Economic Growth and Social Security Transition Act - Provides that, for purposes of this Act: (1) the initial direct spending targets for each of FY 1998 through 2002 shall equal total outlays for all direct spending except net interest as provided in H. Con. Res. 84 (105th Congress), the concurrent resolution on the budget for FY 1998, unless such outlays are reduced by a subsequent budget resolution (in which case the lower level of total outlays except net interest shall be used); and (2) the revenue targets are the amounts provided in such resolution.
Requires the President, as part of each Federal budget submitted to the Congress, to provide an annual review of direct spending and receipts, including: (1) information on total outlays for programs covered by the direct spending targets, including actual outlays for the prior fiscal year and projected outlays for the current and five succeeding fiscal years; and (2) any amount by which revenues for a budget year and any outyears through FY 2002 exceed the revenue target.
Directs the Office of Management and Budget to include the amount of any changes in revenues as a deficit decrease under specified estimates and sequestration reports required by the Balanced Budget and Emergency Deficit Control Act of 1985 (Gramm-Rudman-Hollings Act). Provides that any amount not to exceed the amount of deficit decrease may only be offset by legislation to help pay for the transition costs to a fully funded Social Security system that includes individually owned accounts that are invested in real assets.
Directs the President to include a special direct spending message in the budget if the information submitted indicates that: (1) actual outlays for direct spending in the prior fiscal year exceeded the applicable spending target; or (2) outlays for the current or future budget years are projected to exceed targets. Requires such message to include: (1) an analysis of the variance in direct spending over the direct spending targets; (2) recommendations for eliminating overages, if any, in the prior, current, or future budget years; and (3) the text of a special direct spending resolution implementing such recommendations through reconciliation directives instructing the appropriate committees to recommend changes in laws within their jurisdictions.
Provides a point of order against consideration of any concurrent budget resolution unless it fully eliminates the entirety of any overage contained in the President's message. Makes special message and point of order procedures inapplicable for any fiscal year in which the overage is less than one-half of one percent of the direct spending target for that year.
Applies this Act to direct spending targets and revenues for FY 1998 through 2002.
[Congressional Bills 105th Congress]
[From the U.S. Government Printing Office]
[H.R. 2825 Introduced in House (IH)]
105th CONGRESS
1st Session
H. R. 2825
To establish procedures to ensure a balanced Federal budget by fiscal
year 2002 and to create a Social Security reform reserve fund to
protect revenues generated by economic growth.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
November 5, 1997
Mr. Sanford 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 establish procedures to ensure a balanced Federal budget by fiscal
year 2002 and to create a Social Security reform reserve fund to
protect revenues generated by economic growth.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; PURPOSE.
(a) Short Title.--This Act may be cited as the ``Economic Growth
and Social Security Transition Act''.
(b) Purpose.--The purpose of this Act is--
(1) to ensure a balanced Federal budget by fiscal year
2002;
(2) to create a mechanism to monitor total costs of direct
spending programs, and, in the event that actual or projected
costs exceed targeted levels, to require the President and
Congress to address adjustments in direct spending; and
(3) to ensure that windfall revenues are used to help pay
for the transition costs to a fully funded Social Security
system that includes individually owned accounts that are
invested in real assets such as equities, bonds and similar
financial instruments.
SEC. 2. ESTABLISHMENT OF DIRECT SPENDING AND REVENUE TARGETS.
For purposes of this Act--
(1) the initial direct spending targets for each of fiscal
years 1998 through 2002 shall equal total outlays for all
direct spending except net interest as provided in H. Con. Res.
84, the concurrent resolution on the budget for fiscal year
1998, unless such outlays are reduced by a subsequent
concurrent resolution on the budget; in which case, the lower
level of total outlays for all direct spending except net
interest shall be used; and
(2) the revenue targets are the revenue amounts provided in
H. Con. Res. 84, the concurrent resolution on the budget for
fiscal year 1998.
SEC. 3. ANNUAL REVIEW OF DIRECT SPENDING AND RECEIPTS BY PRESIDENT.
As part of each budget submitted under section 1105(a) of title 31,
United States Code, the President shall provide an annual review of
direct spending and receipts, which shall include--
(1) information on total outlays for programs covered by
the direct spending targets, including actual outlays for the
prior fiscal year and projected outlays for the current fiscal
year and the 5 succeeding fiscal years; and
(2) any amount by which revenues for a budget year and any
outyears through fiscal year 2002 exceed the revenue target in
section 2(2).
SEC. 4. FINANCING TRANSITION TO A SOUND SOCIAL SECURITY SYSTEM.
(a) Inclusion on Scorecard.--The Office of Management and Budget
shall include the amount of any changes in revenues determined pursuant
to section 3(2) as a deficit decrease under the estimates and reports
required by section 252(b) and section 254 of the Balanced Budget and
Emergency Deficit Control Act of 1985.
(b) Use of Revenues Exceeding Target.--Any amount not to exceed the
amount of deficit decrease determined under section 3(2) may only be
offset by legislation to help pay for the transition costs to a fully
funded Social Security system that includes individually owned accounts
that are invested in real assets such as equities, bonds and similar
financial instruments.
SEC. 5. SPECIAL DIRECT SPENDING MESSAGE BY PRESIDENT.
(a) Trigger.--If the information submitted by the President under
section 3(1) indicates--
(1) that actual outlays for direct spending in the prior
fiscal year exceeded the applicable direct spending target; or
(2) that outlays for direct spending for the current or
future budget years are projected to exceed the applicable
direct spending targets,
the President shall include in his budget a special direct spending
message meeting the requirements of subsection (b).
(b) Contents.--The special direct spending message shall include--
(1) an analysis of the variance in direct spending over the
direct spending targets; and
(2) the President's recommendations for eliminating
overages, if any, in the prior, current, or future budget
years.
(c) Proposed Special Direct Spending Resolution.--The special
direct spending message shall include the text of a special direct
spending resolution implementing the President's recommendations
through reconciliation directives instructing the appropriate
committees of the House of Representatives and Senate to determine and
recommend changes in laws within their jurisdictions. If the President
recommends no reductions pursuant to (b)(2)(C), the special direct
spending message shall include the text of a special resolution
concurring in the President's recommendation of no legislative action.
SEC. 6. REQUIRED RESPONSE BY CONGRESS.
(a) In General.--It shall not be in order in the House of
Representatives or the Senate to consider a concurrent resolution on
the budget unless that concurrent resolution fully eliminates the
entirety of any overage contained in the applicable report of the
President under section 5 through reconciliation directives.
(b) Waiver and Suspension.--This section may be waived or suspended
in the House of Representatives or the Senate only by the affirmative
vote of three-fifths of the Members duly chosen and sworn. This section
shall be subject to the provisions of section 258 of the Balanced
Budget and Emergency Deficit Control Act of 1985.
(c) Appeals.--Appeals in the House of Representatives or the Senate
from the decisions of the Chair relating to any provision of this
section 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 case may be. An affirmative vote of three-fifths of
the Members, 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
section.
SEC. 7. RELATIONSHIP TO BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL
ACT.
Reductions in outlays resulting from legislation reported pursuant
to section 6 shall not be taken into account for purposes of any budget
enforcement procedure under the Balanced Budget and Emergency Deficit
Control Act of 1985 and the Congressional Budget Act of 1974.
SEC. 8. ESTIMATING MARGIN.
For any fiscal year for which the overage is less than one-half of
1 percent of the direct spending target for that year, the procedures
set forth in sections 5 and 6 shall not apply.
SEC. 9. EFFECTIVE DATE.
This Act shall apply to direct spending targets and revenues for
fiscal years 1998 through 2002 and shall expire at the end of fiscal
year 2002.
<all>
Introduced in House
Introduced in House
Referred to House Budget
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.
Referred to House Rules
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