Short title

This Act may be cited as the

Cost-of-living Emergency Act

Definitions

In this Act: (1)

Average U.S. household

The term average U.S. household means a household in the United States earning less than the median household income for the prior year, as determined by the United States Census Bureau. (2)

Basic household necessities

The term basic household necessities includes the following expenditures, as defined by the Bureau of Labor Statistics on January 1, 2026: (A)Food at home. (B)Owned dwellings. (C)Rented dwellings. (D)Gasoline and other fuels. (E)Medical services. (F)Utilities, fuels, and public services. (3)

Co-chair

The term co-chair means an individual appointed to serve as a co-chair of the Commission under section 8(a)(3)(B). (4)

Commission

The term Commission means the Cost-of-Living Commission established under section 8(a)(1). (5)

Council

The term Council means the Council of Economic Advisers established under section 10 of the Employment Act of 1946 (15 U.S.C. 1023). (6)

Large corporation

The term large corporation means any business that is not a small business concern, as defined in section 3 of the Small Business Act (15 U.S.C. 632). (7)

Outside expert

The term outside expert means an individual who is not an elected official or an officer or employee of the Federal Government or of any State. (8)

Special Advisor

The term Special Advisor means any individual appointed to the role of Special Advisor to the President under section 4(3)(A). (9)

State

The term State means a State, the District of Columbia, the Commonwealth of Puerto Rico, and any other territory or possession of the United States.

Declaration of emergency with respect to cost of living

(a)

Declaration

There is hereby declared an emergency with respect to the high cost of living facing the people of the United States. (b)

Termination

(1)

In general

Except as provided by paragraph (2), the emergency declared under subsection (a) shall terminate on the date that is 180 days after the date of the enactment of this Act. (2)

Extension

The emergency declared under subsection (a) may continue after the date described in paragraph (1) if there is enacted into law a joint resolution extending the emergency. (3)

Expedited procedures

A joint resolution described in paragraph (2) shall be considered in accordance with the procedures set forth in section 202(c) of the National Emergencies Act (50 U.S.C. 1622(c)).

Actions to be taken by the Council of Economic Advisers during a cost-of-living emergency

During the period that the emergency declared under section 3 is in effect, the President, acting through the Chair of the Council, shall undertake the following actions: (1)

Updated advisory mandate

In carrying out the duties described in section 10(c) of the Employment Act of 1946 (15 U.S.C. 1023(c)), the Council shall prioritize economic analysis and advice addressing the following subjects: (A)The affordability of basic household necessities. (B)The economic pressures impacting low- and middle-income families. (C)The distributional consequences of Federal economic policy. (2)

Establishment of White House Cost Cutting Council

Not later than 7 days after the date of enactment of this Act, the Chair of the Council shall establish within the Council a White House Cost Cutting Council that shall be responsible for coordinating whole of Government efforts to reduce the costs of basic household necessities. (3)

Designation of personnel

(A)

In general

Pursuant to the authority under section 10(b) of the Employment Act of 1946 (15 U.S.C. 1023(b)), the Chair of the Council shall appoint personnel to serve in the following roles: (i)Special Advisor to the President for Grocery Costs, who shall serve as the principal advisor to the President for all issues relating to the costs of food at home in the United States. (ii)Special Advisor to the President for Housing Costs, who shall serve as the principal advisor to the President for all issues relating to the costs of owned or rented dwellings for individuals in the United States. (iii)Special Advisor to the President for Utility Costs, who shall serve as the principal advisor to the President for all issues relating to the cost of utilities, fuels, and public services for individuals in the United States. (iv)Special Advisor to the President for Health Care Costs, who shall serve as the principal advisor to the President for all issues relating to the cost of health insurance, health care services, and medications for individuals in the United States. (v)Special Advisor to the President for Transportation Costs, who shall serve as the principal advisor to the President for all issues relating to— (I)the cost of gasoline and other transportation fuels for individuals in the United States; (II)costs associated with owning or leasing a personal vehicle for individuals in the United States; and (III)other costs relating to transportation to or from work, school, or other essential activities for individuals in the United States. (vi)Special Advisor to the President for Wages, who shall serve as the principal advisor to the President for all issues relating to wages of individuals in the United States. (B)

Duties

Each Special Advisor appointed to a role under subparagraph (A) shall carry out the following duties: (i)Assemble and lead a task force to be made up of members of the Cabinet (or the designees of such members), the heads of independent regulatory agencies, as defined in section 3502 of title 44, United States Code, and other senior executive branch officials who shall meet not less frequently than weekly to discuss actions that may be taken to reduce the costs of the goods and services and strengthen household wages within the purview of the Special Advisor. (ii)Prepare a weekly report to be distributed to the President, Vice President, the Chief of Staff to the President, the Director of the Office of Management and Budget, each member of the Cabinet, and other senior employees serving in the Executive Office of the President that— (I)provides details on the costs of goods and services within the purview of the Special Advisor; and (II)identifies actions that may be taken to lower those costs. (iii)Host regional listening sessions focused on the costs of the goods and services within the purview of the Special Advisor that— (I)are held in geographically diverse regions of the United States; (II)allow members of the public to participate and share concerns related to the costs of goods and services within the purview of the Special Advisor; and (III)occur not less frequently than 3 times per year. (iv)Prepare a summary report of each regional listening session held under clause (iii) and share the report with the Council, the Joint Economic Committee, the Speaker of the House of Representatives, and the President of the Senate. (v)Provide testimony to the Joint Economic Committee not less frequently than once a year to identify actions that may be taken to reduce the costs of the goods and services within the purview of the Special Advisor. (4)

State of Household Budgets report

Every 3 months, the Council shall submit a State of Household Budgets report to the President, the Commission, and the Joint Economic Committee that includes information relating to the following metrics: (A)The median household purchasing power in the United States. (B)The real wage growth net of housing and health costs in the United States. (C)Household debt-to-income burdens in the United States. (D)Regional affordability indexes in the United States. (E)Basic household necessities inflation measures.

Household budget impact statements

(a)

In general

During the period that the emergency declared under section 3 is in effect, the Administrator of the Office of Information and Regulatory Affairs of the Office of Management and Budget shall require each agency head to include a household budget impact statement in any major regulatory action submitted to the Administrator. (b)

Contents

A household budget impact statement shall include— (1)the estimated effects of the regulatory action for an average U.S. household; (2)the regional variation in cost burdens on the average U.S. household; (3)the estimated benefits that a large corporation might see from the regulatory action; and (4)an analysis determining whether the regulatory action would provide more benefits for the average U.S. household or large corporations. (c)

Public availability

Each agency head shall make any household budget impact statement submitted under subsection (a) publicly available unless national security prohibits disclosure.

Emergency enforcement of price gouging laws

(a)

Establishment

During the period that the emergency declared under section 3 is in effect, the Attorney General and the Chair of the Federal Trade Commission shall jointly establish a task force to be known as the Joint Task Force on Consumer Costs (in this section referred to as the Task Force). (b)

Composition

The Task Force shall be composed of— (1)the Attorney General (or a designee), who shall serve as a Co-Chair; (2)the Chair of the Federal Trade Commission (or a designee), who shall serve as a Co-Chair; and (3)such other officers and employees of the Department of Justice and the Federal Trade Commission as the Co-Chairs may jointly designate, including— (A)attorneys from the Antitrust Division of the Department of Justice; (B)attorneys from the Bureau of Competition and the Bureau of Consumer Protection of the Federal Trade Commission; and (C)economists and investigators with expertise in supply chain dynamics and retail pricing. (c)

Duties

The Task Force shall coordinate the efforts of the Federal Government to prevent and prosecute price gouging and other anticompetitive practices during the period that the emergency declared under section 3 is in effect, including by— (1)monitoring retail and wholesale price increases for essential goods and services; (2)sharing information and evidence between the Department of Justice and the Federal Trade Commission regarding potential violations of Federal law; (3)investigating business and industry practices that inflate costs for households; (4)initiating joint investigations into suspected anticompetitive practices, unfair or deceptive acts or practices, and unfair and illegal pricing practices such as price gouging, price-fixing, and price discrimination; (5)providing guidance to State attorneys general to ensure a coordinated national response to localized unfair and illegal pricing practices; and (6)establishing a centralized public portal for consumers and whistleblowers to report suspected anticompetitive, unfair or deceptive practices, and unfair and illegal pricing practices. (d)

Enforcement powers

In carrying out its duties under subsection (c), the Task Force shall utilize all authorities available to the Department of Justice and the Federal Trade Commission, including authorities under— (1)the Federal Trade Commission Act (15 U.S.C. 41 et seq.); (2)the Sherman Act (15 U.S.C. 1 et seq.); (3)the Clayton Act (15 U.S.C. 12 et seq.); and (4)any other Federal statute prohibiting fraud, hoarding, or the manipulation of prices in interstate commerce. (e)

Resource sharing

The Attorney General and the Chair of the Federal Trade Commission may— (1)detail personnel to the Task Force on a non-reimbursable basis; and (2)notwithstanding any other provision of law, share investigative files, data, and technical resources if— (A)such sharing is necessary for the performance of the duties of the Task Force under subsection (c); and (B)appropriate protections for confidential business information are maintained. (f)

Reporting

Not later than 60 days after the establishment of the Task Force, and every 90 days thereafter until the Task Force is terminated pursuant to subsection (g), the Co-Chairs shall submit a report on the activities of the Task Force, including the number of investigations opened and the status of enforcement actions, to— (1)the Committee on the Judiciary of the Senate; (2)the Committee on Commerce, Science, and Transportation of the Senate; (3)the Committee on the Judiciary of the House of Representatives; and (4)the Committee on Energy and Commerce of the House of Representatives. (g)

Termination

The Task Force shall terminate on the date that is 30 days after the expiration or rescission of the emergency declared under section 3. (h)

Rule of Construction

Nothing in this Act shall be construed as authorizing the Department of Justice or the Federal Trade Commission to suspend, terminate, or deprioritize any ongoing investigation, enforcement action, or litigation initiated by the Task Force that is ongoing at the time the Task Force terminates pursuant to subsection (g).

Use of authorities under Defense Production Act of 1950

(a)

Covered agency head defined

In this section, the term covered agency head means the head of an agency to whom the President delegated, under section 201(a) of Executive Order 13603 (77 Fed. Reg. 16651; relating to national defense resources preparedness), authorities under section 101 of the Defense Production Act of 1950 (50 U.S.C. 4511). (b)

Mandatory utilization

During the period the emergency declared under section 3 is in effect, the President shall use the authorities provided under title III of the Defense Production Act of 1950 (50 U.S.C. 4531 et seq.) to expand productive capacity with respect to and supply of basic household necessities. (c)

Coordination with Council of Economic Advisers

(1)

Strategic plan

Not later than 15 days after the date of enactment of this Act, the President, acting through each covered agency head, shall develop a strategic plan for the expenditure of funds from the Defense Production Act Fund (50 U.S.C. 4534) to increase the domestic supply of basic household necessities. (2)

Economic impact analysis

Each covered agency head shall conduct a continuous assessment of the domestic industrial base within the purview of the covered agency head to identify supply chain bottlenecks that contribute to price volatility for basic household necessities. (3)

Evidentiary requirement for project execution

The President may not execute a contract, loan, or purchase commitment under this section unless a relevant covered agency head submits a written certification to the President that the proposed activity supported by the contract, loan, or purchase commitment— (A)is directly supported by empirical economic data; and (B)can be reasonably proven to result in a reduction of the retail or wholesale cost of a specific basic household necessity within 180 days of the commencement of the activity. (4)

Authorized actions

In carrying out subsection (a), the President may carry out the following actions: (A)

Loan guarantees and loans

Issue guarantees and make loans under sections 301 and 302 of the Defense Production Act of 1950 (50 U.S.C. 4531, 4532) to small- and medium-sized businesses to modernize facilities for the production of basic household necessities. (B)

Purchase commitments

Execute purchase commitments under section 303 of the Defense Production Act of 1950 (50 U.S.C. 4533) to make available basic household necessities at a consistent price to individuals in the United States for the duration of the agreement. (C)

Production cost offset

Provide for subsidy payments under section 303(c) of the Defense Production Act of 1950 (50 U.S.C. 4533(c)) to offset the costs of domestically produced raw materials essential to the production of basic household necessities. (d)

Exemption from national defense requirement

Under subsections (b) and (c), the President shall exercise the authorities provided under title III of the Defense Production Act of 1950 (50 U.S.C. 4531 et seq.) without regard to any requirement of that Act that the exercise of such authorities be for the national defense.

Congressional action on cost-of-living emergency

(a)

Establishment of Cost-of-Living Commission

(1)

Establishment

There is hereby established in Congress a Cost-of-Living Commission. (2)

Duties

(A)

General

The Commission shall identify policies to— (i) meaningfully improve the cost-of-living situation for the average U.S. household in the short- and medium-term, including by reducing cost drivers for specified sectors; and (ii)achieve national economic growth that maintains a stable and sustainable cost-of-living over the long run. (B)

Recommendations of committees

Not later than 60 days after the date of enactment of this Act, each committee of the Senate and the House of Representatives may transmit to the Commission any recommendations of the committee to further the legislative policies described in subparagraph (A). (C)

Interim report

The Commission may meet to consider, and vote on, an interim report on— (i)any findings, conclusions, or recommendations of the Commission relating to the policies identified under subparagraph (A); and (ii)as the Commission determines appropriate, any findings resulting from any hearing held or evidence received by the Commission. (D)

Report, recommendations, and legislative language

(i)

Policy recommendations; permanent actions

(I)

Policy recommendations

Not later than 180 days after the date of enactment of this Act, the Commission shall meet to consider and vote on— (aa)a report that contains a detailed statement of the findings, conclusions, and recommendations of the Commission relating to the policies identified under subparagraph (A) and the estimate of the Congressional Budget Office required under paragraph (4)(D); and (bb)legislative language to carry out the recommendations of the Commission relating to the policies identified under subparagraph (A), which shall include a statement of the economic and budgetary effects of the recommendations. (II)

Permanent actions

Not later than 30 days before the date on which the emergency declared under section 3 terminates, the Commission shall meet to consider and vote on— (aa)a report that contains a detailed statement of the actions that were taken in accordance with this Act and findings as to whether any of those actions should be made continued after the date on which the emergency declared under section 3 terminates; and (bb)if the Commission finds that the actions taken in accordance with this Act should be continued after the date on which the emergency declared under section 3 terminates, legislative language to carry out the actions, which shall include a statement of the economic and budgetary effects of the actions. (ii)

Approval of report and legislative language

A report and legislative language of the Commission under subclause (I) or (II) of clause (i) shall require the approval of a majority of the members of the Commission, provided that such majority shall be required to include not fewer than 2 members of the Commission appointed by members of the Republican Party and not fewer than 2 members appointed by members of the Democratic Party. (iii)

Additional views

A member of the Commission who gives notice of an intention to file supplemental, minority, or additional views at the time of the final Commission vote on the approval of the report and legislative language of the Commission under subclause (I) or (II) of clause (i) shall be entitled to 3 days to file those views in writing with the staff director of the Commission, and such report shall be included in the report of the Commission published under clause (iv). (iv)

Report and legislative language to be made public

Upon the approval or disapproval by the Commission of a report and legislative language under subclause (I) or (II) of clause (i), the Commission shall promptly, and not more than 24 hours after the approval or disapproval or, if timely notice is given under clause (iii), not more than 24 hours after additional views are filed under that clause, make the report, the legislative language, and a record of the vote on the report and legislative language available to the public. (v)

Submission of report and legislative language

If a report and legislative language are approved by the Commission under subclause (I) or (II) of clause (i), not later than 3 days after the date on which the report and legislative language are made available to the public under clause (iv), the Commission shall submit the report and legislative language to the President, the Vice President, the Speaker of the House of Representatives, and the majority and minority leaders of each House of Congress. (vi)

Extension

(I)

In general

The Commission may extend the deadline set forth in subclause (I) or (II) of clause (i), if the Commission determines that additional time is necessary to complete the duties of the Commission under this section. (II)

Approval

An extension under subclause (I) shall require the approval of a majority of the members of the Commission, provided that such majority shall be required to include not fewer than 2 members of the Commission appointed by members of the Republican Party and not fewer than 2 members appointed by members of the Democratic Party. (3)

Membership

(A)

In general

Not later than 14 days after the date of enactment of this Act, and with due consideration to the chairs and ranking members of the committees and subcommittees of Congress that maintain subject matter jurisdiction, as applicable, the Commission shall be composed of 12 members appointed as follows: (i)2 individuals from among the Members of the Senate, and 1 outside expert, appointed by the majority leader of the Senate. (ii)2 individuals from among the Members of the Senate, and 1 outside expert, appointed by the minority leader of the Senate. (iii)2 individuals from among the Members of the House of Representatives, and 1 outside expert, appointed by the Speaker of the House of Representatives. (iv)2 individuals from among the Members of the House of Representatives, and 1 outside expert, appointed by the minority leader of the House of Representatives. (B)

Co-chairs

Not later than 14 days after the date of enactment of this Act, with respect to the Commission— (i)the leadership of the Senate and House of Representatives of the same political party as the President shall appoint 1 individual among the members of the Commission who shall serve as a co-chair of the Commission; and (ii)the leadership of the Senate and House of Representatives of the opposite political party as the President shall appoint 1 individual among the members of the Commission who shall serve as a co-chair of the Commission. (C)

Staff director

With respect to the Commission, the co-chairs, acting jointly, shall hire the staff director of the Commission. (D)

Period of appointment

The members of the Commission shall be appointed for the life of the Commission. (E)

Vacancy

Any vacancy in the Commission shall not affect the powers of the Commission, but shall be filled not later than 14 days after the date on which the vacancy occurs, in the same manner as the original appointment was made. (F)

Ineligible members

If a member of the Commission who was appointed as a Member of the Senate or the House Representatives ceases to be a Member of the Senate or the House of Representatives, as applicable— (i)the member shall no longer be a member of the Commission; and (ii)a vacancy in the Commission exists. (4)

Administration

(A)

In general

With respect to the Commission, to exercise the powers, functions, and duties of the Commission, there are authorized to be disbursed by the Senate the actual and necessary expenses of the Commission approved by the co-chairs of the Commission, subject to the rules and regulations of the Senate. (B)

Expenses

With respect to the Commission, in carrying out the functions of the Commission, the Commission is authorized to incur expenses in the same manner and under the same conditions as the Joint Economic Committee is authorized under section 11(d) of the Employment Act of 1946 (15 U.S.C. 1024(d)). (C)

Quorum

(i)

In general

With respect to the Commission, 7 members of the Commission shall constitute a quorum for purposes of voting, meeting, and holding hearings. (ii)

Outside experts

Outside experts shall not count for purposes of determining whether there is a quorum under this subparagraph. (D)

Congressional Budget Office estimates

The Director of the Congressional Budget Office shall, with respect to the legislative language proposed by the Commission under subclause (I)(bb) or (II)(bb) of paragraph (2)(D)(i), provide to the Commission— (i)estimates of the legislative language in accordance with sections 308(a) and 201(f) of the Congressional Budget Act of 1974 (2 U.S.C. 639(a), 601(f)); and (ii)information on the budgetary effects of the legislative language on the long-term fiscal outlook. (E)

Hearings

(i)

In general

The Commission may, for the purpose of carrying out this section, hold such hearings, sit and act at such times and places, require attendance of witnesses and production of books, papers, and documents, take such testimony, receive such evidence, and administer such oaths as the Commission considers advisable. (ii)

Hearing procedures and responsibilities of co-chairs

(I)

Announcement

The co-chairs shall make a public announcement of the date, place, time, and subject matter of any hearing to be conducted under this subparagraph not later than 7 days before the date of the hearing, unless the co-chairs determine that there is good cause to begin such hearing on an earlier date. (II)

Written statement

A witness appearing before the Commission shall file a written statement of the proposed testimony of the witness not later than 2 days before the date of the appearance of the witness, unless the co-chairs of the Commission determine that there is good cause for the witness to not file the written statement or waive the requirement. (iii)

Hearing requirements

The Commission shall hold not less than 6 hearings under this subparagraph, which shall include— (I)field hearings throughout the United States; (II)hearings to solicit testimony from appropriate officials of the executive branch; and (III)hearings to solicit testimony from Members of Congress (in this subclause defined as a member of the Senate or the House of Representatives, a Delegate to the House of Representatives, and the Resident Commissioner from Puerto Rico). (F)

Technical assistance and consultation

Upon written request of the co-chairs of the Commission, the head of a Federal agency (including a legislative branch agency) shall provide technical assistance to, and consult with, the Commission in order for the members Commission to carry out the duties of the Commission. (G)

Outside expert

Any outside expert appointed to the Commission— (i)shall not be considered to be a Federal employee for any purpose by reason of service on the Commission; and (ii)shall be allowed travel expenses, including per diem in lieu of subsistence, at rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States Code, while away from the home or regular place of business of the outside expert in the performance of services for the Commission. (5)

Staff of Commission

(A)

In general

The co-chairs of Commission may jointly appoint and fix the compensation of staff of the Commission as the co-chairs determine necessary, in accordance with the guidelines, rules, and requirements relating to employees of the Senate. (B)

Ethical standards

(i)

Senate

A member of the Commission appointed by a Member of the Senate and staff of the Commission shall adhere to the ethics rules of the Senate. (ii)

House of Representatives

A member of the Commission appointed by a Member of the House of Representatives shall be governed by the ethics rules and requirements of the House of Representatives. (6)

Termination

The Commission shall terminate 30 days after the date the Commission submits the final report under paragraph (2)(D)(v). (b)

Funding

Funding for the Commission shall be derived in equal portions from— (1)the contingent fund of the Senate from the appropriations account Miscellaneous Items, subject to the rules and regulations of the Senate; and (2)the applicable accounts of the House of Representatives.