Regulations / Balanced Budget and Emergency Deficit Control Act of 1985.txt
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balanced budget and emergency deficit control act of 1985 2 us e 901 note leon klinghoffer as well as those countries and groups that aid and abet such terrorist activities and take the strongest measures to ensure that those responsible for this brutal act against an american citizen are brought to justice title iideficit reduction procedures sec 200 short title and table of contents (a) short titlethis 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 acongressional budget process subpart icongressional budget sec 201 congressional budget subpart iiamendments 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; offbudget agencies; member user group subpart iiiadditional provisions to improve budget procedures sec 221 congressional budget office sec 222 current services budget for congressional budget purposes sec 223 study of offbudget 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 ivtechnical and conforming amendments sec 231 table of contents sec 232 additional technical and conforming amendments part bbudget submitted by the president sec 241 submission of presidents budget; maximum deficit amount may not be exceeded sec 242 supplemental budget estimates and changes part cemergency powers to eliminate deficits 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 dbudgetary treatment of social security trust funds sec 261 treatment of trust funds part emiscellaneous 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 public law 99177dec 12 1985 99 stat 1039 part acongressional budget process subpart icongressional budget sec 201 congressional budget (a) definitions (1)section 3 of the congressional budget and impoundment 2 usc 622 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 ante p 1038 purposes of sections 251 and 252 of such act (notwithstanding post pp 1063 section 710(a) of the social security act) for any fiscal year the 42 use 911 receipts of the federal oldage 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 26 usc 1401 fiscal year shall be included in total revenues for such fiscal oi m 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 my other provision of law except to the extent provided by section 710(a) of the social security act the receipts revenues disbursements budget authority 42 use 9ii and outlays of each offbudget 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 $171900000000; (b) with respect to the fiscal year beginning october 1 1986 $144000000000; (c) with respect to the fiscal year beginning october 1 1987 $108000000000; (d) with respect to the fiscal year beginning october 1 1988 $72000000000; (e) with respect to the fiscal year beginning october 1 1989 $36000000000; and (f) with respect to the fiscal year beginning october 1 1990 zero (8) the term offbudget federal entity means any entity (other than a privatelyowned governmentsponsored 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 99 stat 1040 public law 99177dec 12 1985 (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 infra title iii of this act (9) the term entitlement authority means spending author post p 1056 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 use 622 (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 qa) congressional budget processtitle iii of the congressional budget act of 1974 is amended to read as follows: title mcongressional budget process timetable 2 us e 631 sec 300 the timetable with respect to the congressional budget process for any fiscal year is as follows: on or before: action to be completed: president of us first monday after january 3 president submits his budget report february 15 congressional budget office submits report to budget gdrnmittees february 25 committees submit views and estimates to budget committees report april 1 senate budget committee reports concurrent resolution on the budget april 15 congress completes action on concurrent resolution on the budget may 15 annual appropriation bills may be considered in the house report june 10 house appropriations committee reports last annual appropriation bill june 15 congress completes action on reconciliation legislation june 30 house completes action on annual appropriation bills october 1 fiscal year bins annual adoption of concurrent resolution on the budget 2 us e 632 sec 301 (a) content of concurrent resolution on the budgeton 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 appropriate committees; public law 99177dec 12 1985 99 stat 1041 (3) the surplus or deficit in the budget; (4) new budget authority budget outlays direct loan obligations 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 resolutionthe 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 emplojmaent 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 representatives if the committee on the budget of the house of representatives 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 (jommittee 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 committeeson or before february 25 of each year each committee of the house of representatives 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 appropriate to the goals of the emplo)rment 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 reportin developing the concurrent resolution 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 appropriate representatives of federal departments suid agencies the 15 use 1022a post p 1053 reports report 15 use 1021 note 99 stat 1042 public law 99177dec 12 1985 reports report taxes state and local governments post p 1044 15 use 1022a president of us report general public and national organizations as the committee deems desirable each of the recommendations as to shortterm and mediumterm 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 obligations total primary loan guarantee commitments as set forth in such concurrent resolution with those estimated or requested in the budget submitted by the president; (3) with respect to each major functional category an estimate of budget outlays and an appropriate level of new budget authority for all proposed programs and for all existing programs (including renewals thereof) with the estimate and level for existing programs being divided between permanent authority 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 recommended 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 estimated levels of total budget outlays and total new budget authority the estimated revenues to be received and the estimated 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 determined each of the matters set forth in the concurrent resolution; and (9) allocations described in section 302(a) (f) achievement of goals for reducing unemployment (1) 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 fiveyear 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 public law 99177dec 12 1985 99 stat 1043 (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 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 (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 ex)nomic assumptionsthe 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 committeesthe committee on the budget of the house of representatives shall consult with the committees of its house having legislative jurisdiction 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 (ixa) 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 to such a concurrent 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 resolution 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 federal revenues for that fiscal year by an amount that is greater than the maximum deficit amount for such fiscal year as determined under section 3(7) (b) in the house of representatives the point of order established 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 amendments in a senate amendment the stage of disagreement having been reached may be waived only by a vote of three report 15 usc 1022a 15 use 1022 1022a report ante p 1039 99 stat 1044 public law 99177dec 12 1985 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 2 use 633 sec 302 (a) allocation of 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 entitlement 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 (mandatory 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 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 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 ot)) reports by committeesas 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 allocation 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 resolution 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 smiong programs over which it has jurisdiction and (b) further subdivide the amount with respect to each subcommittee or program between controllable amounts and all other amounts each such committee shall promptly report to its house the subdivisions made by it pursuant to this subsection public law 99177dec 12 1985 99 stat 1045 (c) point of orderit 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 authority for a fiscal year; (2) new spending authority as described in section 401(cx2) post p 1056 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 imless 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 resolutionsin the cise of a concurrent resolution on the budget referred to in section 304 the post p 1047 allocations under subsection (a) and the subdivisions under subsection (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 of allocationsat any time after a committee report reports the allocations required to be made under subsection ot) 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 committees jurisdiction (f) legislation subject to point of order (1) in the house of representativesafter 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 entitlement 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 the appropriate allocation made pursuant to subsection (b) for such fiscal year of new discretionary budget authority new entitlement authority or new credit authority to be exceeded (2) in the senateat 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 ante p 1040 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 subsection (b) in connection with the most recently agreed to concurrent resolution on the budget for such fiscal year (g) determinations by budget committeesfor purposes of this section the levels of new budget authority spending authority as described in section 401(cx2) outlays and new credit authority post p 1056 for a fiscal year shall be determined on the basis of estimates made 99 stat 1046 public law 99177dec 12 1985 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 pubuc debt umit is considered 2 use 634 sec 303 (a) in generalit 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 ante p 1040 has been agreed to pursuant to section 301 qo) exceptionssubsection (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 reports (1) the committee of the senate which reports any bill or resolution (or amendment thereto) to which subsection (a) applies 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 committees recommendations and reasons for such recommendations with respect to the resolution if the committee does not report the resolution within such 10day 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 public law 99177dec 12 1985 99 stat 1047 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 controlled 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 permissible revisions of concurrent resolutions on the budget sec 304 (a) in generalat any time after the concurrent 2 use 635 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 ante p 1040 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) maximum deficit amount may not be exceededthe 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 of representatives after 2 use 636 report of committee; debate (1) 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 sundays and legal holidays) following the day on which the report upon such resolution by the 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 thougha previous motion to the same effect has been disagreed to) to move to proceed to the consideration of the concurrent resolution the motion is highly privileged and is not debatable an amendment to the motion is not in order and it is not in order ante p 1040 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 99 stat 1048 public law 99177dec 12 1985 the concurrent resolution is not in order and it is not in order to move to reconsider the vote by which the concurrent resolution 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 in sections 3(a)(2) and 4(b) of the 15 use 1022 full employment act of 1946) which the estimates amounts 1022a and levels (as described in section 301(a)) set forth in such ante p 1040 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 amendment under the fiveminute rule in accordance with the applicable 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 (notwithstanding any other rule or provision of law) to adopt an amendment (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 conference report is not in order and it is not in 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 application 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; debate; amendments (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 ante p 1047 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 public law 99177dec 12 1985 99 stat 1049 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 concurrent 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 15 use 1022 section 301(a)) set forth in such resolution are designed to i022a achieve shall it be in order to offer to such resolution an p 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) a motion to further limit debate is not debatable a motion to recommit (except a motion to recommit with instructions to report back within a specified number of days not to exceed 3 not counting any day on which the senate is not in session) is 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 manager of the concurrent resolution (6) notwithstanding any other rule an amendment or series of amendments to a concurrent resolution on the budget proposed 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 senate (1) the conference report on any concurrent resolution on the budget shall be in order in the nate at any time after the third day (excluding saturdays sunda3rs and lal 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 99 stat 1050 public law 99177dec 12 1985 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 onehalf 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 conference 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 disagreement 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 committeeif 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 disagreement 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 report (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 report (2) a conference report in disagreement if the matter in disagieement is an amendment which strikes out the entire text of the concurrent resolution and inserts a substitute text (e) concurrent resolution must be ck)nsistent in the senateit 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 consistent; or report (2) a conference report on a concurrent resolution on the budget unless the figures contained in such resolution as recommended in such conference report are mathematically consistent legislation deaung with congressional budget must be handled by budget committees 2 use 637 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 public law 99177dec 12 1985 99 stat 1051 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 house committee action on all appropriation bills to be completed by june 10 sec 307 on or before june 10 of each year the committee onappropriations of the house of representatives shall report annualappropriation bills providing new budget authority under the jurisdiction of all of its subcommittees for the fiscal year which begins on october 1 of that year report 2 usc 638 reports summaries and projections of congressional budget actions sec 308 (a) reports on legislation providing new budget 2 use 639 authority new spending authority or new credit authority or providing an increase or decrease in revenues or tax 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 appropriations) new spending authority described in section 401(c)(2) or new credit authority or providing an increcise or decrease in revenues or tax expenditures for a fiscal year the report accompanying that bill or resolution shall contain a statement or the committee shall make available such a statement in the case of post p 1056 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 appropriate allocations in the reports submitted under section 302(b) for the most recently agreed to concurrent resolutionon the budget for such fiscal year; ante p 1044 (b) including an identification of any new spending authority described in section 401(c)(2) which is contained in such measure and a justification for the use of such financing method instead of annual appropriations; (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 revenues tax expenditures direct loan obligations or primary loan guarantee commitments under existing law for such fiscal year and each of the four ensuing fiscal years if timely submitted before such report is filed; and (d) containing an estimate by the congressional budgetoffice of the level of new budget authority for assistance tostate 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 disagreement or any amendment contained in the joint statement of managers to be proposed by the conferees in the case of technical disagreement on such bill or resolution provides new budget authority (other than continuing appropriations) new spending authority described in section 401(c)(2) or new credit state and local governments 99 stat 1052 public law 99177dec 12 1985 authority or provides an increase or decrease in revenues for a fiscal year the statement of managers accompanying such conference report shall contain the information described in paragraph (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) uptodate 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 tabulating the progress of congressional action on bills and resolutions providing new budget authority new spending authority de post p 1056 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 uptodate tabulation comparing the appropriate aggregate and functional levels (including outlays) included in the most recently 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 (bxd; and (c) shall be based on information provided under subsection (b)(1) without substantive revision the chairman of the committee on the budget of the house of representatives shall submit such reports to the speaker (c) fiveyear projection op 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; taxes (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 2 use 640 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 days during the month of july until the public law 99177dec 12 1985 99 stat 1053 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 reconciuation directives in 2 use 641 concurrent resolutions on the budgeta concurrent resolution 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; (b) budget authority initially provided for prior fiscal years; (c) new entitlement authority which is to become effective 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 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 described in paragraphs (1) (2) and (3) (b) legislative procedureif a concurrent resolution containing 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 directedto determine and recommend changes that committee shall promptly make such determination and recommendations and report to its house reconciliation legislation containing such recommendations; or report (2) more than one committee of the house or the senate isdirected to determine and recommend changes each such committee so directed shall promptly make such determination and recommendations and submit such recommendations to the report 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 representatives or the secretary of the senate as the case may be to make specified changes in bills and resolutions which have not been enrolled 99 stat 1054 public law 99177dec 12 1985 (c) compliance with reconciliation directionsany committee 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 (l)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 paragraphs (1) and (2) of such subsection (d) limitation on amendments to reconciliation bills and resolutions (1) it shall not be in order in the house of representatives to consider any amendment to a reconciliation bill or reconciliation 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 resolution (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 authority 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 specific budget outlay reductions below the level of such outlay reductions provided (for the fiscal years covered) in the reconciliation 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 public law 99177dec 12 1985 99 stat 1055 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 (1) except as provided in paragraph (2) the provisions of section 305 for the consideration in the senate of concurrent ante p 1047 resolutions on the budget and conference reports thereon shall also apply to the consideration in the senate of reconciliation bills reported under subsection qji) 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 (f) completion of reconciliation process (1) in generalcongress shall complete action on any congress reconciliation bill or reconciliation resolution reported under subsection (b) not later than june 15 of each year (2) point of order in the house of representativesit 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 reconciliation 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 ante pp 1044 304 or a resolution pursuant to section 2540t)) of the balanced 1047 budget and emergency deficit control act of 1985 or any amend p ment thereto or conference report thereon that contains recommendations with respect to the oldage survivors and disability insurance program established under title ii of the social security act 42 use 401 new budget authorffy new spending authority and revenue legislation must be within appropriate levels sec 311 (a) legislation subject to point of orderexcept as 2 use 642 provided by subsection (h after the (dongress has completed action 99 stat 1056 public law 99177dec 12 1985 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 concurrent 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 ante pp 1039 3(7) (except to the extent that paragraph (1) of section 301(i) or 1040 section 304(b) as the case may be does not apply by reason of ante p 1047 paragraph (2) of such subsection) (b) exception in the house of representativessubsection (a) shall not apply in the house of representatives to any bill resolution 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 ante p 1044 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 levelsfor purposes of this section the levels of new budget authority budget outlays new entitlement authority and 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 subpart iiamendments to title iv of the congressional budget act of 1974 sec 211 new spending authority 2 use 651 section 401 of the congressional budget act of 1974 is amended to read as follows: bills providing new spending authority sec 401 (a) controls on legislation providing spending authorityit 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 (c)(2) (a) or (b) (or any amendment which provides such new spending authority) unless that bill resolution conference report or amendment also provides public law 99177dec 12 1985 99 stat 1057 that such new spending authority as described in subsection (cx2) (a) or (b) is to be effective for any fisccd year only to such extent or in such amounts as are provided in appropriation acts (b) legislation providing entitlement authority (1) it shall not be in order in either the house of representatives 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 authority) 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 spending authority described in subsection (cx2xc) which is to become effective during 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 appropriations of that house with instructions to report it with the committees recommendations within 15 calendar days (not counting any day on which that house is not in session) beginning with the day following the day on which it is 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 15day period the committee shall automatically be discharged from further consideration of such bill or resolution and such bill or resolution shall be placed on the appropriate calendar ante p 1044 (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 biu or resolution (c) 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 authority 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 incurred under chapter 31 of title 31 of the united states code) for the repayment of which the united states isliable the budget authority for which is not provided inadvance by appropriation acts; 31 usc 3101 etseq (c) to make pa3nnents (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 99 stat 1058 public law 99177dec 12 1985 persons or governments who meet the requirements established 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 (d) 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 42 use 1305 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 (transferred 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 26 use 1 et seq 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 31 use 6702 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 corporation (a) the outlays resulting therefrom are made by an organization which is (i) a mixedownership government corporation (as defined in section 201 of the government 31 use 9101 corporation control act) or (ii) a wholly owned govern 31 use 9101 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 gifts and (b) the outlays resulting therefrom consist exclusively of property the proceeds of gifts or bequests made to the united states for a specific purpose sec 212 credit authority 2 use 652 section 402 of the congressional budget act of 1974 is amended to read as follows: legislation providing new credit authority sec 402 (a) controls on legislation providing new credit authorityit 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 or any amendment which public law 99177dec 12 1985 99 stat 1059 provides new credit authority described in subsection (bxl) 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 appropriation acts (b) definitionfor 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 213 description by congressional budget office (a) congressional budget office analysissection 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 amendmentthe 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; offbudget agencies; member 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 provisions of law which provide spending authority as described by section 401(cx2) and which provide 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 offbudget agencies programs and acnvities 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 offbudget immediately prior to the date of enactment of this section not including activities of the federal oldage 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 authority in accordance with definitions set forth in this act (b) all receipts and disbursements of the federal financing bank math respect to any obligations which are issued sold or guaranteed by a federal agency shall be treated as a means of financing such ante p 1039 2 use 653 report 2 use 654 ante p 1056 2 use 655 post p 1063 ante pp 1040 1047 banks and banking 99 stat 1060 public law 99177dec 12 1985 98 stat 2324 agency for purposes of section 1105 of title 31 united states code and for purposes of this act member user group 2 use 656 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 iiiadditional provisions to improve budget procedures sec 221 congressional budget office 2 use 602 (a) reporting datesection 202(fkl) 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 qa) additional reporting requirementsection 202(f) of such act is further amended by adding at the end thereof the following new paragraph: report (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) studiessection 202 of such act is further amended by adding at the end thereof the following new subsection: (h) studiesthe director shall conduct continuing studies to enhance comparisons of budget outlays credit authority and tax expenditures sec 222 current services budget for congressional budget purposes (a) current services budgetthe first sentence of section 1109(a) of title 31 united states code is amended by striking out before november 11 of each year and inserting in lieu thereof on or before the first monday after january 3 of each year (on or before february 5 in 1986) oa) joint economic committee reviewsection 1109(b) of title 31 united states code is amended by striking out january 1 and inserting in lieu thereof march 1 sec 223 study of offbudget agencies repeal section 606 of the congressional budget act of 1974 is repealed 2 use 661 sec 224 changes in functional categories section 1104(c) of title 31 united states code is amended by adding at the end thereof the following new sentence: committees public law 99177dec 12 1985 99 stat 1061 of the house of representatives and senate shall receive prompt notification of all such changes sec 225 jurisdiction of committee on government operations clause l(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 offbudget treatment of federal agencies 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: (i) the committee on rules shall have the function of reviewing report and studying on a continuing bsisis the congressional budget process and the committee shall from time to time report its findings and recommendations to the house sec 227 early election of committees of the house clause 6(a)(1) of rule x of the rules of the house of representatives 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) rescissionsclause 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) transfersclause 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 ivtechnical 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 iiicongressional 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 congressional budget actions sec 309 house approval of regular appropriation bills 99 stat 1062 public law 99177dec 12 1985 sec 310 reconciliation sec 311 new budget authority new spending authority and revenue legislation must be within appropriate levels sec 232 additional technical and conforming amendments (a) table of contentsthe 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 inserting 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 offbudget agencies programs and activities sec 407 member user group ; and (3)by striking out the item relating to section 606 2 use 622 0) technical amendmentparagraph (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 subparagraph (a); (2)by striking out subparagraph (b); and (3) by redesignating subparagraph (c) as subparagraph (b) (c) technical amendmentsubparagraph (2) of clause 40) 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 amendmentclause 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 amendmentclause 2(1)(1) of rule xi of the rules of 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) technical amendmentclause 2(1)(3)(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(c)(2) of such act new credit authority or an increase or decrease in revenues or tax expenditures (g) technical amendmentrule 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 amendmentclause 1(e)(2) 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 2540t)) of the balanced budget and emergency deficit control act of 1985 public law 99177dec 12 1985 99 stat 1063 part bbudget submitted by the president sec 241 submission of presidents budget; maximum deficit amount may not be exceeded (a) submission of presidents budgetthe first sentence of section 1105(a) of title 31 united states code is amended by strik 98 stat 2324 ing out during the first 15 days of each regular session of congress 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) 03) maximum deficit amount may not be exceededsection 1105 of title 31 united states code is amended by adding at the end thereof the following new subsection: (f)(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 ante p 1039 (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 congressional 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 supplemental budget estimates and changes (a) change in date of submissionthe first sentence of section ll()6(b) of title 31 united states code is amended by striking out april 11 and (b) revisions and supplemental summariessection 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 supra 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 cemergency powers to eliminate deficits in excess of maximum deficit amount sec 251 reporting of excess deficits 2 usc 901 (a) initial estimates determinations and report by om b and cbo ( 1) estimates and determinationsthe 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 99 stat 1064 public law 99177dec 12 1985 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 $10000000000 (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 preceding fiscal year (2) reportthe 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 $10000000000 (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 $10000000000 or zero in the case of fiscal years 1986 and 1991) by account for nondefense programs 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 accordance with the succeeding provisions of this part in order to eliminate such excess (3) determination of reductionsthe amounts and percentages by which such accounts must be reduced during a fiscal year shall be determined as follows: (a)(i) if the deficit excess for the fiscal year is greater than $10000000000 (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 (i)shall be multiplied by seven twelfths before being divided into halves in accordance with clause (i) and (ii)shall not exceed $11700000000 (b) subject to the exemptions exceptions limitations special rules and definitions set forth in this section and in post pp 1082 sections 255 256 and 257 the reductions necessary to 10861092 eliminate onehalf of the deficit excess for the fiscal year (as adjusted under subparagraph (a)(ii) in the case of fiscal year 1986) shall be made in outlays under accounts within major functional category 050 (in this part referred to is outlays under defense programs) and the reductions necessary 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 federal government (in this part referred to as outlays under nondefense programs) public law 99177dec 12 1985 99 stat 1065 (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 reduced (i) to zero (a uniform percentage reduction of 100 percent) or (ii) by a uniform percentsige reduction of less than 100 percent calculated in a manner to reduce total outlays for the fiscal year by onehalf 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 onehalf 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 attributable to programs specified in subparagraph (a) of section 257(1); and (ii) an amount equal to the outlay reductions attributable to prcams specified in subparagraph (b) of section 257(1) (exi) for purposes of subparagraph (b) onehalf 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 emiount of reductions in outlays under defense programs required under subparagraph (b) shall be reduced accordingly (ii) sequestration of new budget authority and unobligated balances to achieve the remaining reductions in outlays under defense programs required under subparagraph (b)shall be determined is provided in subsection (d) (fxi) for purposes of subparagraph (b) (i) onehalf of the amount of the reductions determined under clause (i) of subparagraph (d) and (ii)the amount of the reductions determined under clause (ii) of subparagraph (d) shall be credited is reductions in outlays under nondefense programs and the total amount of reductions in outlays under nondefense programs required under subparagraph (b)shall be reduced accordingly (ii) the maximum reduction permissible for each program 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 nondefense programs required under subparagraph (b)shall be reduced by the amount of the reduction determined with respect to each such program (iiixd 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 nondefense programs required under subparagraph (b) post p 1092 defense and national security post p 1086 99 stat 1066 public law 99177dec 12 1985 ante p 1056 post p 1072 report post p 1092 post p 1086 shall be reduced by the amount of the maximum reductions so determined (ii)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 programs by an amount in excess of the remaining amount of the reduction in outlays in nondefense programs required under subparagraph (b) outlays for such programs shall instead be reduced proportionately by such lesser percentage as will achieve such remaining required reductions (iv)(i) sequestrations and reductions under the remaining nondefense 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 (ii) 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 functional category 050 and which are not for purposes of subparagraph (b) shall be made by the directors in a manner consistent 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 (58010001999) and federal emergency management agency emergency management planning and assistance (58010101999) shall be treated as being within functional category 050 (4) additional specificationsthe 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 (3)(a)(ii) 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 increases under programs listed in subparagraph (a) of section 257(1) and increases under programs listed in subparagraph (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 public law 99177dec 12 1985 99 stat 1067 states under section 204 of the federalstate 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 nondefense 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 specificationsthe estimates determinations and specifications of the directors under the preceding provisions of this subsection and under subsection (cxd 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 avergige their differences to the extent necessary 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) budget basein computing the amounts and percentages by which accounts must be reduced during a fiscal year as set forth in any report required under this subsection for such fiscal year the budget base shall be determined by (a) assuming (subject to subparagraph (c)) the continuation of current law in the case of revenues and spending authority as defined in section 401(cx2) of the congression budget act of 1974; (b) assuming in the case of all accounts to which subparagraph (a) does not apply appropriations equal to the prior years 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 federsd pay adjustments for statutory pay systems (i) will be as recommended by the president but (ii) will in no 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 financing administration pursuant to sections 1886(bx3xb) 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 26 use 3304 note defense and national security ante p 1056 post pp 1082 1086 1092 ante p 1056 98 stat 1075 42 use 1395ww 2 use 684 99 stat 1068 public law 99177dec 12 1985 such fiscal year (or the date of the enactment of this joint resolution in the case of fiscal year 1986) and ending with the post p 1072 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 general (1) report to be based on ombcbo reportthe 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 conclusions 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 identifying the amount of any deficit excess for such fiscal year (adjusted in accordance with subsection (a)(3)(a)(ii) 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 $10000000000 (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 economic growth and specifying (if the excess is greater than $10000000000 or zero in the case of fiscal years 1986 and 1991) by account for nondefense programs 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 post pp 1082 forth in subsection (a)(6) and in sections 255 256 and 257 10861092 (2) contents of reportthe report of the comptroller general under this subsection shall (a)provide for the determination of reductions in the manner specified in subsection (a)(3); 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 estimates determinations and reports (1) report by omb and cboon 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 submission of their initial report under subsection (a) the excess deficit (adjusted in accordance with subsection (ax3xaxii) in the case of fiscal year 1986) identified in the report public law 99177dec 12 1985 99 stat 1069 submitted under such subsection has been eliminated reduced or increased and (b)adjusting the determinations made under subsection (a)to the extent necessary the revised report submitted under this paragraph shall contain estimates determinations and specifications for all of the items contained in the initial report and authorized under subsection (d)(3)(d)(i) and shall be based on the same economic and technical assumptions 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 (6)(d)(i) of such subsection shall not apply) and shall provide for the determination of reductions in the manner specified in subsection (a)(3) (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 subsection (b) adjusting the estimates determinations and specifications 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 reductions as specified in subsection (a)(3) and shall contain all of the estimates determinations and specifications required (in the case of the report submitted under subsection 0)) pursuant to subsection ot))(2xb) (d) sequestration of defense programs (1) determination of uniform percentagethe total amount of reductions in outlays under defense programs required 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 unobugated 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 balances 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 available 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 balances is not available for any program project or activity 99 stat 1070 public law 99177dec 12 1985 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 program project or activity means (i)the ratio of outlays resulting in the fiscal year involved from new budget authority for such program 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 (i) and (ii) of clause (i) for such program project or activity (3) sequestration from national defense accounts through termination or modification of existing contracts (axi) subject to the provisions of this paragraph the president with respect to any fiscal year may provide for (i) the termination or modification of an existing contract within any program project or activity within a account within major functional category 050; and (ii) 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 parsigraph (2xb) (ii) the remaining required outlay reductions in such program project or activity shall be achieved by sequestering new budget authority and unobligated balances based upon the combined outlay rate for such program project or activity determined under paragraph (2)(b) president of us (b) not later than september 5 of the calendar year in report 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 public law 99177dec 12 1985 99 stat 1071 (i)identify the contracts proposed to be terminated or contracts modified and the proposed date of termination or modification 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 explanation of the relationship between the obligated balances 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 contract 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 balances is reasonable (d)(i) in the case of a fiscal year other than fiscal year report 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 clause (ii) of such subparagraph) shall be included in the report of the directors under subsection (c)(1) the report shall include the information about each such contract described in subparagraph (b)(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(a)(6)(d)(iii) in the order issued by the president under post p 1072 section 252(a)(1) with respect to fiscal year 1986 (iii)the authority of the president described in subparagraph (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 subparagraph (c) is not affirmative (with respect to both clause (i) and clause (ii) of such subparagraph) (e) for any contract termination or modification proposed pursuant to this paragraph the president shall certify 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 99 stat 1072 public law 99177dec 12 1985 infra federal register publication 2 use 902 report ante p 1063 post pp 1082 1086 1092 2 us e 621 note ante p 1056 ante p 1063 (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 greneral 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 of reportseach report submitted under this section shall be printed in the federal register on the date it is issued; and the reports of the comptroller general submitted to the congress under subsections (b) and (cx2) shall be printed as documents of the house of representatives and the senate (g) exceptionthe preceding provisions of this section shall not apply if a declaration of war by the congress is in effect sec 252 presidential order (a) issuance of initial order (1) in generalon september 1 following the submission of a report by the comptroller general under section 251(b) which identifies an amount greater than $10000000000 (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 11986 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 definitions 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 obligations 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 appropriation acts and accompanying committee reports for the progrgmi project or activity involved including joint resolutions providing continuing appropriations and committee reports accompanying acts referred to in such resolutions) appljdng the same reduction percentage as the percentage by which the account involved is reduced in the report submitted under section 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 public law 99177dec 12 1985 99 stat 1073 the program and financing schedules contained in the appendix to the budget of the united states government 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 generalnotwithstanding subparagraph (b)(i) of paragraph (1) the order issued by the president under paragraph (1) with respect to fiscal year 1986 shall sequester from each program project or activity within an account within major functional category 050 such amounts of new budget authority and unobligated balances as are specified (in accordance with section 251(a)(3)(e)(ii)) in the ante p 1063 report submitted by the comptroller general under section 251(b) (b) flexibility with respect to miutary personnel accounts (i)notwithstanding subparagraph (b)(i) 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 percentage sequestration of new budget authority and unobligated 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) ante p 1063 (iii) the president may not use the authority provided 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 activities 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 paragraph (1) for fiscal year 1986 subject to clauses (ii) and (iii) of this subparagraph by up to two times the 99 stat 1074 ante p 716 ante p 1063 ante p 1063 post p 1092 president of us ante p 1063 public law 99177dec 12 1985 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 program 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 functional 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 applicable to the program project or activity (determined after any reduction under subparagraph (b)) (3) order to be based on comptroller generals 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 specifications 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 account with the exception of the authority granted to the president for fiscal year 1986 with respect to defense programs pursuant to paragraph (2xc) (4) effect of sequestration under infital ordernotwithstanding 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 messageat the time the actions described in the preceding provisions of this subsection with respect 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 id) (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 program project and activity or budget account activity; and (b) such other supporting details as the president may determine to be appropriate public law 99177dec 12 1985 99 stat 1075 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 jurisdiction over programs projects and activities affected by the order (6) effective date of initial order (a) fiscal year 1986the order issued by the president under paragraph (1) with respect to the fiscal year 1986 shall be effective as of march 11986 (b) fiscal years 19871991the 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 1986notwithstanding 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 otherwise 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 lumpsum payments 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 19871991notwithstanding any other provision of law any automatic spending increase that would (but for this clause) be first 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 suspended 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 president of us 99 stat 1076 ante p 1063 public law 99177dec 12 1985 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 lumpsum payments 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) prohibition against recoupmentnotwithstanding 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 lumpsum payments on needsrelated programslumpsum payments made under the last sentence of clause (i) or clause (ii) shall not be considered 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 federallyassisted program which conditions such eligibility 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 assistance 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 (i) 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 consultation with each other define the term program project and activity and report to their respective houses with respect to matters within their jurisdiction and the order issued by the president shall sequester funds in accordance with such definition (ii) if the comptroller general declares in the report issued under section 251(b) 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(a)(3)(a)(ii) 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 (c)(i) 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 subparagraph (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)(3)(d)(ii) (b) issuance of final order public law 99177dec 12 1985 99 stat 1077 (1)in generalon october 15 of the fiscal year (except in president of us the case of the fiscal year 1986) after the submission of the te p 1063 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 greneral in the revised report submitted under ifnh 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 if excess deficit is euminatedif the report 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 cise 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 (axd( 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 oneyear 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 the presidenta 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 msiximum deficit amount for such fiscal year (d) existing programs projects and activities not to be prohibition euminatedno action taken by the president under subsection (a) 99 stat 1078 public law 99177dec 12 1985 or (b) of this section shall have the effect of eliminating any program project or activity of the federal government prohibition (e) relative budget priorities not to be alterednothing in the preceding provisions of this section shall be construed to give the president new authority to alter the relative priorities in the federal 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 2 use 903 sec253 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 ante p 1072 the extent to which the presidents 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 2 use 904 sec 254 congressional action (a) special procedures in the event of a recession (1) in generalthe 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 notification 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 immediately 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(a)(1) of the balanced budget and emergency deficit control act of 1985 are met; and (1) the provisions of sections 3(7) 301(i) 302(f) 304(b) and 311(a) of the congressional budget and ante pp 1039 impoundment control act of 1974 section 1106(c) of 104010441047 title 31 united states code and part c of the balanced ante p 1063 budget and emergency deficit control act of 1985 are ante p 1063 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 public law 99177dec 12 1985 99 stat 1079 1974 sections 302(f) and 311(a) (except insofar as it ante pp 1044 relates to section 3(7)) of that act (but only if a concur 1055 rent resolution on the budget under section 301 of that j pfract for the fiscal year following the current fiscal year p has been agreed to prior to the introduction of this joint resolution) sections 1105(f) and 1106(c) of title 31 united states code and part c of the balanced budget ante p 1063 and emergency deficit control act of 1985 are susnte p 1063 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 2520)) of the balsuiced budget and emergency deficit control act of 1985 if such order was issued before ante p 1072 the date of the enactment of this joint resolution (b) the title of the joint resolution shall be joint resolution suspending certain provisions of law pursuant to section 254(ax2) of the balanced budget and emergency deficit control act of 1985 ; and the joint resolution shall not ante p 1078 contain any preamble (3) committee actioneach 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 consideration 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 is practicable (bxi) a motion in the house of representatives to proceed to the consideration of a joint resolution under this paragraph shall be highly privileged and not debatable an 99 stat 1080 public law 99177dec 12 1985 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 resolution a motion to postpone made in the house of representatives 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 subparagraph shall be governed by the rules of the house of representatives (cxi) a motion in the senate to proceed to the consideration 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 reconciuation bills and resolutions in the senate (a) committee alternatives to presidential order within two days after the submission of a report by the public law 99177dec 12 1985 99 stat 1081 comptroller general under section 251(c)(2) each standing ante p 1063 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 ante p 1040 with respect to alternatives to the order envisioned by such report insofar as such order affects laws within the jurisdiction of the committee (b) initial budget committee actionnot later than report two days after issuance of a final order by the president under section 252(b) with respect to a fiscal year the ante p 1072 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 ante p 1053 level of deficit reduction contained in those sections which are not affirmed (c) response of committeescommittees 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 subparagraph (b) is agreed to except that if only one such committee 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 recommendations with respect to matters within its jurisdiction which would result in a reduction in the deficit at least equal to the total reduction directed by such instructions (d) budget committee actionupon receipt of the recommendations received in response to a resolution referred to in subparagraph (b) the budget committee shall report to the senate a reconciliation bill or reconciliation resolution or both carrying out all such recommendations without any substantive revisions in the event that a committee 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 reconciliation resolution reported pursuant to this subparagraph legislative language within the jurisdiction of the noncomplying committee to achieve the amount of deficit reduction directed in such instructions (e) point of orderit 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 reported; 99 stat 1082 public law 99177dec 12 1985 (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 ante p 1063 unless the report submitted under section 251(cxl) projects negative real economic growth for such fiscal year or for each of any two consecutive quarters during such fiscal ; i year (f) treatment of certain amendmentsin 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 consideration 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) definitionfor 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 generalexcept as provided in subparagraph (b) in the senate the provisions of sections 305 and 310 of the ante pp 1047 congressional budget act of 1974 for the consideration of 1053 concurrent resolutions on the budget and conference re ports thereon shall also apply to the consideration of resolutions and reconciliation bills and reconciliation resolutions reported under this paragraph and conference reports thereon (b) limit on debatedebate in the senate on any resolution reported pursuant to paragraph (ixb) and all amendments thereto and debatable motions and appeals in connection therewith shall be limited to 10 hours (c) limitation on amendmentssection 310(dx2) of the ante p 1058 congressional budget act shall apply to reconciliation bills and reconciliation resolutions reported under this subsection (d) bills 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) definitionfor 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 0) 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 2 use 621 note budget act of 1974 2 use 905 sec 255 exempt programs and activities (a) social security benefits and tier i railroad retirement benefitsincreases in benefits payable under the oldage survivors and disability insurance program established under title ii of public law 99177dec 12 1985 99 stat 1083 the social security act or in benefits payable under section 3(a) 3(fx3) 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 part (b) veterans programsthe following programs shall be exempt from reduction under any order issued under this part: veterans compensation (36015301701); and veterans pensions (36015401701) (c) net interestno 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 credftpajmients 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 collectionsoffsetting receipts and collections shall not be reduced under any order issued under this part (f) certain program basesoutlays 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 acnvmes (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 maintenance (89030401271); 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 93454 (1974) as amended (89404503271); bureau of indian affairs miscellaneous trust funds tribal trust funds (14997307999); claims defense (97010201051); claims judgments and relief acts (20189501806); coinage profit fund (20581102803); compensation of the president (11000101802); eastern indian land claims settlement fund (1422020 1806); exchange stabilization fund (20444403155); federal pajmient to the railroad retirement account (60 011301601); foreign military sales trust fund (11824207155); health professions graduate student loan insurance fund (health education assistance loan program) (75430503553); 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 prisonerofwar claims (15010401153); 42 use 401 45 use 231b 231c 26 use 32 post p 1092 ante p 1063 post p 1086 eiaims 16 use 838k president of us 99 stat 1084 ; public law 99177dec 12 1985 payment to civil service retirement and disability fund (24020001805); payments to copyright owners (03517502376); payments to health care trust funds (75058001572); payments to military retirement fund (97004001054); pa3mients to social security trust funds (75040401 571); payments to state and local government fiscal assistance trust fund (20211101851); pajrments to the foreign service retirement and disability fund (11103601153 and 19054001153); payments to trust funds from excise taxes or other re ceipts properly creditable to such trust funds; postal service fund (18402003372); salaries of article iii judges; soldiers and airmens home payment of claims (84 893007705); southeastern power administration operations and maintenance (89030201271); southwestern power administration operations and maintenance (89030301271); tennessee valley authority fund except nonpower programs and activities (64411003999); western area power administration construction rehabilitation operations and medntenance (89506802271); and western area power administration colorado river basins power marketing fund (89445203271) (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 (72434003151); agricultural credit insurance fund (12414003351); biomass energy development (20011401271); check forgery insurance fund (20410903803); community development grant loan guarantees (86 016201451); credit union share insurance fund (25446803371); economic development revolving fund (13440603452); employees life insurance fund (24842408602); energy security reserve (synthetic fuels corporation) (20011201271); exportimport bank of the united states limitation of program activity (83402703155); federal aviation administration aviation insurance revolving fund (69412003402); federsd crop insurance corporation fund (12408503351); federal deposit insurance corporation (51841908371); federal emergency management agency national flood insurance fund (58423603453); federal emergency management agency national insurance development fund (58423503451); federal housing administration fund (86407003371); public law 99177dec 12 1985 99 stat 1085 federal savings and loan insurance corporation fund (82403703371); federal ship financing fund (69430103403); federal ship financing fund fishing vessels (13441703 376); geothermal resources development fund (89020601271); government national mortgage association guarantees of mortgagebacked securities (86423803371); health education loans (75430703553); homeowners assistance fund defense (97409003051); indian loan guarantee and insurance fund (14441003 452); international trade administration operations and administration (13125001376); lowrent public housing loans and other expenses (864098 03604); maritime administration warrisk insurance revolving fund (69430203403); overseas private investment corporation (71403003151); pension benefit guaranty corporation fund (1642040 3601); rail service assistance (69012201401); railroad rehabilitation and improvement financing fund (69441103401); rural development insurance fund (12415503452); rural electric and telephone revolving fund (1242308 3271); rural housing insurance fund (12414103371); small business administration business loan and invest ment fund (73415403376); small business administration lease guarantees revolving fund (73415703376); small business administration pollution control equipment contract guarantee revolving fund (73414703376); small business administration surety bond guarantees revolving fund (73415603376); veterans administration loan guaranty revolving fund (36402503704); veterans administration national service life insurance fund (36813207701); veterans administration servicedisabled veterans insurance fund (36401203701); veterans administration servicemens group life insurance fund (36400903701); veterans administration united states government life insurance fund (36815007701); veterans administration veterans insurance and indemnities (36012001701); veterans administration veterans reopened insurance fund (36401003701); and veterans administration veterans special life insurance fund (36845508701) (h) lowincome programsthe following programs shall be exempt from reduction under any order issued under this part: aid to families with dependent children (75041201609); 99 stat 1086 public law 99177dec 12 1985 child nutrition (12353901605); food stamp programs (12350501605 and 12355001 605); grants to states for medicaid (75051201551); supplemental security income program (75040601609); and women infants and children program (12351001605) (i) identification of programsfor 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 1986appendix 2 us e 906 sec 256 exceptions limitations and special rules (a) effect of reductions and sequestrations (1) reductions in automatic spending increasesnotwithstanding 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 post p 1092 a program listed in section 257(1) that is not taken into account for purposes of determining the amount of an automatic spending increase (if any) under such program for a fiscal year for ante p 1072 which an order is issued under section 252 shall not be taken into account for purposes of determining any automatic spending increase during any fiscal year thereafter (2) sequestrationsany 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 ante p 1056 of 1974) or obligation limitations which is sequestered or re ante p 1072 duced pursuant to an order issued under section 252 is permanently 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 administrative 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 limitation 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 administrative expenses of any program project activity or account which is selfsupporting and does not receive appropriations shall be subject to reduction under a sequester order unless specifically exempted in this joint resolution state and local (3) payments made by the federal government to reimburse governments 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 expenses 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 public law 99177dec 12 1985 99 stat 1087 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 notwithstanding the exemption otherwise granted to such programs under that subsection (c) effect of orders on the guaranteed student loan pro education 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 20 use 1071 issued pursuant to section 252 shall be achieved only from loans p 1072 described in paragraphs (2) and (3) by the application of the measures 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(bx2)(a)(iii) of such act for each of the first four special allowance 20 use 10871 payments for such loan shall be adjusted by reducing such rate by the lesser of (a)040 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 050 percent 20 usc 10871 (d) special rules for medicare program (1) maximum percentage reduction in individual payment amountsthe maximum permissible reduction for the health insurance programs under title xviii of the social security act 42 use 1395 for any fiscal year pursuant to an order issued under section 252 consists only of a reduction of ante p 1072 (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 appucation of reductions (a) in generalexcept as provided in subparagraph (b) if a reduction is made under paragraph (1) in payment amounts pursuant to a sequestration order the reduction shall be applied to payment for services furnished during the effective period of the order for purposes of the previous sentence in the case of inpatient services furnished for an individual the services shall be considered to be furnished on the date of the individuals 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 42 use 1395 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 99 stat 1088 public law 99177dec 12 1985 42 use 1395j 42 use 1395 1395u 98 stat 1093 42 us e 1395gg 42 us e 1395mm ante p 1072 98 stat 1311 1312 42 use 655 658 ante p 1072 42 use 670 state and local governments 98 stat 1167 3296 42 use 674 42 use 670 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 beginning on march 1 1986 and ending on september 30 1986 (3) no increase in beneficiary charges in assignmentrelated casesif a reduction in payment amounts is made under paragraph (1) for services for which payment under part b of title xviii of the social security act is made on the basis of an assignment described in section 1842(b)(3)(b)(ii) in accordance with section 18420t))(6)(b) or under the procedure described in section 1870(f)(1) of such act the person furnishing the services shall be considered to have accepted payment of the reasonable charge for the services less any reduction in payment amount made pursuant to a sequestration order as payment in full (4)no effect on computation of aapccin computing the adjusted average per capita cost for purposes of section 1876(a)(4) 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 programany order issued by the president under section 252 shall accomplish the full amount of any required reduction in expenditures under sections 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 programs 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 section 474 of that act (for such fiscal year) for that portion of the states 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 generalfor purposes of any order issued under section 252 (a)federal pay under a statutory pay system and (b)elements of military pay public law 99177dec 12 1985 99 stat 1089 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) definitionsfor 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 (b)the term elements of military pay means (i)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 ante pp (iii) cadet pay and midshipman pay under section 203(c) of such title 8 stat 2536 (c)the term uniformed services shall have the mean 37 use 203 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 programs1) for purposes of section 252 ante p 1072 (a)any amount paid as regular unemplojrment compensation by a state from its account in the unemployment trust fund (established by section 904(a) of the social security act) 42 use 1104 (b)any advance made to a state from the federal unemployment account (established by section 904(g) of such act) under title xii of such act and any advance appropriated to the 42 use 1321 federal unemployment account pursuant to section 1203 of such 42 use 1323 act and (c) any payment made from the federal employees compensation account (as established under section 909 of such act) 42 use 1109 for the purpose of carrying out chapter 85 of title 5 united states code and funds appropriated or transferred to or other5 use 8501 wise deposited in such account et seg shall not be subject to reduction (2xa) a state may reduce each weekly benefit payment made under the federalstate extended unemplo3nnent (compensation act of 1970 for any week of unemplojrment occurring during any 26 usc 3304 period with respect to which payments are reduced under an order note issued under section 252 by a percentage not to exceed the percentante p 1072 age by which the federal pajrment to the state under section 204 of such act is to be reduced for such week as a result of such order 26 use 3304 (b)a reduction by a state in accordance with subparagraph (a) note shall not be considered as a failure to fulfill the requirements of section 3304(axll) of the internal revenue cllode of 1954 26 use 3304 (i) treatment of mine worker disability ciompensation increases as automatic spending increasesan order issued by the president under section 252 may not result in eliminating or ante p 1072 reducing an increase in disability benefits under the federal mine safety and health act except in the manner provided for automatic 30 use 801 note 99 stat 1090 public law 99177dec 12 1985 ante p 1072 spending increases under section 252(axlxa) and no such increase may pursuant to such section be reduced below zero agriculture and (j) commodity credit corporation agricultural (1) powers and authorities of the commodity credit cor commodities porationthis 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 ante p 1072 time an order has been issued under section 252 shall not be reduced by an order subsequently issued subject to subparagraph (b) after an order is issued under such section for a fiscal year any cash payments made by the commodity credit corporation (i)under the terms of any oneyear contract entered into in such fiscal year and after the issuance of the order; and (ii)out of an entitlement account to any person (including iny producer lender or guarantee entity) shall be subject to reduction under the order (b) 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 reduced in accordance with the same terms and conditions if some but not all contracts applicable to a crop of a commodity have been entered into prior to the issuance of an order under section 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 permissiblenotwithstanding 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 umitationsall 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 public law 99177dec 12 1985 99 stat 1091 (i)uncertainty as to the scope of benefits under any such program is minimized; (ii) any instability in market prices for agricultural commodities resulting from the reduction is minimized; and (iii) normal production and marketing relationships among agricultural commodities (including both contract and noncontract commodities) are not distorted in meeting the criterion set out in clause (iii) of subparagraph (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 commodities 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 decisions (5) no double reductionno 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 ante p 1072 as well to modification or suspension under such order as an automatic spending increase (6) certain authority not to be umitednothing in this joint resolution shall limit or reduce in any way any appropriation that provides the commodity credit corporation with budget authority to cover the corporations net realized losses (k) community and migrant health centers indlan health services and faciuties 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 (75035001550) (b)migrant health centers (75035001550) (c)indian health facilities (75039101551) (d)indian health services (75039001551) (e)veterans medical care (36016001703) 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 governmentappendix (1) treatment of obugated balances (1) in generalexcept as provided in paragraph (2) obligated balances shall not be subject to reduction under an order issued under section 252 ante p 1072 (2) exceptionexisting contracts in major functional cat contracts egory 050 (other than (a) those contracts which include a specified penalty for cancellation or modification by the government 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 reduction in accordance with section 251(dx3) under an order issued ante p 1063 under section 252 (3) definitionfor purposes of this subsection the term existing contracts shall include all military and civilian con 99 stat 1092 public law 99177dec 12 1985 tracts in major functional category 050 which exist at the time ante p 1072 the order involved is issued under section 252 2 use 907 sec 257 definitions for purposes of this title: (1)the term automatic spending increase (except as other ante pp 1082 wise provided in sections 255 and 256) means 1086 (a) increases in budget outlays due to changes in indexes in the following federal programs: black lung benefits (20814407601); central intelligence agency retirement and disabil ity system fund (56340001054); civil service retirement and disability fund (2481350 7602); comptrollers general retirement system (05010701 801); foreign service retirement and disability fund (19 818607602); judicial survivors annuities fund (10811007602); longshoremens and harborworkers compensation benefits (16997107601); military retirement fund (97809707602); national oceanic and atmospheric administration retirement (13145001306); pensions for former presidents (47010501802); railroad retirement tier ii (60801107601); retired pay coast guard (69024101403); retirement pay and medical benefits for commis sioned officers public health service (75037901551); special benefits federal employees compensation act (16152101600); special benefits for disabled coal miners (75040901 601); and tax court judges survivors annuity fund (23811507 602); and (b)increases in budget outlays due to changes in indexes in the following federal programs: 7 use 1781 note national wool act (12433603351); special milk program (12350201605); and vocational rehabilitation (91030101506) 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 1986appendix (2)the terms budget outlays and budg:et authority have the meaning given to such terms in sections 3(1) and 3(2) respectively of the congressional budget and impoundment 2 use 622 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 ante p 1039 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 public law 99177dec 12 1985 99 stat 1093 year determined under section 3(7) of the congressional budget and impoundment control act of 1974 ante p 1039 (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 ante p 1072 authority unobligated balances obligated balances new loan guarantee commitments new direct loan obligations and spending authority as defined in section 401(cx2) of the congressional budget act of 1974 and the reduction of obligation ante p 1056 limitations (8)the term account means an item for which appropriations 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 presidents budget part dbudgetary treatment of social security trust funds sec 261 treatment of trust funds (a) fiscal years 1986 through 1992 (1) in generalsection 710 of the social security act (as 42 use 9ii 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 ()); (e)by inserting immediately after the section designation the following: (a) the receipts and disbursements of the federal oldage and taxes survivors insurance trust fund and the federal disability insurance trust fund and the taxes imposed under sections 1401(a) 3101(a) and 3111(a) of the internal revenue code of 1954 shall not 26 usc 1401 be included in the totals of the budget of the united states govern 3101 3111 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 subsection: (c) no provision of law enacted after the date of the enactment of prohibition 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 42 usc 1305 date of the enactment of the balanced budget and emergency 99 stat 1094 public law 99177dec 12 1985 deficit control act of 1985) may provide for payments from the general fund of the treasury to the federal oldage 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 42 use 911 note (2) applicationthe amendments made by paragraph (1) shall apply with respect to fiscal years beginning after september 301985 and ending before october 11992 42 use 911 (b) fiscal year 1993 and thereaftersection 710(a) of the social security act (42 usc 911 note) as amended by section 346(b) of the social security amendments of 1983 (to be effective with respect to fiscal years beginning after september 30 1992) is amended (1) by inserting (1) 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 42 use 1305 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 paragraph (1) or for payments from any such trust fund to the general fund of the treasury part emiscellaneous and related provisions sec 271 waivers and suspensions: rulemaking powers 2 use 621 note (a) budget act waivers in the senatesection 904 of the congressional budget act of 1974 is amended by redesignating subsection (c) as subsection (d) and by inserting after subsection (b) the following new subsection: ante pp 1047 (c) sections 305(b)(2) and 306 of this act may be waived or 1050 suspended in the senate only by the affirmative vote of threefifths of the members duly chosen and sworn 2 us e 901 note (b) other waivers and suspensions in the senatesections 301(i) 302(f) 304(b) 310(d) 310(g) and 311(a) of the congressional ante pp 1040 budget act of 1974 may be waived or suspended in the senate only 104410471053 by the affirmative vote of threefifths 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 ante p 1078 tion 2 use 901 note (c) rulemaking powersthe 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 respectively 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 public law 99177dec 12 1985 99 stat 1095 sec 272 restoration of trust fund investments 2 usc 901 note (a) restoration of social security trust funds and certain other funds (1) reissuance of obugationsthe secretary of the treasury shall immediately reissue to each fund listed in paragraph (3)obligations under chapter 31 of title 31 united states code 3i use 3ioi which are identical with respect to interest rate and maturity e seq 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 hj res 372 (99th congress 1st session) as deemed passed by ante p 1037 the house of representatives on august 1 1985 had been enacted into law on august 11985 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 hj res 372 (99th congress 1st session) as deemed passed by the house of repante p 1037 resentatives on august 1 1985 had been enacted into law on august 11985 (2) appropriation to funds of interest lost on or after september 1 1985the secretary of the treasury shall pay on the normal interest payment date to each fund listed in paragraph (3) from amounts in the general fund of the treasury not otherwise appropriated an amount determined by such secretary 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 enactment of this joint resolution if all noninvestments redemptions and disinvestments with respect to such fund which (i)occurred during such period and (ii) would not have occurred if hj res 372 (99th congress 1st session) as deemed passed by the house ante p 1037 of representatives on august 11985 had been enacted into law on august 11985 had not occurred over (b) the net amount of interest actually earned by such fund during such period (3) funds affectedthe funds referred to in paragraphs (1) and (2) are the following: (a) the federal oldage 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 99 stat 1096 public law 99177dec 12 1985 (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 301985 (b) restoration of department of defense military retire mentfund (1) issuance of obugationsthe secretary of the treasury shall immediately issue to the department of defense military retirement fund obligations under chapter 31 of title 31 31 use 3101 united states code which such secretary in consultation with 59 the secretary of defense determines would have been issued to such fund on october 11985 if hj res 372 (99th congress 1st ante p 1037 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 marketbased special obligations issued at prices including accrued interest prevailing for such obligations on october 1 1985 such obligations shall be substituted 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 11985 (2) appropriation to fund of interest lost on or after october 1 1985 (a) in generalthe 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 determined by such secretary in consultation with the secretary 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 141985 if the obligations issued pursuant to paragraph (1) had been issued on october 11985 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 11985 (b) investment of interest receiptsthe 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 interest prevailing for such obligations on november 15 1985 (c) appropriation to certain funds with respect to uninvested balances after december 61985 (1)in generalthe secretary of the treasury shall immediately pay from amounts in the general fund not otherwise appropriated to each fund which is listed in table iii of the monthly statement of the public debt issued by the department of the treasury for november 30 1985 and which invests in marketbased special obligations under chapter 31 of title 31 31 use 3101 united states code an amount equal to the interest which et seq would have been earned by such fund during the period begin public law 99177dec 12 1985 99 stat 1097 ning 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 umit definedfor purposes of paragraph (1) the term expiration of the temporary debt limit means the expiration of the period described in 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 141985 (public law 99155) ante p 814 (d) additional appropriation to oasdi trust funds of interest lost from actions taken in september and october 1984 (1)in generalon december 31 1985 the secretary of the treasury shall pay to the federal oldage and survivors insurance 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 subsection (2) amount paid to each trust fundthe 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) limitationthe total amount paid from the general fund of the treasury pursuant to pareigraph (1) shall not exceed $550000000 (4) adjustments (a) determination of shortfalls and excesses in payments to trust fundsas soon as practicable after may 311986 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 (i) the difference between actual interest rates and interest rates assumed for purposes of paragraph (1) and (ii)the difference between the actual amount of secu rities redeemed in january 1986 for purposes of compliance with section 201(1x3xb) of the social security act 42 usc 401 and the amount of securities assumed for purposes of paragraph (1) to be redeemed in such month for purposes of compliance with such section (b) payment of shortfalls and excesseson 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 99 stat 1098 public law 99177dec 12 1985 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 subparagraph (a) pay to the general fund of the treasury from such trust fund the gunount of such excess (but not to exceed the amount paid to such trust fund pursuant to paragraph (1)) 2 use 921 sec 273 revenue estimates for the purposes of revenue legislation which is income estate and gift excise and payroll taxes (ie social security) considered or enacted in any session of congress the congressional budget office shall use exclusively during that session of congress revenue estimates provided to it by the joint committee on taxation during that session of congress such revenue estimates shall be transmitted by the cijongressional 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 2 use 621 note budget and impoundment control act of 1974 2 use 922 sec 274 judicial review (a) expedited review (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 ante p 1072 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 representatives and each house of congress shall have the right to intervene in such action (5)any action brought under paragraph (1) (2) or (3) shall be heard and determined by a threejudge court in accordance with 98 stat 3359 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 courtnotwithstanding any other provision of law any order of the united states district court for the district of columbia which is issued pursuant to an action brought public law 99177dec 12 1985 99 stat 1099 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 pargaph (1) (2) or (3) of subsection (a) shall be issued by a single justice of the supreme court (c) expedited considerationit 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 procedures (1)if it is finally determined by a court of competent jurisdiction that an order issued by the president under section 2520) ante p 1072 for any fiscal year (a)does not reduce automatic spending increases under any program specified in section 257(1) to the extent that ante p 1092 such increases are required to be reduced by part c of this title (or reduces such increases by a greater extent than is ante p 1063 so required) (b)does not sequester the amount of new budget authority 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 shall within 20 days after such determination is president of us made revise the order in accordance with such determination (2)if the order issued by the president under section 252(b) for ante p 1072 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 authority 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 ante p 1072 (e) timing of reuefno 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 requiring the expenditure of funds sequestered by such order shall take 99 stat 1100 public law 99177dec 12 1985 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 (f) alternative procedures for the joint reports of the directors ante p 1063 (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 (cxd 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 cochairmen 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 committee 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 ante p 1078 resolution under section 254(ax4) shall apply to the consideration 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 ante p 1063 be the report received by the president under section 251(b) or (cx2) (whichever is applicable) (g) preservation of other rightsthe 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 methodologiesthe economic data assumptions and methodologies used by the comptroller 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 2 us e 901 note sec 275 effective dates (a) in general (1) except is 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 september 301985 ante p 1039 (2xa) the amendment made by section 201(ax2) and the ante p 1044 ante p 1053 amendment made by section 201(b) insofar as it relates to subsections (c) (f) and (g) of section 302 of the congressioned budget act of 1974 and to subsections (c) (d) and (g) of section 310 of that act) shall become effective april 151986 public law 99177dec 12 1985 99 stat 1101 (b)the amendment made by section 212 shall become effecante p 1058 tive february 11986 (b) expiration (1)part c of this title and the other provisions contained in ante p 1063 or added by this title which are listed in paragraph (2) shall expire september 301991 (2)the other provisions referred to in paragraph (1) are as follows: (a)section 3(7) of the congressional budget and impoundment control act of 1974 and the second sentence of section ante p 1039 3(6) of such act (as added by section 201(a)(1) of this joint resolution); (b)sections 301(i) and 304(b) of the congressional budget act of 1974 and the portion of section 311(a) of such act ante pp 1040 which begins with or in the senate and ends with para 1071050 graph (2) of such subsection) (as added by section 201(b) of this joint resolution); (c)sections 1105(f) and 1106(c) of title 31 united states ante p 1063 code (as added by sections 241(b) and 242(b) of this joint resolution); and (d)section 271(b) of this joint resolution ante p 1094 (c) oasdi trust fundsthe amendments made by part d shall p io93 apply as provided in such part approved december 12 1985 legislative historyhj res 372: house reports: no 99351 and no 99433 (comm of conference) senate report no 99144 (comm on finance) congressional record vol 131 (1985): aug 1 sept 4 considered and passed house oct 36 810 considered and passed senate amended nov 1 house receded and concurred in senate amendment in others with amendments nov 1 46 senate agreed to conference report; concurred in house amend ments with amendments nov 6 house disagreed to senate amendments nov 7 senate insisted on amendments; agreed to further conference dec 11 house and senate agreed to conference report weekly compilation of presidential documents vol 21 no 50 (1985): dec 12 presidential statement