[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 202 Introduced in Senate (IS)]







104th CONGRESS
  1st Session
                                 S. 202

       To provide a fair, nonpolitical process that will achieve 
 $45,000,000,000 in budget outlay reductions each fiscal year until a 
                      balanced budget is reached.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

             January 11 (legislative day, January 10), 1995

  Mr. Mack (for himself, Mrs. Hutchison, Mr. Coverdell, and Mr. Lott) 
introduced the following bill; which was read twice and referred to the 
                   Committee on Governmental Affairs

_______________________________________________________________________

                                 A BILL


 
       To provide a fair, nonpolitical process that will achieve 
 $45,000,000,000 in budget outlay reductions each fiscal year until a 
                      balanced budget is reached.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE AND PURPOSE.

    (a) Short Title.--This Act may be cited as the ``Spending Reduction 
Act''.
    (b) Purpose.--The purpose of this Act is to provide a fair, 
nonpolitical process that will achieve at least $45,000,000,000 in 
budget outlay reductions each fiscal year until a balanced budget is 
reached (but in the year in which the balanced budget is reached, only 
the amount necessary to achieve a balance).

SEC. 2. THE COMMISSION.

    (a) Establishment.--There is established an independent commission 
to be known as the ``Spending Reduction Commission'' (referred to as 
the ``Commission'').
    (b) Duties.--The Commission shall propose cost savings and changes 
in law to achieve at least $45,000,000,000 of budget outlay reductions 
for the budget year and each outyear until a balanced budget is reached 
subject to the following guidelines. It should attempt to:
            (1) Eliminate redundant and outdated programs, as well as 
        those whose missions can be effectively accomplished by the 
        private sector.
            (2) Reduce those programs with excessive administrative 
        costs or can be consolidated with other programs.
            (3) Eliminate programs that provide subsidies that benefit 
        narrow special interest groups at the expense of the national 
        interest.
            (4) Reduce or eliminate those programs that have low 
        priority in meeting a national interest criterion.
    (c) Appointment.--(1)(A) The Commission shall be composed of 7 
members appointed by the President, by and with the advice and consent 
of the Senate.
    (B) The President shall transmit to the Senate the nominations for 
appointment to the Commission by no later than January 15th for each 
fiscal year.
    (2) In selecting individuals for nominations for appointments to 
the Commission, the President shall select--
            (A) 4 of the members from a list of 10 individuals 
        submitted by the Speaker of the House of Representatives and 
        the majority leader of the Senate; and
            (B) 3 of the members from a list of 10 individuals 
        submitted by the minority leader of the House of 
        Representatives and the minority leader of the Senate.
    (3) At the time the President nominates individuals for appointment 
to the Commission, the President shall designate one such individual 
who shall serve as Chairman of the Commission.
    (4) No current Member of Congress, employee of the Executive 
branch, or current or former registered lobbyist may serve on the 
Commission.
    (d) Terms.--(1) Except as provided in paragraph (2), each member of 
the Commission shall serve until November 1st of the calendar year in 
which the member is appointed.
    (2) The Chairman of the Commission shall serve until the 
confirmation of a successor.
    (e) Meetings.--(1) Each meeting of the Commission, other than 
meetings in which classified information is to be discussed, shall be 
open to the public.
    (2) All the proceedings, information, and deliberations of the 
Commission shall be open, upon request, to the Chairman and the ranking 
minority member of the Budget and Appropriations Committees of each 
House.
    (f) Vacancies.--A vacancy in the Commission shall be filled in the 
same manner as the original appointment.
    (g) Pay and Travel Expenses.--(1)(A) Each member, other than the 
Chairman, shall be paid at a rate not to exceed to the daily equivalent 
of the minimum annual rate of basic pay payable for level IV of the 
Executive Schedule under section 5315 of title 5, United States Code, 
for each day (including travel time) during vested in the Commission.
    (B) The Chairman shall be paid for each day referred to in 
subparagraph (A) at a rate not to exceed to the daily equivalent of the 
minimum annual rate of basic pay payable for level III of the Executive 
Schedule under section 5314 of title 5, United States Code.
    (2) Members shall receive travel expenses, including per diem in 
lieu of subsistence, in accordance with sections 5702 and 5703 of title 
5, United States Code.
    (h) Director of Staff.--(1) The Commission shall, without regard to 
section 5311(b) of title 5, United States Code, appoint a Director who 
has not been employed by the Federal Government during the 1-year 
period preceding the date of such appointment and who is not a former 
Member of Congress or registered lobbyist.
    (2) The Director shall be paid at a rate not to exceed the rate of 
basic pay payable for level IV of the Executive Schedule under section 
5315 of title 5, United States Code.
    (i) Staff.--(1) Subject to paragraphs (2) and (3), the Director, 
with the approval of the Commission, may appoint and fix pay of 
additional personnel.
    (2) The Director may take such appointments without regard to the 
provisions of title 5, United States Code, governing appointment in the 
competitive service, and any personnel so appointed may be paid without 
regard to the provisions of chapter 51 and subchapter III of chapter 53 
of that title relating to classification and General Schedule pay 
rates, except that an individual so appointed may not receive pay in 
excess of the annual rate of basic pay payable for GS-18 of the General 
Schedule.
    (3) Not more than one-third of the personnel employed by or 
detailed to the Commission may be on detail from any Government agency.
    (4) Upon request of the Director, the head of any Federal 
department or agency may detail any or the personnel of that department 
or agency to the Commission to assist the Commission in carrying out 
its duties under this Act.
    (5) The Comptroller General of the United States shall provide 
assistance, including the detailing of employees, to the Commission in 
accordance with an agreement entered into with the Commission.
    (j) Other Authority.--(1) The Commission may procure by contract, 
to the extent funds are available, the temporary or intermittent 
services of experts or consultants pursuant to section 3109 of title 5, 
United States Code.
    (2) The Commission may lease space and acquire personal property to 
the extent funds are available.
    (k) Funding.--Each department and agency shall transfer necessary 
funding to the Commission on a pro rata basis based on that agency's or 
departments funding percentage of the total Executive budget.
    (l) Termination.--Each Commission shall terminate on November 1st 
of the year in which the Commission is appointed.

SEC. 3. PROCEDURE FOR MAKING RECOMMENDATION FOR PROPOSED CUTS.

    (a) Selection Criteria.--(1) OMB shall, by no later than January 
1st of each year, publish in the Federal Register and transmit to the 
Budget and Appropriations committees of each House the criteria 
proposed to be used by OMB in making budget outlay reduction 
recommendations required by section 2(b). OMB shall provide an 
opportunity for public comment on the proposed criteria for a period of 
at least 10 days and shall include notice of that opportunity in the 
publication required under the preceding sentence.
    (2)(A) OMB shall, by no later than January 15th, publish in the 
Federal Register and transmit to the congressional budget and 
appropriations committees the final criteria to be used in making 
recommendations for program cuts. Except as provided in subparagraph 
(B), such criteria shall be the final criteria to be used in making 
such recommendations unless disapproved by a joint resolution of 
Congress enacted on or before February 1st.
    (B) OMB shall amend such criteria, but such amendments may not 
become effective until they have been published in the Federal 
Register, opened to public comment for at least 10 days, and then 
transmitted to the Budget and Appropriations committees of each House 
in final form by no later than February 1st. Such amended criteria 
shall be the final criteria to be used in making such recommendations 
unless disapproved by a joint resolution of Congress enacted on or 
before February 15th.
    (b) OMB Recommendations.--(1) OMB may, by no later than April 1st, 
publish in the Federal Register and transmit to the congressional 
budget and appropriations committees and to the Commission OMB's 
recommendations for budget outlay reductions.
    (2) OMB shall include, with the list of recommendations published 
and transmitted pursuant to paragraph (1), a summary of the selection 
process that resulted in the recommendation.
    (3) In considering such outlay reductions, OMB shall consider all 
programs without regard to whether such programs have previously been 
considered or proposed for elimination.
    (4) OMB shall make available to the Commission and the Comptroller 
General of the United States all information used by OMB in making its 
recommendations.
    (c) Review and Recommendations by the Commission.--(1) After 
receiving the recommendations from OMB pursuant to subsection (b), the 
Commission shall conduct public hearings on the recommendations.
    (2) The Director of the Congressional Budget Office shall notify 
the Commission on August 1st of any savings that have been enacted into 
law for the upcoming fiscal year. The years target for such fiscal year 
shall be reduced by the amount of such savings.
    (3)(A) The Commission shall, by no later than August 15th, transmit 
to the President a report containing the Commission's findings and 
conclusions based on a review and analysis of the recommendations.
    (B) In making its recommendations, the Commission may make changes 
in any of the recommendations made by OMB.
    (4) The Commission shall explain and justify in its report 
submitted to the President pursuant to paragraph (2) any recommendation 
made by the Commission that is different from the recommendations made 
by OMB pursuant to subsection (b). The Commission shall transmit a copy 
of such report to the Budget and Appropriations committees of each 
House on the same date on which it transmits its recommendations to the 
President under paragraph (2).
    (5) After August 15th, the Commission shall promptly provide, upon 
request, to any Member of Congress information used by the Commission 
in making its recommendations.
    (6) The Congressional Budget Office shall--
            (A) assist the Commission, to the extent requested, in the 
        Commission's review and analysis of the recommendations made by 
        OMB pursuant to subsection (b); and
            (B) by no later than June 1st, transmit to the Congress and 
        to the Commission a report containing a detailed analysis of 
        OMB's recommendations and selection process.
    (d) Review by the President.--(1) The President shall, by no later 
than September 1st, transmit to the Commission and to the Congress, a 
report containing the President's approval or disapproval of the 
Commission's recommendations.
    (2) If the President approves all the recommendations of the 
Commission, the President shall transmit a copy of such recommendations 
to the Congress, together with a certification of such approval and 
legislative language implementing such recommendations.
    (3) If the President disapproves the recommendations of the 
Commission, in whole or in part, the President shall transmit to the 
Commission and the Congress the reasons for that disapproval. The 
Commission shall then transmit to the President, by no later than 
September 5th, a revised list of recommendations.
    (4) If the President approves all of the revised recommendations of 
the Commission transmitted to the President under paragraph (3), the 
President shall transmit a copy of such revised recommendation to the 
Congress, together with a certification of such approval.
    (5) If the President does not transmit to the Congress an approval 
and certification described in paragraph (2) or (4) by September 10th, 
the process by which budget outlay reductions may occur under this Act 
with respect to that year shall be terminated.

SEC. 4. BUDGET OUTLAY REDUCTIONS.

    (a) In General.--The President shall submit recommendations to 
Congress together with a joint resolution containing legislative 
language implementing such recommendations not later than September 
10th, as provided in section 3.
    (b) Congressional Consideration of President's Recommendations.--
            (1) Terms of the resolution.--For the purposes of 
        subsection (a), the term ``joint resolution'' means a joint 
        resolution that--
                    (A) is introduced within the 2-day period beginning 
                on the date on which the President transmits a report 
                to the Congress under section 3(d);
                    (B) does not have a preamble;
                    (C) states after the resolving clause ``That 
                Congress approves the recommendations of the Spending 
                Reduction Commission submitted by the President on 
                ______'', the blank space being filled in with the 
                appropriate date and contains the President's 
                legislative language described in subsection (a); and
                    (D) is entitled a ``Joint resolution approving the 
                recommendations of the Spending Reduction 
                Commission.''.
            (2) Referral.--(A) A resolution described in paragraph (1) 
        that is introduced in the House of Representatives shall be 
        referred to the Committee on Government Operations of the House 
        of Representatives.
            (B) A resolution described in paragraph (1) that is 
        introduced in the Senate shall be referred to the Committee on 
        Governmental Affairs of the Senate.
            (3) Discharge.--If the committee to which a resolution 
        described in paragraph (1) is referred has not reported the 
        resolution (or an identical resolution) by the end of the 5-day 
        period beginning on the date on which the President transmits 
        the report to the Congress, such committee shall, at the end of 
        that period, be discharged from further consideration of the 
        resolution, and the resolution shall be placed on the 
        appropriate calendar of the House of Representatives or the 
        Senate, as the case may be.
            (4) Consideration.--(A)(i) On or after the first day after 
        the date on which the committee to which a joint resolution 
        described in paragraph (1) is referred has reported, or has 
        been discharged (under paragraph (3)) from further 
        consideration of, such a resolution, it is in order (even 
        though a previous motion to the same effect has been disagreed 
        to) for any member of the House of Representatives or the 
        Senate, respectively, to move to proceed to the consideration 
        of the resolution (but only on the date after the calendar day 
        on which the member announces to the House concerned the 
        member's intention to do so).
            (ii) All points of order against a resolution described in 
        paragraph (1) (and against consideration of the resolution) are 
        waived.
            (iii)(I) A motion to proceed to the consideration of a 
        joint resolution described in paragraph (1) is highly 
        privileged in the House of Representatives and is privileged in 
        the Senate and is not debatable.
            (II) A motion described in subclause (I) is not subject to 
        amendment, to a motion to postpone consideration of the 
        resolution, or to a motion to proceed to the consideration of 
        other business.
            (III) A motion to reconsider the vote by which a motion 
        described in subclause (I) is agreed to or not agreed to shall 
        not be in order.
            (IV) If a motion described in subclause (I) is agreed to, 
        the House of Representatives or the Senate, as the case may be, 
        shall immediately proceed to consideration of the joint 
        resolution without intervening motion, order, or other 
        business, and the resolution shall remain the unfinished 
        business of the House of Representatives or the Senate, as the 
        case may be, until disposed of.
            (B)(i) Debate on a joint resolution described in paragraph 
        (1) and on all debatable motions and appeals in connection 
        therewith shall be limited to not more than 5 hours, which 
        shall be divided equally between those favoring and those 
        opposing the resolution.
            (ii) An amendment to a joint resolution described in 
        paragraph (1) is not in order.
            (iii) A motion further to limit debate on a joint 
        resolution described in paragraph (1) is in order and not 
        debatable.
            (iv) A motion to postpone consideration of a joint 
        resolution described in paragraph (1), a motion to proceed to 
        the consideration of other business, or a motion to recommit 
        the resolution is not in order.
            (v) A motion to reconsider the vote by which a resolution 
        described in paragraph (1) is agreed to or not agreed to is not 
        in order.
            (C) Immediately following the conclusion of the debate on a 
        joint resolution described in paragraph (1) and a single quorum 
        call at the conclusion of the debate if requested in accordance 
        with the rules of the House of Representatives or the Senate, 
        as the case may be, the vote on final passage of the resolution 
        shall occur.
            (D) Appeals from the decisions of the Chair relating to the 
        application of the rules of the House of Representatives or of 
        the Senate, as the case may be, to the procedure relating to a 
        joint resolution described in paragraph (1) shall be decided 
        without debate.
            (5) Consideration by other house.--(A) If, before the 
        passage by one House of a joint resolution described in 
        paragraph (1) that was introduced in that House, that House 
        receives from the other House a joint resolution described in 
        paragraph (1)--
                    (i) the resolution of the other House shall not be 
                referred to a committee and may not be considered in 
                the House that receives it otherwise than on final 
                passage under clause (ii)(II); and
                    (ii)(I) the procedure in the House that receives 
                such a resolution with respect to such a resolution 
                that was introduced in that House shall be the same as 
                if no resolution had been received from the other 
                House; but
                    (II) the vote on final passage shall be on the 
                resolution of the other House.
            (B) Upon disposition of a joint resolution described in 
        paragraph (1) that is received by one House from the other 
        House, it shall no longer be in order to consider such a 
        resolution that was introduced in the receiving House.
            (6) Date certain.--If the Senate and the House of 
        Representatives have not acted upon the joint resolution by 
        September 30th, then on that day or the next day of session 
        thereafter the joint resolution shall be called up by the 
        Presiding Officer of each House upon convening and a roll call 
        vote shall be conducted on passage. If the joint resolution 
        passes one House a vote on final passage shall be immediately 
        conducted in the other House.
            (7) Rules of the senate and house of representatives.--This 
        subsection is enacted by Congress--
                    (A) as an exercise of the rulemaking power of the 
                Senate and House of Representatives, respectively, and 
                is deemed to be part of the rules of each House, 
                respectively, but applicable only with respect to the 
                procedure to be followed in that House in the case of a 
                joint resolution described in paragraph (1), and it 
                supersedes other rules only to the extent that it is 
                inconsistent with such rules; and
                    (B) with full recognition of the constitutional 
                right of either House to change the rules (so far as 
                they relate to the procedure of that House) at any 
                time, in the same manner, and to the same extent as in 
                the case of any other rule of that House.

SEC. 5. BUDGET OUTLAY REDUCTIONS PERMANENT.

    All obligational authority reduced pursuant to this Act shall be 
done in a manner that shall make such reductions permanent.

SEC. 6. ADDITIONAL ENFORCEMENT PROVISIONS.

    (a) Paygo Scorecard.--No reductions in direct spending pursuant to 
this Act shall be treated as a net deficit decrease for purposes of 
section 252 of the Balanced Budget and Emergency Deficit Control Act of 
1985.
    (b) Discretionary Spending Limits.--When OMB submits a 
sequestration report under section 254 (g) or (h) of the Balanced 
Budget and Emergency Deficit Control Act of 1985, OMB shall include 
downward adjustments to discretionary spending limits (in new budget 
authority and outlays) for the budget year and each outyear to take 
full account of all reductions in discretionary spending pursuant to 
this Act for that fiscal year.

SEC. 7. COMPLIANCE REPORT BY COMPTROLLER GENERAL.

    Within 15 days after the end of a session of Congress, the 
Comptroller General shall submit to the Congress and the President a 
report stating whether the requirements of this Act have been complied 
with and indicating the respects (if any) in which they have not.

SEC. 8 DEFINITIONS.

    As used in this Act, the terms ``budget outlay'', ``outlay'', ``new 
budget authority'', ``direct spending'', and ``OMB'' have the meanings 
given to such terms by section 250(c) of the Balanced Budget and 
Emergency Deficit Control Act of 1985.
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