Spending Control Act of 2011 - Amends the Balanced Budget and Emergency Deficit Control Act of 1985 (Gramm-Rudman-Hollings Act) to establish for FY2013-FY2021: (1) direct spending limits, (2) total spending limits, and (3) deficit limits. Prescribes certain deficit control mechanisms (sequestration and reduction orders) for such period.
Requires the Office of Management and Budget (OMB) and the Congressional Budget Office (CBO) to: (1) determine common scorekeeping guidelines, and (2) prepare estimates in conformance with such guidelines.
Requires OMB and CBO each to make annual comparisons for the current and the ten ensuing fiscal years of projected total deficits and specified deficit limits.
Repeals the Statutory Pay-As-You-Go Act of 2010.
Prescribes and/or revises requirements for direct, total, and deficit sequestration preview and final reports. Eliminates Pay-As-You-Go reports.
Adds the following programs and activities to the list exempted from sequestration orders: (1) obligated balances of budget authority carried over from prior fiscal years; (2) federal obligations required to be paid under the U.S. Constitution or legally contractual obligations; (3) Claims, Judgments, and Relief Acts (20-1895-0-1-808); and (4) intragovernmental transfers.
Modifies and/or repeals certain mandatory general and special sequestration rules.
Requires an appropriate adjustment for the discretionary spending limit of an outyear if an appropriation for the budget year causes a change in direct spending in that outyear.
Amends the Congressional Budget Act of 1974 (CBA) to: (1) repeal the current requirement for adjusting the allocation of discretionary spending in the House of Representatives if a budget resolution is not adopted by April 15, and (2) allow the joint explanatory statement accompanying a conference report on a budget resolution to include an allocation of the level for the global war on terrorism (GWOT) for that fiscal year.
Prescribes administrative and legislative procedures for emergency and GWOT adjustments.
Amends the CBA to make it out of order in both chambers to consider legislation, if the provisions of such measure have the net effect of increasing direct spending for the current year, the budget year, and the four or nine fiscal years following that budget year. (Thus enforces Cut-As-You-Go.)
Repeals Clause 10 of Rule XXI (Restrictions on Certain Bills) of the Rules of the House of Representatives.
Amends the CBA to permit waiver or suspension in the Senate of certain prohibitions under such Act and the Gramm-Rudman-Hollings Act, or successful appeals from rulings of the Chair, only by an affirmative vote of three-fifths (60) of the Members.
[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3576 Introduced in House (IH)]
112th CONGRESS
1st Session
H. R. 3576
To amend the Balanced Budget and Emergency Deficit Control Act of 1985
to establish spending limits and deficit control.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 7, 2011
Mr. Campbell (for himself, Mr. Ryan of Wisconsin, Mr. Hensarling, Mr.
Guinta, Mr. Rokita, Mr. Chaffetz, and Mr. Stutzman) 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 amend the Balanced Budget and Emergency Deficit Control Act of 1985
to establish spending limits and deficit control.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Spending Control
Act of 2011''.
(b) Table of Contents.--
Sec. 1. Short title; table of contents.
TITLE I--SPENDING LIMITS AND DEFICIT CONTROL
Sec. 101. Direct spending limits.
Sec. 102. Total spending limits.
Sec. 103. Deficit limits.
Sec. 104. Repeal of statutory PAYGO.
Sec. 105. Reports and orders.
Sec. 106. Exempt programs and activities; special sequestration rules.
Sec. 107. Adjustments for changes in direct spending.
TITLE II--BUDGETING FOR EMERGENCIES AND WAR
Sec. 201. Allocations for the global war on terrorism.
Sec. 202. Emergency and global war on terrorism (GWOT) adjustment
procedures.
Sec. 203. Elimination of emergency adjustments.
Sec. 204. Conforming amendment to the Balanced Budget and Emergency
Deficit Control Act of 1985.
TITLE III--ENFORCING CUT-AS-YOU-GO
Sec. 301. Enforcing Cut-As-You-Go.
TITLE IV--SUPERMAJORITY POINTS OF ORDER
Sec. 401. Supermajority points of order.
TITLE I--SPENDING LIMITS AND DEFICIT CONTROL
SEC. 101. DIRECT SPENDING LIMITS.
(a) Control of Direct Spending.--Section 252 of the Balanced Budget
and Emergency Deficit Control Act of 1985 is amended to read as
follows:
``SEC. 252. DIRECT SPENDING LIMITS.
``(a) Direct Spending Limits.--The total level of direct spending
for each fiscal year set forth below is as follows:
``(1) For fiscal year 2013--
``(A) for Medicare, $515,001,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $293,611,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$474,527,000,000 in budget authority and the outlays
flowing therefrom.
``(2) For fiscal year 2014--
``(A) for Medicare, $545,303,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $287,942,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$431,870,000,000 in budget authority and the outlays
flowing therefrom.
``(3) For fiscal year 2015--
``(A) for Medicare, $568,450,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $276,890,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$401,509,000,000 in budget authority and the outlays
flowing therefrom.
``(4) For fiscal year 2016--
``(A) for Medicare, $614,243,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $270,287,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$422,579,000,000 in budget authority and the outlays
flowing therefrom.
``(5) For fiscal year 2017--
``(A) for Medicare, $633,169,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $288,914,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$414,028,000,000 in budget authority and the outlays
flowing therefrom.
``(6) For fiscal year 2018--
``(A) for Medicare, $652,180,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $297,823,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$412,225,000,000 in budget authority and the outlays
flowing therefrom.
``(7) For fiscal year 2019--
``(A) for Medicare, $706,477,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $318,508,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$423,383,000,000 in budget authority and the outlays
flowing therefrom.
``(8) For fiscal year 2020--
``(A) for Medicare, $753,235,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $341,284,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$432,352,000,000 in budget authority and the outlays
flowing therefrom.
``(9) For fiscal year 2021--
``(A) for Medicare, $803,952,000,000 in budget
authority and the outlays flowing therefrom;
``(B) for Medicaid and other health-related
spending, $348,739,000,000 in budget authority and the
outlays flowing therefrom; and
``(C) for all other direct spending,
$440,804,000,000 in budget authority and the outlays
flowing therefrom.
``(b) Sequestration.--(1) Within 15 calendar days after Congress
adjourns to end a session and on the same day as a sequestration under
sections 251, 251A, 253, but after any sequestration required by
section 251 and 251A and before sections 252A and 253, there shall be a
sequestration to eliminate any direct spending in excess of the direct
spending limits set forth in subsection (a), as applicable, for the
budget year.
``(2) The amount required to be sequestered in a fiscal year under
paragraph (1)--
``(A) for Medicare spending shall be obtained from non-
exempt direct spending accounts for Medicare;
``(B) for Medicaid and other health-related spending shall
be obtained from non-exempt direct spending accounts for
Medicaid and other health-related spending; and
``(C) for all other direct spending shall be obtained from
non-exempt direct spending accounts.
``(3) Each account referred to in subparagraph (A), (B), or (C) of
paragraph (2) shall be reduced by the uniform percentage necessary to
reduce any excess direct spending in accounts in that subparagraph to
the applicable level set forth in subsection (a), as applicable, for
the budget year.
``(c) Scorekeeping Guidelines.--OMB and CBO, after consultation
with each other and the Committees on the Budget of the House of
Representatives and the Senate, shall--
``(1) determine common scorekeeping guidelines; and
``(2) in conformance with such guidelines, prepare
estimates under this section''.
(b) Definitions.--Section 250(c) of the Balanced Budget and
Emergency Deficit Control Act of 1985 is amended by adding at the end
the following new paragraphs:
``(22) The term `Medicare' means programs within budget
function 570.
``(23) The term `Medicaid and other health-related
spending' means programs within budget function 550.
``(24) The term `other direct spending' means programs
other than those within budget functions 550 and 570, excluding
Social Security and net interest.''.
(c) Conforming Amendment.--The item relating to section 252 in the
table of contents set forth in 250(a) of the Balanced Budget and
Emergency Deficit Control Act of 1985 is amended to read as follows:
``Sec. 252. Direct spending limits.''.
SEC. 102. TOTAL SPENDING LIMITS.
(a) Total Spending Limits.--The Balanced Budget and Emergency
Deficit Control Act of 1985 is amended by adding after section 252 the
following new section:
``SEC. 252A. TOTAL SPENDING LIMITS.
``(a) Sequestration.--(1) Within 15 calendar days after Congress
adjourns to end a session and on the same day as a spending reduction
ordered under sections 251, 251A, 252, and 253, but after any spending
reduction required by sections 251, 251A, and 252, and before section
253, there shall be a sequestration of all non-exempt direct spending
accounts and discretionary accounts to eliminate any total spending in
excess of the total spending limits set forth in subsection (b) for the
budget year.
``(2) Each account referred to in paragraph (1) shall be reduced by
the uniform percentage necessary to reduce total spending to the
applicable level set forth in subsection (b) for the budget year.
``(b) Total Spending Limits.--
``(1) fiscal year 2013: 21.7 percent;
``(2) fiscal year 2014: 20.8 percent;
``(3) fiscal year 2015: 20.2 percent;
``(4) fiscal year 2016: 20.1 percent;
``(5) fiscal year 2017: 19.9 percent;
``(6) fiscal year 2018: 19.7 percent;
``(7) fiscal year 2019: 19.9 percent;
``(8) fiscal year 2020: 19.9 percent; and
``(9) fiscal year 2021: 19.9 percent;
of the current projected gross domestic product of the United States
for the budget year.''.
(b) Definitions.--Section 250(c) of the Balanced Budget and
Emergency Deficit Control Act of 1985 (as amended by section 101) is
further amended by adding at the end the following new paragraph:
``(25) The term `total spending' means all outlays of the
Government, including those from off-budget entities.''.
(c) Conforming Amendment.--The table of contents set forth in
250(a) of the Balanced Budget and Emergency Deficit Control Act of 1985
is amended by inserting after the item relating to section 252 the
following new item:
``Sec. 252A. Total spending limits.''.
SEC. 103. DEFICIT LIMITS.
(a) Deficit Limits.--Section 253 of the Balanced Budget and
Emergency Deficit Control Act of 1985 is amended to read as follows:
``SEC. 253. DEFICIT LIMITS.
``(a) Deficit Projections.--
``(1) Deficit amounts.--For the current fiscal year and
each subsequent ten fiscal years:
``(A) OMB shall prepare a report comparing
projected total deficits and the deficit limits in
subsection (c), and include such report in the budget
as submitted by the President annually under section
1105(a) of title 31, United States Code.
``(B) CBO shall prepare a report comparing
projected total deficit amounts and the deficit limits
in subsection (c) and include such report in the CBO
annual baseline and reestimate of the President's
budget.
``(2) Inclusion in spending reduction orders.--Reports
prepared pursuant to subsection (a) shall be included in the
spending reduction report set forth in subsection (b).
``(b) Sequestration.--(1) Within 15 calendar days after Congress
adjourns to end a session and on the same day as a spending reduction
ordered under sections 251, 251A, 252, and 252A, but after any spending
reduction required by section 251, 251A, 252, or 252A, there shall be a
sequestration to eliminate any excess deficit.
``(2) The amount required to be sequestered in a fiscal year under
paragraph (1) shall be obtained from non-exempt direct spending and
discretionary spending accounts. Each account shall be reduced by the
uniform percentage necessary to achieve the required reduction in the
deficit so as not to exceed the deficit limit for that fiscal year.
``(c) Deficit Limits.--In this section, the term `deficit limit'
means an amount that equals with respect to--
``(1) fiscal year 2013: 4.3 percent;
``(2) fiscal year 2014: 2.8 percent;
``(3) fiscal year 2015: 2.4 percent;
``(4) fiscal year 2016: 2.5 percent;
``(5) fiscal year 2017: 2.0 percent;
``(6) fiscal year 2018: 1.8 percent;
``(7) fiscal year 2019: 1.9 percent;
``(8) fiscal year 2020: 1.8 percent; and
``(9) fiscal year 2021: 1.6 percent;
of the current projected gross domestic product of the United States
for the budget year.''.
(b) Conforming Amendment.--The item relating to section 253 in the
table of contents set forth in section 250(a) of the Balanced Budget
and Emergency Deficit Control Act of 1985 is amended to read as
follows:
``Sec. 253. Deficit limits.''.
SEC. 104. REPEAL OF STATUTORY PAYGO.
The Statutory Pay-As-You-Go Act of 2010 (2 U.S.C. 931 note) is
repealed.
SEC. 105. REPORTS AND ORDERS.
Section 254 of the Balanced Budget and Emergency Deficit Control
Act of 1985 is amended--
(1) in subsection (c), by repealing paragraph (1) and
inserting the following new paragraph:
``(1) Reporting requirement.--On the dates specified in
subsection (a), OMB and CBO shall issue a preview report
regarding discretionary, direct, total, and deficit
sequestration based on laws enacted through those dates.'';
(2) in subsection (c), by repealing paragraph (3) and
inserting the following new paragraph:
``(3) Direct spending sequestration reports.--The preview
report shall set forth for the budget year estimates for each
of the following:
``(A) The amount of any excess direct spending for
Medicare, for Medicaid and other health-related
spending, and for all other direct spending.
``(B) The sequestration percentage or percentages
necessary to reduce any direct spending in accounts for
Medicare, for Medicaid and other health-related
spending, and for all other direct spending, as
applicable.'';
(3) in subsection (c), by repealing paragraph (4), by
redesignating paragraph (5) as paragraph (6), and by inserting
the following new paragraphs:
``(4) Total spending sequestration reports.--The preview
report shall set forth for the budget year estimates for each
of the following:
``(A) The amount of the current projected gross
domestic product of the United States.
``(B) Estimated total spending.
``(C) The amount by which the total spending
exceeds the total spending limit.
``(D) The sequestration percentage necessary to
eliminate any excess total spending.
``(5) Deficit sequestration reports.--The preview report
shall set forth for the budget year estimates for each of the
following:
``(A) The amount of the projected gross domestic
product of the United States.
``(B) The estimated deficit.
``(C) The amount by which the estimated deficit
exceeds the deficit limit.
``(D) The sequestration percentage necessary to
eliminate any excess deficit spending.'';
(4) in subsection (f)(3), by amending the side heading and
the first sentence to read as follows: ``Direct, total, and
deficit sequestration reports.--The final report shall contain
all the information required in the direct, total, and deficit
sequestration preview reports. The final report shall also
include any net increase or decrease in the current year
resulting from all OMB estimates for the current year of direct
spending that were not reflected in the final OMB sequestration
report for the current year.'';
(5) in subsection (f), by amending paragraph (4) to read as
follows:
``(4) Explanation of differences.--The OMB report shall
explain any material differences between OMB and CBO estimates
in any comparable reports.''; and
(6) in subsection (g), by striking ``(f)(4)'' and inserting
``(f)(5)''.
SEC. 106. EXEMPT PROGRAMS AND ACTIVITIES; SPECIAL SEQUESTRATION RULES.
Sections 255 and 256 of the Balanced Budget and Emergency Deficit
Control Act of 1985 are amended to read as follows:
``SEC. 255. EXEMPT PROGRAMS AND ACTIVITIES.
``(a) Exempt Programs and Activities.--The following shall be
exempt from reduction under any order issued under this part:
``(1) Payments for net interest.
``(2) Benefits payable under the old-age, survivors, and
disability insurance program established under title II of the
Social Security Act.
``(3) Compensation, pensions, and benefits provided to
veterans defined as direct spending payable by the Department
of Veterans Affairs.
``(4) Obligated balances of budget authority carried over
from prior fiscal years.
``(5) Any obligations of the Federal Government required to
be paid under the United States Constitution or legally
contractual obligations.
``(6) Claims, Judgments, and Relief Acts (20-1895-0-1-808).
``(7) Intragovernmental transfers.
``(b) Optional Exemption of Military Personnel.--
``(1) In general.--The President may, with respect to any
military personnel account, exempt that account from
sequestration or provide for a lower uniform percentage
reduction than would otherwise apply.
``(2) Limitation.--The President may not use the authority
provided by paragraph (1) unless the President notifies the
Congress of the manner in which such authority will be
exercised on or before the date specified in section 254(a) for
the budget year.
``SEC. 256. GENERAL AND SPECIAL SEQUESTRATION RULES.
``(a) Limitations.--(1) No direct spending program that OMB
estimates for the budget year is growing at a rate that exceeds the
estimated rate of growth of the consumer price index for that year
shall be subject to a spending reduction of more than four percent of
its budgetary resources.
``(2) No direct spending program that OMB estimates for the budget
year is growing at a rate that is equal to or less than the consumer
price index for that year shall be subject to a spending reduction.
``(b) Student Loans.--For all student loans under part B or D of
title IV of the Higher Education Act of 1965 made during the period
when a sequestration order under section 254 is in effect as required
by section 252, 252A, or 253, 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 the period of the sequestration accruing during
the period of the sequestration shall be reduced by the uniform
percentage specified in that sequestration order.
``(c) Special Rules for Medicare Program.--
``(1) Calculation of reduction in payment amounts.--To
achieve the total percentage reduction in those programs
required by section 252, 252A, 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.
``(2) Uniform reduction rate; maximum permissible
reduction.--Reductions in payments for programs and activities
under such title XVIII pursuant to a sequestration order under
section 254 shall be at a uniform rate across all such programs
and activities subject to such order.
``(3) Timing of application of reductions.--
``(A) In general.--Except as provided in
subparagraph (B), if a reduction is made under
paragraph (1) in payment amounts pursuant to a
sequestration order, the reduction shall be applied to
payment for services furnished during the effective
period of the order. For purposes of the previous
sentence, in the case of inpatient services furnished
for an individual, the services shall be considered to
be furnished on the date of the individual's discharge
from the inpatient facility.
``(B) Payment on the basis of cost reporting
periods.--In the case in which payment for services of
a provider of services is made under title XVIII of the
Social Security Act on a basis relating to the
reasonable cost incurred for the services during a cost
reporting period of the provider, if a reduction is
made under paragraph (1) in payment amounts pursuant to
a sequestration order, the reduction shall be applied
to payment for costs for such services incurred at any
time during each cost reporting period of the provider
any part of which occurs during the effective period of
the order, but only (for each such cost reporting
period) in the same proportion as the fraction of the
cost reporting period that occurs during the effective
period of the order.
``(4) Timing of subsequent sequestration order.--A
sequestration order required by section 252, 252A, 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) No increase in beneficiary charges in assignment-
related cases.--If a reduction in payment amounts is made under
paragraph (1) for services for which payment under part B of
title XVIII of the Social Security Act is made on the basis of
an assignment described in section 1842(b)(3)(B)(ii), in
accordance with section 1842(b)(6)(B), or under the procedure
described in section 1870(f)(1), of such Act, the person
furnishing the services shall be considered to have accepted
payment of the reasonable charge for the services, less any
reduction in payment amount made pursuant to a sequestration
order, as payment in full.
``(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).
``(d) Effects of Sequestration.--The effects of sequestration shall
be as follows:
``(1) Budgetary resources sequestered from any account
shall be permanently cancelled, except as provided in paragraph
(6).
``(2) Except as otherwise provided, the same percentage
sequestration shall apply to all programs, projects, and
activities within a budget account (with programs, projects,
and activities as delineated in the appropriation Act or
accompanying report for the relevant fiscal year covering that
account, or for accounts not included in appropriation Acts, as
delineated in the most recently submitted President's budget).
``(3) Administrative regulations or similar actions
implementing a sequestration shall be made within 120 days of
the sequestration order. To the extent that formula allocations
differ at different levels of budgetary resources within an
account, program, project, or activity, the sequestration shall
be interpreted as producing a lower total appropriation, with
the remaining amount of the appropriation being obligated in a
manner consistent with program allocation formulas in
substantive law.
``(4) Except as otherwise provided, obligations in
sequestered accounts shall be reduced only in the fiscal year
in which a sequester occurs.
``(5) If an automatic spending increase is sequestered, the
increase (in the applicable index) that was disregarded as a
result of that sequestration shall not be taken into account in
any subsequent fiscal year.
``(6) Budgetary resources sequestered in revolving, trust,
and special fund accounts and offsetting collections
sequestered in appropriation accounts shall not be available
for obligation during the fiscal year in which the
sequestration occurs, but shall be available in subsequent
years to the extent otherwise provided in law.
``(e) Commodity Credit Corporation.--
``(1) Powers and authorities of the commodity credit
corporation.--This title shall not restrict the Commodity
Credit Corporation in the discharge of its authority and
responsibility as a corporation to buy and sell commodities in
world trade, to use the proceeds as a revolving fund to meet
other obligations and otherwise operate as a corporation, the
purpose for which it was created.
``(2) Reduction in payments made under contracts.--(A) Loan
eligibility under any contract entered into with a person by
the Commodity Credit Corporation prior to the time an order has
been issued under section 254 shall not be reduced by an order
subsequently issued. Subject to subparagraph (B), after an
order is issued under such section for a fiscal year, any cash
payments for loans or loan deficiencies made by the Commodity
Credit Corporation shall be subject to reduction under the
order.
``(B) Each loan contract entered into with producers or
producer cooperatives with respect to a particular crop of a
commodity and subject to reduction under subparagraph (A) shall
be reduced in accordance with the same terms and conditions. If
some, but not all, contracts applicable to a crop of a
commodity have been entered into prior to the issuance of an
order under section 254, the order shall provide that the
necessary reduction in payments under contracts applicable to
the commodity be uniformly applied to all contracts for the
next succeeding crop of the commodity, under the authority
provided in paragraph (3).
``(3) Delayed reduction in outlays permissible.--
Notwithstanding any other provision of this title, if an order
under section 254 is issued with respect to a fiscal year, any
reduction under the order applicable to contracts described in
paragraph (1) may provide for reductions in outlays for the
account involved to occur in the fiscal year following the
fiscal year to which the order applies.
``(4) Uniform percentage rate of reduction and other
limitations.--All reductions described in paragraph (2)
required to be made in connection with an order issued under
section 254 with respect to a fiscal year shall be made so as
to ensure that outlays for each program, project, activity, or
account involved are reduced by a percentage rate that is
uniform for all such programs, projects, activities, and
accounts, and may not be made so as to achieve a percentage
rate of reduction in any such item exceeding the rate specified
in the order.
``(5) Dairy program.--Notwithstanding any other provision
of this subsection, as the sole means of achieving any
reduction in outlays under the milk price support program, the
Secretary of Agriculture shall provide for a reduction to be
made in the price received by producers for all milk produced
in the United States and marketed by producers for commercial
use. That price reduction (measured in cents per hundred weight
of milk marketed) shall occur under section 201(d)(2)(A) of the
Agricultural Act of 1949 (7 U.S.C. 1446(d)(2)(A)), shall begin
on the day any sequestration order is issued under section 254,
and shall not exceed the aggregate amount of the reduction in
outlays under the milk price support program that otherwise
would have been achieved by reducing payments for the purchase
of milk or the products of milk under this subsection during
the applicable fiscal year.
``(6) Certain authority not to be limited.--Nothing in this
joint resolution shall limit or reduce, in any way, any
appropriation that provides the Commodity Credit Corporation
with budget authority to cover the Corporation's net realized
losses.''.
SEC. 107. ADJUSTMENTS FOR CHANGES IN DIRECT SPENDING.
Section 251(b)(2) of the Balanced Budget and Emergency Deficit
Control Act of 1985 is amended by adding at the end the following new
subparagraph:
``(E) Changes in direct spending programs.--If an
appropriation for the budget year causes a change in
direct spending in any outyear, then there shall be an
appropriate adjustment for that outyear for the
discretionary spending limit under this section and the
direct spending limit under section 252.''.
TITLE II--BUDGETING FOR EMERGENCIES AND WAR
SEC. 201. ALLOCATIONS FOR THE GLOBAL WAR ON TERRORISM.
Section 302(a)(5) of the Congressional Budget Act of 1974 (2 U.S.C.
633) is amended to read as follows:
``(5) Global war on terrorism (gwot).--The joint
explanatory statement accompanying a conference report on a
concurrent resolution on the budget for a fiscal year may
include an allocation, consistent with the resolution
recommended in the conference report, of the level for the
global war on terrorism (GWOT) for that fiscal year.''.
SEC. 202. EMERGENCY AND GLOBAL WAR ON TERRORISM (GWOT) ADJUSTMENT
PROCEDURES.
(a) In General.--Title III of the Congressional Budget Act of 1974
is amended by adding at the end the following new section:
``emergencies; global war on terrorism (gwot)
``Sec. 318. (a) Adjustment Procedures.--Before any adjustment is
made pursuant to this section for any bill or joint resolution, or
conference report thereon, that designates a provision an emergency or
for the global war on terrorism (GWOT), the enactment of which would
cause an increase in budget authority or decrease in revenue:
``(1) The chairman of the Committee on the Budget of the
House of Representatives or the Senate shall convene a meeting
of that committee, where it shall be in order, subject to the
terms set forth in this section, for one motion described in
paragraph (2) to be made to authorize the chairman to make
adjustments above the applicable allocation set forth in the
most recently enacted concurrent resolution on the budget
pursuant to the requirement of section 302(a)(5) or (6).
``(2) The motion referred to in paragraph (1) shall be in
the following form: `I move that the chairman of the Committee
on the Budget be authorized to adjust the allocations and
aggregates set forth in the concurrent resolution on the budget
by the following amount: $____ for fiscal year ___.', with the
blanks being filled in with an amount and fiscal year
determined by the chairman of the Committee on the Budget of
the House of Representatives or the Senate.
``(3) The motion set forth in paragraph (2) shall be open
for debate and amendment, but any amendment offered thereto is
only in order if limited to changing an amount in the motion.
``(b) Alternate Adjustment Procedures for Emergencies and the
Global War on Terrorism.--The chairman of the Committee on the Budget
of the House of Representatives or the Senate shall make any
adjustments he deems necessary under this section if he determines such
adjustments are essential to respond to an urgent and imminent need.
``(c) Legislation Providing for an Adjustment of Discretionary
Caps.--(1) If any committee of the House of Representatives or the
Senate reports any bill or resolution which provides funding designated
for emergencies or for the global war on terrorism, such bill or
resolution shall then be referred to the Committee on the Budget of the
House of Representatives or the Senate, as the case may be, with
instructions to report it, with an amendment to section 251(c) of the
Balanced Budget and Emergency Deficit Control Act of 1985 for an
appropriate adjustment for the applicable fiscal year, within 15
calendar days (not counting any day on which that House is not in
session) beginning with the day following the day on which it is
referred. If the Committee on the Budget of either House fails to
report a bill or resolution referred to it under this paragraph within
such 15-day period, the committee shall automatically be discharged
from further consideration of such bill or resolution and such bill or
resolution shall be placed on the appropriate calendar.
``(2) The Committee on the Budget of each House shall have
jurisdiction to report any bill or resolution referred to it under
paragraph (1) with an amendment which changes the discretionary
spending limit for the applicable fiscal year.''.
(b) Conforming Amendment.--The table of contents set forth in
section 1(b) of the Congressional Budget and Impoundment Control Act of
1974 is amended by inserting after the item relating to section 317 the
following new item:
``Sec. 318. Emergencies; global war on terrorism (GWOT).''.
SEC. 203. ELIMINATION OF EMERGENCY ADJUSTMENTS.
Section 314 of the Congressional Budget Act of 1974 is amended by
striking subsection (d) and redesignating subsection (e) as subsection
(d).
SEC. 204. CONFORMING AMENDMENT TO THE BALANCED BUDGET AND EMERGENCY
DEFICIT CONTROL ACT OF 1985.
Sections 251(b)(2)(A), 251(b)(2)(D), and 252(d)(4)(B) of the
Balanced Budget and Emergency Deficit Control Act of 1985 are repealed
and section 251(b)(2) is amended by redesignating subparagraphs (B) and
(C) as subparagraphs (A) and (B), respectively.
TITLE III--ENFORCING CUT-AS-YOU-GO
SEC. 301. ENFORCING CUT-AS-YOU-GO.
(a) Cut-As-You-Go Point of Order.--(1) Title III of the
Congressional Budget Act of 1974 (as amended by section 201) is further
amended by adding at the end the following new section:
``enforcing cut-as-you-go
``Sec. 317. (a) Point of Order.--(1) Except as provided in
subsections (b) and (c), it shall not be in order in the House of
Representatives or the Senate to consider a bill or joint resolution,
or an amendment thereto or a conference report thereon, if the
provisions of such measure have the net effect of increasing direct
spending for the period of either--
``(A) the current year, the budget year, and the four
fiscal years following that budget year; or
``(B) the current year, the budget year, and the nine
fiscal years following that budget year.
``(2) For the purpose of this section, the terms `budget year' and
`current year' have the meanings specified in section 250 of the
Balanced Budget and Emergency Deficit Control Act of 1985, and the term
`direct spending' includes provisions in appropriation Acts that make
outyear changes to or restrictions on entitlement law or other direct
spending contained in an appropriation Act.
``(b) Special Rule in the House.--If a bill or joint resolution, or
an amendment thereto, is considered pursuant to a special order of the
House of Representatives directing the Clerk to add as new matter at
the end of such bill or joint resolution the entire text of a separate
measure or measures as passed by the House of Representatives, the new
matter proposed to be added shall be included in the evaluation under
subsection (a) of the bill, joint resolution, or amendment.''.
(2) The table of contents set forth in section 1(b) of the
Congressional Budget and Impoundment Control Act of 1974 is amended by
inserting after the item relating to section 318 the following new
item:
``Sec. 317. Enforcing Cut-As-You-Go.''.
(b) Repealer.--Clause 10 of rule XXI of the Rules of the House of
Representatives is repealed.
TITLE IV--SUPERMAJORITY POINTS OF ORDER
SEC. 401. SUPERMAJORITY POINTS OF ORDER.
(a) Waivers.--Section 904(c) of the Congressional Budget Act of
1974 is amended to read as follows:
``(c) Waivers.--Sections 301(i), 302(c), 302(f), 305(b)(2),
305(c)(4), 306, 310(d)(2), 310(g), 311(a), 312(b), 312(c), 313, 314(e),
317(a), 904(c), and 904(d) of this Act and section 258C(a)(5) of the
Balanced Budget and Emergency Deficit Control Act of 1985 may be waived
or suspended in the Senate only by the affirmative vote of three-fifths
of the Members, duly chosen and sworn.''.
(b) Appeals.--Section 904(d) of the Congressional Budget Act of
1974 is amended by repealing paragraphs (2) and (3) and by inserting
after paragraph (1) the following new paragraph:
``(2) Appeals.--An affirmative vote of two-thirds of the
Members, 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 any section referred to in subsection
(c).''.
(c) Expiration.--Subsection (e) of section 904 of the Congressional
Budget Act of 1974 is repealed.
<all>
Introduced in House
Introduced in House
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 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.
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