NINETY-NINTH CONGRESS OF THE UNITED STATES OF AMERICA AT THE FIRST SESSION

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP89-00066R000700080008-2
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 65
• Document Creation Date: December 27, 2016
• Document Release Date: January 28, 2013
• Sequence Number: 8
• Publication Date: January 24, 1985
• Content Type: MISC

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H. J. Res. 372
t4 JAN SA
3 700 LIBRARI
Bina-II-ninth Congress of tht clanked etats of Znicrica
AT THE FIRST SESSION
Begun and held at the City of Washington on Thursday, the third day of January,
one thousand nine hundred and eighty-five
3oint (Resolution
Increasing the sta ry limit on the public debt.
Resolved by the S?nd House of Representatives of the United
States of A er? in Corwess assembled, That subsection (b) of
section 3101 tftitle 31, United States Code, is amended by striking
out the dollar limitation contained in such subsection and inserting
in lieu thereof 11,847,800,000,000, or $2,078,700,000,000 on and after
October 1, 1985,".
SEC. 2. MINIMU ORPOFtATE TAX BY CORPORATIONS.
(a) No.wThstanding any other provision of this joint resolution,
he S te Committee on Finance is directed to report to the Senate
uly- 1, 1986, legislation providing for payment of an alternative
minimum corporate tax by corporations on the broadest feasible
definition of income to assure that all of those with economic income
pay their fair share of taxes: Provided, That said alternative mini-
mum corporate tax shall take effect for corporate tax years
Commencing on or after October 1, 1986. The revenue raised by this
tax shall be applied to reduce the Federal deficit.
(b) Notwithstanding any other provision of this joint resolution,
the Committee on Ways and Means is directed to report to the
House of Representatives legislation providing for payment of an
alternative minimum corporate tax by corporations based upon the
broadest feasible definition of income to assure that all of those with
economic income pay their fair share of taxes: Provided, That, the
Committee on Ways and Means shall report such legislation prior to
October 1, 1986.
SEC. 3. ACHI LAURO HIJACKING.
enate finds that-
1) the four men identified as the hijackers of the Achille
auro were responsible for brutally murdering an innocent
American citizen, Leon Klinghoffer, and for terrorizing hun-
dreds of innocent crew members and passengers for two days;
(2) the United States urges all countries to aid in the swift
apprehension, prosecution, and punishment of the terrorists;
and
(3) the United States should not tolerate any country provid-
ing safe harbor or safe passage to the terrorists.
(b) It is the sense of the Senate that?
(1) the United States demands that no country provide safe
harbor or safe passage to these terrorists;
(2) the United States expects full cooperation of all countries
in the apprehension, prosecution, and punishment of these
terrorists;
(3) the United States cannot condone the release of terrorists
or the making of concessions to terrorists; and
(4) the United States identify those individuals responsible for
the seizure of the Achille Lauro and the cold-blooded murder of
FOR REFERENCE
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H.J. Res. 372-2
Leon Klinghoffer, as well as those countries and groups that aid
and abet such terrorist activities, and take the strongest meas-
ures to ensure that those responsible for this brutal act against
an American citizen are brought to justice.
TITLE II-DEFICIT REDUCTION PROCEDURES
qo/4,0:67 SEC. 209. SHORT TITLE AND TABLE OF CONTENTS.
(a) SHORT TTTLE.-This title may be cited as the "Balanced Budget
and Emergency Deficit Control Act of 1985".
(b) TABLE OF CONTENTS.-
Sec. 200. Short title and table of contents.
PART A-CONGRESSIONAL BUDGET PRocEss
Subpart I-Congressional Budget
Sec. 201. Congressional budget.
Subpart II-Amendments to Title IV of the Congressional Budget Act of 1974
Sec. 211. New spending authority.
Sec. 212. Credit authority.
Sec. 213. Description by Congressional Budget Office.
Sec. 214. General Accounting Office study; off-budget agencies; member user group.
Subpart III-Additional Provisions to Improve Budget Procedures
Sec. 221. Congressional Budget Office.
Sec. 222. Current services budget for congressional budget purposes.
Sec. 223. Study of off-budget agencies.
Sec. 224. Changes in functional categories.
Sec. 225. Jurisdiction of Committee on Government Operations.
Sec. 226. Continuing study of congressional budget process.
Sec. 227. Early election of committees of the House.
Sec. 228. Rescissions and transfers in appropriation bills.
Subpart IV-Technical and Conforming Amendments
232. -te-ChriiCal-iiird:coriformingimeittlments.
- -
PART B-BUDGET SUBMITTED BY THE PRESIDENT
Sec. 241. Submission of President's budget; maximum deficit amount may not be
exceeded.
Sec. 242. Supplemental budget estimates and changes.
PART C-EMERGENCY POWERS TO ELIMINATE DEFICTIS IN EXCESS OF MAXIMUM
DEFICIT AMOUNT
Sec. 251. Reporting of excess deficits.
Sec. 252. Presidential order.
Sec. 253. Compliance report by Comptroller General.
Sec. 254. Congressional action.
Sec. 255. Exempt programs and activities.
Sec. 256. Exceptions, limitations, and special rules.
Sec. 257. Definitions.
PART D-BUDGETARY TREATMENT OF SOCIAL SECURITY TRUST FUNDS
Sec. 261. Treatment of trust funds.
PART E-MISCELLANEOLIS AND RELATED PROVISIONS
Sec. 271. Waivers and suspensions; rulemaking powers.
Sec. 272. Restoration of trust fund investments.
Sec. 273. Revenue estimates.
Sec. 274. Judicial review.
Sec. 275. Effective dates.
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H. J. Res. 372-3
PART A?CONGRESSIONAL BUDGET PROCESS
Subpart I?Congressional Budget
SEC. 201. CONGRESSIONAL BUDGET.
(a) DEFINITIONS.-
(1) Section 3 of the Congressional Budget and Impoundment
Control Act of 1974 is amended by adding at the end thereof the
following new paragraphs:
"(6) The term 'deficit' means, with respect to any fiscal year,
the amount by which total budget outlays for such fiscal year
exceed total revenues for such fiscal year. In calculating the
deficit for purposes of comparison with the maximum deficit
amount under the Balanced Budget and Emergency Deficit
Control Act of 1985 and in calculating the excess deficit for
purposes of sections 251 and 252 of such Act (notwithstanding
section 710(a) of the Social Security Act), for any fiscal year, the
receipts of the Federal Old-Age and Survivors Insurance Trust
Fund and the Federal Disability Insurance Trust Fund for such
fiscal year and the taxes payable under sections 1401(a), 3101(a),
and 3111(a) of the Internal Revenue Code of 1954 during such
fiscal year shall be included in total revenues for such fiscal
year, and the disbursements of each such Trust Fund for such
fiscal year shall be included in total budget outlays for such
fiscal year. Notwithstanding any other provision of law except
to the extent provided by section 710(a) of the Social Security
Act, the receipts, revenues, disbursements, budget authority,
and outlays of each off-budget Federal entity for a fiscal year
shall be included in total budget authority, total budget outlays,
and total revenues and the amounts of budget authority and
outlays set forth for each major functional category, for such
fiscal year. Amounts paid by the Federal Financing Bank for
the purchase of loans made or guaranteed by a department,
agency, or instrumentality of the Government of the United
States shall be treated as outlays of such department, agency, or
instrumentality.
"(7) The term 'maximum deficit amount' means?
"(A) with respect to the fiscal year beginning October 1,
1985, $171,900,000,000;
"(B) with respect to the fiscal year beginning October 1,
1986, $144,000,000,000;
"(C) with respect to the fiscal year beginning October 1,
1987, $108,000,000,000;
"(D) with respect to the fiscal year beginning October 1,
1988, $72,000,000,000;
"(E) with respect to the fiscal year beginning October 1,
1989, $36,000,000,000; and
"(F) with respect to the fiscal year beginning October 1,
1990, zero.
"(8) The term 'off-budget Federal entity' means any entity
(other than a privately-owned Government-sponsored entity)?
"(A) which is established by Federal law, and
"(B) the receipts and disbursements of which are required
by law to be excluded from the totals of?
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H. J. Res. 372-4
"(i) the budget of the United States Government
submitted by the President pursuant to section 1105 of
title 31, United States Code, or
"(ii) the budget adopted by the Congress pursuant to
title III of this Act.
"(9) The term 'entitlement authority' means spending author-
ity described by section 401(cX2XC).
"(10) The term 'credit authority' means authority to incur
direct loan obligations or to incur primary loan guarantee
commitments.".
(2) Paragraph (2) of section 3 of the Congressional Budget
and Impoundment Control Act of 1974 is amended by inserting
before the comma the following: "or to collect offsetting
receipts.".
(b) CONGRESSIONAL BUDGET PROCESS.?Title III of the Congres-
sional Budget Act of 1974 is amended to read as follows:
"TITLE III-CONGRESSIONAL BUDGET
PROCESS
"TIMETABLE
"Sac. 300. The timetable with respect to the congressional budget
process for any fiscal year is as follows:
"On or before Action to be completed:
First Monday after January 3 ?... President submits his budget.
February 15 Congressional Budget Office submits
report to Budget Committees.
February 25 Committees submit views and estimates
to Budget Committees.
April 1 Senate Budget Committee reports con-
current resolution on the budget.
April 15 Congress completes action on concur-
rent resolution on the budget.
May 15 Annual appropriation bills may be con-
sidered in the House.
June 10 House Appropriations Committee re-
ports last annual appropriation bill.
June 15Congress completes action on reconcilia-
tion legislation. - ? - -- - - ---
June 30 ' - '----- -------- ?
House _completes action -on-annual-ap-
propriation _ _
Oropriation bills. -
October 1 Fiscal year begins.
"ANNUAL ADOPTION OF CONCURRENT RESOLUTION ON THE BUDGET
"Sac. 301. (a) CONTENT OF CONCURRENT RESOLUTION ON THE
BuncET.:?On or before April 15 of each year, the Congress shall
complete action on a concurrent resolution on the budget for the
fiscal year beginning on October 1 of such year. The concurrent
resolution shall set forth appropriate levels for the fiscal year
beginning on October 1 of such year, and planning levels for each of
the two ensuing fiscal years, for the following?
"(1) totals of new budget authority, budget outlays, direct loan
obligations, and primary loan guarantee commitments;
"(2) total Federal revenues and the amount, if any, by which
the aggregate level of Federal revenues should be increased or
decreased by bills and resolutions to be reported by the appro-
priate committees;
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H. J. Res. 372-5
"(3) the surplus or deficit in the budget;
"(4) new budget authority, budget outlays, direct loan obliga-
tions, and primary loan guarantee commitments for each major
functional category, based on allocations of the total levels set
forth pursuant to paragraph (1); and
"(5) the public debt.
"(b) ADDITIONAL MATTERS IN CONCURRENT REsournoN.?The
concurrent resolution on the budget may?
"(1) set forth, if required by subsection (f), the calendar year
in which, in the opinion of the Congress, the goals for reducing
unemployment set forth in section 4(b) of the Employment Act
of 1946 should be achieved;
"(2) include reconciliation directives described in section 310;
"(3) require a procedure under which all or certain bills or
resolutions providing new budget authority or new entitlement
authority for such fiscal year shall not be enrolled until the
Congress has completed action on any reconciliation bill or
reconciliation resolution or both required by such concurrent
resolution to be reported in accordance with section 310(b); and
"(4) set forth such other matters, and require such other
procedures, relating to the budget, as may be appropriate to
carry out the purposes of this Act.
"(C) CONSIDERATION OF PROCEDURES OR MATTERS WHICH HAVE THE
EFFECT OF CHANGING ANY RULE OF THE HOUSE OF REPRESENTA-
TryEs.?If the Committee on the Budget of the House of Represent-
atives reports any concurrent resolution on the budget which
includes any procedure or matter which has the effect of changing
any rule of the House of Representatives, such concurrent resolution
shall then be referred to the Committee on Rules with instructions
to report it within five calendar days (not counting any day on
which the House is not in session). The Committee on Rules shall
have jurisdiction to report any concurrent resolution referred to it
under this paragraph with an amendment or amendments changing
or striking out any such procedure or matter.
"(d) VIEWS AND ESTIMATES OF OTHER COIViMITTEES.?On or before
February 25 of each year, each committee of the House of Rep-
resentatives having legislative jurisdiction shall submit to the
Committee on the Budget of the House and each committee of the
_Senate having legislative jurisdiction shall submit to ..the Committee
- on the Budget of the Senate its views and estimates (as determined
by the committee making such submission) with respect to all
matters set forth in subsections (a) and (b) which relate to matters
within the jurisdiction or functions of such committee. The Joint
Economic Committee shall submit to the Committees on the Budget
of both Houses its recommendations as to the fiscal policy appro-
priate to the goals of the Employment Act of 1946. Any other
committee of the House of Representatives or the Senate may
submit to the Committee on the Budget of its House, and any joint
committee of the Congress may submit to the Committees on the
Budget of both Houses, its views and estimates with respect to all
matters set forth in subsections (a) and (b) which relate to matters
within its jurisdiction or functions.
"(e) HEARINGS AND REPORT.?In developing the concurrent resolu-
tion on the budget referred to in subsection (a) for each fiscal year,
the Committee on the Budget of each House shall hold hearings and
shall receive testimony from Members of Congress and such appro-
priate representatives of Federal departments and agencies, the
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H. J. Res. 372-6
general public, and national organizations as the committee deems
desirable. Each of the recommendations as to short-term and
medium-term goals set forth in the report submitted by the mem-
bers of the Joint Economic Committee under subsection (d) may be
considered by the Committee on the Budget of each House as part of
its consideration of such concurrent resolution, and its report may
reflect its views thereon, including its views on how the estimates of
revenues and levels of budget authority and outlays set forth in such
concurrent resolution are designed to achieve any goals it is rec-
ommending. The report accompanying such concurrent resolution
shall include, but not be limited to?
"(1) a comparison of revenues estimated by the committee
with those estimated in the budget submitted by the President;
"(2) a comparison of the appropriate levels of total budget
outlays and total new budget authority, total direct loan obliga-
tions, total primary loan guarantee commitments, as set forth
in such concurrent resolution, with those estimated or re-
quested in the budget submitted by the President;
"(3) with respect to each major functional category, an esti-
mate of budget outlays and an appropriate level of new budget
authority for all proposed programs and for all existing pro-
grams (including renewals thereof), with the estimate and level
for existing programs being divided between -permanent author-
ity and funds provided in appropriation Acts, and with each
such division being subdivided between controllable amounts
and all other amounts;
"(4) an allocation of the level of Federal revenues rec-
ommended in the concurrent resolution among the major
sources of such revenues;
"(5) the economic assumptions and objectives which underlie,
each of the matters set forth in such concurrent resolution and
any alternative economic assumptions and objectives which the
committee considered;
"(6) projections (not limited to the following), for the period of
five fiscal years beginning with such fiscal year, of the esti-
_ mated-levels-_of -total-budget outlays and total- 'CI PAT budget
_ authority, the- estimated revenues to be received, and the esti-
mated surplus or deficit, if any, for each fiscal year in such
period, and the estimated levels of tax expenditures (the tax
expenditures budget) by major functional categories;
"(7) a statement of any significant changes in the proposed
levels of Federal assistance to State and local governments;
"(8) information, data, and comparisons indicating the
manner in which, and the basis on which, the committee deter-
mined each of the matters set forth in the concurrent resolu-
tion; and
"(9) allocations described in section 302(a).
"co ACHIEVEMENT OF GOAIS FOR REDUCING UN PT
If, pursuant to section 4(c) of the Employment Act of 1946,
the President recommends in the Economic Report that the
goals for reducing unemployment set forth in section 4(b) of
such Act be achieved in a year after the close of the five-year
period prescribed by such subsection, the concurrent resolution
on the budget for the fiscal year beginning after the date on
which such Economic Report is received by the Congress may
set forth the year in which, in the opinion of the Congress, such
goals can be achieved.
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H. J. Res.372-7
"(2) After the Congress has expressed its opinion pursuant to
paragraph (1) as to the year in which the goals for reducing
unemployment set forth in section 4(b) of the Employment Act
of 1946 can be achieved, if, pursuant to section 4(e) of such Act,
the President recommends in the Economic Report that such
goals be achieved in a year which is different from the year in
which the Congress has expressed its opinion that such goals
should be achieved, either in its action pursuant to paragraph
(1) or in its most recent action pursuant to this paragraph, the
concurrent resolution on the budget for the fiscal year begin-
ning after the date on which such Economic Report is received
by the Congress may set forth the year in which, in the opinion
of the Congress, such goals can be achieved.
"(3) It shall be in order to amend the provision of such
resolution setting forth such year only if the amendment
thereto also proposes to alter the estimates, amounts, and levels
(as described in subsection (a)) set forth in such resolution in
germane fashion in order to be consistent with the economic
goals (as described in sections 3(aX2) and 4(b) of the Employment
Act of 1946) which such amendment proposes can be achieved
by the year specified in such amendment.
"(g) COMMON ECONOMIC Assumniorts.?The joint explanatory
statement accompanying a conference report on a concurrent reso-
lution on the budget shall set forth the common economic assump-
tions upon which such joint statement and conference report are
based, or upon which any amendment contained in the joint
explanatory statement to be proposed by the conferees in the case of
technical disagreement is based.
"(h) BUDGET COMMITTEES CONSULTATION WITH COMMITTEES.?The
Committee on the Budget of the House of Representatives shall
consult with the committees of its House having legislative jurisdic-
tion during the preparation, consideration, and enforcement of the
concurrent resolution on the budget with respect to all matters
which relate to the jurisdiction or functions of such committees.
"(i) MAXIMUM DEFICIT AMOUNT MAY NOT BE EXCEEDED.?
"(1XA) Except as provided in paragraph (2), it shall not be in
order in either the House of Representatives or the Senate to
consider any concurrent resolution on the budget for a fiscal
_- year under this section, or to consider-any amendment--trrsuch a - 7:-
con current resolution, or -to consider a conference report on
such a concurrent resolution, if the level of total budget outlays
for such fiscal year that is set forth in such concurrent resolu-
tion or conference report exceeds the recommended level of
Federal revenues set forth for that year by an amount that is
greater than the maximum deficit amount for such fiscal year
as determined under section 3(7), or if the adoption of such
amendment would result in a level of total budget outlays for
that fiscal year which exceeds the recommended level of Fed-
eral revenues for that fiscal year, by an amount that is greater
than the maximum deficit amount for such fiscal year as deter-
mined under section 3(7).
"(B) In the House of Representatives the point of order estab-
lished under subparagraph (A) with respect to the consideration
of a conference report or with respect to the consideration of a
motion to concur, with or without an amendment or amend-
ments, in a Senate amendment, the stage of disagreement
having been reached, may be waived only by a vote of three-
? Ai:744.- ,i4x? .
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H. J. Res. 372-8
fifths of the Members present and voting, a quorum being
present.
"(2) Paragraph (1) of this subsection shall not apply if a
declaration of war by the Congress is in effect.
"COMMITTEE ALLOCATIONS
"SEC. 302. (a) ALLOCATION OP TOTALS.?
"(1) For the House of Representatives, the joint explanatory
statement accompanying a conference report on a concurrent
resolution on the budget shall include an estimated allocation,
based upon such concurrent resolution as recommended in such
conference report, of the appropriate levels of total budget
outlays, total new budget authority, total entitlement authority,
and total credit authority among each committee of the House
of Representatives which has jurisdiction over laws, bills and
resolutions providing such new budget authority, such entitle-
ment authority, or such credit authority. The allocation shall,
for each committee, divide new budget authority, entitlement
authority, and credit authority between amounts provided or
required by law on the date of such conference report (manda-
tory or uncontrollable amounts), and amounts not so provided
or required (discretionary or controllable amounts), and shall
make the same division for estimated outlays that would result
from such new budget authority.
,'(2) For the Senate, the joint explanatory statement accom-
panying a conference report on a concurrent resolution on the
budget shall include an estimated allocation, based upon such
concurrent resolution as recommended in such conference
report, of the appropriate levels of total budget outlays, total
new budget authority and new credit authority among each
committee of the House of Representatives and the Senate
which has jurisdiction over bills and resolutions providing such
new budget authority.
"(b) REPORTS BY CommrrrEEs.?As soon as practicable after a
concurrent resolution on the budget is agreed to?
"(1)__the Committee on_Appropriations of each House shall,
after consulting with the Committee on Appropriations of the
? other House, (A) subdivide among its subcommittees the alloca-
tion of budget outlays, new budget authority, and new credit
authority allocated to it in the joint explanatory statement
accompanying the conference report on such concurrent resolu-
tion, and (B) further subdivide the amount with respect to each
such subcommittee between controllable amounts and all other
amounts; and
"(2) every other committee of the House and Senate to which
an allocation was made in such joint explanatory statement
shall, after consulting with the committee or committees of the
other House to which all or part of its allocation was made, (A)
subdivide such allocation among its subcommittees or among
programs over which it has jurisdiction, and (B) further sub-
divide the amount with respect to each subcommittee or pro-
gram between controllable amounts and all other amounts.
Each such committee shall promptly report to its House the subdivi-
sions made by it pursuant to this subsection.
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"(c) Nom or ORDEIL?It shall not be in order in the House of
Representatives or the Senate to consider any bill or resolution, or
amendment thereto, providing?
"(1) new budget authonty for a fiscal year
"(2) new spending authority as described in section 401(cX2)
for a fiscal year; or
"(3) new credit authority for a fiscal year;
within the jurisdiction of any committee which has received an
appropriate allocation of such authority pursuant to subsection (a)
for such fiscal year, unless and until such committee makes the
allocation or subdivisions required by subsection (b), in connection
with the most recently agreed to concurrent resolution on the
budget for such fiscal year.
"(d) SUBSEQUENT CONCURRENT REsournoNs.?In the case of a
concurrent resolution on the budget referred to in section 304, the
allocations under subsection (a) and the subdivisions under subsec-
tion (b) shall be required only to the extent necessary to take into
account revisions made in the most recently agreed to concurrent
resolution on the budget.
"(e) ALTERATION or ALIAC.ATIONS.?At any time after a committee
reports the allocations required to be made under subsection (b),
such committee may report to its House an alteration of such
allocations. Any alteration of such allocations must be consistent
with any actions already taken by its House on legislation within
the committee's jurisdiction.
"(0 LEGISLATION SUBJECT TO POINT OF ORDER.?
"(1) IN THE HOUSE OF REPRESENTATIVES.?After the Congress
has completed action on a concurrent resolution on the budget
for a fiscal year, it shall not be in order in the House of
Representatives to consider any bill, resolution, or amendment
providing new budget authority for such fiscal year, new entitle-
ment authority effective during such fiscal year, or new credit
authority for such fiscal year, or any conference report on any
such bill or resolution, if?
"(A) the enactment of such bill or resolution as reported;
"(B) the adoption and enactment of such amendment; or
"(C) the enactment of such bill or resolution in the form
recommended in such conference report, _
would cause thei appropriate allocation made pursuant to
subsection (a) for such fiscal year of new discretionary budget
authority, new entitlement authority, or new credit authority to
be exceeded.
"(2) IN THE SENATE?At any time after the Congress has
completed action on the concurrent resolution on the budget
required to be reported under section 301(a) for a fiscal year, it
shall not be in order in the Senate to consider any bill or
resolution (including a conference report thereon), or any
amendment to a bill or resolution, that provides for budget
outlays or new budget authority in excess of the appropriate
allocation of such outlays or authority reported under subsec-
tion (b) in connection with the most recently agreed to concur-
rent resolution on the budget for such fiscal year.
"(g) DETERMINATIONS BY BUDGET COMMITTEES.?For purposes of
this section, the levels of new budget authority, spending authority
as described in section 401(cX2), outlays, and new credit authority
for a fiscal year shall be determined on the basis of estimates made
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by the Committee on the Budget of the House of Representatives or
the Senate, as the case may be.
"CONCURRENT RESOLUTION ON THE BUDGET MUST BE ADOPTED BEFORE
LEGISLATION PROVIDING NEW BUDGET AUTHORITY, NEW SPENDING
AUTHORITY, NEW CREDIT AUTHORITY, OR CHANGES IN REVENUES OR
THE PUBLIC DEBT LIMIT IS CONSIDERED
"Sgc. 803. (a) IN GENERAL.?It shall not be in order in either the
House of Representatives or the Senate to consider any bill or
resolution (or amendment thereto) as reported to the House or
Senate which provides?
"(1) new budget authority for a fiscal year;
"(2) an increase or decrease in revenues to become effective
during a fiscal year,
"(3) an increase or decrease in the public debt limit to become
effective during a fiscal year;
"(4) new entitlement authority to become effective during a
fiscal year; or
"(5) new credit authority for a fiscal year,
until the concurrent resolution on the budget for such fiscal year
has been agreed to pursuant to section 301.
"(b) EXCEPTIONS.?Subsection (a) does not apply to any bill or
resolution?
"(1) providing new budget authority which first becomes
available in a fiscal year following the fiscal year to which the
concurrent resolution applies; or
"(2) increasing or decreasing revenues which first become
effective in a fiscal year following the fiscal year to which the
concurrent resolution applies.
After May 15 of any calendar year, subsection (a) does not apply in
the House of Representatives to any general appropriation bill, or
amendment thereto, which provides new budget authority for the
fiscal year beginning in such calendar year.
"(C) WAIVER IN THE SENATE.?
"(1) The committee of the Senate which reports any bill or
resolution (or amendment thereto) to which subsection (a) ap-
plies may at or after the time it reports such bill or resolution
(or amendment), report a resolution to the Senate (A) providing
- for the waiver of subsection (a) with respect to such bill or
- resolution (or amendment), and (B) stating the reasons why the
waiver is necessary. The resolution shall then be referred to the
Committee on the Budget of the Senate. That committee shall
report the resolution to the Senate within 10 days after the
resolution is referred to it (not counting any day on which the
Senate is not in session) beginning with the day following the
day on which it is so referred, accompanied by that committee's
recommendations and reasons for such recommendations with
respect to the resolution. If the committee does not report the
resolution within such 10-day period, it shall automatically be
discharged from further consideration of the resolution and the
resolution shall be placed on the calendar.
"(2) During the consideration of any such resolution, debate
shall be limited to one hour, to be equally divided between, and
controlled by, the majority leader and minority leader or their
designees, and the time on any debatable motion or appeal shall
be limited to twenty minutes, to be equally divided between, and
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H. J. Res. 872-11
controlled by, the mover and the manager of the resolution. In
the event the manager of the resolution is in favor of any such
motion or appeal, the time in opposition thereto shall be con-
trolled by the minority leader or his designee. Such leaders, or
either of them, may, from the time under their control on the
passage of such resolution, allot additional time to any Senator
during the consideration of any debatable motion or appeal. No
amendment to the resolution is in order.
"(3) If, after the Committee on the Budget has reported (or
been discharged from further consideration of) the resolution,
the Senate agrees to the resolution, then subsection (a) shall not
apply with respect to the bill or resolution (or amendment
thereto) to which the resolution so agreed to applies.
'PERM:1851BU REVISIONS OF CONCURRENT RESOLUTIONS ON THE
BUDGET
"Ste. 304. (a) IN GENERAL.?At any time after the concurrent
resolution on the budget for a fiscal year has been agreed to
pursuant to section 301, and before the end of such fiscal year, the
two Houses may adopt a concurrent resolution on the budget which
revises or reaffirms the concurrent resolution on the budget for such
fiscal year most recently agreed to.
"(b) MAXI/4UB! DEFICIT AMOUNT MAY NOT BE EXCEEDED.?The
provisions of section 301(i) shall apply with respect to concurrent
resolutions on the budget under this section (and amendments
thereto and conference reports thereon) in the same way they apply
to concurrent resolutions on the budget under such section 301(i)
(and amendments thereto and conference reports thereon).
"PROVISIONS RELATING TO THE CONSIDERATION OF CONCURRENT
RESOLUTIONS ON THE BUDGET
"SEC. 305. (a) PROCEDURE IN HOUSE or REPRESENTATIVES AFTER
REPORT OF COMMTITEE; DEBATE--
Al) When the Committee on the Budget of the House of
Representatives has reported any concurrent resolution on the
budget, it is in order at any time after the fifth day (excluding
Saturdays, Sunc_lays,and legal _holidays) following the day on
which the report upon such resolution by th-6 CoMmittee on the
Budget has been available to Members of the -House and, if
applicable, after the first day (excluding Saturdays, Sundays,
and legal holidays) following the day on which a report upon
such resolution by the Committee on Rules pursuant to section
301(c) has been available to Members of the House (even though
a previous motion to the same effect has been disagreed to) to
move to proceed to the consideration of the concurrent resolu-
tion. The motion is highly privileged and is not debatable. An
amendment to the motion is not in order, and it is not in order
to move to reconsider the vote by which the motion is agreed to
or disagreed to.
"(2) General debate on any concurrent resolution on the
budget in the House of Representatives shall be limited to not
more than 10 hours, which shall be divided equally between the
majority and minority parties, plus such additional hours of
debate as are consumed pursuant to paragraph (3). A motion
further to limit debate is not debatable. A motion to recommit
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R. J. Res. 872-12
the concurrent resolution is not in orderand it is not in order
to move to reconsider the vote by which the concurrent resolu-
tion is agreed to or disagreed to.
"(3) Following the presentation of opening statements on the
concurrent resolution on the budget for a fiscal year by the
chairman and ranking minority member of the Committee on
the Budget of the House, there shall be a period of up to four
hours for debate on economic goals and policies.
"(4) Only if a concurrent resolution on the budget reported by
the Committee on the Budget of the House sets forth the
economic goals (as described m sections 3(aX2) and 4(b) of the
Full Employment Act of 1946) which the estimates, amounts,
and levels (as described in section 301(a)) set forth in such
resolution are designed to achieve, shall it be in order to offer to
such resolution an amendment relating to such goals, and such
amendment shall be in order only if it also proposes to alter
such estimates, amounts, and levels in germane fashion in order
to be consistent with the goals proposed in such amendment.
"(5) Consideration of any concurrent resolution on the budget
by the House of Representatives shall be in the Committee of
the Whole, and the resolution shall be considered for amend-
ment under the five-minute rule in accordance with the ap-
plicable provisions of rule XXIII of the Rules of the House of
Representatives. After the Committee rises and reports the
resolution back to the House, the previous question shall be
considered as ordered on the resolution and any amendments
thereto to final passage without intervening motion; except that
it shall be in order at any time prior to final passage (notwith-
standing any other rule or provision of law) to adopt an amend-
ment (or a series of amendments) changing any figure or figures
in the resolution as so reported to the extent necessary to
achieve mathematical consistency.
"(6) Debate in the House of Representatives on the conference
report on any concurrent resolution on the budget shall be
limited to not more than 5 hours, which shall be divided equally
between the majority and minority parties. A motion further to
limit debate is not debatable. A motion to recommit the .con-_
ference -report is not in ordef?a.nd it is notiri order to move to
reconsider the vote by which the conference report is agreed to
or disagreed to.
"(7) Appeals from decisions of the Chair relating to the ap-
plication of the Rules of the House of Representatives to the
procedure relating to any concurrent resolution on the budget
shall be decided without debate.
"(b) PROCEDURE IN SENATE AFTER REPORT OF COMMITTEE; DEI3ATE;
AMENDMENT?
"(1) Debate in the Senate on any concurrent resolution on the
budget, and all amendments thereto and debatable motions and
appeals in connection therewith, shall be limited to not more
than 50 hours, except that with respect to any concurrent
resolution referred to in section 304(a) all such debate shall be
limited to not more than 15 hours. The time shall be equally
divided between, and controlled by, the majority leader and the
minority leader or their designees.
"(2) Debate in the Senate on any amendment to a concurrent
resolution on the budget shall be limited to 2 hours, to be
equally divided between, and controlled by, the mover and the
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H. J. Res. 372-13
manager of the concurrent resolution, and debate on any
amendment to an amendment, debatable motion, or appeal
shall be limited to 1 hour, to be equally divided between, and
controlled by, the mover and the manager of the concurrent
resolution, except that in the event the manager of the concur-
rent resolution is in favor of any such amendment, motion, or
appeal, the time in opposition thereto shall be controlled by the
minority leader or his designee. No amendment that is not
germane to the provisions of such concurrent resolution shall be
received. Such leaders, or either of them, may, from the time
under their control on the passage of the concurrent resolution,
allot additional time to any Senator during the consideration of
any amendment, debatable motion, or appeal.
"(3) Following the presentation of opening statements on the
concurrent resolution on the budget for a fiscal year by the
chairman and ranking minority member of the Committee on
the Budget of the Senate, there shall be a period of up to four
hours for debate on economic goals and policies.
"(4) Subject to the other limitations of this Act, only if a
concurrent resolution on the budget reported by the Committee
on the Budget of the Senate sets forth the economic goals (as
described in sections 3(aX2) and 4(b) of the Employment Act of
1946) which the estimates, amounts, and levels (as described in
section 301(a)) set forth in such resolution are designed to
achieve, shall it be in order to offer to such resolution an
amendment relating to such goals, and such amendment shall
- be in order only if it also proposes to alter such estimates,
? amounts, and levels in germane fashion in order to be consist-
ent with the goals proposed in such amendment.
"(5) A motion to further limit debate is not debatable. A
motion to recommit (except a motion to recommit with instruc-
tions to report back within a specified number of days, not to
exceed 3, not counting any day on which the Senate is not in i
session) s not in order. Debate on any such motion to recommit
shall be limited to 1 hour, to be equally divided between, and
controlled by, the mover and the rnnnager of the concurrent
resolution.
"(6) Notwithstanding any other rule, an amendment or series
- of amendments to a concurrent resolution on the budget pro-
posed in the Senate shall always be in order if such amendment
?
or series of amendments proposes to change any figure or
figures then contained in such concurrent resolution so as to
make such concurrent resolution mathematically consistent or
so as to maintain such consistency.
"(C) ACTION ON CONFERENCE REPORTS IN THE SENA1E--
"(1) The conference report on any concurrent resolution on
the budget shall be in order in the Senate at any time after the
third day (excluding Saturdays, Sundays, and legal holidays)
following the day on which such conference report is reported
and is available to Members of the Senate. A motion to proceed
to the consideration of the conference report may be made even
though a previous motion to the same effect has been disagreed
to.
"(2) During the consideration in the Senate of the conference
report on any concurrent resolution on the budget, debate shall
be limited to 10 hours, to be equally divided between, and
controlled by, the majority leader and minority leader or their
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H. J. Res. 872-14
designees. Debate on any debatable motion or appeal related to
the conference report shall be limited to 1 hour, to be equally
divided between, and controlled by, the mover and the manager
of the conference report.
"(3) Should the conference report be defeated, debate on any
? request for a new conference and the appointment of conferees
shall be limited to 1 hour, to be equally divided between, and
controlled by, the manager of the conference report and the
minority leader or his designee, and should any motion be made
to instruct the conferees before the conferees are named, debate
on such motion shall be limited to one-half hour, to be equally
divided between, and controlled by, the mover and the manager
of the conference report. Debate on any amendment to any such
instructions shall be limited to 20 minutes, to be equally divided
? between and controlled by the mover and the manager of the
conference report. In all cases when the manager of the con-
ference report is in favor of any motion, appeal, or amendment,
the time in opposition shall be under the control of the minority
leader or his designee.
"(4) In any case in which there are amendments in disagree-
ment, time on each amendment shall be limited to 30 minutes,
to be equally divided between, and controlled by, the manager of
the conference report and the minority leader or his designee.
No amendment that is not germane to the provisions of such
amendments shall be received.
"(d) REQUIRED ACTION BY CONFERENCE COMI'AITTEE.?If at the end
of 7 days (excluding Saturdays, Sundays, and legal holidays) after
the conferees of both Houses have been appointed to a committee of
conference on a concurrent resolution on the budget, the conferees
are unable to reach agreement with respect to all matters in dis-
agreement between the two Houses, then the conferees shall submit
to their respective Houses, on the first day thereafter on which their
House is in session?
"(1) a conference report recommending those matters on
which they have agreed and reporting in disagreement those
matters on which they have not agreed; or
"(2) a conference report in disagreement, if the matter in
disagreement is an amendment which strikes out the entire text
of the concurrent resolution and inserts a substitute text.
_ -"(p) CONCURRENT RESOLUTION MUST BE CONSISTENT IN THE
- -SENATE.?It shall not be in order in the Senate to vote on - the
question of agreeing to?
"(1) a concurrent resolution on the budget unless the figures
then contained in such resolution are mathematically consist-
ent; or
"(2) a conference report on a concurrent resolution on the
? budget unless the figures contained in such resolution, as rec-
ommended in such conference report, are mathematically
consistent.
"LEGISLATION DEALING WITH CONGRESSIONAL BUDGET MUST BE
HANDLED BY BUDGET COMMITTEES
"SEc. 306. No bill or resolution, and no amendment to any bill or
resolution, dealing with any matter which is within the jurisdiction
of the Committee on the Budget of either House shall be considered
in that House unless it is a bill or resolution which has been
-
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H. J. Res. 37Z-15
reported by the Committee on the Budget of that House (or from the
consideration of which such committee has been discharged) or
unless it is an amendment to such a bill or resolution.
"mousE COMMITTEE ACTION ON ALL APPROPRIATION BILLS TO BE
COMPLETED BY JUNE 10
"SEc. 307. On or before June 10 of each year, the Committee on
Appropriations of the House of Representatives shall report annual
appropriation bills providing new budget authority under the juris-
diction of all of its subcommittees for the fiscal year which begins on
October 1 of that year.
"REPORTS, SUMMARIES, AND PROJECTIONS OF CONGRESSIONAL BUDGET
ACTIONS
"SEC. 308. (a) REPORTS ON LEGISLATION PROVIDING NEW BUDGET
AUTHORITY, NEW SPENDING AUTHORITY, OR NEW CREDIT AUTHORITY,
OR PROVIDING AN INCREASE OR DECREASE IN REVENUES OR TAE
EXPENDITURES.?
"(1) Whenever a committee of either House reports to its
House a bill or resolution, or committee amendment thereto,
providing new budget authority (other than continuing appro-
priations), new spending authority described in section 401(cX2),
or new credit authority, or providing an increase or decrease in
revenues or tax expenditures for a fiscal year, the report accom-
panying that bill or resolution shall contain a statement, or the
committee shall make available such a statement in the case of
an approved committee amendment which is not reported to its
House, prepared after consultation with the Director of the
Congressional Budget Office?
"(A) comparing the levels in such measure to the appro-
priate allocations in the reports submitted under section
302(b) for the most recently agreed to concurrent resolution
on the budget for such fiscal year;
"(B) including an identification of any new spending
authority described in section 401(cX2) which is contained
in such measure and a justification for the use of such
financing method instead of annual appropriations r. _
"(C) containing a projection by the Congressional Budget
Office of how such measure will affect the levels of such
budget authority, budget outlays, spending authority, reve-
nues, tax expenditures, direct loan obligations, or primary
loan guarantee commitments under existing law for such
fiscal year and each of the four ensiling fiscal years, if
timely submitted before such report is filed; and
"(D) containing an estimate by the Congressional Budget
Office of the level of new budget authority for assistance to
State and local governments provided by such measure, if
timely submitted before such report is filed.
"(2) Whenever a conference report is filed in either House and
such conference report or any amendment reported in disagree-
ment or any amendment contained in the pint statement of
managers to be proposed by the conferees in the case of tech-
nical disagreement on such bill or resolution provides new
budget authority (other than continuing appropriations), new
spending authority described in section 401(cX2), or new credit
. ? 4?
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H. J. Res. 372-16
authority, or provides an increase or decrease in revenues for a
fiscal year, the statement of managers accompanying such con-
ference report shall contain the information described in para-
graph (1), if available on a timely basis. If such information is
not available when the conference report is filed, the committee
shall make such information available to Members as soon as
practicable prior to the consideration of such conference report.
"(b) UP-TO-DATE TABULATIONS OF CONGRESSIONAL BUDGET
ACTION.?
"(1) The Director of the Congressional Budget Office shall
issue to the committees of the House of Representatives and the
Senate reports on at least a monthly basis detailing and tabulat-
ing the progress of congressional action on bills and resolutions
providing new budget authority, new spending authority de-
scribed in section 401(cX2), or new credit authority, or providing
an increase or decrease in revenues or tax expenditures for a
fiscal year. Such reports shall include but are not limited to an
? up-to-date tabulation comparing the appropriate aggregate and
functional levels (including outlays) included in the most re-
cently adopted concurrent resolution on the budget with the
levels provided in. bills and resolutions reported by committees
or adopted by either House or by the Congress, and with the
levels provided by law for the fiscal year preceding such fiscal
year.
"(2) The Committee on the Budget of each House shall make
available to Members of its House summary budget
scorekeeping reports. Such reports?
"(A) shall be made available on at least a monthly basis,
but in any case frequently enough to provide Members of
each House an accurate representation of the current
status of congressional consideration of the budget;
"(B) shall include, but are not limited to, summaries of
tabulations provided under subsection (bX1); and
"(C) shall be based on information provided under subsec-
tion (bX1) without substantive revision.
The chairman of the Committee on the Budget of the House of
-Representatives shall submit such reports to the Speaker.
(C) FIVE-YEAR PROSECTION OF CONGRESSIONAL BUDGET ACTION.-
- As soon as practicable after the beginning of each fiscal year, the
Director of the Congressional Budget Office shall issue a report
projecting for the period of 5 fiscal years beginning with such fiscal
year?
"(1) total new budget authority and total budget outlays for
each fiscal year in such period;
"(2) revenues to be received and the major sources thereof,
and the surplus or deficit, if any, for each fiscal year in such
period;
"(3) tax expenditures for each fiscal year in such period;
"(4) entitlement authority for each fiscal year in such period;
and
"(5) credit authority for each fiscal year in such period.
"HOUSE APPROVAL OF REGULAR APPROPRIATION BILLS
"SEC. 309. It shall not be in order in the House of Representatives
to consider any resolution providing for an adjournment period of
more than three calendar clays during the month of July until the
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House of Representatives has approved annual appropriation bills
providing new budget authority under the jurisdiction of all the
subcommittees of the Committee on Appropriations for the fiscal
year beginning on October 1 of such year. For purposes of this
section, the chairman of the Committee on Appropriations of the
House of Representatives shall periodically advise the Speaker as to
changes in jurisdiction among its various subcommittees.
"RECONCILIATION
"SEC. 310. (a) INCLUSION OF RECONCILIATION DIRECTIVES IN
CONCURRENT RESOLUTIONS ON THE BUDGET.?A concurrent resolu-
tion on the budget for any fiscal year, to the extent necessary to
effectuate the provisions and requirements of such resolution,
shall?
"(1) specify the total amount by which?
"(A) new budget authority for such fiscal year;
AB) budget authority initially provided for prior fiscal
years;
"(C) new entitlement authority which is to become effec-
tive during such fiscal year; and
"(D) credit authority for such fiscal year,
contained in laws, bills, and resolutions within the jurisdiction
of a committee, is to be changed and direct that committee to
determine and recommend changes to accomplish a change of r.
such total amount;
"(2) specify the total amount by which revenues are to be
changed and direct that the committees having jurisdiction to
determine and recommend changes in the revenue laws, bills,
and resolutions to accomplish a change of such total amount;
"(3) specify the amounts by which the statutory limit on the
public debt is to be changed and direct the committee having
jurisdiction to recommend such change; or
"(4) specify and direct any combination of the matters de-
scribed in paragraphs (1), (2), and (3).
"(b) LEGISLATIVE PROCEDURE.?If a concurrent resolution contain-
ing directives to one or more committees to determine and
recommend changes in laws, bills, or resolutions is agreed to in
accordance with subsection (a), and?
"(1) only one committee of the House or the Senate is directed
--to determine and recommend changes, that committee shall
promptly make such determination and recommendations and
report to its House reconciliation legislation containing such
recommendations; or
"(2) more than one committee of the House or the Senate is
directed to determine and recommend changes, each such
committee so directed shall promptly make such determination
and recommendations and submit such recommendations to the
Committee on the Budget of its House, which, upon receiving all
such recommendations, shall report to its House reconciliation
legislation carrying out all such recommendations without any
substantive revision.
For purposes of this subsection, a reconciliation resolution is a
concurrent resolution directing the Clerk of the House of Represent-
atives or the Secretary of the Senate, as the case may be, to make
specified changes in bills and resolutions which have not been
enrolled.
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H.. J . Res. 372-18
"(C) COMPLIANCE WITH IRECONCILIATION DIRECTIONS.?Any commit-
tee of the House of Representatives or the Senate that is directed,
pursuant to a concurrent resolution on the budget, to determine and
recommend changes of the type described in paragraphs (1) and (2)
of subsection (a) with respect to laws within its Jurisdiction, shall be
deemed to have complied with such directions?
"(1) if
"(A) the amount of the changes of the type described in
paragraph (1) of such subsection recommended by such
committee do not exceed or fall below the amount of the
changes such committee was directed by such concurrent
resolution to recommend under such paragraph by more
than 20 percent of the total of the amounts of the changes
such committee was directed to make under paragraphs (1)
and (2) of such subsection, and
"(B) the amount of the changes of the type described in
paragraph (2) of such subsection recommended by such
committee do not exceed or fall below the amount of the
changes such committee was directed by such concurrent
resolution to recommend under that paragraph by more
than 20 percent of the total of the amounts of the changes
such committee was directed to make under paragraphs (1)
and (2) of such subsection; and
"(2) if the total amount of the changes recommended by such -
committee is not less than the total of the amounts of the
changes such committee was directed to make under para-
graphs (1) and (2) of such subsection.
"(d) LIMITATION ON AMENDMENTS TO RECONCILIATION BILIS AND
RFsoiarr1oris.?
"(1) It shall not be in order in the House of Representatives to
consider any amendment to a reconciliation bill or reconcili-
ation resolution if such amendment would have the effect of
increasing any specific budget outlays above the level of such
outlays provided in the bill or resolution (for the fiscal years
covered by the reconciliation instructions set forth in the most
recently agreed to concurrent resolution on the budget), or
would have the effect of reducing any specific Federal revenues
below the level of such revenues provided in the bill or resolu-
tion (for such fiscal years),- unless such amendment -makes at?
least an equivalent reduction in other specific budget outlays,
an equivalent increase in other specific Federal revenues, or an
equivalent combination thereof (for such fiscal years), except
that a motion to strike a provision providing new budget author-
ity or new entitlement authority may be in order.
"(2) It shall not be in order in the Senate to consider any
amendment to a reconciliation bill or reconciliation resolution if
such amendment would have the effect of decreasing any spe-
cific budget outlay reductions below the level of such outlay
reductions provided (for the fiscal years covered) in the rec-
onciliation instructions which relate to such bill or resolution
set forth in a resolution providing for reconciliation, or would
have the effect of reducing Federal revenue increases below the
level of such revenue increases provided (for such fiscal years)
in such instructions relating to such bill or resolution, unless
such amendment makes a reduction in other specific budget
outlays, an increase in other specific Federal revenues, or a
combination thereof (for such fiscal years) at least equivalent to
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H. J. Res. 372-19
any increase in outlays or decrease in revenues provided by
such amendment, except that a motion to strike a provision
shall always be in order.
"(3) Paragraphs (1) and (2) shall not apply if a declaration of
war by the Congress is in effect.
"(4) For purposes of this section, the levels of budget outlays
and Federal revenues for a fiscal year shall be determined on
the basis of estimates made by the Committee on the Budget of
the House of Representatives or of the Senate, as the case may
be.
"(5) The Committee on Rules of the House of Representatives
may make in order amendments to achieve changes specified by
reconciliation directives contained in a concurrent resolution on
the budget if a committee or committees of the House fail to
submit recommended changes to its Committee on the Budget
pursuant to its instruction.
"(e) PROCEDURE IN THE SENATE.?
"(I) Except as provided in paragraph (2), the provisions of
section 305 for the consideration in the Senate of concurrent
resolutions on the budget and conference reports thereon shall
also apply to the consideration in the Senate of reconciliation
bills reported under subsection (b) and conference reports
thereon.
"(2) Debate in the Senate on any reconciliation bill reported
under subsection (b), and all amendments thereto and debatable
motions and appeals in connection therewith, shall be limited to
not more than 20 hours.
"(0 COMPLETION OF RECONCILIATION PROCESS.?
"(1) IN GENERAL?Congress shall complete action on any
reconciliation bill or reconciliation resolution reported under
subsection (b) not later than June 15 of each year.
"(2) Ponsrr OF ORDER IN THE HOUSE OF REPRESENTATIVES.?II
shall not be in order in the House of Representatives to consider
any resolution providing for an adjournment period of more
than three calendar days during the month of July until the
House of Representatives has completed action on the reconcili-
ation legislation for the fiscal year beginning on October 1 of
the calendar year to which the adjournment resolution pertains,
_ if reconciliation legislation is required to be reported by the
concurrent resolution on the budget for such fiscal year.
"(g) 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
reconciliation bill or reconciliation resolution reported pursuant to a
concurrent resolution on the budget agreed to under section 301 or
304, or a resolution pursuant to section 254(b) of the Balanced
Budget and Emergency Deficit Control Act of 1985, or any amend-
ment thereto or conference report thereon, that contains rec-
ommendations with respect to the old-age, survivors, and disability
insurance program established under title II of the Social Security
Act.
"NEW BUDGET AUTHOR/TY, NEW SPENDING AUTHORITY, AND REVENUE
LEGISLATION MUST BE WITHIN APPROPRIATE LEVELS
"SEC. 311. (a) LEGISLATION SUBJECT TO Porn oF ORDER.?Except BS
provided by subsection (b), after the Congress has completed action
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on a concurrent resolution on the budget for a fiscal year, it shall
not be in order in either the House of Representatives or the Senate
to consider any bill, resolution, or amendment providing new budget
authority for such fiscal year, providing new entitlement authority
effective during such fiscal year, or reducing revenues for such fiscal
year, or any conference report on any such bill or resolution, if?
"(1) the enactment of such bill or resolution as reported;
"(2) the adoption and enactment of such amendment; or
"(3) the enactment of such bill or resolution in the form
recommended in such conference report;
would cause the appropriate level of total new budget authority or
total budget outlays set forth in the most recently agreed to concur-
rent resolution on the budget for such fiscal year to be exceeded, or
would cause revenues to be less than the appropriate level of total
revenues set forth in such concurrent resolution or, in the Senate,
would otherwise result in a deficit for such fiscal year that exceeds
the maximum deficit amount specified for such fiscal year in section
3(7) (except to the extent that paragraph (1) of section 301(i) or
section 304(b), as the case may be, does not apply by reason of
paragraph (2) of such subsection).
"(b) EXCEPTION IN l'HE HOUSE OF REPRESENTATIVES.?Subsection (a)
shall not apply in the House of Representatives to any bill, resolu-
tion, or amendment which provides new budget authority or new
entitlement authority effective during such fiscal year, or to any
conference report on any such bill or resolution, if?
"(1) the enactment of such bill or resolution as reported;
"(2) the adoption and enactment of such amendment; or
"(3) the enactment of such bill or resolution in the form
recommended in such conference report.,
would not cause the appropriate allocation of new discretionary
budget authority or new entitlement authority made pursuant to
section 302(a) for such fiscal year, for the committee within whose
jurisdiction such bill, resolution, or amendment falls, to be exceeded.
"(C) DETERMINATION OF BUDGET LEVEIS.?For purposes of this
- section, the levels of new budget authority, budget outlays, new
entitlement authority, and revenues for a fiscal year shall be deter-
mined on the basis of estimates made by the Committee on the
Budget of the House of Representatives or of the Senate, as the case
may be.".
Subpart II?Amendments to Title IV of the
Congressional Budget Act of 1974
SEC. 211. NEW SPENDING AUTHORITY.
Section 401 of the Congressional Budget Act of 1974 is amended to
read as follows:
"BILLS PROVIDING NEW SPENDING AUTHORITY
"Sze. 401. (a) CONTROLS ON LEGISLATION PROVIDING SPENDING
AUTHORITY.?It shall not be in order in either the House of
Representatives or the Senate to consider any bill, resolution, or
conference report, as reported to its House which provides new
spending authority described in subsection (cX2) (A) or (B) (or any
amendment which provides such new spending authority), unless
that bill, resolution, conference report, or amendment also provides
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H. J. Res. 872-21
that such new spending authority as described in subsection (cX2) '
(A) or (B) is to be effective for any fiscal year only to such extent or
in such amounts as are provided in appropriation Acts.
"(b) LEGISLA770N PROVIDING ENTITLEMENT AUTHORITY.?
"(1) It shall not be in order in either the House of Representa-
tives or the Senate to consider any bill or resolution which
provides new spending authority described in subsection (cX2XC)
(or any amendment which provides such new spending author-
ity) which is to become effective before the first day of the fiscal
year which begins during the calendar year in which such bill
or resolution is reported.
"(2) If any committee of the House of Representatives or the
Senate reports any bill or resolution which provides new spend-
ing authority described in subsection (cX2XC) which is to become
effective daring a fiscal year and the amount of new budget
authority which will be required for such fiscal year if such bill
? or resolution is enacted as so reported exceeds the appropriate
allocation of new budget authority reported under section 302(b)
in connection with the most recently agreed to concurrent
resolution on the budget for such fiscal year, such bill or
resolution shall then be referred to the Committee on Appro-
priations of that House with instructions to report it, with the
committee's recommendations, within 15 calendar days (not
counting any day on which that House is not in session) begin-
ning with the day following the day on which it is so referred. If
the Committee on Appropriations 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 dis-
charged from further consideration of such bill or resolution
and such bill or resolution shall be placed on the appropriate
calendar.
"(3) The Committee on Appropriations of each House shall
have jurisdiction to report any bill or resolution referred to it
under paragraph (2) with an amendment which limits the total
amount of new spending authority provided in such bill or
resolution.
AO DEFINITIONS.?
"(1) For purposes of this section, the term 'new spending
authority' means spending authority not provided by law on the
effective date of this Act, including any increase in or addition
to spending authority provided by law on such date.
"(2) For purposes of paragraph (1), the term 'spending author-
ity' means authority (whether temporary or permanent)?
"(A) to enter into contracts under which the United
States is obligated to make outlays, the budget authority for
which is not provided in advance by appropriation Acts;
"(B) to incur indebtedness (other than indebtedness in-
curred under chapter 31 of title 31 of the United States
Code) for the repayment of which the United States is
liable, the budget authority for which is not provided in
advance by appropriation Acts;
"(C) to make payments (including loans and grants), the
budget authority for which is not provided for in advance
by appropriation Acts, to any person or government if,
under the provisions of the law containing such authority,
the United States is obligated to make such payments to
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H. J. Res. 872-22
persons or governments who meet the requirements estab-
lished by such law;
"(D) to forego the collection by the United States of
proprietary offsetting receipts, the budget authority for
which Is not provided in advance by appropriation Acts to
offset such foregone receipts; and
"(E) to make payments by the United States (including
loans, grants, and payments from revolving funds) other
than those covered by subparagraph (A), (B), (C), or (I)), the
budget authority for which is not provided in advance by
appropriation Acts.
Such term does not include authority to insure or guarantee the
repayment of indebtedness incurred by another person or
government.
"(d) EXCEPTIONS.?
"(1) Subsections (a) and (b) shall not apply to new spending
authority if the budget authority for outlays which will result
from such new spending authority is derived?
"(A) from a trust fund established by the Social Security
Act (as in effect on the date of the enactment of this Act); or
"(B) from any other trust fund, 90 percent or more of the
receipts of which consist or will consist of amounts (trans-
ferred from the general fund of the Treasury) equivalent to
amounts of taxes (related to the purposes for which such
outlays are or will be made) received in the Treasury under
specified provisions of the Internal Revenue Code of 1954.
"(2) Subsections (a) and (b) shall not apply to new spending
authority which is an amendment to or extension of the State
and Local Fiscal Assistance Act of 1972, or a continuation of the
program of fiscal assistance to State and local governments
provided by that Act, to the extent so provided in the bill or
resolution providing such authority.
"(3) Subsections (a) and (b) shall not apply to new spending
authority to the extent that?
"(A) the outlays resulting therefrom are made by an
organization which is (i) a mixed-ownership Government
corporation (as defined in section 201 of the Government
Corporation Control Act), or (ii) a wholly owned Govern-
? ment corporation (as defined in section 101 of such Act)
which is specifically exempted by law from compliance with
any or all of the provisions of that Act, as of the date of
enactment of the Balanced Budget and Emergency Deficit
Control Act of 1985; or
"(B) the outlays resulting therefrom consist exclusively of
the proceeds of gifts or bequests made to the United States
for a specific purpose.".
SEC. 212. CREDIT AUTHORITY.
Section 402 of the Congressional Budget Act of 1974 is amended to
read as follow:
"LEGISLATION PROVIDING NEW CREDIT AUTHORITY
"SEC. 402. (a) CONTROLS ON LEGISLATION PROVIDING NEW CREDIT
AurtioRrry.?It shall not be in order in either the House of Rep-
resentatives or the Senate to consider any bill, resolution, or con-
ference report, as reported to its House, or any amendment which
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H. J. Res. 372-23
provides new credit authority described in subsection (bX1), unless
that bill, resolution, conference report, or amendment also provides
that such new credit authority is to be effective for any fiscal year
only to such extent or in such amounts as are provided in appropria-
tion Acts.
"(b) DEFINMON.?For purposes of this Act, the term 'new credit
authority' means credit authority (as defined in section 3(10) of this
Act) not provided by law on the effective date of this section,
including any increase in or addition to credit authority provided by
law on such date.".
SEC. In. DESCRIPTION BY CONGRESSIONAL BUDGET OFFICE.
(a) CONGRESSIONAL BUDGET OFFICE ANALYSIS.?Section 403(a) of
the Congressional Budget Act of 1974 is amended by striking out
"and" at the end of paragraph (2), by striking out the period and
inserting "; and" at the end of paragraph (3), and by inserting at the
end thereof the following new paragraph:
"(4) a description of each method for establishing a Federal
financial commitment contained in such bill or resolution.".
(b) CONFORMING AMENDMENT.?The second sentence of section
403(a) of such Act is amended by striking out "estimates and
comparison" and inserting in lieu thereof "estimates, comparison,
and description".
SEC. 214. GENERAL ACCOUNTING OFFICE STUDY; OFF-BUDGET AGENCIES;
MEMBEB USER GROUP.
Title IV of the Congressional Budget Act of 1974 is amended by
inserting at the end thereof the following new sections:
"STUDY BY THE GENERAL ACCOUNTING OFFICE OF FORMS OF FEDERAL
FINANCIAL COMMITMENT THAT ARE NOT REVIEWED ANNUALLY BY
CONGRESS
"SEC. 405. The General Accounting Office shall study those provi-
sions of law which provide spending authority as described by
section 401(cX2) and which provida permanent appropriations, and
report to the Congress its recommendations for the appropriate form
of financing for activities or programs financed by such provisions
? not later than -eighteen Months after the effective date of this
section. Such report shall be revised from time to time.
"OFF-BUDGET AGENCIES, PROGRAMS, AND ACTIVITIES
"SEC. 406. (a) Notwithstanding any other provision of law, budget
authority, credit authority, and estimates of outlays and receipts for
activities of the Federal budget which are off-budget immediately
prior to the date of enactment of this section, not including activities
of the Federal Old-Age and Survivors Insurance and Federal
Disability Insurance Trust Funds, shall be included in a budget
submitted pursuant to section 1105 of title 31, United States Code,
and in a concurrent resolution on the budget reported pursuant to
section 301 or section 304 of this Act and shall be considered, for
purposes of this Act, budget authority, outlays, and spending author-
ity in accordance with definitions set forth in this Act.
"(b) All receipts and disbursements of the Federal Financing Bank
with respect to any obligations which are issued, sold, or guaranteed
by a Federal agency shall be treated as a means of financing such
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H. J. Res. 372-24
agency for purposes of section 1105 of title 31, United States Code,
and for purposes of this Act.
"MEMBER USER GROUP
"SEc. 407. The Speaker of the House of Representatives, after
consulting with the Minority Leader of the House, may appoint a
Member User Group for the purpose of reviewing budgetary
scorekeeping rules and practices of the House and advising the
Speaker from time to time on the effect and impact of such rules
and practices.".
Subpart III?Additional Provisions to Improve Budget
Procedures
SEC. 221. CONGRESSIONAL BUDGET OFFICE.
(a) REPORTING DA'TE.?Section 202(fX1) of the Congressional
Budget Act of 1974 is amended by striking out "April 1" in the first
sentence and inserting in lieu thereof "February 15".
(b) ADDMONAL REPORTING REQUIREMENT.--SeCt1013 202(f) of such
Act is further amended by adding at the end thereof the following
new paragraph:
"(3) On or before January 15 of each year, the Director, after
consultation with the appropriate committees of the House of
Representatives and Senate, shall submit to the Congress a
report listing (A) all programs and activities funded during the
fiscal year ending September 30 of that calendar year for which
authorizations for appropriations have not been enacted for
that fiscal year, and (B) all programs and activities for which
authorizations for appropriations have been enacted for the
fiscal year ending September 30 of that calendar year, but for
which no authorizations for appropriations have been enacted
for the fiscal year beginning October 1 of that calendar year.".
(c) STUDIES.?Section 202 of such Act is further amended by adding
at the end thereof the following new subsection:
"(h) STUDIES.?The Director shall conduct continuing studies to
enhance comparisons of budget outlays, credit authority, and tax
expenditures.'.'
SEC. 222. CURRENT SE 'ICES BUDGET FOR CONGRESSIONAL BUDGET
PUR S.
(a) Ci SERVICES BuncEr.?The first sentence of section
1109(a) 1 title 31, United States Code, is amended by striking out
"Before November 11 of each year" and inserting in lieu thereof
On or before th Monday after January 3 of each year (on or
before FeI5 5 in 1986)".
NT ECONOMIC COMMITTEE REVIEW.?Section 1109(b) of title
31,Tinited States Code, is amended by striking out "January 1" and
inserting in lieu thereof "March 1".
SEC. 223. STUDY OF OFF-BUDGET AGENCIES.
Section 606 of the Congressional Budget Act of 1974 is repealed
SEC. 224. CHANGES IN FU tO AL CATEGORIES.
Section 1104(c) ftle 31, United States Code, is amended by
adding at the end thereof the following new sentence: "Committees
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H.J. Res. 372-25
of the House of Representatives and Senate shall receive prompt
notification of all such changes.".
SEC. :Is. JURISDICTION OF COMMITTEE ON GOVERNMENT OPERATIONS.
Clause 1(j) of Rule X of the Rules of the House of Representatives
is amended by inserting after item (5) the following new item:
"(6) Measures providing for off-budget treatment of Federal agen-
cies or programs.".
SEC. 226. CONTINUING STUDY OF CONGRESSIONAL BUDGET PROCESS.
Clause 3 of Rule X of the Rules of the House of Representatives is
amended by adding at the end thereof the following:
t/- "(i) The Committee on Rules shall have the function of reviewing
and studying, on a continuing basis, the congressional budget proc-
ess, and the committee shall, from time to time, report its fmdings
and recommendations to the House.".
SEC. 227. EARLY ELECTION OF COMMITTEES OF THE HOUSE.
Clause 6(aX1) of Rule X of the Rules of the House of Representa-
tives is amended by striking out "at" and inserting in lieu thereof
"within the seventh calendar day beginning after", and by adding at
the end thereof the following new sentence: "It shall always be in
order to consider resolutions recommended by the respective party
caucuses to change the composition of standing committees.".
SEC. 228. RESCISSIONS AND TRANSFERS IN APPROPRIATION BILLS.
(a) RESCISSIONS.?Clause 2(b) of Rule XXI of the Rules of the House
of Representatives is amended by inserting before the period at the
,.end thereof the following: ", and except rescissions of appropriations
contained in appropriation Acts".
(b) TaANsFErts.--Clause 6 of Rule XXI of the Rules of the House of
Representatives is amended by inserting before the period at the
end thereof the following: ", and shall not apply to transfers of
unexpended balances within the department or agency for which
they were originally appropriated, reported by the Committee on
Appropriations".
Subpart IV Technical and Conforming Amendments
SEC. 231. TABLE OF CONTENTS.
The table of contents set forth in section 1(b) of the Congressional
Budget and Impoundment Control Act of 1974 with respect to title
III is amended to read as follows:
'TITLE III?CONGRESSIONAL BUDGET PROCESS
"Sec. 300. Timetable.
"Sec. 301. Annual adoption of concurrent resolution on the budget
"Sec. 302. Committee allocations.
"Sec. 303. Concurrent resolution on the budget must be adopted before legislation
providing new budget authority, new spending authority, new credit au-
thority or changes in revenues or the public debt limit is considered.
"Sec. 304. Permissible revisions of concurrent resolutions on the budget.
"Sec. 305. Procedures relating to consideration of concurrent resolutions on the
budget.
"Sec. 306. Legislation dealing with congressional budget must be handled by budget
committees.
"Sec. 307. House committee action on all appropriation bills to be completed by
June 10.
"Sec. 308. Reports, summaries, and projections of congress-ional budget actions.
"Sec. 309. House approval of regular appropriation bills.
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H. J. Res. 872-26
"Sec. 310. Reconciliation.
"Sec. 311. New budget authority, new spending authority, and revenue legislation
must be within appropriate levels.".
SEC 332. ADDITIONAL TECHNICAL AND CONFORMING AMENDMENTS.
(a) TABLE OF CONTENTS.?The table of contents set forth in section
1(b) of the Congressional Budget and Impoundment Control Act of
1974 is amended?
(1) by striking out the item relating to section 402 and insert-
ing in lieu thereof the following new item:
"Sec. 402. Legislation providing new credit authority.";
(2) by inserting after the item relating to section 404 the
following new items:
"Sec. 405. Study by the General Accounting Office of forms of Federal financial
commitment that are not reviewed annually by Congress.
"Sec. 406. Off-budget agencies, programs, and activities.
"Sec. 407. Member user group."; and
(3) by striking out the item relating to section 606.
g(b) TECHNICAL AMENDMENT.?Paragraph (4) of section 3 of the
Congressional Budget and Impoundment Control Act of 1974 is
amended?
(1) by adding "and" after the semicolon at the end of subpara-
graph (A);
(2) by striking out subparagraph (B); and
(3) by redesignating subparagraph (C) as subparagraph (B).
(c) TECHNICAL AMENDMENT.?Subparagraph (2) of clause 4(b) of
rule X of the Rules of the House of Representatives is amended by
striking out "first concurrent resolution" and inserting in lieu
thereof "concurrent resolutions".
(d) TECHNICAL AmENDMENT.?Clause 4(g) of rule X of the Rules of
the House of Representatives is amended by striking out "March
15" and inserting in lieu thereof "February 25".
(e) TECHNICAL AMENDMENT.?Clause 2(IX1) of rule XI of the Rules
the House of Representatives is amended?
(1) by striking out "(except as provided in subdivision (C))" in
subparagraph (A) thereof; and
(2) by repealing subparagraph (C) thereof.
(f) TEC/DUCAL AMENDMENT.?Clause 2(1X3)(B) of rule XI of the
Rules of the House of Representatives is amended by inserting "(1)"
after "section 308(a)", and by striking out "new budget authority or
new or increased tax expenditures' and inserting in lieu thereof
"new budget authority (other than continuing appropriations), new
spending authority described in section 401(cX2) of such Act, new
credit authority, or an increase or decrease in revenues or tax
expenditures".
(g) TECHNICAL AMENDMENT.?Rule XLIX of the Rules of the House
of Representatives is amended by striking out ", 304, or 310" in
clause 1 and inserting in lieu thereof "or 304".
(h) TECHNICAL AMENDMENT.?Clause 1(eX2) of Rule X of the Rules
of the House of Representatives is amended by inserting before the
period at the end thereof the following: ", and any resolution
pursuant to section 254(b) of the Balanced Budget and Emergency
Deficit Control Act of 1985.
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H. J. Ftes..372-27
PART B?BUDGET SUBMITTED BY THE
PRESIDENT
SEC. 241. SUBMISSION OF PRESIDENTS BUDGET; MAXIMUM DEFICIT
AMOUNT MAY N EXCEEDED.
(a) SUBMISSI N OF DENT'S BUDGET.?The first sentence of
section 1105(a) ale 31, United States Code, is amended by strik-
ing out "During the first 15 days of each regular session of Con-
gress" and inserting in lieu thereof the following "On or before the
first Monday after January 3 of each year (or on or before February
5 in 1986)".
(b) JvLxj j1Dzricn Amourrr MAY Nar BE DED ?Section
1105 e 31, United States Code, is amended by adding at the end
thereof the following new subsection:
"(0(1) The budget transmitted pursuant to subsection (a) for a
fiscal year shall be prepared on the basis of the best estimates then
available, in such a manner as to ensure that the deficit for such
fiscal year shall not exceed the maximum deficit amount for such
fiscal year as determined under paragraph (7) of section 3 of the
Congressional Budget and Impoundment Control Act of 1974.
"(2) The deficit set forth in the budget so transmitted for any fiscal
year shall not exceed the maximum deficit amount for such fiscal
year as determined under paragraph (7) of section 3 of the Congres-
sional Budget and Impoundment Control Act of 1974, with budget
outlays and Federal revenues at such levels as the President may
consider most desirable and feasible.
"(3) Paragraphs (1) and (2) shall not apply if a declaration of war
by the Congress is in effect".
SEC. 242. SUPPLEMENT s ESTIMATES AND CHANGES.
(a) N G E ?Ars OF SUBMISSION.?The first sentence of section
1106(b)
"April 11 and".
e 31, United States Code, is amended by striking out
(b) REVISIONS AND SUPPLEMENTAL SLTMMARTES.?Section 1106 of
title 31 of such Code is further amended by adding at the end thereof
the following new subsection:
"(c) Subsection (f) of section 1105 shall apply to revisions and
supplemental summaries submitted under this section to the same
extent that such subsection applies to the budget submitted under
section 1105(a) to which such revisions and summaries relate.".
PART C?EMERGENCY POWERS TO ELIMINATE
DEFICITS IN EXCESS OF MAXIMUM DEFICIT
AMOUNT
SEC. 251. REPORTING OF EXCESS DEFICITS.
(a) INITIAL ESTIMATES, DETERMINATIONS, AND REPORT BY OMB AND
CBO.?
(1) ESTIMATES AND DETERMINATIONS.?The Director of the
Office of Management and Budget and the Director of the
Congressional Budget Office (in this part referred to as the
"Directors") shall with respect to each fiscal year?
(A) estimate the budget base levels of total revenues and
budget outlays that may be anticipated for such fiscal year
as of August 15 of the calendar year in which such fiscal
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H. J. Res. 872-28
year begins (or as of January 10, 1986, in the case of the
fiscal year 1986),
(B) determine whether the projected deficit for such fiscal
year will exceed the maximum deficit amount for such
fiscal year and whether such deficit excess will be greater
than $10,000,000,000 (zero in the case of fiscal years 1986
and 1991), and
(C) estimate the rate of real economic growth that will
occur during such fiscal year, the rate of real economic
growth that will occur during each quarter of such fiscal
year, and the rate of real economic growth that will have
occurred during each of the last two quarters of the preced-
ing fiscal year.
(2) REPORT.?The Directors jointly shall report to the
Comptroller General on August 20 of the calendar year in
which such fiscal year begins (or on January 15, 1986, in the
case of the fiscal year 1986), estimating the budget base levels of
total revenues and total budget outlays for such fiscal year,
identifying the amount of any deficit excess for such fiscal year,
stating whether such excess is greater than $10,000,000,000
(zero in the case of fiscal years 1986 and 1991), specifying the
estimated rate of real economic growth for such fiscal year, for
each quarter of such fiscal year, and for each of the last two
quarters of the preceding fiscal year, indicating whether the
estimate includes two or more consecutive quarters of negative
real economic growth, and specifying (if the excess is greater
than $10,000,000,000, or zero in the case of fiscal years 1986 and
1991), by account, for non-defense programs, and by account and
programs, projects, and activities within each account, for de-
fense programs, the base from which reductions are taken and
the amounts and percentages by which such accounts must be
reduced during such fiscal year, in accordance with the succeed-
ing provisions of this part, in order to eliminate such excess.
(3) DETERMINATION OF REDUCTIONS. ?The amounts and
percentages by which such accounts must be reduced during a
fiscal year shall be determined as follows:
(AXi) If the deficit excess for the fiscal year is greater
than $10,000,000,000 (zero in the case of fiscal years 1986
and 1991), such deficit excess shall be divided into halves.
(ii) In the case of fiscal year 1986, the amount of such
excess?
U) shall be' multiplied by seven twelfths before being
divided into halves in accordance with clause (i), and
(II) shall not exceed $11,700,000,000.
(B) Subject to the exemptions, exceptions, limitations,
special rules, and definitions set forth in this section and in
sections 255, 256, and 257, the reductions necessary to
eliminate one-half of the deficit excess for the fiscal year (as
adjusted under subparagraph (AXii) in the case of fiscal
year 1986) shall be made in outlays under accounts within
major functional category 050 (in this part referred to as
outlays under "defense programs"), and the reductions nec-
essary to eliminate the other half of the deficit excess (or
the adjusted deficit excess, in the case of fiscal year 1986)
shall be made in outlays under other accounts of the Fed-
eral Government (in this part referred to as outlays under
"non-defense programs").
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(CXi) The total amount by which outlays for automatic
spending increases scheduled to take effect during the fiscal
year are to be reduced shall be determined in accordance
with clause (ii) of this subparagraph.
(ii) Each such automatic spending increase shall be re-
duced?
(1) to zero (a uniform percentage reduction of 100
percent), or
(U) by a uniform percentage reduction of less than
100 percent calculated in a manner to reduce total
outlays for the fiscal year by one-half of the deficit
excess (or the adjusted deficit excess, in the case of
fiscal year 1986), if the elimination of all such increases
would reduce total outlays for the fiscal year by more
than one-half of the deficit excess (or the adjusted
deficit excess, in the case of fiscal year 1986) for the
fiscal year.
(D) The total amount of the outlay reductions determined
under subparagraph (C) shall be divided into two amounts:
(i) an amount equal to the outlay reductions attrib-
utable to programs specified in subparagraph (A) of
section 257(1); and
(ii) an amount equal to the outlay reductions attrib-
utable to programs specified in subparagraph (B) of
section 257(1).
(EXi) For purposes of subparagraph (B), one-half of the
amount of the reductions determined under clause (i) of
subparagraph (D) shall be credited as reductions in outlays
under defense programs, and the total amount of reductions
in outlays under defense programs required under subpara-
graph (B) shall be reduced accordingly.
(ii) Sequestration of new budget authority and unobli-
gated balances to achieve the remaining reductions in out-
lays under defense programs required under subparagraph
(B) shall be determined as provided in subsection (d).
(FXi) For purposes of subparagraph (B)?
a) one-half of the amount of the reductions deter-
mined under clause (i) of subparagraph (D), and
(I) the amount of the reductions determined under
clause (ii) of subparagraph (D),
shall be credited as reductions in outlays under non-defense
programs, and the total amount of reductions in outlays
under non-defense programs required under subparagraph
(B) shall be reduced accordingly.
(ii) The maximum reduction permissible for each pro-
gram to which an exception, limitation, or special rule set
forth in subsection (c) or (f) of section 256 applies shall be
determined, and the total amount of reductions in outlays
under non-defense programs required under subparagraph
(B) shall be reduced by the amount of the reduction deter-
mined with respect to each such program.
(iiiXI) Except as provided in subclause (II), the maximum
reduction permissible for each of the programs to which the
special rules set forth in sections 256(d) and 256(k) apply
shall be determined, and the total amount of outlays under
non-defense programs required under subparagraph (B)
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'shall be reduced by the amount of the maximum reductions
so determined.
(11) If the maximum reduction determined in accordance
with subclause (I) with respect to the programs to which
that subclause relates would reduce outlays for such pro-
grams by an amount in excess of the remaining amount of
the reduction in outlays in non-defense programs required
under subparagraph (B), outlays for such programs shall
instead be reduced proportionately by such lesser percent-
age as will achieve such remaining required reductions.
(iv)(I) Sequestrations and reductions under the remaining
non-defense programs shall be applied on a uniform
percentage basis so as to reduce new budget authority, new
loan guarantee commitments, new direct loan obligations,
obligation limitations, and spending authority as defined in
section 401(cX2) of the Congressional Budget Act of 1974 to
the extent necessary to achieve any remaining required
outlay reductions.
(ID For purposes of determining reductions under
subclause (I), any reduction in outlays of the Commodity
Credit Corporation under an order issued by the President
under section 252 for a fiscal year, with respect to contracts
entered into during that fiscal year, that will occur during
the succeeding fiscal year,shall be credited as reductions in
outlays for the fiscal year in which the order is issued.
The determination of which accounts are within major func-
tional category 050 and which are not, for purposes of subpara-
graph (B), shall be made by the Directors in a manner consist-
ent with the budget submitted by the President for the fiscal
year 1986; except that for such purposes no part of the accounts
entitled "Federal Emergency Management Agency, Salaries
and expenses (58-0100-0-1-999)" and "Federal Emergency
Management Agency, Emergency management planning and
assistance (58-0101-0-1-999)" shall be treated as being within
functional category 050.
(4) ADDITIONAL SPECIFICATIONS.?The report submitted under
paragraph (2) must also specify (with respect to the fiscal year
involved)?
(A) the amount of the automatic spending increase (if
any) which is scheduled to take effect in the case of each
program providing for such increases, the amount and
percentage by which such increase is to be reduced, the
amount by which the deficit excess (as adjusted under
paragraph (3XAXii), in the case of fiscal year 1986) will be
reduced as a result of the elimination or reduction of
automatic spending increases (stated separately for in-
creases under programs listed in subparagraph (A) of sec-
tion 257(1) and increases under programs listed in subpara-
graph (B) of that section), and the amount (if any) of each
such increase, stated in terms of percentage points, which
will take effect after reduction under this part;
(B) the amount of the savings (if any) to be achieved in
the application of each of the special rules set forth in
subsections (c) through (1) of section 256, along with a
statement of (i) the new Federal matching rate resulting
from the application of subsection (e) of that section, and (ii)
the amount of the percentage reduction in payments to the
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H. J. Res. 872-31
States under section 204 of the Federal-State Extended
Unemployment Compensation Act of 1970; and
(CXi) for defense programs, by account and by program,
project, and activity within each account, the reduction
(stated in terms of both percentage and amount) in new
budget authority and unobligated balances, together with
the estimated outlay reductions resulting therefrom; and
(ii) for non-defense programs, by account, the reduction,
stated in terms of both percentage and amount, in new
budget authority, new loan guarantee commitments, new
direct loan obligations, obligation limitations, and spending
authority as defined in section 401(cX2) of the Congressional
Budget Act of 1974, together with the estimated outlay
reductions resulting therefrom.
(5) BASIS FOR DIRECTORS' ESTIMATES, DETERMINATIONS, AND
SPECIFICATIONS.?The estimates, determinations, and specifica-
tions of the Directors under the preceding provisions of this
subsection and under subsection (cX1) shall utilize the budget
base, criteria, and guidelines set forth in paragraph (6) and in
sections 255, 256, and 257. In the event that the Directors are
unable to agree on any items required to be set forth in the
report, they shall average their differences to the extent nec-
essary to produce a single, consistent set of data that achieves
the required deficit reduction. The report of the Directors shall
also indicate the amount initially proposed for each averaged
item by each Director.
(6) BuDGEr BASE.?In computing the amounts and percentages
by which accounts must be reduced during a fiscal year as set
forth in any report required wider this subsection for such fiscal
year, the budget base shall be determined by?
(A) assuming (subject to subparagraph (C)) the continu-
ation of current law in the case of revenues and spending
authority as defined in section 401(cX2) of the Congressional
Budget Act of 1974;
(B) assuming, in the case of all accounts to which
subparagraph (A) does not apply, appropriations equal to
the prior year's appropriations except to the extent that
annual appropriations or continuing appropriations for the
entire fiscal year have been enacted;
(C) assuming that expiring provisions of law providing
revenues and spending authority as defined in section
401(cX2) of the Congressional Budget Act of 1974 do expire,
except that excise taxes dedicated to a trust fund and
agricultural price support programs administered through
the Commodity Credit Corporation are extended at current
rates; and
(D) assuming (i) that Federal pay adjustments for statu-
tory pay systems a) will be as recommended by the Presi-
dent, but (II) will in DO case result in a reduction in the
levels of pay in effect immediately before such adjustments;
and (ii) that medicare spending levels for inpatient hospital
services will be based upon the regulations most recently
issued in final form or proposed by the Health Care Financ-
ing Administration pursuant to sections 1886(bX3KB),
1886(dX3XA), and 1886(eX4) of the Social Security Act.
Deferrals proposed under section 1013 of the Impoundment
Control Act of 1974 during the period beginning October 1 of
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H. J. Res. 372-32
such fiscal year (or the date of the enactment of this joint
resolution in the case of fiscal year 1986) and ending with the
date on which the final order is issued under section 252(b) for
such fiscal year (or February 1, 1986, in the case of fiscal year
1986) shall not be taken into account in determining such
budget base.
(b) REPORT TO PRESIDENT AND CONGRESS BY COMPTROLLER GEN-
ERAL.?
(1) REPORT TO BE RASED ON OMB-CBO REPORT.?The Comptroller
General shall review and consider the report issued by the
Directors for the fiscal year and, with due regard for the data,
assumptions, and methodologies used in reaching the conclu-
sions set forth therein, shall issue a report to the President and
the Congress on August 25 of the calendar year in which such
fiscal year begins (or on January 20, 1986, in the case of the
fiscal year 1986), estimating the budget base levels of total
revenues and total budget outlays for such fiscal year, identify-
ing the amount of any deficit excess for such fiscal year (ad-
justed in accordance with subsection (aX3XAXii), in the case of
fiscal year 1986), stating whether such deficit excess (or adjusted
deficit excess, in the case of fiscal year 1986) will be greater
than $10,000,000,000 (zero in the case of fiscal years 1986 and
1991), specifying the estimated rate of real economic growth for
such fiscal year, for each quarter of such fiscal year, and for
each of the last two quarters of the preceding fiscal year,
indicating whether the estimate includes two or more consecu-
tive quarters of negative economic growth, and specifying (if the
excess is greater than $10,000,000,000, or zero in the case of
fiscal years 1986 and 1991), by account, for non-defense pro-
grams, and by account and programs, projects, and activities
within each account, for defense programs, the base from which
reductions are taken and the amounts and percentages by
which such accounts must be reduced during such fiscal year in
order to eliminate such deficit excess (or adjusted deficit excess,
in the case of fiscal year 1986). Such report shall be based on the
estimates, determinations, and specifications of the Directors
and shall utilize the budget base, criteria, and guidelines set
forth in subsection (aX6) and in sections 255, 256, and 257.
(2) CoNTErrrs OF REPORT.?The report of the Comptroller Gen-
eral under this subsection shall?
(A) provide for the determination of reductions in the
manner specified in subsection (aX3); and
(B) contain estimates, determinations, and specifications
for all of the items contained in the report submitted by the
Directors under subsection (a).
Such report shall explain fully any differences between the
contents of such report and the report of the Directors.
(c) REVISED ESTIMA'TES, DETERMINATIONS, AND REPORTS.?
(1) REPORT BY OMB AND CB0.?On October 5 of the fiscal year
(except in the case of the fiscal year 1986), the Directors shall
submit to the Comptroller General a revised report?
(A) indicating whether and to what extent, as a result of
laws enacted and regulations promulgated after the submis-
sion of their initial report under subsection (a), the excess
deficit (adjusted in accordance with subsection (aX3XAXll),
in the case of fiscal year 1986) identified in the report
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H. J. Res. 372-33
submitted under such subsection has been eliminated, re-
duced, or increased, and
(B) adjusting the determinations made under subsection
(a) to the extent necessary.
The revised report submitted under this paragraph shall con-
tain estimates, determinations, and specifications for all of the
items contained in the initial report and authorized under
subsection (dX3XDXi) and shall be based on the same economic
and technical atsumptions, employ the same methodologies, and
utilize the same definition of the budget base and the same
criteria and guidelines as those used in the report submitted by
the Directors under subsection (a) (except that subdivision (II) of
paragraph (6XDXi) of such subsection shall not apply), and shall
? provide for the determination of reductions in the manner
? specified in subsection (aX3).
(2) REPORT BY COMPTROLLER GENERAL?
(A) On October 10 of the fiscal year (except in the case of
the fiscal year 1986), the Comptroller General shall submit
to the President and the Congress a report revising the
report submitted by the Comptroller General under subsec-
tion (b), adjusting the estimates, determinations, and speci-
fications contained in that report to the extent necessary in
the light of the revised report submitted to him by the
Directors under paragraph (1) of this subsection.
(B) The revised report of the Comptroller General under
this paragraph shall provide for the determination of reduc-
tions as specified in subsection (aX3) and shall contain all of
the estimates, determinations, and specifications required
(in the case of the report submitted under subsection (b))
pursuant to subsection (bX2XB).
(d) SEQUESTRATION OF DEFENSE PROGRAMS.?
(1) DETERMINATION OF UNIFORM PERCENTAGE.?The total
amount of reductions in outlays under defense programs re-
quired for a fiscal year under subsection (aX3XB) after the
reduction under subsection (aX3XEXi) shall be calculated as a
percentage of the total amount of outlays for the fiscal year
estimated to result from new budget authority and unobligated
balances for defense programs.
(2) SEQUESTRATION OF NEW BUDGET AUTHORITY AND UNOBLI-
GATED BALANCES.?
(A) Sequestration to achieve the remaining reduction in
? outlays under defense programs shall be made by reducing
? new budget authority and unobligated balances (if any) in
each program, project, or activity under accounts within
defense programs by the percentage determined under
paragraph (1), computed on the basis of the combined
outlay rate for new budget authority and unobligated bal-
ances for such program, project, or activity determined
under subparagraph (B).
(BXi) The combined outlay rate for new budget authority
and unobligated balances for a program, project, or activity
shall be determined by the Directors from data then avail-
able to them as supplemented by additional data from the
heads of the appropriate departments or agencies of the
executive branch. If the outlay rate for unobligated bal-
ances is not available for any program, project, or activity,
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H. J. Res. 872-34
the outlay rate used shall be the outlay rate for new budget
authority.
(ii) The weighted average (by budget authority) for the
combined outlay rates so determined for all the programs,
projects, and activities within an account shall be compared
to the historical outlay rates for that account previously
estimated by the Directors. If the Directors determine that
it is necessary to make the combined outlay rate for a
program, project, or activity as determined under the first
sentence of this subparagraph consistent with the historical
rates for such account, they may adjust the outlay rate for
such program, project, or activity.
(C) For purposes of this paragraph:
(i) The term "outlay rate", with respect to any pro-
gram, project, or activity, means?
(1) the ratio of outlays resulting in the fiscal year
involved from new budget authority for such pro-
gram, project, or activity to such new budget
authority; or
(II) the ratio of outlays resulting in the fiscal
year involved from unobligated balances for such
program, project, or activity to such unobligated
balances.
(ii) The term "combined outlay rate", with respect to
any program, project, or activity, means the weighted
average (by budget authority) of the ratios determined
under subclauses a) and (11) of clause (i) for such pro-
gram, project, or activity.
(3) SEQUESTRATION FROM NATIONAL DEFENSE ACCOUNTS
THROUGH TERMINATION OR MODIFICATION OF EXISTING CON-
TRACTS.-
(AXi) Subject to the provisions of this paragraph, the
President, with respect to any fiscal year, may provide for?
a) the termination or modification of an existing
contract within any program, project, or activity within
a account within major functional category 050; and
OLD the crediting, to the amount of new budget
authority and unobligated balances otherwise required
to be reduced from such program, project, or activity, of
the net reduction achieved for the appropriate fiscal
year by such termination or modification, based upon
the combined outlay rate for such program, project, or
activity determined under paragraph (2KB).
(ii) The remaining required outlay reductions in such
program, project, or activity shall be achieved by sequester-
ing new budget authority and unobligated balances based
upon the combined outlay rate for such program, project, or
activity determined under paragraph (2)(B).
(B) Not later than September 5 of the calendar year in
which the fiscal year begins (January 15 in the case of fiscal
year 1986), the President shall transmit to the Comptroller
General and the Committees on Armed Services and on
Appropriations of the Senate and House of Representatives
and make available to the Directors a report concerning the
contracts proposed to be terminated or modified under this
paragraph for such fiscal year. The report shall?
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H. J. Res. 872-35
(i) identify the contracts proposed to be terminated or
modified and the proposed date of termination or modi-
fication of each such contract;
(ii) identify the anticipated outlay savings for the
fiscal year involved and the anticipated reduction in
obligated balances with respect to each such proposed
termination or modification, together with an expla-
nation of the relationship between the obligated bal-
ances that could be cancelled and the estimated outlay
savings resulting therefrom;
(iii) provide documentation of the anticipated savings
in outlays and obligated balances; and
(iv) provide a complete rationale for the effect of each
proposed termination or modification on the contract
concerned and on the program, project, or activity
involved.
(C) Not later than September 30 of the calendar year in
which the fiscal year begins (February 15 in the case of
fiscal year 1986), the Comptroller General shall certify to
the President and the Congress, with respect to each con-
tract which is proposed to be terminated or modified?
(i) whether the Comptroller General is able to verify
that the estimated outlay savings for the fiscal year
involved are achievable and would be achieved in that
year; and
(ii) whether the ratio between the projected outlay
savings and the anticipated reduction in obligated bal-
ances is reasonable.
(DXi) In the case of a fiscal year other than fiscal year
1986, each proposed contract termination or modification
described in subparagraph (A) with respect to which the
certification by the Comptroller General under subpara-
graph (C) is affirmative (with respect to both clause (i) and
clause (ii) of such subparagraph) shall be included in the
report of the Directors under subsection (cX1). The report
shall include the information about each such contract
described in subparagraph (13)(ii).
(ii) In the case of fiscal year 1986, each proposed contract
termination or modification described in subparagraph (A)
with respect to which the certification by the Comptroller
General under subparagraph (C) is affirmative (with respect
to both clause (i) and (ii) of such subparagraph) shall be
included in the modification authorized by section
252(aX6XDXiii) in the order issued by the President under
section 252(aX1) with respect to fiscal year 1986.
(iii) The authority of the President described in subpara-
graph (A) is not effective in the case of any proposed
contract termination or modification with respect to which
the certification by the Comptroller General under subpara-
graph (C) is not affirmative (with respect to both clause (i)
and clause (ii) of such subparagraph).
(E) For any contract termination or modification pro-
posed pursuant to this paragraph, the President shall cer-
tify to Congress, within thirty days after the effective date
of the contract termination or modification, that the
amounts proposed for deobligation under such contract
have in fact been deobligated and cancelled.
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H. J. Res. 872-36
(e) DATES FOR SUBMISSION OF REPORTS AND ISSUANCE OF ORDERS.?
If the date specified for the submission of a report by the Directors
or the Comptroller General under this section or for the issuance of
an order by the President under section 252 falls on a Sunday or
legal holiday, such report shall be submitted or such order issued on
the following day.
(0 PRINTING or REPORTS.?Each report submitted under this sec-
tion shall be printed in the Federal Register on the date it is issued;
and the reports of the Comptroller General submitted to the Con-
gress under subsections (b) and (cX2) shall be printed as documents
of the House of Representatives and the Senate.
(g) ExcEPrioN.?The preceding provisions of this section shall not
apply ifs declaration of war by the Congress is in effect.
SEC. 252. PRESIDENTIAL ORDER.
(a) ISSUANCE Or INITIAL ORDER.?
(1) IN GENERAL?On September 1 following the submission of
a report by the Comptroller General under section 251(b) which
identifies an amount greater than $10,000,000,000 (zero in the
case of fiscal years 1986 and 1991) by which the deficit for a
fiscal year will exceed the maximum deficit amount for such
fiscal year (or on February 1, 1986, in the case of the fiscal year
1986), the President, in strict accordance with the requirements
of paragraph (3) and section 251(aX3) and (4) and subject to the
exemptions, exceptions, limitations, special rules, and defini-
tions set forth in sections 255, 256, and 257, shall eliminate the
full amount of the deficit excess (as adjusted by the Comptroller
General in such report in accordance with section
251(aX3XAXii), in the case of fiscal year 1986) by issuing an order
that (notwithstanding the Impoundment Control Act of 1974)?
(A) modifies or suspends the operation of each provision
of Federal law that would (but for such order) require an
automatic spending increase to take effect during such
fiscal year, in such a manner as to prevent such increase
from taking effect, or reduce such increase, in accordance
with such report; and
(B) eliminates the remainder of such deficit excess (or
adjusted deficit excess, in the case of fiscal year 1986) by
sequestering new budget authority, unobligated balances,
new loan guarantee commitments, new direct loan obliga-
tions, and spending authority as defined in section 401(cX2)
of the Congressional Budget Act of 1974, and reducing
obligation limitations, in accordance with such report?
(i) for funds provided in annual appropriation Acts,
from each affected program, project, and activity (as set
forth in the most recently enacted applicable appro-
priation Acts and accompanying committee reports for
the program, project, or activity involved, including
joint resolutions providing continuing appropriations
and committee reports accompanying Acts referred to
in such resolutions), applying the same reduction
percentage as the percentage by which the account
involved is reduced in the report submitted under sec-
tion 251(b), or from each affected budget account if the
program, project, or activity is not so set forth, and
(ii) for funds not provided in annual appropriation
Acts, from each budget account activity as identified in
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H. J. Res. 372-37
the program and financing schedules contained in the
appendix to the Budget of the United States Govern-
ment for that fiscal year, applying the same reduction
percentage as the percentage by which the account is
reduced in such report.
(2) SPECIAL SEQUESTRATION PROCEDURES FOR NATIONAL DEFENSE
FOR FISCAL YEAR 1986.?
(A) IN GENERAL?Notwithstanding subparagraph (BXi) of
paragraph (1), the order issued by the President under
paragraph (1) with respect to fiscal year 1986 shall segues-
ter, from each program, project, or activity within an ac-
count within major functional category 050, such amounts
of new budget authority and unobligated balances as are
specified (in accordance with section 251(aX3XEXii)) in the
report submitted by the Comptroller General under section
251(b).
(13) FLEXIBILITY WITH RESPECT TO MILITARY PERSONNEL
ACCOUNTS.?
(i) Notwithstanding subparagraph (BXi) of paragraph
(1), the order issued by the President under paragraph
(1) with respect to fiscal year 1986 may, with respect to
any military personnel account?
(I) exempt any program, project, or activity
within such account from the order;
(II) provide for a lower uniform percentage to be
applied to reduce any program, project, or activity
within such account than would otherwise apply;
or
(III) take actions described in both subclauses (I)
and (II).
(ii) If the President uses the authority under clause
(i), the total amount by which outlays are not reduced
for fiscal year 1986 in military personnel accounts by
reason of the use of such authority shall be determined.
Reductions in outlays under defense programs in such
total amount shall be achieved by a uniform percent-
age sequestration of new budget authority and unobli-
gated balances in each program, project, and activity
within each account within major functional category
050 other than those military personnel accounts for
which the authority provided under clause (i) has been
exercised, computed on the basis of the outlay rate for
each such program, project, and activity determined
under section 251(d).
(iii) The President may not use the authority pro-
vided by clause (i) unless he notifies the Comptroller
General and the Congress on or before January 10,
1986, of the manner in which such authority will be
exercised.
(C) FLEXIBILITY AMONG PROGRAMS, PROJECTS, AND AGTIVI-
- '
TIES WITHIN ACCOUNTS.?
(i) New budget authority and unobligated balances
for any program, project, or activity within an account
within major functional category 050 may be reduced
under an order issued by the President under para-
graph (1) for fiscal year 1986, subject to clauses (ii) and
(iii) of this subparagraph, by up to two times the
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H. J. Res. 872-38
percentage otherwise applicable to the program,
project, or activity (determined after any reduction
under subparagraph (B)). To the extent such reductions
are made under such an order, the President may
provide in the order for an increase in new budget
authority and unobligated balances for another pro-
gram, project, or activity within the same account
within major functional category 050 for fiscal year
1986, but such program, project, or activity may not be
increased above the level in the base set forth in such
order.
(ii) No order issued by the President under paragraph
(1) for fiscal year 1986 may result in a base closure or
realignment that would otherwise be subject to section
2687 of title 10, United States Code.
(iii) New budget authority and unobligated balances
for any program, project, or activity within major func-
tional category 050 for fiscal year 1986 which is 10
percent (or more) greater than the amount requested in
the budget submitted by the President under section
1105 of title 31, United States Code, for fiscal year 1986
may not be reduced by more than the percentage ap-
plicable to the program, project, or activity (determined
after any reduction under subparagraph (B)).
(3) ORDER TO BE BASED ON COMPTROLLER GENERAL'S REPORT.?
The -order must provide for reductions in the manner specified
in section 251(aX3), must incorporate the provisions of the
report submitted under section 251(b), and must be consistent
with such report in all respects. The President may not modify
or recalculate any of the estimates, determinations, specifica-
tions, bases, amounts, or percentages set forth in the report
submitted under section 251(b) in determining the reductions to
be specified in the order with respect to programs, projects, and
activities, or with respect to budget activities, within an ac-
count, with the exception of the authority granted to the Presi-
dent for fiscal year 1986 with respect to defense programs
pursuant to paragraph (2XC).
(4) EFFECT OF SEQUESTRATION UNDER INITIAL ORDER.?Notwith-
standing section 257(7), amounts sequestered under an order
issued by the President under paragraph (1) for fiscal year 1987
or any subsequent fiscal year shall be withheld from obligation
pending the issuance of a final order under subsection (b) and
shall be permanently cancelled in accordance with such final
order upon the issuance of such order.
(5) ACCOMPANYING MFRSAGE.?At the time the actions de-
scribed in the preceding provisions of this subsection with re-
spect to any fiscal year are taken, the President shall transmit
to both Houses of the Congress a message containing all the
information required by section 251(aX4) and further specifying
in strict accordance with paragraph (3)?
(A) within each account, for each program, project, and
activity, or budget account activity, the base from which
each sequestration or reduction is taken and the amounts
which are to be sequestered or reduced for each such pro-
gram, project, and activity or budget account activity; and
(B) such other supporting details as the President may
determine to be appropriate.
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H. J. Res. 372-39
Upon receipt in the Senate and the House of Representatives,
the message (and any accompanying proposals made under
subsection (c)) shall be referred to all committees with jurisdic-
tion over programs, projects, and activities affected by the
order.
(6) EFFECTIVE DATE OF INITIAL ORDER.?
(A) FISCAL YEAR 1986.?The order issued by the President
under paragraph (1) with respect to the fiscal year 1986
shall be effective as of March 1, 1986.
(B) FISCAL YEARS 1987-1991.?The order issued by the
President under paragraph (1) with respect to the fiscal
year 1987 or any subsequent fiscal year shall be effective as
of October 1 of such fiscal year (and the President shall
withhold from obligation as provided in paragraph (4),
pending the issuance of his final order under subsection (b),
any amounts that are to be sequestered or reduced under
such order).
(C) TREATMENT OF AUTOMATIC SPENDING INCREASES.?
(i) Fiscal., YEAR 1986.?Notwithstanding any other
provision of law, any automatic spending increase that
would (but for this clause) be first paid during the
period beginning with the date of the enactment of this
joint resolution and ending with the effective date of an
order issued by the President under paragraph (1) for
the fiscal year 1986 shall be suspended until such order
becomes effective, and the amounts that would other-
wise be expended during such period with respect to
such increases shall be withheld. If such order provides
that automatic spending increases shall be reduced to
zero during such fiscal year, the increases suspended
pursuant to the preceding sentence and any legal
rights thereto shall be permanently cancelled. If such
order provides for the payment of automatic spending
increases during such fiscal year in amounts that are
less than would have been paid but for such order, or
provides for the payment of the full amount of such
increases, the increases suspended pursuant to such
sentence shall be restored to the extent necessary to
pay such reduced or full increases, and lump-sum pay-
ments in the amounts necessary to pay such reduced or
full increases shall be made, for the period for which
such increases were suspended pursuant to this clause.
(ii) FISCAL YEARS 1987-1991.?Notwithstanding any
other provision of law, any automatic spending in-
crease that would (but for this clause) be fust paid
during the period beginning with the first day of such
fiscal year and ending with the date on which a final
order is issued pursuant to subsection (b) shall be sus-
pended until such final order becomes effective, and
the amounts that would otherwise be expended during
such period with respect to such increases shall be
withheld. If such final order provides that automatic
spending increases shall be reduced to zero during such
fiscal year, the increases suspended pursuant to the
preceding sentence and any legal rights thereto shall
be permanently cancelled. If such final order provides
for the payment of automatic spending increases
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H. J. Res. 372-40
during such fiscal year in amounts that are less than
would have been paid but for such final order, or
provides for the payment of the full amount of such
increases, the increases suspended pursuant to such
sentence shall be restored to the extent necessary to
pay such reduced or full increases, and lump-sum pay-
rnents in the amounts necessary to pay such reduced or
full increases shall be made, for the period for which
such increases were suspended pursuant to this clause.
(iii) PROHIBMON AGAINST RECOUPMENT.?NOtWitb-
standing clauses (i) and (ii), if an amount required by
either such clause to be withheld is paid, no
recoupment shall be made against an individual to
whom payment was made.
(iv) EFFECT OF LUMP-SUM PAYMENTS ON NEEDS-RELATED
PROGRAMS.?Lump-sum payments made under the last
sentence of clause (i) or clause (ii) shall not be consid-
ered as income or resources or otherwise taken into
account in determining the eligibility of any individual
for aid, assistance, or benefits under any Federal or
federally-assisted program which conditions such eligi-
bility to any extent upon the income or resources of
such individual or his or her family or household, or in
determining the amount or duration of such aid, assist-
ance, or benefits.
(D) SPECIAL RULES FOR FISCAL YEAR 1986.?(i) For purposes
of applying this section and section 251 with respect to the
fiscal year 1986?
(1) the order issued by the President under paragraph
(1) of this subsection shall be considered the final order
of the President under this section; and
(II) the Committees on Appropriations of the House
of Representatives and the Senate may, after consulta-
tion with each other, define the term "program,
project, and activity", and report to their respective
Houses, with respect to matters within their jurisdic-
tion, and the order issued by the President shall seques-
ter funds in accordance with such definition.
(ii) If the Comptroller General declares in the report
issued under section 251(3) for fiscal year 1986 that as a
result of laws enacted and regulations promulgated after
the date of the enactment of this joint resolution and prior
to the issuance of such report the excess deficit for the fiscal
year (adjusted in accordance with section 251(aX3XAXi1) has
been eliminated, the order issued under this subsection for
the fiscal year shall so state (and shall make available for
obligation and expenditure any amounts withheld pursuant
to subparagraph (CXi) of this paragraph).
(iii) The order issued by the President under paragraph
(1) with respect to fiscal year 1986 shall be modified before
the effective date for such order prescribed under subpara-
graph (A) to include in the order the changes in budget
authority and unobligated balances, and related changes in
outlay reductions, authorized for such fiscal year under
section 251(d X3XDXii).
(b) ISSUANCE OF FINAL ORDER.?
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H.J. Res. 372-41
(1) IN GENERAL?On October 15 of the fiscal year (except in
the case of the fiscal year 1986), after the submission of the
revised report submitted by the Comptroller General under
section 251(cX2), the President shall issue a final order under
this section to eliminate the full amount of the deficit excess as
identified by the Comptroller General in the revised report
submitted under section 251(cX2) but only to the extent and in
the manner provided in such report. The order issued under this
subsection?
(A) shall include the same reductions and sequestrations
? as the initial order issued under subsection (a), adjusted to
the extent necessary to take account of any changes in
? relevant amounts or percentages determined by the
Comptroller General in the revised report submitted under
section 251(cX2),
(B) shall make such reductions and sequestrations in
strict accordance with the requirements of section 251(aX3)
and (4), and
(C) shall utilize the same criteria and guidelines as those
which were used in the issuance of such initial order under
subsection (a).
The provisions of subsection (aX3) shall apply to the revised
report submitted under section 251(cX2) and to the order issued
under this subsection in the same manner as such provisions
apply to the initial report issued under section 251(b) and to the
order issued under subsection (a).
(2) ORDER REQUIRED ff" EXCESS DEFICTT IS ELIMINATED.?If the
Comptroller General issues a revised report under section
251(cX2) stating that as a result of laws enacted and regulations
promulgated after the submission of the initial report of the
Comptroller General under section 251(b) the excess deficit for a
fiscal year (adjusted in accordance with section 251(aX3XAXii),
in the case of fiscal year 1986) has been eliminated, the order
issued under this subsection shall so state and shall make
available for obligation and expenditure any amounts withheld
pursuant to subsection (aX4) or (aX6XC).
(3) EFFECTIVE DATE OF FINAL ORDER.?
(A) Except as provided in subsection (aX6XA), the final
order issued by the President under paragraph (1) shall
become effective on the date of its issuance, and shall
supersede the order issued under subsection (aX1).
(B) Any modification or suspension by such order of the
operation of a provision of law that would (but for such
order) require an automatic spending increase to take effect
during the fiscal year shall apply for the one-year period
beginning with the date on which such automatic increase
would have taken effect during such fiscal year (but for
such order).
(C) PROPOSAL OF ALTERNATIVES BY TRE PRESIDENT.?A message
transmitted pursuant to subsection (aX5) with respect to a fiscal year
may be accompanied by a proposal setting forth in full detail
alternative ways to reduce the deficit for such fiscal year to an
amount not greater than the maximum deficit amount for such
fiscal year.
(d) ExLsTING PROGRAMS, PROJECTS, AND ACTIVMES NOT To BE
ELMINATED.?No action taken by the President under subsection (a)
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H. J. Res. 872-42
or (b) of this section shall have the effect of eliminating any pro-
gram, project., or activity of the Federal Government.
(e) Rriteriva &mon PRIORMES NOT To BE ALTERED.?Nothing in
the preceding provisions of this section shall be construed to give the
President new authority to alter the relative priorities in the Fed-
eral budget that are established by law, and no person who is or
becomes eligible for benefits under any provision of law shall be
denied eligibility by reason of any order issued under this part.
SEC. 253. COMPLIANCE REPORT BY COMPTROLLER GENERAL.
On or before November 15 of each fiscal year (or on or before
April 1, 1986, in the case of the fiscal year 1986), the Comptroller
General shall submit to the Congress and the President a report on
the extent to which the President's order issued under section 252(b)
for such fiscal year complies with all of the requirements contained
in section 252, either certifying that the order fully and accurately
complies with such requirements or indicating the respects in which
it does not.
SEC. 254. CONGRESSIONAL ACTION.
(a) SPECIAL PROCEDURES IN THE EVENT OF A RECESSION.?
(1) IN GENERAL.?The Director of the Congressional Budget
Office shall notify the Congress at any time if?
(A) during the period consisting of the quarter during
which-such notification is given, the quarter preceding such
notification, and the four quarters following such notifica-
tion, such Office or the Office of Management and Budget
has determined that real economic growth is projected or
estimated to be less than zero with respect to each of any
two consecutive quarters within such period, or
(B) the Department of Commerce preliminary reports of
actual real economic growth (or any subsequent revision
thereof) indicate that the rate of real economic growth for
each of the most recent reported quarter and the imme-
diately preceding quarter is less than one percent.
Upon such notification the Majority Leader of each House shall
introduce a joint resolution (in the form set forth in paragraph
(2)) declaring that the conditions specified in this paragraph are
met and suspending the relevant provisions of this title for the
remainder of the current fiscal year or for the following fiscal
year or both.
(2) FORM OF JOINT RESOLUTION.?
(A) The matter after the resolving clause in any joint
resolution introduced pursuant to paragraph (1) shall be as
follows: "That the Congress declares that the conditions
specified in section 254(aX1) of the Balanced Budget and
Emergency Deficit Control Act of 1985 are met; and?
"(1) the provisions of sections 3(7), 301(1), 302(0,
304(b), and 311(a) of the Congressional Budget and
Impoundment Control Act of 1974, section 1106(c) of
title 31, United States Code, and part C of the Balanced
Budget and Emergency Deficit Control Act of 1985 are
suspended for the remainder of the current fiscal year,
and
"(2) the provisions of sections 3(7), 301(i), 304(b), and
311(a) (insofar as it relates to section 3(7)) of the
Congressional Budget and Impoundment Control Act of
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H. J. Res. 372-43
1974, sections 302(0 and 311(a) (except insofar as it
relates to section 3(7)) of that Act (but only if a concur-
rent resolution on the budget under section 301 of that
Act, for the fiscal year followin* the current fiscal year,
has been agreed to prior to the introduction of this Joint
resolution), sections 1105(0 and 1106(c) of title 31,
United States Code, and part C of the Balanced Budget
and Emergency Deficit Control Act of 1985 are sus-
pended for the fiscal year following the current fiscal
year.
This joint resolution shall not have the effect of suspending
any final order which was issued for the current fiscal year
under section 252(b) of the Balanced Budget and Emergency
Deficit Control Act of 1985 if such order was issued before
the date of the enactment of this joint resolution.".
(B) The title of the joint resolution shall be "Joint resolu-
tion suspending certain provisions of law pursuant to sec-
tion 254(aX2) of the Balanced Budget and Emergency Defi-
cit Control Act of 1985."; and the joint resolution shall not
contain any preamble.
(3) CommirrEE ACTION.?Each joint resolution introduced
pursuant to paragraph (1) shall be referred to the Committee on
the Budget of the House involved; and such Committee shall
report the joint resolution to its House without amendment on
or before the fifth day on which such House is in session after
the date on which the joint resolution is introduced. If the
Committee fails to report the joint resolution within the five-
-day period referred to in the preceding sentence, it shall be
automatically discharged from further consideration of the joint
resolution, and the joint resolution shall be placed on the
appropriate calendar.
(4) CONSIDERATION OF JOINT RESOLUTION.?
(A) A vote on final passage of a joint resolution reported
to a House of the Congress or discharged pursuant to
paragraph (3) shall be taken on or before the close of the
fifth calendar day of session of such House after the date on
which the joint resolution is reported to such House or after
the Committee has been discharged from further consider-
ation of the joint resolution. If prior to the passage by one
House of a joint resolution of that House, that House
receives the same joint resolution from the other House,
then?
(i) the procedure in that House shall be the same as if
no such joint resolution had been received from the
other House, but
(ii) the vote on final passage shall be on the joint
resolution of the other House.
When the joint resolution is agreed to, the Clerk of the
House of Representatives (in the case of a House joint
resolution agreed to in the House of Representatives) or the
Secretary of the Senate (in the case of a Senate joint
resolution agreed to in the Senate) shall cause the joint
resolution to be engrossed, certified, and transmitted to the
other House of the Congress as soon as practicable.
(BXi) A motion in the House of Representatives to proceed
to the consideration of a joint resolution under this para-
graph shall be highly privileged and not debatable. An
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H. J. Res. 872-44
amendment to the motion shall not be in order, nor shall it
be in order to move to reconsider the vote by which the
motion is agreed to or disagreed to.
(ii) Debate in the House of Representatives on a joint
resolution under this paragraph shall be limited to not
more than five hours, which shall be divided equally
between those favoring and those opposing the joint resolu-
tion. A motion to postpone, made in the House of Rep-
resentatives with respect to the consideration of a joint
resolution under this paragraph, and a motion to proceed to
the consideration of other business, shall not be in order. A
motion further to limit debate shall not be debatable. It
shall not be in order to move to table or to recommit a joint
resolution under this paragraph or to move to reconsider
the vote by which the joint resolution is agreed to or
disagreed to.
(iii) All appeals from the decisions of the Chair relating to
the application of the Rules of the House of Representatives
to the procedure relating to a joint resolution under this
paragraph shall be decided without debate.
(iv) Except to the extent specifically provided in the
preceding provisions of this subsection or in subparagraph
(D), consideration of a joint resolution under this subpara-
graph shall be governed by the Rules of the House of
Representatives.
(CXi) A motion in the Senate to proceed to the consider-
ation of a joint resolution under this paragraph shall be
privileged and not debatable. An amendment to the motion
shall not be in order, nor shall it be in order to move to
reconsider the vote by which the motion is agreed to or
disagreed to.
(ii) Debate in the Senate on a joint resolution under this
paragraph, and all debatable motions and appeals in
connection therewith, shall be limited to not more than five
hours. The time shall be equally divided between, and
controlled by, the majority leader and the minority leader
or their designees.
(iii) Debate in the Senate on any debatable motion or
appeal in connection with a joint resolution under this
paragraph shall be limited to not more than one hour, to be
equally divided between, and controlled by, the mover and
the manager of the joint resolution, except that in the event
the manager of the joint resolution is in favor of any such
motion or appeal, the time in opposition thereto shall be
controlled by the minority leader or his designee.
(iv) A motion in the Senate to further limit debate on a
joint resolution under this paragraph is not debatable. A
motion to table or to recommit a joint resolution under this
paragraph is not in order.
(D) No amendment to a joint resolution considered under
this paragraph shall be in order in either the House of
Representatives or the Senate.
(b) CONGRESSIONAL RESPONSE TO PRESIDENTIAL ORDER.-
(1) REPORTING OF RESOLUTIONS, AND RECONCILIATION BILIS AND
RESOLUTIONS, IN THE SENATE.-
(A) COMMTITEE ALTERNATIVES TO PRESMENTIAL ORDER.-
Within two days after the submission of a report by the
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H. J. Res. 372-45
Comptroller General under section 251(cX2), each standing
committee of the Senate may submit to the Committee on
the Budget of the Senate information of the type described
in section 301(d) of the Congressional Budget Act of 1974
with respect to alternatives to the order envisioned by such
report insofar as such order affects laws within the jurisdic-
tion of the committee.
(B) INITIAL BUDGET COMMTITEE ACTION.?Not later than
two days after issuance of a final order by the President
under section 252(b) with respect to a fiscal year, the
Committee on the Budget of the Senate may report to the
Senate a resolution. The resolution may affirm the impact
of the order issued under such section, in whole or in part.
To the extent that any part of the order is not affirmed, the
resolution shall state which parts are not affirmed and
shall contain instructions to committees of the Senate of
the type referred to in section 310(a) of the Congressional
Budget Act of 1974, sufficient to achieve at least the total
level of deficit reduction contained in those sections which
are not affirmed.
(C) RESPONSE or commiTrEEs.--Committees instructed
pursuant to subparagraph (B), or affected thereby, shall
submit their responses to the Budget Committee no later
than 10 days after the resolution referred to in subpara-
graph (B) is agreed to, except that if only one such Commit-
tee is so instructed such Committee shall, by the same date,
report to the Senate a reconciliation bill or reconciliation
resolution containing its recommendations in response to
such instructions. A committee shall be considered to have
complied with all instructions to it pursuant to a resolution
adopted under subparagraph (B) if it has made rec-
ommendations with respect to matters within its jurisdic-
tion which would result in a reduction in the deficit at least
equal to the total reduction directed by such instructions.
(D) BUDGET commrrrEE AcrioN.?Upon receipt of the rec-
ommendations received in response to a resolution referred
to in subparagraph (B), the Budget Committee shall report
to the Senate a reconciliation bill or reconciliation resolu-
tion, or both, carrying out all such recommendations with-
out any substantive revisions. In the event that a commit-
tee instructed in a resolution referred to in subparagraph
(B) fails to submit any recommendation (or, when only one
committee is instructed, fails to report a reconciliation bill
or resolution) in response to such instructions, the Budget
Committee shall include in the reconciliation bill or rec-
onciliation resolution reported pursuant to this subpara-
graph legislative language within the jurisdiction of the
noncomplying committee to achieve the amount of deficit
reduction directed in such instructions.
(E) POINT OF ORDER.?It shall not be in order in the
Senate to consider any reconciliation bill or reconciliation
resolution reported under subparagraph (D) with respect to
a fiscal year, any amendment thereto, or any conference
report thereon if?
(i) the enactment of such bill or resolution as re-
ported;
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H. J. Res. 872-46
(ii) the adoption and enactment of such amendment;
or
(iii) the enactment of such bill or resolution in the
form recommended in such conference report,
would cause the amount of the deficit for such fiscal year to
exceed the maximum deficit amount for such fiscal year,
unless the report submitted under section 251(cK1) projects
negative real economic growth for such fiscal year, or for
each of any two consecutive quarters during such fiscal
year.
(F) TREATMENT OF CERTAIN AMENDMENTS.?In the Senate,
an amendment which adds to a resolution reported under
subparagraph (B) an instruction of the type referred to in
such subparagraph shall be in order during the consider-
ation of such resolution if such amendment would be in
order but for the fact that it would be held to be non-
germane on the basis that the instruction constitutes new
matter.
(G) DEFINITION.?For purposes of subparagraphs (A), (B),
and (C), the term "day" shall mean any calendar day on
which the Senate is in session_
(2) PROCEDURES.?
(A) IN GENERAL?Except as provided in subparagraph (3),
in the Senate the provisions of sections 305 and 310 of the
Congressional Budget Act of 1974 for the consideration of
concurrent resolutions on the budget and conference re-
ports thereon shall also apply to the consideration of resolu-
tions, and reconciliation bills and reconciliation resolutions
reported under this paragraph and conference reports
thereon.
(B) LIMIT ON DEBATE.?Debate in the Senate on any reso-
lution reported pursuant to paragraph (1KB), and all
amendments thereto and debatable motions and appeals in
connection therewith, shall be limited to 10 hours.
(C) LIMITATION ON AMENDMENTS.?SeCti011 310(d)(2) of the
Congressional Budget Act shall apply to reconciliation bills
and reconciliation resolutions reported under this subsec-
tion.
(D) BILIS AND RESOLUTIONS RECEIVED FROM THE HOUSE.?
Any bill or resolution received in the Senate from the
House, which is a companion to a reconciliation bill or
reconciliation resolution of the Senate for the purposes of
this subsection, shall be considered in the Senate pursuant
to the provisions of this subsection.
(E) DEFusTrrIoN.?For purposes of this subsection, the
term "resolution" means a simple, joint, or concurrent
resolution.
(c) CERTAIN RESOLUTIONS TREATED AS RECONCILIATION BILLS.?
Resolutions described in subsection (b) of this section and bills
reported as a result thereof shall be considered in the Senate to be
reconciliation bills or resolutions for purposes of the Congressional
Budget Act of 1974.
SEC. 255. EXEMPT PROGRAMS AND ACTIVITIES.
(a) SOCIAL SECURITY BENEFITS AND TIER I RAILROAD RETIREMENT
BENEFITS.?Increases in benefits payable under the old-age, survi-
vors, and disability insurance program established under title II of
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IL J. Res. 372-47
the Social Security Act, or in benefits payable under section 3(a),
3(0(3), 4(a), or 4(f) of the Railroad Retirement Act of 1974, shall not
be considered "automatic spending increases" for purposes of this
title; and no reduction in any such increase or in any of the benefits
involved shall be made under any order issued under this
(b) VETERANS PROGRAMS.?The following programs shall be
exempt from reduction under any order issued under this part:
?
Veterans' compensation (36-0153-0-1-701); and
Veterans' pensions (36-0154-0-1-701).
(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) EARNED INCOME TAX Comm?Payments to individuals made
pursuant to section 32 of the Internal Revenue Code of 1954 shall be
exempt from reduction under any order issued under this part.
(e) OFFSETTING RECEIPTS AND COLLECTIONS.?Offsetting receipts
and collections shall not be reduced under any order issued under
this part.
(0 CERTAIN PROGRAM BASES.?Outlays for programs specified in
paragraph (1) of section 257 shall be subject to reduction only in
accordance with the procedures established in section 251(aX3XC)
and 256(b).
(g) OTHER PROGRAMS AND ACITVTITES.?
(1) 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;
Alaska Power Administration, Operations and mainte-
nance (89-0304-0-1471);
Appropriations for the District of Columbia (to the extent
they are appropriations of locally raised funds);
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);
Bureau of Indian Affairs miscellaneous trust funds, tribal
trust funds (14-9973-0-7-999);
Claims, defense (97-0102-0-1-051);
Claims, judgments, and relief acts (20-1895-0-1-806);
Coinage profit fund (20-5811-0-2-803);
Compensation of the President (11-0001-0-1-802);
Eastern Indian land claims settlement fund (14-2202-0-
1-806);
Exchange stabilization fund (20 4444-0-3-155);
Federal payment to the railroad retirement account (60-
0113-0-1-601);
Foreign military sales trust fund (11-8242-0-7-155);
Health professions graduate student loan insurance fund
(Health Education Assistance Loan Program) (75-4305-0-3-
553);
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;
Payment of Vietnam and USS Pueblo prisoner-of-war
claims (15-0104-0-1-153);
et,
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Payment to civil service retirement and disability fund
(24-0200-0-1-805);
Payments to copyright owners (03-5175-0-2-376);
Payments to health care trust funds (75-0580-0-1-572);
Payments to military retirement fund (97-0040-0-1-054);
Payments to social security trust funds (75-04044-1-
671);
Payments to state and local government fiscal assistance
trust fund (20-2111-0-1-851);
Payments to the foreign service retirement and disability
fund (11-1036-0-1-153 and 19-0540-0-1-153);
Payments to trust funds from excise taxes or other re-
ceipts properly creditable to such trust funds;
Postal service fund (18-4020-0-3-372);
Salaries of Article III judges;
Soldiers and Airmen's Home, payment of claims (84-
8930-0-7-705);
Southeastern Power Administration, Operations and
maintenance (89-0302-0-1-271);.
Southwestern Power Administration, Operations and
maintenance (89-0303-0-1-271);
Tennessee Valley Authority fund, except non-power pro-
grams and activities (64-4110-0-3-999);
Western Area Power Administration, Construction, re-
habilitation, operations, and maintenance (89-5068-0-2-
271); and
Western Area Power Administration, Colorado River
basins power marketing fund (89-4452-0-3-271).
(2) Prior legal obligations of the Government in the following
budget accounts and activities shall be exempt from any order
issued under this part:
Agency for International Development, Housing, and
other credit guarantee programs (72-4340-0-3-151);
Agricultural credit insurance fund (12-4140-0-3-351);
Biomass energy development (20-0114-0-1-271);
Check forgery insurance fund (20-4109-0-3-803);
Community development grant loan guarantees (86-
0162-0-1-451);
Credit union share insurance fund (25-4468 0 3-371);
Economic development revolving fund (13-4406-0-3-452);
Employees life insurance fund (24-8424-0-8-602);
Energy security reserve (Synthetic Fuels Corporation)
(20-0112-0-1-271);
Export-Import Bank of the United States, Limitation of
program activity (83-4027-0-3-155);
Federal Aviation Administration, Aviation insurance
revolving fund (69-4120-0-3-402);
Federal Crop Insurance Corporation fund (12-4085-0-3-
351);
Federal Deposit Insurance Corporation (51-8419-0-8-
371);
Federal Emergency Management Agency, National flood
insurance fund (58-4236-0-3-453);
Federal Emergency Management Agency, National insur-
ance development fund (58-4235-0-3-451);
Federal Housing Administration fund (86-4070-0-3-371);
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Federal Savings and Loan Insurance Corporation fund .
(82-4031-04-371);
Federal ship financing fund (69-4301-04-403);
Federal ship financing fund, fishing vessels (13-4417-04-
876);
Geothermal resources development fund (89-0206-0-1-
271);
Government National Mortgage Association, Guarantees
of mortgage-backed securities (86-4238-0-3-371);
Health education loans (75-4307-0-3-553);
Homeowners assistance fund, Defense (97-4090-0-3-051);
Indian loan guarantee and insurance fund (14-4410-0-3-
452);
International Trade Administration, Operations and
pdminiqtration (13-1250-0-1-376);
? Low-rent public housing, Loans and other expenses (86-
4098-04-604); -
Maritime Aaministration, War-risk insurance revolving
fund (69.-4302-0-3-403);
Overseas Private Investment Corporation (71-4030-0-3-
151);
Pension Benefit Guaranty Corporation fund (16-4204-0-
3-601);
? Rail service assistance (69-0122-0-1-401);
Railroad rehabilitation and improvement financing fund
(69-4411-0-3-401);
Rural development insurance fund (12-4155-0-3-452);
Rural electric and telephone revolving fund (12-4230-8-
3-271);
Rural housing insurance fund (12-4141-0-3-371);
Small Business Administration, Business loan and invest-
ment fund (73-4154-0-3-376);
Small Business Administration, Lease guarantees revolv-
ing fund (73-4157-0-3-376);
Small Business Administration, Pollution control equip-
ment contract guarantee revolving fund (73-4147-0-3-376);
Small Business Administration, Surety bond guarantees
revolving fund (73-4156-0-3-376);
Veterans Administration, Loan guaranty revolving fund
(36-4025-0-3-704);
Veterans Administration, National service life insurance
fund (36-8132-0-7-701);
Veterans Administration, Service-disabled veterans
insurance fund (36-4012-0-3-701);
Veterans Administration, Servicemen's group life insur-
ance fund (36-4009-0-3-701);
Veterans Administration, United States Government life
insurance fund (36-8150-0-7-701);
Veterans Administration, Veterans insurance and indem-
nities (36-0120-0-1-701);
Veterans Administration, Veterans reopened insurance
fund (36-4010-0-3-701); and
Veterans Administration, Veterans special life insurance
fund (36-8455-0-8-701).
(h) Low-INcomE PROGRAMS.?The following programs shall be
exempt from reduction under any order issued under this part:
Aid to families with dependent children (75-0412-0-1-609);
.77-
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H. J. Res. 372-50
Child nutrition (12-3539-0-1-605);
Food
605); stamp programs (12-3505-0-1-605 and 12-3550-0-1-
Grants to States for Medicaid (75-0512-0-1-551)
Supplemental Security Income Program (75-0406-0-1-609);
and
Women, infants, and children program (12-3510-0-1-605).
(i) IDENTIFICATION OF PROGRAMS.?For purposes of subsections (g)
and (h), Programs are identified by the designated budget account
identification code numbers set forth in the Budget of the United
States Government, 1986?Appendix.
SEC. 256. EXCEPTIONS. LIMITATIONS, AND SPECIAL RULES.
(a) EFFECT OF REDUCTIONS AND SEQUESTRATIONS.?
(1) REDUCTIONS IN AUTOMATIC SPENDING INCREASES.?Notwith-
standing any other provision of law, any change in the
Consumer Price Index or any other index measuring costs,
prices, or wages (or in any component of any such index), under
a program listed in section 257(1), that is not taken into account
for purposes of determining the amount of an automatic spend-
ing increase (if any) under such program for a fiscal year for
which an order is issued under section 252 shall not be taken
into account for purposes of determining any automatic spend-
ing increase during any fiscal year thereafter.
(2) SEQUESTRATIONS.?Any amount of new budget authority,
unobligated balances, obligated balances, new loan guarantee
commitments, new direct loan obligations, spending authority
(as defined in section 401(cX2) of the Congressional Budget Act
of 1974), or obligation limitations which is sequestered or re-
duced pursuant to an order issued under section 252 is perma-
nently cancelled, with the exception of amounts sequestered in
special or trust funds, which shall remain in such funds and be
available in accordance with and to the extent permitted by
law, including the provisions of this Act.
(b) TREATMENT OF FEDERAL ADMINISTRATIVE EXPENSES.?
(1) Notwithstanding any other provision of this title, adminis-
trative expenses incurred by the departments and agencies,
including independent agencies, of the Federal Government in
connection with any program, project, activity, or account shall
be subject to reduction pursuant to an order issued under
section 252, without regard to any exemption, exception, limita-
tion, or special rule which is otherwise applicable with respect
to such program, project, activity, or account under this part.
(2) Notwithstanding any other provision of law, administra-
tive expenses of any program, project, activity, or account which
is self-supporting and does not receive appropriations shall be
subject to reduction under a sequester order, unless specifically
exempted in this joint resolution.
(3) Payments made by the Federal Government to reimburse
or match administrative costs incurred by a State or political
subdivision under or in connection with any program, project,
activity, or account shall not be considered administrative ex-
penses of the Federal Government for purposes of this section,
and shall be subject to reduction or sequestration under this
part to the extent (and only to the extent) that other payments
made by the Federal Government under or in connection with
that program, project, activity, or account are subject to such
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H. J. Res. 372-51
reduction or sequestration; except that Federal payments made
to a State as reimbursement of administrative costs incurred by
such State under or in connection with the unemployment
compensation programs specified in subsection (h)(1) shall be
subject to reduction or sequestration under this part notwith-
standing the exemption otherwise granted to such programs
under that subsection.
(c) EFFECT OF ORDERS ON THE GUARANTEED STUDENT LOAN PRO-
GRAM.?(1) Any reductions which are required to be achieved from
the student loan programs operated pursuant to part B of title IV of
the Higher Education Act of 1965, as a consequence of an order
issued pursuant to section 252, shall be achieved only from loans
described in paragraphs (2) and (3) by the application of the meas-
ures described in such paragraphs.
(2) For any loan made during the period beginning on the date
that an order issued under section 252 takes effect with respect to a
fiscal year and ending at the close of such fiscal year, the rate used
in computing the special allowance payment pursuant to section
438(bX2XAXiii) of such Act for each of the first four special allowance
payments for such loan shall be adjusted by reducing such rate by
the lesser of?
(A) 0.40 percent, or
(B) the percentage by which the rate specified in such section
exceeds 3 percent
(3) For any loan made during the period beginning on the date
that an order issued under section 252 takes effect with respect to a
fiscal year and ending at the close of such fiscal year, the origination
fee which is authorized to be collected pursuant to section 438(cX2) of
such Act shall be increased by 0.50 percent
(d) SPECIAL RULES FOR MEDICARE PROGRAM.?
(1) MAXIMUM PERCENTAGE REDUCTION IN INDIVIDUAL PAYMENT
Amoumrs.--The maximum permissible reduction for the health
insurance programs under title XVIII of the Social Security Act
for any fiscal year, pursuant to an order issued under section
252, consists only of a reduction of?
(A) 1 percent in the case of fiscal year 1986, and
(B) 2 percent in the case of any subsequent fiscal year,
in each separate payment amount otherwise made for a covered
service under those programs without regard to this part.
(2) 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 pre-
vious 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
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H. J. Res. 872-52
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.
(C) EFFECTIVE PERIOD OF ORDER FOR FISCAL YEAR 1986.?
For purposes of this paragraph, the effective period of a
sequestration order for fiscal year 1986 is the period begin-
ning on March 1, 1986, and ending on September 30, 1986.
(9) 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 tit e XVDI of the Social Security Act is made on the basis of
an assignment described in section 1842(b)(3)(BXii), in accord-
ance with section 1842(bX6XB), or under the procedure described
in section 1870(0(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 pay-
ment amount made pursuant to a sequestration order, as pay-
ment in full.
(4) No Emor ON COMPUTATION OF AAPCC.?In computing the
adjusted average per capita cost for purposes of section
1876(aX4) of the Social Security Act, 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.
(e) TREATMENT OF CHILD SUPPORT ENFORCEMENT Pitooaam.?Any
order issued by the President under section 252 shall accomplish the
full amount of any required reduction in expenditures under sec-
tions 455 and 458 of the Social Security Act by reducing the Federal
matching rate for State administrative costs under such program, as
specified (for the fiscal year involved) in section 455(a) of such Act, to
the extent necessary to reduce such expenditures by that amount.
(f) TREATMENT OF FOSTER CARE AND ADOPTION ASSISTANCE PRO-
GRAMS.?Any order issued by the President under section 252 shall
make the reduction which is otherwise required under the foster
care and adoption assistance programs (established by part E of title
IV of the Social Security Act) only with respect to payments and
expenditures made by States in which increases in foster care
maintenance payment rates or adoption assistance payment rates
(or both) are to take effect during the fiscal year involved, and only
to the extent that the required reduction can be accomplished by
applying a uniform percentage reduction to the Federal matching
payments that each such State would otherwise receive under sec-
tion 474 of that Act (for such fiscal year) for that portion of the
State's payments which is attributable to the increases taking effect
during that year. No State may, after the date of the enactment of
this joint resolution, make any change in the timetable for making
payments under a State plan approved under part E of title IV of
the Social Security Act which has the effect of changing the fiscal
year in which expenditures under such part are made.
(g) FEDERAL PAY.?
(1) IN ?Jammu?For purposes of any order issued under
section 252?
(A) Federal pay under a statutory pay system, and
(R) elements of military pay,
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H. J. Res. 372-53
shall be subject to reduction under an order in the same manner '
as other administrative expense components of the Federal
budget; except that no such order may reduce or have the effect
of reducing the rate of pay to which any individual is entitled
under any such statutory pay system or the rate of any element
of military pay to which any individual is entitled under title
37, United States Code, or any increase in rates of pay which is
scheduled to take effect under section 5305 of title 5, United
States Code, section 1009 of title 37, United States Code, or any
other provision of law.
(2) Dryistrnoiss.--For purposes of this subsection:
? (A) The term "statutory pay system" shall have the
meaning given that term in section 5301(c) of title 5, United
? States Code.
(3) The term "elements of military pay" means?
? (ll the elements of compensation of members of the
uniformed services specified in section 1009 of title 37,
United States Code,
(ii) allowances provided members of the uniformed
services under sections 403a and 405 of such title, and
(iii) cadet pay and midshipman pay under section
203(c) of such title.
(C) The term "uniformed services" shall have the mean-
ing given that term in section 101(3) of title 37, United
States Code.
(h) TREATMENT OF PAYMENTS AND ADVANCES MADE WITH RESPECT
TO UNEMPLOYMENT COMPENSATION PROGRAMS.--(1) For purposes of
section 252?
(A) any amount paid as regular unemployment compensation
by a State from its account in the Unemployment Trust Fund
(established by section 904(a) of the Social Security Act),
(B) any advance made to a State from the Federal unemploy-
ment account (established by section 904(g) of such Act) under
title XII of such Act and any advance appropriated to the
Federal unemployment account pursuant to section 1203 of such
Act, and
(C) any payment made from the Federal Employees Com-
_pensation Account (as established under section 909 of such Act)
far or purpose of carrying out chapter 85 of title 5, United
States Code, and funds appropriated or transferred to or other-
wise deposited in such Account,
shall not be subject to reduction.
(2XA) A State may reduce each weekly benefit payment made
under the Federal-State Extended Unemployment Compensation
Act of 1970 for any week of unemployment occurring during any
period with respect to which payments are reduced under an order
issued under section 252 by a percentage not to exceed the percent-
age by which the Federal payment to the State under section 204 of
such Act is to be reduced for such week as a result of such order.
(B) A reduction by a State in accordance with subparagraph (A)
shall not be considered as a failure to fulfill the requirements of
section 3304(aX11) of the Internal Revenue Code of 1954.
(i) TREATMENT OF MINE WORKER DISABILITY COMPENSATION IN-
CREASES AS AUTOMATIC SPENDING INCREASES.?An order issued by
the President under section 252 may not result in eliminating or
reducing an increase in disability benefits under the Federal Mine
Safety and Health Act except in the manner provided for automatic
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H. J. Res. 372-54
spending increases under section 252(aX1XA), and no such increase
may, pursuant to such section, be reduced below zero.
(j) COMMODITY CREDIT CORPORATION.?
(D POWERS AND AUTHORITIES OF THE COMMODITY CREDIT COR-
PORATION.?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)
Payments and 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 252 shall not be
reduced by an order subsequently issued. Subject to subpara-
graph (B), after an order is issued under such section for a fiscal
year, any cash payments made by the Commodity Credit Cor-
poration?
(i) under the terms of any one-Tear contract entered into
in such fiscal year and after the issuance of the order; and
(ii) out of an entitlement account,
to any rsion (including any producer, lender, or guarantee
II
entity) s be subject to reduction under the order.
(3) Each 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 re-
duced 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 252, 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.?Notith-
standing any other provision of this joint resolution, if an order
under section 252 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. No other account, or other
program, project, or activity, shall bear an increased reduction
for the fiscal year to which the order applies as a result of the
operation of the preceding sentence.
(4) UNIFORM PERCENTAGE RATE OF REDUCTION AND OTHER
uhirrATioNs.?All reductions described in paragraph (2) which
are required to be made in connection with an order issued
under section 252 with respect to a fiscal year?
(A) 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; and
(B) with respect to commodity price support and income
protection programs, shall be made in such manner and
under such procedures as will attempt to ensure that?
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H. J. Res. 372-55
(i) uncertainty as to the scope of benefits under any
i
such program s minimized;
(ii) any instability in market prices for agricultural
commodities resulting from the reduction is minimized;
and
normal production and marketing relationships
among agricultural commodities (including both con-
tract and non-contract commodities) are not distorted.
In meeting the criterion set out in clause (iii) of subpara-
graph (B) of the preceding sentence, the President shall
take into consideration that reductions under an order may
apply to programs for two or more agricultural commod-
ities that use the same type of production or marketing
resources or that are alternative commodities among which
- a producer could choose in making annual production deci-
? sions. -
(5) No DOUBLE REDUCTION.?No agricultural price support or
income protection program that is subject to reduction under an
order issued under section 252 for a fiscal year may be subject,
as well, to modification or suspension under such order as an
automatic spending increase.
(6) CERTAIN AUTHORITY NOT TO BE LIMITED.?Nothing in this
joint resolution shall limit or reduce, in any way, any appropria-
tion that provides the Commodity Credit Corporation with
budget authority to cover the Corporation's net realized losses.
(k) COMMUNITY AND MIGR.ANT HEAE- TH CENTERS, INDIAN HEALTH
SERVICES AND FACILITIES, AND VETERANS' MEDICAL CARE.?
(1) The maximum permissible reduction in budget authority
for any account listed in paragraph (2) for any fiscal year,
pursuant to an order issued under section 252, shall be?
(A) 1 percent in the case of the fiscal year 1986, and
(B) 2 percent in the case of any subsequent fiscal year.
(2) The accounts referred to in paragraph (1) are as follows:
(A) Community health centers (75-0350-0-1-550).
(B) Migrant health centers (75-0350-0-1-550).
(C) Indian health facilities (75-0391-0-1-551).
(D) Indian health services (75-0390-0-1-551)-
(E) Veterans' medical care (36-0160-0-1-703).
For purposes of the preceding provisions of this paragraph,
programs are identified by the designated budget account
identification code numbers set forth in the Budget of the
United States Government?Appendix.
(1) TREATMENT OF OBLIGATED BALANCES.?
(1) IN GENERAL.?Except as provided in paragraph (2), obli-
gated balances shall not be subject to reduction under an order
issued under section 252.
(2) Exc.:Ea-Emig ?Existing contracts in major functional cat-
egory 050 (other than (A) those contracts which include a
specified penalty for cancellation or modification by the Govern-
ment and which if so cancelled or modified would result (due to
such penalty) in a net loss to the Government for the fiscal year,
and (B) those contracts the reduction of which would violate the
legal obligations of the Government) shall be subject to reduc-
tion, in accordance with section 251(dX3), under an order issued
under section 252.
(3) DEFINITION.?For purposes of this subsection, the term
"existing contracts" shall include all military and civilian con-
?
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H. J. Res. 872-56
tracts in major functional category 050 which exist at the time
the order involved is issued under section 252.
SEC. 257. DEFINITIONS.
For purposes of this title:
(1) The term "automatic spending increase" (except as other-
wise provided in sections 255 and 256) means?
(A) increases in budget outlays due to changes in indexes
in the following Federal programs:
Black lung benefits (20-8144-0-7-601);
Central Intelligence Agency retirement and disabil-
ity 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);
Foreign service retirement and disability fund (19-
8186-0-7-602);
Judicial survivors' annuities fund (10-8110-0-7-602);
Longshoremen's and harborworkers' compensation
benefits (16-9971-0-7-601);
Military retirement fund (97-8097-0-7-602);
National Oceanic and Atmospheric Administration
retirement (13-1450-0-1-306);
Pensions for former Presidents (47-0105-0-1-802);
Railroad retirement tier 11 (60-8011-0-7-601);
Retired pay, Coast Guard (69-0241-0-1-403);
Retirement pay and medical benefits for commis-
sioned officers, Public Health Service (75-0379-0-1-
551);
Special benefits, Federal Employees' Compensation
Act (16-1521-0-1-600);
Special benefits for disabled coal miners (75-0409-0-
1-601); and
Tax Court judges survivors annuity fund (23-8115-0-
7-602); and
(B) increases in budget outlays due to changes in indexes
in the following Federal programs:
National Wool Act (12-4336-0-3-351);
Special milk program (12-3502-0-1-605); and
Vocational rehabilitation (91-0301-0-1-506).
For purposes of the preceding provisions of this paragraph,
programs are identified by the designated budget account
identification code numbers set forth in the Budget of the
United States Government, 1986?Appendix.
(2) The terms "budget outlays" and "budget authority" have
the meaning given to such terms in sections 3(1) and 3(2),
respectively, of the Congressional Budget and Impoundment
Control Act of 1974.
(3) The term "concurrent resolution on the budget" has the
meaning given to such term in section 3(4) of the Congressional
Budget and Impoundment Control Act of 1974.
(4) The term "deficit" has the meaning given to such term in
section 3(6) of the Congressional Budget and Impoundment
Control Act of 1974.
(5) The term "maximum deficit amount", with respect to any
fiscal year, means the maximum deficit amount for such fiscal
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H. J. Res. 872-57
year determined under section 8(7) of the Congressional Budget
and Impoundment Control Act of 1974.
(6) The term "real economic growth", with respect to any
fiscal year, means the growth in the gross national product
during such fiscal year, adjusted for inflation, consistent with
Department of Commerce definitions.
(7) The terms "sequester" and "sequestration" (subject to
section 252(aX4)) refer to or mean the cancellation of new budget
authority, unobligated balances, obligated balances, new loan
guarantee commitments, new direct loan obligations, and
spending authority as defined in section 401(cX2) of the Congres-
sional Budget Act of 1974, and the reduction of obligation
limitations.
(8) The term "account" means an item for which appropria-
tions are made in any appropriation Act used to determine the
budget base, and, for items not provided for in appropriation
Acts, such term means an item for which there is a designated
budget account identification code number in the Appendix to
the President's budget.
PART D?BUDGETARY TREATMENT OF SOCIAL.
SECURITY TRUST FUNDS
SEC. 261. TREATMENT OF TRUST FUNDS.
(a) FISCAL YFARS 1986 THROUGH 1992.?
(1) IN cENERAL?Section 710 of the Social Security Act (as
r added by paragraph (1) of subsection (a) of section 346 of the
Social Security Amendments of 1983) is amended?
(A) by striking out all beginning with "the" the first place
it appears down through "Disability Insurance Trust Fund,
the and inserting in lieu thereof "the";
(B) by striking out the comma after "Hospital Insurance
Trust Fund"-
(C) by striking out "sections 1401, 3101, and 3111"- and
inserting in lieu thereof "sections 1401(b), 3101(b), and
3111(b)";
(D) by redesignating all after the section designation as
subsection (b);
(E) by inserting immediately after the section designation
the following:
"(a) The receipts and disbursements of the Federal Old-Age and
Survivors Insurance Trust Fund and the Federal Disability Insur-
ance Trust Fund, and the taxes imposed under sections 1401(a),
3101(a), and 3111(a) of the Internal Revenue Code of 1954, shall not
be included in the totals of the budget of the United States Govern-
ment as submitted by the President or of the congressional budget
and shall be exempt from any general budget limitation imposed by
statute on expenditures and net lending (budget outlays) of the
United States Government."; and
(F) by adding at the end thereof the following new subsec-
tion:
"(c) No provision of law enacted after the date of the enactment of
the Balanced Budget and Emergency Deficit Control Act of 1985
(other than a provision of an appropriation Act that appropriates
funds authorized under the Social Security Act as in effect on the
date of the enactment of the Balanced Budget and Emergency
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H. J. Res. 372-58
Deficit Control Act of 1985) may provide for payments from the
general fund of the Treasury to the Federal Old-Age and Survivors
Insurance Trust Fund or the Federal Disability Insurance Trust
Fund, or for payments from either such Trust Fund to the,general
fund of the Treasury.".
lit2/ ey/Aie.4 ---7. (2) APPLICATION.?The amendments made by paragraph (I)
shall apply with respect to fiscal years beginning after Septem-
ber 30, 1985, and ending before October 1, 1992.
ii 2 q if -Social Security
YEAR
7
rity Act1MusDc. 9f1 note), as ieond:d101()a) of the
346(b) of the Social Security. Amendments of 1983 (tobeyeffectiven
with respect to fiscal years beginning after September 30, 1992) is
amended?
(1) by inserting "(I)" after the subsection designation; and
(2) by adding at the end thereof the following new paragraph:
"(2) No provision of law enacted after the date of the enactment of
the Balanced Budget and Emergency Deficit Control Act of 1985
(other than a provision of an appropriation Act that appropriates
funds authorized under the Social Security Act as in effect on the
date of the enactment of the Balanced Budget and Emergency
Deficit Control Act of 1985) may provide for payments from the
general fund of the Treasury to any Trust Fund specified in para-
graph (1) or for payments from any such Trust Fund to the general
fund of the Treasury.".
PART E-MISCELLANEOUS AND RELATED
PROVISIONS
SEC. 271. WAIVERS AND SUSPENSIONS: RULEMAKING POWERS.
(a) BUDGET Ac-r WAIVERS IN THE SENATE.?Section 904 of the
9/C dlAter
Congressional Budget Act of 1974 is amended by redesignating
subsection (c) as subsection (d), and by inserting after subsection (b)
the following new subsection:
"(c) Sections 305(bX2) and 306 of this Act may be waived or
suspended in the Senate only by the affirmative vote of three-fifths
! CiP of the Members, duly chosen and sworn.".
e? 7(b) OTHER WAIVERS AND SUSPENSIONS IN THE SENATE.?Sections
301(i), 302(f), 304(b), 310(d), 310(g), and 311(a) of the, Congressional
Budget Act of 1974 may be waived or suspended in the Senate only
by the affirmative vote of three-fifths of the Members, duly chosen
and sworn. This subsection shall not apply to any joint resolution
reported or discharged pursuant to section 254(a) of this joint resolu-
tion.
(c) RULEMAKING POWERS.?The provisions of this title, other than
those relating to the activities of the executive and judicial branches
of the Government, are enacted by the Congress?
(1) as an exercise of the rulemaking power of the House of
Representatives and the Senate, respectively, and as such they
shall be considered as part of the rules of each House, respec-
tively, or of that House to which they specifically apply, and
such rules shall supersede other rules only to the extent that
they are inconsistent therewith; and
(2) with full recognition of the constitutional right of either
House to change such rules (so far as relating to such House) at
any time, in the same manner and to the same extent as in the
case of any other rule of such House.
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H. J. Res. 372-59
SEE. 272. RESTORATION OF TRUST FUND INVESTMENTS.
(a) RESTORATION OF SOCIAL SECUIUTY TRUST FUNDS AND CERTAIN
OmER FUNDS.?
(1) REISSUANCE OF osuGATIorrs.?The Secretary of the Treas-
ury shall immediately reissue to each fund listed in paragraph
? (3) obligations under chapter 31 of title 31, United States Code,
which are identical, with respect to interest rate and maturity,
to public debt obligations held by such fund which?
(A) were redeemed during the period beginning with
September 1, 1985, and ending with September 29, 1985,
and
? (B) as determined by such Secretary on the basis of
standard investment procedures for such fund in effect on
September 1, 1985, would not have been redeemed if H.J.
Res. 372 (99th Congress, 1st Session), as deemed passed by
the House of Representatives on August 1, 1985, had been
enacted into law on August 1, 1985.
Such obligations shall be substituted for obligations which are
held by such fund on the date of the enactment of this joint
resolution in a manner which will ensure that, after such
substitution, the holdings of such fund? will replicate to the
maximum extent practicable the holdings which would have
been held by such fund on such date if H.J. Res. 372 (99th
Congress, 1st Session), as deemed passed by the House of Rep-
resentatives on August 1, 1985, had been enacted into law on
August I, 1985.
(2) APPROPRIATION TO FUNDS OF INTEREST LOST ON OR AFTER
SEPTEMBER 1, 1985.?The Secretary of the Treasury shall pay on
the normal interest payment date to each fund listed in para-
graph (3), from amounts in the general fund of the Treasury not
otherwise appropriated, an amount determined by such Sec-
retary to be equal to the excess of?
(A) the net, amount of interest which would have been
earned by such fund, during the period beginning with
September 1, 1985, and ending with the date of the enact-
ment of this joint resolution, if all noninvestments, redemp-
tions, and disinvestments with respect to such fund which?
(i) occurred during such period, and
(ii) would not have occurred if H.J. Res. 372 (99th
Congress, 1st Session), as deemed passed by the House
of Representatives on August 1, 1985, had been enacted
into law on August 1, 1985,
had not occurred, over
(B) the net amount of interest actually earned by such
fund during such period.
(3) FUNDS AFFECTED.?The funds referred to in paragraphs (1)
and (2) are the following:
(A) the Federal Old-Age and Survivors Insurance Trust
Fund,
(B) the Federal Disability Insurance Trust Fund,
(C) the Federal Hospital Insurance Trust Fund,
(D) the Federal Supplementary Medical Insurance Trust
Fund,
(E) the Railroad Retirement Account,
(F) the Civil Service Retirement and Disability Fund, and
??
- -"" ??? ?-?-? --??????'.7.%:"^ . 7
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? H. J. Res. 872-60
(G) all other funds (other than the funds referred to in
subsection (b) or (c)) listed in Table III of the Monthly
Statement of the Public Debt issued by the Department of
the Treasury for November 30, 1985.
(b) RESTORATION OF DEPARTMENT OF DEFENSE MILITARY Rerna-
mwr FUND.?
(1) ISSUANCE OF OBLIGATIONS.?The Secretary of the Treasury
shall immediately issue to the Department of Defense Military
Retirement Fund obligations under chapter 31 of title 31,
United States Code, which such Secretary, in consultation with
the Secretary of Defense, determines would have been issued to
such fund on October 1, 1985, if H.J. Res. 372 (99th Congress, 1st
Session), as deemed passed by the House of Representatives on
August 1, 1985, had been enacted into law on August 1, 1985.
Such obligations shall be market-based special obligations
issued at prices, including accrued interest, prevailing for such
obligations on October 1, 1985. Such obligations shall be sub-
stituted for all obligations which were purchased by such fund
during the period beginning with October 1, 1985, and ending
with November 14, 1985, with amounts which were transferred
to such fund on October 1,1985. -
(2) APPROPRIATION TO Fula) OF INTEREST LOST ON OR Arrra
OCTOBER 1, 1985.?
(A) IN GENERAL.?The Secretary of the Treasury shall
immediately pay to the Department of Defense Military
Retirement Fund, from amounts in the general fund of the
Treasury not otherwise appropriated, an amount deter-
mined by such Secretary, in consultation with the Sec-
retary of Defense, to be equal to the excess of?
(i) the interest which would have been earned by
such fund during the period beginning with October 1,
1985, and ending with November 14, 1985, if the obliga-
tions issued pursuant to paragraph (1) had been issued
on October 1, 1985, over
(ii) the amount of interest actually collected by such
fund during such period on obligations purchased by
such fund with amounts which were transferred to
such fund on October 1, 1985.
(B) INVESTMENT OF INTEREST RECEIPTS.?The Secretary of
the Treasury shall immediately invest the amount paid to
the Department of Defense Military Retirement Fund
pursuant to subparagraph (A) in obligations designated by
the Secretary of Defense. Such obligations shall be market-
based special obligations issued with an issue date of
November 15, 1985, and at prices, including accrued in-
terest, prevailing for such obligations on November 15,
1985.
(C) APPROPRIATION TO CERTAIN FUNDS Wim RESPECT TO
UNINVESTED BALANCES AFTER DECEMBER 6,1985.?
(1) IN GENERAL.?The Secretary of the Treasury shall imme-
diately pay, from amounts in the general fund not otherwise
appropriated, to each fund which is listed in Table HI of the
Monthly Statement of the Public Debt issued by the Depart-
ment of the Treasury for November 30, 1985, and which invests
in market-based special obligations under chapter 31 of title 31,
United States Code, an amount equal to the interest which
would have been earned by such fund during the period begin-
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H. J. Res. 372-61
fling with December 7, 1985, and ending with the date of the
enactment of this joint resolution, if the daily balance in such
fund which the Secretary of the Treasury was requested to
invest during such period but was unable to invest, because of
the expiration of the temporary debt limit, had been invested
each day during such period, overnight, in obligations under
such chapter 31 earning interest at a rate determined by the
Secretary of the Treasury in accordance with the standard
practice of the Department of the Treasury.
(2) EXPIRATION OF TEMPORARY DEBT LIMIT DEFINED.?For pur-
poses of paragraph (1), the term "expiration of the tern rary
debt limit" means the expiration of the period descri
section 1 of the Act entitled "An Act to temporarily increase the
limit on the public debt and to restore the investments of the
Social Security Trust Funds and other trust funds", approved
November 14, 1985 (Public Law 99-155).
(d) ADDITIONAL APPROPRIATION TO OASDI TRUST FUNDS OF IN-
TEREST LOST FROM ACTIONS TAKEN IN SEPTEMBER AND OCTOBER
1984.?
(1) IN GENERAL?On December 31, 1985, the Secretary of the
Treasury shall pay to the Federal Old-Age and Survivors Insur-
ance Trust Fund and the Federal Disability Insurance Trust
Fund, from amounts in the general fund of the Treasury not
otherwise appropriated, amounts determined under this subsec-
tion.
(2) Amourrr PAID TO EACH TRUST FUND.?The amount paid to
each such Trust Fund pursuant to paragraph (1) shall be an
amount determined jointly by the Secretary of the Treasury and
the Secretary of Health and Human Services to be sufficient to
fully compensate such Trust Fund for interest losses arising
from the premature redemption, during the period beginning
with September 1, 1984, and ending with October 31, 1984, of
securities maturing during the period beginning with calendar
year 1987 and ending with calendar year 1991.
(3) LIMITATION.?The total amount paid from the general fund
of the Treasury pursuant to paragraph (1) shall not exceed
$550,000,000.
(4) ADJUSTMENTS.?
(A) Dr MRMINATION OF SHORTFALLS AND EXCESSES IN PAY-
mErrrs TO TRUST FUNDS.?As soon as practicable after May
31, 1986, the Secretary of the Treasury and the Secretary of
Health and Human Services shall jointly determine any
shortfall or excess in the amount paid to each Trust Fund
pursuant to paragraph (1) caused by?
(1) the difference between actual interest rates and
interest rates assumed for purposes of paragraph (I),
and
(ii) the difference between the actual amount of secu-
rities redeemed in January 1986 for purposes of compli-
ance with section 201(1X3)(B) of the Social Security Act
and the amount of securities assumed for purposes of
paragraph (1) to be redeemed in such month for pur-
poses of compliance with such section.
(B) PAYMENT OF SHORTFALLS AND EXCESSES.?OH June 30,
1986, the Secretary of the Treasury shall?
(i) in the case of a shortfall in the amount paid to
either Trust Fund determined pursuant to subpara-
:
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viA
effect during the pendency of the action before such court, during
the time appeal may be taken, or, if appeal is taken, during the
period before the court to which such appeal is taken has entered its
final order disposing of such action. ,
0) ALTERNATIVE PROCEDURES FOR THE JOINT REPORTS OF THE DIREC-
(1) In the event that any of the reporting procedures described
in section 251 are invalidated, then any report of the Directors
referred to in section 251(a) or (cX1) shall be transmitted to the
joint committee established under this subsection.
(2) Upon the invalidation of any such procedure there is
established a Temporary Joint Committee on Deficit Reduction,
composed of the entire membership of the Budget Committees
of the House of Representatives and the Senate. The Chairman
of these two committees shall act as Co-Chairmen of the Joint
Committee. Actions taken by the Joint Committee shall be
determined by the majority vote of the members representing
each House. The purposes of the Joint Committee are to receive
the reports of the Directors as described in paragraph (1), and to
report (with respect to each such report of the Directors) a joint
resolution as described in paragraph (3).
(3) No later than 5 days after the receipt of a report of the
Directors in accordance with paragraph (1), the Joint Commit-
tee shall report to the House of Representatives and the Senate
a joint resolution setting forth the contents of the report of the
Directors -
(4) The provisions relating to the consideration of a joint
resolution under section 254(aX4) shall apply to the consider-
ation of a joint resolution reported pursuant to this subsection
in the House of Representatives and the Senate, except that
debate in each House shall be limited to two hours.
(5) Upon its enactment, the joint resolution shall be deemed to
be the report received by the President under section 251(b) or
(cX2) (whichever is applicable).
(g) PRESERVATION OF OTHER RIGHTS.?The rights created by this
section are in addition to the rights of any person under law, subject
to subsection (e).
(h) ECONOMIC DATA, ASSUMPTIONS, AND METHODOLOGIES.?The eco-
nomic data, assumptions, and methodologies used by the Comptrol-
ler General in computing the base levels of total revenues and total
budget outlays, as specified in any report issued by the Comptroller
General under section 251(b) or (cX2), shall not be subject to review
in any judicial or administrative proceeding.
SEC. 275. EFFECTIVE DATES.
(a) IN GENERAL.?
(1) Except as provided in paragraph (2) and in subsections (b)
and (c), this title and the amendments made by this title shall
become effective on the date of the enactment of this title and
shall apply with respect to fiscal years beginning after Septem-
ber 30, 1985.
(2XA) The amendment made by section 201(aX2), and the
amendment made by section 201(b) insofar as it relates to
subsections (c), (f), and (g) of section 302 of the Congressional
Budget Act of 1974 and to subsections (c), (d), and (g) of section
310 of that Act), shall become effective April 15, 1986.
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H. J. Res. 872-62
graph (A), pay to such Trust Fund, from amounts in the
general fund of the Treasury not otherwise appro-
priated, the amount of such shortfall, or
(ii) in the case of an excess in the amount paid to
either Trust Fund determined pursuant to subpara-
graph (A), _pay to the general fund of the Treasury,
from such Trust Fund, the amount of such excess (but
not to exceed the amount paid to such Trust Fund
pursuant to paragraph (1)).
SEC. 273. REVENUE ESTIMATES.
For the purposes of revenue legislation which is income, estate
and gift, excise, and payroll taxes (Le., Social Security), considered or
enacted in any session of Congress, the Congressional Budget Office
shall use exclusively during that session of Congress revenue esti-
mates provided to it by the Joint Committee on Taxation. During
that session of Congress such revenue estimates shall be transmitted
by the Congressional Budget Office to any committee of the House of
Representatives or the Senate requesting such estimates, and shall
be used by such Committees in determining such estimates. The
Budget Committees of the Senate and House shall determine all
estimates with respect to scoring points of order and with respect to
the execution of the purposes of this title and the Congressional
Budget and Impoundment Control Act of 1974.
SEC. 274. JUDICIAL REVIEW.
(a) EXPEDITED REvicew.?
(1) Any Member of Congress may bring an action, in the
United States District Court for the District of Columbia, for
declaratory judgment and injunctive relief on the ground that
any order that might be issued pursuant to section 252 violates
the Constitution.
(2) Any Member of Congress, or any other person adversely
affected by any action taken under this title, may bring an
action, in the United States District Court for the District of
Columbia, for declaratory judgment and injunctive relief
concerning the constitutionality of this title.
(3) Any Member of Congress may bring an action, in the
United States District Court for the District of Columbia, for
declaratory and injunctive relief on the ground that the terms
of an order issued under section 252 do not comply with the
requirements of this title.
(4) A copy of any complaint in an action brought under
paragraph (1), (2), or (3) shall be promptly delivered to the
Secretary of the Senate and the Clerk of the House of Rep-
resentatives, and each House of Congress shall have the right to
intervene in such action.
(5) Any action brought under paragraph (1), (2), or (3) ghall be
heard and determined by a three-judge court in accordance with
section 2284 of title 28, United States Code.
Nothing in this section or in any other law shall infringe upon the
right of the House of Representatives to intervene in an action
brought under paragraph (1), (2), or (3) without the necessity of
adopting a resolution to authorize such intervention.
(b) APPEAL TO SUPREME COURT.?Notwithstanding any other provi-
sion of law, any order of the United States District Court for the
District of Columbia which is issued pursuant to an action brought
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H. J. Res. 872-63
under paragraph (1), (2), or (3) of subsection (a) shall be reviewable
by appeal directly to the Supreme Court of the United States. Any
such appeal shall be taken by a notice of appeal filed within 10 days
after such order is entered; and the jurisdictional statement shall be
filed within 30 days after such order is entered. No stay of an order
issued pursuant to an action brought under paragraph (1), (2), or (3)
of subsection (a) shall be issued by a single Justice of the Supreme
Court.
(c) PEDITED CONSIDERATION.?It shall be the duty of the District
Court for the District of Columbia and the Supreme Court of the
United States to advance on the docket and to expedite to the
greatest possible extent the disposition of any matter brought under
subsection (a).
(d) NONCOMPLIANCE WITH SEQUESTRATION PROCEDURE:L?
W If it is finally determined by a court of competent jurisdic-
tion that an order issued by the President under section 252(b)
for any fiscal year?
(A) does not reduce automatic spending increases under
any program specified in section 2570) to the extent that
suchincreases are required to be reduced by part C of this
title (or reduces such increases by a greater extent than is
so required),
(B) does not sequester the amount of new budget author-
ity, new loan guarantee commitments, new direct loan
obligations, or spending authority which is required to be
sequestered by such part (or sequesters more than that
amount) with respect to any program, project, activity, or
account, or
(C) does not reduce obligation limitations by the amount
by which such limitations are required to be reduced under
such part (or reduces such limitations by more than that
amount) with respect to any program, project, activity, or
account,
the President shRll, within 20 days after such determination is
made, revise the order in accordance with such determination.
(2) If the order issued by the President under section 252(b) for
any fiscal year?
(A) does not reduce any automatic spending increase to
the extent that such increase is required to be reduced by
part C of this title,
(B) does not sequester any amount of new budget author-
ity, new loan guarantee commitments, new direct loan
obligations, or spending authority which is required to be
sequestered by such part., or
(C) does not reduce any obligation limitation by the
amount by which such limitation is required to be reduced
under such part,
on the claim or defense that the constitutional powers of the
President prevent such sequestration or reduction or permit the
avoidance of such sequestration or reduction, and such claim or
defense is finally determined by the Supreme Court of the
United States to be valid, then the entire order issued pursuant
to section 252(b) for such fiscal year shall be null and void.
(e) TIMING OF RELIEF.?No order of any court granting declaratory
or injunctive relief from the order of the President issued under
section 252, including but not limited to relief permitting or requir-
ing the expenditure of funds sequestered by such order, shall take
? ? ??.. ? ?9V7-=7.--
" ' ? .
? ? - 41j?-?? ?1='_ ? ::WZ
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H. J. Res. 872-65
(B) The amendment made by section 212 shall become effec-
tive February 1,1986.
(1) EXPIRATION.-
(1) Part C of this title, and the other provisions contained in
or added by this title which are listed in paragraph (2), shall
expire September 80, 1991.
(2) The other provisions referred to in paragraph (1) are as
follows:
(A) section 3(7) of the Congressional Budget and Impound-
ment Control Act of 1974 and the second sentence of section
3(6) of such Act (as added by section 201(aX1) of this joint
resolution);
(B) sections 301(0 and 304(b) of the Congressional Budget
Act of 1974 and the portion of section 311(a) of such Act
which begins with "or, in the Senate" and ends with "para-
graph (2) of such subsection)" (as added by section 201(b) of
this joint resolution);
(C) sections 1105(0 and 1106(c) of title 31, United States
Code (as added by sections 241(b) and 242(b) of this joint
resolution); and
(D) section 271(b) of this joint resolution.
(c) OASDI Tam Fums.?The amendments made by part D shall
apply as provided in such part.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.
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