Prime CUTS Act
Bill: S.2799 | Sponsor: Sen. Ernst, Joni (R-IA)
Policy area: Government Operations and Politics

Summary:
Prime Cancel Unnecessary Transactions and Spending Act or the Prime CUTS Act
This bill restricts certain spending by federal agencies. It also authorizes the U.S. Mint to modify the metallic composition of circulating coins to a new metallic composition under specified circumstances and terminates the Presidential Election Campaign Fund.
Specifically, the bill limits the amount of discretionary spending that an executive agency may obligate in the two-month period immediately preceding the end of a fiscal year.
The bill authorizes the Department of Defense to consolidate infrastructure at its distribution centers to improve the effectiveness and efficiency of the supply chain and inventory management.
The bill prohibits specified federal spending to purchase, acquire, or distribute swag and requires each agency to report on public relations and advertising spending. Swag is merchandise (typically displaying an agency's name or seal) that is commonly distributed to all employees or participants at a particular event for the sole purpose of promoting or advertising the agency or organization.
The bill prohibits the use of federal funds for certain transit and rail projects.

To eliminate unnecessary spending by Federal agencies, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Prime Cancel Unnecessary 
Transactions and Spending Act'' or the ``Prime CUTS Act''.

SEC. 2. REQUIREMENTS FOR EXECUTIVE AGENCY SPENDING AT THE END OF A 
              FISCAL YEAR.

    (a) Definitions.--In this section:
            (1) Covered period.--The term ``covered period'' means the 
        2-month period immediately preceding the end of a fiscal year.
            (2) Discretionary appropriations.--The term ``discretionary 
        appropriations'' has the meaning given the term in section 
        250(c) of the Balanced Budget and Emergency Deficit Control Act 
        of 1985 (2 U.S.C. 900(c)).
            (3) Executive agency.--The term ``Executive agency'' has 
        the meaning given the term in section 105 of title 5, United 
        States Code.
    (b) Requirements for Executive Agency Spending at the End of a 
Fiscal Year.--
            (1) In general.--Except as provided in paragraph (3), the 
        amount of discretionary appropriations obligated by an 
        Executive agency during each month of a covered period may not 
        exceed the average monthly amount of discretionary 
        appropriations obligated by the Executive agency during the 10-
        month period immediately preceding the covered period.
            (2) Report.--Not later than 60 days after the end of each 
        fiscal year, each Executive agency shall submit to Congress and 
        post on a publicly available website an itemized list of 
        discretionary appropriations obligated by the Executive agency 
        during the covered period immediately preceding the date on 
        which the report is submitted.
            (3) Exception.--This section shall not apply with respect 
        to any discretionary appropriations obligated by an Executive 
        agency for national security-related activities.

SEC. 3. AUTHORITY OF DEPARTMENT OF DEFENSE TO CONSOLIDATE 
              INFRASTRUCTURE DISTRIBUTION CENTERS TO IMPROVE 
              EFFECTIVENESS AND EFFICIENCY OF SUPPLY CHAIN AND 
              INVENTORY MANAGEMENT.

    (a) In General.--The Secretary of Defense may consolidate 
infrastructure, including warehouses, at the distribution centers of 
the Department of Defense to improve the effectiveness and efficiency 
of the supply chain and inventory management of the Department to 
support the needs of the Armed Forces and reduce costs.
    (b) Plan.--
            (1) In general.--Not later than 60 days before implementing 
        any consolidation under subsection (a), the Secretary shall 
        submit to Congress a plan for such consolidation.
            (2) Elements.--Any plan submitted under paragraph (1) with 
        respect to consolidation under subsection (a) shall include the 
        following:
                    (A) An estimate of the cost savings of such 
                consolidation.
                    (B) An itemized description of how such cost 
                savings are expected to be spent.
                    (C) A list of the specific facilities that will be 
                subject to closure or disposal under such 
                consolidation.
                    (D) With respect to each facility subject to 
                closure or disposal under such consolidation, an 
                explanation of how the closure or disposal of the 
                facility will increase the efficiency or enhance the 
                functioning of the supply chain of the Department.
                    (E) A certification that the overall effectiveness 
                of the supply chain of the Department will not be 
                compromised or hindered by such consolidation.

SEC. 4. COIN METAL MODERNIZATION AUTHORIZATION AND COST SAVINGS.

    (a) Saving Federal Funds by Authorizing Changes to the Composition 
of Circulating Coins.--Section 5112 of title 31, United States Code, is 
amended by adding at the end the following:
    ``(x) Composition of Circulating Coins.--
            ``(1) In general.--Notwithstanding any other provision of 
        law, and subject to the other provisions of this subsection, 
        the Director of the United States Mint (referred to in this 
        subsection as the `Director'), in consultation with the 
        Secretary, may modify the metallic composition of circulating 
        coins to a new metallic composition (including by prescribing 
        reasonable manufacturing tolerances with respect to those 
        coins) if a study and analysis conducted by the United States 
        Mint, including solicitation of input, including input on 
        acceptor tolerances and requirements, from industry 
        stakeholders who could be affected by changes in the 
        composition of circulating coins, indicates that the 
        modification will--
                    ``(A) reduce costs incurred by the taxpayers of the 
                United States;
                    ``(B) be seamless, which shall mean the same 
                diameter and weight as United States coinage being 
                minted on the date of enactment of this subsection and 
                that the coins will work interchangeably in most coin 
                acceptors using electromagnetic signature technology; 
                and
                    ``(C) have as minimal an adverse impact as possible 
                on the public and stakeholders.
            ``(2) Notification to congress.--On the date that is at 
        least 90 legislative days before the date on which the Director 
        begins making a modification described in paragraph (1), the 
        Director shall submit to Congress notice that--
                    ``(A) provides a justification for the 
                modification, including the support for that 
                modification in the study and analysis required under 
                paragraph (1) with respect to the modification;
                    ``(B) describes how the modification will reduce 
                costs incurred by the taxpayers of the United States;
                    ``(C) certifies that the modification will be 
                seamless, as described in paragraph (1)(B); and
                    ``(D) certifies that the modification will have as 
                minimal an adverse impact as possible on the public and 
                stakeholders.
            ``(3) Congressional authority.--The Director may begin 
        making a modification proposed under this subsection not 
        earlier than the date that is 90 legislative days after the 
        date on which the Director submits to Congress the notice 
        required under paragraph (2) with respect to that modification, 
        unless Congress, during the period of 90 legislative days 
        beginning on the date on which the Director submits that 
        notice--
                    ``(A) finds that the modification is not justified 
                in light of the information contained in that notice; 
                and
                    ``(B) enacts a joint resolution of disapproval of 
                the proposed modification.
            ``(4) Procedures.--For purpose of paragraph (3)--
                    ``(A) a joint resolution of disapproval is a joint 
                resolution the matter after the resolving clause of 
                which is as follows: `That Congress disapproves the 
                modification submitted by the Director of the United 
                States Mint.'; and
                    ``(B) the procedural rules in the House of 
                Representatives and the Senate for a joint resolution 
                of disapproval described under paragraph (3) shall be 
                the same as provided for a joint resolution of 
                disapproval under chapter 8 of title 5.''.
    (b) Determination of Budgetary Effects.--The budgetary effects of 
this section, for the purpose of complying with the Statutory Pay-As-
You-Go Act of 2010, shall be determined by reference to the latest 
statement titled ``Budgetary Effects of PAYGO Legislation'' for this 
section, submitted for printing in the Congressional Record by the 
Chairman of the House Budget Committee, provided that such statement 
has been submitted prior to the vote on passage.

SEC. 5. TERMINATION OF TAXPAYER FINANCING OF PRESIDENTIAL ELECTION 
              CAMPAIGNS.

    (a) Termination of Designation of Income Tax Payments.--Section 
6096 of the Internal Revenue Code of 1986 is amended by adding at the 
end the following new subsection:
    ``(d) Termination.--This section shall not apply to taxable years 
beginning after December 31, 2020.''.
    (b) Termination of Fund and Account.--
            (1) Termination of presidential election campaign fund.--
                    (A) In general.--Chapter 95 of subtitle H of such 
                Code is amended by adding at the end the following new 
                section:

``SEC. 9013. TERMINATION.

    ``The provisions of this chapter shall not apply with respect to 
any Presidential election (or any Presidential nominating convention) 
after the date of the enactment of this section, or to any candidate in 
such an election.''.
                    (B) Transfer of remaining funds.--Section 9006 of 
                such Code is amended by adding at the end the following 
                new subsection:
    ``(d) Transfer of Funds Remaining After Termination.--The Secretary 
shall transfer the amounts in the fund as of the date of the enactment 
of this subsection to the general fund of the Treasury, to be used only 
for reducing the deficit.''.
            (2) Termination of account.--Chapter 96 of subtitle H of 
        such Code is amended by adding at the end the following new 
        section:

``SEC. 9043. TERMINATION.

    ``The provisions of this chapter shall not apply to any candidate 
with respect to any Presidential election after the date of the 
enactment of this section.''.
    (c) Clerical Amendments.--
            (1) The table of sections for chapter 95 of subtitle H of 
        such Code is amended by adding at the end the following new 
        item:

``Sec. 9013. Termination.''.
            (2) The table of sections for chapter 96 of subtitle H of 
        such Code is amended by adding at the end the following new 
        item:

``Sec. 9043. Termination.''.

SEC. 6. PROHIBITIONS; PUBLIC RELATIONS AND ADVERTISING SPENDING.

    (a) Definitions.--In this section:
            (1) Advertising.--The term ``advertising'' means the 
        placement of messages in media that are intended to inform or 
        persuade an audience, including placement in television, radio, 
        a magazine, a newspaper, digital media, direct mail, a tangible 
        product, an exhibit, or a billboard.
            (2) Agency.--The term ``agency'' has the meaning given the 
        term in section 551 of title 5, United States Code.
            (3) Mascot.--The term ``mascot''--
                    (A) means an individual, animal, or object adopted 
                by an agency as a symbolic figure to represent the 
                agency or the mission of the agency; and
                    (B) includes a costumed character.
            (4) Public relations.--The term ``public relations'' means 
        communications by an agency that are directed to the public, 
        including activities dedicated to maintaining the image of the 
        governmental unit or maintaining or promoting understanding and 
        favorable relations with the community or the public.
            (5) Return on investment.--The term ``return on 
        investment'' means, with respect to the public relations and 
        advertising spending by an agency, a positive return in 
        achieving agency or program goals relative to the investment in 
        advertising and marketing materials.
            (6) Swag.--The term ``swag''--
                    (A) means a tangible product or merchandise 
                distributed at no cost with the sole purpose of 
                advertising or promoting an agency, organization, or 
                program;
                    (B) includes blankets, buttons, candy, clothing, 
                coloring books, cups, fidget spinners, hats, holiday 
                ornaments, jar grip openers, keychains, koozies, 
                magnets, neckties, snuggies, stickers, stress balls, 
                stuffed animals, thermoses, tote bags, trading cards, 
                and writing utensils; and
                    (C) does not include--
                            (i) an item presented as an honorary or 
                        informal recognition award related to the Armed 
                        Forces of the United States, such as a 
                        challenge coin or medal issued for sacrifice or 
                        meritorious service;
                            (ii) a brochure or pamphlet purchased or 
                        distributed for informational purposes; or
                            (iii) an item distributed for diplomatic 
                        purposes, including a gift for a foreign 
                        leader.
    (b) Prohibitions.--Except as provided in subsection (d), and unless 
otherwise expressly authorized by law--
            (1) an agency or other entity of the Federal Government may 
        not use Federal funds to purchase or otherwise acquire or 
        distribute swag; and
            (2) an agency or other entity of the Federal Government may 
        not use Federal funds to manufacture or use a mascot to promote 
        an agency, organization, program, or agenda.
    (c) Public Relations and Advertising Spending.--Each agency shall, 
as part of the annual budget justification submitted to Congress, 
report on the public relations and advertising spending of the agency 
for the preceding fiscal year, which may include an estimate of the 
return on investment for the agency.
    (d) Exceptions.--
            (1) Swag.--Subsection (b)(1) shall not apply with respect 
        to--
                    (A) an agency program that supports the mission and 
                objectives of the agency that is initiating the public 
                relations or advertising spending, provided that the 
                spending generates a positive return on investment for 
                the agency;
                    (B) recruitment relating to--
                            (i) enlistment or employment with the Armed 
                        Forces; or
                            (ii) employment with the Federal 
                        Government; or
                    (C) an item distributed by the Bureau of the Census 
                to assist the Bureau in conducting a census of the 
                population of the United States.
            (2) Mascots.--Subsection (b)(2) shall not apply with 
        respect to--
                    (A) a mascot that is declared the property of the 
                United States under a provision of law, including under 
                section 2 of Public Law 93-318 (16 U.S.C. 580p-1); or
                    (B) a mascot relating to the Armed Forces of the 
                United States.
    (e) Regulations.--Not later than 180 days after the date of 
enactment of this Act, the Director of the Office of Management and 
Budget shall issue regulations to carry out this section.

SEC. 7. PROHIBITION ON USE OF FEDERAL FUNDS FOR CERTAIN TRANSIT AND 
              RAIL PROJECTS.

    Notwithstanding any other provision of law, the Secretary of 
Transportation shall not provide any new assistance for a transit or 
rail project if--
            (1) the overall cost projection to complete the project 
        exceeds the original cost projection by at least 
        $1,000,000,000; and
            (2) the operational and administrative costs of the service 
        provided by the project are projected to exceed the revenues 
        generated from ridership annually over the next decade.
                                 <all>