Increasing the statutory limit on the public debt.
PL 111-139 (H.J.Res.45), enacted 02/12/2010

124 STAT. 8 
PUBLIC LAW 111–139—FEB. 12, 2010 
Public Law 111–139 
111th Congress 
Joint Resolution 
Increasing the statutory limit on the public debt. 
Resolved by the Senate and House of Representatives of the
United States of America in Congress assembled, That subsection 
(b) of section 3101 of title 31, United States Code, is amended 
by striking out the dollar limitation contained in such subsection 
and inserting in lieu thereof $14,294,000,000,000. 
TITLE I—STATUTORY PAY-AS-YOU-GO 
ACT OF 2010 
SEC. 1. SHORT TITLE. 
This title may be cited as the ‘‘Statutory Pay-As-You-Go Act 
of 2010’’. 
SEC. 2. PURPOSE. 
The purpose of this title is to reestablish a statutory procedure 
to enforce a rule of budget neutrality on new revenue and direct 
spending legislation. 
SEC. 3. DEFINITIONS AND APPLICATIONS. 
As used in this title— 
(1) The term ‘‘BBEDCA’’ means the Balanced Budget and 
Emergency Deficit Control Act of 1985. 
(2) The definitions set forth in section 3 of the Congres-
sional Budget and Impoundment Control Act of 1974 and in 
section 250 of BBEDCA shall apply to this title, except to 
the extent that they are specifically modified as follows: 
(A) The term ‘‘outyear’’ means a fiscal year one or 
more years after the budget year. 
(B) In section 250(c)(8)(C), the reference to the food 
stamp program shall be deemed to be a reference to the 
Supplemental Nutrition Assistance Program. 
(3) The term ‘‘AMT’’ means the Alternative Minimum Tax 
for individuals under sections 55–59 of the Internal Revenue 
Code of 1986, the term ‘‘EGTRRA’’ means the Economic Growth 
and Tax Relief Reconciliation Act of 2001 (Public Law 107– 
16), and the term ‘‘JGTRRA’’ means the Jobs and Growth 
Tax Relief and Reconciliation Act of 2003 (Public Law 108– 
27). 
(4)(A) The term ‘‘budgetary effects’’ means the amount by 
which PAYGO legislation changes outlays flowing from direct 
spending or revenues relative to the baseline and shall be 
2 USC 932. 
2 USC 931. 
2 USC 931 note. 
Statutory 
Pay-As-You-Go 
Act of 2010. 
Feb. 12, 2010 
[H.J. Res. 45] 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00006
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 9 
PUBLIC LAW 111–139—FEB. 12, 2010 
determined on the basis of estimates prepared under section 
4. Budgetary effects that increase outlays flowing from direct 
spending or decrease revenues are termed ‘‘costs’’ and budgetary 
effects that increase revenues or decrease outlays flowing from 
direct spending are termed ‘‘savings’’. Budgetary effects shall not 
include any costs associated with debt service. 
(B) For purposes of these definitions, off-budget effects 
shall not be counted as budgetary effects. 
(C) Solely for purposes of recording entries on a PAYGO 
scorecard, provisions in appropriation Acts are also considered 
to be budgetary effects for purposes of this title if such provi-
sions make outyear modifications to substantive law, except 
that provisions for which the outlay effects net to zero over 
a period consisting of the current year, the budget year, and 
the 4 subsequent years shall not be considered budgetary 
effects. For purposes of this paragraph, the term, ‘‘modifications 
to substantive law’’ refers to changes to or restrictions on 
entitlement law or other mandatory spending contained in 
appropriations Acts, notwithstanding section 250(c)(8) of 
BBEDCA. Provisions in appropriations Acts that are neither 
outyear modifications to substantive law nor changes in reve-
nues have no budgetary effects for purposes of this title. 
(5) The term ‘‘debit’’ refers to the net total amount, when 
positive, by which costs recorded on the PAYGO scorecards 
for a fiscal year exceed savings recorded on those scorecards 
for that year. 
(6) The term ‘‘entitlement law’’ refers to a section of law 
which provides entitlement authority. 
(7) The term ‘‘PAYGO legislation’’ or a ‘‘PAYGO Act’’ refers 
to a bill or joint resolution that affects direct spending or 
revenue relative to the baseline. The budgetary effects of 
changes in revenues and outyear modifications to substantive 
law included in appropriation Acts as defined in paragraph 
(4) shall be treated as if they were contained in PAYGO legisla-
tion or a PAYGO Act. 
(8) The term ‘‘timing shift’’ refers to a delay of the date 
on which outlays flowing from direct spending would otherwise 
occur from the ninth outyear to the tenth outyear or an accel-
eration of the date on which revenues would otherwise occur 
from the tenth outyear to the ninth outyear. 
SEC. 4. PAYGO ESTIMATES AND PAYGO SCORECARDS. 
(a) PAYGO ESTIMATES.— 
(1) REQUIRED DESIGNATION IN PAYGO ACTS.— 
(A) HOUSE
OF
REPRESENTATIVES.—To establish the 
budgetary effects of a PAYGO Act consistent with the 
determination made by the Chairman of the House Budget 
Committee, a PAYGO Act originated in or amended by 
the House of Representatives may include the following 
statement: ‘‘The budgetary effects of this Act, for the pur-
pose 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 Act, 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.’’. 
Submissions. 
2 USC 933. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00007
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 10 
PUBLIC LAW 111–139—FEB. 12, 2010 
(B) SENATE.—To establish the budgetary effects of a 
PAYGO Act consistent with the determination made by 
the Chairman of the Senate Budget Committee, a PAYGO 
Act originated in or amended by the Senate shall include 
the following statement: ‘‘The budgetary effects of this Act, 
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 Act, submitted for printing in the 
Congressional Record by the Chairman of the Senate 
Budget Committee, provided that such statement has been 
submitted prior to the vote on passage.’’. 
(C) CONFERENCE REPORTS AND AMENDMENTS BETWEEN 
THE
HOUSES.—To establish the budgetary effects of the 
conference report on a PAYGO Act, or an amendment to 
an amendment between Houses on a PAYGO Act, which 
if estimated shall be estimated jointly by the Chairmen 
of the House and Senate Budget Committees, the con-
ference report or amendment between the Houses shall 
include the following statement: ‘‘The budgetary effects 
of this Act, for the purpose of complying with the Statutory 
Pay-As-You-Go-Act of 2010, shall be determined by ref-
erence to the latest statement titled ‘Budgetary Effects 
of PAYGO Legislation’ for this Act, jointly submitted for 
printing in the Congressional Record by the Chairmen 
of the House and Senate Budget Committees, provided 
that such statement has been submitted prior to the vote 
on passage in the House acting first on this conference 
report or amendment between the Houses.’’. 
(2) DETERMINATION
OF
BUDGETARY
EFFECTS
OF
PAYGO 
ACTS.— 
(A) ORIGINAL LEGISLATION.— 
(i) STATEMENT AND ESTIMATE.—Prior to a vote on 
passage of a PAYGO Act originated or amended by 
one House, the Chairman of the Budget Committee 
of that House may submit for printing in the Congres-
sional Record a statement titled ‘‘Budgetary Effects 
of PAYGO Legislation’’ which shall include an estimate 
of the budgetary effects of that Act, if available prior 
to passage of the Act by that House and shall submit, 
if applicable, an identification of any current policy 
adjustments made pursuant to section 7 of this Act. 
The timely submission of such a statement, in conjunc-
tion with the appropriate designation made pursuant 
to paragraph (1)(A) or (1)(B), as applicable, shall estab-
lish the budgetary effects of the PAYGO Act for the 
purposes of this Act. 
(ii) EFFECT.—The latest statement submitted by 
the Chairman of the Budget Committee of that House 
prior to passage shall supersede any prior statements 
submitted in the Congressional Record and shall be 
valid only if the PAYGO Act is not further amended 
by either House. 
(iii) FAILURE TO SUBMIT ESTIMATE.—If— 
(I) the estimate required by clause (i) has not 
been submitted prior to passage by that House; 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00008
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 11 
PUBLIC LAW 111–139—FEB. 12, 2010 
(II) such estimate has been submitted but is 
no longer valid due to a subsequent amendment 
to the PAYGO Act; or 
(III) the designation required pursuant to this 
subsection has not been made; 
the budgetary effects of the PAYGO Act shall be deter-
mined under subsection (d)(3), provided that this clause 
shall not apply if a valid designation is subsequently 
included in that PAYGO Act pursuant to paragraph 
(1)(C) and a statement is submitted pursuant to 
subparagraph (B). 
(B) CONFERENCE REPORTS AND AMENDMENTS BETWEEN 
HOUSES.— 
(i) IN GENERAL.—Prior to the adoption of a report 
of a committee of conference on a PAYGO Act in either 
House, or disposition of an amendment to an amend-
ment between Houses on a PAYGO Act, the Chairmen 
of the Budget Committees of the House and Senate 
may jointly submit for printing in the Congressional 
Record a statement titled ‘‘Budgetary Effects of PAYGO 
Legislation’’ which shall include an estimate of the 
budgetary effects of that Act if available prior to pas-
sage of the Act by the House acting first on the legisla-
tion and shall submit, if applicable, an identification 
of any current policy adjustments made pursuant to 
section 7 of this title. The timely submission of such 
a statement, in conjunction with the appropriate des-
ignation made pursuant to paragraph (1)(C), shall 
establish the budgetary effects of the PAYGO Act for 
the purposes of this Act. 
(ii) FAILURE TO SUBMIT ESTIMATE.—If such esti-
mate has not been submitted prior to the adoption 
of a report of a committee of conference by either 
House, or if the designation required pursuant to this 
subsection has not been made, the budgetary effects 
of the PAYGO Act shall be determined under sub-
section (d)(3). 
(3) PROCEDURE
IN
THE
SENATE.—In the Senate, upon 
submission of a statement titled ‘‘Budgetary Effects of PAYGO 
Legislation’’ by the Chairman of the Senate Budget Committee 
for printing in the Congressional Record, the Legislative Clerk 
shall read the statement. 
(4) JURISDICTION OF THE BUDGET COMMITTEES.—For the 
purposes of enforcing section 306 of the Congressional Budget 
Act of 1974, a designation made pursuant to paragraph (1)(A), 
(1)(B), or (1)(C), that includes only the language specifically 
prescribed therein, shall not be considered a matter within 
the jurisdiction of either the Senate or House Committees on 
the Budget. 
(b) CBO PAYGO ESTIMATES.— 
(1) IN GENERAL.— 
(A) ESTIMATES.—Section 308(a) of the Congressional 
Budget Act of 1974 is amended by adding at the end 
the following new paragraph: 
‘‘(3) CBO PAYGO ESTIMATES.— 
‘‘(A) The Chairs of the Committees on the Budget of 
the House and Senate, as applicable, shall request from 
2 USC 639. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00009
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 12 
PUBLIC LAW 111–139—FEB. 12, 2010 
the Director of the Congressional Budget Office an estimate 
of the budgetary effects of PAYGO legislation. 
‘‘(B) Estimates shall be prepared using baseline esti-
mates supplied by the Congressional Budget Office, con-
sistent with section 257 of the Balanced Budget and Emer-
gency Deficit Control Act of 1985. 
‘‘(C) The Director shall not count timing shifts, as 
that term is defined at section 3(8) of the Statutory Pay- 
As-You-Go Act of 2010, in estimates of the budgetary effects 
of PAYGO Legislation.’’. 
(B) SIDEHEADING.—The side heading of section 308(a) 
of the Congressional Budget Act of 1974 is amended by 
striking ‘‘Reports on’’. 
(2) GUIDELINES.—Section 308 of the Congressional Budget 
Act of 1974 is amended by adding at the end the following 
new subsection: 
‘‘(d) Scorekeeping Guidelines.—Estimates under this section 
shall be provided in accordance with the scorekeeping guidelines 
determined under section 252(d)(5) of the Balanced Budget and 
Emergency Deficit Control Act of 1985.’’. 
(c) CURRENT POLICY ADJUSTMENTS FOR CERTAIN LEGISLATION.— 
(1) IN GENERAL.—For any provision of legislation that meets 
the criteria in subsection (c), (d), (e) or (f) of section 7, the 
Chairs of the Committees on the Budget of the House and 
Senate, as applicable, shall request that CBO adjust the esti-
mate of budgetary effects of that legislation pursuant to para-
graph (2) for the purposes of this title. A single piece of legisla-
tion may contain provisions that meet criteria in more than 
one of the subsections referred to in the preceding sentence. 
CBO shall adjust estimates for legislation designated under 
subsection (a) and estimated under subsection (b). OMB shall 
adjust estimates for legislation estimated under subsection 
(d)(3). 
(2) ADJUSTMENTS.— 
(A) ESTIMATES.—CBO or OMB, as applicable, shall 
exclude from the estimate of budgetary effects any budg-
etary effects of a provision that meets the criteria in sub-
section (c), (d), (e) or (f) of section 7, to the extent that 
those budgetary effects, when combined with all other 
excluded budgetary effects of any other previously des-
ignated provisions of enacted legislation under the same 
subsection of section 7, do not exceed the maximum 
applicable current policy adjustment defined under the 
applicable subsection of section 7 for the applicable 10- 
year period. 
(B) BASELINE.—Any estimate made pursuant to 
subparagraph (A) shall be prepared using baseline esti-
mates supplied by the Congressional Budget Office, con-
sistent with section 257 of the BBEDCA. CBO estimates 
of legislation adjusted for current policy shall include a 
separate presentation of costs excluded from the calculation 
of budgetary effects for the legislation, as well as an 
updated total of all excluded costs of provisions within 
subsection (c), (d), or (e) of section 7, as applicable, and 
in the case of paragraph (1) of section 7(f), within any 
of the subparagraphs (A) through (L) of such paragraph, 
as applicable. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00010
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 13 
PUBLIC LAW 111–139—FEB. 12, 2010 
(3) LIMITATION ON AVAILABILITY OF EXCESS SAVINGS.— 
(A) PROHIBITION ON USE OF EXCESS SAVING FOR INELI-
GIBLE POLICIES.—To the extent the adjustment for current 
policy of any provision estimated under this subsection 
exceeds the estimated budgetary effects of that provision, 
these excess savings shall not be available to offset the 
costs of any provisions not otherwise eligible for a current 
policy adjustment under section 7, and shall not be counted 
on the PAYGO scorecards established pursuant to sub-
sections (d)(4) and (d)(5). 
(B) PROHIBITION ON USE OF EXCESS SAVINGS ACROSS 
BUDGET AREAS.—For provisions eligible for a current policy 
adjustment under subsections (c) through (f) of section 
7, to the extent the adjustment for current policy of any 
provision exceeds the estimated budgetary effects of that 
same provision, the excess savings shall be available only 
to offset the costs of other provisions that qualify for a 
current policy adjustment in that same subsection. Each 
paragraph in section 7(f)(1) shall be considered a separate 
subsection for purposes of this section. 
(4) 
FURTHER
GUIDANCE
ON
ESTIMATING
BUDGETARY 
EFFECTS.—Estimates of budgetary effects under this subsection 
shall be consistent with the guidance provided at section 7(h). 
(5) INCLUSION
OF
STATEMENT.—For PAYGO legislation 
adjusted pursuant to section 7, the Chairman of the House 
or Senate Budget Committee, as applicable, shall include in 
any statement titled ‘‘Budgetary Effects of PAYGO Legislation’’, 
submitted for that legislation pursuant to section 4, an expla-
nation of the current policy designation and adjustments. 
(d) OMB PAYGO SCORECARDS.— 
(1) IN GENERAL.—OMB shall maintain and make publicly 
available a continuously updated document containing two 
PAYGO scorecards displaying the budgetary effects of PAYGO 
legislation as determined under section 308 of the Congres-
sional Budget Act of 1974, applying the look-back requirement 
in subsection (e) and the averaging requirement in subsection 
(f), and a separate addendum displaying the estimates of the 
costs of provisions designated in statute as emergency require-
ments. 
(2) ESTIMATES
IN
LEGISLATION.—Except as provided in 
paragraph (3), in making the calculations for the PAYGO score-
cards, OMB shall use the budgetary effects included by ref-
erence in the applicable legislation pursuant to subsection (a). 
(3) OMB PAYGO
ESTIMATES.—If a PAYGO Act does not 
contain a valid reference to its budgetary effects consistent 
with subsection (a), OMB shall estimate the budgetary effects 
of that legislation upon its enactment. The OMB estimate shall 
be based on the approaches to scorekeeping set forth in section 
308 of the Congressional Budget Act of 1974, as amended 
by this title, and subsection (g)(4), and shall use the same 
economic and technical assumptions as used in the most recent 
budget submitted by the President under section 1105(a) of 
title 31 of the United States Code. 
(4) 5-YEAR SCORECARD.—The first scorecard shall display 
the budgetary effects of PAYGO legislation in each year over 
the 5-year period beginning in the budget year. 
Public 
information. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00011
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 14 
PUBLIC LAW 111–139—FEB. 12, 2010 
(5) 10-YEAR SCORECARD.—The second scorecard shall dis-
play the budgetary effects of PAYGO legislation in each year 
over the 10-year period beginning in the budget year. 
(6) COMMUNITY LIVING ASSISTANCE SERVICES AND SUPPORTS 
ACT.—Neither scorecard maintained by OMB pursuant to this 
subsection shall include net savings from any provisions of 
legislation titled ‘‘Community Living Assistance Services and 
Supports Act’’, which establishes a Federal insurance program 
for long-term care, if such legislation is enacted into law, or 
amended, subsequent to the date of enactment of this title. 
(e) LOOK-BACK TO CAPTURE CURRENT-YEAR EFFECTS.—For pur-
poses of this section, OMB shall treat the budgetary effects of 
PAYGO legislation enacted during a session of Congress that occur 
during the current year as though they occurred in the budget 
year. 
(f) AVERAGING USED TO MEASURE COMPLIANCE OVER 5-YEAR 
AND 10-YEAR PERIODS.—OMB shall cumulate the budgetary effects 
of a PAYGO Act over the budget year (which includes any look- 
back effects under subsection (e)) and— 
(1) for purposes of the 5-year scorecard referred to in sub-
section (d)(4), the four subsequent outyears, divide that cumu-
lative total by five, and enter the quotient in the budget- 
year column and in each subsequent column of the 5-year 
PAYGO scorecard; and 
(2) for purposes of the 10-year scorecard referred to in 
subsection (d)(5), the nine subsequent outyears, divide that 
cumulative total by ten, and enter the quotient in the budget- 
year column and in each subsequent column of the 10-year 
PAYGO scorecard. 
(g) EMERGENCY LEGISLATION.— 
(1) DESIGNATION
IN
STATUTE.—If a provision of direct 
spending or revenue legislation in a PAYGO Act is enacted 
as an emergency requirement that the Congress so designates 
in statute pursuant to this section, the amounts of new budget 
authority, outlays, and revenue in all fiscal years resulting 
from that provision shall be treated as an emergency require-
ment for the purposes of this Act. 
(2) DESIGNATION IN THE HOUSE OF REPRESENTATIVES.—If 
a PAYGO Act includes a provision expressly designated as 
an emergency for the purposes of this title, the Chair shall 
put the question of consideration with respect thereto. 
(3) POINT OF ORDER IN THE SENATE.— 
(A) IN GENERAL.—When the Senate is considering a 
PAYGO Act, if a point of order is made by a Senator 
against an emergency designation in that measure, that 
provision making such a designation shall be stricken from 
the measure and may not be offered as an amendment 
from the floor. 
(B) SUPERMAJORITY WAIVER AND APPEALS.— 
(i) WAIVER.—Subparagraph (A) may be waived or 
suspended in the Senate only by an affirmative vote 
of three-fifths of the Members, duly chosen and sworn. 
(ii) APPEALS.—Appeals in the Senate from the 
decisions of the Chair relating to any provision of this 
subsection shall be limited to 1 hour, to be equally 
divided between, and controlled by, the appellant and 
the manager of the bill or joint resolution, as the 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00012
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 15 
PUBLIC LAW 111–139—FEB. 12, 2010 
case may be. An affirmative vote of three-fifths of 
the Members of the Senate, duly chosen and sworn, 
shall be required to sustain an appeal of the ruling 
of the Chair on a point of order raised under this 
subsection. 
(C) DEFINITION OF AN EMERGENCY DESIGNATION.—For 
purposes of subparagraph (A), a provision shall be consid-
ered an emergency designation if it designates any item 
as an emergency requirement pursuant to this subsection. 
(D) FORM OF THE POINT OF ORDER.—A point of order 
under subparagraph (A) may be raised by a Senator as 
provided in section 313 (e) of the Congressional Budget 
Act of 1974. 
(E) CONFERENCE REPORTS.—When the Senate is consid-
ering a conference report on, or an amendment between 
the Houses in relation to, a PAYGO Act, upon a point 
of order being made by any Senator pursuant to this sec-
tion, and such point of order being sustained, such material 
contained in such conference report shall be deemed 
stricken, and the Senate shall proceed to consider the ques-
tion of whether the Senate shall recede from its amendment 
and concur with a further amendment, or concur in the 
House amendment with a further amendment, as the case 
may be, which further amendment shall consist of only 
that portion of the conference report or House amendment, 
as the case may be, not so stricken. Any such motion 
in the Senate shall be debatable. In any case in which 
such point of order is sustained against a conference report 
(or Senate amendment derived from such conference report 
by operation of this subsection), no further amendment 
shall be in order. 
(4) EFFECT OF DESIGNATION ON SCORING.—If a provision 
is designated as an emergency requirement under this Act, 
CBO or OMB, as applicable, shall not include the budgetary 
effects of such a provision in its estimate of the budgetary 
effects of that PAYGO legislation. 
SEC. 5. ANNUAL REPORT AND SEQUESTRATION ORDER. 
(a) ANNUAL REPORT.—Not later than 14 days (excluding week-
ends and holidays) after Congress adjourns to end a session, OMB 
shall make publicly available and cause to be printed in the Federal 
Register an annual PAYGO report. The report shall include an 
up-to-date document containing the PAYGO scorecards, a descrip-
tion of any current policy adjustments made under section 4(c), 
information about emergency legislation (if any) designated under 
section 4(g), information about any sequestration if required by 
subsection (b), and other data and explanations that enhance public 
understanding of this title and actions taken under it. 
(b) SEQUESTRATION ORDER.—If the annual report issued at 
the end of a session of Congress under subsection (a) shows a 
debit on either PAYGO scorecard for the budget year, OMB shall 
prepare and the President shall issue and include in that report 
a sequestration order that, upon issuance, shall reduce budgetary 
resources of direct spending programs by enough to offset that 
debit as prescribed in section 6. If there is a debit on both score-
cards, the order shall fully offset the larger of the two debits. 
OMB shall transmit the order and the report to the House of 
President. 
Public 
information. 
Federal Register, 
publication. 
2 USC 934. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00013
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 16 
PUBLIC LAW 111–139—FEB. 12, 2010 
Representatives and the Senate. If the President issues a sequestra-
tion order, the annual report shall contain, for each budget account 
to be sequestered, estimates of the baseline level of budgetary 
resources subject to sequestration, the amount of budgetary 
resources to be sequestered, and the outlay reductions that will 
occur in the budget year and the subsequent fiscal year because 
of that sequestration. 
SEC. 6. CALCULATING A SEQUESTRATION. 
(a) REDUCING NONEXEMPT BUDGETARY RESOURCES BY A UNI-
FORM PERCENTAGE.— 
(1) IN GENERAL.—OMB shall calculate the uniform percent-
age by which the budgetary resources of nonexempt direct 
spending programs are to be sequestered such that the outlay 
savings resulting from that sequestration, as calculated under 
subsection (b), shall offset the budget-year debit, if any, on 
the applicable PAYGO scorecard. If the uniform percentage 
calculated under the prior sentence exceeds 4 percent, the 
Medicare programs described in section 256(d) of BBEDCA 
shall be reduced by 4 percent and the uniform percentage 
by which the budgetary resources of all other nonexempt direct 
spending programs are to be sequestered shall be increased, 
as necessary, so that the sequestration of Medicare and of 
all other nonexempt direct spending programs together produce 
the required outlay savings. 
(2) PROGRAMS AND ACTIVITIES IN UNIFIED BUDGET ONLY.— 
Subject to the exemptions set forth in section 11, OMB shall 
determine the uniform percentage required under paragraph 
(1) with respect to programs and activities contained in the 
unified budget only. 
(b) OUTLAY SAVINGS.—In determining the amount by which 
a sequestration offsets a budget-year debit, OMB shall count— 
(1) the amount by which the sequestration in a crop year 
of crop support payments, pursuant to section 256(j) of 
BBEDCA, reduces outlays in the budget year and the subse-
quent fiscal year; 
(2) the amount by which the sequestration of Medicare 
payments in the 12-month period following the sequestration 
order, pursuant to section 256(d) of BBEDCA, reduces outlays 
in the budget year and the subsequent fiscal year; and 
(3) the amount by which the sequestration in the budget 
year of the budgetary resources of other nonexempt mandatory 
programs reduces outlays in the budget year and in the subse-
quent fiscal year. 
SEC. 7. ADJUSTMENT FOR CURRENT POLICIES. 
(a) PURPOSE.—The purpose of this section is to provide for 
adjustments of estimates of budgetary effects of PAYGO legislation 
for legislation affecting 4 areas of the budget— 
(1) payments made under section 1848 of the Social Secu-
rity Act (referred to in this section as ‘‘Payment for Physicians’ 
Services’’); 
(2) the Estate and Gift Tax under subtitle B of the Internal 
Revenue Code of 1986; 
(3) the AMT; and 
(4) provisions of EGTRRA or JGTRRA that amended the 
Internal Revenue Code of 1986 (or provisions in later statutes 
2 USC 936. 
Determination. 
2 USC 935. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00014
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 17 
PUBLIC LAW 111–139—FEB. 12, 2010 
further amending the amendments made by EGTRRA or 
JGTRRA), other than— 
(A) the provisions of those 2 Acts that were made 
permanent by the Pension Protection Act of 2006 (Public 
Law 109–280); 
(B) amendments to the Estate and Gift Tax referred 
to in paragraph (2); 
(C) the AMT referred to in paragraph (3); and 
(D) the income tax rates on ordinary income that apply 
to individuals with adjusted gross incomes greater than 
$200,000 for a single filer and $250,000 for joint filers. 
(b) DURATION.—This section shall remain in effect through 
December 31, 2011. 
(c) MEDICARE PAYMENTS TO PHYSICIANS.— 
(1) 
CRITERIA.—Legislation 
that 
includes 
provisions 
amending or superseding the system for updating payments 
under subsections (d) and (f) of section 1848 of the Social 
Security Act shall trigger the current policy adjustment 
required by this title. 
(2) ADJUSTMENT.—The amount of the maximum current 
policy adjustment shall be the difference between— 
(A) estimated net outlays attributable to the payment 
rates and related parameters in accordance with sub-
sections (d) and (f) of section 1848 of the Social Security 
Act (as scheduled on December 31, 2009, to be in effect); 
and 
(B) what those net outlays would have been if— 
(i) the nominal payment rates and related param-
eters in effect for 2009 had been in effect through 
December 31, 2014, without change; and 
(ii) thereafter, the nominal payment rates and 
related parameters described in subparagraph (A) had 
applied and the assumption described in clause (i) 
had never applied. 
(3) LIMITATION.—If the provisions in the legislation that 
cause it to meet the criteria in paragraph (1) cover a time 
period that ends before December 31, 2014, subject to the 
maximum adjustment provided for under paragraph (2), the 
amount of each current policy adjustment made pursuant to 
this section shall be limited to the difference between— 
(A) estimated net outlays attributable to the payment 
rates and related parameters specified in that section of 
the Social Security Act (as scheduled on December 31, 
2009, to be in effect for the period of time covered by 
the relevant provisions of the eligible legislation); and 
(B) what those net outlays would have been if the 
nominal payment rates and related parameters in effect 
for 2009 had been in effect, without change, for the same 
period of time covered by the relevant provisions of the 
eligible legislation as under subparagraph (A). 
(d) ESTATE AND GIFT TAX.— 
(1) 
CRITERIA.—Legislation 
that 
includes 
provisions 
amending the Estate and Gift Tax under subtitle B of the 
Internal Revenue Code of 1986 shall trigger the current policy 
adjustment required by this title. 
(2) ADJUSTMENT.—The amount of the maximum current 
policy adjustment shall be the difference between— 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00015
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 18 
PUBLIC LAW 111–139—FEB. 12, 2010 
(A) total revenues projected to be collected under the 
Internal Revenue Code of 1986 (as scheduled on December 
31, 2009, to be in effect); and 
(B) what those revenue collections would have been 
if, on the date of enactment of the legislation meeting 
the criteria in paragraph (1), estate and gift tax law had 
instead been amended so that the tax rates, nominal 
exemption amounts, and related parameters in effect for 
tax year 2009 had remained in effect through December 
31, 2011, with nominal exemption amounts indexed for 
inflation after 2009 consistent with subsection (g). 
(3) LIMITATION.—If the provisions in the legislation that 
cause it to meet the criteria in paragraph (1) cover a time 
period that ends before December 31, 2011, subject to the 
maximum adjustment provided for under paragraph (2), the 
amount of each current policy adjustment made pursuant to 
this section shall be limited to the difference between— 
(A) total revenues projected to be collected under the 
Internal Revenue Code of 1986 (as scheduled on December 
31, 2009, to be in effect for the period of time covered 
by the relevant provisions of the eligible legislation); and 
(B) what those revenues would have been if the estate 
and gift tax law rates, nominal exemption amounts, and 
related parameters in effect for 2009, with nominal exemp-
tion amounts indexed for inflation after 2009 consistent 
with subsection (g), had been in effect for the same period 
of time covered by the relevant provisions of the eligible 
legislation as under subparagraph (A). 
(4) DURATION OF POLICY ADJUSTMENT.—Adjustments made 
pursuant to this subsection are available for policies affecting 
the estate and gift tax through only December 31, 2011. Any 
adjustments shall include budgetary effects in all years from 
these policy changes. 
(e) AMT RELIEF.— 
(1) 
CRITERIA.—Legislation 
that 
includes 
provisions 
extending AMT relief shall trigger the current policy adjust-
ment required by this title. 
(2) ADJUSTMENT.—The amount of the maximum current 
policy adjustment shall be the difference between— 
(A) total revenues projected to be collected under the 
Internal Revenue Code of 1986 (as scheduled on December 
31, 2009, to be in effect); and 
(B) what those revenue collections would have been 
if, on the date of enactment of legislation meeting the 
criteria in paragraph (1), AMT law had instead been 
amended by making commensurate adjustments in the 
exemption amounts for joint and single filers in such a 
manner that the number of taxpayers with AMT liability 
or lost credits that occur as a result of the AMT would 
not be estimated to exceed the number of taxpayers affected 
by the AMT in tax year 2008 in any year for which relief 
is provided, through December 31, 2011. 
(3) LIMITATION.—If the provisions in the legislation that 
cause it to meet the criteria in paragraph (1) cover a time 
period that ends before December 31, 2011, subject to the 
maximum adjustment provided for under paragraph (2), the 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00016
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 19 
PUBLIC LAW 111–139—FEB. 12, 2010 
amount of each current policy adjustment made pursuant to 
this section shall be limited to the difference between— 
(A) total revenues projected to be collected under the 
Internal Revenue Code of 1986 (as scheduled on December 
31, 2009, to be in effect for the period of time covered 
by the relevant provisions of the eligible legislation); and 
(B) what those revenues would have been if, on the 
date of enactment of legislation meeting the criteria in 
paragraph (1), AMT law had instead been amended by 
making commensurate adjustments in the exemption 
amounts for joint and single filers in such a manner that 
the number of taxpayers with AMT liability or lost credits 
that occur as a result of the AMT would not be estimated 
to exceed the number of AMT taxpayers in tax year 2008 
for the same period of time covered by the relevant provi-
sions of the eligible legislation as under subparagraph (A). 
(4) DURATION OF POLICY ADJUSTMENT.—Adjustments made 
pursuant to this subsection are available for policies affecting 
the AMT through only December 31, 2011. Any adjustments 
shall include budgetary effects in all years from these policy 
changes. 
(f) PERMANENT EXTENSION OF MIDDLE-CLASS TAX CUTS.— 
(1) 
CRITERIA.—Legislation 
that 
includes 
provisions 
extending middle-class tax cuts shall trigger the current policy 
adjustment required by this title if those provisions extend 
1 or more of the following provisions: 
(A) The 10 percent bracket as in effect for tax year 
2010, as provided for under section 101(a) of EGTRRA 
and any later amendments through December 31, 2009. 
(B) The child tax credit as in effect for tax year 2010, 
as provided for under section 201 of EGTRRA and any 
later amendments through December 31, 2009. 
(C) Tax benefits for married couples as in effect for 
tax year 2010, as provided for under title III of EGTRRA 
and any later amendments through December 31, 2009. 
(D) The adoption credit as in effect in tax year 2010, 
as provided for under section 202 of EGTRRA and any 
later amendments through December 31, 2009. 
(E) The dependent care credit as in effect in tax year 
2010, as provided for under section 204 of EGTRRA and 
any later amendments through December 31, 2009. 
(F) The employer-provided child care credit as in effect 
in tax year 2010, as provided for under section 205 of 
EGTRRA and any later amendments through December 
31, 2009. 
(G) The education tax benefits as in effect in tax year 
2010, as provided for under title IV of EGTRRA and any 
later amendments through December 31, 2009. 
(H) The 25 and 28 percent brackets as in effect for 
tax year 2010, as provided for under section 101(a) of 
EGTRRA and any later amendments through December 
31, 2009. 
(I) The 33 percent bracket as in effect for tax year 
2010, as provided for under section 101(a) of EGTRRA 
and any later amendment through December 31, 2009, 
affecting taxpayers with adjusted gross income of $200,000 
or less for single filers and $250,000 or less for joint filers 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00017
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 20 
PUBLIC LAW 111–139—FEB. 12, 2010 
in tax year 2010, with these income levels indexed for 
inflation in each subsequent year consistent with sub-
section (g). 
(J) The rates on income derived from capital gains 
and qualified dividends as in effect for tax year 2010, 
as provided for under sections 301 and 302 of JGTRRA 
and any later amendment through December 31, 2009, 
affecting taxpayers with adjusted gross income of $200,000 
or less for single filers and $250,000 for joint filers with 
these income levels indexed for inflation in each subsequent 
year consistent with subsection (g). 
(K) The phaseout of personal exemptions and the 
overall limitation on itemized deductions as in effect for 
tax year 2010, as provided for under sections 102 and 
103 of EGTRRA of 2001, respectively, and any later amend-
ment through December 31, 2009, affecting taxpayer with 
adjusted gross income of $200,000 or less for single filers 
and $250,000 for joint filers, with these income levels 
indexed for inflation in each subsequent year consistent 
with subsection (g). 
(L) The increase in the limitations on expensing depre-
ciable business assets for small businesses under section 
179(b) of the Internal Revenue Code of 1986 as in effect 
in tax year 2010, as provided under section 202 of JGTRRA 
and any later amendment through December 31, 2009. 
(2) ADJUSTMENT.—The amount of the maximum current 
policy adjustment shall be the difference between— 
(A) total revenues projected to be collected and outlays 
to be paid under the Internal Revenue Code of 1986 (as 
scheduled on December 31, 2009, to be in effect); and 
(B) what those revenue collections and outlay payments 
would have been if, on the date of enactment of legislation 
meeting the criteria in paragraph (1), the provisions identi-
fied in paragraph (1) were made permanent. 
(3) LIMITATION.—If the provisions in the legislation that 
cause it to meet the criteria in paragraph (1) are not permanent, 
subject to the maximum adjustment provided for under para-
graph (2), the amount of each current policy adjustment made 
pursuant to this section shall be limited to the difference 
between— 
(A) total revenues projected to be collected and outlays 
to be paid under the Internal Revenue Code of 1986 (as 
scheduled on December 31, 2009, to be in effect for the 
period of time covered by the relevant provisions of the 
eligible legislation); and 
(B) what those revenue collections and outlay payments 
would have been if, on the date of enactment of legislation 
meeting the criteria in paragraph (1), the provisions identi-
fied in paragraph (1) had been in effect, without change, 
for the same period of time covered by the relevant provi-
sions of the eligible legislation as under subparagraph (A). 
(g) INDEXING FOR INFLATION.—Indexed amounts are assumed 
to increase in each year by an amount equal to the cost-of-living 
adjustment determined under section 1(f)(3) of the Internal Revenue 
Code of 1986 for the calendar year in which the taxable year 
begins, determined by substituting ‘‘calendar year 2008’’ for ‘‘cal-
endar year 1992’’ in subparagraph (B) of such section. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00018
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 21 
PUBLIC LAW 111–139—FEB. 12, 2010 
(h) GUIDANCE ON ESTIMATES AND CURRENT POLICY ADJUST-
MENTS.— 
(1) MIDDLE CLASS TAX CUTS.—For purposes of estimates 
made pursuant to subsection (f)— 
(A) each of the income tax provisions shall be estimated 
as though the AMT had remained at current law as sched-
uled on December 31, 2009 to be in effect; and 
(B) if more than 1 of the income tax provisions is 
included in a single piece of legislation, those provisions 
shall be estimated in the order in which they appear. 
(2) AMT.—For purposes of estimates made pursuant to 
subsection (e), changes to the AMT shall be estimated as if, 
on the date of enactment of legislation meeting the criteria 
in subsection (e)(1), all of the income tax provisions identified 
in subsection (f)(1) were made permanent. 
SEC. 8. APPLICATION OF BBEDCA. 
For purposes of this title— 
(1) notwithstanding section 275 of BBEDCA, the provisions 
of sections 255, 256, 257, and 274 of BBEDCA, as amended 
by this title, shall apply to the provisions of this title; 
(2) references in sections 255, 256, 257, and 274 to ‘‘this 
part’’ or ‘‘this title’’ shall be interpreted as applying to this 
title; 
(3) references in sections 255, 256, 257, and 274 of BBEDCA 
to ‘‘section 254’’ shall be interpreted as referencing section 
5 of this title; 
(4) the reference in section 256(b) of BBEDCA to ‘‘section 
252 or 253’’ shall be interpreted as referencing section 5 of 
this title; 
(5) the reference in section 256(d)(1) of BBEDCA to ‘‘section 
252 or 253’’ shall be interpreted as referencing section 6 of 
this title; 
(6) the reference in section 256(d)(4) of BBEDCA to ‘‘section 
252 or 253’’ shall be interpreted as referencing section 5 of 
this title; 
(7) section 256(k) of BBEDCA shall apply to a sequestra-
tion, if any, under this title; and 
(8) references in section 257(e) of BBEDCA to ‘‘section 
251, 252, or 253’’ shall be interpreted as referencing section 
4 of this title. 
SEC. 9. TECHNICAL CORRECTIONS. 
(a) Section 250(c)(18) of BBEDCA is amended by striking ‘‘the 
expenses the Federal deposit insurance agencies’’ and inserting 
‘‘the expenses of the Federal deposit insurance agencies’’. 
(b) Section 256(k)(1) of BBEDCA is amended by striking ‘‘in 
paragraph (5)’’ and inserting ‘‘in paragraph (6)’’. 
SEC. 10. CONFORMING AMENDMENTS. 
(a) Section 256(a) of BBEDCA is repealed. 
(b) Section 256(b) of BBEDCA is amended by striking ‘‘origina-
tion fees under sections 438(c)(2) and 455(c) of that Act shall each 
be increased by 0.50 percentage point.’’ and inserting in lieu thereof 
‘‘origination fees under sections 438(c)(2) and (6) and 455(c) and 
loan processing and issuance fees under section 428(f)(1)(A)(ii) of 
that Act shall each be increased by the uniform percentage specified 
in that sequestration order, and, for student loans originated during 
Repeal. 
2 USC 906. 
2 USC 900. 
2 USC 937. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00019
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 22 
PUBLIC LAW 111–139—FEB. 12, 2010 
the period of the sequestration, special allowance payments under 
section 438(b) of that Act accruing during the period of the seques-
tration shall be reduced by the uniform percentage specified in 
that sequestration order.’’. 
(c) Section 256(c) of BBEDCA is repealed. 
(d) Section 256(d) of BBEDCA is amended— 
(1) by redesignating paragraphs (2), (3), and (4) as para-
graphs (3), (5), and (6); 
(2) by amending paragraph (1) to read as follows: 
‘‘(1) CALCULATION OF REDUCTION IN PAYMENT AMOUNTS.— 
To achieve the total percentage reduction in those programs 
required by section 252 or 253, subject to paragraph (2), and 
notwithstanding section 710 of the Social Security Act, OMB 
shall determine, and the applicable Presidential order under 
section 254 shall implement, the percentage reduction that 
shall apply, with respect to the health insurance programs 
under title XVIII of the Social Security Act— 
‘‘(A) in the case of parts A and B of such title, to 
individual payments for services furnished during the one- 
year period beginning on the first day of the first month 
beginning after the date the order is issued (or, if later, 
the date specified in paragraph (4)); and 
‘‘(B) in the case of parts C and D, to monthly payments 
under contracts under such parts for the same one-year 
period; 
such that the reduction made in payments under that order 
shall achieve the required total percentage reduction in those 
payments for that period.’’. 
(3) by inserting after paragraph (1) the following: 
‘‘(2) UNIFORM
REDUCTION
RATE; MAXIMUM
PERMISSIBLE 
REDUCTION.—Reductions in payments for programs and activi-
ties under such title XVIII pursuant to a sequestration order 
under section 254 shall be at a uniform rate, which shall 
not exceed 4 percent, across all such programs and activities 
subject to such order.’’; 
(4) by inserting after paragraph (3), as redesignated, the 
following: 
‘‘(4) TIMING
OF
SUBSEQUENT
SEQUESTRATION
ORDER.—A 
sequestration order required by section 252 or 253 with respect 
to programs under such title XVIII shall not take effect until 
the first month beginning after the end of the effective period 
of any prior sequestration order with respect to such programs, 
as determined in accordance with paragraph (1).’’; 
(5) in paragraph (6), as redesignated, to read as follows: 
‘‘(6) SEQUESTRATION DISREGARDED IN COMPUTING PAYMENT 
AMOUNTS.—The Secretary of Health and Human Services shall 
not take into account any reductions in payment amounts which 
have been or may be effected under this part, for purposes 
of computing any adjustments to payment rates under such 
title XVIII, specifically including— 
‘‘(A) the part C growth percentage under section 
1853(c)(6); 
‘‘(B) the part D annual growth rate under section 
1860D–2(b)(6); and 
‘‘(C) application of risk corridors to part D payment 
rates under section 1860D–15(e).’’; and 
Determination. 
Applicability. 
Repeal. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00020
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 23 
PUBLIC LAW 111–139—FEB. 12, 2010 
(6) by adding after paragraph (6), as redesignated, the 
following: 
‘‘(7) EXEMPTIONS FROM SEQUESTRATION.—In addition to the 
programs and activities specified in section 255, the following 
shall be exempt from sequestration under this part: 
‘‘(A) PART
D
LOW-INCOME
SUBSIDIES.—Premium and 
cost-sharing subsidies under section 1860D–14 of the Social 
Security Act. 
‘‘(B) PART D CATASTROPHIC SUBSIDY.—Payments under 
section 1860D–15(b) and (e)(2)(B) of the Social Security 
Act. 
‘‘(C) QUALIFIED INDIVIDUAL (QI) PREMIUMS.—Payments 
to States for coverage of Medicare cost-sharing for certain 
low-income Medicare beneficiaries under section 1933 of 
the Social Security Act.’’. 
SEC. 11. EXEMPT PROGRAMS AND ACTIVITIES. 
(a) DESIGNATIONS.—Section 255 of BBEDCA is amended by 
redesignating subsection (i) as (j) and striking ‘‘1998’’ and inserting 
in lieu thereof ‘‘2010’’. 
(b) SOCIAL SECURITY, VETERANS PROGRAMS, NET INTEREST, AND 
TAX
CREDITS.—Subsections (a) through (d) of section 255 of 
BBEDCA are amended to read as follows: 
‘‘(a) SOCIAL SECURITY BENEFITS AND TIER I RAILROAD RETIRE-
MENT BENEFITS.—Benefits payable under the old-age, survivors, 
and disability insurance program established under title II of the 
Social Security Act (42 U.S.C. 401 et seq.), and benefits payable 
under section 231b(a), 231b(f)(2), 231c(a), and 231c(f) of title 45 
United States Code, shall be exempt from reduction under any 
order issued under this part. 
‘‘(b) VETERANS PROGRAMS.—The following programs shall be 
exempt from reduction under any order issued under this part: 
‘‘All programs administered by the Department of Veterans 
Affairs. 
‘‘Special Benefits for Certain World War II Veterans (28– 
0401–0–1–701). 
‘‘(c) NET INTEREST.—No reduction of payments for net interest 
(all of major functional category 900) shall be made under any 
order issued under this part. 
‘‘(d) REFUNDABLE INCOME TAX CREDITS.—Payments to individ-
uals made pursuant to provisions of the Internal Revenue Code 
of 1986 establishing refundable tax credits shall be exempt from 
reduction under any order issued under this part.’’. 
(c) OTHER PROGRAMS AND ACTIVITIES, LOW-INCOME PROGRAMS, 
AND ECONOMIC RECOVERY PROGRAMS.—Subsections (g) and (h) of 
section 255 of BBEDCA are amended to read as follows: 
‘‘(g) OTHER PROGRAMS AND ACTIVITIES.— 
‘‘(1)(A) The following budget accounts and activities shall 
be exempt from reduction under any order issued under this 
part: 
‘‘Activities resulting from private donations, bequests, 
or voluntary contributions to the Government. 
‘‘Activities financed by voluntary payments to the 
Government for goods or services to be provided for such 
payments. 
‘‘Administration of Territories, Northern Mariana 
Islands Covenant grants (14–0412–0–1–808). 
2 USC 905. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00021
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 24 
PUBLIC LAW 111–139—FEB. 12, 2010 
‘‘Advances to the Unemployment Trust Fund and Other 
Funds (16–0327–0–1–600). 
‘‘Black Lung Disability Trust Fund Refinancing (16– 
0329–0–1–601). 
‘‘Bonneville Power Administration Fund and borrowing 
authority established pursuant to section 13 of Public Law 
93–454 (1974), as amended (89–4045–0–3–271). 
‘‘Claims, Judgments, and Relief Acts (20–1895–0–1– 
808). 
‘‘Compact of Free Association (14–0415–0–1–808). 
‘‘Compensation of the President (11–0209–01–1–802). 
‘‘Comptroller of the Currency, Assessment Funds (20– 
8413–0–8–373). 
‘‘Continuing Fund, Southeastern Power Administration 
(89–5653–0–2–271). 
‘‘Continuing Fund, Southwestern Power Administra-
tion (89–5649–0–2–271). 
‘‘Dual Benefits Payments Account (60–0111–0–1–601). 
‘‘Emergency Fund, Western Area Power Administration 
(89–5069–0–2–271). 
‘‘Exchange Stabilization Fund (20–4444–0–3–155). 
‘‘Farm Credit Administration Operating Expenses 
Fund (78–4131–0–3–351). 
‘‘Farm Credit System Insurance Corporation, Farm 
Credit Insurance Fund (78–4171–0–3–351). 
‘‘Federal Deposit Insurance Corporation, Deposit Insur-
ance Fund (51–4596–0–4–373). 
‘‘Federal Deposit Insurance Corporation, FSLIC Reso-
lution Fund (51–4065–0–3–373). 
‘‘Federal Deposit Insurance Corporation, Noninterest 
Bearing Transaction Account Guarantee (51–4458–0–3– 
373). 
‘‘Federal 
Deposit 
Insurance 
Corporation, 
Senior 
Unsecured Debt Guarantee (51–4457–0–3–373). 
‘‘Federal Home Loan Mortgage Corporation (Freddie 
Mac). 
‘‘Federal Housing Finance Agency, Administrative 
Expenses (95–5532–0–2–371). 
‘‘Federal National Mortgage Corporation (Fannie Mae). 
‘‘Federal Payment to the District of Columbia Judicial 
Retirement and Survivors Annuity Fund (20–1713–0–1– 
752). 
‘‘Federal Payment to the District of Columbia Pension 
Fund (20–1714–0–1–601). 
‘‘Federal 
Payments 
to 
the 
Railroad 
Retirement 
Accounts (60–0113–0–1–601). 
‘‘Federal Reserve Bank Reimbursement Fund (20– 
1884–0–1–803). 
‘‘Financial Agent Services (20–1802–0–1–803). 
‘‘Foreign Military Sales Trust Fund (11–8242–0–7– 
155). 
‘‘Hazardous Waste Management, Conservation Reserve 
Program (12–4336–0–3–999). 
‘‘Host Nation Support Fund for Relocation (97–8337– 
0–7–051). 
‘‘Internal Revenue Collections for Puerto Rico (20– 
5737–0–2–806). 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00022
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 25 
PUBLIC LAW 111–139—FEB. 12, 2010 
‘‘Intragovernmental funds, including those from which 
the outlays are derived primarily from resources paid in 
from other government accounts, except to the extent such 
funds are augmented by direct appropriations for the fiscal 
year during which an order is in effect. 
‘‘Medical Facilities Guarantee and Loan Fund (75– 
9931–0–3–551). 
‘‘National 
Credit 
Union 
Administration, 
Central 
Liquidity Facility (25–4470–0–3–373). 
‘‘National Credit Union Administration, Corporate 
Credit Union Share Guarantee Program (25–4476–0–3– 
376). 
‘‘National Credit Union Administration, Credit Union 
Homeowners Affordability Relief Program (25–4473–0–3– 
371). 
‘‘National Credit Union Administration, Credit Union 
Share Insurance Fund (25–4468–0–3–373). 
‘‘National Credit Union Administration, Credit Union 
System Investment Program (25–4474–0–3–376). 
‘‘National Credit Union Administration, Operating 
fund (25–4056–0–3–373). 
‘‘National Credit Union Administration, Share Insur-
ance Fund Corporate Debt Guarantee Program (25–4469– 
0–3–376). 
‘‘National Credit Union Administration, U.S. Central 
Federal Credit Union Capital Program (25–4475–0–3–376). 
‘‘Office of Thrift Supervision (20–4108–0–3–373). 
‘‘Panama Canal Commission Compensation Fund (16– 
5155–0–2–602). 
‘‘Payment of Vietnam and USS Pueblo prisoner-of-war 
claims within the Salaries and Expenses, Foreign Claims 
Settlement account (15–0100–0–1–153). 
‘‘Payment to Civil Service Retirement and Disability 
Fund (24–0200–0–1–805). 
‘‘Payment to Department of Defense Medicare-Eligible 
Retiree Health Care Fund (97–0850–0–1–054). 
‘‘Payment to Judiciary Trust Funds (10–0941–0–1– 
752). 
‘‘Payment to Military Retirement Fund (97–0040–0– 
1–054). 
‘‘Payment to the Foreign Service Retirement and Dis-
ability Fund (19–0540–0–1–153). 
‘‘Payments to Copyright Owners (03–5175–0–2–376). 
‘‘Payments to Health Care Trust Funds (75–0580–0– 
1–571). 
‘‘Payment to Radiation Exposure Compensation Trust 
Fund (15–0333–0–1–054). 
‘‘Payments to Social Security Trust Funds (28–0404– 
0–1–651). 
‘‘Payments to the United States Territories, Fiscal 
Assistance (14–0418–0–1–806). 
‘‘Payments to trust funds from excise taxes or other 
receipts properly creditable to such trust funds. 
‘‘Payments to widows and heirs of deceased Members 
of Congress (00–0215–0–1–801). 
‘‘Postal Service Fund (18–4020–0–3–372). 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00023
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 26 
PUBLIC LAW 111–139—FEB. 12, 2010 
‘‘Radiation Exposure Compensation Trust Fund (15– 
8116–0–1–054). 
‘‘Reimbursement to Federal Reserve Banks (20–0562– 
0–1–803). 
‘‘Salaries of Article III judges. 
‘‘Soldiers and Airmen’s Home, payment of claims (84– 
8930–0–7–705). 
‘‘Tennessee Valley Authority Fund, except nonpower 
programs and activities (64–4110–0–3–999). 
‘‘Tribal and Indian trust accounts within the Depart-
ment of the Interior which fund prior legal obligations 
of the Government or which are established pursuant to 
Acts of Congress regarding Federal management of tribal 
real property or other fiduciary responsibilities, including 
but not limited to Tribal Special Fund (14–5265–0–2–452), 
Tribal Trust Fund (14–8030–0–7–452), White Earth Settle-
ment (14–2204–0–1–452), and Indian Water Rights and 
Habitat Acquisition (14–5505–0–2–303). 
‘‘United Mine Workers of America 1992 Benefit Plan 
(95–8260–0–7–551). 
‘‘United Mine Workers of America 1993 Benefit Plan 
(95–8535–0–7–551). 
‘‘United Mine Workers of America Combined Benefit 
Fund (95–8295–0–7–551). 
‘‘United States Enrichment Corporation Fund (95– 
4054–0–3–271). 
‘‘Universal Service Fund (27–5183–0–2–376). 
‘‘Vaccine Injury Compensation (75–0320–0–1–551). 
‘‘Vaccine Injury Compensation Program Trust Fund 
(20–8175–0–7–551). 
‘‘(B) The following Federal retirement and disability 
accounts and activities shall be exempt from reduction under 
any order issued under this part: 
‘‘Black Lung Disability Trust Fund (20–8144–0–7–601). 
‘‘Central Intelligence Agency Retirement and Disability 
System Fund (56–3400–0–1–054). 
‘‘Civil Service Retirement and Disability Fund (24– 
8135–0–7–602). 
‘‘Comptrollers general retirement system (05–0107–0– 
1–801). 
‘‘Contributions to U.S. Park Police annuity benefits, 
Other Permanent Appropriations (14–9924–0–2–303). 
‘‘Court of Appeals for Veterans Claims Retirement 
Fund (95–8290–0–7–705). 
‘‘Department of Defense Medicare-Eligible Retiree 
Health Care Fund (97–5472–0–2–551). 
‘‘District of Columbia Federal Pension Fund (20–5511– 
0–2–601). 
‘‘District of Columbia Judicial Retirement and Sur-
vivors Annuity Fund (20–8212–0–7–602). 
‘‘Energy Employees Occupational Illness Compensation 
Fund (16–1523–0–1–053). 
‘‘Foreign National Employees Separation Pay (97– 
8165–0–7–051). 
‘‘Foreign 
Service 
National 
Defined 
Contributions 
Retirement Fund (19–5497–0–2–602). 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00024
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 27 
PUBLIC LAW 111–139—FEB. 12, 2010 
‘‘Foreign Service National Separation Liability Trust 
Fund (19–8340–0–7–602). 
‘‘Foreign Service Retirement and Disability Fund (19– 
8186–0–7–602). 
‘‘Government Payment for Annuitants, Employees 
Health Benefits (24–0206–0–1–551). 
‘‘Government Payment for Annuitants, Employee Life 
Insurance (24–0500–0–1–602). 
‘‘Judicial Officers’ Retirement Fund (10–8122–0–7– 
602). 
‘‘Judicial Survivors’ Annuities Fund (10–8110–0–7– 
602). 
‘‘Military Retirement Fund (97–8097–0–7–602). 
‘‘National Railroad Retirement Investment Trust (60– 
8118–0–7–601). 
‘‘National Oceanic and Atmospheric Administration 
retirement (13–1450–0–1–306). 
‘‘Pensions for former Presidents (47–0105–0–1–802). 
‘‘Postal Service Retiree Health Benefits Fund (24– 
5391–0–2–551). 
‘‘Public Safety Officer Benefits (15–0403–0–1–754). 
‘‘Rail Industry Pension Fund (60–8011–0–7–601). 
‘‘Retired Pay, Coast Guard (70–0602–0–1–403). 
‘‘Retirement Pay and Medical Benefits for Commis-
sioned Officers, Public Health Service (75–0379–0–1–551). 
‘‘Special Benefits for Disabled Coal Miners (16–0169– 
0–1–601). 
‘‘Special Benefits, Federal Employees’ Compensation 
Act (16–1521–0–1–600). 
‘‘Special Workers Compensation Expenses (16–9971– 
0–7–601). 
‘‘Tax Court Judges Survivors Annuity Fund (23–8115– 
0–7–602). 
‘‘United States Court of Federal Claims Judges’ Retire-
ment Fund (10–8124–0–7–602). 
‘‘United States Secret Service, DC Annuity (70–0400– 
0–1–751). 
‘‘Voluntary Separation Incentive Fund (97–8335–0–7– 
051). 
‘‘(2) Prior legal obligations of the Government in the fol-
lowing budget accounts and activities shall be exempt from 
any order issued under this part: 
‘‘Biomass Energy Development (20–0114–0–1–271). 
‘‘Check Forgery Insurance Fund (20–4109–0–3–803). 
‘‘Credit liquidating accounts. 
‘‘Credit reestimates. 
‘‘Employees Life Insurance Fund (24–8424–0–8–602). 
‘‘Federal Aviation Insurance Revolving Fund (69–4120– 
0–3–402). 
‘‘Federal Crop Insurance Corporation Fund (12–4085– 
0–3–351). 
‘‘Federal Emergency Management Agency, National 
Flood Insurance Fund (58–4236–0–3–453). 
‘‘Geothermal resources development fund (89–0206–0– 
1–271). 
‘‘Low-Rent Public Housing—Loans and Other Expenses 
(86–4098–0–3–604). 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00025
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 28 
PUBLIC LAW 111–139—FEB. 12, 2010 
‘‘Maritime 
Administration, 
War 
Risk 
Insurance 
Revolving Fund (69–4302–0–3–403). 
‘‘Natural Resource Damage Assessment Fund (14– 
1618–0–1–302). 
‘‘Overseas Private Investment Corporation, Noncredit 
Account (71–4184–0–3–151). 
‘‘Pension Benefit Guaranty Corporation Fund (16– 
4204–0–3–601). 
‘‘San Joaquin Restoration Fund (14–5537–0–2–301). 
‘‘Servicemembers’ Group Life Insurance Fund (36– 
4009–0–3–701). 
‘‘Terrorism Insurance Program (20–0123–0–1–376). 
‘‘(h) LOW-INCOME PROGRAMS.—The following programs shall be 
exempt from reduction under any order issued under this part: 
‘‘Academic Competitiveness/Smart Grant Program (91– 
0205–0–1–502). 
‘‘Child Care Entitlement to States (75–1550–0–1–609). 
‘‘Child Enrollment Contingency Fund (75–5551–0–2–551). 
‘‘Child Nutrition Programs (with the exception of special 
milk programs) (12–3539–0–1–605). 
‘‘Children’s Health Insurance Fund (75–0515–0–1–551). 
‘‘Commodity Supplemental Food Program (12–3507–0–1– 
605). 
‘‘Contingency Fund (75–1522–0–1–609). 
‘‘Family Support Programs (75–1501–0–1–609). 
‘‘Federal Pell Grants under section 401 Title IV of the 
Higher Education Act. 
‘‘Grants to States for Medicaid (75–0512–0–1–551). 
‘‘Payments for Foster Care and Permanency (75–1545–0– 
1–609). 
‘‘Supplemental Nutrition Assistance Program (12–3505–0– 
1–605). 
‘‘Supplemental Security Income Program (28–0406–0–1– 
609). 
‘‘Temporary Assistance for Needy Families (75–1552–0– 
1–609).’’. 
(d) ADDITIONAL EXCLUDED PROGRAMS.—Section 255 of BBEDCA 
is amended by adding the following after subsection (h): 
‘‘(i) ECONOMIC RECOVERY PROGRAMS.—The following programs 
shall be exempt from reduction under any order issued under this 
part: 
‘‘GSE Preferred Stock Purchase Agreements (20–0125–0– 
1–371). 
‘‘Office of Financial Stability (20–0128–0–1–376). 
‘‘Special Inspector General for the Troubled Asset Relief 
Program (20–0133–0–1–376). 
‘‘(j) SPLIT TREATMENT PROGRAMS.—Each of the following pro-
grams shall be exempt from any order under this part to the 
extent that the budgetary resources of such programs are subject 
to obligation limitations in appropriations bills: 
‘‘Federal-Aid Highways (69–8083–0–7–401). 
‘‘Highway Traffic Safety Grants (69–8020–0–7–401). 
‘‘Operations and Research NHTSA and National Driver Register 
(69–8016–0–7–401). 
‘‘Motor Carrier Safety Operations and Programs (69–8159–0– 
7–401). 
‘‘Motor Carrier Safety Grants (69–8158–0–7–401). 
2 USC 905. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00026
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 29 
PUBLIC LAW 111–139—FEB. 12, 2010 
‘‘Formula and Bus Grants (69–8350–0–7–401). 
‘‘Grants-In-Aid for Airports (69–8106–0–7–402).’’. 
SEC. 12. DETERMINATIONS AND POINTS OF ORDER. 
Nothing in this title shall be construed as limiting the authority 
of the chairmen of the Committees on the Budget of the House 
and Senate under section 312 of the Congressional Budget Act 
of 1974. CBO may consult with the Chairmen of the House and 
Senate Budget Committees to resolve any ambiguities in this title. 
SEC. 13. LIMITATION ON CHANGES TO THE SOCIAL SECURITY ACT. 
(a) LIMITATION ON CHANGES TO THE SOCIAL SECURITY ACT.— 
Notwithstanding any other provision of law, it shall not be in 
order in the Senate or the House of Representatives to consider 
any bill or resolution pursuant to any expedited procedure to con-
sider the recommendations of a Task Force for Responsible Fiscal 
Action or other commission that contains recommendations with 
respect to the old-age, survivors, and disability insurance program 
established under title II of the Social Security Act, or the taxes 
received under subchapter A of chapter 9; the taxes imposed by 
subchapter E of chapter 1; and the taxes collected under section 
86 of part II of subchapter B of chapter 1 of the Internal Revenue 
Code. 
(b) WAIVER.—This section may be waived or suspended in the 
Senate only by the affirmative vote of three-fifths of the Members, 
duly chosen and sworn. 
(c) APPEALS.—An affirmative vote of three-fifths of the Members 
of the Senate, duly chosen and sworn, shall be required in the 
Senate to sustain an appeal of the ruling of the Chair on a point 
of order raised under this section. 
TITLE II—ELIMINATION OF DUPLICA-
TIVE AND WASTEFUL SPENDING 
SEC. 21. IDENTIFICATION, CONSOLIDATION, AND ELIMINATION OF 
DUPLICATIVE GOVERNMENT PROGRAMS. 
The Comptroller General of the Government Accountability 
Office shall conduct routine investigations to identify programs, 
agencies, offices, and initiatives with duplicative goals and activities 
within Departments and governmentwide and report annually to 
Congress on the findings, including the cost of such duplication 
Investigations. 
Reports. 
Deadline. 
31 USC 712 note. 
2 USC 939. 
2 USC 938. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00027
Fmt 6580
Sfmt 6581
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB
124 STAT. 30 
PUBLIC LAW 111–139—FEB. 12, 2010 
LEGISLATIVE HISTORY—H.J. Res. 45: 
CONGRESSIONAL RECORD: 
Vol. 155 (2009): Apr. 29, considered and passed House pursuant to 
S. Con. Res. 13. 
Vol. 156 (2010): Jan. 20–22, 25, 26, 28, considered and passed Senate, 
amended. 
Feb. 4, House concurred in Senate amendment. 
and with recommendations for consolidation and elimination to 
reduce duplication identifying specific rescissions. 
Approved February 12, 2010. 
VerDate Mar 15 2010 
06:37 Dec 06, 2012
Jkt 089194
PO 00001
Frm 00028
Fmt 6580
Sfmt 6580
G:\GSDD\STATUTES\2010\PT1\89194PT1.001
89194PT1
dkrause on DSKHT7XVN1PROD with $$_JOB