[Congressional Record (Bound Edition), Volume 159 (2013), Part 13]
[House]
[Pages 19062-19096]
[From the U.S. Government Publishing Office, www.gpo.gov]




                              {time}  1630
               CONTINUING APPROPRIATIONS RESOLUTION, 2014

  Mr. RYAN of Wisconsin. Mr. Speaker, pursuant to House Resolution 438, 
I call up the joint resolution (H.J. Res. 59) making continuing 
appropriations for fiscal year 2014, and for other purposes, with the 
House amendment to the Senate amendment thereto, and I have a motion at 
the desk.
  The Clerk read the title of the joint resolution.
  The SPEAKER pro tempore (Mr. Hastings of Washington). The Clerk will 
designate the Senate amendment.
  The text of the Senate amendment is as follows:
  Senate amendment:

       Strike all after the first word and insert the following:

     the following sums are hereby appropriated, out of any money 
     in the Treasury not otherwise appropriated, and out of 
     applicable corporate or other revenues, receipts, and funds, 
     for the several departments, agencies, corporations, and 
     other organizational units of Government for fiscal year 
     2014, and for other purposes, namely:
       Sec. 101. (a) Such amounts as may be necessary, at a rate 
     for operations as provided in the applicable appropriations 
     Acts for fiscal year 2013 and under the authority and 
     conditions provided in such Acts, for continuing projects or 
     activities (including the costs of direct loans and loan 
     guarantees) that are not otherwise specifically provided for 
     in this joint resolution, that were conducted in fiscal year 
     2013, and for which appropriations, funds, or other authority 
     were made available in the following appropriations Acts:
       (1) The Agriculture, Rural Development, Food and Drug 
     Administration, and Related Agencies Appropriations Act, 2013 
     (division A of Public Law 113-6), except section 735.
       (2) The Commerce, Justice, Science, and Related Agencies 
     Appropriations Act, 2013 (division B of Public Law 113-6).
       (3) The Department of Defense Appropriations Act, 2013 
     (division C of Public Law 113-6).
       (4) The Department of Homeland Security Appropriations Act, 
     2013 (division D of Public Law 113-6).
       (5) The Military Construction and Veterans Affairs, and 
     Related Agencies Appropriations Act, 2013 (division E of 
     Public Law 113-6).
       (6) The Full-Year Continuing Appropriations Act, 2013 
     (division F of Public Law 113-6).
       (b) The rate for operations provided by subsection (a) for 
     each account shall be calculated to reflect the full amount 
     of any reduction required in fiscal year 2013 pursuant to--
       (1) any provision of division G of the Consolidated and 
     Further Continuing Appropriations Act, 2013 (Public Law 113-
     6), including section 3004; and
       (2) the Presidential sequestration order dated March 1, 
     2013, except as attributable to budget authority made 
     available by--
       (A) sections 140(b) or 141(b) of the Continuing 
     Appropriations Resolution, 2013 (Public Law 112-175); or
       (B) the Disaster Relief Appropriations Act, 2013 (Public 
     Law 113-2).
       Sec. 102. (a) No appropriation or funds made available or 
     authority granted pursuant to section 101 for the Department 
     of Defense shall be

[[Page 19063]]

     used for: (1) the new production of items not funded for 
     production in fiscal year 2013 or prior years; (2) the 
     increase in production rates above those sustained with 
     fiscal year 2013 funds; or (3) the initiation, resumption, or 
     continuation of any project, activity, operation, or 
     organization (defined as any project, subproject, activity, 
     budget activity, program element, and subprogram within a 
     program element, and for any investment items defined as a P-
     1 line item in a budget activity within an appropriation 
     account and an R-1 line item that includes a program element 
     and subprogram element within an appropriation account) for 
     which appropriations, funds, or other authority were not 
     available during fiscal year 2013.
       (b) No appropriation or funds made available or authority 
     granted pursuant to section 101 for the Department of Defense 
     shall be used to initiate multi-year procurements utilizing 
     advance procurement funding for economic order quantity 
     procurement unless specifically appropriated later.
       Sec. 103.  Appropriations made by section 101 shall be 
     available to the extent and in the manner that would be 
     provided by the pertinent appropriations Act.
       Sec. 104.  Except as otherwise provided in section 102, no 
     appropriation or funds made available or authority granted 
     pursuant to section 101 shall be used to initiate or resume 
     any project or activity for which appropriations, funds, or 
     other authority were not available during fiscal year 2013.
       Sec. 105.  Appropriations made and authority granted 
     pursuant to this joint resolution shall cover all obligations 
     or expenditures incurred for any project or activity during 
     the period for which funds or authority for such project or 
     activity are available under this joint resolution.
       Sec. 106.  Unless otherwise provided for in this joint 
     resolution or in the applicable appropriations Act for fiscal 
     year 2014, appropriations and funds made available and 
     authority granted pursuant to this joint resolution shall be 
     available until whichever of the following first occurs: (1) 
     the enactment into law of an appropriation for any project or 
     activity provided for in this joint resolution; (2) the 
     enactment into law of the applicable appropriations Act for 
     fiscal year 2014 without any provision for such project or 
     activity; or (3) November 15, 2013.
       Sec. 107.  Expenditures made pursuant to this joint 
     resolution shall be charged to the applicable appropriation, 
     fund, or authorization whenever a bill in which such 
     applicable appropriation, fund, or authorization is contained 
     is enacted into law.
       Sec. 108.  Appropriations made and funds made available by 
     or authority granted pursuant to this joint resolution may be 
     used without regard to the time limitations for submission 
     and approval of apportionments set forth in section 1513 of 
     title 31, United States Code, but nothing in this joint 
     resolution may be construed to waive any other provision of 
     law governing the apportionment of funds.
       Sec. 109.  Notwithstanding any other provision of this 
     joint resolution, except section 106, for those programs that 
     would otherwise have high initial rates of operation or 
     complete distribution of appropriations at the beginning of 
     fiscal year 2014 because of distributions of funding to 
     States, foreign countries, grantees, or others, such high 
     initial rates of operation or complete distribution shall not 
     be made, and no grants shall be awarded for such programs 
     funded by this joint resolution that would impinge on final 
     funding prerogatives.
       Sec. 110.  This joint resolution shall be implemented so 
     that only the most limited funding action of that permitted 
     in the joint resolution shall be taken in order to provide 
     for continuation of projects and activities.
       Sec. 111. (a) For entitlements and other mandatory payments 
     whose budget authority was provided in appropriations Acts 
     for fiscal year 2013, and for activities under the Food and 
     Nutrition Act of 2008, activities shall be continued at the 
     rate to maintain program levels under current law, under the 
     authority and conditions provided in the applicable 
     appropriations Act for fiscal year 2013, to be continued 
     through the date specified in section 106(3).
       (b) Notwithstanding section 106, obligations for mandatory 
     payments due on or about the first day of any month that 
     begins after October 2013 but not later than 30 days after 
     the date specified in section 106(3) may continue to be made, 
     and funds shall be available for such payments.
       Sec. 112.  Amounts made available under section 101 for 
     civilian personnel compensation and benefits in each 
     department and agency may be apportioned up to the rate for 
     operations necessary to avoid furloughs within such 
     department or agency, consistent with the applicable 
     appropriations Act for fiscal year 2013, except that such 
     authority provided under this section shall not be used until 
     after the department or agency has taken all necessary 
     actions to reduce or defer non-personnel-related 
     administrative expenses.
       Sec. 113.  Funds appropriated by this joint resolution may 
     be obligated and expended notwithstanding section 10 of 
     Public Law 91-672 (22 U.S.C. 2412), section 15 of the State 
     Department Basic Authorities Act of 1956 (22 U.S.C. 2680), 
     section 313 of the Foreign Relations Authorization Act, 
     Fiscal Years 1994 and 1995 (22 U.S.C. 6212), and section 
     504(a)(1) of the National Security Act of 1947 (50 U.S.C. 
     3094(a)(1)).
       Sec. 114. (a) Each amount incorporated by reference in this 
     joint resolution that was previously designated by the 
     Congress for Overseas Contingency Operations/Global War on 
     Terrorism pursuant to section 251(b)(2)(A) of the Balanced 
     Budget and Emergency Deficit Control Act of 1985 or as being 
     for disaster relief pursuant to section 251(b)(2)(D) of such 
     Act is designated by the Congress for Overseas Contingency 
     Operations/Global War on Terrorism pursuant to section 
     251(b)(2)(A) of such Act or as being for disaster relief 
     pursuant to section 251(b)(2)(D) of such Act, respectively.
       (b) Of the amounts made available by section 101 for 
     ``Social Security Administration, Limitation on 
     Administrative Expenses'' for the cost associated with 
     continuing disability reviews under titles II and XVI of the 
     Social Security Act and for the cost associated with 
     conducting redeterminations of eligibility under title XVI of 
     the Social Security Act, $273,000,000 is provided to meet the 
     terms of section 251(b)(2)(B)(ii)(III) of the Balanced Budget 
     and Emergency Deficit Control Act of 1985, as amended, and 
     $469,639,000 is additional new budget authority specified for 
     purposes of section 251(b)(2)(B) of such Act.
       (c) Section 5 of Public Law 113-6 shall apply to amounts 
     designated in subsection (a) for Overseas Contingency 
     Operations/Global War on Terrorism.
       Sec. 115.  Section 3003 of division G of Public Law 113-6 
     shall be applied to funds appropriated by this joint 
     resolution by substituting ``fiscal year 2014'' for ``fiscal 
     year 2013'' each place it appears.
       Sec. 116.  Section 408 of the Food for Peace Act (7 U.S.C. 
     1736b) shall be applied by substituting the date specified in 
     section 106(3) of this joint resolution for ``December 31, 
     2012''.
       Sec. 117.  Amounts made available under section 101 for 
     ``Department of Commerce--National Oceanic and Atmospheric 
     Administration--Procurement, Acquisition and Construction'' 
     may be apportioned up to the rate for operations necessary to 
     maintain the planned launch schedules for the Joint Polar 
     Satellite System and the Geostationary Operational 
     Environmental Satellite system.
       Sec. 118.  The authority provided by sections 1205 and 1206 
     of the National Defense Authorization Act for Fiscal Year 
     2012 (Public Law 112-81) shall continue in effect, 
     notwithstanding subsection (h) of section 1206, through the 
     earlier of the date specified in section 106(3) of this joint 
     resolution or the date of the enactment of an Act authorizing 
     appropriations for fiscal year 2014 for military activities 
     of the Department of Defense.
       Sec. 119.  Section 14704 of title 40, United States Code, 
     shall be applied to amounts made available by this joint 
     resolution by substituting the date specified in section 
     106(3) of this joint resolution for ``October 1, 2012''.
       Sec. 120.  Notwithstanding any other provision of this 
     joint resolution, except section 106, the District of 
     Columbia may expend local funds under the heading ``District 
     of Columbia Funds'' for such programs and activities under 
     title IV of H.R. 2786 (113th Congress), as reported by the 
     Committee on Appropriations of the House of Representatives, 
     at the rate set forth under ``District of Columbia Funds--
     Summary of Expenses'' as included in the Fiscal Year 2014 
     Budget Request Act of 2013 (D.C. Act 20-127), as modified as 
     of the date of the enactment of this joint resolution.
       Sec. 121.  Notwithstanding section 101, amounts are 
     provided for ``The Judiciary--Courts of Appeals, District 
     Courts, and Other Judicial Services--Defender Services'' at a 
     rate for operations of $1,012,000,000.
       Sec. 122.  For the period covered by this joint resolution, 
     section 550(b) of Public Law 109-295 (6 U.S.C. 121 note) 
     shall be applied by substituting the date specified in 
     section 106(3) of this joint resolution for ``October 4, 
     2013''.
       Sec. 123.  The authority provided by section 532 of Public 
     Law 109-295 shall continue in effect through the date 
     specified in section 106(3) of this joint resolution.
       Sec. 124.  The authority provided by section 831 of the 
     Homeland Security Act of 2002 (6 U.S.C. 391) shall continue 
     in effect through the date specified in section 106(3) of 
     this joint resolution.
       Sec. 125. (a) Any amounts made available pursuant to 
     section 101 for ``Department of Homeland Security--U.S. 
     Customs and Border Protection--Salaries and Expenses'', 
     ``Department of Homeland Security--U.S. Customs and Border 
     Protection--Border Security Fencing, Infrastructure, and 
     Technology'', and ``Department of Homeland Security--U.S. 
     Immigration and Customs Enforcement--Salaries and Expenses'' 
     shall be obligated at a rate for operations as necessary to 
     respectively--
       (1) sustain the staffing levels of U.S. Customs and Border 
     Protection Officers, equivalent to the staffing levels 
     achieved on September 30, 2013, and comply with the last 
     proviso under the heading ``Department of Homeland Security--
     U.S. Customs and Border Protection--Salaries and Expenses'' 
     in division D of Public Law 113-6;
       (2) sustain border security operations, including 
     sustaining the operation of Tethered Aerostat Radar Systems; 
     and
       (3) sustain the staffing levels of U.S. Immigration and 
     Customs Enforcement agents, equivalent to the staffing levels 
     achieved on September 30, 2013, and comply with the sixth 
     proviso under the heading ``Department of Homeland Security--
     U.S. Immigration and Customs Enforcement--Salaries and 
     Expenses'' in division D of Public Law 113-6.
       (b) The Secretary of Homeland Security shall notify the 
     Committees on Appropriations of the House of Representatives 
     and the Senate on each use of the authority provided in this 
     section.

[[Page 19064]]

       Sec. 126.  In addition to the amount otherwise provided by 
     section 101 for ``Department of the Interior--Department-wide 
     Programs--Wildland Fire Management'', there is appropriated 
     $36,000,000 for an additional amount for fiscal year 2014, to 
     remain available until expended, for urgent wildland fire 
     suppression activities:  Provided, That of the funds 
     provided, $15,000,000 is for burned area rehabilitation:  
     Provided further, That such funds shall only become available 
     if funds previously provided for wildland fire suppression 
     will be exhausted imminently and the Secretary of the 
     Interior notifies the Committees on Appropriations of the 
     House of Representatives and the Senate in writing of the 
     need for these additional funds:  Provided further, That such 
     funds are also available for transfer to other appropriations 
     accounts to repay amounts previously transferred for wildfire 
     suppression.
       Sec. 127.  In addition to the amount otherwise provided by 
     section 101 for ``Department of Agriculture--Forest Service--
     Wildland Fire Management'', there is appropriated 
     $600,000,000 for an additional amount for fiscal year 2014, 
     to remain available until expended, for urgent wildland fire 
     suppression activities:  Provided, That such funds shall only 
     become available if funds previously provided for wildland 
     fire suppression will be exhausted imminently and the 
     Secretary of Agriculture notifies the Committees on 
     Appropriations of the House of Representatives and the Senate 
     in writing of the need for these additional funds:  Provided 
     further, That such funds are also available for transfer to 
     other appropriations accounts to repay amounts previously 
     transferred for wildfire suppression.
       Sec. 128.  The authority provided by section 347 of the 
     Department of the Interior and Related Agencies 
     Appropriations Act, 1999 (as contained in section 101(e) of 
     division A of Public Law 105-277; 16 U.S.C. 2104 note) shall 
     continue in effect through the date specified in section 
     106(3) of this joint resolution.
       Sec. 129.  The authority provided by subsection (m)(3) of 
     section 8162 of the Department of Defense Appropriations Act, 
     2000 (40 U.S.C. 8903 note; Public Law 106-79), as amended, 
     shall continue in effect through the date specified in 
     section 106(3) of this joint resolution.
       Sec. 130.  Activities authorized under part A of title IV 
     and section 1108(b) of the Social Security Act (except for 
     activities authorized in section 403(b)) shall continue 
     through the date specified in section 106(3) of this joint 
     resolution in the manner authorized for fiscal year 2013, and 
     out of any money in the Treasury of the United States not 
     otherwise appropriated, there are hereby appropriated such 
     sums as may be necessary for such purpose.
       Sec. 131.  Notwithstanding section 101, the matter under 
     the heading ``Department of Labor--Mine Safety and Health 
     Administration--Salaries and Expenses'' in division F of 
     Public Law 112-74 shall be applied to funds appropriated by 
     this joint resolution by substituting ``is authorized to 
     collect and retain up to $2,499,000'' for ``may retain up to 
     $1,499,000''.
       Sec. 132.  The first proviso under the heading ``Department 
     of Health and Human Services--Administration for Children and 
     Families--Low Income Home Energy Assistance'' in division F 
     of Public Law 112-74 shall be applied to amounts made 
     available by this joint resolution by substituting ``2014'' 
     for ``2012''.
       Sec. 133.  Amounts provided by section 101 for ``Department 
     of Health and Human Services--Administration for Children and 
     Families--Refugee and Entrant Assistance'' may be obligated 
     up to a rate for operations necessary to maintain program 
     operations at the level provided in fiscal year 2013, as 
     necessary to accommodate increased demand.
       Sec. 134.  During the period covered by this joint 
     resolution, amounts provided under section 101 for 
     ``Department of Health and Human Services--Office of the 
     Secretary--Public Health and Social Services Emergency Fund'' 
     may be obligated at a rate necessary to assure timely 
     execution of planned advanced research and development 
     contracts pursuant to section 319L of the Public Health 
     Service Act, to remain available until expended, for expenses 
     necessary to support advanced research and development 
     pursuant to section 319L of the Public Health Service Act (42 
     U.S.C. 247d-7e) and other administrative expenses of the 
     Biomedical Advanced Research and Development Authority.
       Sec. 135.  Notwithstanding any other provision of this 
     joint resolution, there is appropriated for payment to Bonnie 
     Englebardt Lautenberg, widow of Frank R. Lautenberg, late a 
     Senator from New Jersey, $174,000.
       Sec. 136.  Notwithstanding section 101, amounts are 
     provided for ``Department of Veterans Affairs--Departmental 
     Administration--General Operating Expenses, Veterans Benefits 
     Administration'' at a rate for operations of $2,455,490,000.
       Sec. 137.  The authority provided by the penultimate 
     proviso under the heading ``Department of Housing and Urban 
     Development--Rental Assistance Demonstration'' in division C 
     of Public Law 112-55 shall continue in effect through the 
     date specified in section 106(3) of this joint resolution.
        This joint resolution may be cited as the ``Continuing 
     Appropriations Resolution, 2014''.

                      Motion to Recede and Concur

  The SPEAKER pro tempore. The Clerk will designate the motion.
  The text of the motion is as follows:

       Mr. Ryan of Wisconsin moves that the House recede from its 
     amendment to the amendment of the Senate, and concur therein 
     with the amendment printed in Part A of House Report 113-290, 
     modified by the amendment printed in Part B of that report.

  The text of the amendment is as follows:

       In lieu of the matter proposed to be inserted by the Senate 
     insert the following:

                DIVISION A--BIPARTISAN BUDGET AGREEMENT

     SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Bipartisan 
     Budget Act of 2013''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

          DIVISION A--BUDGET ENFORCEMENT AND DEFICIT REDUCTION

Sec. 1. Short title and table of contents.

                      TITLE I--BUDGET ENFORCEMENT

  Subtitle A--Amendments to the Balanced Budget and Emergency Deficit 
                          Control Act of 1985

Sec. 101. Amendments to the Balanced Budget and Emergency Deficit 
              Control Act of 1985.

            Subtitle B--Establishing a Congressional Budget

Sec. 111. Fiscal year 2014 budget resolution.
Sec. 112. Limitation on advance appropriations in the Senate.
Sec. 113. Rule of construction in the House of Representatives.
Sec. 114. Additional Senate budget enforcement.
Sec. 115. Authority for fiscal year 2015 budget resolution in the House 
              of Representatives.
Sec. 116. Authority for fiscal year 2015 budget resolution in the 
              Senate.
Sec. 117. Exclusion of savings from PAYGO scorecards.
Sec. 118. Exercise of rulemaking powers.

                   Subtitle C--Technical Corrections

Sec. 121. Technical corrections to the Balanced Budget and Emergency 
              Deficit Control Act of 1985.
Sec. 122. Technical corrections to the Congressional Budget Act of 
              1974.

            TITLE II--PREVENTION OF WASTE, FRAUD, AND ABUSE

Sec. 201. Improving the collection of unemployment insurance 
              overpayments.
Sec. 202. Strengthening Medicaid Third-Party Liability.
Sec. 203. Restriction on access to the death master file.
Sec. 204. Identification of inmates requesting or receiving improper 
              payments.

                      TITLE III--NATURAL RESOURCES

Sec. 301. Ultra-deepwater and unconventional natural gas and other 
              petroleum resources.
Sec. 302. Amendment to the Mineral Leasing Act.
Sec. 303. Approval of agreement with Mexico.
Sec. 304. Amendment to the Outer Continental Shelf Lands Act.
Sec. 305. Federal oil and gas royalty prepayment cap.
Sec. 306. Strategic Petroleum Reserve.

           TITLE IV--FEDERAL CIVILIAN AND MILITARY RETIREMENT

Sec. 401. Increase in contributions to Federal Employees' Retirement 
              System for new employees.
Sec. 402. Foreign Service Pension System.
Sec. 403. Annual adjustment of retired pay and retainer pay amounts for 
              retired members of the Armed Forces under age 62.

                       TITLE V--HIGHER EDUCATION

Sec. 501. Default reduction program.
Sec. 502. Elimination of nonprofit servicing contracts.

                        TITLE VI--TRANSPORTATION

Sec. 601. Aviation security service fees.
Sec. 602. Transportation cost reimbursement.
Sec. 603. Sterile areas at airports.

                  TITLE VII--MISCELLANEOUS PROVISIONS

Sec. 701. Extension of customs user fees.
Sec. 702. Limitation on allowable government contractor compensation 
              costs.
Sec. 703. Pension Benefit Guaranty Corporation premium rate increases.
Sec. 704. Cancellation of Unobligated Balances.
Sec. 705. Conservation planning technical assistance user fees.
Sec. 706. Self plus one coverage.
       (c) References.--Except as expressly provided otherwise, 
     any reference to ``this Act'' contained in any division of 
     this Act shall be treated as referring only to the provisions 
     of that division.

                      TITLE I--BUDGET ENFORCEMENT

  Subtitle A--Amendments to the Balanced Budget and Emergency Deficit 
                          Control Act of 1985

     SEC. 101. AMENDMENTS TO THE BALANCED BUDGET AND EMERGENCY 
                   DEFICIT CONTROL ACT OF 1985.

       (a) Revised Discretionary Spending Limits.--Section 251(c) 
     of the Balanced Budget and Emergency Deficit Control Act of 
     1985 is amended by striking paragraphs (1) through (10) and 
     inserting the following new paragraphs:

[[Page 19065]]

       ``(1) for fiscal year 2014--
       ``(A) for the revised security category, $520,464,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $491,773,000,000 in new budget authority;
       ``(2) for fiscal year 2015--
       ``(A) for the revised security category, $521,272,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $492,356,000,000 in new budget authority;
       ``(3) for fiscal year 2016--
       ``(A) for the revised security category, $577,000,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $530,000,000,000 in new budget authority;
       ``(4) for fiscal year 2017--
       ``(A) for the revised security category, $590,000,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $541,000,000,000 in new budget authority;
       ``(5) for fiscal year 2018--
       ``(A) for the revised security category, $603,000,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $553,000,000,000 in new budget authority;
       ``(6) for fiscal year 2019--
       ``(A) for the revised security category, $616,000,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $566,000,000,000 in new budget authority;
       ``(7) for fiscal year 2020--
       ``(A) for the revised security category, $630,000,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $578,000,000,000 in new budget authority; and
       ``(8) for fiscal year 2021--
       ``(A) for the revised security category, $644,000,000,000 
     in new budget authority; and
       ``(B) for the revised nonsecurity category, 
     $590,000,000,000 in new budget authority;''.
       (b) Direct Spending Adjustments for Fiscal Years 2014 and 
     2015.--(1) Section 251A of the Balanced Budget and Emergency 
     Deficit Control Act of 1985, as redesignated by subsection 
     (d), is amended by adding at the end the following new 
     paragraph:
       ``(10) Implementing direct spending reductions for fiscal 
     years 2014 and 2015.--(A) OMB shall make the calculations 
     necessary to implement the direct spending reductions 
     calculated pursuant to paragraphs (3) and (4) without regard 
     to the amendment made to section 251(c) revising the 
     discretionary spending limits for fiscal years 2014 and 2015 
     by the Bipartisan Budget Act of 2013.
       ``(B) Paragraph (5)(B) shall not be implemented for fiscal 
     years 2014 and 2015.''.
       (2) Paragraph (5)(B) of section 251A of the Balanced Budget 
     and Emergency Deficit Control Act of 1985, as redesignated by 
     subsection (d)(2)(C) of this section, is amended by striking 
     ``On'' and inserting ``Except as provided by paragraph (10), 
     on''.
       (c) Extension of Direct Spending Reductions for Fiscal 
     Years 2022 and 2023.--Paragraph (6), as redesignated by 
     subsection (d)(2)(C) of this section, of section 251A of the 
     Balanced Budget and Emergency Deficit Control Act of 1985 is 
     amended by inserting ``(A)'' before ``On the date'' and by 
     adding at the end the following new subparagraph:
       ``(B) On the dates OMB issues its sequestration preview 
     reports for fiscal year 2022 and for fiscal year 2023, 
     pursuant to section 254(c), the President shall order a 
     sequestration, effective upon issuance such that--
       ``(i) the percentage reduction for nonexempt direct 
     spending for the defense function is the same percent as the 
     percentage reduction for nonexempt direct spending for the 
     defense function for fiscal year 2021 calculated under 
     paragraph (3)(B); and
       ``(ii) the percentage reduction for nonexempt direct 
     spending for nondefense functions is the same percent as the 
     percentage reduction for nonexempt direct spending for 
     nondefense functions for fiscal year 2021 calculated under 
     paragraph (4)(B).''.
       (d) Conforming Amendments.--Part C of title II of the 
     Balanced Budget and Emergency Deficit Control Act of 1985 (2 
     U.S.C. 900 et seq.) is amended--
       (1) in section 250(c)(4) (2 U.S.C. 900(c)(4)), by adding at 
     the end the following:
       ``(D) The term `revised security category' means 
     discretionary appropriations in budget function 050.
       ``(E) The term `revised nonsecurity category' means 
     discretionary appropriations other than in budget function 
     050.
       ``(F) The term `category' means the subsets of 
     discretionary appropriations in section 251(c). Discretionary 
     appropriations in each of the categories shall be those 
     designated in the joint explanatory statement accompanying 
     the conference report on the Balanced Budget Act of 1997. New 
     accounts or activities shall be categorized only after 
     consultation with the Committees on Appropriations and the 
     Budget of the House of Representatives and the Senate and 
     that consultation shall, to the extent practicable, include 
     written communication to such committees that affords such 
     committees the opportunity to comment before official action 
     is taken with respect to new accounts or activities.''; and
       (2) in section 251A (2 U.S.C. 901a)--
       (A) by striking, in the matter preceding paragraph (1), 
     ``Unless'' through ``as follows:'' and inserting the 
     following: ``Discretionary appropriations and direct spending 
     accounts shall be reduced in accordance with this section as 
     follows:'';
       (B) by striking paragraphs (1) and (2);
       (C) by redesignating paragraphs (3) through (11) as 
     paragraphs (1) through (9), respectively;
       (D) in paragraph (2), as redesignated, by striking 
     ``paragraph (3)'' and inserting ``paragraph (1)'';
       (E) in paragraph (3), as redesignated, by striking 
     ``paragraph (4)'' each place it appears and inserting 
     ``paragraph (2)'';
       (F) in paragraph (4), as redesignated, by striking 
     ``paragraph (4)'' each place it appears and inserting 
     ``paragraph (2)'';
       (G) in paragraph (5), as redesignated--
       (i) by striking ``paragraph (5)'' each place it appears and 
     inserting ``paragraph (3)''; and
       (ii) by striking ``paragraph (6)'' each place it appears 
     and inserting ``paragraph (4)'';
       (H) in paragraph (6), as redesignated--
       (i) by striking ``paragraph (4)'' and inserting ``paragraph 
     (2)''; and
       (ii) by striking ``paragraphs (5) and (6)'' and inserting 
     ``paragraphs (3) and (4)'';
       (I) in paragraph (7), as redesignated--
       (i) by striking ``paragraph (8)'' and inserting ``paragraph 
     (6)''; and
       (ii) by striking ``paragraph (6)'' each place it appears 
     and inserting ``paragraph (4)''; and
       (J) in paragraph (9), as redesignated, by striking 
     ``paragraph (4)'' and inserting ``paragraph (2)''.

            Subtitle B--Establishing a Congressional Budget

     SEC. 111. FISCAL YEAR 2014 BUDGET RESOLUTION.

       (a) Fiscal Year 2014.--For the purpose of enforcing the 
     Congressional Budget Act of 1974 for fiscal year 2014, and 
     enforcing, in the Senate, budgetary points of order in prior 
     concurrent resolutions on the budget, the allocations, 
     aggregates, and levels provided for in subsection (b) shall 
     apply in the same manner as for a concurrent resolution on 
     the budget for fiscal year 2014 with appropriate budgetary 
     levels for fiscal year 2014 and for fiscal years 2015 through 
     2023.
       (b) Committee Allocations, Aggregates, and Levels.--The 
     Chairmen of the Committee on the Budget of the House of 
     Representatives and the Senate shall each submit a statement 
     for publication in the Congressional Record as soon as 
     practicable after the date of enactment of this Act that 
     includes--
       (1) for the Committee on Appropriations of that House, 
     committee allocations for fiscal year 2014 consistent with 
     the discretionary spending limits set forth in this Act for 
     the purpose of enforcing section 302 of the Congressional 
     Budget Act of 1974;
       (2) for all committees of that House other than the 
     Committee on Appropriations, committee allocations for--
       (A) fiscal year 2014;
       (B) fiscal years 2014 through 2018 in the Senate only; and
       (C) fiscal years 2014 through 2023;
     consistent with the May 2013 baseline of the Congressional 
     Budget Office adjusted to account for the budgetary effects 
     of this Act and legislation enacted prior to this Act but not 
     included in the May 2013 baseline of the Congressional Budget 
     Office, for the purpose of enforcing section 302 of the 
     Congressional Budget Act of 1974;
       (3) aggregate spending levels for fiscal year 2014 in 
     accordance with the allocations established under paragraphs 
     (1) and (2), for the purpose of enforcing section 311 of the 
     Congressional Budget Act of 1974;
       (4) aggregate revenue levels for--
       (A) fiscal year 2014;
       (B) fiscal years 2014 through 2018 in the Senate only; and
       (C) fiscal years 2014 through 2023;
     consistent with the May 2013 baseline of the Congressional 
     Budget Office adjusted to account for the budgetary effects 
     of this Act and legislation enacted prior to this Act but not 
     included in the May 2013 baseline of the Congressional Budget 
     Office, for the purpose of enforcing section 311 of the 
     Congressional Budget Act of 1974; and
       (5) in the Senate only, levels of Social Security revenues 
     and outlays for fiscal year 2014 and for the periods of 
     fiscal years 2014 through 2018 and 2014 through 2023 
     consistent with the May 2013 baseline of the Congressional 
     Budget Office adjusted to account for the budgetary effects 
     of this Act and legislation enacted prior to this Act but not 
     included in the May 2013 baseline of the Congressional Budget 
     Office, for the purpose of enforcing sections 302 and 311 of 
     the Congressional Budget Act of 1974.
       (c) Further Adjustments.--After the date of enactment of 
     this Act, the Chairman of the Committee on the Budget of the 
     House of Representatives may reduce the aggregates, 
     allocations, and other budgetary levels included in the 
     statement of the Chairman of the Committee on the Budget of 
     the House of Representatives referred to in subsection (b) to 
     reflect the budgetary effects of any legislation enacted 
     during the 113th Congress that reduces the deficit.

     SEC. 112. LIMITATION ON ADVANCE APPROPRIATIONS IN THE SENATE.

       (a) Point of Order Against Advance Appropriations in the 
     Senate.--
       (1) In general.--
       (A) Point of order.--Except as provided in paragraph (2), 
     it shall not be in order in the Senate to consider any bill, 
     joint resolution, motion, amendment, amendment between the 
     Houses, or conference report that would provide an advance 
     appropriation.
       (B) Definition.--In this subsection, the term ``advance 
     appropriation'' means any

[[Page 19066]]

     new budget authority provided in a bill or joint resolution 
     making appropriations for fiscal year 2014 that first becomes 
     available for any fiscal year after 2014 or any new budget 
     authority provided in a bill or joint resolution making 
     appropriations for fiscal year 2015 that first becomes 
     available for any fiscal year after 2015.
       (2) Exceptions.--Advance appropriations may be provided--
       (A) for fiscal years 2015 and 2016 for programs, projects, 
     activities, or accounts identified in a statement submitted 
     to the Congressional Record by the Chairman of the Committee 
     on the Budget of the Senate under the heading ``Accounts 
     Identified for Advance Appropriations'' in an aggregate 
     amount not to exceed $28,852,000,000 in new budget authority 
     in each fiscal year;
       (B) for the Corporation for Public Broadcasting; and
       (C) for the Department of Veterans Affairs for the Medical 
     Services, Medical Support and Compliance, and Medical 
     Facilities accounts of the Veterans Health Administration.
       (3) Supermajority waiver and appeal.--
       (A) Waiver.--In the Senate, paragraph (1) may be waived or 
     suspended only by an affirmative vote of three-fifths of the 
     Members, duly chosen and sworn.
       (B) Appeal.--An affirmative vote of three-fifths of the 
     Members of the Senate, duly chosen and sworn, shall be 
     required to sustain an appeal of the ruling of the Chair on a 
     point of order raised under paragraph (1).
       (4) Form of point of order.--A point of order under 
     paragraph (1) may be raised by a Senator as provided in 
     section 313(e) of the Congressional Budget Act of 1974.
       (5) Conference reports.--When the Senate is considering a 
     conference report on, or an amendment between the Houses in 
     relation to, a bill, upon a point of order being made by any 
     Senator pursuant to this subsection, and such point of order 
     being sustained, such material contained in such conference 
     report or amendment between the Houses shall be stricken, and 
     the Senate shall proceed to consider the question of whether 
     the Senate shall recede from its amendment and concur with a 
     further amendment, or concur in the House amendment with a 
     further amendment, as the case may be, which further 
     amendment shall consist of only that portion of the 
     conference report or House amendment, as the case may be, not 
     so stricken. Any such motion in the Senate shall be 
     debatable. In any case in which such point of order is 
     sustained against a conference report (or Senate amendment 
     derived from such conference report by operation of this 
     paragraph), no further amendment shall be in order.
       (6) Inapplicability.--In the Senate, section 402 of S. Con. 
     Res. 13 (111th Congress) shall no longer apply.
       (b) Expiration.--Subsection (a) shall expire if a 
     concurrent resolution on the budget for fiscal year 2015 is 
     agreed to by the Senate and House of Representatives pursuant 
     to section 301 of the Congressional Budget Act of 1974.

     SEC. 113. RULE OF CONSTRUCTION IN THE HOUSE OF 
                   REPRESENTATIVES.

       In the House of Representatives, for the remainder of the 
     113th Congress, the provisions of H. Con. Res. 25 (113th 
     Congress), as deemed in force by H. Res. 243 (113th 
     Congress), shall remain in force to the extent its budgetary 
     levels are not superseded by this subtitle or by further 
     action of the House of Representatives.

     SEC. 114. ADDITIONAL SENATE BUDGET ENFORCEMENT.

       (a) Senate Pay-as-you-go Scorecard.--
       (1) In general.--Effective on the date of enactment of this 
     Act, for the purpose of enforcing section 201 of S. Con. Res. 
     21 (110th Congress), the Chairman of the Committee on the 
     Budget of the Senate shall reduce any balances of direct 
     spending and revenues for any fiscal year to zero.
       (2) Fiscal year 2015.--After April 15, 2014, but not later 
     than May 15, 2014, for the purpose of enforcing section 201 
     of S. Con. Res. 21 (110th Congress), the Chairman of the 
     Committee on the Budget of the Senate shall reduce any 
     balances of direct spending and revenues for any fiscal year 
     to zero.
       (3) Publication.--Upon resetting the Senate paygo scorecard 
     pursuant to paragraph (2), the Chairman of the Committee on 
     the Budget of the Senate shall publish a notification of such 
     action in the Congressional Record.
       (b) Further Adjustments.--With respect to any allocations, 
     aggregates, or levels set or adjustments made pursuant to 
     this subtitle, sections 412 through 414 of S. Con. Res. 13 
     (111th Congress) shall remain in effect.
       (c) Deficit-neutral Reserve Fund to Replace 
     Sequestration.--The Chairman of the Committee on the Budget 
     of the Senate may revise the allocations of a committee or 
     committees, aggregates, and other appropriate levels and 
     limits set pursuant to this subtitle for one or more bills, 
     joint resolutions, amendments, motions, or conference reports 
     that amend section 251A of the Balanced Budget and Emergency 
     Deficit Control Act of 1985 (2 U.S.C. 901a) to repeal or 
     revise the enforcement procedures established under that 
     section, by the amounts provided in such legislation for 
     those purposes, provided that such legislation would not 
     increase the deficit over the period of the total of fiscal 
     years 2014 through 2023. For purposes of determining deficit-
     neutrality under this subsection, the Chairman may include 
     the estimated effects of any amendment or amendments to the 
     discretionary spending limits in section 251(c) of the 
     Balanced Budget and Emergency Deficit Control Act of 1985 (2 
     U.S.C. 901(c)).
       (d) Additional Deficit-Neutral Reserve Funds.--In the 
     Senate only, sections 302, 303, 304, 305, 306, 307, 308, 309, 
     310, 311, 312, 313, 314, 315, 316, 317, 318, 319, 320, 322, 
     323, 324, 325, 326, 327, 328, 329, 330, 331, 332, 333, 334, 
     335, 338, 339, 340, 341, 344, 348, 349, 350, 353, 354, 356, 
     361, 363, 364, 365, 366, 367, 368, 369, 371, 376, 378, 379, 
     and 383 of S. Con. Res. 8 (113th Congress), as passed the 
     Senate, shall have force and effect.
       (e) Expiration.--Subsections (a)(2), (c), and (d) shall 
     expire if a concurrent resolution on the budget for fiscal 
     year 2015 is agreed to by the Senate and House of 
     Representatives pursuant to section 301 of the Congressional 
     Budget Act of 1974.

     SEC. 115. AUTHORITY FOR FISCAL YEAR 2015 BUDGET RESOLUTION IN 
                   THE HOUSE OF REPRESENTATIVES.

       (a) Fiscal Year 2015.--If a concurrent resolution on the 
     budget for fiscal year 2015 has not been adopted by April 15, 
     2014, for the purpose of enforcing the Congressional Budget 
     Act of 1974, the allocations, aggregates, and levels provided 
     for in subsection (b) shall apply in the House of 
     Representatives after April 15, 2014, in the same manner as 
     for a concurrent resolution on the budget for fiscal year 
     2015 with appropriate budgetary levels for fiscal year 2015 
     and for fiscal years 2016 through 2024.
       (b) Committee Allocations, Aggregates, and Levels.--In the 
     House of Representatives, the Chairman of the Committee on 
     the Budget shall submit a statement for publication in the 
     Congressional Record after April 15, 2014, but not later than 
     May 15, 2014, containing--
       (1) for the Committee on Appropriations, committee 
     allocations for fiscal year 2015 at the total level as set 
     forth in section 251(c)(2) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 for the purpose of 
     enforcing section 302 of the Congressional Budget Act of 
     1974;
       (2) for all committees other than the Committee on 
     Appropriations, committee allocations for fiscal year 2015 
     and for the period of fiscal years 2015 through 2024 at the 
     levels included in the most recent baseline of the 
     Congressional Budget Office, as adjusted for the budgetary 
     effects of any provision of law enacted during the period 
     beginning on the date such baseline is issued and ending on 
     the date of submission of such statement, for the purpose of 
     enforcing section 302 of the Congressional Budget Act of 
     1974; and
       (3) aggregate spending levels for fiscal year 2015 and 
     aggregate revenue levels for fiscal year 2015 and for the 
     period of fiscal years 2015 through 2024, at the levels 
     included in the most recent baseline of the Congressional 
     Budget Office, as adjusted for the budgetary effects of any 
     provision of law enacted during the period beginning on the 
     date such baseline is issued and ending on the date of 
     submission of such statement, for the purpose of enforcing 
     section 311 of the Congressional Budget Act of 1974.
       (c) Additional Matter.--The statement referred to in 
     subsection (b) may also include for fiscal year 2015, the 
     matter contained in title IV (reserve funds) and in sections 
     601, 603(a), 605(a), and 609 of H. Con. Res. 25 (113th 
     Congress), as adopted by the House, updated by one fiscal 
     year, including updated amounts for section 601.
       (d) Fiscal Year 2015 Allocation to the Committee on 
     Appropriations.--If the statement referred to in subsection 
     (b) is not filed by May 15, 2014, then the matter referred to 
     in subsection (b)(1) shall be submitted by the Chairman of 
     the Committee on the Budget for publication in the 
     Congressional Record on the next day that the House of 
     Representatives is in session.
       (e) Adjustments.--The Chairman of the Committee on the 
     Budget of the House of Representatives may adjust the levels 
     included in the statement referred to in subsection (b) to 
     reflect the budgetary effects of any legislation enacted 
     during the 113th Congress that reduces the deficit or as 
     otherwise necessary.
       (f) Application.--Subsections (a), (b), (c), (d), and (e) 
     shall no longer apply if a concurrent resolution on the 
     budget for fiscal year 2015 is agreed to by the Senate and 
     House of Representatives pursuant to section 301 of the 
     Congressional Budget Act of 1974.

     SEC. 116. AUTHORITY FOR FISCAL YEAR 2015 BUDGET RESOLUTION IN 
                   THE SENATE.

       (a) Fiscal Year 2015.--For the purpose of enforcing the 
     Congressional Budget Act of 1974, after April 15, 2014, and 
     enforcing budgetary points of order in prior concurrent 
     resolutions on the budget, the allocations, aggregates, and 
     levels provided for in subsection (b) shall apply in the 
     Senate in the same manner as for a concurrent resolution on 
     the budget for fiscal year 2015 with appropriate budgetary 
     levels for fiscal years 2014 and 2016 through 2024.
       (b) Committee Allocations, Aggregates, and Levels.--After 
     April 15, 2014, but not later than May 15, 2014, the Chairman 
     of the

[[Page 19067]]

     Committee on the Budget of the Senate shall file--
       (1) for the Committee on Appropriations, committee 
     allocations for fiscal years 2014 and 2015 consistent with 
     the discretionary spending limits set forth in this Act for 
     the purpose of enforcing section 302 of the Congressional 
     Budget Act of 1974;
       (2) for all committees other than the Committee on 
     Appropriations, committee allocations for fiscal years 2014, 
     2015, 2015 through 2019, and 2015 through 2024 consistent 
     with the most recent baseline of the Congressional Budget 
     Office for the purpose of enforcing section 302 of the 
     Congressional Budget Act of 1974;
       (3) aggregate spending levels for fiscal years 2014 and 
     2015 in accordance with the allocations established under 
     paragraphs (1) and (2), for the purpose of enforcing section 
     311 of the Congressional Budget Act of 1974;
       (4) aggregate revenue levels for fiscal years 2014, 2015, 
     2015 through 2019, and 2015 through 2024 consistent with the 
     most recent baseline of the Congressional Budget Office for 
     the purpose of enforcing section 311 of the Congressional 
     Budget Act of 1974; and
       (5) levels of Social Security revenues and outlays for 
     fiscal years 2014, 2015, 2015 through 2019, and 2015 through 
     2024 consistent with the most recent baseline of the 
     Congressional Budget Office for the purpose of enforcing 
     sections 302 and 311 of the Congressional Budget Act of 1974.
       (c) Additional Matter.--The filing referred to in 
     subsection (b) may also include, for fiscal year 2015, the 
     reserve funds included in section 114(c) and (d) of this Act, 
     updated by one fiscal year.
       (d) Superseding Previous Statement.--In the Senate, the 
     filing referred to in subsection (b) shall supersede the 
     statement referred to in section 111(b) of this Act.
       (e) Expiration.-- This section shall expire if a concurrent 
     resolution on the budget for fiscal year 2015 is agreed to by 
     the Senate and House of Representatives pursuant to section 
     301 of the Congressional Budget Act of 1974.

     SEC. 117. EXCLUSION OF SAVINGS FROM PAYGO SCORECARDS.

       (a) Statutory Pay-As-You-Go Scorecards.--Notwithstanding 
     section 1(c) of this division, the budgetary effects of this 
     Act shall not be entered on either PAYGO scorecard maintained 
     pursuant to section 4(d) of the Statutory Pay-As-You-Go Act 
     of 2010.
       (b) Senate PAYGO Scorecards.--Notwithstanding section 1(c) 
     of this division, the budgetary effects of this Act shall not 
     be entered on any PAYGO scorecard maintained for purposes of 
     section 201 of S. Con. Res. 21 (110th Congress).

     SEC. 118. EXERCISE OF RULEMAKING POWERS.

       The provisions of this subtitle are enacted by the 
     Congress--
       (1) as an exercise of the rulemaking power of the House of 
     Representatives and the Senate, respectively, and as such 
     they shall be considered as part of the rules of each House, 
     respectively, or of that House to which they specifically 
     apply, and such rules shall supersede other rules only to the 
     extent that they are inconsistent therewith; and
       (2) with full recognition of the constitutional right of 
     either House to change such rules (so far as relating to such 
     House) at any time, in the same manner, and to the same 
     extent as in the case of any other rule of such House.

                   Subtitle C--Technical Corrections

     SEC. 121. TECHNICAL CORRECTIONS TO THE BALANCED BUDGET AND 
                   EMERGENCY DEFICIT CONTROL ACT OF 1985.

       The Balanced Budget and Emergency Deficit Control Act of 
     1985 is amended as follows:
       (1) In section 252(b)(2)(B), strike ``applicable to budget 
     year'' and insert ``applicable to the budget year''.
       (2) In section 252(c)(1)(C)(i), strike ``paragraph (1)'' 
     and insert ``subsection (b)''.
       (3) In section 254(c)(3)(A), strike ``subsection 252(b)'' 
     and insert ``section 252(b)''.
       (4) In section 254(f)(4), strike ``subsection 252(b)'' and 
     insert ``section 252(b)''.
       (5) In section 255(a), strike ``section 231b(a), 
     231b(f)(2), 231c(a), and 231c(f) of title 45 United States 
     Code'' and insert ``sections 3 and 4 of the Railroad 
     Retirement Act of 1937 (45 U.S.C. 231 et seq.)''.
       (6) In section 255(h), in the item relating to Federal Pell 
     Grants, strike ``section 401 Title IV'' and insert ``section 
     401 of title IV''.
       (7) In the first subsection (j) of section 255 (relating to 
     Split Treatment Programs), move the margins for the list 
     items two ems to the right.
       (8) Redesignate the second subsection (j) of section 255 
     (relating to Identification of Programs) as subsection (k).
       (9) In section 257(b)(2)(A)(i), strike ``differenes'' and 
     insert ``differences''.
       (10) In section 258(a)(1), strike ``section 254(j)'' and 
     insert ``section 254(i)''.

     SEC. 122. TECHNICAL CORRECTIONS TO THE CONGRESSIONAL BUDGET 
                   ACT OF 1974.

       The Congressional Budget Act of 1974 is amended as follows:
       (1) In sections 301(a)(6) and 301(a)(7), strike ``For 
     purposes'' and insert ``for purposes''.
       (2) In section 301(a), in the matter following paragraph 
     (7), strike ``old age'' and insert ``old-age''.
       (3) In section 302(g)(2)(A), strike ``committee on the 
     Budget'' and insert ``Committee on the Budget''.
       (4) In section 305(a)(1), strike ``clause 2(l)(6) of rule 
     XI'' and insert ``clause 4 of rule XIII''.
       (5) In section 305(a)(5), strike ``provisions of rule 
     XXIII'' and insert ``provisions of rule XVIII''.
       (6) In section 305(b)(1), strike ``section 304(a)'' and 
     insert ``section 304''.
       (7) In section 306 strike ``No'' and insert ``(a) In the 
     Senate.-- In the Senate, no'', strike ``of either House'' and 
     ``in that House'', strike ``of that House'', and add at the 
     end the following new subsection:
       ``(b) In the House of Representatives.--In the House of 
     Representatives, no bill or joint resolution, or amendment 
     thereto, or conference report thereon, dealing with any 
     matter which is within the jurisdiction of the Committee on 
     the Budget shall be considered unless it is a bill or joint 
     resolution which has been reported by the Committee on the 
     Budget (or from the consideration of which such committee has 
     been discharged) or unless it is an amendment to such a bill 
     or joint resolution.''.
       (8) In section 308(d), in the subsection heading, strike 
     ``Scorekeeping Guidelines.--'' and insert ``Scorekeeping 
     Guidelines.--''
       (9) In section 310(c)(1)(A)(i) and (ii), strike ``under 
     that paragraph by more than'' and insert ``under that 
     paragraph by more than--''.
       (10) In section 314(d)(2), strike subparagraph (A), 
     redesignate subparagraphs (B) and (C) as subparagraphs (A) 
     and (B) respectively, in subparagraph (A), as redesignated, 
     strike ``under subparagraph (A)'' and insert ``under 
     paragraph (1)'', and in subparagraph (B), as redesignated, 
     strike ``under subparagraph (B)'' and insert ``under 
     subparagraph (A)''.
       (11) In section 315, add at the end the following new 
     sentence: ``In the case of a reported bill or joint 
     resolution considered pursuant to a special order of 
     business, a point of order under section 303 shall be 
     determined on the basis of the text made in order as an 
     original bill or joint resolution for the purpose of 
     amendment or to the text on which the previous question is 
     ordered directly to passage, as the case may be.''.
       (12) In section 401(b)(2), strike ``section 302(b)'' and 
     insert ``section 302(a)''.
       (13) In section 401(c), add at the end the following new 
     paragraph:
       ``(3) In the House of Representatives, subsections (a) and 
     (b) shall not apply to new authority described in those 
     subsections to the extent that a provision in a bill or joint 
     resolution, or an amendment thereto or a conference report 
     thereon, establishes prospectively for a Federal office or 
     position a specified or minimum level of compensation to be 
     funded by annual discretionary appropriations.''.
       (14) In section 421(5)(A)(i)(II), strike ``subparagraph 
     (B))'' and insert ``subparagraph (B)''.
       (15) In section 505(c), strike ``section 406(b)'' both 
     places it appears and insert ``section 405(b)''.
       (16) In section 904(c)(2), strike ``258A(b)(3)(C)(I)'' and 
     ``258(h)(3)'' and insert ``258A(b)(3)(C)(i)'' and 
     ``258B(h)(3)'', respectively, and strike ``and 314(e)'' and 
     insert ``314(e), and 314(f)''.
       (17) In section 904(d)(3), strike ``258A(b)(3)(C)(I)'' and 
     ``258(h)(3)'' and insert ``258A(b)(3)(C)(i)'' and 
     ``258B(h)(3)'', respectively, and strike ``and 312(c)'' and 
     insert ``312(c), 314(e), and 314(f)''.

            TITLE II--PREVENTION OF WASTE, FRAUD, AND ABUSE

     SEC. 201. IMPROVING THE COLLECTION OF UNEMPLOYMENT INSURANCE 
                   OVERPAYMENTS.

       (a) In General.--Section 303 of the Social Security Act (42 
     U.S.C. 503) is amended by adding at the end the following:
       ``(m) In the case of a covered unemployment compensation 
     debt (as defined under section 6402(f)(4) of the Internal 
     Revenue Code of 1986) that remains uncollected as of the date 
     that is 1 year after the debt was finally determined to be 
     due and collected, the State to which such debt is owed shall 
     take action to recover such debt under section 6402(f) of the 
     Internal Revenue Code of 1986.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect upon the date of enactment of this Act.

     SEC. 202. STRENGTHENING MEDICAID THIRD-PARTY LIABILITY.

       (a) Payment for Prenatal and Preventive Pediatric Care and 
     in Cases Involving Medical Support.--Section 1902(a)(25) of 
     the Social Security Act (42 U.S.C. 1396a(a)(25)) is amended--
       (1) in subparagraph (E)(i), by inserting before the 
     semicolon at the end the following: ``, except that the State 
     may, if the State determines doing so is cost-effective and 
     will not adversely affect access to care, only make such 
     payment if a third party so liable has not made payment 
     within 90 days after the date the provider of such services 
     has initially submitted a claim to such third party for 
     payment for such services''; and
       (2) in subparagraph (F)(i), by striking ``30 days after 
     such services are furnished'' and inserting ``90 days after 
     the date the provider

[[Page 19068]]

     of such services has initially submitted a claim to such 
     third party for payment for such services, except that the 
     State may make such payment within 30 days after such date if 
     the State determines doing so is cost-effective and necessary 
     to ensure access to care.''.
       (b) Recovery of Medicaid Expenditures From Beneficiary 
     Liability Settlements.--
       (1) State plan requirements.--Section 1902(a)(25) of the 
     Social Security Act (42 U.S.C. 1396a(a)(25)) is amended--
       (A) in subparagraph (B), by striking ``to the extent of 
     such legal liability''; and
       (B) in subparagraph (H), by striking ``payment by any other 
     party for such health care items or services'' and inserting 
     ``any payments by such third party''.
       (2) Assignment of rights of payment.--Section 1912(a)(1)(A) 
     of such Act (42 U.S.C. 1396k(a)(1)(A)) is amended by striking 
     ``payment for medical care from any third party'' and 
     inserting ``any payment from a third party that has a legal 
     liability to pay for care and services available under the 
     plan''.
       (3) Liens.--Section 1917(a)(1)(A) of such Act (42 U.S.C. 
     1396p(a)(1)(A)) is amended to read as follows:
       ``(A) pursuant to--
       ``(i) the judgment of a court on account of benefits 
     incorrectly paid on behalf of such individual, or
       ``(ii) rights acquired by or assigned to the State in 
     accordance with section 1902(a)(25)(H) or section 
     1912(a)(1)(A), or''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on October 1, 2014.

     SEC. 203. RESTRICTION ON ACCESS TO THE DEATH MASTER FILE.

       (a) In General.--The Secretary of Commerce shall not 
     disclose to any person information contained on the Death 
     Master File with respect to any deceased individual at any 
     time during the 3-calendar-year period beginning on the date 
     of the individual's death, unless such person is certified 
     under the program established under subsection (b).
       (b) Certification Program.--
       (1) In general.--The Secretary of Commerce shall establish 
     a program--
       (A) to certify persons who are eligible to access the 
     information described in subsection (a) contained on the 
     Death Master File, and
       (B) to perform periodic and unscheduled audits of certified 
     persons to determine the compliance by such certified persons 
     with the requirements of the program.
       (2) Certification.--A person shall not be certified under 
     the program established under paragraph (1) unless such 
     person certifies that access to the information described in 
     subsection (a) is appropriate because such person--
       (A) has--
       (i) a legitimate fraud prevention interest, or
       (ii) a legitimate business purpose pursuant to a law, 
     governmental rule, regulation, or fiduciary duty, and
       (B) has systems, facilities, and procedures in place to 
     safeguard such information, and experience in maintaining the 
     confidentiality, security, and appropriate use of such 
     information, pursuant to requirements similar to the 
     requirements of section 6103(p)(4) of the Internal Revenue 
     Code of 1986, and
       (C) agrees to satisfy the requirements of such section 
     6103(p)(4) as if such section applied to such person.
       (3) Fees.--
       (A) In general.--The Secretary of Commerce shall establish 
     under section 9701 of title 31, United States Code, a program 
     for the charge of fees sufficient to cover (but not to 
     exceed) all costs associated with evaluating applications for 
     certification and auditing, inspecting, and monitoring 
     certified persons under the program. Any fees so collected 
     shall be deposited and credited as offsetting collections to 
     the accounts from which such costs are paid.
       (B) Report.--The Secretary of Commerce shall report on an 
     annual basis to the Committee on Finance of the Senate and 
     the Committee on Ways and Means of the House of 
     Representatives on the total fees collected during the 
     preceding year and the cost of administering the 
     certification program under this subsection for such year.
       (c) Imposition of Penalty.--
       (1) In general.--Any person who is certified under the 
     program established under subsection (b), who receives 
     information described in subsection (a), and who during the 
     period of time described in subsection (a)--
       (A) discloses such information to any person other than a 
     person who meets the requirements of subparagraphs (A), (B), 
     and (C) of subsection (b)(2),
       (B) discloses such information to any person who uses the 
     information for any purpose not listed under subsection 
     (b)(2)(A) or who further discloses the information to a 
     person who does not meet such requirements, or
       (C) uses any such information for any purpose not listed 
     under subsection (b)(2)(A),
     and any person to whom such information is disclosed who 
     further discloses or uses such information as described in 
     the preceding subparagraphs, shall pay a penalty of $1,000 
     for each such disclosure or use.
       (2) Limitation on penalty.--
       (A) In general.--The total amount of the penalty imposed 
     under this subsection on any person for any calendar year 
     shall not exceed $250,000.
       (B) Exception for willful violations.--Subparagraph (A) 
     shall not apply in the case of violations under paragraph (1) 
     that the Secretary of Commerce determines to be willful or 
     intentional violations.
       (d) Death Master File.--For purposes of this section, the 
     term ``Death Master File'' means information on the name, 
     social security account number, date of birth, and date of 
     death of deceased individuals maintained by the Commissioner 
     of Social Security, other than information that was provided 
     to such Commissioner under section 205(r) of the Social 
     Security Act (42 U.S.C. 405(r)).
       (e) Exemption From Freedom of Information Act Requirement 
     With Respect to Certain Records of Deceased Individuals.--
       (1) In general.--No Federal agency shall be compelled to 
     disclose the information described in subsection (a) to any 
     person who is not certified under the program established 
     under subsection (b).
       (2) Treatment of information.--For purposes of section 552 
     of title 5, United States Code, this section shall be 
     considered a statute described in subsection (b)(3) of such 
     section 552.
       (f) Effective Date.--
       (1) In general.--Except as provided in paragraph (2), this 
     section shall take effect on the date that is 90 days after 
     the date of the enactment of this Act.
       (2) FOIA exemption.--Subsection (e) shall take effect on 
     the date of the enactment of this Act.

     SEC. 204. IDENTIFICATION OF INMATES REQUESTING OR RECEIVING 
                   IMPROPER PAYMENTS.

       (a) Information Provided to the Prisoner Update Processing 
     System (PUPS).--
       (1) Section 202(x)(3)(b)(i)(i).--Section 202(x)(3)(B)(i)(I) 
     of the Social Security Act (42 U.S.C. 402(x)(3)(B)(i)(I)) is 
     amended by--
       (A) inserting ``first, middle, and last'' before ``names'';
       (B) striking the comma after the words ``social security 
     account numbers'' and inserting ``or taxpayer identification 
     numbers, prison assigned inmate numbers, last known 
     addresses,'';
       (C) inserting ``dates of release or anticipated dates of 
     release, dates of work release,'' before ``and, to the extent 
     available''; and
       (D) by inserting ``and clause (iv) of this subparagraph'' 
     after ``paragraph (1)''.
       (2) Section 1611(e)(1)(i)(i)(i).--Section 
     1611(e)(1)(I)(i)(I) of the Social Security Act (42 U.S.C. 
     1382(e)(1)(I)(i)(I)) is amended by--
       (A) inserting ``first, middle, and last'' before ``names'';
       (B) striking the comma after the words ``social security 
     account numbers'' and inserting ``or taxpayer identification 
     numbers, prison assigned inmate numbers, last known 
     addresses,'';
       (C) inserting ``dates of release or anticipated dates of 
     release, dates of work release,'' before ``and, to the extent 
     available''; and
       (D) by inserting ``and clause (iv) of this subparagraph'' 
     after ``this paragraph''.
       (b) Authority of Secretary of the Treasury to Access 
     PUPS.--
       (1) Section 202(x)(3)(b).--Section 202(x)(3)(B) of the 
     Social Security Act (42 U.S.C. 402(x)(3)(B)) is amended--
       (A) in clause (iv), by inserting before the period the 
     following: ``, for statistical and research activities 
     conducted by Federal and State agencies, and to the Secretary 
     of the Treasury for the purposes of tax administration, debt 
     collection, and identifying, preventing, and recovering 
     improper payments under federally funded programs''; and
       (B) by adding at the end the following:
       ``(v)(I) The Commissioner may disclose information received 
     pursuant to this paragraph to any officer, employee, agent, 
     or contractor of the Department of the Treasury whose 
     official duties require such information to assist in the 
     identification, prevention, and recovery of improper payments 
     or in the collection of delinquent debts owed to the United 
     States, including payments certified by the head of an 
     executive, judicial, or legislative paying agency, and 
     payments made to individuals whose eligibility, or continuing 
     eligibility, to participate in a Federal program (including 
     those administered by a State or political subdivision 
     thereof) is being reviewed.
       ``(II) Notwithstanding the provisions of section 552a of 
     title 5, United States Code, or any other provision of 
     Federal or State law, the Secretary of the Treasury may 
     compare information disclosed under subclause (I) with any 
     other personally identifiable information derived from a 
     Federal system of records or similar records maintained by a 
     Federal contractor, a Federal grantee, or an entity 
     administering a Federal program or activity, and may 
     redisclose such comparison of information to any paying or 
     administering agency and to the head of the Federal Bureau of 
     Prisons and the head of any State agency charged with the 
     administration of prisons with respect to inmates whom the 
     Secretary of the Treasury has determined may have been 
     issued, or facilitated in the issuance of, an improper 
     payment.

[[Page 19069]]

       ``(III) The comparison of information disclosed under 
     subclause (I) shall not be considered a matching program for 
     purposes of section 552a of title 5, United States Code.''.
       (2) Section 1611(e)(1)(i).--Section 1611(e)(1)(I) of the 
     Social Security Act (42 U.S.C. 1382(e)(1)(I)) is amended--
       (A) in clause (iii), by inserting before the period the 
     following: ``, for statistical and research activities 
     conducted by Federal and State agencies, and to the Secretary 
     of the Treasury for the purposes of tax administration, debt 
     collection, and identifying, preventing, and recovering 
     improper payments under federally funded programs''; and
       (B) by adding at the end the following:
       ``(v)(I) The Commissioner may disclose information received 
     pursuant to this paragraph to any officer, employee, agent, 
     or contractor of the Department of the Treasury whose 
     official duties require such information to assist in the 
     identification, prevention, and recovery of improper payments 
     or in the collection of delinquent debts owed to the United 
     States, including payments certified by the head of an 
     executive, judicial, or legislative paying agency, and 
     payments made to individuals whose eligibility, or continuing 
     eligibility, to participate in a Federal program (including 
     those administered by a State or political subdivision 
     thereof) is being reviewed.
       ``(II) Notwithstanding the provisions of section 552a of 
     title 5, United States Code, or any other provision of 
     Federal or State law, the Secretary of the Treasury may 
     compare information disclosed under subclause (I) with any 
     other personally identifiable information derived from a 
     Federal system of records or similar records maintained by a 
     Federal contractor, a Federal grantee, or an entity 
     administering a Federal program or activity and may 
     redisclose such comparison of information to any paying or 
     administering agency and to the head of the Federal Bureau of 
     Prisons and the head of any State agency charged with the 
     administration of prisons with respect to inmates whom the 
     Secretary of the Treasury has determined may have been 
     issued, or facilitated in the issuance of, an improper 
     payment.
       ``(III) The comparison of information disclosed under 
     subclause (I) shall not be considered a matching program for 
     purposes of section 552a of title 5, United States Code.''.
       (c) Conforming Amendment to the Do Not Pay Initiative.--
     Section 5(a)(2) of the Improper Payments Elimination and 
     Recovery Improvement Act of 2012 (31 U.S.C. 3321 note) is 
     amended by adding at the end the following:
       ``(F) Information regarding incarcerated individuals 
     maintained by the Commissioner of Social Security under 
     sections 202(x) and 1611(e) of the Social Security Act.''.

                      TITLE III--NATURAL RESOURCES

     SEC. 301. ULTRA-DEEPWATER AND UNCONVENTIONAL NATURAL GAS AND 
                   OTHER PETROLEUM RESOURCES.

       (a) Repeal.--Subtitle J of title IX of the Energy Policy 
     Act of 2005 (42 U.S.C. 16371 et seq.) is repealed.
       (b) Rescission.--Any unobligated funds appropriated for 
     carrying out the subtitle repealed by subsection (a) are 
     rescinded.

     SEC. 302. AMENDMENT TO THE MINERAL LEASING ACT.

       Section 35(b) of the Mineral Leasing Act (30 U.S.C. 191(b)) 
     is amended to read as follows--
       ``(b) Deduction for Administrative Costs.--In determining 
     the amount of payments to the States under this section, 
     beginning in fiscal year 2014 and for each year thereafter, 
     the amount of such payments shall be reduced by 2 percent for 
     any administrative or other costs incurred by the United 
     States in carrying out the program authorized by this Act, 
     and the amount of such reduction shall be deposited to 
     miscellaneous receipts of the Treasury.''.

     SEC. 303. APPROVAL OF AGREEMENT WITH MEXICO.

       The Agreement between the United States of America and the 
     United Mexican States Concerning Transboundary Hydrocarbon 
     Reservoirs in the Gulf of Mexico, signed at Los Cabos, 
     February 20, 2012, is hereby approved.

     SEC. 304. AMENDMENT TO THE OUTER CONTINENTAL SHELF LANDS ACT.

       The Outer Continental Shelf Lands Act (43 U.S.C. 1331 et 
     seq.) is amended by adding at the end the following:

     ``SEC. 32. TRANSBOUNDARY HYDROCARBON AGREEMENTS.

       ``(a) Authorization.--After the date of enactment of the 
     Bipartisan Budget Act of 2013, the Secretary may implement 
     the terms of any transboundary hydrocarbon agreement for the 
     management of transboundary hydrocarbon reservoirs entered 
     into by the President and approved by Congress. In 
     implementing such an agreement, the Secretary shall protect 
     the interests of the United States to promote domestic job 
     creation and ensure the expeditious and orderly development 
     and conservation of domestic mineral resources in accordance 
     with all applicable United States laws governing the 
     exploration, development, and production of hydrocarbon 
     resources on the Outer Continental Shelf.
       ``(b) Submission to Congress.--
       ``(1) In general.--No later than 180 days after all parties 
     to a transboundary hydrocarbon agreement have agreed to its 
     terms, a transboundary hydrocarbon agreement that does not 
     constitute a treaty in the judgment of the President shall be 
     submitted by the Secretary to--
       ``(A) the Speaker of the House of Representatives;
       ``(B) the Majority Leader of the Senate;
       ``(C) the Chair of the Committee on Natural Resources of 
     the House of Representatives; and
       ``(D) the Chair of the Committee on Energy and Natural 
     Resources of the Senate.
       ``(2) Contents of submission.--The submission shall 
     include--
       ``(A) any amendments to this Act or other Federal law 
     necessary to implement the agreement;
       ``(B) an analysis of the economic impacts such agreement 
     and any amendments necessitated by the agreement will have on 
     domestic exploration, development, and production of 
     hydrocarbon resources on the Outer Continental Shelf; and
       ``(C) a detailed description of any regulations expected to 
     be issued by the Secretary to implement the agreement.
       ``(c) Implementation of Specific Transboundary Agreement 
     With Mexico.--The Secretary may take actions as necessary to 
     implement the terms of the Agreement between the United 
     States of America and the United Mexican States Concerning 
     Transboundary Hydrocarbon Reservoirs in the Gulf of Mexico, 
     signed at Los Cabos, February 20, 2012, including--
       ``(1) approving unitization agreements and related 
     arrangements for the exploration, development, or production 
     of oil and natural gas from transboundary reservoirs or 
     geological structures;
       ``(2) making available, in the limited manner necessary 
     under the agreement and subject to the protections of 
     confidentiality provided by the agreement, information 
     relating to the exploration, development, and production of 
     oil and natural gas from a transboundary reservoir or 
     geological structure that may be considered confidential, 
     privileged, or proprietary information under law;
       ``(3) taking actions consistent with an expert 
     determination under the agreement; and
       ``(4) ensuring only appropriate inspection staff at the 
     Bureau of Safety and Environmental Enforcement or other 
     Federal agency personnel designated by the Bureau, the 
     operator, or the lessee have authority to stop work on any 
     installation or other device or vessel permanently or 
     temporarily attached to the seabed of the United States that 
     may be erected thereon for the purpose of resource 
     exploration, development or production activities as approved 
     by the Secretary.
       ``(d) Savings Provisions.--Nothing in this section shall be 
     construed--
       ``(1) to authorize the Secretary to participate in any 
     negotiations, conferences, or consultations with Cuba 
     regarding exploration, development, or production of 
     hydrocarbon resources in the Gulf of Mexico along the United 
     States maritime border with Cuba or the area known by the 
     Department of the Interior as the `Eastern Gap'; or
       ``(2) as affecting the sovereign rights and the 
     jurisdiction that the United States has under international 
     law over the Outer Continental Shelf that appertains to 
     it.''.

     SEC. 305. FEDERAL OIL AND GAS ROYALTY PREPAYMENT CAP.

       (a) In General.--Section 111(i) of the Federal Oil and Gas 
     Royalty Management Act of 1982 (30 U.S.C. 1721(i)) is amended 
     by striking ``(i) Upon'' and all that follows through ``For 
     purposes'' and inserting the following:
       ``(i) Limitation on Interest.--
       ``(1) In general.--Interest shall not be paid on any 
     excessive overpayment.
       ``(2) Excessive overpayment defined.--For purposes''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect on July 1, 2014.

     SEC. 306. STRATEGIC PETROLEUM RESERVE.

       (a) Repeal of Authority to Acquire In-kind Royalty Crude 
     Oil.--Section 160(a) of the Energy Policy and Conservation 
     Act (42 U.S.C. 6240(a)) is amended to read as follows:
       ``(a) The Secretary may acquire, place in storage, 
     transport, or exchange petroleum products acquired by 
     purchase or exchange.''.
       (b) Rescission of Funds.--Any unobligated balances 
     available in the SPR Petroleum Account in the Treasury on the 
     date of enactment of this section are permanently rescinded.

           TITLE IV--FEDERAL CIVILIAN AND MILITARY RETIREMENT

     SEC. 401. INCREASE IN CONTRIBUTIONS TO FEDERAL EMPLOYEES' 
                   RETIREMENT SYSTEM FOR NEW EMPLOYEES.

       (a) Definition.--
       (1) In general.--Section 8401 of title 5, United States 
     Code, is amended--
       (A) in paragraph (36), by striking ``and'' at the end;
       (B) in paragraph (37), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(38) the term `further revised annuity employee' means 
     any individual who--
       ``(A) on December 31, 2013--
       ``(i) is not an employee or Member covered under this 
     chapter;
       ``(ii) is not performing civilian service which is 
     creditable service under section 8411; and

[[Page 19070]]

       ``(iii) has less than 5 years of creditable civilian 
     service under section 8411; and
       ``(B) after December 31, 2013, becomes employed as an 
     employee or becomes a Member covered under this chapter 
     performing service which is creditable service under section 
     8411.''.
       (2) Technical amendment.--Section 8401(37)(B) of title 5, 
     United States Code, is amended by inserting ``and before 
     January 1, 2014,'' after ``after December 31, 2012,''.
       (b) Increase in Individual Contributions.--Section 
     8422(a)(3) of title 5, United States Code, is amended--
       (1) in subparagraph (A), by inserting ``or further revised 
     annuity employees'' after ``revised annuity employees''; and
       (2) by adding at the end the following:
       ``(C) The applicable percentage under this paragraph for 
     civilian service by further revised annuity employees shall 
     be as follows:


``Employee...........................     10.6   After December 31,
                                                  2013.
Congressional employee...............     10.6   After December 31,
                                                  2013.
Member...............................     10.6   After December 31,
                                                  2013.
Law enforcement officer, firefighter,     11.1   After December 31,
 member of the Capitol Police, member             2013.
 of the Supreme Court Police, or air
 traffic controller..................
Nuclear materials courier............     11.1   After December 31,
                                                  2013.
Customs and border protection officer     11.1   After December 31,
                                                  2013.''
 

       (c) Government Contributions.--Section 8423(a)(2) of title 
     5, United States Code, is amended--
       (1) by striking ``(2)'' and inserting ``(2)(A)''; and
       (2) by adding at the end the following:
       ``(B)(i) Subject to clauses (ii) and (iii), for purposes of 
     any period in any year beginning after December 31, 2013, the 
     normal-cost percentage under this subsection shall be 
     determined and applied as if section 401(b) of the Bipartisan 
     Budget Act of 2013 had not been enacted.
       ``(ii) Any contributions under this subsection in excess of 
     the amounts which (but for clause (i)) would otherwise have 
     been payable shall be applied toward reducing the unfunded 
     liability of the Civil Service Retirement System.
       ``(iii) After the unfunded liability of the Civil Service 
     Retirement System has been eliminated, as determined by the 
     Office, Government contributions under this subsection shall 
     be determined and made disregarding this subparagraph.
       ``(iv) The preceding provisions of this subparagraph shall 
     be disregarded for purposes of determining the contributions 
     payable by the United States Postal Service and the Postal 
     Regulatory Commission.''.
       (d) Annuity Calculation.--Section 8415(d) of title 5, 
     United States Code, is amended by inserting ``or a further 
     revised annuity employee'' after ``a revised annuity 
     employee''.

     SEC. 402. FOREIGN SERVICE PENSION SYSTEM.

       (a) Definition.--
       (1) In general.--Section 852 of the Foreign Service Act of 
     1980 (22 U.S.C. 4071a) is amended--
       (A) by redesignating paragraphs (8), (9), and (10) as 
     paragraphs (9), (10), and (11), respectively; and
       (B) by inserting after paragraph (7) the following:
       ``(8) the term `further revised annuity participant' means 
     any individual who--
       ``(A) on December 31, 2013--
       ``(i) is not a participant;
       ``(ii) is not performing service which is creditable 
     service under section 854; and
       ``(iii) has less than 5 years creditable service under 
     section 854; and
       ``(B) after December 31, 2013, becomes a participant 
     performing service which is creditable service under section 
     854;''.
       (2) Technical amendment.--Section 852(7)(B) of the Foreign 
     Service Act of 1980 (22 U.S.C. 4071a(7)(B)) is amended by 
     inserting ``and before January 1, 2014,'' after ``after 
     December 31, 2012,''.
       (b) Deductions and Withholdings From Pay.--Section 
     856(a)(2) of the Foreign Service Act of 1980 (22 U.S.C. 
     4071e(a)(2)) is amended--
       (1) in subparagraph (A), by inserting ``or a further 
     revised annuity participant'' after ``revised annuity 
     participant''; and
       (2) by adding at the end the following:
       ``(C) The applicable percentage for a further revised 
     annuity participant shall be as follows:


``11.15......................................  After December 31,
                                                2013.''.
 

       (c) Government Contributions.--Section 857 of the Foreign 
     Service Act of 1980 (22 U.S.C. 4071f) is amended by adding at 
     the end the following:
       ``(c)(1) Subject to paragraphs (2) and (3), for purposes of 
     any period in any year beginning after December 31, 2013, the 
     normal-cost percentage under this section shall be determined 
     and applied as if section 402(b) of the Bipartisan Budget Act 
     of 2013 had not been enacted.
       ``(2) Any contributions under this section in excess of the 
     amounts which (but for paragraph (1)) would otherwise have 
     been payable shall be applied toward reducing the unfunded 
     liability of the Foreign Service Retirement and Disability 
     System.
       ``(3) After the unfunded liability of the Foreign Service 
     Retirement and Disability System has been eliminated, as 
     determined by the Secretary of State, Government 
     contributions under this section shall be determined and made 
     disregarding this subsection.''.

     SEC. 403. ANNUAL ADJUSTMENT OF RETIRED PAY AND RETAINER PAY 
                   AMOUNTS FOR RETIRED MEMBERS OF THE ARMED FORCES 
                   UNDER AGE 62.

       (a) CPI Minus One Percent.--Section 1401a(b) of title 10, 
     United States Code, is amended--
       (1) in paragraph (1), by striking ``paragraphs (2) and 
     (3)'' and inserting ``paragraph (2), (3), or (4)'';
       (2) by redesignating paragraphs (4) and (5) as paragraphs 
     (5) and (6), respectively; and
       (3) by inserting after paragraph (3) the following new 
     paragraph (4):
       ``(4) Reduced percentage for retired members under age 
     62.--
       ``(A) In general.--Effective on December 1 of each year, 
     the retired pay of each member and former member under 62 
     years of age entitled to that pay shall be adjusted in 
     accordance with this paragraph instead of paragraph (2) or 
     (3).
       ``(B) CPI minus one.--If the percent determined under 
     paragraph (2) is greater than 1 percent, the Secretary shall 
     increase the retired pay of each member and former member by 
     the difference between--
       ``(i) the percent determined under paragraph (2); and
       ``(ii) 1 percent.
       ``(C) No negative adjustment.--If the percent determined 
     under paragraph (2) is equal to or less than 1 percent, the 
     Secretary shall not increase the retired pay of members and 
     former members under this paragraph.
       ``(D) Revised adjustment upon reaching age 62.--When a 
     member or former member whose retired pay has been subject to 
     adjustment under this paragraph becomes 62 years of age, the 
     Secretary of Defense shall recompute the retired pay of the 
     member or former member, to be effective on the date of the 
     next adjustment of retired pay under this subsection, so as 
     to be the amount equal to the amount of retired pay to which 
     the member or former member would be entitled on that date if 
     increases in the retired pay of the member or former member 
     had been computed as provided in paragraph (2) or as 
     specified in section 1410 of this title, as applicable, 
     rather than this paragraph.
       ``(E) Inapplicability of catch-up rule.--Paragraph (5) 
     shall not apply in the case of adjustments made, or not made, 
     as a result of application of this paragraph.''.
       (b) Restoral of Full Retirement Amount at Age 62.--Section 
     1410(1) of title 10, United States Code, is amended by 
     striking ``paragraph (3)'' and inserting ``paragraph (3) or 
     (4)''.
       (c) Effective Date.--The amendments made by subsections (a) 
     and (b) shall take effect on December 1, 2015.

                       TITLE V--HIGHER EDUCATION

     SEC. 501. DEFAULT REDUCTION PROGRAM.

       Effective July 1, 2014, section 428F(a)(1) of the Higher 
     Education Act of 1965 (20 U.S.C. 1078-6(a)(1)) is amended--
       (1) in subparagraph (A), by striking clause (ii) and 
     inserting the following:
       ``(ii) beginning July 1, 2014, assign the loan to the 
     Secretary if the guaranty agency has been unable to sell the 
     loan under clause (i).''; and
       (2) in subparagraph (D), by striking clause (i) and 
     inserting the following:
       ``(i) the guaranty agency--

       ``(I) shall, in the case of a sale made on or after July 1, 
     2014, repay the Secretary 100 percent of the amount of the 
     principal balance outstanding at the time of such sale, 
     multiplied by the reinsurance percentage in effect when 
     payment under the guaranty agreement was made with respect to 
     the loan; and
       ``(II) may, in the case of a sale made on or after July 1, 
     2014, in order to defray collection costs--

       ``(aa) charge to the borrower an amount not to exceed 16 
     percent of the outstanding principal and interest at the time 
     of the loan sale; and
       ``(bb) retain such amount from the proceeds of the loan 
     sale; and''.

     SEC. 502. ELIMINATION OF NONPROFIT SERVICING CONTRACTS.

       The Higher Education Act of 1965 (20 U.S.C. 1001 et seq.) 
     is amended--
       (1) in section 456 (20 U.S.C. 1087f)--
       (A) in subsection (a), by striking paragraph (4); and
       (B) by striking subsection (c); and
       (2) in section 458(a) (20 U.S.C. 1087h(a)), by striking 
     paragraph (2).

                        TITLE VI--TRANSPORTATION

     SEC. 601. AVIATION SECURITY SERVICE FEES.

       (a) Air Carrier Fees.--
       (1) Repeal.--Section 44940(a)(2) of title 49, United States 
     Code, is repealed.
       (2) Conforming amendment.--Section 44940(d)(1) of such 
     title is amended by striking ``, and may impose a fee under 
     subsection (a)(2),''.
       (3) Effective date.--The repeal made by paragraph (1) and 
     the amendment made by paragraph (2) shall each take effect on 
     October 1, 2014.
       (b) Restructuring of Passenger Fee.--Section 44940(c) of 
     such title is amended to read as follows:
       ``(c) Limitation on Fee.--Fees imposed under subsection 
     (a)(1) shall be $5.60 per one-

[[Page 19071]]

     way trip in air transportation or intrastate air 
     transportation that originates at an airport in the United 
     States.''.
       (c) Deposit of Receipts in General Fund.--Section 44940(i) 
     of such title is amended to read as follows:
       ``(i) Deposit of Receipts in General Fund.--
       ``(1) In general.--Beginning in fiscal year 2014, out of 
     fees received in a fiscal year under subsection (a)(1), after 
     amounts are made available in the fiscal year under section 
     44923(h), the next funds derived from such fees in the fiscal 
     year, in the amount specified for the fiscal year in 
     paragraph (4), shall be credited as offsetting receipts and 
     deposited in the general fund of the Treasury.
       ``(2) Fee levels.--The Secretary of Homeland Security shall 
     impose the fee authorized by subsection (a)(1) so as to 
     collect in a fiscal year at least the amount specified in 
     paragraph (4) for the fiscal year for making deposits under 
     paragraph (1).
       ``(3) Relationship to other provisions.--Subsections (b) 
     and (f) shall not apply to amounts to be used for making 
     deposits under this subsection.
       ``(4) Fiscal year amounts.--For purposes of paragraphs (1) 
     and (2), the fiscal year amounts are as follows:
       ``(A) $390,000,000 for fiscal year 2014.
       ``(B) $1,190,000,000 for fiscal year 2015.
       ``(C) $1,250,000,000 for fiscal year 2016.
       ``(D) $1,280,000,000 for fiscal year 2017.
       ``(E) $1,320,000,000 for fiscal year 2018.
       ``(F) $1,360,000,000 for fiscal year 2019.
       ``(G) $1,400,000,000 for fiscal year 2020.
       ``(H) $1,440,000,000 for fiscal year 2021.
       ``(I) $1,480,000,000 for fiscal year 2022.
       ``(J) $1,520,000,000 for fiscal year 2023.''.
       (d) Imposition of Fee Increase.--The Secretary of Homeland 
     Security shall implement the fee increase authorized by the 
     amendment made by subsection (b)--
       (1) beginning on July 1, 2014; and
       (2) through the publication of notice of such fee in the 
     Federal Register, notwithstanding section 9701 of title 31, 
     United States Code, and the procedural requirements of 
     section 553 of title 5, United States Code.
       (e) Continued Availability of Existing Balances.--The 
     amendments made by this section shall not affect the 
     availability of funds made available under section 44940(i) 
     of title 49, United States Code, before the date of enactment 
     of this Act.

     SEC. 602. TRANSPORTATION COST REIMBURSEMENT.

       (a) Repeal.--Sections 55316 and 55317 of chapter 553 of 
     title 46, United States Code, are repealed.
       (b) Table of Sections Amendment.--The table of sections at 
     the beginning of chapter 553 of title 46, United States Code, 
     is amended by striking the items relating to section 55316 
     and 55317.

     SEC. 603. STERILE AREAS AT AIRPORTS.

       Section 44903 of title 49, United States Code, is amended 
     by adding at the end the following:
       ``(n) Passenger Exit Points From Sterile Area.--
       ``(1) In general.--The Secretary of Homeland Security shall 
     ensure that the Transportation Security Administration is 
     responsible for monitoring passenger exit points from the 
     sterile area of airports at which the Transportation Security 
     Administration provided such monitoring as of December 1, 
     2013.
       ``(2) Sterile area defined.--In this section, the term 
     `sterile area' has the meaning given that term in section 
     1540.5 of title 49, Code of Federal Regulations (or any 
     corresponding similar regulation or ruling).''.

                  TITLE VII--MISCELLANEOUS PROVISIONS

     SEC. 701. EXTENSION OF CUSTOMS USER FEES.

       Section 13031(j)(3) of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended--
       (1) in subparagraph (A), by striking ``October 22, 2021'' 
     and inserting ``September 30, 2023''; and
       (2) in subparagraph (B)(i), by striking ``October 29, 
     2021'' and inserting ``September 30, 2023''.

     SEC. 702. LIMITATION ON ALLOWABLE GOVERNMENT CONTRACTOR 
                   COMPENSATION COSTS.

       (a) Limitation.--
       (1) Civilian contracts.--Section 4304(a)(16) of title 41, 
     United States Code, is amended to read as follows:
       ``(16) Costs of compensation of contractor and 
     subcontractor employees for a fiscal year, regardless of the 
     contract funding source, to the extent that such compensation 
     exceeds $487,000 per year, adjusted annually to reflect the 
     change in the Employment Cost Index for all workers, as 
     calculated by the Bureau of Labor Statistics, except that the 
     head of an executive agency may establish one or more 
     narrowly targeted exceptions for scientists, engineers, or 
     other specialists upon a determination that such exceptions 
     are needed to ensure that the executive agency has continued 
     access to needed skills and capabilities.''.
       (2) Defense contracts.--Section 2324(e)(1)(P) of title 10, 
     United States Code, is amended to read as follows:
       ``(P) Costs of compensation of contractor and subcontractor 
     employees for a fiscal year, regardless of the contract 
     funding source, to the extent that such compensation exceeds 
     $487,000 per year, adjusted annually to reflect the change in 
     the Employment Cost Index for all workers, as calculated by 
     the Bureau of Labor Statistics, except that the head of an 
     executive agency may establish one or more narrowly targeted 
     exceptions for scientists, engineers, or other specialists 
     upon a determination that such exceptions are needed to 
     ensure that the executive agency has continued access to 
     needed skills and capabilities.''.
       (b) Conforming Amendments.--
       (1) Repeal.--Section 1127 of title 41, United States Code, 
     is hereby repealed.
       (2) Clerical amendment.--The table of sections at the 
     beginning of chapter 11 of title 41, United States Code, is 
     amended by striking the item relating to section 1127.
       (c) Applicability.--This section and the amendments made by 
     this section shall apply only with respect to costs of 
     compensation incurred under contracts entered into on or 
     after the date that is 180 days after the date of the 
     enactment of this Act.
       (d) Reports.--
       (1) In general.--Not later than 60 days after the end of 
     each fiscal year, the Director of the Office of Management 
     and Budget shall submit a report on contractor compensation 
     to--
       (A) the Committee on Armed Services of the Senate;
       (B) the Committee on Armed Services of the House of 
     Representatives;
       (C) the Committee on Homeland Security and Governmental 
     Affairs of the Senate;
       (D) the Committee on Oversight and Government Reform of the 
     House of Representatives;
       (E) the Committee on Appropriations of the Senate; and
       (F) the Committee on Appropriations of the House of 
     Representatives.
       (2) Elements.--The report required under paragraph (1) 
     shall include--
       (A) the total number of contractor employees, by executive 
     agency, in the narrowly targeted exception positions 
     described under subsection (a) during the preceding fiscal 
     year;
       (B) the taxpayer-funded compensation amounts received by 
     each contractor employee in a narrowly targeted exception 
     position during such fiscal year; and
       (C) the duties and services performed by contractor 
     employees in the narrowly targeted exception positions during 
     such fiscal year.
       (e) Review.--Not later than 90 days after the date of the 
     enactment of this Act, the Secretary of Defense and the 
     Director of the Office of Management and Budget shall report 
     to Congress on alternative benchmarks and industry standards 
     for compensation, including whether any such benchmarks or 
     standards would provide a more appropriate measure of 
     allowable compensation for the purposes of section 
     2324(e)(1)(P) of title 10, United States Code, and section 
     4304(a)(16) of title 41, United States Code, as amended by 
     this Act.

     SEC. 703. PENSION BENEFIT GUARANTY CORPORATION PREMIUM RATE 
                   INCREASES.

       (a) Flat-rate Premium Increases.--Section 4006(a)(3)(A)(i) 
     of the Employee Retirement Income Security Act of 1974 (29 
     U.S.C. 1306(a)(3)(A)(i)) is amended--
       (1) in subclause (II), by striking ``and'' at the end;
       (2) in subclause (III), by inserting ``and before January 
     1, 2015,'' after ``December 31, 2013''; and
       (3) by inserting after subclause (III) the following:
       ``(IV) for plan years beginning after December 31, 2014, 
     and before January 1, 2016, $57; and
       ``(V) for plan years beginning after December 31, 2015, and 
     before January 1, 2017, $64.''.
       (b) Flat-rate Premium Rate Indexed to Wages.--
       (1) In general.--Section 4006(a)(3) of such Act (29 U.S.C. 
     1306(a)(3)) is amended--
       (A) by redesignating subparagraphs (G) through (J) as 
     subparagraphs (H) through (K), respectively; and
       (B) by inserting after subparagraph (F) the following:
       ``(G) For each plan year beginning in a calendar year after 
     2016, there shall be substituted for the premium rate 
     specified in clause (i) of subparagraph (A) an amount equal 
     to the greater of--
       ``(i) the product derived by multiplying the premium rate 
     specified in clause (i) of subparagraph (A) by the ratio of--
       ``(I) the national average wage index (as defined in 
     section 209(k)(1) of the Social Security Act) for the first 
     of the 2 calendar years preceding the calendar year in which 
     such plan year begins, to
       ``(II) the national average wage index (as so defined) for 
     2014; and
       ``(ii) the premium rate in effect under clause (i) of 
     subparagraph (A) for plan years beginning in the preceding 
     calendar year.
     If the amount determined under this subparagraph is not a 
     multiple of $1, such product shall be rounded to the nearest 
     multiple of $1.''.
       (2) Conforming amendments.--Section 4006(a)(3)(F) of such 
     Act (29 U.S.C. 1306(a)(3)(F)) is amended--

[[Page 19072]]

       (A) in the matter before clause (i), by inserting ``and 
     before 2013'' after ``after 2006''; and
       (B) in the flush text following clause (ii), by striking 
     the second sentence.
       (c) Variable Rate Premium Increases.--
       (1) In general.--Section 4006(a)(8)(C) of such Act (29 
     U.S.C. 1306(a)(8)(C)) is amended--
       (A) in clause (i), by striking ``and'' at the end;
       (B) in clause (ii), by striking ``$5.'' and inserting 
     ``$10; and''; and
       (C) by adding at the end the following:
       ``(iii) in the case of plan years beginning in calendar 
     year 2016, by $5.''.
       (2) Conforming amendments.--Section 4006(a)(8) of such Act 
     (29 U.S.C. 1306(a)(8)) is amended--
       (A) in subparagraph (A)--
       (i) in clause (ii), by striking ``and'' at the end;
       (ii) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (iii) by adding at the end the following:
       ``(iv) for plan years beginning after calendar year 2016, 
     the amount in effect for plan years beginning in 2016 
     (determined after application of subparagraph (C)).''; and
       (B) in subparagraph (D)--
       (i) in clause (ii), by striking ``and'' at the end;
       (ii) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (iii) by adding at the end the following:
       ``(iv) 2014, in the case of plan years beginning after 
     calendar year 2016.''.
       (d) Increase in Variable Rate Premium Cap.--
       (1) In general.--Section 4006(a)(3)(E)(i) of such Act (29 
     U.S.C. 1306(a)(3)(E)(i)) is amended--
       (A) in subclause (I), by striking ``and'' at the end;
       (B) in subclause (II)--
       (i) by inserting ``and before 2016'' after ``2012''; and
       (ii) by striking the period at the end and inserting 
     ``and''; and
       (C) by adding at the end the following:
       ``(III) in the case of plan years beginning in a calendar 
     year after 2015, shall not exceed $500.''.
       (2) Index to wages.--Section 4006(a)(3) of such Act (29 
     U.S.C. 1306(a)(3)) is amended--
       (A) in subparagraph (K) (as redesignated by subsection 
     (b)(1)(A)), by inserting ``and before 2016'' after ``2013''; 
     and
       (B) by inserting at the end the following:
       ``(L) For each plan year beginning in a calendar year after 
     2016, there shall be substituted for the dollar amount 
     specified in subclause (III) of subparagraph (E)(i) an amount 
     equal to the greater of--
       ``(i) the product derived by multiplying such dollar amount 
     by the ratio of--
       ``(I) the national average wage index (as defined in 
     section 209(k)(1) of the Social Security Act) for the first 
     of the 2 calendar years preceding the calendar year in which 
     such plan year begins, to
       ``(II) the national average wage index (as so defined) for 
     2014; and
       ``(ii) such dollar amount for plan years beginning in the 
     preceding calendar year.
     If the amount determined under this subparagraph is not a 
     multiple of $1, such product shall be rounded to the nearest 
     multiple of $1.''.
       (e) Effective Date.--The amendments made by this section 
     shall apply to plan years beginning after December 31, 2013.

     SEC. 704. CANCELLATION OF UNOBLIGATED BALANCES.

       (a) Department of Justice Assets Forfeiture Fund.--
     Effective on the date of enactment of this Act, of the 
     unobligated balances available under the Department of 
     Justice Assets Forfeiture Fund, $693,000,000 are permanently 
     cancelled.
       (b) Treasury Forfeiture Fund.--Effective on the date of 
     enactment of this Act, of the unobligated balances available 
     under the Department of the Treasury Forfeiture Fund, 
     $867,000,000, are permanently cancelled.

     SEC. 705. CONSERVATION PLANNING TECHNICAL ASSISTANCE USER 
                   FEES.

       (a) User Fees Authorized.--Section 3 of the Soil 
     Conservation and Domestic Allotment Act (16 U.S.C. 590c) is 
     amended--
       (1) by striking ``require--'' and inserting ``require the 
     following:'';
       (2) in paragraph (1), by striking the semicolon at the end 
     and inserting a period;
       (3) in paragraph (2), by striking ``; and'' at the end and 
     inserting a period; and
       (4) by adding at the end the following:
       ``(4)(A) The payment of user fees for conservation planning 
     technical assistance if the Secretary determines that the 
     fees, subject to subparagraph (B), are--
       ``(i) reasonable and appropriate;
       ``(ii) assessed for conservation planning technical 
     assistance resulting in the development of a conservation 
     plan; and
       ``(iii) assessed based on the size of the land or the 
     complexity of the resource issues involved.
       ``(B) Fees under subparagraph (A) may not exceed $150 per 
     conservation plan for which technical assistance is provided.
       ``(C) The Secretary may waive fees otherwise required under 
     subparagraph (A) in the case of conservation planning 
     technical assistance provided--
       ``(i) to beginning farmers or ranchers (as defined in 
     section 343(a) of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1991(a));
       ``(ii) to limited resource farmers or ranchers (as defined 
     by the Secretary);
       ``(iii) to socially disadvantaged farmers or ranchers (as 
     defined in section 355(e) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2003(e));
       ``(iv) to qualify for an exemption from ineligibility under 
     section 1212 of the Food Security Act of 1985 (16 U.S.C. 
     3812); or
       ``(v) to comply with Federal, State, or local regulatory 
     requirements.''.
       (b) Conservation Technical Assistance Fund.--Section 6 of 
     the Soil Conservation and Domestic Allotment Act (16 U.S.C. 
     590f) is amended--
       (1) by striking ``SEC. 6.'' and all that follows through 
     ``There are hereby authorized'' and inserting the following:

     ``SEC. 6. AUTHORIZATION OF APPROPRIATIONS AND CONSERVATION 
                   TECHNICAL ASSISTANCE FUNDS.

       ``(a) Authorization of Appropriations.--There is 
     authorized''; and
       (2) by adding at the end the following:
       ``(b) Conservation Technical Assistance Fund.--
       ``(1) In general.--There is established in the Treasury of 
     the United States a fund to be known as the `Conservation 
     Technical Assistance Fund' (referred to in this subsection as 
     the `Fund'), to be administered by the Secretary of 
     Agriculture.
       ``(2) Deposits.--An amount equal to the amounts collected 
     as fees under section 3(4) and late payments, interest, and 
     such other amounts as are authorized to be collected pursuant 
     to section 3717 of title 31, United States Code, shall be 
     deposited in the Fund.
       ``(3) Availability.--Amounts in the Fund shall--
       ``(A) only be available to the extent and in the amount 
     provided in advance in appropriations Acts;
       ``(B) be used for the costs of carrying out this Act; and
       ``(C) remain available until expended.''.

     SEC. 706. SELF PLUS ONE COVERAGE.

       (a) Election of Coverage.--Section 8905 of title 5, United 
     States Code, is amended--
       (1) by striking subsection (a) and inserting the following:
       ``(a) An employee may enroll in an approved health benefits 
     plan described in section 8903 or 8903a--
       ``(1) as an individual;
       ``(2) for self plus one; or
       ``(3) for self and family.'';
       (2) in subsection (c)--
       (A) in paragraph (1), in the matter following subparagraph 
     (B), by inserting ``for self plus one or'' before ``self and 
     family as provided in paragraph (2) of this subsection''; and
       (B) in paragraph (2)--
       (i) in the matter preceding subparagraph (A), by inserting 
     ``for self plus one or'' before ``for self and family''; and
       (ii) in subparagraph (B), by inserting ``(or, in the case 
     of self plus one coverage, not more than 1 such child)'' 
     after ``adopted children'';
       (3) in subsection (e), by striking ``or each spouse may 
     enroll as an individual'' and inserting ``or for a self plus 
     one enrollment that covers the spouse, or each spouse may 
     enroll as an individual or for a self plus one enrollment 
     that does not cover the other spouse or a child who is 
     covered under the enrollment of the other spouse''; and
       (4) in subsection (h)--
       (A) by striking ``self and family enrollment'' each place 
     it appears and inserting ``self plus one or self and family 
     enrollment, as necessary to provide health insurance coverage 
     for each child who is covered under the order,'';
       (B) by striking ``a child'' each place it appears and 
     inserting ``1 or more children'';
       (C) by striking ``the child resides'' each place it appears 
     and inserting ``the child or children reside'';
       (D) in paragraph (1), by striking ``self and family 
     coverage'' each place it appears and inserting ``self plus 
     one or self and family coverage, as necessary to provide 
     health insurance coverage for each child who is covered under 
     the order,''; and
       (E) in paragraph (3), by striking ``the child continues'' 
     and inserting ``the child or children continue''.
       (b) Continued Coverage.--Section 8905a of title 5, United 
     States Code, is amended--
       (1) in subsection (d)(3)(A), by inserting ``for self plus 
     one or'' before ``for self and family''; and
       (2) in subsection (f)(3)(A), by striking ``for self and 
     family based on such person's separation from service'' and 
     inserting ``based on such person's separation from service 
     under a self plus one enrollment that covered the individual 
     or under a self and family enrollment''.
       (c) Contributions.--Section 8906(a)(1) of title 5, United 
     States Code is amended--
       (1) in subparagraph (A), by striking at the end ``and'';
       (2) by redesignating subparagraph (B) as subparagraph (C); 
     and
       (3) by inserting after subparagraph (A) the following:
       ``(B) enrollments under this chapter for self plus one; 
     and''.

[[Page 19073]]

       (d) Weighted Average for First Year.--For the first 
     contract year for which an employee may enroll for self plus 
     one coverage under chapter 89 of title 5, United States Code, 
     the Office of Personnel Management shall determine the 
     weighted average of the subscription charges that will be in 
     effect for the contract year for enrollments for self plus 
     one under such chapter based on an actuarial analysis.

            DIVISION B--MEDICARE AND OTHER HEALTH PROVISIONS

     SEC. 1001. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.-- This division may be cited as the 
     ``Pathway for SGR Reform Act of 2013''.
       (b) Table of Contents.--The table of contents of this 
     division is as follows:

            DIVISION B--MEDICARE AND OTHER HEALTH PROVISIONS

Sec. 1001. Short title; table of contents.
Sec. 1002. Findings; purpose statement.

                      TITLE I--MEDICARE EXTENDERS

Sec. 1101. Physician payment update.
Sec. 1102. Extension of work GPCI floor.
Sec. 1103. Extension of therapy cap exceptions process.
Sec. 1104. Extension of ambulance add-ons.
Sec. 1105. Medicare inpatient hospital payment adjustment for low-
              volume hospitals.
Sec. 1106. Medicare-dependent hospital (MDH) program.
Sec. 1107. 1-year extension of authorization for special needs plans.
Sec. 1108. 1-year extension of Medicare reasonable cost contracts.
Sec. 1109. Extension of existing funding for contract with consensus-
              based entity.
Sec. 1110. Extension of funding outreach and assistance for low-income 
              programs.

                   TITLE II--OTHER HEALTH PROVISIONS

Sec. 1201. Extension of the qualifying individual (QI) program.
Sec. 1202. Temporary extension of transitional medical assistance 
              (TMA).
Sec. 1203. Extension of funding for family-to-family health information 
              centers.
Sec. 1204. Delay of reductions to Medicaid DSH allotments.
Sec. 1205. Realignment of the Medicare sequester for fiscal year 2023.
Sec. 1206. Payment for inpatient services in long-term care hospitals 
              (LTCHs).

     SEC. 1002. FINDINGS; PURPOSE STATEMENT.

       In order to support the provision of quality care for our 
     nations seniors, Congress finds it appropriate to reform 
     physician reimbursements under the Medicare program. SGR 
     reform legislation provides such an opportunity, but not 
     until next year. In order to facilitate such reform, Congress 
     finds that the Centers for Medicare & Medicaid Services 
     should continue to focus its efforts on the following areas:
       (1) Simplify and reduce administrative burden on 
     physicians.--The application and assessment of measures and 
     other activities under SGR reform should be facilitated by 
     the Centers for Medicare and Medicaid Services (CMS) in a way 
     that accounts for the administrative burden such measurement 
     places on physicians. Therefore, the Congress encourages CMS 
     to identify and implement, to the extent practicable, 
     mechanisms to ensure that the application and assessment of 
     measures be coordinated across programs.
       (2) Timely feedback for physicians.--In order for measure 
     and assessment programs to encourage the highest quality care 
     for Medicare seniors, the Congress finds it critical that CMS 
     provide physicians with feedback on performance in as close 
     to real time as possible. Such timely feedback will ensure 
     that physicians can excel under a system of meaningful 
     measurement.
       (3) Encourage development of new models.--There is great 
     need to test alternatives to Fee-For-Service reimbursement in 
     the Medicare program. One option is the promotion and 
     adoption of new models of care for physicians. To date, there 
     has been significant development and testing of models for 
     primary care. Congress supports these efforts and encourages 
     them to continue in the future. Congress also encourages the 
     development and testing of models of specialty care.

                      TITLE I--MEDICARE EXTENDERS

     SEC. 1101. PHYSICIAN PAYMENT UPDATE.

       Section 1848(d) of the Social Security Act (42 U.S.C. 10 
     1395w-4(d)) is amended by adding at the end the following new 
     paragraph:
       ``(15) Update for january through march of 2014.--
       ``(A) In general.--Subject to paragraphs (7)(B), (8)(B), 
     (9)(B), (10)(B), (11)(B), (12)(B), (13)(B), and (14)(B), in 
     lieu of the update to the single conversion factor 
     established in paragraph (1)(C) that would otherwise apply 
     for 2014 for the period beginning on January 1, 2014, and 
     ending on March 31, 2014, the update to the single conversion 
     factor shall be 0.5 percent.
       ``(B) No effect on computation of conversion factor for 
     remaining portion of 2014 and subsequent years.--The 
     conversion factor under this subsection shall be computed 
     under paragraph (1)(A) for the period beginning on April 1, 
     2014, and ending on December 31, 2014, and for 2015 and 
     subsequent years as if subparagraph (A) had never applied.''.

     SEC. 1102. EXTENSION OF WORK GPCI FLOOR.

       Section 1848(e)(1)(E) of the Social Security Act (42 U.S.C. 
     1395w-4(e)(1)(E)) is amended by striking ``January 1, 2014'' 
     and inserting ``April 1, 2014''.

     SEC. 1103. EXTENSION OF THERAPY CAP EXCEPTIONS PROCESS.

       Section 1833(g) of the Social Security Act (42 U.S.C. 
     1395l(g)) is amended--
       (1) in paragraph (5)(A), in the first sentence, by striking 
     ``December 31, 2013'' and inserting ``March 31, 2014''; and
       (2) in paragraph (6)(A)--
       (A) by striking ``December 31, 2013'' and inserting ``March 
     31, 2014''; and
       (B) by striking ``or 2013'' and inserting ``, 2013, or the 
     first three months of 2014''.

     SEC. 1104. EXTENSION OF AMBULANCE ADD-ONS.

       (a) Ground Ambulance.--Section 1834(l)(13)(A) of the Social 
     Security Act (42 U.S.C. 1395m(l)(13)(A)) is amended--
       (1) in the matter preceding clause (i), by striking 
     ``January 1, 2014'' and inserting ``April 1, 2014''; and
       (2) in each of clauses (i) and (ii), by striking ``January 
     1, 2014'' and inserting ``April 1, 2014'' each place it 
     appears.
       (b) Super Rural Ground Ambulance.--Section 1834(l)(12)(A) 
     of the Social Security Act (42 U.S.C. 1395m(l)(12)(A)) is 
     amended by striking ``January 1, 2014'' and inserting ``April 
     1, 2014''.

     SEC. 1105. MEDICARE INPATIENT HOSPITAL PAYMENT ADJUSTMENT FOR 
                   LOW-VOLUME HOSPITALS.

       Section 1886(d)(12) of the Social Security Act (42 U.S.C. 
     1395ww(d)(12)) is amended--
       (1) in subparagraph (B), in the matter preceding clause 
     (i), by striking ``fiscal year 2014 and subsequent fiscal 
     years'' and inserting ``the portion of fiscal year 2014 
     beginning on April 1, 2014, fiscal year 2015, and subsequent 
     fiscal years'';
       (2) in subparagraph (C)(i)--
       (A) by inserting ``and the portion of fiscal year 2014 
     before'' after ``and 2013,'' each place it appears; and
       (B) by inserting ``or portion of fiscal year'' after 
     ``during the fiscal year''; and
       (3) in subparagraph (D)--
       (A) by inserting ``and the portion of fiscal year 2014 
     before April 1, 2014,'' after ``and 2013,''; and
       (B) by inserting ``or the portion of fiscal year'' after 
     ``in the fiscal year''.

     SEC. 1106. MEDICARE-DEPENDENT HOSPITAL (MDH) PROGRAM.

       (a) In General.--Section 1886(d)(5)(G) of the Social 
     Security Act (42 U.S.C. 1395ww(d)(5)(G)) is amended--
       (1) in clause (i), by striking ``October 1, 2013'' and 
     inserting ``April 1, 2014''; and
       (2) in clause (ii)(II), by striking ``October 1, 2013'' and 
     inserting ``April 1, 2014''.
       (b) Conforming Amendments.--
       (1) Extension of target amount.--Section 1886(b)(3)(D) of 
     the Social Security Act (42 U.S.C. 1395ww(b)(3)(D)) is 
     amended--
       (A) in the matter preceding clause (i), by striking 
     ``October 1, 2013'' and inserting ``April 1, 2014''; and
       (B) in clause (iv), by inserting ``and the portion of 
     fiscal year 2014 before April 1, 2014'' after ``through 
     fiscal year 2013''.
       (2) Permitting hospitals to decline reclassification.--
     Section 13501(e)(2) of the Omnibus Budget Reconciliation Act 
     of 1993 (42 U.S.C. 1395ww note) is amended by striking 
     ``through fiscal year 2013'' and inserting ``through the 
     first 2 quarters of fiscal year 2014''.

     SEC. 1107. 1-YEAR EXTENSION OF AUTHORIZATION FOR SPECIAL 
                   NEEDS PLANS.

       Section 1859(f)(1) of the Social Security Act (42 U.S.C. 
     1395w-28(f)(1)) is amended by striking ``2015'' and inserting 
     ``2016''.

     SEC. 1108. 1-YEAR EXTENSION OF MEDICARE REASONABLE COST 
                   CONTRACTS.

       Section 1876(h)(5)(C)(ii) of the Social Security Act (42 
     U.S.C. 1395mm(h)(5)(C)(ii)) is amended, in the matter 
     preceding subclause (I), by striking ``January 1, 2014'' and 
     inserting ``January 1, 2015''.

     SEC. 1109. EXTENSION OF EXISTING FUNDING FOR CONTRACT WITH 
                   CONSENSUS-BASED ENTITY.

       Section 1890(d) of the Social Security Act (42 U.S.C. 
     1395aaa(d)) is amended by adding at the end the following new 
     sentence: ``Amounts transferred under the preceding sentence 
     shall remain available until expended.''.

     SEC. 1110. EXTENSION OF FUNDING OUTREACH AND ASSISTANCE FOR 
                   LOW-INCOME PROGRAMS.

       (a) Additional Funding for State Health Insurance 
     Programs.--Subsection (a)(1)(B) of section 119 of the 
     Medicare Improvements for Patients and Providers Act of 2008 
     (42 U.S.C. 1395b-3 note), as amended by section 3306 of the 
     Patient Protection and Affordable Care Act Public Law 111-
     148) and section 610 of the American Taxpayer Relief Act of 
     2012 (Public Law 112-240), is amended--
       (1) in clause (ii), by striking ``and'' at the end;
       (2) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (3) by inserting after clause (iii) the following new 
     clause:
       ``(iv) for the portion of fiscal year 2014 before April 1, 
     2014, of $3,750,000.''.

[[Page 19074]]

       (b) Additional Funding for Area Agencies on Aging.--
     Subsection (b)(1)(B) of such section 119, as so amended, is 
     amended--
       (1) in clause (ii), by striking ``and'' at the end;
       (2) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (3) by inserting after clause (iii) the following new 
     clause:
       ``(iv) for the portion of fiscal year 2014 before April 1, 
     2014, of $3,750,000.''.
       (c) Additional Funding for Aging and Disability Resource 
     Centers.--Subsection (c)(1)(B) of such section 119, as so 
     amended, is amended--
       (1) in clause (ii), by striking ``and'' at the end;
       (2) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (3) by inserting after clause (iii) the following new 
     clause:
       ``(iv) for the portion of fiscal year 2014 before April 1, 
     2014, of $2,500,000.''.
       (d) Additional Funding for Contract With the National 
     Center for Benefits and Outreach Enrollment.--Subsection 
     (d)(2) of such section 119, as so amended, is amended--
       (1) in clause (ii), by striking ``and'' at the end;
       (2) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (3) by inserting after clause (iii) the following new 
     clause:
       ``(iv) for the portion of fiscal year 2014 before April 1, 
     2014, of $2,500,000.''.

                   TITLE II--OTHER HEALTH PROVISIONS

     SEC. 1201. EXTENSION OF THE QUALIFYING INDIVIDUAL (QI) 
                   PROGRAM.

       (a) Extension.--Section 1902(a)(10)(E)(iv) of the Social 
     Security Act (42 U.S.C. 1396a(a)(10)(E)(iv)) is amended by 
     striking ``December 2013'' and inserting ``March 2014''.
       (b) Extending Total Amount Available for Allocation.--
     Section 1933(g) of the Social Security Act (42 U.S.C. 1396u-
     3(g)) is amended--
       (1) in paragraph (2)--
       (A) in subparagraph (S), by striking ``and'' after the 
     semicolon;
       (B) in subparagraph (T), by striking the period at the end 
     and inserting ``; and''; and
       (C) by adding at the end the following new subparagraph:
       ``(U) for the period that begins on January 1, 2014, and 
     ends on March 31, 2014, the total allocation amount is 
     $200,000,000.''.

     SEC. 1202. TEMPORARY EXTENSION OF TRANSITIONAL MEDICAL 
                   ASSISTANCE (TMA).

       Sections 1902(e)(1)(B) and 1925(f) of the Social Security 
     Act (42 U.S.C. 1396a(e)(1)(B), 1396r-6(f)) are each amended 
     by striking ``December 31, 2013'' and inserting ``March 31, 
     2014''.

     SEC. 1203. EXTENSION OF FUNDING FOR FAMILY-TO-FAMILY HEALTH 
                   INFORMATION CENTERS.

        Section 501(c)(1)(A) of the Social Security Act (42 U.S.C. 
     701(c)(1)(A)) is amended--
       (1) in clause (ii), by striking at the end ``and'';
       (2) in clause (iii), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following new clause:
       ``(iv) $2,500,000 for the portion of fiscal year 2014 
     before April 1, 2014.''.

     SEC. 1204. DELAY OF REDUCTIONS TO MEDICAID DSH ALLOTMENTS.

       (a) In General.--Section 1923(f) of the Social Security Act 
     (42 U.S.C. 1396r-4(f)) is amended--
       (1) in paragraph (7)(A)--
       (A) in clause (i), by striking ``2014'' and inserting 
     ``2016''; and
       (B) in clause (ii)--
       (i) by striking subclauses (I) and (II);
       (ii) by redesignating subclauses (III) through (VII) as 
     subclauses (I) through (V), respectively; and
       (iii) in subclause (I) (as redesignated by clause (ii)), by 
     striking ``$600,000,000'' and inserting ``$1,200,000,000''; 
     and
       (2) in paragraph (8)--
       (A) by redesignating subparagraph (C) as subparagraph (D);
       (B) by inserting after subparagraph (B) the following new 
     subparagraph:
       ``(C) Fiscal year 2023.--Only with respect to fiscal year 
     2023, the DSH allotment for a State, in lieu of the amount 
     determined under paragraph (3) for the State for that year, 
     shall be equal to the DSH allotment for the State for fiscal 
     year 2022, as determined under subparagraph (B), increased, 
     subject to subparagraphs (B) and (C) of paragraph (3), and 
     paragraph (5), by the percentage change in the consumer price 
     index for all urban consumers (all items; U.S. city average), 
     for fiscal year 2022.''; and
       (C) in subparagraph (D) (as redesignated by subparagraph 
     (A)), by striking ``fiscal year 2022'' and inserting ``fiscal 
     year 2023''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall be effective as of October 1, 2013.

     SEC. 1205. REALIGNMENT OF THE MEDICARE SEQUESTER FOR FISCAL 
                   YEAR 2023.

       Paragraph (6) (relating to implementing direct spending 
     reductions, as redesignated by section 101(d)(2)(C), and as 
     amended by section 101(c), of the Bipartisan Budget Act of 
     2013) of section 251A of the Balanced Budget and Emergency 
     Deficit Control Act of 1985 (2 U.S.C. 901a) is amended by 
     adding at the end the following new subparagraph:
       ``(C) Notwithstanding the 2 percent limit specified in 
     subparagraph (A) for payments for the Medicare programs 
     specified in section 256(d), the sequestration order of the 
     President under such subparagraph for fiscal year 2023 shall 
     be applied to such payments so that--
       ``(i) with respect to the first 6 months in which such 
     order is effective for such fiscal year, the payment 
     reduction shall be 2.90 percent; and
       ``(ii) with respect to the second 6 months in which such 
     order is so effective for such fiscal year, the payment 
     reduction shall be 1.11 percent.''.

     SEC. 1206. PAYMENT FOR INPATIENT SERVICES IN LONG-TERM CARE 
                   HOSPITALS (LTCHS).

       (a) Establishment of Criteria for Application of Site 
     Neutral Payment.--
       (1) In general.--Section 1886(m) of the Social Security Act 
     (42 U.S.C. 1395ww(m)) is amended by adding at the end the 
     following:
       ``(6) Application of site neutral ipps payment rate in 
     certain cases.--
       ``(A) General application of site neutral ipps payment 
     amount for discharges failing to meet applicable criteria.--
       ``(i) In general.--For a discharge in cost reporting 
     periods beginning on or after October 1, 2015, except as 
     provided in clause (ii) and subparagraph (C), payment under 
     this title to a long-term care hospital for inpatient 
     hospital services shall be made at the applicable site 
     neutral payment rate (as defined in subparagraph (B)).
       ``(ii) Exception for certain discharges meeting criteria.--
     Clause (i) shall not apply (and payment shall be made to a 
     long-term care hospital without regard to this paragraph) for 
     a discharge if--

       ``(I) the discharge meets the ICU criterion under clause 
     (iii) or the ventilator criterion under clause (iv); and
       ``(II) the discharge does not have a principal diagnosis 
     relating to a psychiatric diagnosis or to rehabilitation.

       ``(iii) Intensive care unit (icu) criterion.--

       ``(I) In general.--The criterion specified in this clause 
     (in this paragraph referred to as the `ICU criterion'), for a 
     discharge from a long-term care hospital, is that the stay in 
     the long-term care hospital ending with such discharge was 
     immediately preceded by a discharge from a stay in a 
     subsection (d) hospital that included at least 3 days in an 
     intensive care unit (ICU), as determined by the Secretary.
       ``(II) Determining icu days.--In determining intensive care 
     unit days under subclause (I), the Secretary shall use data 
     from revenue center codes 020x or 021x (or such successor 
     codes as the Secretary may establish).

       ``(iv) Ventilator criterion.--The criterion specified in 
     this clause (in this paragraph referred to as the `ventilator 
     criterion'), for a discharge from a long-term care hospital, 
     is that--

       ``(I) the stay in the long-term care hospital ending with 
     such discharge was immediately preceded by a discharge from a 
     stay in a subsection (d) hospital; and
       ``(II) the individual discharged was assigned to a 
     Medicare-Severity-Long-Term-Care-Diagnosis-Related-Group (MS-
     LTC-DRG) based on the receipt of ventilator services of at 
     least 96 hours.

       ``(B) Applicable site neutral payment rate defined.--
       ``(i) In general.--In this paragraph, the term `applicable 
     site neutral payment rate' means--

       ``(I) for discharges in cost reporting periods beginning 
     during fiscal year 2016 or fiscal year 2017, the blended 
     payment rate specified in clause (iii); and
       ``(II) for discharges in cost reporting periods beginning 
     during fiscal year 2018 or a subsequent fiscal year, the site 
     neutral payment rate (as defined in clause (ii)).

       ``(ii) Site neutral payment rate defined.--In this 
     paragraph, the term `site neutral payment rate' means the 
     lower of--

       ``(I) the IPPS comparable per diem amount determined under 
     paragraph (d)(4) of section 412.529 of title 42, Code of 
     Federal Regulations, including any applicable outlier 
     payments under section 412.525 of such title; or
       ``(II) 100 percent of the estimated cost for the services 
     involved.

       ``(iii) Blended payment rate.--The blended payment rate 
     specified in this clause, for a long-term care hospital for 
     inpatient hospital services for a discharge, is comprised 
     of--

       ``(I) half of the site neutral payment rate (as defined in 
     clause (ii)) for the discharge; and
       ``(II) half of the payment rate that would otherwise be 
     applicable to such discharge without regard to this 
     paragraph, as determined by the Secretary.

       ``(C) Limiting payment for all hospital discharges to site 
     neutral payment rate for hospitals failing to meet applicable 
     ltch discharge thresholds.--
       ``(i) Notice of ltch discharge payment percentage.--For 
     cost reporting periods beginning during or after fiscal year 
     2016, the Secretary shall inform each long-term care hospital 
     of its LTCH discharge payment percentage (as defined in 
     clause (iv)) for such period.

[[Page 19075]]

       ``(ii) Limitation.--For cost reporting periods beginning 
     during or after fiscal year 2020, if the Secretary determines 
     for a long-term care hospital that its LTCH discharge payment 
     percentage for the period is not at least 50 percent--

       ``(I) the Secretary shall inform the hospital of such fact; 
     and
       ``(II) subject to clause (iii), for all discharges in the 
     hospital in each succeeding cost reporting period, the 
     payment amount under this subsection shall be the payment 
     amount that would apply under subsection (d) for the 
     discharge if the hospital were a subsection (d) hospital.

       ``(iii) Process for reinstatement.--The Secretary shall 
     establish a process whereby a long-term care hospital may 
     seek to and have the provisions of subclause (II) of clause 
     (ii) discontinued with respect to that hospital.
       ``(iv) LTCH discharge payment percentage.--In this 
     subparagraph, the term `LTCH discharge payment percentage' 
     means, with respect to a long-term care hospital for a cost 
     reporting period beginning during or after fiscal year 2020, 
     the ratio (expressed as a percentage) of--

       ``(I) the number of discharges for such hospital and period 
     for which payment is not made at the site neutral payment 
     rate, to
       ``(II) the total number of discharges for such hospital and 
     period.

       ``(D) Inclusion of subsection (d) puerto rico hospitals.--
     In this paragraph, any reference in this paragraph to a 
     subsection (d) hospital shall be deemed to include a 
     reference to a subsection (d) Puerto Rico hospital.''.
       (2) Medpac study and report on impact of changes.--
       (A) Study.--The Medicare Payment Assessment Commission 
     shall examine the effect of applying section 1886(m)(6) of 
     the Social Security Act, as added by the amendment made by 
     paragraph (1), on--
       (i) the quality of patient care in long-term care 
     hospitals;
       (ii) the use of hospice care and post-acute care settings;
       (iii) different types of long-term care hospitals; and
       (iv) the growth in Medicare spending for services in such 
     hospitals.
       (B) Report.--Not later than June 30, 2019, the Commission 
     shall submit to Congress a report on such study. The 
     Commission shall include in such report such recommendations 
     for changes in the application of such section as the 
     Commission deems appropriate as well as the impact of the 
     application of such section on the need to continue applying 
     the 25 percent rule described under sections 412.534 and 
     412.536 of title 42, Code of Federal Regulations.
       (3) Calculation of length of stay excluding cases paid on a 
     site neutral basis.--
       (A) In general.--For discharges occurring in cost reporting 
     periods beginning on or after October 1, 2015, subject to 
     subparagraph (B), in calculating the length of stay 
     requirement applicable to a long-term care hospital or 
     satellite facility under section 1886(d)(1)(B)(iv)(I) of the 
     Social Security Act (42 U.S.C. 1395ww(d)(1)(B)(iv)(I)) and 
     section 1861(ccc)(2) of such Act (42 U.S.C. 1395x(ccc)(2)), 
     the Secretary of Health and Human Services shall exclude the 
     following:
       (i) Site neutral payment.--Any patient for whom payment is 
     made at the site neutral payment rate (as defined in section 
     1886(m)(6)(B)(ii)) of such Act, as added by paragraph (1)).
       (ii) Medicare advantage.--Any patient for whom payment is 
     made under a Medicare Advantage plan under part C of title 
     XVIII of such Act.
       (B) Limitation on converting subsection (d) hospitals.--
     Subparagraph (A) shall not apply to a hospital that is 
     classified as of December 10, 2013, as a subsection (d) 
     hospital (as defined in section 1886(d)(1)(B) of the Social 
     Security Act, 42 U.S.C. 1395ww(d)(1)(B)) for purposes of 
     determining whether the requirements of section 
     1886(d)(1)(B)(iv)(I) or 1861(ccc)(2) of such Act (42 U.S.C. 
     1395ww(d)(1)(B)(iv)(I), 1395x(ccc)(2)) are met.
       (b) Extension of Certain LTCH Payment Rules and Moratorium 
     on the Establishment of Certain Hospitals and Facilities.--
       (1) Extension of certain payment rules.--
       (A) Payment for hospitals-within-hospitals.--Paragraph 
     (2)(C) of section 114(c) of the Medicare, Medicaid, and SCHIP 
     Extension Act of 2007 (42 U.S.C. 1395ww note), as amended by 
     sections 3106(a) and 10312(a) of Public Law 111-148, is 
     amended by striking ``5-year period'' and inserting ``9-year 
     period''.
       (B) 25 percent patient threshold payment adjustment; making 
     the grandfathered exemption for long-term care hospitals 
     permanent.--Section 114(c)(1) of the Medicare, Medicaid, and 
     SCHIP Extension Act of 2007 (42 U.S.C. 1395ww note), as 
     amended by sections 3106(a) and 10312(a) of Public Law 111-
     148, is amended--
       (i) in the matter preceding subparagraph (A), by striking 
     ``for a 5-year period''; and
       (ii) in subparagraph (A), by inserting ``for a 9-year 
     period,'' before ``section 412.536''.
       (C) Report assessing continued suspension of 25 percent 
     rule.--Not later than 1 year before the end of the 9-year 
     period referred to in section 114(c)(1) of the Medicare, 
     Medicaid, and SCHIP Extension Act of 2007 (42 U.S.C. 1395ww 
     note), as amended by subparagraph (B), the Secretary of 
     Health and Human Services shall submit to Congress a report 
     on the need for any further extensions (or modifications of 
     the extensions) of the 25 percent rule described in sections 
     412.534 and 412.536 of title 42, Code of Federal Regulations, 
     particularly taking into account the application of section 
     1886(m)(6) of the Social Security Act, as added by subsection 
     (a)(1).
       (2) Extension of moratorium on establishment of and 
     increase in beds for ltchs.--Section 114(d) of the Medicare, 
     Medicaid, and SCHIP Extension Act of 2007 (42 U.S.C. 1395ww 
     note), as amended by sections 3106(b) and 10312(b) of Public 
     Law 111-148, is amended--
       (A) in paragraph (1), in the matter preceding subparagraph 
     (A), by inserting after ``5-year period'' the following: 
     ``(and for the period beginning January 1, 2015, and ending 
     September 30, 2017)''; and
       (B) by adding at the end the following new paragraph:
       ``(6) Limitation on application of exceptions.--Paragraphs 
     (2) and (3) shall not apply during the period beginning 
     January 1, 2015, and ending September 30, 2017.''.
       (c) Additional Quality Measure.--Section 1886(m)(5)(D) of 
     the Social Security Act (42 U.S.C. 1395ww(m)(5)(D)) is 
     amended by adding at the end the following new clause:
       ``(iv) Additional quality measures.--Not later than October 
     1, 2015, the Secretary shall establish a functional status 
     quality measure for change in mobility among inpatients 
     requiring ventilator support.''.
       (d) Review of Treatment of Certain LTCHs.--
       (1) Evaluation.--As part of the annual rulemaking for 
     fiscal year 2015 or fiscal year 2016 to carry out the payment 
     rates under subsection (d) of section 1886 of the Social 
     Security Act (42 U.S.C. 1395ww), the Secretary shall evaluate 
     both the payment rates and regulations governing hospitals 
     which are classified under subclause (II) of subsection 
     (d)(1)(B)(iv) of such section.
       (2) Adjustment authority.--Based upon such evaluation, the 
     Secretary may adjust payment rates under subsection (b)(3) of 
     section 1886 of the Social Security Act (42 U.S.C. 1395ww) 
     for a hospital so classified (such as payment based upon the 
     TEFRA-payment model) and may adjust the regulations governing 
     such hospitals, including applying the regulations governing 
     hospitals which are classified under clause (I) of subsection 
     (d)(1)(B) of such section.

  The SPEAKER pro tempore. Pursuant to House Resolution 438, the motion 
shall be debatable for 70 minutes, with 60 minutes equally divided and 
controlled by the chair and ranking minority member of the Committee on 
the Budget and 10 minutes equally divided and controlled by the chair 
and ranking minority member of the Committee on Energy and Commerce.
  The gentleman from Wisconsin (Mr. Ryan) and the gentleman from 
Maryland (Mr. Van Hollen) each will control 30 minutes. The gentleman 
from Michigan (Mr. Upton) and the gentleman from California (Mr. 
Waxman) each will control 5 minutes.
  The Chair recognizes the gentleman from Wisconsin.


                             General Leave

  Mr. RYAN of Wisconsin. Mr. Speaker, I ask unanimous consent that all 
Members may have 5 legislative days in which to revise and extend their 
remarks and include extraneous material on the further consideration of 
House Joint Resolution 59.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Wisconsin?
  There was no objection.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself 3 minutes.
  I rise on behalf of the bipartisan budget agreement. This is the 
first time since 1986 that a divided Congress has done what we are 
about to do.
  Here is what the bill does:
  It reduces the deficit by $23 billion; it does not raise taxes; and 
it cuts spending in a smarter way. We take temporary across-the-board 
cuts, and we replace them with targeted permanent reforms, and these 
reforms take place immediately.
  First, we cut waste: for instance, we stop paying Medicaid bills that 
deadbeat dads ought to cover; we stop sending unemployment checks to 
criminals;
  Second, we go after corporate welfare: we eliminate a government 
program for energy companies; we eliminate a special carveout in the 
student loan program;
  Third, we start to address the real problem, and that is autopilot 
spending: we ask new Federal employees to

[[Page 19076]]

contribute a little more to their retirements; we ask private companies 
to cover a little bit more of their own pension guarantees.
  These savings build up over time, and this bill saves more than if we 
did nothing.
  This bill isn't as far as I would like. It is not near the breadth 
and the scope of the budget that we passed earlier, but that is how it 
works in divided government. That is the nature of compromise. In a 
divided government, you don't get everything you want, but I think this 
bill is a firm step in the right direction. It is not perfect. It is a 
start. That is how it works in divided government. I also think, Mr. 
Speaker, it gives us the added benefit of preventing Washington's lurch 
from crisis to crisis. We are bringing stability to the budget process, 
and that stability will help build confidence, and that confidence will 
help our economy.
  I will be the first to admit that we have a lot more work to do. I 
have been bringing budgets to this floor for 5 years that balance the 
budget, that pay off the debt, that reform our entitlement programs. 
That is what we want to do. That is what we are going to keep working 
on doing, but in this divided government, we are going to take the 
steps we can take, and this step, we think, is one in the right 
direction. We need to help strengthen the economy. We need to help 
create jobs and take-home pay.
  The bottom line is: this first step is designed to help improve 
people's lives. It is designed to make this government work at a basic 
functioning level, and by passing this, we will reduce the deficit.
  We came here to get something done. We always lock horns. We always 
argue. We never agree. I think it is about time, for once in a long 
time, we find common ground and agree. That is what this bill does, and 
that is what I ask my colleagues to consider, and I ask them to support 
this agreement.
  With that, I reserve the balance of my time.
  Section 203 restricts access to the Death Master File, DMF, which is 
a list of deceased individuals maintained by the Social Security 
Administration.
  This provision charges the Secretary of Commerce with establishing a 
program to restrict access to the information contained on the DMF for 
a three-year period beginning on the date of an individual's death, 
except to persons who are certified under the program. Under the 
program, persons certified by the Secretary of Commerce to have a fraud 
prevention interest or other legitimate need for the information and 
agree to maintain the information under significant safeguards may 
continue to access DMF information on a current basis. The provision 
also provides for penalties in cases of unauthorized disclosures or 
uses of DMF information by certified persons. Finally, the provision 
also brings the DMF within the scope of the exemptions available under 
the Freedom of Information Act to ensure that Federal agencies do not 
disclose the information about deceased individuals maintained by SSA 
or contained in the DMF, except to recipients who are certified 
persons.
  In implementing this section, the Department of Commerce should 
promulgate regulations establishing and providing guidelines for the 
certification program and provide sufficient time for legitimate 
current users of DMF information to comment on the regulations, 
especially as it relates to the timing of the effectiveness of this 
Section and as it relates to the authority to release the Death Master 
File to the public.

                      Section-by-Section Analysis

     Section 1. Short title and table of contents.
       Subsection 1(a) provides that the short title of this Act 
     is ``Bipartisan Budget Act of 2013''.
       Subsection 1(b) sets forth the table of contents for the 
     Act.

                      TITLE I--BUDGET ENFORCEMENT

  Subtitle A--Amendments to the Balanced Budget and Emergency Deficit 
                          Control Act of 1985

     Sec. 101. Amendments to the Balanced Budget and Emergency 
         Deficit Control Act of 1985.
       The limits on discretionary spending are established in 
     section 251 of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 (BBEDCA). The limits are subdivided in 
     each fiscal year into two categories: revised security 
     category and revised nonsecurity category. The revised 
     security category is defined to be the National Defense 
     budget function (Function 050) which includes funding for the 
     Department of Defense, the nuclear weapons-related work of 
     the Department of Energy, the intelligence community, and the 
     national security elements of the Departments of Commerce, 
     Justice, Homeland Security, and several independent agencies. 
     The Department of Defense (including the intelligence 
     community) usually receives approximately 95.5 percent of the 
     budget authority in this function. The revised nonsecurity 
     category is all discretionary spending not contained in the 
     revised security category.
       Subsection 101(a) amends section 251 of the Balanced Budget 
     and Emergency Deficit Control Act of 1985 to increase the 
     limits on discretionary spending for fiscal years 2014 and 
     2015. The revised levels for each category are shown in Table 
     1. The section also restates for clarity the current law caps 
     for fiscal years 2016-2021.

                                                     TABLE 1. CAPS ON DISCRETIONARY BUDGET AUTHORITY
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                    Revised Security                                             Revised Nonsecurity
                             ---------------------------------------------------------------------------------------------------------------------------
                                           2014                           2015                           2014                           2015
--------------------------------------------------------------------------------------------------------------------------------------------------------
Current Law.................              $498,082,000,000               $512,046,000,000               $469,391,000,000               $483,130,000,000
Proposed Cap................              $520,464,000,000               $521,272,000,000               $491,773,000,000               $492,356,000,000
--------------------------------------------------------------------------------------------------------------------------------------------------------

       In addition to the limits on discretionary spending, the 
     BCA also includes a sequester of mandatory, or direct, 
     spending, the size of which interacts with the discretionary 
     spending levels. Subsection 101(b) provides for the 
     implementation of this sequester of mandatory spending as if 
     the amendments in subsection 101(a) had not been made. In 
     other words, it is the intent of this Act that the President 
     implement the sequester of mandatory spending that was 
     ordered on April 10, 2013 (as corrected on May 20, 2013) and 
     the one that will be ordered in the Sequestration Preview 
     Report for Fiscal Year 2015 as if the amendments in 
     subsection 101(a) had not been made.
       Subsection 101(c) reduces spending by $28 billion by 
     requiring the President to sequester the same percentage of 
     mandatory budgetary resources in 2022 and 2023 as will be 
     sequestered in 2021.
       Subsection 101(d) makes various conforming changes.

            Subtitle B--Establishing a Congressional Budget

     Sec. 111. Fiscal year 2014 budget resolution.
       Subsection 111(a) establishes a congressional budget for 
     fiscal year 2014.
       Subsection 111(b) provides that the chairs of the House and 
     Senate Committees on the Budget shall each submit for 
     publication in the Congressional Record allocations of 
     budgetary resources for each congressional committee and 
     aggregate spending and revenue levels that will be 
     enforceable as if included in a conference agreement on a 
     budget resolution. Consistent with the disparate practices in 
     the House and Senate, the Chairman of the Senate Committee on 
     the Budget shall also publish levels of revenues and outlays 
     for Social Security.
       The submissions pursuant to this section are to be 
     consistent with the discretionary spending limits established 
     in the Act and the Congressional Budget Office's May 2013 
     baseline adjusted for legislation enacted subsequent to the 
     publication of that baseline and adjusted for the budgetary 
     effects of this Act, as applicable to the various parts of 
     the submissions.
       In addition, subsection 111(c) provides that in the House, 
     the Chairman of the Budget Committee may reduce the 
     aggregates, allocations, and other budgetary levels included 
     in the statement required to be submitted pursuant to this 
     section for the subsequent enactment of any additional 
     deficit-reducing legislation during the 113th Congress.
     Sec. 112. Limitation on advance appropriations in the Senate.
       Section 112 provides a supermajority point of order in the 
     Senate against appropriations in 2014 bills that would first 
     become effective in any year after 2014, and against 
     appropriations in 2015 bills that would first become 
     effective in any year after 2015. It does not apply against 
     appropriations for veterans' medical services, medical 
     support and compliance, or medical facilities, or the 
     Corporation for Public Broadcasting. Additionally, there is 
     an exemption for each of 2015 and 2016 of up to $28.852 
     billion for programs identified in the Congressional Record. 
     Those programs will be:

[[Page 19077]]


     Labor, Health and Human Services, and Education 
         Appropriations Act:
       Employment and Training Administration
       Job Corps
       Education for the Disadvantaged
       School Improvement
       Special Education
       Career, Technical, and Adult Education
     Financial Services and General Government:
       Payment to Postal Service
     Transportation, Housing and Urban Development:
       Tenant-based Rental Assistance
       Project-based Rental Assistance
       Subsection 112(b) provides that the provisions of 
     subsection (a) shall expire if a concurrent resolution on the 
     budget for fiscal year 2015 is agreed to by the Senate and 
     the House.
     Sec. 113. Rule of construction in the House of 
         Representatives.
       Section 113 establishes that H. Con. Res. 25, as deemed in 
     force by H. Res. 243, remains in force to the extent that its 
     budgetary levels have not been superseded by this subtitle or 
     further action of the House. Items that remain in force 
     include, but are not limited to, the recommended levels 
     contained in Title III, the reserve funds in Title IV, the 
     estimates of direct spending in Title V, the budget 
     enforcement matters in Title VI, and the policy statements in 
     title VII of H. Con. Res. 25.
     Sec. 114. Additional Senate budget enforcement.
       Subsection 114(a) provides for the elimination of any 
     balances on the Senate pay-as-you-go scorecard following 
     enactment of this Act and again for purposes of budget year 
     2015.
       Subsection 114(b) provides for the continuance in effect of 
     certain provisions of the fiscal year 2010 budget resolution 
     relating to the budgetary treatment of certain discretionary 
     expenses of certain off-budget programs; the application and 
     effect of changes in allocations and aggregates; and 
     adjustments to reflect changes in concepts and definitions.
       Subsection 114(c) establishes in the Senate only a deficit 
     neutral reserve fund to replace sequestration.
       Subsection 114(d) places into effect certain deficit-
     neutral reserve funds included in S. Con. Res. 8 (113th 
     Congress). Those provisions are listed in table 2.

          TABLE 2. DEFICIT-NEUTRAL RESERVE FUNDS IN THE SENATE
      [Section numbers reference S. Con. Res. 8 (113th Congress).]
------------------------------------------------------------------------
 
-------------------------------------------------------------------------
Sec. 302. Deficit-neutral reserve funds to promote employment and job
 growth.
Sec. 303. Deficit-neutral reserve funds to assist working families and
 children.
Sec. 304. Deficit-neutral reserve funds for early childhood education.
Sec. 305. Deficit-neutral reserve fund for tax relief.
Sec. 306. Reserve fund for tax re form.
Sec. 307. Deficit-neutral reserve fund to invest in clean energy and
 preserve the environment.
Sec. 308. Deficit-neutral reserve fund for investments in America's
 infrastructure.
Sec. 309. Deficit-neutral reserve fund for America's servicemembers and
 veterans.
Sec. 310. Deficit-neutral reserve fund for higher education.
Sec. 311. Deficit-neutral reserve funds for health care.
Sec. 312. Deficit-neutral reserve fund for investments in our Nation's
 counties and schools.
Sec. 313. Deficit-neutral reserve fund for a farm bill.
Sec. 314. Deficit-neutral reserve fund for investments in water
 infrastructure and resources.
Sec. 315. Deficit-neutral reserve fund for pension reform.
Sec. 316. Deficit-neutral reserve fund for housing finance reform.
Sec. 317. Deficit-neutral reserve fund for national security.
Sec. 318. Deficit-neutral reserve fund for overseas contingency
 operations.
Sec. 319. Deficit-neutral reserve fund for terrorism risk insurance.
Sec. 320. Deficit-neutral reserve fund for postal reform.
Sec. 322. Deficit-neutral reserve fund to improve Federal benefit
 processing.
Sec. 323. Deficit-neutral reserve fund for legislation to improve voter
 registration and the voting experience in Federal elections.
Sec. 324. Deficit-reduction reserve fund to promote corporate tax
 fairness.
Sec. 325. Deficit-neutral reserve fund for improving Federal forest
 management.
Sec. 326. Deficit-neutral reserve fund for financial transparency.
Sec. 327. Deficit-neutral reserve fund to promote manufacturing in the
 United States.
Sec. 328. Deficit-reduction reserve fund for report elimination or
 modification.
Sec. 329. Deficit-neutral reserve fund for the minimum wage.
Sec. 330. Deficit-neutral reserve fund to improve health outcomes and
 lower costs for children in Medicaid.
Sec. 331. Deficit-neutral reserve fund to improve Federal workforce
 development, job training, and reemployment programs.
Sec. 332. Deficit-neutral reserve fund for repeal of medical device tax.
Sec. 333. Deficit-neutral reserve fund prohibiting Medicare vouchers.
Sec. 334. Deficit-neutral reserve fund for equal pay for equal work.
Sec. 335. Deficit-neutral reserve fund relating to women's health care.
Sec. 338. Deficit-neutral reserve fund to allow States to enforce State
 and local use tax laws.
Sec. 339. Deficit-neutral reserve fund relating to the definition of
 full-time employee.
Sec. 340. Deficit-neutral reserve fund relating to the labeling of
 genetically engineered fish.
Sec. 341. Deficit-neutral reserve fund for the families of America's
 servicemembers and veterans.
Sec. 344. Deficit-neutral reserve fund for disabled veterans and their
 survivors.
Sec. 348. Deficit-neutral reserve fund relating to authorizing children
 eligible for health care under laws administered by Secretary of
 Veterans Affairs to retain such eligibility until age 26.
Sec. 349. Deficit-neutral reserve fund for State and local law
 enforcement.
Sec. 350. Deficit-neutral reserve fund to establish a national network
 for manufacturing innovation.
Sec. 353. Deficit-neutral reserve fund to ensure no financial
 institution is above the law regardless of size.
Sec. 354. Deficit-neutral reserve fund relating to helping homeowners
 and small businesses mitigate against flood loss.
Sec. 356. Deficit-neutral reserve fund for BARDA and the BioShield
 Special Reserve Fund.
Sec. 361. Deficit-neutral reserve fund for export promotion.
Sec. 363. Deficit-neutral reserve fund to increase the capacity of
 agencies to ensure effective contract management and contract
 oversight.
Sec. 364. Deficit-neutral reserve fund for investments in air traffic
 control services.
Sec. 365. Deficit-neutral reserve fund to address prescription drug
 abuse in the United States.
Sec. 366. Deficit-neutral reserve fund to support rural schools and
 districts.
Sec. 367. Deficit-neutral reserve fund to strengthen enforcement of free
 trade agreement provisions relating to textile and apparel articles.
Sec. 368. Deficit-neutral reserve fund to assist low-income seniors.
Sec. 369. Reserve fund to end offshore tax abuses by large corporations.
Sec. 371. Deficit-neutral reserve fund relating to increasing funding
 for the inland waterways system.
Sec. 376. Deficit-neutral reserve fund to authorize provision of per
 diem payments for provision of services to dependents of homeless
 veterans under laws administered by Secretary of Veterans Affairs.
Sec. 378. Deficit-neutral reserve fund to phase-in any changes to
 individual or corporate tax systems.
Sec. 379. Deficit-neutral reserve fund relating to increases in aid for
 tribal education programs under the Constitution of the United States.
Sec. 383. Deficit-neutral reserve fund to increase funding for Federal
 investments in biomedical research.
------------------------------------------------------------------------

       Subsection 114(e) provides that subsections (a)(2), (c), 
     and (d) shall expire if a budget resolution conference report 
     is adopted by the Senate and the House.
     Sec. 115. Authority for fiscal year 2015 budget resolution in 
         the House of Representatives.
       Subsection 115(a) establishes in the House a congressional 
     budget for fiscal year 2015 in the event that a budget 
     resolution conference report is not adopted.
       Subsection 115(b) provides that the chair of the House 
     Committee on the Budget shall submit after April 15 and no 
     later than May 15, 2014 for publication in the Congressional 
     Record allocations of budgetary resources for each 
     congressional committee and aggregate spending and revenue 
     levels that will be enforceable as if included in a 
     conference agreement on a budget resolution.
       Subsection 115(c) provides that the submission pursuant to 
     subsection (b) may also include for fiscal year 2015, 
     provisions for the matters contained in title IV (reserve 
     funds) and in sections 603(a), 605(a), and 609 of H. Con. 
     Res. 25 (113th Congress), as adopted by the House, updated to 
     cover the new budget window, including updated amounts for 
     section 601.
       Subsection 115(d) provides for an allocation of budgetary 
     resources to the Appropriations Committee no later than May 
     15, 2014.
       Subsection 115(e) provides that the Chairman of the House 
     Budget Committee may reduce the aggregates, allocations, and 
     other budgetary levels included in the statement required to 
     be submitted pursuant to subsection (b) for the subsequent 
     enactment of any additional, deficit-reducing legislation 
     during the 113th Congress or as otherwise necessary.
       Subsection 115(f) provides that the provisions of 
     subsections (a), (b), (c), (d), and (e) shall no longer apply 
     if a concurrent resolution on the budget for fiscal year 2015 
     is agreed to by the House and the Senate.
     Sec. 116. Authority for fiscal year 2015 budget resolution in 
         the Senate.
       Subsection 116(a) establishes in the Senate a congressional 
     budget for fiscal year 2015.
       Subsection 116(b) provides that the chair of the Senate 
     Committee on the Budget shall submit after April 15 and no 
     later than May 15, 2014 for publication in the Congressional 
     Record allocations of budgetary resources for each 
     congressional committee, aggregate spending and revenue 
     levels, and levels of revenues and outlays for Social 
     Security that will be enforceable as if included in a 
     conference agreement on a budget resolution.
       Subsection 116(c) provides that the submission pursuant to 
     subsection (b) may also include reserve funds for fiscal year 
     2015 that are the same as those included in section 114(c) 
     and (d) updated to cover the new budget window.
       Subsection 116(d) provides that the filing referred to in 
     subsection (b) for fiscal year 2014 shall supersede the 
     statement referred to in section 111(b).
       Subsection 116(e) provides that this section shall expire 
     if a concurrent resolution on the budget for fiscal year 2015 
     is agreed to by the Senate and the House.
     Sec. 117. Exclusion of savings from PAYGO scorecards.
       Subsection 117(a) provides that the budgetary effects of 
     this Act shall not be entered on either PAYGO scorecard 
     maintained pursuant to section 4(d) of the Statutory Pay-As-
     You-Go Act of 2010 (Public Law 111-139).
       Subsection 117(b) provides that the budgetary effects of 
     this Act shall not be entered on any PAYGO scorecard 
     maintained for the purposes of section 201 of S. Con. Res. 21 
     (110th Congress).
     Sec. 118. Exercise of rulemaking powers.
       This section states that the provisions of this subtitle 
     are enacted as an exercise of the rulemaking power of each 
     house of Congress and that each house retains its 
     constitutional right to change such rules as they relate to 
     that house.

                   Subtitle C--Technical Corrections

     Sec. 121. Technical corrections to the Balanced Budget and 
         Emergency Deficit Control Act of 1985.
       This section corrects technical and grammatical errors in 
     the Balanced Budget and Emergency Deficit Control Act of 
     1985.

[[Page 19078]]


     Sec. 122. Technical corrections to the Congressional Budget 
         Act of 1974.
       This section corrects technical and grammatical errors in 
     the Congressional Budget Act of 1974.

            TITLE II--PREVENTION OF WASTE, FRAUD, AND ABUSE

     Sec. 201. Improving the collection of unemployment insurance 
         overpayments.
       Many states use the Treasury Offset Program (TOP) to 
     recover Unemployment Insurance (UI) debts stemming from 
     overpayments due to fraud or failure to report earnings. 
     However, other states are not using this tool. Section 201 
     amends the Social Security Act to require states to use TOP 
     to recover the specified UI debts. States are required to 
     provide due process opportunities for individuals to 
     challenge the validity of the debt, before seeking to recover 
     the funds through TOP. This section would ensure that all 
     States will participate in TOP and recover UI debts.
     Sec. 202. Strengthening Medicaid Third-Party Liability.
       By law, Medicaid is the payer of last resort for medical 
     treatment. Section 202 would affirm Medicaid's position as 
     the payer of last resort by strengthening third-party 
     liability to improve states' and providers' abilities to 
     receive payments for beneficiary services, as appropriate.
       Subsection 202(a) allows states to delay payment of costs 
     for prenatal and preventive pediatric claims when third 
     parties are responsible and allows states to collect medical 
     child support where health insurance is available from a non-
     custodial parent. This authorization is limited to the extent 
     that beneficiary access to care is not negatively impacted.
       Subsection 202(b) allows Medicaid to recover costs from 
     beneficiary liability settlements.
       Subsection 202(c) provides that these amendments shall take 
     effect on October 1, 2014.
     Sec. 203. Restriction on access to the death master file.
       The Death Master File (DMF) is a list of deceased 
     individuals maintained by the Social Security Administration 
     (SSA). The DMF contains the full name, Social Security 
     Number, date of birth, and date of death for listed 
     decedents, and it is updated weekly. This information is 
     distributed through the Department of Commerce and is widely 
     available on many websites for free or for a nominal fee.
       Section 203 would establish a program under which the 
     Secretary of Commerce restricts access to the information 
     contained on the DMF for a three-year period beginning on the 
     date of the individual's death, except to persons who are 
     certified under a program to be established by the Secretary 
     of Commerce. Under the program, persons who have a fraud 
     prevention interest or other legitimate need for the 
     information and agree to maintain the information under 
     safeguards similar to those required of Federal agencies that 
     receive return information, as described in section 
     6103(p)(4) of title 26 of the United States Code, may apply 
     for certification. The Secretary of Commerce reviews the 
     eligibility of applicants, examines safeguards for protecting 
     the information and conducts audits of certified entities to 
     assure compliance with safeguards.
       As part of implementation of the required program, the 
     Secretary of Commerce is required to establish and collect 
     user fees sufficient to recover all costs associated with the 
     certification program. The Secretary of Commerce is required 
     to report both the total fees collected and the total costs 
     of administering the certification program. The required 
     report is to be submitted annually to both the Senate 
     Committee on Finance and the House Committee on Ways and 
     Means.
       A penalty of $1,000 for each disclosure or misuse of the 
     information is imposed on any persons who improperly disclose 
     the DMF information. A certified person in receipt of DMF 
     information is responsible for any subsequent disclosure of 
     such information. Even if the initial disclosure to a third 
     party is appropriate, if that third party subsequently 
     improperly discloses the information, the certified person is 
     deemed to have also improperly disclosed the information. 
     Thus, in a case in which the improper disclosure is made by a 
     third party who received the information from a certified 
     person, both the certified person and the person who 
     improperly disclosed the information are subject to the 
     penalty. The penalty may not exceed $250,000 per person for 
     any calendar year, except in the case of willful disclosure. 
     In such cases, the penalty is not limited.
       The provision also brings the DMF within the scope of the 
     exemptions available under the Freedom of Information Act to 
     ensure that Federal agencies do not disclose the information 
     about deceased individuals maintained by SSA or contained in 
     the DMF, except to recipients who are certified persons.
       Section 203 would be effective 90 days after the date of 
     enactment, except for the FOIA exemption, which would be 
     effective upon date of enactment.
     Sec. 204. Identification of inmates requesting or receiving 
         improper payments.
       The Social Security Administration's (SSA) Prisoner Update 
     Processing System (PUPS) contains all identifying information 
     requested by the SSA and supplied by a reporting source, 
     including the individual's name, Social Security number, date 
     of birth, sex, date of conviction, date of confinement, 
     inmate status code, and such other information as may be 
     supplied or acquired by SSA during the suspension or 
     reinstatement of retirement, survivors, or disability 
     insurance benefits. PUPS contains Federal, State, and local 
     prisoner data.
       Subsection 204(a) expands the information the prisons are 
     required to report to SSA to include release dates, making 
     the system more valuable to users.
       Subsection 204(b) authorizes the Commissioner of Social 
     Security to transfer PUPS data to the Department of the 
     Treasury on a regular basis, where it will be maintained for 
     use by other Federal agencies. The PUPS data will help 
     prevent prisoners from illegally receiving payments, such as 
     unemployment compensation from the Department of Labor, and 
     identify individuals who are filing fraudulent tax returns. 
     This subsection also authorizes the use of PUPS data for 
     research conducted by Federal and state agencies.
       Subsection 204(c) updates the authorizing legislation for 
     the Do Not Pay Initiative to include a requirement for 
     agencies to query PUPS prior to certifying a Federal payment 
     or award.

                      TITLE III--NATURAL RESOURCES

     Sec. 301. Ultra-deepwater and unconventional natural gas and 
         other petroleum resources.
       The ultra-deepwater and unconventional natural gas and 
     other petroleum resources program, which was created by the 
     Energy Policy Act of 2005, is a public-private partnership 
     that was designed to develop technologies to increase 
     America's domestic oil and gas production and reduce U.S. 
     dependency on foreign imports. The program utilizes a non-
     profit consortium to manage the research, established two 
     federal advisory committees, and receives $50 million per 
     year of funding. Section 301 repeals the ultra-deepwater oil 
     and gas research and development program and rescinds the 
     program's remaining funds.
     Sec. 302. Amendment to the Mineral Leasing Act.
       Since 2010, states receiving significant payments from 
     mineral development on Federal lands also share in the costs 
     of administering the Federal mineral leases from which the 
     revenue is generated. The states pay their share of the 
     administrative costs in the form of a 2 percent deduction of 
     monies paid to the states by the federal government. This 
     deduction is scheduled to expire at the end fiscal year 2014. 
     Section 302 makes this deduction permanent.
     Sec. 303. Approval of agreement with Mexico.
       Section 303 approves the Agreement between the United 
     States of America and the United Mexican States Concerning 
     Transboundary Hydrocarbon Reservoirs in the Gulf of Mexico 
     signed in February 2012 on how to explore, develop, and share 
     revenue from hydrocarbon reservoirs that cross the 
     international maritime boundary between the United States and 
     Mexico in the Gulf of Mexico. Each country's legislative body 
     is required to approve the agreement and Mexico ratified the 
     agreement in April 2012.
     Sec. 304. Amendment to the Outer Continental Shelf Lands Act.
       Section 304 provides permanent authority for the Secretary 
     of the Interior to implement the terms of any transboundary 
     hydrocarbon agreement for the management of transboundary 
     hydrocarbon reservoirs entered into by the President and 
     approved by Congress. It requires any such agreement to be 
     submitted to Congress within 180 days of any such agreement 
     being completed. This section also allows the Secretary of 
     the Interior to implement the Agreement between the United 
     States of America and the United Mexican States Concerning 
     Transboundary Hydrocarbon Reservoirs in the Gulf of Mexico. 
     The Obama Administration signed the Agreement with Mexico in 
     2012 to develop energy resources bridging our international 
     maritime boundary and that Agreement makes provision for the 
     sharing of royalties on transboundary reservoirs, and also 
     has very specific requirements on maintaining data 
     confidentiality.
     Sec. 305. Federal oil and gas royalty prepayment cap.
       Subsection 305(a) clarifies current law by providing that 
     if a federal lease holder pays more in royalties than the 
     amount due, then the Secretary of the Interior shall not pay 
     interest on any amount in excess of 110 percent of the amount 
     due. Overpayments below the threshold shall continue to 
     receive interest payments as under current law and 
     underpayments shall continue to be subject to penalties as 
     under current law. Subsection 305(b) provides that this 
     provision is effective on July 1, 2014.
     Sec. 306. Strategic Petroleum Reserve.
       Subsection 306(a) prohibits the Secretary of Energy from 
     acquiring crude oil received by the United States as payment 
     of royalties on production from federal lands due from 
     private sector energy producers--a practice

[[Page 19079]]

     commonly referred to as royalty-in-kind payments--for the 
     purpose of filling the Strategic Petroleum Reserve. This 
     section also makes a technical correction by prohibiting the 
     Secretary of Energy from acquiring crude oil produced by the 
     federal government on federal land for the purpose of filling 
     the Strategic Petroleum Reserve, as this practice no longer 
     occurs. The practical effect of this section is to require 
     that any crude oil acquired by the Secretary of Energy for 
     purposes of filling the Strategic Petroleum Reserve is 
     acquired using funds from the ``SPR Petroleum Account'' or 
     funds appropriated by Congress.
       Subsection 306(b) permanently rescinds any unobligated 
     funds remaining in the ``SPR Petroleum Account'' as of the 
     date of enactment of this legislation. This section has no 
     bearing on any future funds deposited into the account. All 
     future funds deposited into the account will remain available 
     to the Secretary of Energy, until expended, to fill the 
     Strategic Petroleum Reserve. Funds currently in the account 
     were deposited as a result of the 30.64 million barrels 
     released from the Strategic Petroleum Reserve and sold in 
     July and August of 2011.

           TITLE IV--FEDERAL CIVILIAN AND MILITARY RETIREMENT

     Sec. 401. Increase in contributions to Federal Employees' 
         Retirement System for new employees.
       Under current law, the typical revised annuity federal 
     employee who participates in the Federal Employee Retirement 
     System (FERS) is required to pay 3.1 percentage points of pay 
     into the Civil Service Retirement and Disability Fund 
     (CSRDF). Depending on the type of service, different 
     employees are required to pay different amounts. Law 
     enforcement officers, nuclear materials couriers and customs 
     and border protection officers pay 3.4 percentage points.
       Subsection 401(a) creates a new category of employees that 
     would be considered further revised annuity employees.
       Subsection 401(b) would require that newly hired employees 
     who participate in the PERS contribute an additional 1.3 
     percentage points of pay beginning January 1, 2014, for a 
     total of 4.4 percentage points into the CRSDF. Other 
     categories of employees would pay 4.7 percentage points.
       Subsection 401(c) would require that employing agencies 
     continue their contributions at the current level in order to 
     pay down the deficit in the CSRDF, which at the close of 
     fiscal year 2011 was $761 billion. Once the unfunded 
     liability is eliminated, agency contributions would be 
     determined on the basis of ensuring the full normal cost of 
     the retirement benefit is paid into the CSRDF on an accrual 
     basis.
       Subsection 401(d) would ensure that certain (Members of 
     Congress and Congressional employees) further revised annuity 
     employees would continue to accrue benefits at the same rate 
     as revised annuity employees.
     Sec. 402. Foreign Service Pension System.
       Under current law, the typical federal employee who 
     participates in the Foreign Service Retirement and Disability 
     System is required to pay 3.65 percentage points of pay into 
     the Foreign Service Pension System.
       Subsection 402(a) creates a new category of foreign service 
     employees that would be considered further revised annuity 
     employees.
       Section 402(b) would require that newly hired employees who 
     participate in the Foreign Service Retirement and Disability 
     System and the Foreign Service Pension System contribute an 
     additional 1.3 percentage points of pay.
       Subsection 402(c) would require that employing agencies 
     continue their contributions at the current level in order to 
     pay down the deficit in the FRSDF. Once the unfunded 
     liability is eliminated, agency contributions would be 
     determined on the basis of ensuring the full normal cost of 
     the retirement benefit is paid into the FSRDF on an accrual 
     basis.
     Sec. 403. Annual adjustment of retired pay and retainer pay 
         amounts for retired members of the Armed Forces under age 
         62.
       Generally, service members who have completed 20 years of 
     service, regardless of age, are eligible for non-disability 
     retirement with immediate commencement of retired pay. For 
     most retirees, pay is a percentage of the highest 36 months 
     of the service member's Basic Pay. A service member who 
     retires after 20 years of service receives 50 percent of his 
     or her High-36 month Basic Pay with the percentage increasing 
     in 2.5 percent increments for each year above 20. Because 
     service members can retire well before the normal retirement 
     age in the private sector, most service members begin a 
     second career after leaving the military. Section 403 would 
     provide for an annual cost of living adjustment (COLA) of 
     inflation (measured by the Consumer Price Index) less one 
     percentage point for adjustments starting on December 1, 2015 
     until the retiree reaches age 62. There would be no 
     alteration to the 2014 COLA. At age 62, the retired pay would 
     be adjusted as if the COLA had been the full CPI adjustment 
     in all previous years. Annual COLAs for service members after 
     age 62 would be at the full CPI.
       This provision does not change the cost of living 
     adjustments for participants in the REDUX retirement system.

                       TITLE V--HIGHER EDUCATION

     Sec. 501. Default reduction program.
       When guaranty agencies rehabilitate defaulted loans from 
     the Federal Family Education Loan (FEEL) program, they may 
     charge borrowers 18.5 percent of the outstanding principal 
     and interest owed on the loan at the time of sale and they 
     may retain 18.5 percent of a federal default reinsurance 
     payment. Section 501 would lower the maximum borrower 
     collection fee to 16 percent and would require the agency to 
     return 100 percent of the federal default reinsurance 
     payment, beginning on July 1, 2014. Moreover, it would enable 
     guaranty agencies to transfer rehabilitated loans to the 
     Department of Education if they are unable to find a FFEL 
     lender to purchase the loan. These steps would make the 
     compensation earned by guaranty agencies comparable to the 
     compensation earned by the Department of Education's private 
     sector contractors that rehabilitate defaulted FFEL and 
     Direct Loan program loans held by the Department. It would 
     also lower costs to borrowers as collection fees are 
     typically added to the loan balance when rehabilitated.
     Sec. 502. Elimination of nonprofit servicing contracts.
       In 2010, as part of the Health Care and Education 
     Reconciliation Act (HCERA), Congress eliminated the 
     guaranteed student loan program. Anticipating the need for 
     increased student loan servicing capacity, in 2009, the 
     Department of Education awarded performance-based contracts 
     to four entities to service its portfolio of federal student 
     loans, including those made under the Direct Loan program. 
     During debate of HCERA, Congress established a special carve-
     out for non-profit firms to service student loans. The law 
     required the Department to award at least 100,000 borrower 
     loan accounts to each eligible non-profit servicer, and the 
     law set aside mandatory funding for this purpose. In 
     contrast, the for-profit servicers selected by the Department 
     of Education on a performance basis were, and continue to be, 
     paid with discretionary dollars. Section 502 eliminates the 
     carve-out for non-profit servicers and requires them to be 
     paid with discretionary dollars.

                        TITLE VI--TRANSPORTATION

     Sec. 601. Aviation security service fees.
       Prior to September 11, 2001, airlines paid for and carried 
     out passenger and baggage security screening. With the 
     formation of the Transportation Security Administration (TSA) 
     came a mandate to substantially increase and coordinate 
     aviation security procedures, and TSA screeners were deployed 
     to airports across the country. To offset the cost of 
     aviation security operations, the Aviation and Transportation 
     Security Act instituted aviation passenger security fees, 
     which were to cover the costs of security operations 
     including technology, salaries and benefits of screeners, the 
     air marshals program, Federal Security Managers, capital 
     improvements, and other functions. TSA receives approximately 
     $2 billion a year in offsetting collections under current law 
     through air carrier and aviation passenger security fees. 
     These fees cover about 30 percent of the agency's aviation 
     security costs.
       The aviation passenger security fee was initially 
     established and currently remains a per enplanement charge of 
     $2.50 per enplanement with a maximum one-way trip fee of 
     $5.00 (a passenger taking a non-stop flight pays a total of 
     $2.50, while a passenger with at least one connecting flight 
     pays $5.00).
       Section 601 simplifies the fee structure to a flat, $5.60 
     fee per one-way trip, regardless of the number of 
     enplanements. It also eliminates the Aviation Infrastructure 
     Security Fee (ASIF) charged to air carriers. This fee 
     structure would allow TSA to offset approximately 43 percent 
     of its aviation security costs.
       Section 601(a) repeals the Aviation Security Infrastructure 
     Fee that is currently imposed on air carriers, effective 
     October 1, 2014.
       Section 601(b) restructures the aviation passenger security 
     fee to make it a $5.60 per one-way trip charge, which is $.60 
     above the current maximum fee.
       Section 601(c) provides that receipts in excess of the 
     $250,000,000 deposited annually into the Aviation Security 
     Capital Fund shall be deposited in the general fund of the 
     Treasury to partially defray the cost to the taxpayer of 
     providing these services.
       Section 601(d) provides that the fee structure shall be 
     changed effective July 1, 2014.
       Section 601(e) provides that nothing in this section 
     effects the availability of funds in the Checkpoint Screening 
     Security Fund.
     Sec. 602. Transportation cost reimbursement.
       U.S. agencies are required to transport 50 percent of 
     equipment, materials, and commodities shipped to foreign 
     countries on vessels registered in the U.S., which is 
     generally more expensive than foreign flag shipping. Food aid 
     sent by the Department of Agriculture (USDA) and the U.S. 
     Agency for International Development (USAID) to foreign 
     countries is not exempt from this requirement, making this 
     international assistance more costly than it would otherwise 
     be. When shipping expenses for food aid exceed 20 percent of 
     total program cost (the value of commodities plus shipping 
     expenses) in a

[[Page 19080]]

     given fiscal year, the Maritime Administration (MARAD) must 
     reimburse USDA and USAID by the dollar amount above 20 
     percent. Section 602 would eliminate the reimbursements from 
     MARAD.
     Sec. 603. Sterile areas at airports.
       The Transportation Security Administration (TSA) screens 
     airline passengers when they enter the secured boarding area 
     (officially, ``sterile area'') of all airports and monitors 
     passengers as they exit from the secured boarding area at 
     some airports. Funding for this activity is provided in part 
     by security fees charged to passengers and air carriers. 
     Earlier this year, TSA announced that, beginning in January 
     2014, all airport operators will be responsible for 
     monitoring all passengers as they leave sterile areas. This 
     responsibility would impose new cost on some airports. 
     Section 603 would require TSA to continue monitoring airport 
     exit lanes at airports currently receiving this service.

                  TITLE VII--MISCELLANEOUS PROVISIONS

     Sec. 701. Extension of customs user fees.
       Section 701 would extend the user fees collected by the 
     Department of Homeland Security's Bureau of Customs and 
     Border Protection (CBP) through 2023. There are nine 
     different conveyance and passenger user fees and a 
     merchandise processing fee collected by the CBP. The 
     conveyance and passenger user fees were first established by 
     the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 
     1985. Under current law, customs user fees will expire after 
     2021.
     Sec. 702. Limitation on allowable government contractor 
         compensation costs.
       Since the 1990s, federal law has placed a limit on the 
     amount of contractor employees' compensation costs that is 
     allowed to be charged on federal government contracts. 
     Compensation costs can include many elements, such as salary, 
     bonuses, stock options, and employer contributions to pension 
     plans, although under federal law and the Federal Acquisition 
     Regulation (FAR), contractors are only allowed to charge some 
     elements of compensation to federal government contracts. 
     This cap, currently set at $952,308, has increased in real 
     terms by 95 percent since this approach was first used in 
     1998. The current formula by the Office of Federal 
     Procurement Policy is flawed, as it has resulted in an 
     escalation of $611,658, or nearly 180 percent (in nominal 
     terms), in the 15 years since the compensation cap was 
     established in law.
       Subsection 702(a) would amend section 4304(a)(16) of title 
     41 United States Code, and section 2324(e)(1)(P) of title 10, 
     United States Code, to replace the current statutory 
     benchmark compensation formula used to determine the amount 
     of contractor compensation that is considered an allowable 
     cost for a federal contract, with a cap of $487,000. It also 
     would limit additional changes to this level to the U.S. 
     Bureau of Labor Statistics Employment Cost Index for all 
     workers. This subsection also provides for one or more 
     narrowly targeted exceptions for scientists, engineers, or 
     other specialists upon a determination that such exceptions 
     are needed to ensure that the executive agency has continued 
     access to needed skills and capabilities.
       Subsection 702(b) repeals the existing authority for the 
     Office of Management and Budget to annually determine the 
     allowable compensation costs.
       Subsection 702(c) provides that the limitation in 
     subsection (a) shall apply only to contracts entered into on 
     or after 180 days after the enactment of this Act.
       Subsection 702(d) provides for the Director of the Office 
     of Management and Budget to report annually to Congress on 
     the use of the statutory exceptions to the limitation in 
     subsection (a).
       Subsection 702(e) provides for a report from the Secretary 
     of Defense and the Director of the Office of Management and 
     Budget on alternative benchmarks and industry standards for 
     compensation.
     Sec. 703. Pension Benefit Guaranty Corporation premium rate 
         increases.
       The Pension Benefit Guaranty Corporation (PBGC) consists of 
     two insurance programs for multiemployers and single 
     employers, which protect the defined-benefit pensions of 
     nearly 44 million participants. Since fiscal year 2002, PBGC 
     has ended each fiscal year with a deficit. PBGC currently 
     faces a $36 billion deficit, which may leave the corporation 
     incapable of fulfilling its insurance obligations, resulting 
     in cuts to benefits or a transfer from the General Fund of 
     the Treasury.
       Each sponsor of a pension plan that is insured by PBGC pays 
     annual premiums. PBGC collects three types of premiums: (1) a 
     flat-rate, per participant premium, (2) a variable-rate 
     premium, based on the dollar amount of a plan's underfunding, 
     and (3) a per-participant premium, payable for three years 
     after a DB pension plan terminates. Under current law, the 
     flat-rate premium of $42 per participant will increase to $49 
     in 2014 and increase with the growth in wages thereafter. 
     Plans that do not have enough assets set aside to pay 100 
     percent of the promised benefits are considered underfunded. 
     The sponsors of underfunded defined-benefit plans pay the 
     variable-rate annual premium of $9 per $1,000 of 
     underfunding. Beginning in 2014, the variable-rate premium 
     will be indexed to increases in the average wage index. Plans 
     that terminate their defined-benefit pension plans under 
     certain conditions are liable for a termination premium of 
     $1,250 per plan participant per year for three years.
       Section 703 would increase both flat-rate premiums and 
     variable-rate premiums to reduce the deficit of the PBGC.
       Subsection 703(a) would increase the flat-rate premium to 
     $57 for plan year 2015 and to $64 for plan year 2016. 
     Subsection 703(b) provides that flat-rate premiums would then 
     be indexed to the growth in wages thereafter.
       Subsection 703(c) would increase the variable-rate premium 
     by $5 in plan year 2015 and an additional $5 in plan year 
     2016. Subsection 703(d) provides for conforming changes to 
     ensure that the variable-rate premiums would then be indexed 
     to the growth in wages thereafter.
       Subsection 703(d) would increase the variable-rate premium 
     cap to $500 beginning for plan years beginning after 2015.
       Subsection 703(e) provides for these provisions to be 
     effective for plan years beginning after December 31, 2013.
     Sec. 704. Cancellation of unobligated balances.
       The Department of Justice (DOJ) Asset Forfeiture Fund was 
     established by the Comprehensive Crime Control Act of 1984 
     (Public Law 98-473) to seize and collect the proceeds of 
     criminal activities. The fund uses the proceeds of forfeited 
     assets through a permanent, indefinite appropriation--to 
     cover the costs of carrying out forfeiture activities. Annual 
     Fund receipts are usually in excess of program needs, 
     resulting in a large unobligated balance from year to year. A 
     renewed emphasis on fraud and financial crime cases resulted 
     in average annual outlays of nearly $1.5 billion since 2007, 
     with collections during that time ranging from $1.7 billion 
     in 2007 to $4.2 billion in 2012. Unobligated balances in the 
     fund are currently about $868 million. Subsection 704(a) 
     would permanently cancel $693 million of this balance.
       The Treasury Forfeiture Fund (TFF) supports participating 
     Treasury Department and Homeland Security (DHS) agencies in 
     the use of asset forfeiture to disrupt and dismantle criminal 
     enterprises and deter criminal activity. The focus of the TFF 
     program is customs enforcement, whereas the Department of 
     Justice Asset Forfeiture Fund specifically combats money 
     laundering and fraud. The TFF collects cash and the proceeds 
     of property forfeited pursuant to customs laws. TFF funds are 
     available to cover costs related to seizures and forfeitures 
     and certain other law enforcement activities. Annual TFF 
     receipts are usually in excess of program needs, resulting in 
     a large unobligated balance from year to year. Program 
     outlays have been about 70 percent of program receipts and 
     collections over the past 5 years. Unobligated balances in 
     the fund are currently about $888 million. Subsection 704(b) 
     would permanently cancel $867 million of this balance.
     Sec. 705. Conservation planning technical assistance user 
         fees.
       The Department of Agriculture's Natural Resources 
     Conservation Service (NRCS) provides technical assistance for 
     the development of individualized, site-specific conservation 
     plans and the establishment of measures to conserve soil and 
     water, including farm irrigation, flood prevention, and 
     agricultural pollution control. The technical assistance 
     provided to agricultural landowners and operators varies 
     depending upon the complexity of the soil or water 
     conservation resource concern.
       Subsection 705(a) would authorize NRCS to prescribe and 
     collect fees of up to $150 per conservation plan to cover 
     some of the costs of providing technical assistance for 
     completing a conservation plan for a producer or landowner. 
     This section would authorize the Secretary of Agriculture to 
     waive fees for assistance provided to members of historically 
     underserved groups, such as beginning farmers or ranchers, 
     limited resource farmers or ranchers, and socially 
     disadvantaged farmers or ranchers. Fees also could be waived 
     by the Secretary for assistance provided to USDA program 
     participants seeking to maintain payment eligibility under 
     Section 1212 of the Food Security Act of 1985, or to comply 
     with local, state, or Federal regulatory requirements.
       Subsection 705(b) provides for the establishment of a 
     Conservation Technical Assistance Fund to receive the fees 
     authorized in subsection (a). Monies deposited in the fund 
     are available only pursuant to future appropriations.
     Sec. 706. Self plus one coverage.
       The law governing the Federal Employees Health Benefits 
     Program (FEHBP), as originally enacted in 1959, only allows 
     for employees to enroll as individuals (``self only'') or as 
     a family (``self and family''). Section 706 would modernize 
     the FEHBP to include a ``self plus one'' enrollment tier. 
     This section would align the FEHB Program with the commercial 
     market and serve to spread costs across different enrollment 
     types.

               Congressional Budget Office Cost Estimate

     Bipartisan Budget Act of 2013--As posted on the website of 
         the House Committee on Rules on December 10, 2013
       Summary: The legislation, offered as an amendment to H.J. 
     Res. 59, the Continuing

[[Page 19081]]

     Appropriations Resolution, 2014, would revise the limits on 
     discretionary appropriations for fiscal years 2014 and 2015, 
     allowing for higher levels of funding in those years than is 
     allowed under the caps and budget enforcement procedures in 
     current law. CBO estimates that, if appropriations for 2014 
     and 2015 equaled the revised limits, discretionary outlays 
     would be roughly $62 billion higher over the 2014-2023 period 
     than if appropriations for those years equaled the limits in 
     current law. (Nearly $48 billion of the anticipated increase 
     in discretionary outlays would occur in 2014 and 2015.)
       The legislation also would make several changes in programs 
     that are not funded through annual appropriations, as well as 
     a few changes that would affect federal revenues. In 
     addition, the bill would extend across-the-board cuts (known 
     as sequestration) in certain direct spending programs for an 
     additional two years--2022 and 2023--beyond the period during 
     which sequestration will apply under current law; those 
     additional cuts would be the same percentage of spending 
     required under current law for 2021. CBO and the staff of the 
     Joint Committee on Taxation (JCT) estimate that, in total, 
     those provisions would reduce direct spending by about $78 
     billion and increase revenues by about $7 billion over the 
     2014-2023 period. Thus, the legislation's changes in direct 
     spending and revenues would reduce deficits by roughly $85 
     billion over the next 10 years. Some of those changes also 
     would affect discretionary spending, but such changes would 
     be subject to appropriation and limited under the caps on 
     annually appropriated funding.
       Although enacting the legislation would affect direct 
     spending and revenues, pay-as-you-go procedures do not apply 
     because the legislation specifies that its budgetary effects 
     shall not be entered onto the scorecards maintained under the 
     Statutory Pay-As-You-Go Act of 2010.
       The legislation contains no intergovernmental mandates as 
     defined in the Unfunded Mandates Reform Act (UMRA). It would 
     impose private-sector mandates as defined in UMRA on airline 
     passengers, sponsors of defined-benefit pension plans, and 
     users of customs services. CBO estimates that the cost of the 
     mandates would total more than $1 billion in fiscal year 2015 
     and more than $2 billion annually beginning in fiscal year 
     2016. Thus, the aggregate cost of mandates would 
     significantly exceed the annual threshold established in UMRA 
     for private-sector mandates ($150 million in 2013, adjusted 
     annually for inflation) during the first five years that the 
     mandates are in effect.
       Section 204 of the legislation would amend portions of the 
     Social Security Act that relate to the Old-Age, Survivors, 
     and Disability Insurance programs under title II of the 
     Social Security Act. UMRA excludes from its application any 
     legislation that applies to those provisions of the Social 
     Security Act. Consequently, CBO has not reviewed section 204 
     for mandates.
       Estimated impact on the Federal budget: The estimated 
     budgetary impact of the Bipartisan Budget Act of 2013 is 
     summarized in Table 1. (Details for the estimates of effects 
     on direct spending and revenues are provided in Table 2, 
     attached at the end of this cost estimate.) The effects of 
     this legislation fall within several budget functions, 
     including those covering defense, natural resources, 
     transportation, education, health care, and income security.

                                        TABLE 1. ESTIMATED BUDGETARY EFFECTS OF THE BIPARTISAN BUDGET ACT OF 2013
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                           By Fiscal Year, in Billions of Dollars--
                                     -------------------------------------------------------------------------------------------------------------------
                                        2014     2015     2016     2017     2018     20l9     2020     2021     2022     2023    2014-2018    2014-2023
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                               CHANGES IN DIRECT SPENDINGa
 
Estimated Budget Authority..........     -7.2     -2.2     -2.5     -2.9     -3.2     -3.5     -3.2     -3.4    -18.1    -24.3        -18.1        -70.5
Estimated Outlays...................     -3.0     -3.2     -4.1     -4.6     -4.6     -4.7     -4.6     -4.6    -19.3    -25.5        -19.5        -78.4
 
                                                                   CHANGES IN REVENUEa
 
Estimated Revenuesb.................        *      0.2      0.3      0.5      0.6      0.7      0.9      1.0      1.1      1.3          1.7          6.6
 
                                NET INCREASE OR DECREASE (-) IN THE DEFICIT FROM CHANGES IN DIRECT SPENDING AND REVENUES
 
Impact on the Deficit...............     -3.1     -3.4     -4.5     -5.1     -5.1     -5.4     -5.5     -5.6    -20.5    -26.8        -21.2        -85.0
    On-budget effects...............     -3.1     -3.4     -4.5     -5.1     -5.1     -5.4     -5.5     -5.6    -20.5    -26.7        -21.2        -84.9
    Off-budget effects..............        0        *        *        *        *        *        *        *        *        *            *         -0.1
--------------------------------------------------------------------------------------------------------------------------------------------------------


 
Memorandum:
(Changes to Caps on Spending Subject
 to Appropriation:
    Estimated Authorization Level...     44.8     18.5      0.0      0.0      0.0      0.0      0.0      0.0      0.0      0.0         63.2         63.2
    Estimated Outlays...............     26.3     21.6      8.6      3.3      2.0      0.6      0.0      0.0      0.0      0.0         61.9         62.4
--------------------------------------------------------------------------------------------------------------------------------------------------------
Sources: CBO and the staff of the Joint Committee on Taxation.
Notes: Components may not sum to totals because of rounding; * = between -$50 million and $50 million.
aIn addition to the effects on direct spending and revenues, some provisions of the legislation would affect spending subject to appropriation, which is
  controlled by annual caps on such discretionary funding. Those additional effects are not included in these rows.
bPositive numbers denote an increase in revenues.

       Basis of Estimate: The legislation would allow for greater 
     spending subject to appropriation than is allowed under 
     current law by increasing the caps on new discretionary 
     funding in fiscal years 2014 and 2015 (see the Memorandum 
     section of Table 1).
       The legislation also would directly affect budget deficits 
     by changing provisions related to direct spending programs 
     and by amending the Internal Revenue Code. Some of those 
     changes also would affect discretionary spending, but such 
     changes would be subject to appropriation and limited under 
     the caps on annually appropriated funding.


                      Title I--Budget Enforcement

       The Bipartisan Budget Act of 2013 would increase the caps 
     on discretionary budget authority--that is, the caps on new 
     annual appropriations--for fiscal years 2014 and 2015. For 
     2014, the caps on defense and nondefense funding would each 
     be about $22 billion higher than the current caps (which 
     include the effects of the automatic spending reductions 
     described in the Budget Control Act of 2011).\1\ For 2015, 
     the defense and nondefense caps would each be raised by about 
     $9 billion. CBO estimates that, if appropriations for 2014 
     and 2015 equaled the revised limits, discretionary outlays 
     would be roughly $62 billion higher over the 2014-2023 period 
     than if appropriations for those years equaled the limits in 
     current law.
       \1\[The Budget Control Act of 2011 (Public Law 112-25) 
     established an initial set of caps on annual discretionary 
     funding as well as a set of lower caps (for 2014 through 
     2021) that were triggered by the failure of the Joint Select 
     Committee on Deficit Reduction to achieve a targeted amount 
     of deficit reduction. The lower caps are currently in place 
     through 2021; the legislation would increase those caps for 
     2014 and 2015, and leave the caps unchanged for other years 
     through 2021.]
       The legislation also would extend the automatic spending 
     reductions applied to certain mandatory spending accounts 
     through 2023 (those reductions are currently in effect 
     through 2021). The legislation would require that the 
     sequestration percentage applied to nonexempt mandatory 
     accounts in 2021 be continued and applied in the same manner 
     in 2022 and 2023. CBO estimates that extending those spending 
     reductions for nonexempt mandatory programs for two 
     additional years would decrease direct spending by $28 
     billion over the 2022-2023 period.
       In addition, the legislation would make some changes in the 
     Congressional budget process related to adoption of the 
     budget resolution and budget enforcement within the House of 
     Representatives and the Senate. Those changes would not, by 
     themselves, have a direct budgetary impact, but they could 
     affect Congressional decisions about budget-related 
     legislation in 2014 and future years.


            Title II--Prevention of Waste, Fraud, and Abuse

       The legislation would enhance the ability of states and the 
     federal government to reduce certain payments (including some 
     that stem from fraud) and increase recoveries of 
     overpayments. In total, CBO estimates that enacting title II 
     would reduce direct spending by about $1.9 billion and 
     increase revenues by $0.6 billion over the 2014-2023 period. 
     The proposed changes would:
       Require states to use the Treasury Offset Program (TOP) to 
     recover overpayments of unemployment compensation. Under 
     current law, states may use TOP, but are not required to do 
     so.
       Enable states to avoid paying for prenatal and preventive 
     pediatric claims when a third party is liable for such 
     payments. The legislation also would give states additional 
     time to collect payments in cases involving medical child 
     support and allow states to recover payments from certain 
     liability settlements, thereby reducing net direct spending 
     for Medicaid.

[[Page 19082]]

       Restrict access to the Death Master File maintained by the 
     Social Security Administration, which includes information 
     that might be used by individuals to file fraudulent tax 
     returns or submit fraudulent claims to Medicare.
       Expand the data on inmates that are available to the 
     Department of Treasury, which would result in higher revenue 
     collections and lower payments for refundable tax credits.
       Three of those four provisions would affect both direct 
     spending and revenues, producing budgetary savings in both of 
     those categories. The provision for Medicaid third-party 
     liability would affect only direct spending.


                      Title III--Natural Resources

       Title III would make various changes to federal oil and gas 
     programs that would reduce spending by $4.5 billion over the 
     2014-2023 period, CBO estimates. Title III would:
       Repeal provisions in the Energy Policy Act of 2005 that 
     authorized direct spending through fiscal year 2014 for 
     research on the development of certain oil and gas resources.
       Reduce the amount of payments made to states under the 
     Mineral Leasing Act, which requires the federal government to 
     make payments to states based on the proceeds from mineral 
     leasing activities on federal lands.
       Approve an agreement between the United States and Mexico 
     regarding oil and gas resources near the international border 
     in the Gulf of Mexico and establish procedures for 
     implementing future agreements affecting such border areas.
       Amend the procedures used to determine the amount of 
     interest that may be paid on overpayments of oil and gas 
     royalties from federal leases.
       Permanently rescind the unobligated balances currently 
     available for purchase of oil for the Strategic Petroleum 
     Reserve (SPR) and repeal the authority of the SPR program to 
     acquire oil using royalty-in-kind payments from companies 
     that develop oil and gas resources under federal leases.


           Title IV--Federal Civilian and Military Retirement

       The bill would make several changes to retirement benefits 
     for employees of federal agencies. In total, CBO estimates 
     that enacting title IV would reduce spending by $6.2 billion 
     and increase revenues by $6.0 billion, respectively, over the 
     2014-2023 period.
       Specifically, title IV would:
       Increase the contribution rate that federal employees, 
     including those covered under the Foreign Service Retirement 
     System, pay toward their future retirement benefit (such 
     contributions are considered revenues to the Treasury). The 
     legislation would increase contributions by 1.3 percent of 
     pay for federal employees that begin service on or after 
     January 1, 2014.
       Reduce the annual cost-of-living adjustment (COLA) for 
     military retirees under the age of 62 by 1 percent. Monthly 
     retired pay for those individuals would be readjusted upward 
     at age 62 as if the COLA reduction had not taken place and 
     retirees would receive full annual COLAs thereafter.
       The COLA provision also would reduce discretionary accrual 
     payments to the Military Retirement Fund over the 2015-2023 
     period. While such payments count against discretionary 
     amounts allocated to the Department of Defense as part of the 
     annual appropriations process, they are intragovernmental 
     transactions, and do not result in outlays from the 
     government. If, within the discretionary caps, the reduction 
     in accrual payments makes possible an offsetting increase in 
     other appropriations, the net effect would be an increase in 
     outlays--because an intragovernmental payment would be 
     replaced by spending that goes outside the government.


                       Title V--Higher Education

       CBO estimates that enacting title V would reduce direct 
     spending by $5.1 billion over the 2014-2023 period by 
     amending the Higher Education Act of 1965. Those changes 
     would:
       Eliminate the share of outstanding guaranteed student loan 
     amounts that guaranty agencies are permitted to retain when 
     they rehabilitate defaulted loans, increasing the share that 
     is returned to the federal government; and reduce the maximum 
     fee that a guaranty agency can charge borrowers to cover the 
     administrative costs of collections for loans being 
     rehabilitated.
       Eliminate mandatory payments, authorized through 2019, to 
     nonprofit organizations that service student loans. Although 
     this provision would reduce direct spending by an estimated 
     $3.1 billion over the 2014-2023 period, those loans would 
     still need to be serviced. As a result, CBO estimates that 
     implementing this provision would require additional 
     discretionary appropriations of roughly the same magnitude as 
     the mandatory funding that would be eliminated.


                        Title VI--Transportation

       Title VI would amend provisions of the Aviation and 
     Transportation Security Act pertaining to security-related 
     fees and would repeal a current requirement for compensation 
     related to shipping of food aid. Together, those provisions 
     would reduce direct spending by $13.4 billion over the 2014-
     2023 period. This title would:
       Increase security-related fees charged to air passengers 
     and repeal other fees paid by air carriers, resulting in an 
     overall net increase in fees. It would amend current law to 
     direct the Transportation Security Administration (TSA) to 
     collect a specified portion of such fees, without further 
     appropriation, which would be recorded as offsetting 
     receipts--a credit against direct spending. (The remaining 
     portion of TSA fees would continue to be subject to 
     appropriation action.)
       Repeal the requirement that the Maritime Administration pay 
     certain costs to compensate the Department of Agriculture to 
     transport food aid on ships registered in the United States 
     rather than ships registered in other countries.


                  Title VII--Miscellaneous Provisions

       Title VII would make changes affecting customs fees, 
     pensions, and health care for federal employees, among other 
     things. CBO and JCT estimate that those provisions would 
     reduce direct spending by $19.3 billion over the 2014-2023 
     period.
       Section 701 would extend the authority of Customs and 
     Border Protection (within the Department of Homeland 
     Security) to collect certain fees. That authority, which is 
     set to expire in October of 2021, would be extended through 
     fiscal year 2023.
       Section 703 would raise rates for both variable and flat 
     rate premiums paid by sponsors of defined benefit pension 
     plans to the Pension Benefit Guaranty Corporation, and 
     increase the cap on the variable rate premium.
       Section 704 would permanently cancel authority to spend 
     certain unobligated balances from the Treasury Forfeiture 
     Fund and the Assets Forfeiture Fund.
       Section 705 would establish a fee to offset the cost to the 
     U.S. Department of Agriculture of providing conservation 
     assistance to owners of private lands.
       Section 706 would add a two-person ``self plus one'' 
     coverage option for federal employees and retirees under the 
     Federal Employees Health Benefits (FEHB) program. CBO 
     estimates that option would be priced below the ``self plus 
     family'' option currently available. However, the ``self plus 
     family'' option would become more costly than under current 
     law because the average number of people covered by policies 
     of that type would rise. CBO expects that federal retirees 
     would be more likely than active federal employees to switch 
     to ``self plus one'' policies. As a result, the average cost 
     of FEHB policies for federal retirees would be lower than 
     under current law, and the average cost of FEHB policies for 
     active federal employees would be higher than under current 
     law.
       The provision would reduce direct spending because the 
     government contribution for health benefits for federal 
     retirees is classified as direct spending. On the other hand, 
     implementing the provision would increase spending subject to 
     appropriation, assuming appropriation of the necessary funds, 
     because the government contribution for health benefits for 
     active federal employees is classified as discretionary 
     spending.
       Pay-as-you-go considerations: The Statutory Pay-As-You-Go 
     Act of 2010 establishes budget-reporting and enforcement 
     procedures for legislation affecting direct spending or 
     revenues. Although enacting the legislation would affect both 
     direct spending and revenues, pay-as-you-go procedures do not 
     apply because the legislation specifies that its budgetary 
     effects shall not be entered onto the scorecards maintained 
     under the Statutory Pay-As-You-Go Act.
       Intergovernmental and private-sector impact: The 
     legislation contains no intergovernmental mandates as defined 
     in the Unfunded Mandates Reform Act. It would, however, 
     impose mandates on private entities by increasing or 
     extending some government fees. The legislation would 
     increase the fee paid by airline passengers for security 
     services and increase insurance premiums paid by sponsors of 
     defined-benefit pension plans to the Pension Benefit Guaranty 
     Corporation. CBO estimates that the cost of those mandates 
     would total more than $1 billion in fiscal year 2015 and more 
     than $2 billion annually beginning in fiscal year 2016. The 
     legislation also would extend through fiscal year 2023 the 
     customs users fees that are set to expire in October of 2021 
     under current law. The cost of the mandate to users of 
     customs services would exceed $3 billion in each of fiscal 
     years 2022 and 2023. Consequently, the aggregate cost of the 
     mandates in the legislation would significantly exceed the 
     annual threshold established in UMRA for private-sector 
     mandates ($150 million in 2013, adjusted annually for 
     inflation).
       Estimate prepared by: Federal spending--Christina Hawley 
     Anthony, Kirstin Blom, Megan Carroll, Sheila Dacey, Mark 
     Grabowicz, Kathleen Gramp, Justin Humphrey, Deborah Kalcevic, 
     Jeff LaFave, Jim Langley, Avi Lerner, Amber Marcellino, Julia 
     Mitchell, Matthew Pickford, Sarah Puro, Lara Robillard, Matt 
     Schmit, Emily Stern, Santiago Vallinas, and Martin von 
     Gnechten.
       Federal Revenues--Kurt Seibert and staff of the Joint 
     Committee on Taxation.
       Impact on State, Local, and Tribal Governments--J'nell L. 
     Blanco, Michael Kulas, Melissa Merrell, and Lisa Ramirez-
     Branum.
       Impact on the private sector--Amy Petz, Paige Piper/Bach, 
     Chung Kim, Alexia Diorio, and Marin Burnett.
       Estimate approved by: Peter H. Fontaine, Assistant Director 
     or Budget Analysis.


[[Page 19083]]

  Mr. VAN HOLLEN. Mr. Speaker, I yield myself such time as I may 
consume.
  I would like to start by commending my friend and colleague, Chairman 
Ryan, for working on this bipartisan agreement. I also want to 
congratulate our Senate colleague, Senator Patty Murray, chairman of 
the Senate Budget Committee, for her efforts to get this done, along 
with many of our colleagues.
  This agreement is far from perfect. It is not the budget agreement I 
or many of my colleagues would have written, but I do believe that, on 
balance, at the margin, it represents a small but positive step 
forward.
  Mr. Speaker, I would not have been able to say that as recently as 
this past Monday and early Tuesday, but as a result of changes made, I 
think this is a positive step forward; and I want to commend my fellow 
conferees on the House side--Mr. Clyburn and Mrs. Lowey--as well as the 
efforts of Leader Pelosi, to make the changes necessary.
  As a result of those changes, this is an agreement that many of our 
colleagues can now support, and that is for many reasons; but most of 
all, it results in a situation in which we will avoid the very deep and 
harmful cuts from the sequester, which, if this Congress does not act, 
will automatically take effect a few weeks from now. Those very deep 
and unproductive across-the-board cuts will create an unnecessary drag 
on the economy at a time when economic growth is building but still not 
nearly where it is. It will have a negative impact on job growth, and 
it will eat away at important national priorities and investments.
  As a result of this agreement, in fiscal year 2014, we will be able 
to invest $25 billion more in vital national areas than we were in 
fiscal year 2013. Of those $25 billion investments, $22.5 billion will 
be in important areas of domestic investment: in areas of education, in 
areas of important scientific research like medical research at the 
National Institutes of Health. It will also provide, as Chairman Ryan 
has said, some certainty, which is very important at this point in 
time; and without this agreement, you would be guaranteed additional 
furloughs of Federal employees in the coming year, so I think it is a 
positive step forward.
  I do, Mr. Speaker, want to express my extreme disappointment in one 
area. In the agreement, itself, as Chairman Ryan has acknowledged and 
as Senator Murray has recognized, we decided not to include what we 
call the doc fix and decided we would not include the unemployment 
insurance compensation extension. Many of us argued that we should 
include both of those in this agreement. In fact, House Democrats 
proposed an agreement along those lines. We believe that, if we are 
going to do the doc fix, which we think is important--making sure that 
doctors who provide services to Medicare patients are fully 
compensated--we should also make sure that individuals who are on long-
term unemployment will not be left out in the cold 3 days after 
Christmas. It was decided that those elements would not be in the 
agreement, itself.
  Yet, last night, at the 11th hour, the House Republican majority 
decided to insert the doc fix within this agreement. We support that 
doc fix, but we are very troubled that we have not even been allowed a 
vote to extend unemployment compensation.
  The reality, Mr. Speaker, is, even without that, if we leave here 
without this agreement, we are not going to get the extension of 
unemployment insurance because the Speaker won't allow us to have a 
vote on that, so the only thing we would accomplish by defeating this 
budget agreement would be to go home with a lot of uncertainty and with 
the sequester guaranteed to hit in January. That is not a good result. 
This agreement is a better result. I will talk a little bit later about 
what we believe we should be doing in this Congress.
  As the chairman said, this agreement doesn't match his vision nor 
does it match ours. We put forward a proposal that would focus a lot 
more on job creation, to try and invest more in our national 
infrastructure--in our roads and in our bridges and in our broadband--
so that we can put people back to work right now and accomplish 
important national priorities. We believe we should be focusing on 
early education, investing more in our future so we have job growth not 
only now from additional investments but so we ensure greater job 
growth in the future. There are other things that we think were 
important and part of this agreement which are not in here but that we 
will continue to fight for in the days ahead.
  With that, Mr. Speaker, I reserve the balance of my time.
  Mr. RYAN of Wisconsin. Mr. Speaker, at this time, I yield 4 minutes 
to the gentleman from Kentucky (Mr. Rogers), the distinguished chairman 
of the Appropriations Committee.
  Mr. ROGERS of Kentucky. Mr. Speaker, I rise today in strong support 
of H.J. Res. 59, the Ryan-Murray budget agreement.
  First, I want to commend Chairman Ryan on achieving a resolution to 
our immediate budget challenges. It takes a good deal of courage; it 
takes persistence; it takes dedication to reach a bipartisan agreement 
such as this, and I want the chairman of the Budget Committee to know 
that we deeply appreciate his hard work on our behalf.
  Great job.
  While everyone might not like everything in this bill, it is the best 
product that is achievable right now, and I urge that it be passed.
  As our Budget chairman has said, this agreement reflects a compromise 
in policies but not in our conservative principles. Not only does this 
deal hold the line on spending, it actually puts a dent in our annual 
deficit--a very significant accomplishment. Plus, it opens the door for 
future progress on the problem of runaway entitlements. It paves the 
way toward budget and economic stability for the next 2 years.
  The legislation before us will also accomplish several other 
critically important goals:
  First and foremost, it will turn off the potentially devastating $20 
billion sequestration cut to our national defense. Even if Congress 
provided what flexibility we could, which isn't much, a cut of this 
magnitude would cripple readiness programs and leave us all at risk;
  Second, this bill will allow Congress to avoid another shutdown 
showdown and help us return to regular order. As I have said many, many 
times before: the best way to trim spending, ensure wise investments of 
taxpayer dollars, and provide stability for our government and our 
economy is to do appropriations bills on an annual basis, each one 
separately brought to the floor, as the Constitution intends.
  This budget conference agreement will now permit bicameral 
negotiations on the fiscal year 2014 appropriations bills to begin, 
allowing my committee to get to work and make the hard, thoughtful, 
responsible, line-by-line funding decisions that are Congress' duty to 
make.
  It is important to remember that this is just the first step in the 
current budget process. My committee will now begin to negotiate and 
craft an omnibus appropriations bill that will fund the government for 
the rest of the fiscal year, with the goal of completing it before the 
end of the CR, January 15. The omnibus will reflect the budget outline 
that is the Ryan-Murray bill before us now and will make the hard 
choices to implement this budget agreement into actual funding levels.
  Mr. Speaker, this is a good bill. It makes a significant first step 
to putting us on a more stable and responsible fiscal path.
  Again, I want to commend the chairman, the ranking member, and all of 
the members of the conference committee for the hard work and difficult 
decisions that they had to make to bring this bill to us now. I urge 
our colleagues to support it.
  Mr. VAN HOLLEN. Mr. Speaker, I now yield 2 minutes to the gentlelady 
from Maryland (Ms. Edwards), my colleague and friend on the 
Transportation Committee.
  Ms. EDWARDS. Thank you to the gentleman from Maryland, my friend and 
my colleague, for all of your work in getting us to this point. Thank 
you to my friend also, Chairman Ryan, for

[[Page 19084]]

getting us to this point, and to all of the conferees.
  Mr. Speaker, I am in support of the bipartisan Budget Act. Though I 
support the agreement, it isn't the bill that I would have written. It 
is not the bill that I would have written to fully protect Federal 
employees, today's employees and future employees. It is not the bill 
that I would have written to protect 1.3 million Americans who are 
about to lose their emergency unemployment insurance--22,900 of them in 
Maryland--just at the holidays. It is not the bill that I would have 
written that would reduce cost-of-living adjustments for our Nation's 
military retirees. It is not the bill that I would have written to 
protect the commuter tax credit.
  But do you know what? I didn't write this legislation, Mr. Speaker. 
It is a compromise. It is a negotiation. It is not perfect, but I 
support it.
  The agreement does ensure that current Federal employees will get 
their cost-of-living increases this year. They won't face the 
uncertainties of furloughs, and they will face stability for the next 
couple of years.

                              {time}  1645

  This compromise rejects the draconian proposal in the chairman's 
budget that would have made Federal employees pay 5.5 percent more for 
retirement at a cost of $20 billion, but that is not in this bill.
  This agreement does roll back sequestration cuts using spending cuts 
and new revenue.
  And the agreement increases nondefense discrimination spending by 
replacing almost two-thirds of this year's cuts, bringing the funding 
down to $77 billion above the Republican's preferred budget levels.
  The agreement doesn't cut Social Security, Medicare, or Medicaid 
benefits, not by a single penny.
  What the agreement does is it allows Congress and this Nation to get 
out of the dysfunction and the obstruction and to get on to other 
business of protecting the American people, perhaps allowing us to 
focus on unemployment insurance extension, immigration, infrastructure 
investment, and all of the things that it takes to protect our economy.
  I support this legislation. Let's get on with it.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself 3 minutes.
  Mr. Speaker, just so that my colleagues understand what exactly this 
bill does or does not do, I want to walk you through a chart.
  In 2011, Congress passed the Budget Control Act. That set 
discretionary spending at this level up here, the blue line. It said 
that this thing we commonly call the supercommittee was supposed to go 
and cut $1.2 trillion out of mandatory spending, autopilot spending, 
the nondiscretionary part of the budget, the big, fast growing part 
that Congress rarely addresses.
  If it didn't happen, then the sequester would kick in. That is this 
red line. That is where we are now because the sequester has kicked in.
  What we face in January is another round of sequester cuts, $20 
billion, that hit solely on defense spending in the military. A lot of 
us are concerned about that. When 85 percent of our troops, our 
brigades, are not ready, that is a problem. When we have people in 
Afghanistan and we need to reset our equipment and we are not where we 
need to be, that is a problem; that is a concern of ours.
  What we do not want to do is lose any of the fiscal progress that was 
made by this act. In fact, we want to go farther. So what this bill 
does is it says for the rest of this half fiscal year, fiscal year 
2014, and the upcoming fiscal year, fiscal year 2015, it changes 
discretionary spending to go to $1.12 trillion and then $1.14 trillion 
back on to where we are with the sequester.
  What does all that mean? It means that 92 percent of the sequester is 
still intact. For the next year and a half, this bill preserves 70 
percent of the sequester; but we pay for that 30 percent that is given 
back.
  Let me explain what that means just in a quick dollars and cents 
sense. This bill achieves $85 billion in mandatory savings, the things 
we talked about a minute ago, all those various permanent spending 
cuts. It gives back or relieves from the sequester $63 billion in 
spending: half to defense, half to domestic spending, like Mr. Van 
Hollen was talking about. The result is a net deficit reduction of $23 
billion. So from the Budget Control Act of 2011, this advances fiscal 
responsibility to the tune of $23 billion.
  To put it another way, 2 years ago, when we passed the first House 
Republican budget when we came into the majority, the appropriation 
number we were looking for then was $1.19 trillion. Then in 2012 in the 
next House Republican budget, the appropriation bill we were fighting 
for then was $1.28 trillion.
  The SPEAKER pro tempore. The time of the gentleman has expired.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself an additional 
minute.
  The Budget Control Act would have had us at $1.58 trillion. This 
agreement puts us at $1.12 trillion. Under this agreement, we would not 
hit that discretionary spending number of $1.19 trillion, the one we 
asked for 2 years ago, we wouldn't hit that number until the year 2017.
  With respect to a fiscal track record, we are ahead of schedule, and 
we are replacing some of these across-the-board spending cuts that are 
indiscriminate that don't set priorities, that treat the efficient and 
inefficient programs the same, with smarter, permanent spending cuts in 
the autopilot part of spending, that part that Congress all too often 
ignores.
  Mr. Speaker, this is good government; it is also divided government. 
Under divided government, we need to take steps in the right direction. 
To make divided government work, you can't ask each other to compromise 
a core principle because we don't do that here. We ask each other to 
find some common ground to advance the common good. That is what this 
agreement does. That is why I ask my colleagues to support it.
  With that, I reserve the balance of my time.
  Mr. VAN HOLLEN. Mr. Speaker, I yield myself as much time as I may 
consume.
  I think this agreement is an acknowledgement--at least a majority on 
both sides, certainly on the Democratic side, a strong majority--that 
the sequester is a dumb and unproductive way to cut spending or to 
reduce the deficit.
  What this agreement does is prevent that full sequester from taking 
place over the next 2 years. We believe that we should address and 
substitute the remaining sequester through a balanced approach of 
additional targeted cuts. But, Mr. Speaker, we also think we should 
close some of these special interest tax loopholes that benefit nobody 
except certain narrow interests that sometimes have undue sway here in 
the Congress.
  But as my colleague said, we have different approaches, and our 
Republican colleagues have refused to close a single one of those 
special tax breaks or preferences for the purpose either of reducing 
the sequester or reducing the deficit. So we have different approaches. 
We wouldn't have chosen the offsets that are in here to pay for the 
sequester replacement. They are the result of a negotiation. As I said 
earlier, I believe on balance this is an important step forward.
  Mr. Speaker, I yield 2 minutes to the gentlewoman from New York (Mrs. 
Lowey), one of the people who was very important in this process, my 
good friend and colleague from New York, the ranking member of the 
Appropriations Committee and one of the conferees.
  Mrs. LOWEY. Mr. Speaker, the budget deal is a breakthrough in a 
difficult budget year in a dysfunctional Congress. As with any 
compromise, there are elements I oppose; yet this agreement should help 
us do our jobs to the American people and end the shutdown standoffs.
  It provides some relief from the devastating impact of the sequester 
cuts on our economy and American families. Keeping sequestration in 
place through fiscal year 2014 would cost up to an estimated 1.6 
million jobs. Now,

[[Page 19085]]

the House and Senate must restore regular order to craft bills that 
instead create new jobs and protect important priorities like medical 
research, security and infrastructure upgrades, and early education.
  This agreement restores over 60 percent of the sequester on 
nondefense discretionary spending in 2014, restores those bills to 
roughly the FY 2013 enacted pre-sequester levels. It would hold defense 
funding levels roughly consistent with the 2013 level after sequester.
  The bill before us includes elements, frankly, I don't like and fails 
to address others it should. First, I am deeply upset that my 
colleagues on the other side of the aisle insisted on extending the 2 
percent sequester on Medicare providers for an additional 2 years as 
part of the package's offsets. We should not extend their sequester 
burden.
  It is also unconscionable that the deal does not extend long-term 
unemployment benefits. Even with the progress our economy has made 
since the depths of the recession, there are still 1.3 million fewer 
jobs today than 6 years ago.
  Four million Americans have been looking for work for more than 6 
months.
  The SPEAKER pro tempore. The time of the gentlewoman has expired.
  Mr. VAN HOLLEN. I yield an additional 30 seconds to the gentlelady.
  Mrs. LOWEY. More than 1.3 million of them will lose their benefits 
and, for some, the only income they have just 3 days after Christmas 
and 3 days before the new year.
  Today's bill will provide some economic certainty about fiscal policy 
over the next 2 years, which should boost growth and job creation.
  Because we cannot continue lurching from crisis to crisis, and 
despite my misgivings about the extension of Medicare provider cuts and 
failure to address long-term unemployment, I will vote ``yes.''
  Mr. RYAN of Wisconsin. Mr. Speaker, at this time, I yield 2 minutes 
to the gentleman from Iowa (Mr. Latham) for the purposes of a colloquy.
  Mr. LATHAM. Mr. Speaker, I yield to the gentleman from Vermont (Mr. 
Welch).
  Mr. WELCH. Mr. Speaker, I rise to enter into a colloquy with the 
gentleman from Wisconsin regarding the not-for-profit student loan 
servicing provisions in the Bipartisan Budget Act of 2013.
  Is it your understanding and intent that the not-for-profit servicing 
provision in this act does not require the termination of the existing 
Federal loan servicing contracts of any not-for-profit servicers who 
are currently servicing Federal loans?
  And is it the further understanding and intent of the gentleman from 
Wisconsin that the Education Department will continue to enter into 
contracts with not-for-profit servicers based on their performance?
  Mr. RYAN of Wisconsin. Mr. Speaker, will the gentleman from Iowa 
yield?
  Mr. LATHAM. I yield to the gentleman.
  Mr. RYAN of Wisconsin. Mr. Speaker, yes, it is the legislative intent 
that existing contracts to use the services for not-for-profit 
servicers are not terminated by this bill and that they will be 
permitted to compete with the Department of Education's title IV 
servicers for additional accounts.
  Mr. LATHAM. Mr. Speaker, I associate myself with the comments of the 
managers and am pleased to know it is their intent that the use of not-
for-profit servicers continues and that not-for-profit servicers will 
be permitted to compete in the future for additional accounts.
  Mr. KLINE. Mr. Speaker, will the gentleman yield?
  Mr. LATHAM. I yield to the gentleman from Minnesota.
  Mr. KLINE. Mr. Speaker, I also rise to associate myself with the 
comments of the managers and am pleased to know it is their intent that 
the use of not-for-profit servicers continues and that not-for-profit 
servicers will be permitted to compete in the future for additional 
accounts.
  Mr. VAN HOLLEN. Mr. Speaker, I yield 3 minutes to the gentleman from 
South Carolina (Mr. Clyburn), a good friend and colleague, one of the 
conferees who worked with us to move this agreement to a place where it 
was supported by many of us on the Democratic side, the assistant 
Democratic leader.
  Mr. CLYBURN. Mr. Speaker, let me thank my friend, Mr. Van Hollen, for 
yielding me this time. I want to thank him and Mrs. Nita Lowey for the 
tremendous work they did in keeping this effort moving forward in a 
very positive way.
  I also want to thank Chairman Ryan for the great work he has done on 
this and the manner in which he got his work done.
  We don't talk a lot on this side of the Capitol about the other side, 
but I also want to thank Senator Patty Murray for all of her work. I 
had the great privilege of working with her on the supercommittee and 
we didn't get much done. I was on the so-called ``Biden Group'' along 
with Mr. Van Hollen, and we didn't get anything done. But I am pleased 
at this time of year to say that the third time seems to be the charm.
  This is not the product that I would have written if I were writing 
it, and I am sure that it is not the product that any of my Democratic 
colleagues would write. I am always concerned by the ``meat ax'' 
approach to dealing with the budget. This effort takes that away and 
allows us to approach spending in a way that is much more conducive to 
running the government. We didn't get everything, and nobody gets 
everything they want in trying to reach common ground.
  It is important for me to note at this time some things that were 
taken off the table. There are no cuts to Social Security, there are no 
benefit cuts to those receiving Medicare or Medicaid, there is no 
targeting of Federal employees for additional cuts, and the relief from 
the sequester in both defense and essential services is very real and 
significant.

                              {time}  1700

  It is also important to note what this bill does not do. I am very 
concerned about the fact that we were not able to make unemployment 
insurance a part of this effort.
  The SPEAKER pro tempore. The time of the gentleman has expired.
  Mr. VAN HOLLEN. I yield an additional 30 seconds to the gentleman.
  Mr. CLYBURN. And I am hopeful when we get back here after the first 
of the year that we will move and do as we have done in the past, pass 
unemployment insurance, make it retroactive to January 1 so those 
people who find themselves unemployed through no fault of their own can 
find some relief going into the next holiday season. Hopefully, we will 
do something on the minimum wage. These are things that I think we need 
to do coming back after the first of the year.
  I thank the gentleman for yielding me the time.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself 30 seconds to 
respond to my friend, the gentleman from South Carolina (Mr. Clyburn). 
I want him to know that his time spent on these prior endeavors, the 
Biden Group, all those, that was not wasted. That was productive time 
because the findings of those groups were used in this agreement. The 
work that they did on all of those policies were work that we borrowed 
from to put this together. So I want him to know that was a productive 
use of his time which helped, in turn, produce this result.
  Mr. CLYBURN. Thank you very much. You are very kind.
  Mr. RYAN of Wisconsin. With that, Mr. Speaker, I yield 3 minutes to 
the gentleman from California (Mr. McCarthy), our distinguished 
majority whip.
  Mr. McCARTHY of California. Mr. Speaker, first I want to thank our 
chairman of the Budget Committee for showing the leadership, finding 
the common ground, but actually moving this entire House.
  When I first came to Congress, debate was always about more spending, 
always about what would the future hold. Ever since the Republicans 
took the majority, within our first 4 months, we

[[Page 19086]]

produced a budget that put us on to a path of a much different 
approach. It was a path led by our chairman and a path that would 
actually grow jobs and move us in a new direction.
  The challenge we had was in the Senate; there was no budget. The last 
time, since I have been here that the Senate produced a budget, the 
iPad wasn't introduced. But this House moved No Budget, No Pay, and the 
Senate began to move, but they came up with a different number than we 
had. We had a stalemate on the floor that the country was frustrated 
with, that we were frustrated with; and we knew that this was not the 
way Congress was designed.
  So this agreement moves us in a much different place. Every year that 
Congress failed to pass a budget, it ceded its power, intended by our 
Founders to be held by Congress, to the executive branch.
  As House Republicans continue to fight for more limited government 
that empowers the individual and makes smarter spending decisions, the 
standard set by this agreement will be critically important.
  The budget agreement takes steps to reform mandatory spending that 
starts out slow but compounds over the years and results in real and 
growing spending reductions year over year. It also moves us closer to 
more responsible entitlement reforms that lead to a balanced budget, 
paying down our debt, and a sustainable economic future.
  Today is a unique day. Today is a day that is a step in the right 
direction, and it shows the common ground that not only this body but 
the Senate can take as well. I thank all those involved, and I ask for 
a ``yes'' vote.
  Mr. VAN HOLLEN. Mr. Speaker, I yield 1\1/2\ minutes to the gentleman 
from Massachusetts (Mr. Neal), a terrific member of the Ways and Means 
Committee.
  Mr. NEAL. Mr. Speaker, I thank Mr. Van Hollen.
  I think the previous speaker forgot to mention the Bush tax cuts in 
2001 and 2003, totaling $2.3 trillion. The war in Iraq was conveniently 
left out. The process of sequestration was ill-considered and the 
result is all around us.
  Mr. RYAN of Wisconsin. Will the gentleman yield?
  Mr. NEAL. I yield to the gentleman.
  Mr. RYAN of Wisconsin. We are having a good moment here. Don't spoil 
it, all right?
  Mr. NEAL. Listen, I was happy to have it until I heard that the 
Republicans were responsible for all of the good things that are in 
this, and the Democrats were only responsible for the revenue side.
  Revenue is at about percent of gross domestic product right now. 
Those are the Eisenhower years. We need to have this discussion.
  Now, let me say this as well. Mr. Ryan deserves to be credited, as 
does Mr. Van Hollen, with the measure that is in front of us today. But 
if we can get past some of the acrimony and some of the ill-considered 
language here, maybe we could find a path forward.
  The Medicare picture has brightened substantially. It is wild what 
has happened. The automobile sector is doing much better. The private 
sector in general is. Americans are shedding debt, but not to miss the 
point that there is a very elusive term that needs to be addressed in 
America today, and it is a term of confidence. The government shutdown 
shaved 1 to 2 points off of gross domestic product. That is reality; 
that is not fiction.
  We need to get past, again, the harsh language that has now taken 
over this institution and provide investors and provide the American 
people with the idea of some confidence to unleash the forces of that 
$2 trillion that is sitting here domestically and another trillion that 
is sitting offshore. This is the sort of conversation that we need to 
have. This is a confidence-building measure. It does lighten up some of 
the spending caps, again, that would have caused grave damage to the 
economy. We should have found the time to help out on the issue of 
unemployment benefits.
  Mr. Speaker, we did the doc-fix this morning. I favor it; $8 billion 
over 3 months. We could have found money in this budget to extend 
unemployment benefits to American families.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself 2 minutes.
  Mr. Speaker, there are a couple of other factors that I think Members 
should weigh as we look at this legislation.
  Number one is if we do not pass this legislation, we face a fiscal 
impasse on January 15 and, therefore, a potential government shutdown 
at that time. And then we face a fiscal impasse at the end of September 
and a possible government shutdown at that time. I don't know of anyone 
in this body that thinks these government shutdowns are productive or 
useful for our economy. So by having this agreement in place, we 
prevent those two episodes from occurring and we prevent those two 
government shutdowns.
  Point number two, for too long, for 3 years, this body, Congress, the 
legislative branch, the one that the Founders envisioned in the 
Constitution would be exercising the power of the purse, the branch of 
government that is the representative of the people that is supposed to 
decide how money is spent, well, we have been ceding that authority to 
the executive branch by passing what we call continuing resolutions. So 
the spending priorities that were set 3 years ago are still in place, 
and then we just keep writing these blank checks to the administration, 
and they set the priorities. That is not a partisan thing; this is an 
institutional thing. This is a separation of powers thing.
  Democrats and Republicans alike believe that we should do our jobs, 
that we should exercise the power of the purse, that the legislative 
branch should bring back its authority to do this. This does that. By 
restarting the appropriations process, by agreeing to these numbers, 
which are bipartisan numbers, mutually agreed to number, by not doing 
continuing resolutions, we are reclaiming the power of the purse.
  The SPEAKER pro tempore. The time of the gentleman has expired.
  Mr. RYAN of Wisconsin. I yield myself 1 minute.
  There are those of us who are worried about regulations, who are 
worried about the exercise of power at the executive branch, who are 
worried about a sense of less accountability among the executive 
branch. We do lots of oversight hearings. We do dozens a week. But 
oversight pales in comparison when it doesn't have any fiscal force 
behind it. By reclaiming the power of the purse, by having Congress 
write the budgets and approve and decide the budgets of the executive 
agencies, that gives us a far stronger hand in effecting effective 
oversight and conducting oversight. By using the power of the purse, 
along with effective oversight, we can do our jobs as the legislative 
branch in conducting oversight of the executive branch and setting 
priorities.
  My friends have their priorities, and we have our priorities, and 
sometimes we meet and sometimes we don't. At least Congress gets to set 
the priorities on how the money sent to us from hardworking taxpayers 
is spent. That is one of the things that is accomplished in this 
agreement. That, along with all these other reasons, is why I really 
encourage all of our Members to support this agreement.
  With that, I reserve the balance of my time.
  Mr. VAN HOLLEN. Mr. Speaker, I yield 1\1/2\ minutes to the gentleman 
from Minnesota (Mr. Ellison), my friend.
  Mr. ELLISON. Mr. Speaker, I want to thank my colleagues for arriving 
at a budget deal. When we asked our Democratic conferees to negotiate 
the best deal they could, we did it knowing that they were negotiating 
with colleagues whose priority is debt reduction, not jobs, even though 
the Federal Government deficit is the smallest since 2008. Given 
Republican priorities, they had a heavy task of partially lifting the 
sequester, protecting Social Security and Medicare and Medicaid, and 
averting a shutdown. And so I think that is good.
  But there are parts of the deal that leave me very uncomfortable. I 
can't possibly imagine leaving this place, leaving all those Americans, 
over a million people, without any means of sustenance other than maybe 
their

[[Page 19087]]

local food shelf. I mean, it is not humane. It is not right, and it is 
bad for the economy because the people who got those unemployment 
insurance checks would be able to spend them with local vendors which 
would actually help our local economy. That is not going to happen 
unless something else happens. I have heard estimates as high as 
310,000 jobs could be lost if something is not done.
  Also, the $6 billion cut for future Federal employees' retirement, I 
am very disturbed about that because we need good people working for 
the Federal Government. How can we attract the best people to work for 
this country if every time we have to solve a budget problem, we are 
going into their piggy bank. Jets and yachts, if we accelerated 
depreciation, we would be three-fourths of the way there on these 
future Federal employees' retirement benefits.
  I am deeply disappointed we did not work to close any loopholes. That 
is a shame. So I remain disappointed.
  Mr. RYAN of Wisconsin. I reserve the balance of my time. I am waiting 
for the leader, who is on his way.
  Mr. VAN HOLLEN. Mr. Speaker, may I inquire how much time remains.
  The SPEAKER pro tempore. The gentleman from Maryland has 12 minutes 
remaining. The gentleman from Wisconsin has 11\1/2\ minutes remaining.
  Mr. VAN HOLLEN. Mr. Speaker, I yield 1\1/2\ minutes to the 
gentlewoman from California (Mrs. Davis), a great member of the Armed 
Services Committee.
  Mrs. DAVIS of California. Mr. Speaker, we have taken a first step to 
come together. Well, it is a bigger step than we have seen in a while, 
but let's remember, it is only a first step. And I think people have 
said a small step, but it is a step and I am as excited as some of you 
are saying that we have been able to do that.
  However, and more than that, unfortunately, we have not been able to 
come together to keep up the safety net for 1.3 million unemployed 
Americans by extending emergency unemployment insurance. In fact, the 
problem of long-term unemployment is not even addressed. It wasn't even 
discussed at length. If you want to pull away the safety net and leave 
people with nothing, well, at least have some creative solutions for 
getting them back to work.
  Now, like many of you, I have to go back to my district, my 
constituents in San Diego, who have been struggling to find work for so 
long and tell them that we could not come together to preserve their 
only means of subsistence.
  So let's remember, as we take this step forward, let us keep working 
together to extend unemployment benefits for those in desperate need 
and start--let us start coming up with some bigger solutions to getting 
people back to work.
  Mr. RYAN of Wisconsin. At this time, I would like to yield 2 minutes 
to the distinguished gentleman from Indiana (Mr. Rokita), a member of 
the Budget Committee.
  Mr. ROKITA. I thank the chairman. I thank him for his leadership, not 
only on this issue, but on so many of the bills and issues that come 
before this Congress; and I also thank the leadership on the other side 
of the Budget Committee and the other side of this Congress for their 
leadership in coming together as well.
  Mr. Speaker, I rise today in support of this bipartisan budget 
legislation. As you know, Mr. Speaker, I am one of the folks around 
here who is considered by some maybe affectionately, by others not so 
affectionately, as a budget hawk. I came to reduce our spending and get 
as much value for every dollar we take from the taxpayer, and more 
increasingly from the children of tomorrow, from those who don't exist 
who we are taxing by running up our debt.

                              {time}  1715

  I watch these issues closely. I am actively, in my opinion, engaged 
in them. And I want to say on this House floor that this budget is a 
better deal than the current sequestration law because it makes 
spending reforms beyond sequestration that will continue on after 
sequestration expires. The reforms and, therefore, the budget savings 
start immediately and compound over time.
  By the way, Mr. Speaker, I am not talking about trading real 
sequester savings for magic beans. These are reforms that will start 
once this bill passes and once the President signs it. Again, it will 
compound over time.
  Finally, Mr. Speaker, we are starting to open the door and address 
what is actually causing our deficits and debt, and that is our 
entitlement programs. So I applaud again the chairman of the Budget 
Committee. I applaud the ranking member and others in the Senate who 
are supporting this measure because we are finally able to get to 
discuss and solve what is the major problem that this country is facing 
at this time.
  Like the others who have spoken, I look forward to having more of 
these discussions and getting onto the business of solving what is 
creating so much problem in this country.
  Mr. VAN HOLLEN. Mr. Speaker, I reserve the balance of my time.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield 1 minute to the gentleman 
from Virginia (Mr. Cantor), our distinguished majority leader.
  Mr. CANTOR. Mr. Speaker, I thank the Speaker, and I thank the 
gentleman from Wisconsin.
  I rise today in support of the Bipartisan Budget Act of 2013.
  Mr. Speaker, in a divided government, the American people expect 
Members of both parties to come together and find common ground to move 
America forward. While this budget agreement is not perfect, it is a 
step forward towards bridging our differences and bringing fiscal 
responsibility to Washington.
  The legislation before the House today will reduce our deficit, it 
will make long-term pension reforms, and it will do so without raising 
taxes on the hardworking middle class families of our country. This 
budget deal also protects our national security at home and around the 
world by preventing dramatic cuts to our national defense as a result 
of the sequester.
  Mr. Speaker, I think we can all agree that arbitrary, indiscriminate 
across-the-board spending cuts are not the smartest way to cut 
spending. Last year, House Republicans passed two bills that would have 
replaced the sequester's indiscriminate across-the-board cuts. This 
bill before us is a reflection of our priority to replace the sequester 
with permanent savings that will responsibly reduce our deficit.
  This legislation will allow Congress to concentrate on appropriating 
taxpayer funds to our country's highest priorities. Let's stand 
together and show the American people that we are focused on reining in 
Washington's out-of-control spending habits while growing our economy.
  Mr. Speaker, I want to thank the gentleman from Wisconsin, the 
chairman of the Budget Committee, Mr. Ryan, for his perseverance and 
his quest to rein in the wasteful spending, to work towards balancing 
our budget. I want to thank him for his tenacity in negotiations that 
he had with Senator Murray in arriving at this deal. I want to thank 
him and his entire committee for their hard work.
  This is a bipartisan budget agreement, one that has not been 
frequently seen in terms of bipartisan agreement on this floor. I urge 
my colleagues in the House to support this agreement.
  Mr. VAN HOLLEN. Mr. Speaker, I yield myself such time as I may 
consume.
  I want to emphasize a point that we both made, which is that if we 
had our druthers, we would have approached this issue differently.
  I do want to say with respect to some of the offsets, there are many 
of us who would have preferred to see the closures of many special 
interest tax breaks as part of the offsets in this legislation. We hope 
that as we go forward, we would agree that that is also a kind of 
wasteful spending in the Tax Code. If you give a special interest in 
this country some tax preference not enjoyed by others, you are simply 
raising the burden on everybody else. It is simply a form of spending 
through the Tax Code.

[[Page 19088]]

  Mr. Speaker, as we address these issues going forward, whether it is 
replacing the sequester or reducing the deficit, as part of a balanced 
approach, we think we should take those into account as well.
  We also proposed, as part of this measure, applying some of the 
excessive subsidies that we give to agribusinesses as part of the 
offsets, and our colleagues rejected those.
  As has been said, this is a product of compromise, but I do want to 
let people know that it has been our preference to close some of those 
special interest tax breaks and use some of those excessive agriculture 
subsidies as offsets here rather than some of the provisions that are 
before us.
  Mr. Speaker, I reserve the balance of my time.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield 1 minute to the gentleman 
from Ohio (Mr. Boehner), the distinguished Speaker of the House.
  Mr. BOEHNER. Mr. Speaker, let me thank Chairman Ryan and his Senate 
counterpart, Democrats and Republicans, frankly, on both sides of the 
Capitol who worked hard to bring this agreement together.
  My colleagues, I think it is pretty simple. If you are for reducing 
the budget deficit, then you should be voting for this bill. If you are 
for cutting the size of government, you should be supporting this 
budget. If you are for preventing tax increases, you should be voting 
for this budget. If you are for entitlement reform, you ought to be 
voting for this budget. These are the things I came here to do, and 
this budget does them.
  Is it perfect? Does it go far enough? No, not at all. I think it is 
going to take a lot more work to get our arms around our debt and our 
deficit. But this budget is a positive step in that direction. It is 
progress. It is doing what the American people expect us to do. It is 
coming together and finding common ground. Stick to our principles, but 
find common ground.
  Again, I commend Chairman Ryan and Chairman Murray for their work, 
and I urge all of my colleagues to vote for this budget.
  Mr. VAN HOLLEN. Mr. Speaker, I continue to reserve the balance of my 
time.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield 2 minutes to the 
gentleman from Arkansas (Mr. Womack).
  Mr. WOMACK. Mr. Speaker, I thank Chairman Ryan for his great 
leadership in forging this particular agreement and putting us in a 
position to end on a positive note here as we approach the Christmas 
and holiday season.
  Mr. Speaker, I am going to bring a couple of different perspectives 
to the floor as I analyze this budget deal. The first perspective I 
have is that of being a former mayor for 12 years in a great city in 
northwest Arkansas where there was an enormous amount of economic 
development and we did a lot of great things. I sat at the table many 
times talking about issues and trying to balance the needs of our 
community against what the wants of our community were. I have to tell 
you that I never ended any of those negotiations getting everything 
that I wanted, but I always looked for an opportunity to find the 
common ground and to advance the economic development issues of our 
city where we could find that type of consensus.
  Mr. Speaker, I also bring the perspective of an appropriator. As 
somebody who came to Congress in 2011, I was immediately assigned to 
the Appropriations Committee. And, quite frankly, I have been 
frustrated through this entire process, living from CR to CR and never 
having the opportunity to do what appropriators are purposed in doing.
  This agreement, while not perfect, as has already been mentioned by 
most every speaker, gives us an opportunity to take government 
shutdowns off the table and to restore some much-needed funding to 
something very important to all of us, our national defense. As an 
appropriator, it gives us an opportunity to actually do our jobs and 
quit ceding the authority for the power of the purse to the 
administration down the street. From that perspective, Mr. Speaker, I 
think this is the right deal at the right time. It gives us an 
opportunity to give some certainty to the American public who is 
looking to this Congress to be able to work together to try to find the 
solutions that move America forward.
  I urge support.
  Mr. VAN HOLLEN. Mr. Speaker, I yield 4 minutes to the gentleman from 
Maryland (Mr. Hoyer), our distinguished whip and somebody who has been 
working very hard on these budget issues and working with us also to 
make sure that this is done in as fair and equitable a manner as 
possible. He has worked with us very closely to make sure that Federal 
employees do not take a disproportionate share of the burden. And as a 
result of those efforts, current Federal employees will not be asked to 
bear additional burdens after having already borne so much of the 
burden.
  Mr. HOYER. Mr. Speaker, I thank the gentleman.
  First of all, let me say that America is advantaged by having two 
people who work on the Budget Committee who have great intellect, great 
integrity, and care about America: Mr. Ryan from Wisconsin and Mr. Van 
Hollen from Maryland. The American public sometimes is not sure that it 
has that kind of quality. If only they were here sitting in the Budget 
Committee or on the floor and listening to these two gentlemen who have 
disagreements and represent their positions well.
  Mr. Speaker, I voted for every budget compromise that has been passed 
over the past 3 years without fail. The result, however, invariably, 
has been an unremitting undermining of our efforts to reach a balanced 
fiscal policy and to invest in that which will secure our future: the 
economy, education, infrastructure, national security, and innovation.
  While each of those bills was preferable to default on our debt or 
the shutting down of our government, they have been simply stopgap 
measures that have not prevented continuing lurches from 
congressionally created and all too frequent fiscal crises and 
shutdowns.
  The headlines regarding this agreement put it in perspective. An op-
ed in The New York Times says, ``Congress Avoids Reality, Again.'' The 
Wall Street Journal says, ``A Least Bad Budget Deal,'' while a USA 
Today headline says, ``Minimalist Budget Deal Beats Another Shutdown.'' 
The editorial concludes with this, however:

  Unless we come to grips with the fiscal issue, we will be inflicting 
a huge financial burden on our children.

  I agree.
  The deal before us today does not deal with the fundamental issue of 
long-term fiscal stability. My friend Mr. Ryan says he wants to do 
that. My friend Mr. Van Hollen says he wants to do that. I think 
Senator Murray wants to do that. We have not done that. We have not 
dealt with the underlying issues that prevent us from being on a 
fiscally sustainable path.
  It does not replace the full sequester, which Chairman Hal Rogers, 
who I know has spoken in favor of this agreement, has correctly 
described as ill-advised and unrealistic. I said on this floor when we 
considered the gentleman's budget that, if there were no Democrats in 
the House of Representatives, they could not implement that budget. I 
believe that.

                              {time}  1730

  I believe that. I believe it because the figures were not related to 
priorities or vision or that which we needed to accomplish as a 
country, but on a number, 967. That is an opinion shared by all of the 
Republican appropriations subcommittee chairmen who wrote a letter to 
that effect.
  Nor, critically, does this agreement deal with the issue of the debt 
limit, which will confront us shortly, and which has, historically, 
over the last 3 years, been an inflection point to further reduce not 
only discretionary spending on both sides, mainly on the nondefense 
side, but also to reach, once again, into the pockets of Federal 
employees.
  Now, I am someone who represents 62,000 Federal employees, and I 
recommended zero COLAs the first 2 years we did zero COLAs. Why?

[[Page 19089]]

  The economy was in trouble and it was necessary for Federal 
employees, like everybody else, to participate.
  The SPEAKER pro tempore. The time of the gentleman has expired.
  Mr. VAN HOLLEN. Mr. Speaker, I yield the gentleman another minute.
  Mr. HOYER. I'd better be quick.
  If we fail to resolve this issue now, it will simply plunge us into 
another manufactured crisis which will quickly undermine the stability 
and confidence that some believe this agreement is bringing.
  The fact that this agreement deals temporarily with preventing a cut 
in Medicare's physician reimbursement rate is welcome but, as with our 
fiscal sustainability, it needs to be dealt with on a permanent basis.
  I am pleased that the House Ways and Means Committee and the Senate 
Finance Committee today marked up legislation to do so. However, it is 
unconscionable that the budget deal before us today does not extend 
unemployment insurance, which helps those who are most at risk in our 
society; and if we do not help them, the economy will suffer, and 
200,000 jobs are predicted to be lost.
  On December 28, 1.3 million Americans will lose their unemployment 
insurance if we do not act, and they will be joined by an additional 
3.5 million Americans in 2014. The House should not leave town without 
ensuring that individuals looking for work have the safety net of 
unemployment insurance.
  The SPEAKER pro tempore. The time of the gentleman has again expired.
  Mr. VAN HOLLEN. Mr. Speaker, I yield the gentleman an additional 30 
seconds.
  Mr. HOYER. Finally, Mr. Speaker, this budget turns once again to 
middle class workers.
  Let me close with this. This agreement is better than the 
alternative, but it misses a huge opportunity to do what the American 
people expect us to do, and that is put this country on a fiscally 
sustainable path.
  I would urge my friend from Wisconsin, and I have urged my friend 
from Maryland, my colleague, summon up the courage, much of which you 
have already shown, to help us put this country on a fiscally 
sustainable path, and, yes, make tough decisions. And I will join with 
the gentleman from Wisconsin and the gentleman from Maryland in helping 
us to get the votes for those tough decisions that are necessary, but 
it needs to be a balanced deal.
  I have voted for every budget compromise that has been passed over 
the past three years.
  The results, invariably, have been an unremitting undermining of our 
efforts to reach a balanced fiscal policy and to invest in that which 
will secure our future: the economy, education, infrastructure, 
national security, and innovation.
  And while each of those bills was preferable to default on our debt 
or the shutting down of our government, they have been simply stop-gap 
measures that have not prevented continuing lurches from 
congressionally-created and all-too-frequent fiscal crises and 
shutdowns.
  The headlines regarding this deal put it in perspective:
  An op-ed in the New York Times says, ``Congress avoids reality 
again.''
  The Wall Street Journal calls it the ``Least Bad Budget Deal.''
  And while a USA Today headline says, ``Minimalist Budget Deal Beats 
Another Shutdown,'' the editorial concludes with this: ``Unless we come 
to grips with the fiscal issue, we will be inflicting a huge financial 
burden on our children.''
  I could not agree more.
  The deal before us today does not deal with the fundamental issue of 
long-term fiscal stability, nor does it replace the full sequester--
which Chairman Hal Rogers has correctly described as ``ill-advised'' 
and ``unrealistic''--an opinion shared by all of the Republican 
Appropriations Subcommittee chairmen.
  Nor, critically, does this agreement deal with the issue of the debt 
limit, which will confront us in a few short months.
  If we fail to resolve that now, it will simply plunge us into another 
manufactured crisis, which will quickly undermine the stability and 
confidence some believe this agreement will bring.
  The fact that this agreement deals temporarily with preventing a cut 
in Medicare's physician reimbursement rates, SGR, is welcome, but, as 
with our fiscal sustainability, it needs to be dealt with on a 
permanent basis.
  I'm pleased that the House Ways and Means Committee and the Senate 
Finance Committee today marked up legislation to address this issue in 
a permanent way.
  However, it is unconscionable that the budget deal before us today 
does not extend unemployment insurance, which helps those most at risk 
in our society.
  On December 28, 1.3 million Americans will lose their unemployment 
insurance if we do not act, and they will be joined by an additional 
3.5 million Americans in 2014.
  The house should not leave town without ensuring that individuals 
looking for work have the safety net of unemployment insurance.
  Finally, I am disappointed that this budget deal turns once again to 
middle class workers.
  Our nation's Federal Employees have already contributed $114 billion 
toward deficit reduction, and are being asked to contribute once again.
  Their contribution is less than what was being discussed last week, 
which is positive, but to continue targeting them is unacceptable 
outside of a big deal where everyone else is asked to contribute as 
well.
  This budget deal is a missed opportunity.
  It is a missed opportunity to replace the sequester in its entirety.
  It is a missed opportunity to, at long last, put our Nation on a 
fiscally sustainable path.
  That is why I will oppose this deal on the floor today, and continue 
advocating for the big, balanced budget deal we need to truly restore 
the long-term fiscal stability of our Nation.
  Mr. RYAN of Wisconsin. Mr. Speaker, I have no more speakers, and I 
reserve the balance of my time to close.
  Mr. VAN HOLLEN. Mr. Speaker, at this time I yield 1 minute to the 
gentlewoman from Texas (Ms. Jackson Lee), a great member of the 
Judiciary Committee.
  Ms. JACKSON LEE. Mr. Speaker, I want to thank the gentleman very much 
for his kindness in yielding.
  As I indicated earlier today, even Time magazine recognized that the 
better of all of us is when we extend ourselves to the most vulnerable, 
acknowledging Pope Francis.
  So I want to ask the chairman of the Budget Committee, but he has 
heard so many of us indicate that there is value to this budget deal, 
Chairman Ryan, I would like to pose a question, if I could, to you, if 
you would.
  You have heard us say that we too appreciate the bipartisanship, 
disagree with so much of it in terms of the sequester and what has been 
done as it relates to nutrition for the unemployed. But would you not 
hold us back, would you not join us in putting on the floor an 
amendment that would provide for the extension of unemployment that 
will not run out December 28 for the hardworking Americans, 68,000 in 
Texas, 1.3 million? Would you not do that?
  Mr. RYAN of Wisconsin. I will defer to the Speaker's comments.
  Ms. JACKSON LEE. Well, we get no answer. And all I can say is that 
this budget is a deal that I want to thank Mr. Van Hollen for the work 
that has been done, along with the other conferees, Mrs. Lowey, Mr. 
Clyburn; but I believe we should not leave here today, leave here this 
week without having a freestanding--and I wish the gentleman would own 
up to honesty and answer the question--but to be able to put on the 
floor of the House the opportunity for those who have worked to be able 
to get unemployment insurance, not a handout, but unemployment 
insurance.
  I know, Mr. Ryan, that we can carry our bipartisanship at least to 
that point and be able to work on behalf of the American people 
carrying forward the need to ensure that we have housing, education, 
child care, all of that.
  A little bit is happening under this particular budget. That is why 
many of us are interested in moving forward, getting rid of the 
sequester, keeping the doors open. But I would think that there is 
enough bipartisanship on both sides of the aisle to be able to extend 
the unemployment insurance.
  And we should not leave here. I ask the President to convene us, to 
call us, to call the Senate, to call the House and make sure that we 
vote on that.
  I thank the gentleman for the hard work that you have engaged in and 
also how far you have brought us.
  The SPEAKER pro tempore. The gentleman from Maryland has 1 minute 
remaining.

[[Page 19090]]


  Mr. VAN HOLLEN. Is the gentleman prepared to close?
  Mr. RYAN of Wisconsin. Yes.
  Mr. VAN HOLLEN. Mr. Speaker, I yield myself the balance of my time.
  Mr. Speaker, Mr. Hoyer is right. This agreement does not address the 
comprehensive issues that we need to address. We need to address those 
in a balanced way, and that means working on both additional, smart, 
targeted spending cuts, but also closing special interest tax breaks.
  But what this agreement does do is make sure that, in the next 
several weeks, we do not move to a full sequester, very deep across-
the-board cuts, which will hurt the economy. Instead, it provides more 
room to invest in vital areas like education and research. That is a 
positive note. That is a positive bipartisan note.
  I do want to say, Mr. Speaker, however, and this is not as a result 
of anything the chairman of the Budget Committee does, there is also a 
sour note in leaving here without having addressed the unemployment 
insurance.
  This agreement didn't include the doc-fix, and it didn't include 
unemployment insurance. We should be dealing with both those issues 
together. We are only dealing with one of them now.
  So I hope, as we go forward, we will address those issues; and we 
should not leave town until we address the unemployment issue.
  But let's, at the same time, take this small positive step forward.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The gentleman from Wisconsin has 5\1/2\ 
minutes remaining.
  Mr. RYAN of Wisconsin. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, there are many reasons why I encourage my colleagues to 
support this bipartisan budget agreement. Number one, by doing this, we 
reduce the deficit by $23 billion. If we don't do this, we don't reduce 
the deficit by $23 billion. That means we are reducing it versus doing 
nothing, a step in the right direction, a move toward fiscal 
responsibility, not near as far as we want to go, but at least going in 
the direction we want to go.
  The budget we passed here in the House, just like the prior two 
budgets that we passed here in the House, represents the full extent of 
our ambition, our vision and our goals. It balances the budgets within 
10 years.
  It reforms the Tax Code without raising taxes. It reforms our 
entitlement programs that were vital and were made in the 20th century 
so that they work for the 21st century.
  It pays off our debt so that we do not leave our children a Nation of 
debt. That is our goal. That is our vision. That is our destiny.
  With the bipartisan budget agreement we couldn't accomplish that 
because we have different opinions, we have different objectives. That 
is why we worked for common ground.
  That is why we took our budget, all the different budgets that were 
offered, we laid them on top of each other, and we looked for common 
ground. We went through the Federal budget program by program, line by 
line. We discussed and debated these things, and we asked where is it 
that we can agree needs reforming.
  Where is it that we agree taxpayer money is being wasted?
  Where is it we agree that cronyism and corporate welfare should go 
away?
  Where is it we agree that some reform for auto pilot mandatory 
spending ought to occur?
  And where we found that agreement, we put it in this agreement. That 
is the way it is supposed to work. So we see this as a step in the 
right direction on the way toward fulfilling our ultimate goal.
  The second thing we accomplished that is very important to us, and 
Mr. Van Hollen kind of mentioned it, this does not raise taxes. 
Hardworking taxpayers have worked hard and long enough that we need to 
work on spending instead of taking more from them.
  The third thing, we are taking permanent spending cuts to pay for 
temporary sequester relief. We think that is a good idea.
  The savings clearly take time to accrue in this agreement, and that 
is because we are changing permanent law, and those permanent law 
changes that are made by this act start accruing and compounding that 
savings so that the savings keep growing and compounding on and on and 
on.
  The funny thing about auto pilot spending, about what we call 
mandatory spending, is it compounds away from you and spends so much 
more. But if you get reforms, if you get savings, those savings 
compound as well. This does that: permanent spending cuts to pay for 
some temporary sequester relief.
  Now, what is the sequester?
  It is across the board, it is crude, it doesn't prioritize, it 
doesn't give Congress any say-so on how money is being spent. That is a 
third thing that this does that I think is pretty good.
  In addition to keeping 92 percent of the sequester intact, what this 
bill does is it says Congress ought to decide how money is being spent, 
not the administration.
  So, instead of deferring and delegating our power to the executive 
branch with continuing resolution after continuing resolution, we, 
Republicans and Democrats, the legislative branch, are bringing that 
power back to Congress so that the people's House, so that the 
legislature, as the Founders and the Constitution intended, we decide 
how that money is being spent. We decide how to prioritize spending. 
That is our job.
  I also like the precedent that this sets. We know we are always going 
to have fiscal pressure because the sequester, as they mentioned, has 
not been lifted. It is still here, so it is always going to produce 
pressure. And I like the precedent that we are starting here.
  The precedent that we are starting here is we are not going back to 
the taxpayer. We are not going to ask more from hardworking taxpayers. 
We are going to ask the government to do with less.
  And as we transfer permanent spending cuts for temporary relief, we 
are going to have more spending cuts than we give back in relief, so we 
reduce the deficit further; $85 billion in mandatory savings to pay for 
$63 billion in sequester relief. That is a pretty good precedent.
  I would like to add one or two more zeroes at the end of these 
numbers, but I will take the direction we have right now.
  The other point is this: we have been at each other's throats for a 
long time. Look, I was part of the last Presidential election. We tried 
defeating this President. I wish we would have.
  Elections have consequences, Mr. Speaker. And I fundamentally 
believe--this is just my personal opinion; I know it's a slightly 
partisan thing to say--to really do what we think needs to be done, we 
are going to have to win some elections. And in the meantime, let's try 
and make this divided government work.
  I think our constituents are expecting a little more from us. They 
are expecting us to not keep shutting the government down. They are 
expecting us to pay the bills. They are expecting us to be accountable. 
They are expecting us to watch how their dollars are being spent, and 
they are expecting us to find common ground; and that is what this 
does.
  That is why I urge all of my colleagues to support this.
  Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore. The time allotted to the Committee on the 
Budget has expired.
  The gentleman from Pennsylvania (Mr. Pitts) and the gentleman from 
California (Mr. Waxman) each will control 5 minutes.
  The Chair recognizes the gentleman from Pennsylvania.

                              {time}  1745

  Mr. PITTS. Mr. Speaker, I yield myself 1 minute.
  Mr. Speaker, every year for the last decade, doctors have faced an 
ever-increasing cut to their reimbursement under the sustainable growth 
rate, or SGR. And every year, Congress intervenes with a doc fix to 
stop the cut from going into effect--15 times since 2003.

[[Page 19091]]

  The Pathway for SGR Reform Act will postpone the cut, providing a 0.5 
percent update to physicians for the next 3 months. While this is a 
necessary and important bill, I am disappointed that legislation to 
permanently repeal the flawed SGR formula will not be considered before 
the end of the year. Doctors deserve to know that they will be fairly 
compensated, and this annual uncertainty about reimbursements could 
lead to access problems for Medicare beneficiaries.
  The Energy and Commerce Health Subcommittee worked for 2 years and 
produced a bipartisan bill that successfully moved through the full 
committee with unanimous support. I regret that this bill is not on the 
floor today. However, I urge all of my colleagues to support H.J. Res. 
59 to prevent this devastating cut from going into effect on January 1.
  I reserve the balance of my time.
  Mr. WAXMAN. Mr. Speaker, I yield myself such time as I may consume.
  I want to express my disappointment that we are letting unemployment 
insurance be denied to so many long-term unemployed, especially a few 
days right after Christmas. We should not leave town until we have 
fixed this problem.
  I am going to vote for this budget because it will ease the 
irrational sequestration cuts that have already done so much harm to 
our country and our economy, which is the main reason that I am going 
to be an ``aye'' vote on the bill.
  But I am here to speak on behalf of the Energy and Commerce Committee 
Democrats to express my strong support for the temporary reprieve from 
the, what is called, SGR cuts, the cuts to physicians who see Medicare 
patients.
  Congress is making enormous strides toward the repeal and replacement 
of the flawed Medicare physician payment system, but more time is going 
to be needed to finish the job. As of today, all three congressional 
committees of jurisdiction have marked up historic bipartisan 
legislation that moves the system to one that rewards value of care 
rather than volume of care.
  This short-term extension that is part of this bill will allow 3 
months for Congress to complete floor and conference action on this 
legislation. We need to keep this process moving full steam ahead to 
get a permanent solution on both the SGR as well as the other Medicare 
and Medicaid extenders as quickly as possible. This temporary patch 
will allow us the time to continue that work.
  I do have serious concerns with both the Medicare and Medicaid 
policies in the Budget Act. The Medicaid provisions will result in 
delayed payments to providers for 3 months while States seek out 
payment from other potential sources. This is simply bad policy. 
Congress would not dream of allowing Medicare to avoid paying for 
services for 3 months, yet this is the policy that we are going to 
adopt for Medicaid.
  The other Medicaid provision overturns a Supreme Court case which 
would allow a State that would take a beneficiary's liability 
settlement that is intended to compensate for lost wages or future 
medical costs to pay for Medicaid services. Indeed, the language, as 
drafted, suggests that the State could collect amounts even in excess 
of the amount the party was liable for. This provision is 
unconscionable, and I hope that when we come back, we can fix it.
  Further, the extension of the sequester on Medicare--we are relieving 
the sequester on the defense side and the domestic spending side under 
appropriations, but we are leaving in place a sequestration of 
Medicare, which means continuing cuts into the future without any 
policy rationale. We are talking about cuts to doctors and hospitals 
and other providers. There is no justification for it. And, in 
addition, there are cuts that are going to be applied by continuing 
this part of the sequestration to the Centers for Medicare and Medicaid 
Services of much-needed resources to carry out their many 
responsibilities. This is not a good way to make law, and it will 
result in some unfortunate consequences. We need to fix that again when 
we come back next year.
  But I expressed my support for this short-term extension of not just 
the SGR but also the other expiring Medicare and Medicaid provisions, 
including the TMA and QI, which are critical for low-income 
populations. And I look forward to addressing the issues of SGR and the 
extenders with our colleagues over the next few months to develop a 
permanent solution.
  With that, Mr. Speaker, I reserve the balance of my time.
  Mr. PITTS. Mr. Speaker, I yield 1 minute to the distinguished 
gentleman from Michigan (Mr. Upton), the chairman of the Energy and 
Commerce Committee.
  Mr. UPTON. I thank the chair of the Health Subcommittee for the time.
  Mr. Speaker, it is important that seniors don't find a lump of coal 
in their stockings for Christmas, and this fully offset package 
represents access to health care for about 40 million seniors. It is 
going to give seniors the peace of mind, knowing that their trusted 
physicians will be there when they need them the most by securing 
stable payments for physicians.
  Since its passage back in 1997 SGR has bred uncertainty and 
frustration. This uncertainty has left seniors in the lurch, wondering 
if their doctors would be able to remain in practice and available for 
checkups and consultation. This is no way to keep Americans healthy or 
run a health care system, so Members on both sides of the aisle agree 
that the SGR is broken.
  Earlier this year, our committee, the Energy and Commerce Committee, 
myself with Mr. Waxman, we voted 51-0 on H.R. 2810, which would 
permanently repeal SGR and replace it with a system that promotes the 
highest quality of care.
  While I am disappointed that we didn't repeal SGR permanently this 
year, this agreement tonight is a step forward. We are going to 
continue to work at a more complete solution. This fix is fully offset, 
something that full reform will also need to accomplish. I look forward 
to working with my colleagues on all the committees to get it done in a 
bipartisan way.
  Mr. WAXMAN. Mr. Speaker, as a supporter of the Affordable Care Act, I 
look forward to next year when we will see all Americans have a chance 
to buy health insurance.
  For those who are on Medicare, that is their health insurance 
coverage, and we will only keep the promise for coverage to them if we 
pay the providers who give them care, especially the physicians. That 
is why I ask for an ``aye'' vote on this bill.
  The SPEAKER pro tempore. The time of the gentleman has expired.
  Mr. PITTS. Mr. Speaker, I yield 1 minute to the distinguished 
gentlemen from Texas, Kevin Brady, subcommittee chairman.
  Mr. BRADY of Texas. Mr. Speaker, first let me thank Chairman Pitts 
for his leadership of the Health Subcommittee of Energy and Commerce 
and toward a solution for our local physicians.
  I rise today in support of the Pathway for SGR Reform. This is an 
important bill because it makes sure that our local physicians who 
treat our seniors don't face a drastic cut in their reimbursements on 
New Year's Day.
  We need a permanent solution. Just this morning the Ways and Means 
Committee unanimously voted to advance a bill that begins the process 
of a permanent, reliable solution so our seniors can continue to see a 
local doctor when they need them.
  It is not easy to bridge the gap and pay for this legislation, but 
until we can complete the process of a permanent solution, we had to 
make some difficult choices. In particular, I want to thank the long-
term care hospitals for their strong leadership. We were able to work 
with this industry to design new criteria that created efficiencies to 
generate savings in the important Medicare program.
  Without the strong support of leaders in the LTCH industry, this 
would not have been possible. This has helped make a good bill even 
better.
  Mr. PITTS. Mr. Speaker, I now yield 1 minute to the gentleman from 
Virginia (Mr. Griffith), a member of the Health Subcommittee.

[[Page 19092]]


  Mr. GRIFFITH of Virginia. Thank you, Mr. Chairman, for this time.
  Mr. Speaker, I rise in support of this 3-month SGR patch as it is 
important to ensure that seniors will still be able to see a doctor 
after January 1 if they are sick. I am firmly committed to finally 
repealing and replacing the SGR, and I fully support the bipartisan 
bill we advanced unanimously out of the Energy and Commerce Committee 
for this purpose. Our next step is to find a common House position with 
our friends on Ways and Means to finally say good-bye to the SGR.
  Most importantly, I am glad to see that this deal extends the 
Medicare-Dependent Hospital and Low-Volume programs, which are critical 
for our rural hospitals in southwest Virginia. If these programs are 
not extended, Virginia hospitals in total would lose more than $10 
million in Medicare reimbursements next year at a time when they are 
already being hit hard by new costs and deep cuts from ObamaCare.
  At least eight hospitals in my district benefit from these two 
essential programs that keep the doors open in some economically 
distressed areas and provide health care access to rural constituents. 
For that reason, I am proud to support this legislation and stand up 
for rural health care and our seniors.
  Mr. PITTS. Mr. Speaker, may I inquire of the time remaining on each 
side?
  The SPEAKER pro tempore. The gentleman from Pennsylvania has 1 minute 
remaining, and the gentleman from California's time has expired.
  Mr. PITTS. Mr. Speaker, I am prepared to close and yield myself the 
balance of the time.
  Mr. Speaker, this is very important bipartisan legislation. It 
includes the 3-month bridge for the SGR, where we can continue to work 
in a bipartisan manner to come up with the final version of repeal for 
the sustainable growth rate. I urge my colleagues to support this 
legislation.
  I yield back the balance of my time.
  Mr. WELCH. Mr. Speaker, I rise to clarify the intent of the Not-For-
Profit Loan Servicing Provisions of the Bipartisan Budget Act of 2013 
as it relates to students and access to higher education.
  The purpose of the language does not seek to undo the ability of not-
for profit loan servicers to continue to contract with the Department 
of Education. It is critical that this point be made clear, given the 
importance of Not-For-Profit servicers to families and students.
  College education is a ticket to the middle class and the foundation 
of our economy. Barriers to college exist not only in cost, but in the 
reality that student financial aid is a complex and intimidating 
system. Many students aspiring to higher education will cut their 
dreams short simply because they do not receive the necessary support 
to navigate paying for college.
  Not-For-Profit lenders have a strong record of providing this support 
for students and their families, which has meant that many hundreds of 
thousands more American students have gone to college.
  More recently, Not-For-Profit loan servicers have received higher 
customer satisfaction scores during their first year of servicing in 
the Federal student aid program than any of the four national servicers 
during their first year.
  In 2008, after Congress moved to direct lending, Not-For-Profit 
servicers were restricted in the number of accounts they were allowed 
to service. But in 2010, in recognition that these servicers provided 
very high quality customer service and provided programs to help many 
young people aspire to college, Congress required the Department of 
Education to contract with Not-For-Profit servicers.
  Over the past two years, Not-For-Profit loan servicers have invested 
tens of millions of dollars to meet and exceed Federal requirements and 
to help the Federal Government reach important access goals.
  The Vermont Student Assistance Corporation (VSAC) has only been 
servicing Federal loans for nine months. This past quarter they 
received the highest customer satisfaction score of all Not-For-Profit 
servicers and a score that was equal to or higher than three of the 
four national servicers. Similarly the independent assessment of the 
Department of Education's employee satisfaction with the quality of 
VSAC's work gave VSAC a higher rating than three of the four national 
servicers. More importantly, in less than a year, they have helped tens 
of thousands of the Department's borrowers who were behind in their 
payments get back on their feet.
  Nothing in the Bipartisan Budget Act of 2013 authorizes the Secretary 
of Education to terminate their contracts or in any way prevent the 
Not-For-Profits from competing head to head against the national 
servicers. I hope that the Secretary of Education will use this 
opportunity to allow the Not-For-Profit servicers to continue their 
important work supporting students and families as they seek higher 
education. I also hope Not-For-Profit servicers will have access to 
newly originated accounts and the ability to compete with the national 
servicers on an equal footing.
  Ms. EDDIE BERNICE JOHNSON of Texas. Mr. Speaker, I rise today in 
support of extending Federal unemployment insurance (UI) as part of a 
comprehensive and bipartisan budget agreement. Without Congressional 
action, 1.3 million Americans will lose access to vital UI benefits on 
December 28. Within the first half of next year, an additional 1.9 
million Americans will lose access to Federal unemployment insurance.
  As Congress heads home for the holidays, it is important that we do 
not leave millions of Americans without a social safety net to protect 
against long-term job loss. Long-term unemployment as a percentage of 
the unemployed still remains around 37 percent, meaning these 
individuals will be left without any support after their state 
unemployment insurance expires. Further, failure to extend the Federal 
Emergency Unemployment Compensation program could cost the U.S. economy 
an additional 240,000 jobs.
  My home State of Texas is not immune from these expiring benefits. 
Once the UI benefits expire, 68,900 unemployed workers in Texas will 
lose access to Federal unemployment insurance. Within the first six 
months of 2014, an additional 106,900 workers will also lose these 
benefits.
  Mr. Speaker, as long as millions of unemployed workers struggle to 
find a job, Congress is doing a great disservice to this country by 
allowing Federal unemployment insurance to expire. Federal unemployment 
insurance serves as a vital lifeline for job seekers and their 
families. The very least we could do for these workers as we enter the 
holiday season is to provide them with the support they need to weather 
these challenging economic times.
  Mr. BLUMENAUER, Mr. Speaker, I very reluctantly vote for H.J. Res 59, 
having been quoted accurately that it is a D+ piece of legislation.
  It sadly represents what Congress has become. It is now a victory to 
avoid another government shutdown. It is a victory to temporarily 
prevent application of the Sustainable Growth Rate that would penalize 
medical providers and our senior citizens. It is the least we could do 
to find a tiny bit of budget breathing room so that it may be possible 
for the appropriations process to resume again.
  It is frustrating that, at a time when there are still many unmet 
needs of our citizens and while our economy is sputtering, people are 
celebrating legislation that doesn't damage the economy more. It is sad 
that it has come to this.
  I am hopeful, however, that this might serve as a point of departure 
over the next three months to be able to face the realities of what 
America needs.
  I, for one, will continue working for the big picture, on the three 
bills that I have introduced to help rebuild and renew America and on 
arguing for a grander bargain, rather than the least that we can do. I 
will fight to build on the platform of healthcare reform so that we get 
medical providers off the SGR merry-go-round, instead moving towards 
the promise of healthcare reform. It is shameful that Congress is 
willing to cut food stamps yet give money to wealthy farmers, while 
ignoring the plight of the long term unemployed, illustrating the gap 
between what the American public expects and what we should do. I am 
hopeful that the new year will be more constructive.
  In the meantime, we will celebrate avoiding another damaging 
government shutdown and we will celebrate not having a destructive 
resolution on the floor muddying diplomacy with Iran. I suppose in the 
holiday spirit we should be thankful for what we can get and then usher 
this least productive session in Congressional history out of town.
  Mr. DINGELL. Mr. Speaker, I rise in support of H.J. Res. 59.
  While this legislation is far from perfect, I will reluctantly 
support it. It is a small step forward towards funding our government 
and giving the American people a degree of certainty. In addition, I 
believe that the bipartisan and bicameral fashion in which it was 
crafted is a path that we absolutely must pursue in order to move this 
country forward. I remind my colleagues that compromise is not a dirty 
word; rather it is the cornerstone of our democracy.
  Again, this measure is not perfect. I have genuine and very serious 
concerns regarding

[[Page 19093]]

certain aspects of the bill, namely a lack of extension of unemployment 
benefits, its changes to aspects of pension contributions of Federal 
employees, as well as its revision of cost-of-living calculations for 
military retirees.
  But I cannot allow the perfect to be the enemy of the good, and I 
thus will support this compromise in order to move this measure forward 
and continue the much needed debate over what we must do to keep our 
government up and running and best serving the American people. The 
legislation also includes a three-month fix of the Sustainable Growth 
Rate, and it remains my hope that this will allow us enough time to 
work towards a permanent, bipartisan solution.
  While House Republicans have already put the solvency of our Nation's 
finances in turmoil this year by putting politics ahead of people and 
shutting down our government for seventeen days in October, I believe 
we must not allow that to happen again, and Senator Murray and 
Representative Ryan have taken this small but productive step towards 
doing just that today. It is my hope that Majority Leader Reid will 
have the Senate take up this legislation--including an extension of 
emergency unemployment benefits--before December 28 in order to prevent 
some 1.3 million Americans from losing their benefits just one week 
after Christmas.
  At its core, this compromise is a step in the right direction to 
averting the harmful effects of the sequester, restoring a degree of 
economic certainty, and beginning to return this Congress to a time 
where crossing the aisle was rightly seen as an admirable and necessary 
act to bring about compromise, tackle the great issues of the day, and 
best serve the proud people of this Nation.
  Mr. BACHUS. Mr. Speaker, I rise today in support of the Bipartisan 
Budget Control Act of 2013. Allow me to thank Chairman Ryan for his 
hard work in producing this important agreement. It is my belief that 
we must begin to address our debt and deficit problem on a bipartisan 
basis.
  To that end, I would like to briefly discuss Section 203 of the 
Bipartisan Budget Act of 2013. This section establishes a program under 
which the Secretary of Commerce restricts access to the information 
contained in the Death Master File for a three-year period beginning on 
the date of the individual's death, except to persons who are certified 
under a program to be established by the Secretary of Commerce.
  The purpose of this provision of the law is to prevent misuse of the 
Death Master File that leads to waste, fraud and abuse committed 
against the Internal Revenue Service and other government agencies. The 
law is designed to achieve this purpose by restricting access to 
information contained in the Death Master File for three years after 
the date of a person's death. In fact, my office has been contacted by 
a woman who has been struggling with basic functions of life such as 
opening a bank account or obtaining a driver's license because the 
Death Master File proclaims her dead when she is in fact alive. It is 
my firm belief that in addition to this step the Social Security 
Administration must improve its systems to ensure that death 
information is accurately updated on the Death Master File.
  At the same time, the law also is designed to ensure that persons, 
companies, financial institutions, government agencies, and other types 
of entities continue to have access to the DMF in order to facilitate 
legitimate commerce and business purposes.
  The law requires the Department of Commerce to set up a program to 
certify entities that are permitted access to the Death Master File. 
The intent is that the certification criteria contained in the law 
encompass the range of important functions that the DMF helps to 
facilitate.
  The use of the Death Master File has important purposes such as 
preventing fraud, authenticating individuals, and preventing 
unauthorized transactions. Using the Death Master File for these 
important purposes helps to protect consumers from fraud and identity 
theft. Businesses and government agencies need access to the Death 
Master File to carry out these and other legitimate responsibilities.
  Mr. CASTRO. Mr. Speaker, I'm encouraged to see the spirit of 
bipartisanship at work on this budget deal displayed. This bill 
mitigates the effects of sequestration and helps prevent another 
government shutdown. I support H.J. Res. 59 because it offers relief 
from the irresponsible sequestration cuts. Thousands of San Antonians 
were furloughed for more than a week because of sequestration and then 
found themselves out of a job again in October for almost two weeks as 
a result of the government shutdown. However, this bill is not without 
flaws. I am deeply concerned on how these changes will affect military 
pension benefits. I am hopeful that in the coming years Congress will 
continue to work together toward a sensible budget.
  Mr. NEAL. Mr. Speaker, Section 203 in the Bipartisan Budget Act 
restricts access to the Social Security Administration's Death Master 
File (DMF).
  This provision requires the Secretary of Commerce to create a program 
to restrict access to the information contained in the DMF for a three-
year period after an individual's death. Under this program, only 
individuals that are certified by the Secretary to have a legitimate 
need for the information and agree to maintain the information under 
safeguards may access DMF information.
  In implementing this section, the Department of Commerce in 
promulgating regulations for the certification program should provide 
sufficient time for legitimate current users of DMF information to 
comment on the regulations, especially as it relates to the timing of 
the effectiveness of this Section and as it relates to the authority to 
release the DMF to the public.
  Mr. CONNOLLY. Mr. Speaker, the bipartisan budget agreement represents 
some modicum of compromise, something that has been sorely lacking in 
this Congress. It is by no means a perfect deal, but both sides have 
made concessions so that we may avert a repeat of the disastrous 
government shutdown and begin to restore some of the draconian cuts 
caused by sequestration.
  For me, and many of my colleagues, this will be a ``hold-your-nose 
and vote yes vote,'' given our disappointment and concern about yet 
another cut in benefits for new federal employees. No other group in 
America has been asked to make the same sacrifices as the dedicated men 
and women of our federal workforce.
  Federal employees already have contributed $114 billion to deficit 
reduction as a result of a 3-year pay freeze, a reduction in retirement 
benefits for new hires, and lost pay as a result of furloughs. 
Thankfully, we were able to beat back the worst proposals to further 
encroach on their benefits, and I believe this bipartisan deal will 
minimize the prospect of additional furloughs by replacing some of the 
sequestration cuts.
  Nonetheless, I will continue fighting for our federal employees until 
they receive the respect they deserve and have earned. I will continue 
to push back against those in Congress who unfairly impugn federal 
workers for partisan political gain. And I will continue to protect the 
rights and dignity of federal workers and the valuable public service 
they provide to the nation.
  For Northern Virginia, which was disproportionately affected by 
sequestration, this agreement for the first time will replace a portion 
of those indiscriminate cuts with a more balanced approach. It will 
actually increase federal investments in research, innovation, and 
transportation. That in turn will help unleash business investments, 
which have lagged due to a sense of uncertainty fueled by the political 
brinksmanship in Congress.
  No one got everything they wanted out of this deal. Indeed, I along 
with many of my colleagues would have preferred to see an extension of 
long-term unemployment benefits, which has a very direct and 
significant benefit on more than 1 million families and our national 
and local economies. Every dollar of assistance generates $1.64 in 
economic activity in the community. Sadly, it was not addressed here, 
but we will continue to push the Speaker to bring it up separately to 
help those still struggling to find work.
  Congress faces many more serious challenges in the coming weeks and 
months, including the need to raise the debt ceiling, renew long-term 
transportation funding, and reform our broken immigration system. 
Perhaps this bipartisan breakthrough will provide the model we need to 
avoid the ``my-way-or-the-highway'' shutdown brand of politics that has 
characterized the Republican philosophy of governance for the last 
three years.

  Ms. JACKSON LEE. Mr. Speaker, I rise to speak on H.J. Res. 59, the 
``Bipartisan Budget Act of 2013 and Pathway for Sustainable Growth in 
Medicare Reform Act of 2013.''
  On the positive side: Republicans--and the bipartisan deal does not 
cut Medicare, Social Security, or Medicaid benefits by a penny even 
though our friends across the aisle went into the talks insisting on 
cuts to programs like Head Start, Housing, Social Security, Medicaid, 
and Supplemental Nutrition Assistance Programs that sustain children, 
families, and seniors.
  The agreement increases discretionary spending caps under the 2011 
Budget Control Act (BCA) for FY 2014 and FY 2015 to partially restore 
spending cuts that would otherwise be made those two years under the 
sequester required by the BCA.
  Under the measure, the sequester for FY 2014 and FY 2015 would be 
reduced to restore $63 billion in spending authority for

[[Page 19094]]

those two years--while $85 billion in cuts to mandatory programs and 
revenue increases would be made to more than offset that increased 
spending and provide for a net $23 billion in deficit reduction.


                      Budget Caps & Sequestration

  The budget proposal increases FY 2014 discretionary spending by $45 
billion and FY 2015 spending by $18 billion compared with their 
scheduled sequestration levels, with the increases equally split each 
year between defense and non-defense spending (a $22.4 billion increase 
for each category this year and a $9 billion increase for each in FY 
2015).
  Those increases would set a $1.012 trillion limit on discretionary 
spending for FY 2014 and a $1.014 trillion limit for FY 2015. Under the 
current stopgap funding law, discretionary spending set at the woefully 
inadequate sequestration level of $986 billion.
  Under the new caps, defense spending for FY 2014 would be set at 
$520.5 billion (about $2 billion more than current funding), while 
nondefense spending would be increased to $491.8 billion.
  Because of the circumstances that led to the budget impasse during 
the first session of the 113th Congress, I introduced H. Res. 375, a 
bill expressing the sense of the House of Representatives that Congress 
should refrain from shutting down the Federal Government or 
conditioning the resolution of fiscal and budgetary disputes on the 
taking of action relating to non-germane legislative matters.
  I invite members from both sides of the aisle to co-sponsor H. Res. 
375.
  The budget proposal before us is not perfect--far from it--but it is 
a modest and positive step toward preventing Republicans from shutting 
down the government again and manufacturing crises that only harm our 
economy, destroy jobs, and weaken our middle class.
  A self manufactured crisis by the Republican majority resulted in a 
government shutdown that lasted 16 days and cost taxpayers $24 billion.
  The cost to Federal employees and the people they serve cannot be 
calculated.
  As with any compromise there are some things in the agreement that I 
support and some things that I strongly oppose.
  The agreement allows Congress to move forward in meeting its 
obligations to the American people by alleviating some of the damage 
being caused by sequestration.
  It is useful to chronicle the severity of the suffering and pain 
inflicted by sequestration on the most vulnerable residents of Texas 
and the Constituents that I serve.


                     Sequestration Impacts on Texas

  Head Start and Early Head Start services were eliminated or severely 
impacted with approximately 4,800 children being impacted throughout 
the state of Texas.
  Families in my district who rely on Federal Government programs like 
Head Start are hurting. The pain did not start with the shutdown, but 
with sequestration which hit Head Start programs for 3 to 4 year olds 
in the Houston area hard: $5,341 million cut; 109 Employees cut; 699 
Slots for children cut.
  Head Start and Early Head Start Programs were further stressed by the 
Federal Government shutdown.
  On October 2, I joined hundreds of Head Start supporters from across 
the country and many of my colleagues to protest the closing of Head 
Start programs due to the Federal Government shutdown.
  I picked up one of the tiny blue chairs that represented the 
thousands of Head Start children from around the nation and said that 
an empty Head Start chair represents a future doctor, engineer, 
president, or teacher who is at risk because of the Federal Government 
shutdown.
  My support of Head Start and Early Head Start is based on what I have 
seen and heard about programs like the AVANCE-Houston Early Head Start 
program serving parents and children in the 18th Congressional 
District.
  The AVANCE-Houston Early Head Start is a program serving low income 
families in my Houston Texas District.
  I visited with AVANCE-Houston administrators earlier this month 
because I wanted to get an update on how low-income families with 
infants and toddlers and pregnant women served by the program were 
doing.
  The AVANCE-Houston Early Head Start's mission is simple: AVANCE-
Houston works for healthy prenatal outcomes for pregnant women, enhance 
the development of very young children, and promote healthy family 
functioning.
  AVANCE-Houston serves nearly 1,800 children city wide. Each of these 
families and their children are suffering the effect of the legislative 
malpractice of the House majority.
  Sequestration has cost AVANCE-Houston $842,518 Head Start and Early 
Head Start in lost funding for ending the harmful effects of 
Sequestration on programs like Head Start had to be a priority.


     Sequestration and House Budget Bill's Negative Impact on the 
            Supplemental Nutrition Assistant Program (SNAP)

  The House Republicans' Farm Bill proposed cutting our nation's food 
assistance programs, known as SNAP, by $20.5 billion to stay within the 
unrealistic funding limitations set by sequestration even though a cut 
of this magnitude would deprive millions of children, seniors, disabled 
persons, and families of the benefits they need to survive in an 
economy that has not yet fully recovered from the worst recession since 
the Great Depression.


                               SNAP Facts

  In the 18th Congressional District an estimated 151,741 families live 
in poverty.
  According to the Census my city of Houston more than 442,881 persons 
live near the poverty level.
  The percentage of Texas households experiencing food insecurity (18%) 
ranked second only to Mississippi.


                We know that there is hunger in America

  For more than 40 years, SNAP has offered nutrition assistance to 
millions of low income individuals and families. Today, the SNAP 
program serves over 46 million people each month. Households with 
children receive about 75 percent of all food stamp benefits. 23 
percent of households include a disabled person and 18 percent of 
households include an elderly person. The FSP increases household food 
spending, and the increase is greater than what would occur with an 
equal benefit in cash. Every $5 in new food stamp benefits generates 
almost twice as much ($9.20) in total community spending.
  According to the United States Department of Agriculture (USDA), 16.7 
million children under 18 in the United States live in households where 
they are unable to consistently access enough nutritious food for a 
healthy life.


                            Food Insecurity

  16.7 million Children lived in food insecure households in 2011.
  20 percent or more of the child population in 37 states and D.C. 
lived in food insecure households in 2011.


                       Emergency Food Assistance

  Nearly 14 million children are estimated to be served by Feeding 
America, over 3 million of which are ages 5 and under.
  54 percent of client households with children under the age of 3 
participated in the Special Supplemental Nutrition Program for Women, 
Infants, and Children (WIC).


                                Poverty

  In 2011, 16.1 million or approximately 22 percent of children in the 
U.S. lived in poverty: Participation in Federal Nutrition Programs.
  In fiscal year 2011, 47 percent of all SNAP household contained 
children.
  During the 2011 federal fiscal year, more than 31 million low-income 
children received free or reduced-price meals through the National 
School Lunch Program.
  Unfortunately, just 2.3 million children participated in the Summer 
Food Service Program that same year.
  This proposed budget protects SNAP programs from crippling cuts for 
2014-2015.
  In addition to providing relief from sequestration there are a number 
of other good provisions in the Budget Agreement. For example:


       The Budget Agreement Protects Social Security and Medicare

  The budget agreement blocks a scheduled 23.7 percent reduction in the 
Medicare reimbursement rate for physician services set to occur January 
1, in order to meet the sustainable growth rate. Instead, the measure's 
so-called ``doc fix'' provides a 0.5 percent increase for the first 
three months of 2014, and it also extends more than a dozen Medicare-
related programs.
  The budget deal makes sure that doctors who treat seniors have a 
guarantee of payment for the medical services they provide.
  The budget agreement also addresses the issue of payments to 
hospitals that treat large numbers of uninsured patients.
  The budget also makes changes to payment rates for inpatient services 
in long-term care hospitals.
  Congressional Budget Office estimates that the three-month doc fix 
would cost $7.3 billion and that the efforts to reduce the burden to 
taxpayers would reduce spending by $9 billion.
  The net direct spending for health care related programs, after 
factoring expansion of health care programs, would be an overall budget 
reduction of $300 million over 10 years.
  The agreement scales back the proposed cuts to federal employees 
sought by Republicans and exempts current federal employees.
  Federal employees under the budget agreement would receive a pay 
increase--the first in three years.

[[Page 19095]]

  Sequestration cuts would be diminished under this budget agreement, 
which opens the Federal Government up for new hires in the coming year.
  Federal employees are making contributions toward budget reduction 
considering the three years of no cost of living increases and the 
increased contributions toward retirement plans for new government 
hires and military retirees.


                         On the negative side:

  Mr. Speaker, it is outrageous--it is scandalous--that the budget 
agreement does not include an extension of unemployment insurance for 
the 1.3 million jobless workers will have their benefits cut off on 
December 28, and nearly another 1.9 million will lose their 
unemployment benefits over the first half of next year.
  If Congress does not extend unemployment insurance, an additional 3.6 
million workers will lose access to benefits in 2014.
  In Texas, 68,900 jobless workers will lose their unemployment 
benefits on December 28th.
  An additional 106,900 Texas workers will lose access to benefits in 
2014.


                           UNEMPLOYMENT RATES

  The national unemployment rate remains at 7 percent and the 
unemployment rate in Texas sits at 6.4 percent.
  This is no time to reduce unemployment insurance.
  Unemployment Insurance was not designed to be a lifelong program, but 
a means of addressing short-term unemployment that most Americans 
experience over the course of their work lives.
  The unusual circumstances of a global recession that began in the 
United States with the access and abuse of our nation's financial and 
mortgage insurance systems that trapped homeowners with mortgages that 
were much higher than the value of their homes.
  This fiscal situation strained our nation's economic system then to 
add the cost of two wars fought at the same time for nearly a decade 
the nation's economy could not take the strain and by the end of 2008 
the Great Recession could not be ignored.
  It took time to create the economic down turn and it will take time 
for communities, families and workers to recover. The unemployment 
insurance program should reflect that reality by providing support to 
workers until the economy is fully recovered.
  If Congress does not act immediately to extend these benefits, a 
devastating blow will be dealt not only to the millions of Americans 
who are already struggling, but to our economy.
  That is why yesterday I joined more than 170 of Democratic colleagues 
in calling upon Speaker Boehner not to adjourn this House for the year 
without extending the vital unemployment insurance desperately needed 
by millions of our fellow citizens.
  To let their benefits expire in the middle of the holiday season is 
cruel and heartless and unworthy of a great and generous nation.
  Cutting off unemployment benefits at the end of the year will only 
further hurt an economy already injured by sequestration and the 
Republican government shutdown.
  The Congressional Budget Office estimated that 750,000 fewer jobs 
will be created or retained in calendar year 2013 because of the budget 
cuts under sequestration.
  The government shutdown cost our economy an additional 120,000 jobs 
and $24 billion in tax dollars in the first two weeks of October alone, 
according to the Council of Economic Advisors.
  The Economic Policy Institute estimates that cutting off extended 
unemployment benefits would cost our economy 310,000 jobs next year 
because of reduced consumer demand.
  Other experts, like Michael Feroli, the chief economist at JPMorgan 
Chase, indicate that allowing the federal unemployment insurance (UI) 
program to expire could shave as much as 0.4 percentage point off our 
economy's growth in the first quarter of 2014.
  Letting unemployment benefits expire will deprive our economy of the 
positive impact unemployment insurance provides since financially 
stressed unemployed workers spend any benefits they receive quickly.
  CBO also concluded in a 2012 report that assistance for the 
unemployed has one of the ``largest effects on employment per dollar of 
budgetary cost.''
  This is why I will be introducing a bill to extend the emergency 
Unemployment compensation program by an additional 12 months.
  A colleague recounted what happened when Wal-Mart sought to fill 600 
positions--23,000 people came to apply for positions.
  Although employment rates have improved the numbers of unemployed 
persons still has the nation at a 7 percent unemployment rate.
  The length of time people are unemployed is a serious indication that 
this recovery is not vigorous enough or strong enough to take away 
money that is needed to keep people in housing and allow them more time 
to find employment.
  It is estimated that there are approximately 4 million jobs available 
and 12 million persons unemployed.
  There is speculation that businesses are reluctant to hire because of 
the uncertainty created by the dysfunction exhibited by Congress 
especially during 2013.
  This is yet another reason why the budget agreement is important to 
pass, although it does not have everything I would want. It may signal 
to business that Congress is ready to get down to work on our nation's 
problems and not threaten economic calamity by not raising the debt 
ceiling and thereby threatening not to meet our fiscal obligations.
  Congress cannot close its eyes and hope that businesses will start 
hiring--the purpose of unemployment insurance is the same purpose of 
any insurance--when it is needed for as long as it is needed it must be 
available.
  I am not closing my eyes, Mr. Speaker; I will be introducing a bill 
to extend unemployment insurance for the 12 million Americans who are 
still in need of support until the economy is healthy again.

  Mr. HOLT. Mr. Speaker, I rise in opposition to this new Ryan-Murray 
budget agreement because it is a strong continuation of an anti-
government, pessimistic policy that has been plaguing Washington in 
recent years.
  Make no mistake about it; this budget agreement is the direct result 
of the Budget Control Act, which I strongly opposed when it was being 
debated 2011, and this agreement takes us backwards. I knew then 
sequester would wreak havoc on our economy, threaten our quality of 
life, and squeeze the most vulnerable among us.
  Here we are, over two years later, and the worst of it is coming 
true. The sequester has cut research, education, infrastructure, 
Medicare, and a number of other critical investments that are vital to 
a growing economy. It is robbing America of the opportunity to rise 
from the Great Recession as a stronger, more vibrant nation. Instead, 
the sequester is continuing to weaken our country with a shrunken 
government that is hampered by deep cuts to the safety net and hobbled 
by a refusal to invest in our future. This budget agreement from 
Congressman Ryan and Senator Murray is a way to partially and minimally 
reverse cuts that should never have happened in the first place.
  It is a compromise in a narrow, Washington kind of sense: It will 
gain some votes from Democrats and some votes from Republicans. But 
let's remember how the BCA came to be enacted: In 2011, Republicans 
held hostage America's credit rating by threatening to default on our 
debts if they didn't get what they wanted. No true compromise was 
possible then because the negotiations were conducted in the midst of a 
hostage crisis. No compromise is possible now because we are still 
operating within the framework created by that hostage crisis.
  The question we should ask ourselves is, ``Where are we trying to go 
as a country?'' We should be striving toward an optimistic future--one 
where we invest in research, education, infrastructure, and more. By 
that measure, this is a bad deal.
  The agreement--not really a compromise--slashes discretionary 
spending and tinkers with a few other things like raising fees on 
airline tickets, decreasing reimbursement to Medicare providers, and 
lowering military retirement pensions. How could we actually think this 
is the kind of path forward for our country?
  There is no attempt to close tax loopholes on corporate jet or on 
expenses of oil and gas companies, and makes no effort in asking the 
wealthiest among us to pay their fair share to live in an orderly, 
humane, equitable society. Favored corporate interests, millionaires, 
and billionaires will continue to receive special tax breaks as far as 
the eye can see while unemployment insurance expires, leaving millions 
struggling to find work out in the cold just weeks after Christmas. 
That is not the sort of fair, balanced deal that Americans have asked 
for and expect from their leaders.

  Mr. RYAN of Wisconsin. Mr. Speaker, Section 401 creates a new 
category of employee called a ``Further Revised Annuity Employee'' and 
would require Further Revised Annuity Employees to contribute 
additional amounts into the CRSDF. It is the intent of Congress for OPM 
to create a new normal cost for the Further Revised Annuity Employees, 
and to ensure that the retirement plan not be underfunded.
  Additionally, it is the intent that for the new Further Revised 
Annuity Employee Plan that the only determinant of whether an 
individual is a FERS employee or Member, as opposed to a FERS Revised 
Annuity Employee or FERS Further Revised Annuity Employee, is

[[Page 19096]]

through application of the FERS Revised Annuity Employee test. And that 
the new Further Revised Annuity Employee test only differentiates 
between FERS Revised Annuity Employee coverage and new FERS Further 
Revised Annuity Employee coverage.

  The SPEAKER pro tempore. All time for debate has expired.
  Pursuant to House Resolution 438, the previous question is ordered.
  The question is on the motion offered by the gentleman from Wisconsin 
(Mr. Ryan).
  The question was taken; and the Speaker pro tempore announced that 
the ayes appeared to have it.


                             Recorded Vote

  Mr. PITTS. Mr. Speaker, I demand a recorded vote.
  A recorded vote was ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX, this 15-
minute vote on the motion offered by the gentleman from Wisconsin will 
be followed by a 5-minute vote on the motion to suspend the rules and 
adopt House Resolution 441.
  The vote was taken by electronic device, and there were--ayes 332, 
noes 94, not voting 7, as follows:

                             [Roll No. 640]

                               AYES--332

     Aderholt
     Amodei
     Andrews
     Bachus
     Barber
     Barletta
     Barr
     Barrow (GA)
     Beatty
     Becerra
     Benishek
     Bera (CA)
     Bilirakis
     Bishop (NY)
     Bishop (UT)
     Black
     Blackburn
     Blumenauer
     Boehner
     Bonamici
     Boustany
     Brady (PA)
     Brady (TX)
     Braley (IA)
     Brooks (IN)
     Brownley (CA)
     Buchanan
     Bucshon
     Bustos
     Butterfield
     Calvert
     Camp
     Campbell
     Cantor
     Capito
     Capps
     Capuano
     Cardenas
     Carney
     Carson (IN)
     Carter
     Cartwright
     Cassidy
     Castor (FL)
     Chaffetz
     Clark (MA)
     Clay
     Cleaver
     Clyburn
     Coble
     Cohen
     Cole
     Collins (GA)
     Collins (NY)
     Conaway
     Connolly
     Cook
     Cooper
     Costa
     Courtney
     Cramer
     Crenshaw
     Crowley
     Cuellar
     Culberson
     Cummings
     Davis (CA)
     Davis, Rodney
     DeGette
     Delaney
     DelBene
     Denham
     Dent
     Deutch
     Diaz-Balart
     Dingell
     Doggett
     Doyle
     Duckworth
     Duffy
     Edwards
     Ellmers
     Engel
     Enyart
     Eshoo
     Esty
     Farenthold
     Farr
     Fattah
     Fincher
     Fitzpatrick
     Fleischmann
     Fleming
     Flores
     Forbes
     Fortenberry
     Foster
     Foxx
     Frelinghuysen
     Gabbard
     Gallego
     Garamendi
     Garcia
     Gerlach
     Gibbs
     Gibson
     Goodlatte
     Granger
     Graves (GA)
     Graves (MO)
     Grayson
     Green, Al
     Green, Gene
     Griffin (AR)
     Griffith (VA)
     Grimm
     Guthrie
     Gutierrez
     Hahn
     Hanna
     Harper
     Hartzler
     Hastings (FL)
     Hastings (WA)
     Heck (WA)
     Hensarling
     Herrera Beutler
     Higgins
     Himes
     Hinojosa
     Honda
     Horsford
     Hudson
     Huffman
     Huizenga (MI)
     Hultgren
     Hunter
     Hurt
     Israel
     Issa
     Jackson Lee
     Jeffries
     Jenkins
     Johnson (GA)
     Johnson (OH)
     Johnson, E. B.
     Joyce
     Kaptur
     Keating
     Kelly (IL)
     Kelly (PA)
     Kennedy
     Kildee
     Kilmer
     Kind
     King (NY)
     Kinzinger (IL)
     Kirkpatrick
     Kline
     Kuster
     LaMalfa
     Lamborn
     Lance
     Langevin
     Lankford
     Larsen (WA)
     Larson (CT)
     Latham
     Latta
     Lewis
     Lipinski
     LoBiondo
     Loebsack
     Lofgren
     Lowenthal
     Lowey
     Lucas
     Luetkemeyer
     Lujan Grisham (NM)
     Lujan, Ben Ray (NM)
     Lynch
     Maffei
     Maloney, Carolyn
     Maloney, Sean
     Marino
     Matheson
     Matsui
     McAllister
     McCarthy (CA)
     McCaul
     McCollum
     McDermott
     McGovern
     McHenry
     McKeon
     McMorris Rodgers
     McNerney
     Meehan
     Meeks
     Meng
     Messer
     Mica
     Michaud
     Miller (FL)
     Miller (MI)
     Miller, Gary
     Miller, George
     Moore
     Moran
     Murphy (FL)
     Murphy (PA)
     Nadler
     Napolitano
     Neal
     Noem
     Nolan
     Nunes
     Nunnelee
     O'Rourke
     Owens
     Palazzo
     Pascrell
     Pastor (AZ)
     Paulsen
     Payne
     Pelosi
     Perlmutter
     Perry
     Peters (CA)
     Peters (MI)
     Peterson
     Petri
     Pittenger
     Pitts
     Polis
     Price (GA)
     Price (NC)
     Quigley
     Rahall
     Rangel
     Reed
     Reichert
     Renacci
     Ribble
     Rice (SC)
     Rigell
     Roby
     Roe (TN)
     Rogers (AL)
     Rogers (KY)
     Rogers (MI)
     Rokita
     Rooney
     Ros-Lehtinen
     Roskam
     Ross
     Rothfus
     Roybal-Allard
     Royce
     Ruiz
     Runyan
     Ruppersberger
     Ryan (OH)
     Ryan (WI)
     Sarbanes
     Schiff
     Schneider
     Schock
     Schwartz
     Scott (VA)
     Scott, Austin
     Scott, David
     Sensenbrenner
     Serrano
     Sessions
     Sewell (AL)
     Shea-Porter
     Sherman
     Shimkus
     Shuster
     Simpson
     Sinema
     Sires
     Smith (NJ)
     Smith (TX)
     Smith (WA)
     Southerland
     Speier
     Stewart
     Stivers
     Stutzman
     Swalwell (CA)
     Takano
     Terry
     Thompson (CA)
     Thompson (PA)
     Thornberry
     Tiberi
     Tierney
     Tipton
     Titus
     Tonko
     Tsongas
     Turner
     Upton
     Valadao
     Van Hollen
     Vargas
     Veasey
     Vela
     Wagner
     Walberg
     Walden
     Walorski
     Walz
     Wasserman Schultz
     Waxman
     Welch
     Westmoreland
     Whitfield
     Williams
     Wilson (FL)
     Wilson (SC)
     Wittman
     Wolf
     Womack
     Woodall
     Yarmuth
     Yoder
     Yoho
     Young (AK)
     Young (IN)

                                NOES--94

     Amash
     Bachmann
     Barton
     Bass
     Bentivolio
     Bridenstine
     Brooks (AL)
     Broun (GA)
     Burgess
     Chabot
     Chu
     Cicilline
     Clarke (NY)
     Coffman
     Conyers
     Cotton
     Crawford
     Daines
     DeFazio
     DeLauro
     DeSantis
     DesJarlais
     Duncan (SC)
     Duncan (TN)
     Ellison
     Frankel (FL)
     Franks (AZ)
     Fudge
     Gardner
     Garrett
     Gingrey (GA)
     Gohmert
     Gosar
     Gowdy
     Grijalva
     Hall
     Hanabusa
     Harris
     Heck (NV)
     Holding
     Holt
     Hoyer
     Huelskamp
     Johnson, Sam
     Jones
     Jordan
     King (IA)
     Kingston
     Labrador
     Lee (CA)
     Levin
     Long
     Lummis
     Marchant
     Massie
     McClintock
     McIntyre
     McKinley
     Meadows
     Mullin
     Mulvaney
     Negrete McLeod
     Neugebauer
     Nugent
     Olson
     Pallone
     Pearce
     Pingree (ME)
     Pocan
     Poe (TX)
     Pompeo
     Posey
     Richmond
     Rohrabacher
     Salmon
     Sanchez, Linda T.
     Sanchez, Loretta
     Sanford
     Scalise
     Schakowsky
     Schrader
     Schweikert
     Slaughter
     Smith (MO)
     Smith (NE)
     Stockman
     Thompson (MS)
     Velazquez
     Visclosky
     Waters
     Watt
     Weber (TX)
     Webster (FL)
     Wenstrup

                             NOT VOTING--7

     Bishop (GA)
     Brown (FL)
     Castro (TX)
     Davis, Danny
     McCarthy (NY)
     Radel
     Rush

                              {time}  1825

  Messrs. HALL, LONG, Ms. HANABUSA, Mrs. BACHMANN, Ms. SLAUGHTER, 
Messrs. GARRETT and CONYERS changed their vote from ``aye'' to ``no.''
  Messrs. O'ROURKE and FINCHER changed their vote from ``no'' to 
``aye.''
  So the motion to recede and concur was agreed to.
  The result of the vote was announced as above recorded.
  A motion to reconsider was laid on the table.

                          ____________________