[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4601 Placed on Calendar Senate (PCS)]

                                                       Calendar No. 626
106th CONGRESS
  2d Session
                                H. R. 4601


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 21, 2000

                     Received; read the first time

                             June 22, 2000

            Read the second time and placed on the calendar

_______________________________________________________________________

                                 AN ACT


 
    To provide for reconciliation pursuant to section 213(c) of the 
concurrent resolution on the budget for fiscal year 2001 to reduce the 
  public debt and to decrease the statutory limit on the public debt.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Debt Reduction Reconciliation Act of 
2000''.

SEC. 2. FINDINGS AND PURPOSE.

    (a) Findings.--The Congress finds that--
            (1) fiscal discipline, resulting from the Balanced Budget 
        Act of 1997, and strong economic growth have ended decades of 
        deficit spending and have produced budget surpluses without 
        using the social security surplus;
            (2) fiscal pressures will mount in the future as the aging 
        of the population increases budget obligations;
            (3) until Congress and the President agree to legislation 
        that strengthens social security, the social security surplus 
        should be used to reduce the debt held by the public;
            (4) strengthening the Government's fiscal position through 
        public debt reduction increases national savings, promotes 
        economic growth, reduces interest costs, and is a constructive 
        way to prepare for the Government's future budget obligations; 
        and
            (5) it is fiscally responsible and in the long-term 
        national economic interest to use an additional portion of the 
        nonsocial security surplus to reduce the debt held by the 
        public.
    (b) Purpose.--It is the purpose of this Act to--
            (1) reduce the debt held by the public with the goal of 
        eliminating this debt by 2013; and
            (2) decrease the statutory limit on the public debt.

SEC. 3. ESTABLISHMENT OF PUBLIC DEBT REDUCTION PAYMENT ACCOUNT.

    (a) In General.--Subchapter I of chapter 31 of title 31, United 
States Code, is amended by adding at the end the following new section:
``Sec. 3114. Public debt reduction payment account
    ``(a) There is established in the Treasury of the United States an 
account to be known as the Public Debt Reduction Payment Account 
(hereafter in this section referred to as the `account').
    ``(b) The Secretary of the Treasury shall use amounts in the 
account to pay at maturity, or to redeem or buy before maturity, any 
obligation of the Government held by the public and included in the 
public debt. Any obligation which is paid, redeemed, or bought with 
amounts from the account shall be canceled and retired and may not be 
reissued. Amounts deposited in the account are appropriated and may 
only be expended to carry out this section.
    ``(c) If the Congressional Budget Office estimates an on-budget 
surplus for fiscal year 2000 in the report submitted pursuant to 
section 202(e)(2) of the Congressional Budget Act of 1974 in excess of 
the amount of the surplus set forth for that fiscal year in section 
101(4) of the concurrent resolution on the budget for fiscal year 2001 
(House Concurrent Resolution 290, 106th Congress), then there is hereby 
appropriated into the account on the later of the date of enactment of 
this Act or the date upon which the Congressional Budget Office submits 
such report, out of any money in the Treasury not otherwise 
appropriated, for the fiscal year ending September 30, 2000, an amount 
equal to that excess. The funds appropriated to this account shall 
remain available until expended.
    ``(d) The appropriation made under subsection (c) shall not be 
considered direct spending for purposes of section 252 of Balanced 
Budget and Emergency Deficit Control Act of 1985.
    ``(e) Establishment of and appropriations to the account shall not 
affect trust fund transfers that may be authorized under any other 
provision of law.
    ``(f) The Secretary of the Treasury and the Director of the Office 
of Management and Budget shall each take such actions as may be 
necessary to promptly carry out this section in accordance with sound 
debt management policies.
    ``(g) Reducing the debt pursuant to this section shall not 
interfere with the debt management policies or goals of the Secretary 
of the Treasury.''.
    (b) Conforming Amendment.--The chapter analysis for chapter 31 of 
title 31, United States Code, is amended by inserting after the item 
relating to section 3113 the following:

``3114. Public debt reduction payment account.''.

SEC. 4. REDUCTION OF STATUTORY LIMIT ON THE PUBLIC DEBT.

    Section 3101(b) of title 31, United States Code, is amended by 
inserting ``minus the amount appropriated into the Public Debt 
Reduction Payment Account pursuant to section 3114(c)'' after 
``$5,950,000,000,000''.

SEC. 5. OFF-BUDGET STATUS OF PUBLIC DEBT REDUCTION PAYMENT ACCOUNT.

    Notwithstanding any other provision of law, the receipts and 
disbursements of the Public Debt Reduction Payment Account established 
by section 3114 of title 31, United States Code, shall not be counted 
as new budget authority, outlays, receipts, or deficit or surplus for 
purposes of--
            (1) the budget of the United States Government as submitted 
        by the President;
            (2) the congressional budget; or
            (3) the Balanced Budget and Emergency Deficit Control Act 
        of 1985.

SEC. 6. REMOVING PUBLIC DEBT REDUCTION PAYMENT ACCOUNT FROM BUDGET 
              PRONOUNCEMENTS.

    (a) In General.--Any official statement issued by the Office of 
Management and Budget, the Congressional Budget Office, or any other 
agency or instrumentality of the Federal Government of surplus or 
deficit totals of the budget of the United States Government as 
submitted by the President or of the surplus or deficit totals of the 
congressional budget, and any description of, or reference to, such 
totals in any official publication or material issued by either of such 
Offices or any other such agency or instrumentality, shall exclude the 
outlays and receipts of the Public Debt Reduction Payment Account 
established by section 3114 of title 31, United States Code.
    (b) Separate Public Debt Reduction Payment Account Budget 
Documents.--The excluded outlays and receipts of the Public Debt 
Reduction Payment Account established by section 3114 of title 31, 
United States Code, shall be submitted in separate budget documents.

SEC. 7. REPORTS TO CONGRESS.

    (a) Reports of the Secretary of the Treasury.--(1) Within 30 days 
after the appropriation is deposited into the Public Debt Reduction 
Payment Account under section 3114 of title 31, United States Code, the 
Secretary of the Treasury shall submit a report to the Committee on 
Ways and Means of the House of Representatives and the Committee on 
Finance of the Senate confirming that such account has been established 
and the amount and date of such deposit. Such report shall also include 
a description of the Secretary's plan for using such money to reduce 
debt held by the public.
    (2) Not later than October 31, 2000, and October 31, 2001, the 
Secretary of the Treasury shall submit a report to the Committee on 
Ways and Means of the House of Representatives and the Committee on 
Finance of the Senate setting forth the amount of money deposited into 
the Public Debt Reduction Payment Account, the amount of debt held by 
the public that was reduced, and a description of the actual debt 
instruments that were redeemed with such money.
    (b) Report of the Comptroller General of the United States.--Not 
later than November 15, 2001, the Comptroller General of the United 
States shall submit a report to the Committee on Ways and Means of the 
House of Representatives and the Committee on Finance of the Senate 
verifying all of the information set forth in the reports submitted 
under subsection (a).

            Passed the House of Representatives June 20, 2000.

            Attest:

                                                 JEFF TRANDAHL,

                                                                 Clerk.

                            By Martha C. Morrison,

                                                          Deputy Clerk.
                                                       Calendar No. 626

106th CONGRESS

  2d Session

                               H. R. 4601

_______________________________________________________________________

                                 AN ACT

    To provide for reconciliation pursuant to section 213(c) of the 
concurrent resolution on the budget for fiscal year 2001 to reduce the 
  public debt and to decrease the statutory limit on the public debt.

_______________________________________________________________________

                             June 22, 2000

            Read the second time and placed on the calendar