
waives the application of paragraph (2) of subsection (b). 
‘‘(d) MOTION TO SUSPEND.—It shall not be in order 
for the Speaker to entertain a motion to suspend the appli-
cation of this section under clause 1 of rule XV.’’. 
SEC. 3. CONFORMING AMENDMENTS. 
The table of contents set forth in— 
(1) section 1(b) of the Congressional Budget 
and Impoundment Control Act of 1974 is amended 
by inserting after the item relating to section 315 
the following new item: 
‘‘Sec. 316. Enforcement procedures.’’; 
and 
(2) section 250(a) of the Balanced Budget and 
Emergency Deficit Control Act of 1985 is amended 
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by inserting after the item relating to section 253 
the following new item: 
‘‘Sec. 253A. Establishing outlay caps.’’. 
SEC. 4. EFFECTIVE DATE. 
This Act and the amendments made by this Act shall 
apply to fiscal year 2022 and each fiscal year thereafter, 
including any reports and calculations required for imple-
mentation in fiscal year 2022. 
Æ 
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