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<bill bill-stage="Introduced-in-House" bill-type="olc" dms-id="HBC27F83A125B41EEBCC51AFE7FC48674" public-private="public">
	<form>
		<distribution-code display="yes">I</distribution-code>
		<congress>112th CONGRESS</congress>
		<session>1st Session</session>
		<legis-num>H. R. 3576</legis-num>
		<current-chamber>IN THE HOUSE OF REPRESENTATIVES</current-chamber>
		<action>
			<action-date date="20111207">December 7, 2011</action-date>
			<action-desc><sponsor name-id="C001064">Mr. Campbell</sponsor> (for
			 himself, <cosponsor name-id="R000570">Mr. Ryan of Wisconsin</cosponsor>,
			 <cosponsor name-id="H001036">Mr. Hensarling</cosponsor>,
			 <cosponsor name-id="G000570">Mr. Guinta</cosponsor>,
			 <cosponsor name-id="R000592">Mr. Rokita</cosponsor>,
			 <cosponsor name-id="C001076">Mr. Chaffetz</cosponsor>, and
			 <cosponsor name-id="S001188">Mr. Stutzman</cosponsor>) introduced the following
			 bill; which was referred to the <committee-name committee-id="HBU00">Committee
			 on the Budget</committee-name>, and in addition to the Committee on
			 <committee-name committee-id="HRU00">Rules</committee-name>, for a period to be
			 subsequently determined by the Speaker, in each case for consideration of such
			 provisions as fall within the jurisdiction of the committee
			 concerned</action-desc>
		</action>
		<legis-type>A BILL</legis-type>
		<official-title>To amend the Balanced Budget and Emergency Deficit
		  Control Act of 1985 to establish spending limits and deficit
		  control.</official-title>
	</form>
	<legis-body id="H64A0EF6C18014E5DA15F3D375E52751B" style="OLC">
		<section id="H29DAD91D9E7F47D4B87D9622F52880BC" section-type="section-one"><enum>1.</enum><header>Short title; table of
			 contents</header>
			<subsection id="H77BAB767345B41D18F43487CF144CC86"><enum>(a)</enum><header>Short
			 title</header><text display-inline="yes-display-inline">This Act may be cited
			 as the <quote><short-title>Spending Control Act of
			 2011</short-title></quote>.</text>
			</subsection><subsection id="H6C51277EC6B041C8BBC04D887C47AC18"><enum>(b)</enum><header>Table of
			 contents</header>
				<toc container-level="legis-body-container" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration">
					<toc-entry idref="H29DAD91D9E7F47D4B87D9622F52880BC" level="section">Sec. 1. Short title; table of contents.</toc-entry>
					<toc-entry idref="H4430BB06A168492ABF29D37CC6894078" level="title">Title I—Spending limits and deficit control</toc-entry>
					<toc-entry idref="H9CEEACF8F39C49EF9E90D94B25CC09F4" level="section">Sec. 101. Direct spending limits.</toc-entry>
					<toc-entry idref="H3986F5EF12FE4AE2A5E4E15AE7BDC97C" level="section">Sec. 102. Total spending limits.</toc-entry>
					<toc-entry idref="H67B5BE9A93E44CACB083804610522962" level="section">Sec. 103. Deficit limits.</toc-entry>
					<toc-entry idref="HCB8259F68100418B89EA14EEE31947F0" level="section">Sec. 104. Repeal of statutory PAYGO.</toc-entry>
					<toc-entry idref="HBD71F90EC90242ADA51602E628061E15" level="section">Sec. 105. Reports and orders.</toc-entry>
					<toc-entry idref="H3A7E63EC48754F20B5D33FED36A94221" level="section">Sec. 106. Exempt programs and activities; special sequestration
				rules.</toc-entry>
					<toc-entry idref="H641F000C9E194092AE031E1F70EC842C" level="section">Sec. 107. Adjustments for changes in direct
				spending.</toc-entry>
					<toc-entry idref="HCF5B4589967B4CA8A8CDAFF45AC6F635" level="title">Title II—Budgeting for emergencies and war</toc-entry>
					<toc-entry idref="H96307303DCCD467BB9FD8496065C443F" level="section">Sec. 201. Allocations for the global war on
				terrorism.</toc-entry>
					<toc-entry idref="H3BD36E4B886A4E2790A712F91B1E5BCA" level="section">Sec. 202. Emergency and global war on terrorism (GWOT)
				adjustment procedures.</toc-entry>
					<toc-entry idref="H65387210A31A4BAE9C992ECD8681D79F" level="section">Sec. 203. Elimination of emergency adjustments.</toc-entry>
					<toc-entry idref="HBEFE85E020174D768EC0BDCE5DCA93CB" level="section">Sec. 204. Conforming amendment to the Balanced Budget and
				Emergency Deficit Control Act of 1985.</toc-entry>
					<toc-entry idref="H4214FDC7862B43ACAAAC191ADC1EBB6C" level="title">Title III—Enforcing cut-as-you-go</toc-entry>
					<toc-entry idref="H384C45DDA1C04270B027A45805E6C844" level="section">Sec. 301. Enforcing Cut-As-You-Go.</toc-entry>
					<toc-entry idref="HE53BBE97142F4B7DB5F4BD5C6F61DD6E" level="title">Title IV—Supermajority points of order</toc-entry>
					<toc-entry idref="H8DEAC590DC61415887C1A6027C8734B8" level="section">Sec. 401. Supermajority points of order.</toc-entry>
				</toc>
			</subsection></section><title id="H4430BB06A168492ABF29D37CC6894078"><enum>I</enum><header>Spending limits
			 and deficit control</header>
			<section id="H9CEEACF8F39C49EF9E90D94B25CC09F4"><enum>101.</enum><header>Direct spending
			 limits</header>
				<subsection id="HC6C2D092631D4F53A50C3A32D77E62D2"><enum>(a)</enum><header>Control of
			 direct spending</header><text>Section 252 of the Balanced Budget and Emergency
			 Deficit Control Act of 1985 is amended to read as follows:</text>
					<quoted-block id="HB0003E01E75F492AB3B576098E95C2A7" style="OLC">
						<section id="H1A022C24EFA54F9C81ECCE3133181660"><enum>252.</enum><header>Direct spending
				limits</header>
							<subsection id="HFA21C39C763B465DAC539743CED8259A"><enum>(a)</enum><header>Direct spending
				limits</header><text>The total level of direct spending for each fiscal year
				set forth below is as follows:</text>
								<paragraph id="H2536892285DD455D9197769ACB95E52D"><enum>(1)</enum><text>For fiscal year
				2013—</text>
									<subparagraph id="HFCFF63F968B445FA937DFF7693CEFD56"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $515,001,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="HDB6B6666485D4CE18BCFBC0D9229BEF9"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $293,611,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="H8C5C2BDB0EFD4DDE8C4BAD38C21ACC08"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$474,527,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="H1789B5A6FBFB41EAA2455ABC857D7FFF"><enum>(2)</enum><text display-inline="yes-display-inline">For fiscal year 2014—</text>
									<subparagraph id="H61BCEA4484934A21AB2024B3E76317B5"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $545,303,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="H9BFFB701F5F94E6E90387426D55617C7"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $287,942,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="HA77506FC2B004A05A6A1B967BECE2291"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$431,870,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="H819C07E75EA34F97B998CE6B2A968213"><enum>(3)</enum><text display-inline="yes-display-inline">For fiscal year 2015—</text>
									<subparagraph id="H44E9FB1382D6486D97B410D982265A3E"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $568,450,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="H9E7BBC693D414DAE816BC9E926E762BA"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $276,890,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="H1CDCA0D6881E4B23849C1B3DF191C5F4"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$401,509,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="HEAA75EEDBA1347DEABE671381A27D3B0"><enum>(4)</enum><text display-inline="yes-display-inline">For fiscal year 2016—</text>
									<subparagraph id="H7F99732474DA43B8A80F2B74458BACAA"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $614,243,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="H137819BA01584EEF8953B2F9F35E7390"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $270,287,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="HFD16F5A20F354DC291D31B802508A305"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$422,579,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="H340D3AFAD28141079E792F79E294A284"><enum>(5)</enum><text display-inline="yes-display-inline">For fiscal year 2017—</text>
									<subparagraph id="HDB025732692D4C3CB7C94AE8E32D2330"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $633,169,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="H60A558438C51482F82BF35E6BE841DC7"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $288,914,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="HC0484BD68778491AB4AD9C56E3730A42"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$414,028,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="H2127651EF9A24C9EA879EF20FDDAD850"><enum>(6)</enum><text display-inline="yes-display-inline">For fiscal year 2018—</text>
									<subparagraph id="H6B0784691B514A01A05F2368BFD9A83C"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $652,180,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="HBCA2BE2FF9844B63834F4C266D8D4CD1"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $297,823,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="H835D29FD090D45C8A5B1C4172B78A636"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$412,225,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="HBE5E4ED4242044909EFD2AE4E1EDB702"><enum>(7)</enum><text display-inline="yes-display-inline">For fiscal year 2019—</text>
									<subparagraph id="HF768B669FEB548048AF839FC55C98494"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $706,477,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="H395F3C10F2F249B78295E616A5DA410E"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $318,508,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="H9AB298B35AC44464AA36D53F7F6CF3AB"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$423,383,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="HA2615B2AE5EC4EEC92E52257D3CA2B07"><enum>(8)</enum><text display-inline="yes-display-inline">For fiscal year 2020—</text>
									<subparagraph id="HECDF6E9F7CF84CC693632A355CADE038"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $753,235,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="HE0C34C22E4204E4A8755AD51FED4DDDA"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $341,284,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="H9799D628204148AFA187189C130AB0E3"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$432,352,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph><paragraph id="HC9BA870062A6432583D45404EAE68324"><enum>(9)</enum><text display-inline="yes-display-inline">For fiscal year 2021—</text>
									<subparagraph id="H7499BEEEF2A348DBA9250044AABF76B6"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare, $803,952,000,000 in budget
				authority and the outlays flowing therefrom;</text>
									</subparagraph><subparagraph id="H151EF1FAD6B74BB4BA4D63DDA38389EC"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending, $348,739,000,000 in budget authority and the outlays flowing
				therefrom; and</text>
									</subparagraph><subparagraph id="HD3F626702F724565B3BDF142A7FB2E71"><enum>(C)</enum><text display-inline="yes-display-inline">for all other direct spending,
				$440,804,000,000 in budget authority and the outlays flowing therefrom.</text>
									</subparagraph></paragraph></subsection><subsection display-inline="no-display-inline" id="H6EF4C3B3B21541839D4F52A089E5A23A"><enum>(b)</enum><header>Sequestration</header><paragraph commented="no" display-inline="yes-display-inline" id="HA3B13FCC717C44CE99C80E616BCD2752"><enum>(1)</enum><text>Within 15 calendar days
				after Congress adjourns to end a session and on the same day as a sequestration
				under sections 251, 251A, 253, but after any sequestration required by section
				251 and 251A and before sections 252A and 253, there shall be a sequestration
				to eliminate any direct spending in excess of the direct spending limits set
				forth in subsection (a), as applicable, for the budget year.</text>
								</paragraph><paragraph id="H79BC17F4D5444245A8143F25096FCB91" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">The amount required to be sequestered in a
				fiscal year under paragraph (1)—</text>
									<subparagraph id="H336AD6DA8040463A968593B49C63718A"><enum>(A)</enum><text display-inline="yes-display-inline">for Medicare spending shall be obtained
				from non-exempt direct spending accounts for Medicare;</text>
									</subparagraph><subparagraph id="H1039BECE8FEA4A44A591F175A02079BD"><enum>(B)</enum><text display-inline="yes-display-inline">for Medicaid and other health-related
				spending shall be obtained from non-exempt direct spending accounts for
				Medicaid and other health-related spending; and</text>
									</subparagraph><subparagraph id="H7B9C2B30F6334A8C80A31749B402754B"><enum>(C)</enum><text>for all other direct spending shall be
				obtained from non-exempt direct spending accounts.</text>
									</subparagraph></paragraph><paragraph id="HECE02A855B4243C88F10B65ECE4D7B3F" indent="up1"><enum>(3)</enum><text>Each account referred to in
				subparagraph (A), (B), or (C) of paragraph (2) shall be reduced by the uniform
				percentage necessary to reduce any excess direct spending in accounts in that
				subparagraph to the applicable level set forth in subsection (a), as
				applicable, for the budget year.</text>
								</paragraph></subsection><subsection commented="no" id="H79361B0257C14F37884B299AF402B59E"><enum>(c)</enum><header>Scorekeeping
				guidelines</header><text>OMB and CBO, after consultation with each other and
				the Committees on the Budget of the House of Representatives and the Senate,
				shall—</text>
								<paragraph commented="no" id="HB1A986E672C244AC85DC69089165FF1B"><enum>(1)</enum><text>determine common
				scorekeeping guidelines; and</text>
								</paragraph><paragraph commented="no" id="H6CA5380D6AB94C5EA1C4C3A6B6A5AAD4"><enum>(2)</enum><text>in conformance
				with such guidelines, prepare estimates under this
				section</text>
								</paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="H6B223ED5E89349D8A256FCFC34ED2247"><enum>(b)</enum><header>Definitions</header><text>Section
			 250(c) of the Balanced Budget and Emergency Deficit Control Act of 1985 is
			 amended by adding at the end the following new paragraphs:</text>
					<quoted-block display-inline="no-display-inline" id="H3105FDA9930E4E72BD7E41DCD9D919CA" style="OLC">
						<paragraph id="HCE7248EFC71F4383882826844BD15A6F"><enum>(22)</enum><text display-inline="yes-display-inline">The term <term>Medicare</term> means
				programs within budget function 570.</text>
						</paragraph><paragraph id="HE34714CB725742C8B2B7A58809E13520"><enum>(23)</enum><text display-inline="yes-display-inline">The term <term>Medicaid and other
				health-related spending</term> means programs within budget function
				550.</text>
						</paragraph><paragraph id="HBA6F31461DA44283B3A1DBB4D97E7453"><enum>(24)</enum><text display-inline="yes-display-inline">The term <term>other direct spending</term>
				means programs other than those within budget functions 550 and 570, excluding
				Social Security and net
				interest.</text>
						</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="H3D681BC9432044828C89D52FE3F0AEB0"><enum>(c)</enum><header>Conforming
			 amendment</header><text>The item relating to section 252 in the table of
			 contents set forth in 250(a) of the Balanced Budget and Emergency Deficit
			 Control Act of 1985 is amended to read as follows:</text>
					<quoted-block id="HFD2634DA88284323BA86DFB32BCAC864" style="OLC">
						<toc regeneration="no-regeneration">
							<toc-entry level="section">Sec. 252. Direct spending
				limits.</toc-entry>
						</toc>
						<after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection></section><section id="H3986F5EF12FE4AE2A5E4E15AE7BDC97C"><enum>102.</enum><header>Total spending
			 limits</header>
				<subsection id="HD88E83D3591E4D8C9515704FBF3ACA90"><enum>(a)</enum><header>Total spending
			 limits</header><text display-inline="yes-display-inline">The Balanced Budget
			 and Emergency Deficit Control Act of 1985 is amended by adding after section
			 252 the following new section:</text>
					<quoted-block id="H397E5F673D1A48009B534C67A6DE32CE">
						<section id="HED0A7EB02EBC4521B74D221A5E1341FA"><enum>252A.</enum><header>Total spending
				limits</header>
							<subsection id="H28EA4325BC5C4C13A2E9D3E35AC27F6B"><enum>(a)</enum><header>Sequestration</header><paragraph commented="no" display-inline="yes-display-inline" id="H8AAD21CBEFDD43E0A6FA57AE2F87E03B"><enum>(1)</enum><text display-inline="yes-display-inline">Within 15 calendar days after Congress
				adjourns to end a session and on the same day as a spending reduction ordered
				under sections 251, 251A, 252, and 253, but after any spending reduction
				required by sections 251, 251A, and 252, and before section 253, there shall be
				a sequestration of all non-exempt direct spending accounts and discretionary
				accounts to eliminate any total spending in excess of the total spending limits
				set forth in subsection (b) for the budget year.</text>
								</paragraph><paragraph id="H43E06D7AEAE14C9993E7949354EE4AE8" indent="up1"><enum>(2)</enum><text>Each account referred to in paragraph
				(1) shall be reduced by the uniform percentage necessary to reduce total
				spending to the applicable level set forth in subsection (b) for the budget
				year.</text>
								</paragraph></subsection><subsection commented="no" id="H9989FC67F5804B278D02282CB736FA58"><enum>(b)</enum><header>Total spending
				limits</header>
								<paragraph commented="no" id="H901E6846F772447396716821927B1A5A"><enum>(1)</enum><text display-inline="yes-display-inline">fiscal year 2013: 21.7 percent;</text>
								</paragraph><paragraph commented="no" id="H90D43D594C51413E8A87DF5D2F22B628"><enum>(2)</enum><text display-inline="yes-display-inline">fiscal year 2014: 20.8 percent;</text>
								</paragraph><paragraph commented="no" id="H21411E7C30CA4120B49F8CFE5DB6433F"><enum>(3)</enum><text display-inline="yes-display-inline">fiscal year 2015: 20.2 percent;</text>
								</paragraph><paragraph commented="no" id="H256C87C91B85486BA26E0948934F8FCC"><enum>(4)</enum><text display-inline="yes-display-inline">fiscal year 2016: 20.1 percent;</text>
								</paragraph><paragraph commented="no" id="H70064CC1B299452E9A6CBD1DF6B935F1"><enum>(5)</enum><text>fiscal year 2017:
				19.9 percent;</text>
								</paragraph><paragraph commented="no" id="HEB5376CDC834438A9E1F4418B9FEBEF9"><enum>(6)</enum><text>fiscal year 2018:
				19.7 percent;</text>
								</paragraph><paragraph commented="no" id="H6F118B709E604345B46136CF5FB43FE7"><enum>(7)</enum><text>fiscal year 2019:
				19.9 percent;</text>
								</paragraph><paragraph commented="no" id="HCED1F4996BF447A9A8ADBF10E3E56C1D"><enum>(8)</enum><text>fiscal year 2020:
				19.9 percent; and</text>
								</paragraph><paragraph commented="no" id="H2010E4DAC8394146A58CC2C7AE978D13"><enum>(9)</enum><text>fiscal year 2021:
				19.9 percent;</text>
								</paragraph><continuation-text commented="no" continuation-text-level="subsection">of the current projected gross
				domestic product of the United States for the budget
				year.</continuation-text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="H03E871336E124D83B5BA14291B723D92"><enum>(b)</enum><header>Definitions</header><text display-inline="yes-display-inline">Section 250(c) of the Balanced Budget and
			 Emergency Deficit Control Act of 1985 (as amended by section 101) is further
			 amended by adding at the end the following new paragraph:</text>
					<quoted-block id="HE4C3F374E39D42FF9B28E38FB50165D8" style="OLC">
						<paragraph id="H05C928856E0848CE9305EB8F72C4DCAB"><enum>(25)</enum><text>The term
				<term>total spending</term> means all outlays of the Government, including
				those from off-budget
				entities.</text>
						</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="H046685A2A4764807B52FEA6AD1075FD7"><enum>(c)</enum><header>Conforming
			 amendment</header><text>The table of contents set forth in 250(a) of the
			 Balanced Budget and Emergency Deficit Control Act of 1985 is amended by
			 inserting after the item relating to section 252 the following new item:</text>
					<quoted-block id="H8FA83F0F980C4B3D9AA3430CB32E27AD" style="OLC">
						<toc regeneration="no-regeneration">
							<toc-entry level="section">Sec. 252A. Total spending
				limits.</toc-entry>
						</toc>
						<after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection></section><section id="H67B5BE9A93E44CACB083804610522962"><enum>103.</enum><header>Deficit
			 limits</header>
				<subsection id="H394546FF232F46D4993C85CC4C1B3710"><enum>(a)</enum><header>Deficit
			 limits</header><text display-inline="yes-display-inline">Section 253 of the
			 Balanced Budget and Emergency Deficit Control Act of 1985 is amended to read as
			 follows:</text>
					<quoted-block display-inline="no-display-inline" id="H6B3DFB01972E48BF8BA1D19C8F11BA3A" style="OLC">
						<section id="H6D4FD2B537F44B17B4221CBE1B4DFF5C"><enum>253.</enum><header>Deficit
				limits</header>
							<subsection id="H0B2E6D7E9F4549F39E98F6DAC553DAEB"><enum>(a)</enum><header>Deficit
				projections</header>
								<paragraph id="HC005A5EDFA364C859BD974AFD2B51C78"><enum>(1)</enum><header>Deficit
				amounts</header><text display-inline="yes-display-inline">For the current
				fiscal year and each subsequent ten fiscal years:</text>
									<subparagraph id="H64E65B00911B4CD898FF07355DA4E258"><enum>(A)</enum><text>OMB shall prepare
				a report comparing projected total deficits and the deficit limits in
				subsection (c), and include such report in the budget as submitted by the
				President annually under section 1105(a) of title 31, United States
				Code.</text>
									</subparagraph><subparagraph id="HBB64A2E24CA14D4BA94AB2ED5793FF59"><enum>(B)</enum><text>CBO shall prepare
				a report comparing projected total deficit amounts and the deficit limits in
				subsection (c) and include such report in the CBO annual baseline and
				reestimate of the President’s budget.</text>
									</subparagraph></paragraph><paragraph id="H7C17BEA1EF1C4066A34584B60EBD353B"><enum>(2)</enum><header>Inclusion in
				spending reduction orders</header><text>Reports prepared pursuant to subsection
				(a) shall be included in the spending reduction report set forth in subsection
				(b).</text>
								</paragraph></subsection><subsection display-inline="no-display-inline" id="H2D4EB1BF7F6248F0B231DA1649C96874"><enum>(b)</enum><header>Sequestration</header><paragraph commented="no" display-inline="yes-display-inline" id="HD9223F1C847C43F2B13F53809DDE4074"><enum>(1)</enum><text>Within 15 calendar days
				after Congress adjourns to end a session and on the same day as a spending
				reduction ordered under sections 251, 251A, 252, and 252A, but after any
				spending reduction required by section 251, 251A, 252, or 252A, there shall be
				a sequestration to eliminate any excess deficit.</text>
								</paragraph><paragraph id="HC0015C0EF2434DC9B50A24B6F84D08CE" indent="up1"><enum>(2)</enum><text>The amount required to be sequestered
				in a fiscal year under paragraph (1) shall be obtained from non-exempt direct
				spending and discretionary spending accounts. Each account shall be reduced by
				the uniform percentage necessary to achieve the required reduction in the
				deficit so as not to exceed the deficit limit for that fiscal year.</text>
								</paragraph></subsection><subsection commented="no" id="HFC5E3F78AD944D5CA5FE887855AA5342"><enum>(c)</enum><header>Deficit
				limits</header><text display-inline="yes-display-inline">In this section, the
				term <term>deficit limit</term> means an amount that equals with respect
				to—</text>
								<paragraph commented="no" id="HED0BACD8F04943A397BBA666684935E3"><enum>(1)</enum><text display-inline="yes-display-inline">fiscal year 2013: 4.3 percent;</text>
								</paragraph><paragraph commented="no" id="HD50EEE4945D94632A9D627BD74AE01D2"><enum>(2)</enum><text display-inline="yes-display-inline">fiscal year 2014: 2.8 percent;</text>
								</paragraph><paragraph commented="no" id="H61E05A2EE44544DAB20E2954009D73D8"><enum>(3)</enum><text display-inline="yes-display-inline">fiscal year 2015: 2.4 percent;</text>
								</paragraph><paragraph commented="no" id="HA6570CDA1D9048389C4D724BBB58B603"><enum>(4)</enum><text display-inline="yes-display-inline">fiscal year 2016: 2.5 percent;</text>
								</paragraph><paragraph commented="no" id="HD1ADC6C8F39247299200DD64B62A4ADC"><enum>(5)</enum><text display-inline="yes-display-inline">fiscal year 2017: 2.0 percent;</text>
								</paragraph><paragraph commented="no" id="H73B83BDA73B2499783CCD6763CF68902"><enum>(6)</enum><text display-inline="yes-display-inline">fiscal year 2018: 1.8 percent;</text>
								</paragraph><paragraph commented="no" id="H3DA139A25F3149B9858D58373E4A385B"><enum>(7)</enum><text>fiscal year 2019:
				1.9 percent;</text>
								</paragraph><paragraph commented="no" id="HC7D2F4F2FE704E47B93E9AC6142E6046"><enum>(8)</enum><text>fiscal year 2020:
				1.8 percent; and</text>
								</paragraph><paragraph commented="no" id="H96E66106451147D0BDC92595E36F2AFC"><enum>(9)</enum><text display-inline="yes-display-inline">fiscal year 2021: 1.6 percent;</text>
								</paragraph><continuation-text commented="no" continuation-text-level="subsection">of the current projected gross
				domestic product of the United States for the budget
				year.</continuation-text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="HCF59B6A343984C56A74B5F2B117D332A"><enum>(b)</enum><header>Conforming
			 amendment</header><text>The item relating to section 253 in the table of
			 contents set forth in section 250(a) of the Balanced Budget and Emergency
			 Deficit Control Act of 1985 is amended to read as follows:</text>
					<quoted-block id="H4F9B24C865FB430298A19CAE0B6A1878" style="OLC">
						<toc regeneration="no-regeneration">
							<toc-entry level="section">Sec. 253. Deficit
				limits.</toc-entry>
						</toc>
						<after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection></section><section id="HCB8259F68100418B89EA14EEE31947F0"><enum>104.</enum><header>Repeal of
			 statutory PAYGO</header><text display-inline="no-display-inline">The Statutory
			 Pay-As-You-Go Act of 2010 (2 U.S.C. 931 note) is repealed.</text>
			</section><section id="HBD71F90EC90242ADA51602E628061E15"><enum>105.</enum><header>Reports and
			 orders</header><text display-inline="no-display-inline">Section 254 of the
			 Balanced Budget and Emergency Deficit Control Act of 1985 is amended—</text>
				<paragraph id="H89697D992FA44C3FBD59950BF7184B1C"><enum>(1)</enum><text>in subsection (c),
			 by repealing paragraph (1) and inserting the following new paragraph:</text>
					<quoted-block display-inline="no-display-inline" id="HD4DF9313115D45B5B939BD49A10C1CEF" style="OLC">
						<paragraph id="H502AAFCAE3CF4E9F9E047FFFD07CFCB1"><enum>(1)</enum><header>Reporting
				requirement</header><text display-inline="yes-display-inline">On the dates
				specified in subsection (a), OMB and CBO shall issue a preview report regarding
				discretionary, direct, total, and deficit sequestration based on laws enacted
				through those
				dates.</text>
						</paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
				</paragraph><paragraph id="H626B83AAAD004EADA4D4EA6916915008"><enum>(2)</enum><text>in subsection (c),
			 by repealing paragraph (3) and inserting the following new paragraph:</text>
					<quoted-block display-inline="no-display-inline" id="H55D0139B3EA243119823E641E97A180B" style="OLC">
						<paragraph id="H1CEF8E630AB04D6BBC083A5AAE7D8985"><enum>(3)</enum><header>Direct spending
				sequestration reports</header><text display-inline="yes-display-inline">The
				preview report shall set forth for the budget year estimates for each of the
				following:</text>
							<subparagraph id="HF28548B2E7154FBB96CBE03DE6567905"><enum>(A)</enum><text>The amount of any
				excess direct spending for Medicare, for Medicaid and other health-related
				spending, and for all other direct spending.</text>
							</subparagraph><subparagraph id="HC0405C7C3C844E65ACF6B2B64AD33615"><enum>(B)</enum><text>The sequestration
				percentage or percentages necessary to reduce any direct spending in accounts
				for Medicare, for Medicaid and other health-related spending, and for all other
				direct spending, as
				applicable.</text>
							</subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
				</paragraph><paragraph id="H6311E12AA4DB44658C1B2350C09DC30A"><enum>(3)</enum><text>in subsection (c),
			 by repealing paragraph (4), by redesignating paragraph (5) as paragraph (6),
			 and by inserting the following new paragraphs:</text>
					<quoted-block display-inline="no-display-inline" id="HFE812FDCBCEE4DB2AAF5BB04DAFABE6F" style="OLC">
						<paragraph id="HF82B71BC14124193AB7D36A8C03301E6"><enum>(4)</enum><header>Total spending
				sequestration reports</header><text display-inline="yes-display-inline">The
				preview report shall set forth for the budget year estimates for each of the
				following:</text>
							<subparagraph id="HC9AC96DCB8784BE2825CE2C64C226704"><enum>(A)</enum><text>The amount of the
				current projected gross domestic product of the United States.</text>
							</subparagraph><subparagraph id="H9AA1711C9F1F40FD96FDD23C156AA3EB"><enum>(B)</enum><text>Estimated total
				spending.</text>
							</subparagraph><subparagraph id="H937F72F7E99B409098F23F006F7EFDBF"><enum>(C)</enum><text>The amount by
				which the total spending exceeds the total spending limit.</text>
							</subparagraph><subparagraph id="HCA9F542467FB4C1CAC2316C44D39791F"><enum>(D)</enum><text>The sequestration
				percentage necessary to eliminate any excess total spending.</text>
							</subparagraph></paragraph><paragraph id="H6687875569CD4A6DAA54AEB9C75D22D3"><enum>(5)</enum><header>Deficit
				sequestration reports</header><text>The preview report shall set forth for the
				budget year estimates for each of the following:</text>
							<subparagraph id="H567C476C34FC40618BD4579E61864297"><enum>(A)</enum><text>The amount of the
				projected gross domestic product of the United States.</text>
							</subparagraph><subparagraph id="H4A2F83FE98794E5C8F52F8972AC5CE5F"><enum>(B)</enum><text>The estimated
				deficit.</text>
							</subparagraph><subparagraph id="HEC92F3234ED04B979DD7BA1D6BD4DC80"><enum>(C)</enum><text>The amount by
				which the estimated deficit exceeds the deficit limit.</text>
							</subparagraph><subparagraph id="H27231E8AAA11441D807ACC15ABD5B3DD"><enum>(D)</enum><text>The sequestration
				percentage necessary to eliminate any excess deficit
				spending.</text>
							</subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block>
				</paragraph><paragraph id="H882B00370BB84547828DDE76367122B7"><enum>(4)</enum><text>in subsection
			 (f)(3), by amending the side heading and the first sentence to read as follows:
			 <quote><header-in-text level="paragraph" style="OLC">Direct, total, and deficit
			 sequestration reports</header-in-text>.—The final report shall contain all the
			 information required in the direct, total, and deficit sequestration preview
			 reports. The final report shall also include any net increase or decrease in
			 the current year resulting from all OMB estimates for the current year of
			 direct spending that were not reflected in the final OMB sequestration report
			 for the current year.</quote>;</text>
				</paragraph><paragraph id="H7D3C212002354F4E998A75E5D1FBDFE2"><enum>(5)</enum><text>in subsection (f),
			 by amending paragraph (4) to read as follows:</text>
					<quoted-block display-inline="no-display-inline" id="H2353567E7C224EDAB4201F6CBFCA0C83" style="OLC">
						<paragraph id="HEFAD0BBF06CF44FB9687C6D499D6D35F"><enum>(4)</enum><header>Explanation of
				differences</header><text display-inline="yes-display-inline">The OMB report
				shall explain any material differences between OMB and CBO estimates in any
				comparable reports.</text>
						</paragraph><after-quoted-block>;
				and</after-quoted-block></quoted-block>
				</paragraph><paragraph id="H7A92EDEF41984B2490F55EFFD6A9086E"><enum>(6)</enum><text>in subsection (g),
			 by striking <quote>(f)(4)</quote> and inserting <quote>(f)(5)</quote>.</text>
				</paragraph></section><section id="H3A7E63EC48754F20B5D33FED36A94221"><enum>106.</enum><header>Exempt programs
			 and activities; special sequestration rules</header><text display-inline="no-display-inline">Sections 255 and 256 of the Balanced Budget
			 and Emergency Deficit Control Act of 1985 are amended to read as
			 follows:</text>
				<quoted-block display-inline="no-display-inline" id="H214BA787EA7140DF962A5499454A0D6D" style="OLC">
					<section id="H8087A46C6760421984020ED33B456400"><enum>255.</enum><header>Exempt programs
				and activities</header>
						<subsection id="H1BC33F440572411DAF02DF6C9223E939"><enum>(a)</enum><header>Exempt programs
				and activities</header><text display-inline="yes-display-inline">The following
				shall be exempt from reduction under any order issued under this part:</text>
							<paragraph id="HE42CE5E1788E47BF9E60EE6C4835F873"><enum>(1)</enum><text>Payments for net
				interest.</text>
							</paragraph><paragraph id="H81B80BED74B343AB879BFDC238EF1C19"><enum>(2)</enum><text>Benefits payable
				under the old-age, survivors, and disability insurance program established
				under title II of the Social Security Act.</text>
							</paragraph><paragraph id="H67BF5C0B1C6D4A299B66E82F71DBC800"><enum>(3)</enum><text>Compensation,
				pensions, and benefits provided to veterans defined as direct spending payable
				by the Department of Veterans Affairs.</text>
							</paragraph><paragraph id="HC14B19A1703D492BAD4C0271278E210E"><enum>(4)</enum><text>Obligated balances
				of budget authority carried over from prior fiscal years.</text>
							</paragraph><paragraph id="H44927775F2EF4FC2B582D30CBB751254"><enum>(5)</enum><text>Any obligations of
				the Federal Government required to be paid under the United States Constitution
				or legally contractual obligations.</text>
							</paragraph><paragraph id="HC5BC9862116A4C0698EBAB236B4DD2AC"><enum>(6)</enum><text>Claims, Judgments,
				and Relief Acts (20–1895–0–1–808).</text>
							</paragraph><paragraph id="H954D33C2F8A04271B97ED22DE85CE4C5"><enum>(7)</enum><text>Intragovernmental
				transfers.</text>
							</paragraph></subsection><subsection id="H071508D9F632489FB0DF04E868D2C3F9"><enum>(b)</enum><header>Optional
				Exemption of Military Personnel</header>
							<paragraph id="HE71A180AED6743F9AFC8488EE2DBE5FB"><enum>(1)</enum><header>In
				general</header><text>The President may, with respect to any military personnel
				account, exempt that account from sequestration or provide for a lower uniform
				percentage reduction than would otherwise apply.</text>
							</paragraph><paragraph id="H70AC1E46A04847C0BA9A000B74C2B9FA"><enum>(2)</enum><header>Limitation</header><text>The
				President may not use the authority provided by paragraph (1) unless the
				President notifies the Congress of the manner in which such authority will be
				exercised on or before the date specified in section 254(a) for the budget
				year.</text>
							</paragraph></subsection></section><section id="H12C1D8C46F2944F2A0A3F83209C8E1C4"><enum>256.</enum><header>General and
				special sequestration rules</header>
						<subsection id="H6DA19F2D3C324CEDBC299FE137D77281"><enum>(a)</enum><header>Limitations</header><paragraph commented="no" display-inline="yes-display-inline" id="H18D9A50A59944D3089AE63C59AAF96EA"><enum>(1)</enum><text>No direct spending
				program that OMB estimates for the budget year is growing at a rate that
				exceeds the estimated rate of growth of the consumer price index for that year
				shall be subject to a spending reduction of more than four percent of its
				budgetary resources.</text>
							</paragraph><paragraph id="H154EF97B96B74503AE30F2CC11C488C4" indent="up1"><enum>(2)</enum><text>No direct spending program that OMB
				estimates for the budget year is growing at a rate that is equal to or less
				than the consumer price index for that year shall be subject to a spending
				reduction.</text>
							</paragraph></subsection><subsection id="H0714481187964FF9A803EF33A7522C47"><enum>(b)</enum><header>Student
				loans</header><text>For all student loans under part B or D of title IV of the
				Higher Education Act of 1965 made during the period when a sequestration order
				under section 254 is in effect as required by section 252, 252A, or 253,
				origination fees under sections 438(c)(2) and (6) and 455(c) and loan
				processing and issuance fees under section 428(f)(1)(A)(ii) of that Act shall
				each be increased by the uniform percentage specified in that sequestration
				order, and, for student loans originated during the period of the sequestration
				accruing during the period of the sequestration shall be reduced by the uniform
				percentage specified in that sequestration order.</text>
						</subsection><subsection id="HCC914D3D3BA4468EBD0BC241876D8896"><enum>(c)</enum><header>Special rules
				for Medicare program</header>
							<paragraph id="HADF64E98FE6144128CC8C9008BE81953"><enum>(1)</enum><header>Calculation of
				reduction in payment amounts</header><text>To achieve the total percentage
				reduction in those programs required by section 252, 252A, or 253, subject to
				paragraph (2), and notwithstanding section 710 of the Social Security Act, OMB
				shall determine, and the applicable Presidential order under section 254 shall
				implement, the percentage reduction that shall apply, with respect to the
				health insurance programs under title XVIII of the Social Security Act—</text>
								<subparagraph id="H3EAF3E1815024AAAA6346374AD9A7C1D"><enum>(A)</enum><text>in the case of
				parts A and B of such title, to individual payments for services furnished
				during the one-year period beginning on the first day of the first month
				beginning after the date the order is issued (or, if later, the date specified
				in paragraph (4)); and</text>
								</subparagraph><subparagraph id="HFBA0FE82C9914C188DC658C1A8503EC4"><enum>(B)</enum><text>in the case of
				parts C and D, to monthly payments under contracts under such parts for the
				same one-year period;</text>
								</subparagraph><continuation-text continuation-text-level="paragraph">such that
				the reduction made in payments under that order shall achieve the required
				total percentage reduction in those payments for that period.</continuation-text></paragraph><paragraph id="H2AE9979501E94A74A10A9CC7FA4D90C8"><enum>(2)</enum><header>Uniform
				reduction rate; maximum permissible reduction</header><text>Reductions in
				payments for programs and activities under such title XVIII pursuant to a
				sequestration order under section 254 shall be at a uniform rate across all
				such programs and activities subject to such order.</text>
							</paragraph><paragraph id="H6A2A7A61EF4C4BCC948C10C58E4C4580"><enum>(3)</enum><header>Timing of
				application of reductions</header>
								<subparagraph id="HE1351061B4844D13BA90BA011878E884"><enum>(A)</enum><header>In
				general</header><text>Except as provided in subparagraph (B), if a reduction is
				made under paragraph (1) in payment amounts pursuant to a sequestration order,
				the reduction shall be applied to payment for services furnished during the
				effective period of the order. For purposes of the previous sentence, in the
				case of inpatient services furnished for an individual, the services shall be
				considered to be furnished on the date of the individual's discharge from the
				inpatient facility.</text>
								</subparagraph><subparagraph id="H655E4345B6244F5DB33DC11BDC0B07DE"><enum>(B)</enum><header>Payment on the
				basis of cost reporting periods</header><text>In the case in which payment for
				services of a provider of services is made under title XVIII of the Social
				Security Act on a basis relating to the reasonable cost incurred for the
				services during a cost reporting period of the provider, if a reduction is made
				under paragraph (1) in payment amounts pursuant to a sequestration order, the
				reduction shall be applied to payment for costs for such services incurred at
				any time during each cost reporting period of the provider any part of which
				occurs during the effective period of the order, but only (for each such cost
				reporting period) in the same proportion as the fraction of the cost reporting
				period that occurs during the effective period of the order.</text>
								</subparagraph></paragraph><paragraph id="HC4E69523CE3946FABA6D240D3DE2C2E6"><enum>(4)</enum><header>Timing of
				subsequent sequestration order</header><text>A sequestration order required by
				section 252, 252A, or 253 with respect to programs under such title XVIII shall
				not take effect until the first month beginning after the end of the effective
				period of any prior sequestration order with respect to such programs, as
				determined in accordance with paragraph (1).</text>
							</paragraph><paragraph id="H11E2C9AFE80F44DCA6EF20257A3DCC58"><enum>(5)</enum><header>No increase in
				beneficiary charges in assignment-related cases</header><text>If a reduction in
				payment amounts is made under paragraph (1) for services for which payment
				under part B of title XVIII of the Social Security Act is made on the basis of
				an assignment described in section 1842(b)(3)(B)(ii), in accordance with
				section 1842(b)(6)(B), or under the procedure described in section 1870(f)(1),
				of such Act, the person furnishing the services shall be considered to have
				accepted payment of the reasonable charge for the services, less any reduction
				in payment amount made pursuant to a sequestration order, as payment in
				full.</text>
							</paragraph><paragraph id="H5F162CDBA12D499CB234935416E8458A"><enum>(6)</enum><header>Sequestration
				disregarded in computing payment amounts</header><text>The Secretary of Health
				and Human Services shall not take into account any reductions in payment
				amounts which have been or may be effected under this part, for purposes of
				computing any adjustments to payment rates under such title XVIII, specifically
				including—</text>
								<subparagraph id="H8C5FB589970D405CAD2DF52BBB94E055"><enum>(A)</enum><text>the part C growth
				percentage under section 1853(c)(6);</text>
								</subparagraph><subparagraph id="H17A54AC817B74A0798F9EE9BD3841D6A"><enum>(B)</enum><text>the part D annual
				growth rate under section 1860D–2(b)(6); and</text>
								</subparagraph><subparagraph id="H24266BDD17C044D2B5E81CC401CFE21E"><enum>(C)</enum><text>application of
				risk corridors to part D payment rates under section 1860D–15(e).</text>
								</subparagraph></paragraph></subsection><subsection id="HE2610F9030E446CD95A341012F3F02ED"><enum>(d)</enum><header>Effects of
				sequestration</header><text>The effects of sequestration shall be as
				follows:</text>
							<paragraph id="H257A407E83FA45A1B4D67884C437F3C3"><enum>(1)</enum><text>Budgetary
				resources sequestered from any account shall be permanently cancelled, except
				as provided in paragraph (6).</text>
							</paragraph><paragraph id="H88A67EFD9E774B6783C988E49D935EF1"><enum>(2)</enum><text>Except as
				otherwise provided, the same percentage sequestration shall apply to all
				programs, projects, and activities within a budget account (with programs,
				projects, and activities as delineated in the appropriation Act or accompanying
				report for the relevant fiscal year covering that account, or for accounts not
				included in appropriation Acts, as delineated in the most recently submitted
				President's budget).</text>
							</paragraph><paragraph id="HAB6486BD14694EAAB010F94547A213AA"><enum>(3)</enum><text>Administrative
				regulations or similar actions implementing a sequestration shall be made
				within 120 days of the sequestration order. To the extent that formula
				allocations differ at different levels of budgetary resources within an
				account, program, project, or activity, the sequestration shall be interpreted
				as producing a lower total appropriation, with the remaining amount of the
				appropriation being obligated in a manner consistent with program allocation
				formulas in substantive law.</text>
							</paragraph><paragraph id="HFF43255FFD974418911E6F9EA9C10D9E"><enum>(4)</enum><text>Except as
				otherwise provided, obligations in sequestered accounts shall be reduced only
				in the fiscal year in which a sequester occurs.</text>
							</paragraph><paragraph id="HFEC94E788B854888ADE623E2BDECC9DA"><enum>(5)</enum><text>If an automatic
				spending increase is sequestered, the increase (in the applicable index) that
				was disregarded as a result of that sequestration shall not be taken into
				account in any subsequent fiscal year.</text>
							</paragraph><paragraph id="H6CD54C7177DE4A5AB87A90F4A0DF044A"><enum>(6)</enum><text>Budgetary
				resources sequestered in revolving, trust, and special fund accounts and
				offsetting collections sequestered in appropriation accounts shall not be
				available for obligation during the fiscal year in which the sequestration
				occurs, but shall be available in subsequent years to the extent otherwise
				provided in law.</text>
							</paragraph></subsection><subsection id="H292C4B459B69408A86E9280EA6AB1619"><enum>(e)</enum><header>Commodity Credit
				Corporation</header>
							<paragraph id="H94038C345EA04C5986899DCB9D0DC531"><enum>(1)</enum><header>Powers and
				authorities of the commodity credit corporation</header><text>This title shall
				not restrict the Commodity Credit Corporation in the discharge of its authority
				and responsibility as a corporation to buy and sell commodities in world trade,
				to use the proceeds as a revolving fund to meet other obligations and otherwise
				operate as a corporation, the purpose for which it was created.</text>
							</paragraph><paragraph id="HE6A8194D69BE48E5932922B26DAB0CBA"><enum>(2)</enum><header>Reduction in
				payments made under contracts</header><subparagraph commented="no" display-inline="yes-display-inline" id="H53BC61FF67404C4F8502EA14DDDDE1E4"><enum>(A)</enum><text>Loan eligibility under
				any contract entered into with a person by the Commodity Credit Corporation
				prior to the time an order has been issued under section 254 shall not be
				reduced by an order subsequently issued. Subject to subparagraph (B), after an
				order is issued under such section for a fiscal year, any cash payments for
				loans or loan deficiencies made by the Commodity Credit Corporation shall be
				subject to reduction under the order.</text>
								</subparagraph><subparagraph id="HAECB361830C44C339668565F99C67FA9" indent="up1"><enum>(B)</enum><text>Each loan contract entered into with
				producers or producer cooperatives with respect to a particular crop of a
				commodity and subject to reduction under subparagraph (A) shall be reduced in
				accordance with the same terms and conditions. If some, but not all, contracts
				applicable to a crop of a commodity have been entered into prior to the
				issuance of an order under section 254, the order shall provide that the
				necessary reduction in payments under contracts applicable to the commodity be
				uniformly applied to all contracts for the next succeeding crop of the
				commodity, under the authority provided in paragraph (3).</text>
								</subparagraph></paragraph><paragraph id="HFAC9D55642604902885706609E517976"><enum>(3)</enum><header>Delayed
				reduction in outlays permissible</header><text>Notwithstanding any other
				provision of this title, if an order under section 254 is issued with respect
				to a fiscal year, any reduction under the order applicable to contracts
				described in paragraph (1) may provide for reductions in outlays for the
				account involved to occur in the fiscal year following the fiscal year to which
				the order applies.</text>
							</paragraph><paragraph id="H6E4C57852384489C8E3437D8D3B7A2F8"><enum>(4)</enum><header>Uniform
				percentage rate of reduction and other limitations</header><text>All reductions
				described in paragraph (2) required to be made in connection with an order
				issued under section 254 with respect to a fiscal year shall be made so as to
				ensure that outlays for each program, project, activity, or account involved
				are reduced by a percentage rate that is uniform for all such programs,
				projects, activities, and accounts, and may not be made so as to achieve a
				percentage rate of reduction in any such item exceeding the rate specified in
				the order.</text>
							</paragraph><paragraph id="H8487520BA8EE4BC19B31FAB0622152B5"><enum>(5)</enum><header>Dairy
				program</header><text>Notwithstanding any other provision of this subsection,
				as the sole means of achieving any reduction in outlays under the milk price
				support program, the Secretary of Agriculture shall provide for a reduction to
				be made in the price received by producers for all milk produced in the United
				States and marketed by producers for commercial use. That price reduction
				(measured in cents per hundred weight of milk marketed) shall occur under
				section 201(d)(2)(A) of the Agricultural Act of 1949 (7 U.S.C. 1446(d)(2)(A)),
				shall begin on the day any sequestration order is issued under section 254, and
				shall not exceed the aggregate amount of the reduction in outlays under the
				milk price support program that otherwise would have been achieved by reducing
				payments for the purchase of milk or the products of milk under this subsection
				during the applicable fiscal year.</text>
							</paragraph><paragraph id="H268CDA41183246A4B6F23DB3A98192BB"><enum>(6)</enum><header>Certain
				authority not to be limited</header><text>Nothing in this joint resolution
				shall limit or reduce, in any way, any appropriation that provides the
				Commodity Credit Corporation with budget authority to cover the Corporation's
				net realized losses.</text>
							</paragraph></subsection></section><after-quoted-block>.
				</after-quoted-block></quoted-block>
			</section><section id="H641F000C9E194092AE031E1F70EC842C"><enum>107.</enum><header>Adjustments for
			 changes in direct spending</header><text display-inline="no-display-inline">Section 251(b)(2) of the Balanced Budget and
			 Emergency Deficit Control Act of 1985 is amended by adding at the end the
			 following new subparagraph:</text>
				<quoted-block display-inline="no-display-inline" id="H92B65715FC9F4E0990910189BD3550D5" style="OLC">
					<subparagraph commented="no" id="HC9E5750ED277460793328A97DA09E3B1"><enum>(E)</enum><header>Changes in
				direct spending programs</header><text display-inline="yes-display-inline">If
				an appropriation for the budget year causes a change in direct spending in any
				outyear, then there shall be an appropriate adjustment for that outyear for the
				discretionary spending limit under this section and the direct spending limit
				under section
				252.</text>
					</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
			</section></title><title id="HCF5B4589967B4CA8A8CDAFF45AC6F635"><enum>II</enum><header>Budgeting for
			 emergencies and war</header>
			<section id="H96307303DCCD467BB9FD8496065C443F"><enum>201.</enum><header>Allocations for
			 the global war on terrorism</header><text display-inline="no-display-inline">Section 302(a)(5) of the Congressional
			 Budget Act of 1974 (2 U.S.C. 633) is amended to read as follows:</text>
				<quoted-block display-inline="no-display-inline" id="H34255DFAE5A24C60BB2FFA9CE910A0B1" style="OLC">
					<paragraph commented="no" id="H6FA542208FD846E29133AF36ADBB9A58"><enum>(5)</enum><header>Global war on
				terrorism (GWOT)</header><text display-inline="yes-display-inline">The joint
				explanatory statement accompanying a conference report on a concurrent
				resolution on the budget for a fiscal year may include an allocation,
				consistent with the resolution recommended in the conference report, of the
				level for the global war on terrorism (GWOT) for that fiscal
				year.</text>
					</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
			</section><section id="H3BD36E4B886A4E2790A712F91B1E5BCA"><enum>202.</enum><header>Emergency and
			 global war on terrorism (GWOT) adjustment procedures</header>
				<subsection id="H23849399BB7D41529B92C075E5551784"><enum>(a)</enum><header>In
			 general</header><text display-inline="yes-display-inline">Title III of the
			 Congressional Budget Act of 1974 is amended by adding at the end the following
			 new section:</text>
					<quoted-block display-inline="no-display-inline" id="HE9953419E60246BD9BA9A47F857D7BB3" style="traditional">
						<section id="HFA0AA3316F9B4DC794B748101B8B7B06"><enum>318.</enum><header>Emergencies; global war on terrorism
		  (GWOT)</header><subsection commented="no" display-inline="yes-display-inline" id="H4312D87A24FF43E98FA090517750F977"><enum>(a)</enum><header>Adjustment
				procedures</header><text display-inline="yes-display-inline">Before any
				adjustment is made pursuant to this section for any bill or joint resolution,
				or conference report thereon, that designates a provision an emergency or for
				the global war on terrorism (GWOT), the enactment of which would cause an
				increase in budget authority or decrease in revenue:</text>
								<paragraph id="H2EDF0A8C6CD04DF88E19BB76F5B2E5E7"><enum>(1)</enum><text display-inline="yes-display-inline">The chairman of the Committee on the Budget
				of the House of Representatives or the Senate shall convene a meeting of that
				committee, where it shall be in order, subject to the terms set forth in this
				section, for one motion described in paragraph (2) to be made to authorize the
				chairman to make adjustments above the applicable allocation set forth in the
				most recently enacted concurrent resolution on the budget pursuant to the
				requirement of section 302(a)(5) or (6).</text>
								</paragraph><paragraph id="H357B177492E6461D9CD538F9FE9CAB54"><enum>(2)</enum><text display-inline="yes-display-inline">The motion referred to in paragraph (1)
				shall be in the following form: <quote>I move that the chairman of the
				Committee on the Budget be authorized to adjust the allocations and aggregates
				set forth in the concurrent resolution on the budget by the following amount:
				$____ for fiscal year ___.</quote>, with the blanks being filled in with an
				amount and fiscal year determined by the chairman of the Committee on the
				Budget of the House of Representatives or the Senate.</text>
								</paragraph><paragraph id="HDF55E258A4084EE0849E935C3362DD47"><enum>(3)</enum><text>The motion set
				forth in paragraph (2) shall be open for debate and amendment, but any
				amendment offered thereto is only in order if limited to changing an amount in
				the motion.</text>
								</paragraph></subsection><subsection id="H3B7348687D524AA4907AB6A3FD43CF4A"><enum>(b)</enum><header>Alternate
				adjustment procedures for emergencies and the global war on
				terrorism</header><text>The chairman of the Committee on the Budget of the
				House of Representatives or the Senate shall make any adjustments he deems
				necessary under this section if he determines such adjustments are essential to
				respond to an urgent and imminent need.</text>
							</subsection><subsection id="H0074BD811EB8497E8897BF73B51FABC6"><enum>(c)</enum><header>Legislation
				providing for an adjustment of discretionary caps</header><paragraph commented="no" display-inline="yes-display-inline" id="H586814A1375F443591DE00955D8E3875"><enum>(1)</enum><text>If any committee of the
				House of Representatives or the Senate reports any bill or resolution which
				provides funding designated for emergencies or for the global war on terrorism,
				such bill or resolution shall then be referred to the Committee on the Budget
				of the House of Representatives or the Senate, as the case may be, with
				instructions to report it, with an amendment to section 251(c) of the Balanced
				Budget and Emergency Deficit Control Act of 1985 for an appropriate adjustment
				for the applicable fiscal year, within 15 calendar days (not counting any day
				on which that House is not in session) beginning with the day following the day
				on which it is referred. If the Committee on the Budget of either House fails
				to report a bill or resolution referred to it under this paragraph within such
				15-day period, the committee shall automatically be discharged from further
				consideration of such bill or resolution and such bill or resolution shall be
				placed on the appropriate calendar.</text>
								</paragraph><paragraph id="HCC891BF4F73646C7874658B63CA08578" indent="up1"><enum>(2)</enum><text>The Committee on the Budget of each
				House shall have jurisdiction to report any bill or resolution referred to it
				under paragraph (1) with an amendment which changes the discretionary spending
				limit for the applicable fiscal
				year.</text>
								</paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="HABD48D67CAF94B71BE227B09D9DB2919"><enum>(b)</enum><header>Conforming
			 amendment</header><text>The table of contents set forth in section 1(b) of the
			 Congressional Budget and Impoundment Control Act of 1974 is amended by
			 inserting after the item relating to section 317 the following new item:</text>
					<quoted-block display-inline="no-display-inline" id="H8C9E56CAE8F44824AF4E9D7AD4AA09C1" style="OLC">
						<toc container-level="quoted-block-container" idref="HE9953419E60246BD9BA9A47F857D7BB3" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration">
							<toc-entry idref="HFA0AA3316F9B4DC794B748101B8B7B06" level="section">Sec. 318. Emergencies; global war on terrorism
				(GWOT).</toc-entry>
						</toc>
						<after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection></section><section id="H65387210A31A4BAE9C992ECD8681D79F"><enum>203.</enum><header>Elimination of
			 emergency adjustments</header><text display-inline="no-display-inline">Section
			 314 of the Congressional Budget Act of 1974 is amended by striking subsection
			 (d) and redesignating subsection (e) as subsection (d).</text>
			</section><section id="HBEFE85E020174D768EC0BDCE5DCA93CB"><enum>204.</enum><header>Conforming
			 amendment to the Balanced Budget and Emergency Deficit Control Act of
			 1985</header><text display-inline="no-display-inline">Sections 251(b)(2)(A),
			 251(b)(2)(D), and 252(d)(4)(B) of the Balanced Budget and Emergency Deficit
			 Control Act of 1985 are repealed and section 251(b)(2) is amended by
			 redesignating subparagraphs (B) and (C) as subparagraphs (A) and (B),
			 respectively.</text>
			</section></title><title id="H4214FDC7862B43ACAAAC191ADC1EBB6C"><enum>III</enum><header>Enforcing
			 Cut-As-You-Go</header>
			<section id="H384C45DDA1C04270B027A45805E6C844"><enum>301.</enum><header>Enforcing
			 Cut-As-You-go</header>
				<subsection id="HDD23EA27D09341BBB8ED06295DFCBE5D"><enum>(a)</enum><header>Cut-As-You-Go
			 point of order</header><paragraph commented="no" display-inline="yes-display-inline" id="H5A571C75C22B4E009ED9AAFB5005A01A"><enum>(1)</enum><text>Title III of the
			 Congressional Budget Act of 1974 (as amended by section 201) is further amended
			 by adding at the end the following new section:</text>
						<quoted-block display-inline="no-display-inline" id="H559309D3175B4F5BAAB81A0941600154" style="traditional">
							<section commented="no" id="H293ED74C520B4654A6FAEB48098AD033"><enum>317.</enum><header>Enforcing Cut-As-You-Go</header><subsection commented="no" display-inline="yes-display-inline" id="H585E8E3A814A447CBC47AF726917AF52"><enum>(a)</enum><header>Point of
				order</header><paragraph commented="no" display-inline="yes-display-inline" id="HEA42F1F282EC4926B8A90CAD47EC2D5D"><enum>(1)</enum><text>Except as provided in
				subsections (b) and (c), it shall not be in order in the House of
				Representatives or the Senate to consider a bill or joint resolution, or an
				amendment thereto or a conference report thereon, if the provisions of such
				measure have the net effect of increasing direct spending for the period of
				either—</text>
										<subparagraph commented="no" id="H2B8D86DC69E54084BAC0E094C6FD3C2B" indent="up1"><enum>(A)</enum><text>the current year, the budget year, and
				the four fiscal years following that budget year; or</text>
										</subparagraph><subparagraph commented="no" id="H697D6AC7BA0849979D8FC8774EC24034" indent="up1"><enum>(B)</enum><text>the current year, the budget year, and
				the nine fiscal years following that budget year.</text>
										</subparagraph></paragraph><paragraph commented="no" id="HEAFEF642BB354A938ADBCF5B32AC1DD2" indent="up1"><enum>(2)</enum><text>For the purpose of this section, the
				terms <term>budget year</term> and <term>current year</term> have the meanings
				specified in section 250 of the Balanced Budget and Emergency Deficit Control
				Act of 1985, and the term <term>direct spending</term> includes provisions in
				appropriation Acts that make outyear changes to or restrictions on entitlement
				law or other direct spending contained in an appropriation Act.</text>
									</paragraph></subsection><subsection commented="no" id="H77D9C7982969464C8A8698458D764F47"><enum>(b)</enum><header>Special rule in
				the House</header><text>If a bill or joint resolution, or an amendment thereto,
				is considered pursuant to a special order of the House of Representatives
				directing the Clerk to add as new matter at the end of such bill or joint
				resolution the entire text of a separate measure or measures as passed by the
				House of Representatives, the new matter proposed to be added shall be included
				in the evaluation under subsection (a) of the bill, joint resolution, or
				amendment.</text>
								</subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
					</paragraph><paragraph id="H54780BAE4E0D42B1A5DD1A23A85468D4" indent="up1"><enum>(2)</enum><text>The table of contents set forth in
			 section 1(b) of the Congressional Budget and Impoundment Control Act of 1974 is
			 amended by inserting after the item relating to section 318 the following new
			 item:</text>
						<quoted-block display-inline="no-display-inline" id="H3B311932AC2A4D00BDB3D393BB7056F3" style="OLC">
							<toc container-level="quoted-block-container" idref="H559309D3175B4F5BAAB81A0941600154" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration">
								<toc-entry idref="H293ED74C520B4654A6FAEB48098AD033" level="section">Sec. 317. Enforcing
				Cut-As-You-Go.</toc-entry>
							</toc>
							<after-quoted-block>.</after-quoted-block></quoted-block>
					</paragraph></subsection><subsection id="HACC4D423E3604017A46D3FEE50076D5C"><enum>(b)</enum><header>Repealer</header><text>Clause
			 10 of rule XXI of the Rules of the House of Representatives is repealed.</text>
				</subsection></section></title><title id="HE53BBE97142F4B7DB5F4BD5C6F61DD6E"><enum>IV</enum><header>Supermajority
			 points of order</header>
			<section id="H8DEAC590DC61415887C1A6027C8734B8"><enum>401.</enum><header>Supermajority
			 points of order</header>
				<subsection id="H71D97FB4DAD640ACB23913E4B18D5FF2"><enum>(a)</enum><header>Waivers</header><text display-inline="yes-display-inline">Section 904(c) of the Congressional Budget
			 Act of 1974 is amended to read as follows:</text>
					<quoted-block display-inline="no-display-inline" id="HF608B6724FC5424EB24E6A8FBF277C84" style="OLC">
						<subsection id="H2BAC67BBCB484C0596FD825FFF0FEF3C"><enum>(c)</enum><header>Waivers</header><text display-inline="yes-display-inline">Sections 301(i), 302(c), 302(f), 305(b)(2),
				305(c)(4), 306, 310(d)(2), 310(g), 311(a), 312(b), 312(c), 313, 314(e), 317(a),
				904(c), and 904(d) of this Act and section 258C(a)(5) of the Balanced Budget
				and Emergency Deficit Control Act of 1985 may be waived or suspended in the
				Senate only by the affirmative vote of three-fifths of the Members, duly chosen
				and
				sworn.</text>
						</subsection><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="H7D0E96CF2C68482CB0EDABE15C796322"><enum>(b)</enum><header>Appeals</header><text>Section
			 904(d) of the Congressional Budget Act of 1974 is amended by repealing
			 paragraphs (2) and (3) and by inserting after paragraph (1) the following new
			 paragraph:</text>
					<quoted-block display-inline="no-display-inline" id="H3A1A8DBBBA994C45B27E7337A3295088" style="OLC">
						<paragraph id="HE58E98B2FF70407BB9979267AFC8B7D5"><enum>(2)</enum><header>Appeals</header><text display-inline="yes-display-inline">An affirmative vote of two-thirds of the
				Members, duly chosen and sworn, shall be required in the Senate to sustain an
				appeal of the ruling of the Chair on a point of order raised under any section
				referred to in subsection
				(c).</text>
						</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
				</subsection><subsection id="HB73EF37382A0493E8D9297E04EEDC957"><enum>(c)</enum><header>Expiration</header><text>Subsection
			 (e) of section 904 of the Congressional Budget Act of 1974 is repealed.</text>
				</subsection></section></title></legis-body>
</bill>
