1.This Act may be cited as the
Budget and Accounting Transparency Act
of 2012
.
<enum>I</enum><header>Fair
value estimates</header>
<section id="HEC01F92FB72D4BAB9B8637FD0A56CBAF"><enum>101.</enum><header>Credit
reform</header>
<subsection id="H816AA6B480BF43B3A1F446F23C88C167"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Title V of the
Congressional Budget Act of 1974 is amended to read as follows:</text>
<quoted-block id="H9A8AE16626974248B28BDEB6F6D018DA" style="OLC">
<title id="H6C36D3ED45DE4E54AE0883F23BDE439F"><enum>V</enum><header>Fair
value</header>
<section id="H7FA8483D4AB14C00949B7FDB6D36A7C6"><enum>501.</enum><header>Purposes</header><text display-inline="no-display-inline">The purposes of this title are to—</text>
<paragraph id="HF34F6AA22D48480BB5673C9FE81376B6"><enum>(1)</enum><text>measure more
accurately the costs of Federal credit programs by accounting for them on a
fair value basis;</text>
</paragraph><paragraph id="HBE3D3E9DE3AB4912AC15D974BE00370A"><enum>(2)</enum><text>place the cost of
credit programs on a budgetary basis equivalent to other Federal
spending;</text>
</paragraph><paragraph id="H23FC3860660B4C71870CD733F945B893"><enum>(3)</enum><text>encourage the
delivery of benefits in the form most appropriate to the needs of
beneficiaries; and</text>
</paragraph><paragraph id="HE2A0CF09EA7047778F0BACAFC951444A"><enum>(4)</enum><text>improve the
allocation of resources among Federal programs.</text>
</paragraph></section><section id="HE3D9CAC9FACF4102BFDAC4B6C693FD36"><enum>502.</enum><header>Definitions</header><text display-inline="no-display-inline">For purposes of this title:</text>
<paragraph id="H2A419DD02C254D1D8D80934C00D64196"><enum>(1)</enum><text>The term
<term>direct loan</term> means a disbursement of funds by the Government to a
non-Federal borrower under a contract that requires the repayment of such funds
with or without interest. The term includes the purchase of, or participation
in, a loan made by another lender and financing arrangements that defer payment
for more than 90 days, including the sale of a Government asset on credit
terms. The term does not include the acquisition of a federally guaranteed loan
in satisfaction of default claims or the price support loans of the Commodity
Credit Corporation.</text>
</paragraph><paragraph id="HB533F6384CD34512A94C6FB5F6A7C5C7"><enum>(2)</enum><text>The term
<term>direct loan obligation</term> means a binding agreement by a Federal
agency to make a direct loan when specified conditions are fulfilled by the
borrower.</text>
</paragraph><paragraph id="H6F3FB54BDFB74719BE4DDEE97D077ADF"><enum>(3)</enum><text>The term
<term>loan guarantee</term> means any guarantee, insurance, or other pledge
with respect to the payment of all or a part of the principal or interest on
any debt obligation of a non-Federal borrower to a non-Federal lender, but does
not include the insurance of deposits, shares, or other withdrawable accounts
in financial institutions.</text>
</paragraph><paragraph id="HFBACC20C7E6B4EEBB580DC2F5FDE6F3A"><enum>(4)</enum><text>The term
<term>loan guarantee commitment</term> means a binding agreement by a Federal
agency to make a loan guarantee when specified conditions are fulfilled by the
borrower, the lender, or any other party to the guarantee agreement.</text>
</paragraph><paragraph id="H5C602879699741A88452EABE5385AE97"><enum>(5)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="H1BE35611900F4436825899E0BCAD861A"><enum>(A)</enum><text>The term
<term>cost</term> means the sum of the Treasury discounting component and the
risk component of a direct loan or loan guarantee, or a modification
thereof.</text>
</subparagraph><subparagraph id="H5CEC46F3DCAB46F485885A9B2BECCA6D" indent="up1"><enum>(B)</enum><text>The Treasury discounting component
shall be the estimated long-term cost to the Government of a direct loan or
loan guarantee, or modification thereof, calculated on a net present value
basis, excluding administrative costs and any incidental effects on
governmental receipts or outlays.</text>
</subparagraph><subparagraph id="HB8608769E1A247299F722403B222B234" indent="up1"><enum>(C)</enum><text>The risk component shall be an amount
equal to the difference between—</text>
<clause id="HB0823A0CF7584DA1AB308E38B2FC5157"><enum>(i)</enum><text>the estimated long-term cost to the
Government of a direct loan or loan guarantee, or modification thereof,
estimated on a fair value basis, applying the guidelines set forth by the
Financial Accounting Standards Board in Financial Accounting Standards #157, or
a successor thereto, excluding administrative costs and any incidental effects
on governmental receipts or outlays; and</text>
</clause><clause id="H88FF94BC7B2140CF8AB4A1DEC318BB04"><enum>(ii)</enum><text>the Treasury discounting component
of such direct loan or loan guarantee, or modification thereof.</text>
</clause></subparagraph><subparagraph id="H5C1359B1F7B6451698381F9389525DA9" indent="up1"><enum>(D)</enum><text>The Treasury discounting component of
a direct loan shall be the net present value, at the time when the direct loan
is disbursed, of the following estimated cash flows:</text>
<clause id="H5E4C6531AC2C4D12B96026AB9B73D5E1"><enum>(i)</enum><text>Loan disbursements.</text>
</clause><clause id="H73690E164DDB445C9FB438B27D680E7E"><enum>(ii)</enum><text>Repayments of principal.</text>
</clause><clause id="H1BC0DFAFC4C54FA298726C459D9EB8DF"><enum>(iii)</enum><text>Essential preservation expenses,
payments of interest and other payments by or to the Government over the life
of the loan after adjusting for estimated defaults, prepayments, fees,
penalties, and other recoveries, including the effects of changes in loan terms
resulting from the exercise by the borrower of an option included in the loan
contract.</text>
</clause></subparagraph><subparagraph id="HDFFABE42D15849958641604B3EF34D59" indent="up1"><enum>(E)</enum><text>The Treasury discounting component of
a loan guarantee shall be the net present value, at the time when the
guaranteed loan is disbursed, of the following estimated cash flows:</text>
<clause id="HFBF45875C26147878492BA40575EF649"><enum>(i)</enum><text>Payments by the Government to cover
defaults and delinquencies, interest subsidies, essential preservation
expenses, or other payments.</text>
</clause><clause id="H08D46F6D1E66412E84D37F5736E87828"><enum>(ii)</enum><text>Payments to the Government
including origination and other fees, penalties, and recoveries, including the
effects of changes in loan terms resulting from the exercise by the guaranteed
lender of an option included in the loan guarantee contract, or by the borrower
of an option included in the guaranteed loan contract.</text>
</clause></subparagraph><subparagraph id="HBB63BE11961241C9AF055B0F76D8EE61" indent="up1"><enum>(F)</enum><text>The cost of a modification is the sum
of—</text>
<clause id="HFF2C1BEAB3EA4C37816203EAAC2B357D"><enum>(i)</enum><text>the difference between the current
estimate of the Treasury discounting component of the remaining cash flows
under the terms of a direct loan or loan guarantee and the current estimate of
the Treasury discounting component of the remaining cash flows under the terms
of the contract, as modified; and</text>
</clause><clause id="H7494A3A7CA11474184805F05900CD3C9"><enum>(ii)</enum><text>the difference between the current
estimate of the risk component of the remaining cash flows under the terms of a
direct loan or loan guarantee and the current estimate of the risk component of
the remaining cash flows under the terms of the contract as modified.</text>
</clause></subparagraph><subparagraph id="H46891C5C376245318E8C5839F40C0766" indent="up1"><enum>(G)</enum><text>In estimating Treasury discounting
components, the discount rate shall be the average interest rate on marketable
Treasury securities of similar duration to the cash flows of the direct loan or
loan guarantee for which the estimate is being made.</text>
</subparagraph><subparagraph id="H4F2631B1D5A74F458F8E697F63B76BC2" indent="up1"><enum>(H)</enum><text>When funds are obligated for a direct
loan or loan guarantee, the estimated cost shall be based on the current
assumptions, adjusted to incorporate the terms of the loan contract, for the
fiscal year in which the funds are obligated.</text>
</subparagraph></paragraph><paragraph id="H4BD1B2AA71114EFCB4C58637A5676800"><enum>(6)</enum><text>The term
<term>program account</term> means the budget account into which an
appropriation to cover the cost of a direct loan or loan guarantee program is
made and from which such cost is disbursed to the financing account.</text>
</paragraph><paragraph id="H0C9011D05250404EA2B513DC44CCB772"><enum>(7)</enum><text>The term
<term>financing account</term> means the nonbudget account or accounts
associated with each program account which holds balances, receives the cost
payment from the program account, and also includes all other cash flows to and
from the Government resulting from direct loan obligations or loan guarantee
commitments made on or after October 1, 1991.</text>
</paragraph><paragraph id="HC5944F276BAE443580EF0B1388229D28"><enum>(8)</enum><text>The term
<term>liquidating account</term> means the budget account that includes all
cash flows to and from the Government resulting from direct loan obligations or
loan guarantee commitments made prior to October 1, 1991. These accounts shall
be shown in the budget on a cash basis.</text>
</paragraph><paragraph id="H8197285E755943C9A19CA4C7F050FB75"><enum>(9)</enum><text>The term
<term>modification</term> means any Government action that alters the estimated
cost of an outstanding direct loan (or direct loan obligation) or an
outstanding loan guarantee (or loan guarantee commitment) from the current
estimate of cash flows. This includes the sale of loan assets, with or without
recourse, and the purchase of guaranteed loans (or direct loan obligations) or
loan guarantees (or loan guarantee commitments) such as a change in collection
procedures.</text>
</paragraph><paragraph id="HE0DBBBF6C3F34C95B694C686B9E1CE97"><enum>(10)</enum><text>The term
<term>current</term> has the same meaning as in section 250(c)(9) of the
Balanced Budget and Emergency Deficit Control Act of 1985.</text>
</paragraph><paragraph id="H31911FE03E594C119E30DFC87091E035"><enum>(11)</enum><text>The term
<term>Director</term> means the Director of the Office of Management and
Budget.</text>
</paragraph><paragraph id="H489AAE5371FB4500975F9FE070E485A7"><enum>(12)</enum><text>The term
<term>administrative costs</term> means costs related to program management
activities, but does not include essential preservation expenses.</text>
</paragraph><paragraph id="H170013F86DA44A7BAEFF30860D2C1D06"><enum>(13)</enum><text>The term
<term>essential preservation expenses</term> means servicing and other costs
that are essential to preserve the value of loan assets or collateral.</text>
</paragraph></section><section id="H524815D0E621477A8793265F014AFCDB"><enum>503.</enum><header>OMB and CBO
analysis, coordination, and review</header>
<subsection id="H4A5C7EB97F994DAEA61EC9649B3C8CE0"><enum>(a)</enum><header>In
general</header><text>For the executive branch, the Director shall be
responsible for coordinating the estimates required by this title. The Director
shall consult with the agencies that administer direct loan or loan guarantee
programs.</text>
</subsection><subsection id="H41F1031C17E74A97837A369BDAC99F83"><enum>(b)</enum><header>Delegation</header><text>The
Director may delegate to agencies authority to make estimates of costs. The
delegation of authority shall be based upon written guidelines, regulations, or
criteria consistent with the definitions in this title.</text>
</subsection><subsection id="H9BC708264AB54075A4013E8622F9BC3C"><enum>(c)</enum><header>Coordination
with the Congressional Budget Office</header><text>In developing estimation
guidelines, regulations, or criteria to be used by Federal agencies, the
Director shall consult with the Director of the Congressional Budget
Office.</text>
</subsection><subsection id="H72C57BB9223043EFB96A416848E5151F"><enum>(d)</enum><header>Improving cost
estimates</header><text>The Director and the Director of the Congressional
Budget Office shall coordinate the development of more accurate data on
historical performance and prospective risk of direct loan and loan guarantee
programs. They shall annually review the performance of outstanding direct
loans and loan guarantees to improve estimates of costs. The Office of
Management and Budget and the Congressional Budget Office shall have access to
all agency data that may facilitate the development and improvement of
estimates of costs.</text>
</subsection><subsection id="H4EF9160692EE4BD1B2B2AF6DF9D1DF6F"><enum>(e)</enum><header>Historical
credit programs costs</header><text>The Director shall review, to the extent
possible, historical data and develop the best possible estimates of
adjustments that would convert aggregate historical budget data to credit
reform accounting.</text>
</subsection></section><section id="H3E1588D2F5FB4A1A82A988FE865DC2E4"><enum>504.</enum><header>Budgetary
treatment</header>
<subsection id="H60A0974539B942E2A5976AEDCE8BBBB4"><enum>(a)</enum><header>President’s
budget</header><text>Beginning with fiscal year 1992, the President’s budget
shall reflect the Treasury discounting component of direct loan and loan
guarantee programs. Beginning with fiscal year 2015, the President’s budget
shall reflect the costs of direct loan and loan guarantee programs. The budget
shall also include the planned level of new direct loan obligations or loan
guarantee commitments associated with each appropriations request.</text>
</subsection><subsection id="HAF82DFD23D374A7BAE382EBA3D42837F"><enum>(b)</enum><header>Appropriations
required</header><text>Notwithstanding any other provision of law, new direct
loan obligations may be incurred and new loan guarantee commitments may be made
for fiscal year 1992 and thereafter only to the extent that—</text>
<paragraph id="HEC701CF46DCA48C4B5F8CED9BE5F7DF3"><enum>(1)</enum><text>new budget
authority to cover their costs is provided in advance in an appropriation
Act;</text>
</paragraph><paragraph id="HFFC8E6C71FB5443B982BF1F5E967F7E0"><enum>(2)</enum><text>a limitation on
the use of funds otherwise available for the cost of a direct loan or loan
guarantee program has been provided in advance in an appropriation Act;
or</text>
</paragraph><paragraph id="H53A970FBCD84428F926A66780974E577"><enum>(3)</enum><text>authority is
otherwise provided in appropriation Acts.</text>
</paragraph></subsection><subsection id="H2AFF7871952F441882A8F18FE19A106C"><enum>(c)</enum><header>Exemption for
direct spending programs</header><text>Subsections (b) and (e) shall not apply
to—</text>
<paragraph id="H14671ACA43C045F7B4C55ACFC87C279D"><enum>(1)</enum><text>any direct loan or
loan guarantee program that constitutes an entitlement (such as the guaranteed
student loan program or the veteran’s home loan guaranty program);</text>
</paragraph><paragraph id="H9F4B0876205242139C5E368951BD2AC5"><enum>(2)</enum><text>the credit
programs of the Commodity Credit Corporation existing on the date of enactment
of this title; or</text>
</paragraph><paragraph id="H206B7E3845324A27BAD42F88D0768A64"><enum>(3)</enum><text display-inline="yes-display-inline">any direct loan (or direct loan obligation)
or loan guarantee (or loan guarantee commitment) made by the Federal National
Mortgage Association or the Federal Home Loan Mortgage Corporation.</text>
</paragraph></subsection><subsection id="H9D3B095A1BAC4BBABBBD4FE7B24796DC"><enum>(d)</enum><header>Budget
accounting</header>
<paragraph id="H167A711030C24AA7B45B91F1D5D5740D"><enum>(1)</enum><text>The authority to
incur new direct loan obligations, make new loan guarantee commitments, or
modify outstanding direct loans (or direct loan obligations) or loan guarantees
(or loan guarantee commitments) shall constitute new budget authority in an
amount equal to the cost of the direct loan or loan guarantee in the fiscal
year in which definite authority becomes available or indefinite authority is
used. Such budget authority shall constitute an obligation of the program
account to pay to the financing account.</text>
</paragraph><paragraph id="H9CD0DD72503943C0B75DB807929CF740"><enum>(2)</enum><text>The outlays
resulting from new budget authority for the cost of direct loans or loan
guarantees described in paragraph (1) shall be paid from the program account
into the financing account and recorded in the fiscal year in which the direct
loan or the guaranteed loan is disbursed or its costs altered.</text>
</paragraph><paragraph id="HA8417E2C3CC148FA844E1D6F359C3D0F"><enum>(3)</enum><text>All collections
and payments of the financing accounts shall be a means of financing.</text>
</paragraph></subsection><subsection id="H84782711CC7E4F1BBA1B5E0E731040D8"><enum>(e)</enum><header>Modifications</header><text>An
outstanding direct loan (or direct loan obligation) or loan guarantee (or loan
guarantee commitment) shall not be modified in a manner that increases its
costs unless budget authority for the additional cost has been provided in
advance in an appropriation Act.</text>
</subsection><subsection id="H34437E13EFBD43FF947557FDBB2ABC46"><enum>(f)</enum><header>Reestimates</header><text>When
the estimated cost for a group of direct loans or loan guarantees for a given
program made in a single fiscal year is re-estimated in a subsequent year, the
difference between the reestimated cost and the previous cost estimate shall be
displayed as a distinct and separately identified subaccount in the program
account as a change in program costs and a change in net interest. There is
hereby provided permanent indefinite authority for these re-estimates.</text>
</subsection><subsection id="H8EAC983834B74DDFB8A0BCE0DA9FA340"><enum>(g)</enum><header>Administrative
expenses</header><text>All funding for an agency’s administrative costs
associated with a direct loan or loan guarantee program shall be displayed as
distinct and separately identified subaccounts within the same budget account
as the program’s cost.</text>
</subsection></section><section id="H5344A5E750B04F9584EB51A18E47B530"><enum>505.</enum><header>Authorizations</header>
<subsection id="H7557D4572DCF49C6A7CFFCA1124C15EB"><enum>(a)</enum><header>Authorization
for financing accounts</header><text>In order to implement the accounting
required by this title, the President is authorized to establish such
non-budgetary accounts as may be appropriate.</text>
</subsection><subsection id="H84740EB55215437DA99281258B5C0105"><enum>(b)</enum><header>Treasury
transactions with the financing accounts</header>
<paragraph id="HDE7F7CB1820544FAA1ECB2755B7158FF"><enum>(1)</enum><header>In
general</header><text>The Secretary of the Treasury shall borrow from, receive
from, lend to, or pay to the financing accounts such amounts as may be
appropriate. The Secretary of the Treasury may prescribe forms and
denominations, maturities, and terms and conditions for the transactions
described in the preceding sentence, except that the rate of interest charged
by the Secretary on lending to financing accounts (including amounts treated as
lending to financing accounts by the Federal Financing Bank (hereinafter in
this subsection referred to as the <term>Bank</term>) pursuant to section
405(b)) and the rate of interest paid to financing accounts on uninvested
balances in financing accounts shall be the same as the rate determined
pursuant to section 502(5)(G).</text>
</paragraph><paragraph id="H2B4BE823380A47F6BCCE079C65C35217"><enum>(2)</enum><header>Loans</header><text display-inline="yes-display-inline">For guaranteed loans financed by the Bank
and treated as direct loans by a Federal agency pursuant to section 406(b)(1),
any fee or interest surcharge (the amount by which the interest rate charged
exceeds the rate determined pursuant to section 502(5)(G) that the Bank charges
to a private borrower pursuant to section 6(c) of the Federal Financing Bank
Act of 1973 shall be considered a cash flow to the Government for the purposes
of determining the cost of the direct loan pursuant to section 502(5). All such
amounts shall be credited to the appropriate financing account.</text>
</paragraph><paragraph id="HF1D55595131C4246B7245E1A89327582"><enum>(3)</enum><header>Reimbursement</header><text>The
Bank is authorized to require reimbursement from a Federal agency to cover the
administrative expenses of the Bank that are attributable to the direct loans
financed for that agency. All such payments by an agency shall be considered
administrative expenses subject to section 504(g). This subsection shall apply
to transactions related to direct loan obligations or loan guarantee
commitments made on or after October 1, 1991.</text>
</paragraph><paragraph id="H2825CBE6476D4A85AB42EB5231BC5194"><enum>(4)</enum><header>Authority</header><text>The
authorities provided in this subsection shall not be construed to supersede or
override the authority of the head of a Federal agency to administer and
operate a direct loan or loan guarantee program.</text>
</paragraph><paragraph id="HB5B1A5F44AE64099B4B9F73BA3FC4BC8"><enum>(5)</enum><header>Title
31</header><text>All of the transactions provided in the subsection shall be
subject to the provisions of subchapter II of
<external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/31/15">chapter 15</external-xref> of title 31,
United States Code.</text>
</paragraph><paragraph id="H94D12698CA1949B5B418AC7DA879562D"><enum>(6)</enum><header>Treatment of
cash balances</header><text>Cash balances of the financing accounts in excess
of current requirements shall be maintained in a form of uninvested funds and
the Secretary of the Treasury shall pay interest on these funds. The Secretary
of the Treasury shall charge (or pay if the amount is negative) financing
accounts an amount equal to the risk component for a direct loan or loan
guarantee, or modification thereof. Such amount received by the Secretary of
the Treasury shall be a means of financing and shall not be considered a cash
flow of the Government for the purposes of section 502(5).</text>
</paragraph></subsection><subsection id="HF7DF9B2B6F3744618E65B008DD85F1F9"><enum>(c)</enum><header>Authorization
for liquidating accounts</header><paragraph commented="no" display-inline="yes-display-inline" id="H8C3184FDC694487784C71FB348D87512"><enum>(1)</enum><text>Amounts in liquidating
accounts shall be available only for payments resulting from direct loan
obligations or loan guarantee commitments made prior to October 1, 1991,
for—</text>
<subparagraph id="H4675A0B8C744443C9782170A8ECF6DAF" indent="up1"><enum>(A)</enum><text>interest payments and principal
repayments to the Treasury or the Federal Financing Bank for amounts
borrowed;</text>
</subparagraph><subparagraph id="H6535135A18244119AE92B39E5A227D50" indent="up1"><enum>(B)</enum><text>disbursements of loans;</text>
</subparagraph><subparagraph id="HC556A7B5047048B4BCF762B871471572" indent="up1"><enum>(C)</enum><text>default and other guarantee claim
payments;</text>
</subparagraph><subparagraph id="HD85378790988441486972D282127CF46" indent="up1"><enum>(D)</enum><text>interest supplement payments;</text>
</subparagraph><subparagraph id="HC575067288C0483185E072A6AD225C7B" indent="up1"><enum>(E)</enum><text>payments for the costs of foreclosing,
managing, and selling collateral that are capitalized or routinely deducted
from the proceeds of sales;</text>
</subparagraph><subparagraph id="H670E76EDC9784782978807D4AC8DA719" indent="up1"><enum>(F)</enum><text>payments to financing accounts when
required for modifications;</text>
</subparagraph><subparagraph id="H089EF2C9B25B4DC89B94360EB7975E7B" indent="up1"><enum>(G)</enum><text>administrative costs and essential
preservation expenses, if—</text>
<clause id="H8E0EB39C0553491C9102EFAC077062D6"><enum>(i)</enum><text>amounts credited to the liquidating
account would have been available for administrative costs and essential
preservation expenses under a provision of law in effect prior to October 1,
1991; and</text>
</clause><clause id="H87F470E54E6D4B759F4B877C449D8FD5"><enum>(ii)</enum><text>no direct loan obligation or loan
guarantee commitment has been made, or any modification of a direct loan or
loan guarantee has been made, since September 30, 1991; or</text>
</clause></subparagraph><subparagraph id="HEF57C742DE8A487895F1A28058B79CA4" indent="up1"><enum>(H)</enum><text>such other payments as are necessary
for the liquidation of such direct loan obligations and loan guarantee
commitments.</text>
</subparagraph></paragraph><paragraph id="HB8FEF3AA65C54C7D95AFBCFA3A314CC3" indent="up1"><enum>(2)</enum><text>Amounts credited to liquidating
accounts in any year shall be available only for payments required in that
year. Any unobligated balances in liquidating accounts at the end of a fiscal
year shall be transferred to miscellaneous receipts as soon as practicable
after the end of the fiscal year.</text>
</paragraph><paragraph id="H807240A0F337489ABC99C2B7E0A77A36" indent="up1"><enum>(3)</enum><text>If funds in liquidating accounts are
insufficient to satisfy obligations and commitments of such accounts, there is
hereby provided permanent, indefinite authority to make any payments required
to be made on such obligations and commitments.</text>
</paragraph></subsection><subsection id="HE5938A4210604E3EA72DE20E8971757C"><enum>(d)</enum><header>Reinsurance</header><text>Nothing
in this title shall be construed as authorizing or requiring the purchase of
insurance or reinsurance on a direct loan or loan guarantee from private
insurers. If any such reinsurance for a direct loan or loan guarantee is
authorized, the cost of such insurance and any recoveries to the Government
shall be included in the calculation of the cost.</text>
</subsection><subsection id="H719EAA1B7A6F4CB18E23D013E09D35EF"><enum>(e)</enum><header>Eligibility and
assistance</header><text>Nothing in this title shall be construed to change the
authority or the responsibility of a Federal agency to determine the terms and
conditions of eligibility for, or the amount of assistance provided by a direct
loan or a loan guarantee.</text>
</subsection></section><section id="H07551C48B37041D099D4490E78842C89"><enum>506.</enum><header>Treatment of
deposit insurance and agencies and other insurance programs</header><text display-inline="no-display-inline">This title shall not apply to the credit or
insurance activities of the Federal Deposit Insurance Corporation, National
Credit Union Administration, Resolution Trust Corporation, Pension Benefit
Guaranty Corporation, National Flood Insurance, National Insurance Development
Fund, Crop Insurance, or Tennessee Valley Authority.</text>
</section><section id="H24A5FB6BF69843719098B3FE274265B2"><enum>507.</enum><header>Effect on other
laws</header>
<subsection id="H3025B352FFDC43BC8562AF93E98D0191"><enum>(a)</enum><header>Effect on other
laws</header><text>This title shall supersede, modify, or repeal any provision
of law enacted prior to the date of enactment of this title to the extent such
provision is inconsistent with this title. Nothing in this title shall be
construed to establish a credit limitation on any Federal loan or loan
guarantee program.</text>
</subsection><subsection id="H763841941EB34863B52905AC5E9A7ABB"><enum>(b)</enum><header>Crediting of
collections</header><text>Collections resulting from direct loans obligated or
loan guarantees committed prior to October 1, 1991, shall be credited to the
liquidating accounts of Federal agencies. Amounts so credited shall be
available, to the same extent that they were available prior to the date of
enactment of this title, to liquidate obligations arising from such direct
loans obligated or loan guarantees committed prior to October 1, 1991,
including repayment of any obligations held by the Secretary of the Treasury or
the Federal Financing Bank. The unobligated balances of such accounts that are
in excess of current needs shall be transferred to the general fund of the
Treasury. Such transfers shall be made from time to time but, at least once
each
year.</text>
</subsection></section>.
(b)The table of contents set forth in section 1(b) of the
Congressional Budget and Impoundment Control Act of 1974 is amended by striking
the items relating to title V and inserting the following:
Title V—Fair Value
Sec. 501. Purposes.
Sec. 502. Definitions.
Sec. 503. OMB and CBO analysis, coordination, and
review.
Sec. 504. Budgetary treatment.
Sec. 505. Authorizations.
Sec. 506. Treatment of deposit insurance and agencies and other
insurance programs.
Sec. 507. Effect on other
laws.
.
102.The amendment made by
section 101 shall take effect beginning with fiscal year 2014.
103.
(a)Section 251(b)(1) of
the Balanced Budget and Emergency Deficit Control Act of 1985 is amended by
adding at the end the following new sentence: A change in discretionary
spending solely as a result of the amendment to title V of the Congressional
Budget Act of 1974 made by the Budget and Accounting Transparency Act of 2012
shall be treated as a change of concept under this paragraph.
.
(b)Before adjusting the discretionary caps
pursuant to the authority provided in subsection (a), the Office of Management
and Budget shall report to the Committees on the Budget of the House of
Representatives and the Senate on the amount of that adjustment, the
methodology used in determining the size of that adjustment, and a
program-by-program itemization of the components of that adjustment.
(c)The
Office of Management and Budget shall not make an adjustment pursuant to the
authority provided in subsection (a) sooner than 60 days after providing the
report required in subsection (b).
<enum>II</enum><header>Budgetary
treatment</header>
<section commented="no" id="H02EA67EB8C0447FB840D4CD2DBCB441F"><enum>201.</enum><header>CBO and OMB
studies respecting budgeting for costs of Federal insurance
programs</header><text display-inline="no-display-inline">Not later than 1 year
after the date of enactment of this Act, the Directors of the Congressional
Budget Office and of the Office of Management and Budget shall each prepare a
study and make recommendations to the Committees on the Budget of the House of
Representatives and the Senate as to the feasability of applying fair value
concepts to budgeting for the costs of Federal insurance programs.</text>
</section><section commented="no" id="H61E34DB0566C4990885963BC81C3C877" section-type="subsequent-section"><enum>202.</enum><header>On-budget status of
Fannie Mae and Freddie Mac</header><text display-inline="no-display-inline">Notwithstanding any other provision of law,
the receipts and disbursements, including the administrative expenses, of the
Federal National Mortgage Association and the Federal Home Loan Mortgage
Corporation shall be counted as new budget authority, outlays, receipts, or
deficit or surplus for purposes of—</text>
<paragraph commented="no" id="H44B84D60031F478AACFC27D4C51AD78B"><enum>(1)</enum><text>the budget of the
United States Government as submitted by the President;</text>
</paragraph><paragraph commented="no" id="H9EFA9F4CF6814382B02B0D343F606F74"><enum>(2)</enum><text>the congressional
budget; and</text>
</paragraph><paragraph commented="no" id="H10AC3F7198E842539D526137274962D4"><enum>(3)</enum><text>the Balanced
Budget and Emergency Deficit Control Act of 1985.</text>
</paragraph></section><section commented="no" id="H239D413BA8004A93A054C7DCA6E34164"><enum>203.</enum><header>Effective
date</header><text display-inline="no-display-inline">Section 202 shall not
apply with respect to an enterprise (as such term is defined in section 1303 of
the Federal Housing Enterprises Financial Safety and Soundness Act of 1992
(<external-xref legal-doc="usc" parsable-cite="usc/12/4502">12 U.S.C.
4502</external-xref>)) after the date that all of the following have
occurred:</text>
<paragraph commented="no" id="H81781949F8A543549AE2E4328BC4CCED"><enum>(1)</enum><text>The
conservatorship for such enterprise under section 1367 of such Act
(<external-xref legal-doc="usc" parsable-cite="usc/12/4617">12 U.S.C.
4617</external-xref>) has been terminated.</text>
</paragraph><paragraph commented="no" id="H3F8955AB97A24005813672F793D435F2"><enum>(2)</enum><text display-inline="yes-display-inline">The Director of the Federal Housing Finance
Agency has certified in writing that such enterprise has repaid to the Federal
Government the maximum amount consistent with minimizing total cost to the
Federal Government of the financial assistance provided to the enterprise by
the Federal Government pursuant to the amendments made by section 1117 of the
Housing and Economic Recovery Act of 2008 (<external-xref legal-doc="public-law" parsable-cite="pl/110/289">Public Law
110–289</external-xref>; 122 Stat. 2683) or otherwise.</text>
</paragraph><paragraph commented="no" id="HD4AE14A5066B4532A8A91354548E508F"><enum>(3)</enum><text>The charter for
the enterprise has been revoked, annulled, or terminated and the authorizing
statute (as such term is defined in such section 1303) with respect to the
enterprise has been repealed.</text>
</paragraph></section><enum>III</enum><header>Budget review
and analysis</header>
<section commented="no" id="H6AC19E4FFA7D4F8CA401E18319F22795"><enum>301.</enum><header>CBO and OMB
review and recommendations respecting receipts and collections</header><text display-inline="no-display-inline">Not later than 1 year after the date of
enactment of this Act, the Director of the Office of Management and Budget
shall prepare a study of the history of offsetting collections against
expenditures and the amount of receipts collected annually, the historical
application of the budgetary terms <quote>revenue</quote>, <quote>offsetting
collections</quote>, and <quote>offsetting receipts</quote>, and review the
application of those terms and make recommendations to the Committees on the
Budget of the House of Representatives and the Senate of whether such usage
should be continued or modified. The Director of the Congressional Budget
Office shall review the history and recommendations prepared by the Director of
the Office of Management and Budget and shall submit comments and
recommendations to such Committees.</text>
</section><section commented="no" id="HAC8DE95B360F4F91B719D513002F12C9"><enum>302.</enum><header>Agency budget
justifications</header><text display-inline="no-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/31/1108">Section 1108</external-xref> of
title 31, United States Code, is amended by inserting at the end the following
new subsection:</text>
<quoted-block display-inline="no-display-inline" id="HB9AB2763305D47B999B8A61E0141951E" style="USC">
<subsection id="H6BD8DBD63174459D953DEB747881120B"><enum>(h)</enum><paragraph commented="no" display-inline="yes-display-inline" id="H1C1392B3B450440CBE8C4AEBDE9427E4"><enum>(1)</enum><text>Whenever any agency
prepares and submits written budget justification materials for any committee
of the House of Representatives or the Senate, such agency shall post such
budget justification on the same day of such submission on the
<quote>open</quote> page of the public website of the agency, and the Office of
Management and Budget shall post such budget justification in a centralized
location on its website, in the format developed under paragraph (2).</text>
</paragraph><paragraph id="HCE58EA540C5D4FE1AE3F0D8077E93DB2" indent="up1"><enum>(2)</enum><text display-inline="yes-display-inline">The Office of Management and Budget, in
consultation with the Congressional Budget Office and the Government
Accountability Office, shall develop and notify each agency of the format in
which to post a budget justification under paragraph (1). Such format shall be
designed to ensure that posted budget justifications for all agencies—</text>
<subparagraph id="HB66A9C13543242F9994BD7708A9EC4F7"><enum>(A)</enum><text display-inline="yes-display-inline">are searchable, sortable, and downloadable
by the public;</text>
</subparagraph><subparagraph id="H03505F41A88B438D99C783F9016C464E"><enum>(B)</enum><text display-inline="yes-display-inline">are consistent with generally accepted
standards and practices for machine-discoverability;</text>
</subparagraph><subparagraph id="HFE6D6540758C4777AE6ABF2ED064A82A"><enum>(C)</enum><text display-inline="yes-display-inline">are organized uniformly, in a logical
manner that makes clear the contents of a budget justification and
relationships between data elements within the budget justification and among
similar documents; and</text>
</subparagraph><subparagraph id="HDB271F68EF6F4B2297488CBF005C93B1"><enum>(D)</enum><text display-inline="yes-display-inline">use uniform identifiers, including for
agencies, bureaus, programs, and
projects.</text>
</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</section>
Passed the House of
Representatives February 7, 2012.
Karen L. Haas,
Clerk.