[House Report 108-37]
[From the U.S. Government Publishing Office]
108th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 108-37
_______________________________________________________________________
Union Calendar No. 25
CONCURRENT RESOLUTION
ON THE BUDGET--FISCAL
YEAR 2004
__________
R E P O R T
of the
COMMITTEE ON THE BUDGET
HOUSE OF REPRESENTATIVES
to accompany
H. Con. Res. 95
ESTABLISHING THE CONGRESSIONAL BUDGET FOR THE UNITED STATES GOVERNMENT
FOR FISCAL YEAR 2004 AND SETTING FORTH APPROPRIATE BUDGETARY LEVELS FOR
FISCAL YEARS 2003 AND 2005 THROUGH 2013
together with
ADDITIONAL, SUPPLEMENTAL, DISSENTING, AND MINORITY VIEWS
March 17, 2003.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
COMMITTEE ON THE BUDGET
JIM NUSSLE, Iowa, Chairman
CHRISTOPHER SHAYS, Connecticut JOHN M. SPRATT, Jr., South
Speaker's Designee, Vice Chairman Carolina,
GIL GUTKNECHT, Minnesota Ranking Minority Member
MAC THORNBERRY, Texas JAMES P. MORAN, Virginia
JIM RYUN, Kansas DARLENE HOOLEY, Oregon
PATRICK J. TOOMEY, Pennsylvania TAMMY BALDWIN, Wisconsin
DOC HASTINGS, Washington DENNIS MOORE, Kansas
ROB PORTMAN, Ohio JOHN LEWIS, Georgia
EDWARD L. SCHROCK, Virginia RICHARD E. NEAL, Massachusetts
HENRY E. BROWN, Jr., South Carolina ROSA L. DeLAURO, Connecticut
ANDER CRENSHAW, Florida CHET EDWARDS, Texas
ADAM H. PUTNAM, Florida ROBERT C. SCOTT, Virginia
ROGER F. WICKER, Mississippi HAROLD E. FORD, Jr., Tennessee
KENNY C. HULSHOF, Missouri LOIS CAPPS, California
THOMAS G. TANCREDO, Colorado MIKE THOMPSON, California
DAVID VITTER, Louisiana BRIAN BAIRD, Washington
JO BONNER, Alabama JIM COOPER, Tennessee
TRENT FRANKS, Arizona RAHM EMANUEL, Illinois
SCOTT GARRETT, New Jersey ARTUR DAVIS, Alabama
J. GRESHAM BARRETT, South Carolina DENISE L. MAJETTE, Georgia
THADDEUS G. McCOTTER, Michigan RON KIND, Wisconsin
MARIO DIAZ-BALART, Florida
JEB HENSARLING, Texas
GINNY BROWN-WAITE, Florida
Professional Staff
Rich Meade, Chief of Staff
Thomas S. Kahn, Minority Staff Director and Chief Counsel
C O N T E N T S
PAGE
Introduction..................................................... 3
The Economy and Economic Assumptions............................. 11
Comparison of Economic Assumptions (Table 1)................. 20
Economic Assumptions of the Budget Resolution (Table 2)...... 21
Homeland Security................................................ 23
Revenue.......................................................... 27
Function-by-Function Presentation................................ 33
050 National Defense......................................... 35
150 International Affairs.................................... 38
250 Science, Space and Technology............................ 41
270 Energy................................................... 43
300 Natural Resources and Environment........................ 45
350 Agriculture.............................................. 48
370 Commerce and Housing Credit.............................. 50
400 Transportation........................................... 53
450 Community and Regional Development....................... 55
500 Education, Training, Employment and Social Services...... 57
550 Health................................................... 60
570 Medicare................................................. 63
600 Income Security.......................................... 66
650 Social Security.......................................... 71
700 Veterans Benefits and Services........................... 72
750 Administration of Justice................................ 74
800 General Government....................................... 78
900 Net Interest............................................. 81
920 Allowances............................................... 82
950 Undistributed Offsetting Receipts........................ 83
Summary Tables: Spending and Revenue 85
Comparison of Total Budget Revenues for President's Request
and Committee Recommendations (Table 3).................... 87
Comparison of On-Budget Revenues for President's Request and
Committee Recommendation (Table 4)......................... 88
Comparison of Total Budget Revenues for CBO Baseline and
Committee Recommendation (Table 5)......................... 89
Comparison of Total Revenues, as Percent of GDP, for CBO
Baseline and Committee Recommendation (Table 6)............ 90
CBO Baseline Revenues by Source, in Billions of Dollars
(Table 7).................................................. 91
OMB Baseline Revenues by Source, as Percent of GDP (Table 8). 91
Tax Expenditure Estimates by Budget Function, Fiscal Years
2003-2007 (Table 9)........................................ 92
Fiscal Year 2004 Budget Resolution Total Spending and
Revenues (Table 10)........................................ 102
Fiscal Year 2004 Budget Resolution Discretionary Spending
(Table 11)................................................. 106
Fiscal Year 2004 Budget Resolution Mandatory Spending (Table
12)........................................................ 109
Fiscal Year 2004 Budget Resolution Minus the President's
Budget (Table 13).......................................... 113
Fiscal Year 2004 Budget Resolution Compared to 2003: Total
Spending and Revenues, in Billions of Dollars (Table 14)... 116
Fiscal Year 2004 Budget Resolution Compared to 2003: Total
Spending and Revenues, Percentage Change (Table 15)........ 119
Reconciliation................................................... 123
Submissions Providing for Economic Growth and Tax Simplification
and Fairness (Due 11 April 2003) (Table 16).................... 125
Section-by-Section Description................................... 127
Congressional Budget Process..................................... 135
Appropriations Committee..................................... 136
Authorizing Committees....................................... 136
Adjustments.................................................. 136
Enforcement.................................................. 137
Statutory Controls Over the Budget............................... 139
Public Debt Limit................................................ 143
Votes of the Committee........................................... 145
Additional Report Language....................................... 177
Other Matters to be Discussed Under the Rules of the House....... 185
Committee on the Budget Oversight Findings and
Recommendations............................................ 185
New Budget Authority, Entitlement Authority, and Tax
Expenditures............................................... 185
General Performance Goals and Objectives..................... 185
Views of Committee Members................................... 185
List of Acronyms
Office of Management and Budget.................................. OMB
Congressional Budget Office...................................... CBO
Gross Domestic Product........................................... GDP
Budget Authority................................................. BA
Outlays.......................................................... OT
T A B L E S
Page
Table 1: Comparison of Economic Assumptions...................... 20
Table 2: Economic Assumptions of the Budget Resolution........... 21
Table 3: Comparison of Total Budget Revenues for President's
Request and Committee Recommendations.......................... 87
Table 4: Comparison of On-Budget Revenues for President's Request
and Committee Recommendation................................... 88
Table 5: Comparison of Total Budget Revenues for CBO Baseline and
Committee Recommendation....................................... 89
Table 6: Comparison of Total Revenues, as Percent of GDP, for CBO
Baseline and Committee Recommendation.......................... 90
Table 7: CBO Baseline Revenues by Source, in Billions of Dollars. 91
Table 8: OMB Baseline Revenues by Source, as Percent of GDP...... 91
Table 9: Tax Expenditure Estimates by Budget Function, Fiscal
Years 2003-2007................................................ 92
Table 10: Fiscal Year 2004 Budget Resolution Total Spending and
Revenues....................................................... 102
Table 11: Fiscal Year 2004 Budget Resolution Discretionary
Spending....................................................... 106
Table 12: Fiscal Year 2004 Budget Resolution Mandatory Spending.. 109
Table 13: Fiscal Year 2004 Budget Resolution Minus the
President's Budget............................................. 112
Table 14: Fiscal Year 2004 Budget Resolution Compared to 2003:
Total Spending and Revenues, in Billions of Dollars............ 116
Table 15: Fiscal Year 2004 Budget Resolution Compared to 2003:
Total Spending and Revenues, Percentage Change................. 119
Table 16: Submissions Providing for Economic Growth and Tax
Simplification and Fairness (Due 11 April 2003)................ 125
108th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 108-37
======================================================================
CONCURRENT RESOLUTION ON THE BUDGET--FISCAL YEAR 2004
_______
March 17, 2003.--Committee to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Nussle, from the Committee on the Budget, submitted the following
R E P O R T
together with
ADDITIONAL, SUPPLEMENTAL, DISSENTING, AND MINORITY VIEWS
[To accompany H. Con. Res. 95]
The Fiscal Year 2004
Wartime Budget Resolution
A SUMMARY
----------
Introduction
The priorities of this budget are clear and self-evident.
They are:
Protecting America: This includes winning the war
against terrorism, and safeguarding Americans at home.
Strengthening the Economy and Creating Jobs: To meet
the Nation's challenges, America's economy must be vigorous
enough to provide expanding opportunities and growth in
Americans' standard of living. The Government has a
responsibility to maintain and pursue policies that support
economic growth.
Exercising Fiscal Responsibility: The Government must
always strive to achieve its goals without imposing
excessive burdens on future generations. For this reason
and others, this plan returns to balance within the budget
window.
The discussion below summarizes how these priorities are
addressed in this plan--the Fiscal Year 2004 Wartime Budget
Resolution.
Protecting America
The report on last year's House budget resolution began
with the statement: ``America is at war.'' That is even more
true today--and not solely because of the impending conflict in
Iraq, or the growing threats rising from Iran or North Korea.
These specific international issues are part of a larger,
global problem in which members of terrorist groups can lurk in
any city, storing up weapons and cultivating strategy, finally
attacking the innocent without compunction or provocation.
These terrorists assaulted Americans several times in the
1990s, including a 1993 bombing at the World Trade Center. But
the attack of September 11, 2001, was larger, more deadly, and
more devastating than Americans had known since Pearl Harbor--
and America changed. The streets outside the Capitol building
used to resemble those of a quiet neighborhood in almost any
American town; now they are cluttered with barricades and
guarded police gates. Airline passengers must routinely allow
extended time for personal and baggage inspection, and from
time to time, flights are cancelled and passengers evacuated
because of real or apparent threats. Americans have come to
know the Government's frequent warnings of heightened
vulnerabilities. Businesses face greater security needs; lower
availability and higher costs of insurance; and generally
higher risks and uncertainty.
Finally, whenever there is news of a subway gassed in
Tokyo, or a school bus bombed in Jerusalem, Americans now know
it could just as easily happen here. That's the kind of war it
is; and that's how Americans live today.
The war against this stealthy, shadowy enemy will likely
continue for several years, and it will not end with clarity:
no terrorist leader will sign a formal surrender, and no
victory parades will stream down Broadway.
For these and other reasons, the term ``wartime budget'' is
no mere metaphor. America's security is threatened; it must be
protected. That is always the highest priority of any national
government; and it is the highest priority of this budget.
NATIONAL DEFENSE
The budget resolution is consistent with the President's
requested level as part of a multiyear plan to enable the
military both to fight the war against terrorism now, and to
transform the Department of Defense [DOD] to counter
unconventional threats in the future.
This strategy is intended to transform the military so as
to make it agile enough to combat elusive terrorist threats. At
the same time, the Pentagon's transformation strategy must
maintain a capability to deal with large conventional forces
such as North Korea's.
The resolution also is consistent with DOD's desire to
maintain pay, benefits, and quality of life programs so as to
attract and retain highly capable and motivated personnel.
Among specific provisions are the following:
A sum of $98.6 billion for pay and benefits, an
increase of 5.6 percent. This funds a range of military pay
increases from 2.0 percent up to 6.5 percent, targeted by
rank and years of service--to help retain DOD's most
experienced personnel.
An increase of $3.4 billion for operations and
maintenance, to a total of $117.0 billion for fiscal year
2004.
The highest procurement funding in 14 years: a sum of
$72.7 billion is allowed for in the resolution.
The highest ever research and development level, $61.8
billion.
A 20-percent increase for missile defense, to $9.1
billion. The program will focus on fielding an initial
capability in 2004 and 2005; this would provide a modest
defense against North Korean missiles.
Full funding of military health care, assuming a total
of $27.2 billion.
A 47-percent increase for Special Operations Forces,
including Green Berets.
HOMELAND SECURITY
The budget fully funds the President's request for homeland
security. This includes (in addition to other things) the
following:
A total of $15.6 billion for Border and Transportation
Security [BTS], the largest and most complex of the
agencies in the new Department of Homeland Security [DHS].
A sum of $4.8 billion for the Transportation Security
Administration [TSA], which will be part of the new Border
and Transportation Security Agency in the DHS.
For the U.S. Coast Guard, $5.6 billion (not counting
the Coast Guard retirement fund).
An infusion of $3.5 billion for grants for ``first
responders'' such as local firefighting, and search-and-
rescue or police forces.
Full funding for Project BioShield, in which the
National Institutes of Health would have new authority and
increased flexibility to speed the arrival of medications
and vaccines.
A total of $400 million for the Strategic National
Stockpile, which contains drugs, vaccines, and other
medical supplies and equipment that can be delivered to any
place in the country within 12 hours of a request for
assistance; and funding for the National Disaster Medical
System, now part of DHS's National Incident Management
System.
Full funding for border inspection and other
responsibilities transferred from USDA to the Department of
Homeland Security. These include activities of the Animal
and Plant Health Inspection Service [APHIS], and the Plum
Island Animal Disease Center in New York.
Disaster relief funding at its historical levels. The
budget includes $3.2 billion for the Federal Emergency
Management Agency [FEMA], now part of DHS.
Full funding for the Bureau of Citizenship and
Immigration Services.
A 9-percent increase for the Secret Service, to $1.3
billion.
Strengthening the Economy, Creating Jobs
A flexible, well-functioning economy that promotes high
standards of living is a fundamental expression of the Nation
itself. It provides a way of measuring national vitality, and
helps demonstrate President Reagan's conviction: ``We are a
Nation that has a Government--not the other way around.''
When healthy, the economy nourishes the Nation--by
providing expanding opportunities for Americans to improve
their circumstances through their own efforts, and by
generating material and financial resources to support the
Nation's needs (such as its defense and security) and improve
standards of living.
Today's economy continues to struggle from the triple shock
of the past 2 years: a slowdown and recession inherited by the
current administration; an unprovoked terrorist attack on the
American homeland; and the uncertainties that accompany today's
wartime conditions. Without renewed growth and more jobs
America cannot meet its challenges. Hence economic growth and
job creation is a major priority of this budget.
ECONOMIC GROWTH PLAN PRINCIPLES
Immediate Help: Accelerating income tax rate cuts,
attacking double taxation, and reducing the overall Federal
tax burden will enhance the current economic recovery by
increasing consumer spending and individual and business
investment, and creating jobs.
Sustained Future Growth: New tax reductions, and
making the 2001 tax relief permanent, will strengthen the
American economy in a sustained manner, and promote GDP
growth and job creation in the long-term.
A Path to Fiscal Balance: To meet the anticipated
needs and growing demands on the Federal Government over
the next 10 years and beyond will require significant
revenue growth resulting from achieving and maintaining
economic growth of at least 3 percent to 4 percent a year.
The economic growth plan in this budget provides the best
chance of achieving this.
Progressivity: The biggest percentage reduction in
individual income taxes would go to lower- and middle-
income taxpayers.
POSSIBLE GROWTH COMPONENTS
Specific provisions of the growth plan will be determined
by the Committee on Ways and Means. Nevertheless, the revenue
figures in the budget resolution would accommodate the
President's growth and jobs plan, including--as examples--the
following provisions:
Accelerated expansion of the 10-percent individual
income tax bracket.
Accelerated reduction of individual income tax rates.
Accelerated marriage penalty relief.
Accelerated increase of the child tax credit.
Relief from the Alternative Minimum Tax.
Small businesses investment incentives.
Elimination of the double taxation of corporate
earnings.
FAIRNESS OF THE GROWTH PLAN
The growth plan called for in the budget resolution--if
designed similar to the President's--would be progressive. Here
are some examples:
The biggest percentage reduction in individual income
taxes would be for taxpayers making between $30,000 and
$40,000. Their reduction in taxes could be more than 20
percent.
Next are taxpayers with less than $30,000 in income;
their individual income taxes would be reduced 17 percent.
Taxpayers making $40,000-$50,000 could see a 14.5-percent
tax cut.
Taxpayers with incomes greater than $100,000 could get
the smallest percentage change in their individual income
taxes at 11 percent or less.
Lower-income taxpayers could pay less. Taxpayers
making up to $50,000 could pay a smaller share of total
individual income taxes than before (2.9 percent vs. 3.8
percent). Taxpayers making more than $100,000 could pay
more (73.3 percent vs. 72.4 percent).
EXTENSION OF 2001 TAX CUTS
The budget resolution also provides for permanent extension
of the provisions of the Economic Growth and Tax Relief
Reconciliation Act of 2001 that otherwise will expire in 2010.
The resolution accounts for policies that would permanently
extend marginal individual income tax rate reductions expiring
in 2010; child tax credits expiring in 2010; marriage penalty
relief expiring in 2010; education incentives expiring in 2010;
repeal of estate and generation-skipping transfer taxes and
modification of gift taxes expiring in 2010; modifications of
individual retirement accounts and pension plans expiring in
2010; and other incentives for families and children expiring
in 2010; the research and experimentation tax credit expiring
in 2004; and suspension of disallowance of certain deductions
of mutual life insurance companies.
ADDITIONAL TAX RELIEF
Finally, the budget accommodates additional tax relief over
the next 10 years. The particular mix of tax policies this
amount would entail will be determined by the Committee on Ways
and Means, but could include:
Incentives for charitable giving, health care, and
energy production, conservation and reliability, as well as
making the R&D tax credit permanent and temporarily
extending currently expiring provisions.
Tariff and other revenue effects of various trade
initiatives.
OTHER COMPONENTS OF ECONOMIC SECURITY
The resolution also meets other critical obligations,
including:
Endorsing fundamental Medicare reform, including $400
billion over 10 years for prescription drug coverage.
Providing the Federal share of funding for highways
and mass transit.
Protecting Social Security--which will be strengthened
by a growing economy.
Maintaining the welfare reform strategy that has
reduced welfare rolls by 50 percent.
Providing for reform of Medicaid, with greater
flexibility so that States can cover more of their
uninsured populations.
Continuing unemployment insurance, to provide a safety
net for those having trouble finding work in these
difficult times.
Fiscal Responsibility
THE NEED TO BALANCE THE BUDGET
Contending with the crises of the past 2 years has driven
the Federal budget into deficit. This outcome is understandable
and manageable at present--but not for the long term. Economic
growth, encouraged by the policies described above, can play a
key role in shrinking deficits. But another necessary component
is spending restraint. Consider:
In the period from 1998 through 2003, overall
Government spending increased an average of 6.7 percent a
year, and discretionary spending grew an average of 7.7
percent a year (with both figures excluding interest).
These figures include the impact of recent emergency
spending and the war against terrorism--but those factors
only reinforce the need to take firm control of spending.
Among these recent spending trends have been the following:
Defense appropriations grew 45.7 percent from 1998
through 2003, an average of 7.8 percent a year (including
the 2003 omnibus appropriations bill).
Funding for the National Institutes of Health was
doubled, from $13.6 billion in 1998 to $27.2 billion in
2003.
Since Republicans took the House Majority in 1995,
Federal funding for special education has increased an
average of nearly 22 percent a year.
Veterans medical care increased 40 percent--from $17.1
billion in 1998 to $23.9 billion in 2003--an average
increase of 6.9 percent a year.
These and other spending initiatives were important. But
the Government must not return to excessively burdening
tomorrow's generations with today's costs. The Government also
must position itself to meet the mounting obligations that will
come with the baby-boom retirements and accompanying demands.
THE STRATEGY IN PRINCIPLE
The first step in this process is to restore the budget to
balance, accomplished through economic growth and spending
restraint. Therefore, this budget calls for a 1-percent
spending reduction--a real reduction--in all Government
programs except those of the highest priority. Programs exempt
from this discipline are national defense, homeland security,
Social Security, and Unemployment Insurance.
This is not a matter of ``slowing the growth'' of spending,
or ``reducing from the baseline.'' These are real reductions.
They are calculated from the base of actual spending in fiscal
year 2003--not from an estimated future level that already
include built-in, automatic growth. The approach is based on
the commonsense meaning of cutting spending--and that is what
this budget does.
Because such reforms may be challenging, the budget allows
committees of jurisdiction the option of implementing one-third
of the savings in the first year. With this spending
discipline, the budget restores fiscal balance in 7 years,
according to projections of the nonpartisan Congressional
Budget Office. This is based on standard, conventional CBO
estimates, without assuming the benefits of economic growth
that may result from the budget's tax cuts or deficit
reductions.
IMPLEMENTING THE STRATEGY
To further clarify the spending restraint assumed in the
budget, here is a point-by-point summary:
Committees must reduce spending by 1 percent. In
general, the budget requires that the committees of
jurisdiction reduce spending by 1 percentage point from
current year (2003) levels. The reductions are applied by
committee, not by program. It is up to the committees of
jurisdiction to find the savings necessary to meet the
levels of spending recommended in the budget resolution.
The reduction does not mean 1 percent is cut each
year. The 1 percentage point reduction is taken one time,
in fiscal year 2004, and then the program is assumed to
grow at the same rate as before. The savings are expected
to recur in following years, so that the benefits of the
one-time reduction become substantial over time.
Small savings now cause large savings over time. The
1-percent spending cut is assumed to be a permanent change
in Government spending. Small permanent changes in spending
can make a big impact over time. It is this principle that
permits this budget to balance as a result of the one-time
change in the levels of spending.
The cut affects both mandatory and discretionary
spending. The expected level of spending for fiscal year
2004 is computed the same way for both mandatory and
discretionary programs: spending in fiscal year 2004 is
expected to be 1 percentage point below the 2003 levels of
spending.
Despite the 1-percent reduction, other factors cause
total spending to rise. Overall Government spending will
not be lower next year than this year because more will be
spent on national needs such as defense and homeland
security. Also other increases in programs such as
Medicare, Medicaid, and Unemployment Insurance benefits
cause spending to be higher in 2004 than 2003.
The Budget Committee cannot dictate how to achieve the
savings. It is not the role of the Budget Committee to tell
the authorizing committees how to reach their reduced
spending levels. The committees of jurisdiction make the
final decision about how to achieve those savings. The
directives must be achieved by the authorizing committee or
the Budget Committee may be asked to recommend changes. If
an authorizing committee cannot achieve the savings, it
will fall to the Budget Committee to make recommendations
with policy changes that will achieve the recommended
levels of cuts.
These are the general guidelines. They will be enforced
through the 302(a) allocations to the Appropriations Committee
and the authorizing committees. Where further specific
provisions apply, they are discussed in the appropriate
functional description.
Conclusion
As noted at the outset, this budget has three priorities:
Protecting America.
Strengthening the economy and creating jobs.
Exercising fiscal responsibility.
It strikes a balance among all three priorities; and it
recognizes the need to balance the urgent demands of the
present against America's obligations to the future. It is, to
put it simply, a budget that fulfills America's promise--for
today and tomorrow.
The Economy and Economic Assumptions
----------
Economic Policy and the Performance of the Economy
CURRENT CONDITIONS
The U.S. economy remains in a sluggish and uneven recovery
from the economic slowdown and recession of 2000-2001. Growth
of real GDP has averaged 2.9 percent at an annual rate
following the declines that occurred during the recession--but
the growth pattern has been volatile (see chart below).
Despite the average real growth of nearly 3 percent,
the economy continues to struggle with key sectors and
markets remaining stagnant--notably manufacturing, business
investment, and employment. Persistent uncertainties--
partly due to international tensions--continue to hamper
the economy.
Sustained stronger growth of real GDP--in excess of
3\1/4\ percent--will be required to boost job growth and
business investment and to reduce unemployment.
The current Blue Chip outlook projects only a gradual
increase in real GDP growth and a slow decline in the
unemployment rate (see charts).
RECENT ECONOMIC HISTORY
Economic growth had already begun decelerating sharply
before President Bush took office. The claim that the economy
was humming when President Bush took office is simply wrong.
This is important because misunderstanding recent economic
history can lead to ineffective, or even counterproductive,
policies.
In 2000--the last year of the previous
administration--the real GDP growth rate plunged from 4.8
percent in the second quarter to 0.6 percent in the third
quarter.
The recession in the manufacturing sector actually
began in June 2000, when industrial production peaked and
thereafter began to decline. Manufacturing production had
already fallen by 2\1/2\ percent by January 2001, when
President Bush took office. A quarter of a million
manufacturing jobs already were lost from July 2000 to
January 2001. New orders for manufacturers' durable goods
had declined 20 percent by January 2001 from their peak in
June 2000.
The stock market bubble peaked in early 2000 (the Dow-
Jones Industrial average peaked in January; the Standard &
Poor's 500 index peaked in March). By the time President
Bush assumed office, the bubble had burst and the S&P 500
index had already fallen 12 percent in value.
It is noteworthy that the previous administration, in
1999 and 2000, refused to cut taxes, even though tax
revenue was at post-war record levels of 20 percent of GDP
or more.
In December of 2000, President-elect Bush warned
publicly that the economy was slipping toward recession,
and that Congress should cut taxes. The outgoing
administration accused him of ``talking down'' the economy.
But in 2001, Congress and President Bush acted--even before
the recession had been officially declared. Monetary policies
also shifted toward promoting economic growth.
In June 2001, the President signed the Economic Growth
and Tax Relief Reconciliation Act of 2001 to reduce the tax
burden and stimulate the slowing economy.
The Federal Reserve cut the Federal funds rate 11
times in 2001, resulting in a total reduction of 4\3/4\
percentage points for the year.
Then terrorists attacked the Pentagon and the World Trade
Center--as they had planned since the mid-1990s--and risk and
uncertainty rose in the aftermath. But the shock to the economy
from the attacks of September 11 depressed consumer and
business confidence and ushered in a sustained period of slower
growth and heightened risk and uncertainty.
Nevertheless, the 2001 tax relief was timely and helped
keep the recession from being worse. It wasn't until the end of
November 2001 that the National Bureau of Economic Research
officially declared that the recession had begun in March of
2001--9 months after the fact, and nearly 6 months after the
tax relief legislation had been implemented.
At the time of the tax relief bill's passage,
Macroeconomic Advisers--a respected private forecaster--
labeled the tax cut package a ``Fiscal Policy Bull's-eye,''
stating: `` * * * once in a while we get lucky, and fiscal
policy delivers to the economy a well-timed dose of
stimulus. This year's tax cut is perhaps the best such
example in recent memory.''
By the third quarter of 2001--in the middle of the
recession, yet even before the recession had been
declared--tax rebate checks totaling nearly $40 billion
were mailed out to taxpayers, helping to bolster household
finances and promote consumption spending, precisely when
it was most needed.
These policy actions helped to keep the recession from
being more severe. It should be remembered that, as in all
recessions, jobs were lost and unemployment rose--bringing
their related costs--but the 2001 recession was relatively
mild compared to other recessions historically.
In March 2002, Congress and the President acted further,
passing the stimulus of the Job Creation and Worker Assistance
Act of 2002. This legislation was targeted precisely at the
areas of weakness in the economy: extended unemployment
benefits to help with higher unemployment; and, partial
expensing of business equipment and software expenditures to
help bolster investment.
Following the recession, the bursting of the stock market
bubble, and the introduction of increased risk and uncertainty,
the economy has emerged into a slow and uneven recovery.
Increased uncertainty and slow overall growth in the economy
have created an environment in which businesses lack sufficient
confidence to boost investment or hiring.
An important aspect of the slow recovery is the lack
of growth in jobs (see chart). The sharp decline in
payrolls of 308,000 in February reveals the ongoing risk of
a renewed downturn in the economy this year.
Continued higher growth in labor productivity (output
per hour of work) boosts real output, wages and salaries,
and standards of living in the long run. In the short run,
however, higher productivity growth has allowed businesses
to expand output without hiring additional workers. As a
result, total wage and salary income has continued to grow
following the recession, despite the lack of increased
employment.
The manufacturing sector and business equipment
investment have been stagnant with industrial production
and manufacturers' new orders and shipments remaining
little improved from the recession lows.
Business structural investment also has been stagnant
in recent months, following a large decline from the
recession. Lower real economic growth, higher uncertainty,
and the combination of lower availability and higher costs
of insurance have resulted in a 30-percent decline in real
business construction spending from its pre-recession level
(see chart below).
The sharp rise in crude oil prices over the past year
and a half--from less than $20 per barrel at the end of
2001 to nearly $40 a barrel recently--is boosting gasoline
prices and energy costs generally, acting as an additional
drag on the economy.
One bright spot in the economy is the continued strong
performance of the housing sector, with continued high
rates of housing starts and home sales. Increased home
valuations have contributed to household wealth--helping to
cushion the effects of the negative wealth effects from the
decline in the stock market. Despite the large declines in
stock market wealth, consumer spending has continued to
grow throughout the recession and slow growth period of the
past several years.
Even so, faced with higher uncertainty and stagnant
employment prospects, consumer confidence has fallen
recently to its lowest level in 10 years, contributing to
the risks of sustained stagnation in the economy as a
whole.
The Need for Policies to Promote Growth
Significant economic risks remain. The economy could
continue to exhibit sub-par performance with ongoing slow
growth and persisting higher unemployment. The possibility of a
renewed downturn cannot be ruled out.
When will the economy return to higher growth and lower
unemployment? Ultimately, the economy is expected to recover
and return to its potential growth path with sustained growth
in jobs, and with the unemployment rate falling back toward its
non-inflationary level (about 5 percent).
The Blue Chip private consensus forecast and the CBO
forecast both show that happening over the next 3 to 4
years.
But given the slow recovery and the uncertain nature
of economic forecasting, issues that remain in question
are: How long will it take to return to sustained growth?
Could the economy actually do worse than expected? Can
Congress do something to help assure the economy gets back
to potential faster?
Monetary policy often is viewed as being better
oriented to ``help the economy get back to potential
faster.'' But as demonstrated in 1990-92, and in the
current recession and recovery, monetary policy does not
always move fast enough or have enough effect up front to
boost the economy.
In policy statements and Congressional testimony, the
Federal Open Market Committee [FOMC] and Fed Chairman
Greenspan have adopted the position that monetary policy
has done enough, and that the interest rate cuts and tax
cuts already implemented will be sufficient to boost the
economy once the uncertainty of the geopolitical situation
is resolved.
The recent sharp decline in consumer confidence
coupled with the fall in employment in February--when
payrolls fell by 308,000 jobs--illustrates the fragile
nature of the recovery and the risks for further job
losses.
Doing nothing is unwise. President Bush has been aggressive
in making proposals to boost the economy, primarily through tax
cuts. The President recognizes that it isn't wise to sit back
and wait and hope for monetary policy to work and for the
economy to recover on its own.
Chairman Greenspan and the Fed are assuming that the
economy is continuing to struggle almost solely because of
geopolitical uncertainty; but they also implicitly assume
that the uncertainty will be eliminated, apparently almost
immediately.
The Fed is more optimistic about the economic outlook
than many private forecasters. For example, Goldman Sachs
economists recently said, ``We don't share the FOMC's
optimism. In our view, Chairman Greenspan is putting too
much weight on geopolitical uncertainties as a constraint
on capital spending and economic activity. We believe that
the economy will grow much more slowly * * * than the Fed's
central forecast'' (14 February 2002).
Some contend the Fed may be understating the risk that
the economy will perform less well than the Fed's
assumptions. That view argues for additional pro-growth
policies to be adopted today.
If the Fed is concerned about ``running out of
ammunition''--because interest rates already are so low--
that argues even more for the adoption of additional fiscal
policies to augment monetary policy in a time when the
latter may have limited latitude for action.
The President and the Congress should act to adopt
policies that will promote growth and job creation.
The President's economic growth plan focuses on new and
accelerated permanent tax reductions. The budget resolution
accommodates the President's plan--or one similar to it--to
promote economic growth and jobs. The President's plan
accelerates the reductions in personal income tax rates from
the 2001 legislation and proposes the elimination of the double
taxation of dividend income--as well as establishing the tax
cuts on a permanent basis. Congress will work its will on
determining specific policies. But some aspects of the
President's plan should be kept in mind.
The reduction in income tax rates generates strong
incentives for boosting sustained economic growth. The
reduction in the top rates is particularly important as
economic evidence shows that those taxpayers are the most
responsive to the tax changes, in terms of increasing
taxable income and tax payments.
Economists recognize that permanent reductions in
taxes and marginal tax rates will have significant
beneficial economic effects, especially compared to
reductions that are only temporary.
The proposed elimination of the double taxation of
dividend income is a change that would be part of any
reasonable comprehensive tax reform. Regardless of whether
it would have an immediate beneficial stimulus effect or
not (and it would, especially through gains in the stock
market), it is a preferred tax policy change to make. The
elimination of the double taxation promotes investment by
reducing the cost of capital and improving efficiency.
Beyond its immediate economic benefits, the President's
plan also is good for other reasons, including the specific
groups it benefits. Among specific groups that would benefit
are the following:
Small-businesses would benefit from the higher
investment expensing as well as the lower marginal tax
rates.
Married couples would benefit from the reduction in
the marriage penalty--perhaps one of the most egregious
sins of the tax system from a social perspective.
Families would benefit from the increase in the child
credits.
FORECASTERS' ESTIMATES OF THE EFFECTS OF THE PRESIDENT'S GROWTH PACKAGE
[Average estimated effect, difference from baseline]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008
----------------------------------------------------------------------------------------------------------------
Effect On:
Real GDP Level (% change)................. 0.3 1.2 1.0 0.6 0.3 0.2
Unemployment rate (% points).............. -0.2 -0.7 -0.6 -0.3 -0.1 -0.1
Job Gain From Baseline (1,000 Jobs)....... 291 1,203 959 455 192 167
----------------------------------------------------------------------------------------------------------------
Note.--Business Roundtable, Economy.com, Global Insight, Heritage Foundation, Macroeconomic Advisors, National
Association for Business Economics Survey, and Primark Decision Economics.
Conservative Projections in Budget Resolution
Economic forecasting is imprecise; nonetheless all budget
projections are based on economic assumptions. Even though it
is difficult to make economic and budget forecasts, the effort
to improve accuracy suggests that we take account of all
available information. Economic assumptions that properly
account for all of the factors and information that are
expected to affect the performance of the economy would include
the policies that are part of the budget if they have
discernible economic effects.
Private forecasters generally agree that the President's
proposed tax reductions would boost growth significantly in
2003 and 2004, and promote higher real GDP, increased job
growth and lower unemployment rates over the next several years
(see table).
An average of private forecasters' estimates shows the
President's plan boosting real GDP by about 1\1/4\ percent
in 2004.
The estimates also show the plan cutting the
unemployment rate by \3/4\ percentage point in 2004. That
represents an increase of more than 1 million jobs.
``Dynamic'' estimates would show the beneficial economic
``feedback'' effects and smaller deficit effects from tax
relief. A proper accounting for the beneficial economic effects
from the policies to promote economic growth--and the resulting
beneficial budget effects--would at least partially offset the
scored deficit effects from the proposed tax relief.
Nevertheless, the budget resolution is conservative about the
economic and budget estimates; those used in the resolution do
not include any of the beneficial ``dynamic'' feedback effects.
SUBSTANTIAL SHORT-RUN BENEFITS, UNCERTAIN LONG-RUN BENEFITS
The policies assumed in the budget resolution would
generate substantial short-run benefits. As shown in the table,
private forecasters generally agree that the tax relief
proposals of the President's ``Growth and Jobs'' plan would
boost GDP and employment. Beneficial economic effects of that
magnitude would produce significant dynamic budget feedback
effects, with the likely budget benefit in the range of $25
billion to $40 billion per year.
The tax relief proposals also would have long-run
beneficial effects, including: incentive effects of lower
marginal income tax rates; higher investment from a lower cost
of capital because of lower taxation of capital income; and, in
general, efficiency gains from more efficient allocations of
resources.
A policy proposal with persisting large deficits would
raise concerns about adverse long-run economic effects. From
the view of conventional economic theory and evidence,
persisting long-run deficits would have negative effects on
national saving, which in turn would adversely affect
investment and the level of real GDP and incomes in the long-
run. The ``long run'' in such cases would be at and beyond the
10- to 15-year horizon. But we have to be cautious about such
estimates: the reliability of economic and budget forecasts
that far in the future is highly suspect.
In large measure, the question of determining whether
significant long-run effects can be identified depends
fundamentally on determining the correct baseline for
comparison. For example, CBO typically uses its current
services baseline projection as the baseline for comparison for
alternative policy scenarios--as it is required to do under
scoring conventions. But a current services baseline that shows
projected accumulating surpluses in the out years--as the
current CBO baseline does--is a naive baseline that is unlikely
to be realized. When considering a naive baseline projection
that shows budget surpluses, a better baseline for comparison
in the long run is a baseline of very rough budget balance.
Budget projections are subject to large projection
errors, and errors that grow as the projection horizon
expands (see CBO, The Budget and Economic Outlook, January
2002, pp. 89-100). At a 5-year horizon, CBO's budget
projections have had an average absolute forecast error of
more than 3 percent of GDP. Such errors increase in
magnitude as the budget projection horizon increases. At
the 10-year horizon the typical budget deficit projection
error likely would be much larger than 3 percent of GDP.
Historical behavior and evidence show that budget
surpluses in the absence of tax cuts lead to increases in
spending that reduce subsequent surpluses (see Calomiris
and Hassett, ``Marginal Tax Rate Cuts and the Public Tax
Debate,'' National Tax Journal, March 2002).
The policies of the budget resolution reduce taxes and
restrain spending growth, with the budget returning to balance
in 7 years. The public debt is projected to decline
significantly relative to GDP. Under such a budget outlook, no
credible arguments can be raised suggesting any significant
negative economic effect in the long run through savings
effects or financial markets.
In sum, a variety of uncertain factors must be considered
in determining the possible long-run effects. Such factors
include: the potential benefits from a lower tax burden and
associated reduction in dead-weight losses in the economy;
unreliable long-run economic and budget projections; and an
uncertain proper baseline for comparison. On balance, the
conclusion must be that the estimated long-run economic effects
associated with the policy underlying the budget resolution are
positive--because of its adherence to fiscal responsibility and
spending restraint, and the beneficial effects from reducing
taxes and the size of the Government.
Comparison of Economic Assumptions
GDP growth
OMB: The assumptions employed by the administration's
Office of Management and Budget [OMB] project real gross
domestic product [GDP] growth rates of 2.9 percent in calendar
year 2003, 3.6 percent in 2004, 3.5 percent in 2005, and 3.3
percent in 2006.
CBO: The Congressional Budget Office [CBO] projects real
GDP growth rates of 2.5 percent in 2003, 3.6 percent in 2004,
3.4 percent in 2005, and 3.3 percent in 2006.
Blue Chip: The Blue Chip Consensus (March 2003) projects
2.6 percent in 2003, 3.6 percent in 2004, 3.4 percent in 2005,
and 3.3 percent in 2006. (See table 1, next page).
Inflation
OMB: The administration projects inflation rates of 1.3
percent and 1.5 percent in calendar year 2003 and 2004 for the
GDP price index, and 2.2 percent and 2.1 percent for the
Consumer Price Index [CPI].
CBO: In comparison, CBO forecasts GDP price index inflation
of 1.6 percent in 2003 and 1.7 percent in 2004, and CPI
inflation of 2.3 percent and 2.2 percent.
Blue Chip: The Blue Chip Consensus forecasts GDP price
index inflation of 1.6 percent and 1.8 percent in 2003 and 2004
and CPI inflation of 2.3 percent and 2.3 percent.
Unemployment
OMB: The administration projects unemployment rates of 5.7
percent for calendar year 2003 and 5.5 percent for 2004.
CBO: For 2003 and 2004 respectively, CBO projects an
unemployment rate of 5.9 percent and 5.7 percent. In the medium
term, CBO's projection for the unemployment rate is slightly
higher than the administration's.
Blue Chip: The Blue Chip projects an unemployment rate of
5.9 percent for 2003 and 5.6 percent for 2004.
TABLE 1.--COMPARISON OF ECONOMIC ASSUMPTIONS
[Calendar years 2003-2008]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008
----------------------------------------------------------------------------------------------------------------
Real GDP (percentage change year over year):
CBO................................................... 2.5 3.6 3.4 3.3 3.2 3.1
OMB................................................... 2.9 3.6 3.5 3.3 3.2 3.1
Blue Chip............................................. 2.6 3.6 3.4 3.3 3.1 3.1
GDP Price Index (percentage change year over year):
CBO................................................... 1.6 1.7 2.0 2.1 2.1 2.2
OMB................................................... 1.3 1.5 1.5 1.7 1.7 1.8
Blue Chip............................................. 1.6 1.8 2.0 2.1 2.2 2.2
Consumer Price Index (percentage change year over year):
CBO................................................... 2.3 2.2 2.4 2.5 2.5 2.5
OMB................................................... 2.2 2.1 2.1 2.2 2.2 2.3
Blue Chip............................................. 2.3 2.3 2.5 2.5 2.6 2.6
Unemployment Rate (percent, annual rate):
CBO................................................... 5.9 5.7 5.4 5.3 5.2 5.2
OMB................................................... 5.7 5.5 5.2 5.1 5.1 5.1
Blue Chip............................................. 5.9 5.6 5.3 5.2 5.1 5.1
3-month Treasury Bill Rate (percent, annual rate):
CBO................................................... 1.4 3.5 4.8 4.9 4.9 4.9
OMB................................................... 1.6 3.3 4.0 4.2 4.2 4.3
Blue Chip............................................. 1.4 2.8 4.1 4.4 4.5 4.6
10-year Treasury Note Rate (percent, annual rate):
CBO................................................... 4.4 5.2 5.7 5.8 5.8 5.8
OMB................................................... 4.2 5.0 5.3 5.4 5.5 5.6
Blue Chip............................................. 4.2 5.1 5.6 5.8 5.8 5.8
----------------------------------------------------------------------------------------------------------------
Source: CBO, OMB, and Blue Chip Economic Indicators.
Interest rates
OMB: OMB projects 3-month Treasury bill rates at 1.6
percent in calendar year 2003 and 3.3 percent in 2004. Beyond
2004, the administration projects lower interest rates than CBO
and the Blue Chip Consensus; the administration's projections
for the Treasury bill rates are 0.1 to 0.8 percentage point
lower than the CBO's and the Blue Chip's. The administration's
projection of the 10-year Treasury note rate is 4.2 percent for
2003 and then steadily increasing to 5.6 percent in 2008.
CBO: CBO forecasts 1.4 percent for 2003 for the Treasury
bill rate, and 3.5 percent for 2004. CBO projects higher long-
term interest rates than OMB, with differences in the 0.2 to
0.4 percentage point range.
Blue Chip: For the 3-month Treasury bill, the Blue Chip
forecasts 1.4 percent in 2003 and 2.8 percent in 2004. For
2003-2004, the Blue Chip projections for long-term interest
rates are very similar to those of OMB and CBO. Beyond 2004,
the Blue Chip projections are nearly identical to CBO's, but
above those of OMB.
In conclusion, the budget resolution uses the CBO's
economic assumptions presented in Table 2.
TABLE 2.--ECONOMIC ASSUMPTIONS OF THE BUDGET RESOLUTION
[Calendar years 2002-2013]
--------------------------------------------------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
--------------------------------------------------------------------------------------------------------------------------------------------------------
Real GDP (percentage change year over year):.................... 2.5 3.6 3.4 3.3 3.2 3.1 3.0 2.9 2.6 2.5 2.7
GDP Price Index (percentage change year over year):............. 1.6 1.7 2.0 2.1 2.1 2.2 2.2 2.2 2.2 2.2 2.2
Consumer Price Index (percentage change year over year):........ 2.3 2.2 2.4 2.5 2.5 2.5 2.5 2.5 2.5 2.5 2.5
Unemployment Rate (percent, annual rate):....................... 5.9 5.7 5.4 5.3 5.2 5.2 5.2 5.2 5.2 5.2 5.2
3-month Treasury Bill Rate (percent, annual rate):.............. 1.4 3.5 4.8 4.9 4.9 4.9 4.9 4.9 4.9 4.9 4.9
10-year Treasury Note Rate (percent, annual rate):.............. 4.4 5.2 5.7 5.8 5.8 5.8 5.8 5.8 5.8 5.8 5.8
--------------------------------------------------------------------------------------------------------------------------------------------------------
Source: CBO.
Homeland Security
----------
DEPARTMENT OF HOMELAND SECURITY \1\
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority........................... 19.8 26.7 26.8 27.2 27.5 28.1 289.6
Outlays.................................... 21.9 26.0 27.0 27.4 28.0 27.7 286.1
Discretionary Spending:
Budget Authority........................... 21.3 27.1 27.3 27.8 28.5 29.2 299.1
Outlays.................................... 23.7 26.7 27.6 28.0 28.8 28.6 296.0
Mandatory Spending:
Budget Authority........................... -1.5 -0.4 -0.5 -0.6 -1.0 -1.1 -9.6
Outlays.................................... -1.8 -0.7 -0.5 -0.6 -0.8 -0.9 -9.9
----------------------------------------------------------------------------------------------------------------
\1\ These figures reflect spending through the Department of Homeland Security only. Some homeland security
activities continue to be funded through other Departments and agencies.
Source: The Congressional Budget Office.
The Department of Homeland Security [DHS] consolidates the
activities of 22 Federal agencies, with funding from multiple
budget functions. Fiscal year 2004 will be the Department's
first full year. The Department's major activities are
described below.
The new agency was created by the Department of Homeland
Security Act of 2002 (Public Law 107-296), which was enacted on
25 November 2002. The intent is to provide improved management
and coordination of homeland security activities in light of
the ongoing threat of terrorist attacks. In most cases, the
activities were to be moved to the DHS by 1 March 2003. The
Department is expected to have approximately 180,000 employees.
The budget resolution fully funds the President's request
for homeland security. In the DHS, this includes activities of
the Transportation Security Administration, the U.S. Coast
Guard, the Bureau of Citizenship and Immigration Services,
Border and Transportation Security, First Responder grants,
health and medical activities, and Disaster Relief. The
resolution assumes no across-the-board reductions in these
areas.
It should be noted various Government agencies will
continue to carry on activities related to homeland security
outside the DHS itself. The Budget Committee should establish a
separate budget function for homeland security, to help assure
proper oversight of, and attention to these activities in the
budget process.
A total of $1.0 billion is assumed for the Department of
Homeland Security from programs and activities in Function 050.
These include selected nonproliferation activities conducted by
the Department of Energy (Function 053); Coast Guard operating
expenses (Function 054); the National Bioweapons Defense
Analysis Center (Department of Defense--Function 051); and the
National Communications System (Department of Defense--Function
051).
The functions of the National Simulation and Analysis
Center and the energy security and assurance programs of the
Department of Energy (Function 270) are transferred to the new
Department's Directorate of Information Analysis and
Infrastructure Protection.
The resolution assumes full funding for border inspection
and other responsibilities transferred from USDA to the
Department of Homeland Security. Under the Department of
Homeland Security Act of 2002, several functions previously
performed by the U.S. Department of Agriculture [USDA] will be
transferred to DHS, including agricultural import and entry
inspection activities from the Animal and Plant Health
Inspection Service [APHIS]. By June 1, 2003, the Plum Island
Animal Disease Center in New York will be transferred to DHS.
The resolution assumes $228 million for such activities within
the DHS' Border and Transportation Security Agency.
A total of $21 million is provided for Department-wide
technology investments as is $9 million for the Critical
Infrastructure Assurance Office under Information Analysis and
Infrastructure Protection (Function 370).
The budget resolution recommends $4.8 billion in Function
400 for the Transportation Security Administration, which will
be part of the new Border and Transportation Security Agency in
the Department of Homeland Security. An estimated $2.5 billion
will be financed by offsetting collections from aviation
passenger fees and airline security fees. The funds will be
used to fund airport security screener and supervisory staff
necessary to manage passenger and baggage screening; State and
local law enforcement personnel for screening checkpoints;
Federal air marshals; research and development of more
effective and efficient screening technologies; and activities
to improve flight deck safety. Funds are also to be used to
improve security of other modes of transportation, including
port security and mass transit. This is a $534 million
reduction from the President's fiscal year 2003 request level
(as amended), made possible by the completion of TSA rollout
activities this year, the rightsizing of the screener
workforce, and the absorption of some activities into other
Department of Homeland Security offices.
The resolution recommends $5.6 billion. This level supports
the National Strategy for Homeland Security initiative to
recapitalize Coast Guard assets.
The resolution restores funding for disaster relief in
Function 450 to a level consistent with historical trends. With
the creation of the new Department of Homeland Security, FEMA
has ceased to be an independent agency, and now is a part of
the new Department. Disaster relief funding, formerly
controlled by FEMA, now will be administered by the Department.
The resolution includes $3.2 billion for disaster relief in
fiscal year 2004, a level consistent with the average non-
terrorist event costs over the past 5 years. This includes $2
billion in new money, together with funding remaining unspent
from prior years. Funding also includes $300 million for a new
pre-disaster hazard mitigation program, which will provide
grants to State and local governments on a competitive basis.
This program will replace an existing formula grant program
that had been funded under the Disaster Relief Fund.
The First Responder Grant program also in Function 450 is
significantly expanded. The resolution provides $3.5 billion in
funding for grants for ``first responders'' such as local
firefighters, and search-and-rescue or police forces. This is a
$1.7 billion increase over the 2003 enacted level. Funding will
be administered by the Department of Homeland Security's Office
of Emergency Preparedness.
In Function 550 the resolution provides a reserve fund of
$5.6 billion over 10 years for BioShield, a program to
accelerate research, development, and purchase of bioterrorism
threat countermeasures.
Also within Function 550, the Department of Homeland
Security [DHS] has responsibility for the Strategic National
Stockpile, which was recently moved from the Department of
Health and Human Services [HHS]. The stockpile contains drugs,
vaccines, and other medical supplies and equipment that can be
delivered to any place in the country within 12 hours of a
request its future capacity. The resolution assumes $400
million to maintain and strengthen the stockpile.
In Function 750, DHS activities include specifically those
responsible for securing the Nation's borders, enhancing
Federal, State, and local law enforcement efforts, stopping
terrorist financing, and bringing terrorist conspirators to
justice.
The resolution funds a new Bureau of Citizenship and
Immigration Services [BCIS]. With the majority of BCIS funding
provided through mandatory fees, $235 million is assumed for
discretionary costs.
The resolution assumes $1.3 billion for the Secret Service,
a $105-million, or 9-percent, increase over fiscal year 2003
enacted appropriations. Much of this increase is expected to go
toward operations of an Executive Office of the President mail
inspection facility, and for election-cycle security costs.
The Border and Transportation Security Directorate [BTS],
will merge existing border-related operations into two distinct
operating agencies, and retain the Transportation Security
Administration in its current structure. The resolution assumes
$15.6 billion ($6 billion specific to Function 750) in fiscal
year 2004 for BTS. Included in the BTS activities are:
Border Activities. The resolution assumes $8.1 billion
for funding the bureaus responsible for enforcing the
Nation's customs and immigration laws. The resolution
further assumes $480 million for critical border protection
and integration efforts including the entry-exit system,
$313 million for the Automated Commercial Environment
[ACE], $150 for non-intrusive inspection technology, $62
million for the Container Security Initiative, and $18
million for the Customs-Trade Partnership Against
Terrorism.
Bureau of Customs and Border Protection. This bureau
consists primarily of Border Patrol officers and inspectors
from Immigration and Naturalization Service [INS], Customs,
and Agricultural Quarantine and Inspection. The resolution
assumes $6.5 billion in funding for the bureau in fiscal
year 2004 (excluding $228 million from Function 350).
Consistent with the Homeland Security Act, the 30,000-
person bureau will focus exclusively on security at and in-
between ports-of-entry and will standardize the inspection
process and unify the chain of command between existing
operations.
Bureau of Immigration and Customs Enforcement. This
agency consists of investigative and interior enforcement
personnel from the Customs Service, INS, and the Federal
Protective Service. The resolution assumes $2.8 billion for
the bureau in fiscal year 2004. The 19,000-person bureau
will focus on enforcement of immigration and customs laws
and will locate, detain and deport illegal immigrants,
track foreign students, and investigate smuggling and other
immigration and customs related criminal offenses.
Federal Law Enforcement Training Center [FLETC]. The
resolution assumes $122 million for FLETC. Additionally,
FLETC will remain a distinct entity within the BTS
directorate.
IAIP. The resolution assumes a sum of $46 million from
Function 750 will be used to support the $829 million
needed for the new Information Analysis and Infrastructure
Protection [IAIP], which will consolidate the incoming
agencies into an operationally cohesive unit but will
maintain the National Communications System as a distinct
entity.
Overhead savings. The resolution assumes DHS
consolidation efforts will result in $30 million in savings
from administrative overhead, with the potential for
additional savings as the transition of the Department
proceeds.
Departmental Management. The total request for DHS
Departmental Management is $540 million. Specific to
Function 750, the resolution assumes $125 million for
departmental management, $40 million for its
counterterrorism fund and $68 million for technology
investments.
Revenue
----------
REVENUE
[On-budget totals, in billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total.............................. 1,323.7 1,350.1 1,519.3 1,662.7 1,793.1 1,902.7 19,479.1
----------------------------------------------------------------------------------------------------------------
Summary
The component of the budget resolution designated as
revenue reflects all of the Federal Government's various tax
receipts that are classified as ``on-budget.'' This includes
individual income taxes; corporate income taxes; excise taxes,
such as the gasoline tax; various other taxes, such as estate
and gift taxes; and social insurance taxes except for Social
Security. Customs duties, tariffs, and other miscellaneous
receipts are also included in revenue.
The component of social insurance taxes that is collected
for the Social Security system, the Old Age and Survivors and
Disability Insurance [OASDI] payroll tax, is off-budget. The
remaining social insurance taxes (the Hospital Insurance [HI]
payroll portion of Medicare, the Federal Unemployment Tax Act
[FUTA] payroll tax, railroad retirement, and other retirement
systems) are all on-budget. Pursuant to the Congressional
Budget Act of 1974 and the Budget Enforcement Act of 1990,
Social Security payroll taxes, which constitute slightly more
than a quarter of all Federal receipts, are not included in the
budget resolution.
Committee-Reported Resolution
The budget resolution calls for $1.32 trillion in on-budget
revenue to be collected in fiscal year 2003, $1.35 trillion to
be collected in 2004, $8.23 trillion to be collected from 2004
through 2008 and $19.48 trillion to be collected from 2004
through 2013. This is estimated to result in $1.86 trillion in
total revenue in fiscal year 2003, $1.91 trillion in 2004,
$11.33 trillion over the next 5 years and $26.55 trillion over
the next 10, when off-budget Social Security taxes are added.
The resolution explicitly requires the Committee on Ways
and Means to report legislation to the House floor by 11 April
2003, making adjustments in current law to effect a reduction
in revenue of $698.3 billion between 2003-2013. This
``reconciles'' the President's Economic Growth Package under
the reconciliation rules of the Budget Act. (A sum of $27.5
billion in new mandatory spending authority is also reconciled
to the Ways and Means Committee as budget outlays because of
the refundable component of tax credits--such as the child tax
credits--are treated as budget outlays by the budget score
keeping convention).
The resolution additionally adjusts, but does not
reconcile, the revenue baseline down $602 billion in order to
provide for permanent extension of the provisions of the
Economic Growth and Tax Relief Reconciliation Act of 2001 that
otherwise will expire in 2010.
Finally, the budget accommodates, but does not reconcile,
$49.6 billion in additional tax relief over the next 11 years.
This additional tax relief policy will be determined by the
Committee on Ways and Means, but could include incentives for
charitable giving, health care, and energy production,
conservation and reliability, as well as extending the research
and experimentation tax credit and temporarily extending other
currently expiring provisions. Tariff and other revenue effects
of various trade initiatives are possible as well.
The budget resolution sets the on-budget revenue level of
the Federal Government for the next 11 years but it is the
responsibility of the Committee on Ways and Means to make the
specific adjustments in law to implement these levels.
THE CONTEXT OF TAX REDUCTION
The average for Federal taxes over the past 40 years is
about 18 percent of GDP, with a recent low of 17.5 percent in
1992 (at the beginning of the 1990s economic expansion) and a
high of 20.8 percent in 2000 (at the beginning of the recent
economic recession). In fiscal year 2003, Federal taxes are
expected to be 17.6 percent of GDP. Under current law, taxes as
a percent of GDP next year will increase to 17.9 percent, the
year after that to 18.5 percent, and over the next 10 years to
20.6 percent--back to record high levels. Economic growth will
be hindered under this growing tax burden as a share of the
economy. Even with the additional tax relief in this budget
resolution, the tax burden on Americans will stay well over the
17.9 percent of GDP post-World War II average.
TAX RELIEF PRINCIPLES
As noted previously, growth plans such as the President's
would provide significant benefits. Reducing income tax rates
would generate strong incentives for sustained growth--
especially when they are permanent reductions. Eliminating the
double taxation of corporate earnings would promote investment
by reducing the cost of capital and improving efficiency; it
would also promote gains in the stock market. Married couples
would benefit from the reduction in the marriage penalty, and
families from the increase in child credits.
In these and other ways, a carefully designed plan similar
to the President's could yield economic benefits for years to
come.
Major Policy Assumptions
NEW JOBS AND STRONG GROWTH
The economic growth plan assumed and reconciled in this
budget resolution--with a budget impact of $449 billion over
the next 6 years, and $729 billion over 11 years--is mainly
oriented toward personal income tax reductions. The specific
elements of President Bush's Economic Growth Package could be
included in the reconciliation act, as well as additional and/
or alternative congressional growth proposals. Growth policies
that could be incorporated include:
Immediate expansion of the 10-percent individual
income tax bracket: The expansion of the 10-percent bracket
scheduled for 2008 can be accelerated to 2003, and indexed
for inflation beginning in 2004. The endpoint of the 10-
percent tax bracket would increase from $12,000 of taxable
income to $14,000 for married couples and from $6,000 to
$7,000 for single taxpayers. This expansion immediately
benefits married taxpayers with taxable income of $12,000
and above, and single taxpayers with taxable income of
$6,000 and above.
Accelerated reduction of individual income tax rates:
The reduction in income tax rates in excess of 15 percent,
scheduled for 2004 and 2006, can also be moved up to 2003,
immediately resulting in new rates of 25 percent (instead
of 27 percent), 28 percent (instead of 30 percent), 33
percent (instead of 35 percent), and 35 percent (instead of
38.6 percent). These reductions immediately benefit married
couples with taxable income of $47,450 and above, and
single taxpayers with taxable income of $28,400 and above.
Faster marriage tax justice: Marriage penalty relief
can be accelerated. This would involve an increase in the
standard deduction for married couples to double the amount
of the standard deduction for single taxpayers in 2003. The
``width'' of the 15 percent tax bracket for married couples
would be increased to twice the ``width'' for single
taxpayers in 2003. These provisions are currently scheduled
to phase in over the period between 2005 and 2009. These
reductions immediately benefit married couples who claim
the standard deduction, or who have taxable income of
$47,450 and above.
Planned increase of the child tax credit immediately:
The amount of the child tax credit can be increased to
$1,000 in 2003 (from $600), accelerating a scheduled phase-
in between 2005 and 2010. In 2003, the increased amount of
the child tax credit could be paid in advance beginning in
July 2003 on the basis of information on the taxpayer's
2002 tax return filed in 2003. Advanced payments could be
made in a manner similar to the advance payment checks that
were issued in 2001 to reflect the new 10-percent tax
bracket. $27.5 billion in outlays is reconciled to the Ways
and Means Committee to make possible the acceleration of
the refundable component of this provision as well.
Individual relief from the Alternative Minimum Tax: To
ensure that the benefits from the acceleration of the tax
reductions for individual taxpayers proposed by the
President are not reduced by the Alternative Minimum Tax
[AMT], it is possible to increase the AMT exemption amount
by $8,000 for married taxpayers, and by $4,000 for single
taxpayers in 2003 through 2005.
Bigger small business incentive for new investment:
The amount of investment that may be immediately deducted
by small businesses can be increased from $25,000 to
$75,000 beginning in 2003. The amount of investment
qualifying for this immediate deduction would not begin to
phase out for small businesses until their investments
exceed $325,000 (increased from $200,000). Both parameters
could be indexed for inflation beginning in 2004.
Ending Double taxation of corporate earnings:
Dividends paid by corporations to individuals could be
excluded in whole or in part from taxable income when paid
out of previously taxed corporate income. This provision
would attack the inherently unfair double taxation of
dividends by the Federal Government. It also would
encourage corporate reform by providing an incentive for
increased accountability of companies to their
shareholders. This would come about because of the more
favorable condition for capital formation through income-
earning stocks rather than pure debt and retained-earning
equity. Dividends can provide evidence of a corporation's
underlying financial health and enable investors to more
readily evaluate a corporation's financial condition.
Dividends paid by corporations in excess of previously
taxed corporate income would still be included in taxable
income.
PRIOR TAX CUTS BECOME PERMANENT
The budget resolution allows for the permanent extension
of: marginal individual income tax rate reductions expiring in
2010; the child tax credit expiring in 2010 ($22 billion in
outlays also provided for the refundable component); marriage
penalty relief expiring in 2010; education incentives expiring
in 2010; repeal of estate and generation-skipping transfer
taxes and modification of gift taxes expiring in 2010;
modifications of individual retirement accounts and pension
plans expiring in 2010; and other incentives for families and
children expiring in 2010.
OTHER POSSIBLE REVENUE PROPOSALS
The resolution provides about $50 billion in additional tax
relief. The particular mix of tax policies this amount can
entail will be determined by the Committee on Ways and Means,
but could include:
Charitable giving: Deductions for non-itemizers and
tax-free withdrawals from IRA accounts.
Education: Tax credit for school costs of students who
choose to leave failing public schools and deductions for
teachers' out-of-pocket classroom expenses.
Health Care: Tax credit for the purchase of health
insurance, an above-the-line deduction for long-term care
insurance premiums, permanent extension and reform of
Archer Medical Savings Accounts; and an additional personal
exemption to home caretakers of family members.
Savings: Individual Development Accounts [IDAs].
Environment: Extension of expensing brownfields
remediation costs and excluding 50 percent of gains from
the sale of property for conservation purposes.
Energy: Tax credits for producing electricity from
renewable sources, using residential solar energy systems,
the purchase of certain hybrid and fuel cell vehicles,
energy produced from landfill gas and combined heat and
power property, and an excise tax exemption for ethanol.
Trade: Free trade agreements with Chile and Singapore.
R&D Tax Credit: The research and experimentation tax
credit expires on June 30, 2004.
Temporary ``Extenders'': These expiring provisions
include minimum tax relief for individuals, allowing full
deductiability of net operating losses under AMT, combined
work opportunity/welfare-to-work tax credit, deduction for
corporate donations of computer technology, Washington, DC
tax incentives, and authority to issue Qualified Zone
Academy Bonds.
Function-by-Function Presentation
----------
050 National Defense
100 Homeland Security
150 International Affairs
250 Science, Space and Technology
270 Energy
300 Natural Resources and Environment
350 Agriculture
370 Commerce and Housing Credit
400 Transportation
450 Community and Regional Development
500 Education, Training, Employment and Social Services
550 Health
570 Medicare
600 Income Security
650 Social Security
700 Veterans Benefits
750 Administration of Justice
800 General Government
900 Net Interest
920 Allowances
950 Undistributed Offsetting Receipts
FUNCTION 050: NATIONAL DEFENSE
----------
FUNCTION 050: NATIONAL DEFENSE
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 392.5 400.6 420.1 440.2 460.4 480.9 4,814.0
Outlays........................ 386.2 400.9 414.2 426.0 438.7 462.9 4,704.4
Discretionary Spending:
Budget Authority............... 392.1 400.1 419.4 439.5 459.7 480.1 4,806.5
Outlays........................ 386.4 400.6 413.7 425.4 438.0 462.2 4,697.6
Mandatory Spending:
Budget Authority............... 0.4 0.5 0.6 0.7 0.7 0.8 7.4
Outlays........................ -0.1 0.4 0.6 0.6 0.7 0.7 6.8
----------------------------------------------------------------------------------------------------------------
Function Summary
The funding levels in the resolution for Function 050
reflect the Nation's urgent requirement to defeat terrorism
overseas and improve homeland security, while providing
continued investment in the transformation of the armed forces.
The terrorist attacks of 11 September 2001 underscore the
necessity for a revitalized military capable of winning
decisively against conventional and unconventional threats to
the security of the United States.
The National Defense function includes funds to develop,
maintain, and equip the military forces of the United States.
More than 95 percent of the funding in this function goes to
Department of Defense [DOD] military activities, including
funds for ballistic missile defense. The function also includes
pay and benefits for military and civilian personnel; research,
development, testing, and evaluation; procurement of weapon
systems; military construction and family housing; and
operations and maintenance of the defense establishment. The
remaining funding in the function is applied to atomic energy
defense activities of the Department of Energy, and other
defense-related activities.
In the period of fiscal years 1998-2003, BA in Function 050
has increased at an average annual rate of 7.7 percent--from
$271.3 billion to $392.5 billion.
Summary of Committee-Reported Resolution
The resolution calls for $400.6 billion in BA and $400.9
billion in outlays in fiscal year 2004, an increase of 2.0
percent in BA compared with fiscal year 2003. The function
totals are $2,202.1 billion in BA and $2,142.7 billion in
outlays over 5 years; and $4,814.0 billion in BA and $4,704.4
billion in outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
provides $400.1 billion in BA and $400.6 billion in outlays.
This is an increase of $8.0 billion in BA and $14.2 billion in
outlays over fiscal year 2003. The resolution calls for
$2,198.9 billion in BA and $2,139.8 billion in outlays over 5
years, and $4,806.6 billion in BA and $4,697.6 billion in
outlays over 10 years.
Mandatory spending in this function is $0.5 billion in BA
and $0.4 billion in outlays in fiscal year 2004; $3.3 billion
in BA and $2.9 billion in outlays over 5 years; and $7.4
billion in BA and $6.8 billion in outlays over 10 years. Over
the 2004-2008 period, mandatory spending grows by $0.3 billion;
and over the 2004-2013 period by $0.5 billion.
NATIONAL DEFENSE AND THE WAR AGAINST TERRORISM
The BA and outlay funding levels for National Defense will
support critical military and homeland security initiatives,
consistent with the President's recommendations. The Department
of Defense would not be subject to the 1-percent reduction
applied to programs in most other areas.
Discretionary spending
The resolution assumes $98.6 billion for pay and benefits,
an increase of 5.6 percent. It funds a range of military pay
increases from 2.0 percent up to 6.5 percent, targeted by rank
and years of service. This initiative is intended to retain
DOD's most experienced personnel. The average military pay
raise for fiscal year 2004 is 4.1 percent. The resolution also
assumes the reduction of out-of-pocket housing costs from 7.5
percent to 3.5 percent for personnel living in private housing.
These costs are schedule to drop to zero in fiscal year 2005.
The resolution allows for $117.0 billion for operations and
maintenance in fiscal year 2004, an increase of $3.4 billion
over the previous year. Operations and maintenance contains
funding for training and education, operations, and support of
the military forces; maintenance of fielded weapon systems and
equipment; and operation and maintenance of facilities. It also
includes funding of pay for DOD civilian personnel.
For military procurement, the resolution recommends $72.7
billion. This is the highest funding level for this activity
since fiscal year 1990. Procurement contains funding for the
purchase and initial fielding of weapon systems, aircraft,
ships, vehicles, ammunition, and other combat-related systems.
The resolution accommodates $61.8 billion for research,
development, test, and evaluation--the seed money for the next
generation of weapons. This represents a $5.0-billion increase
over the current year's appropriated level. This level is the
highest in DOD's history.
The resolution assumes $6.7 billion that the Office of
Management and Budget classifies as Homeland Security-related
spending within DOD. This funding provides for initiatives to
include intrusion detection, blast mitigation, chemical and
biological detection, personal protection gear, harbor patrol,
and measures to restrict base access.
The resolution is consistent with the President's request
for $9.1 billion for the Missile Defense Agency, a $1.5-billion
increase over the previous year. The program will focus on
fielding an initial capability in 2004 and 2005; this program
would provide a modest near-term defense against North Korean
missiles.
The resolution accommodates full funding of health benefits
for active duty members, retirees, and their dependents,
including the expansion of military health care mandated by the
Fiscal Year 2001 Defense Authorization Act. It assumes a total
of $27.2 billion in expenditures for health care, including
$16.2 billion to support the direct health care system, and
$10.8 billion for contract care (some of these expenditures
take place outside Function 050).
The Special Forces that play a crucial role in the war
against terrorism are assumed to be funded at $4.52 billion,
consistent with the President's request. This represents a 47-
percent increase over the current year funding level.
Mandatory spending
The resolution assumes $70 million in mandatory BA to
permit proceeds from facilities that were acquired,
constructed, or improved with commissary surcharges or
nonappropriated funds, and that were closed under Base
Realignment and Closure authority, to be reapplied to
nonappropriated fund activities without an appropriation.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
FUNCTION 150: INTERNATIONAL AFFAIRS
----------
FUNCTION 150: INTERNATIONAL AFFAIRS
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 22.5 24.7 28.6 31.1 32.3 33.1 326.4
Outlays........................ 19.3 23.7 24.1 25.6 27.4 28.4 284.5
Discretionary Spending:
Budget Authority............... 25.4 27.8 29.1 30.6 31.8 32.8 328.2
Outlays........................ 26.0 26.4 26.9 28.5 30.3 31.2 313.5
Mandatory Spending:
Budget Authority............... -2.9 -3.1 -0.5 0.5 0.4 0.3 -1.7
Outlays........................ -6.7 -2.7 -2.8 -2.8 -2.9 -2.8 -29.0
----------------------------------------------------------------------------------------------------------------
Function Summary
As part of the global war on terrorism, the Department of
State and international assistance programs play a vital role
in maintaining and expanding support of the international
coalition against terrorism. Funds distributed through the
International Affairs function provide for international
development and humanitarian assistance; international security
assistance; the conduct of foreign affairs; foreign information
and exchange activities; and international financial programs.
The major departments and agencies in this function include the
Department of State, the Department of the Treasury, and the
United States Agency for International Development [USAID].
Spending in Function 150 grew from $14.8 billion in BA in
fiscal year 1998 to $22.5 billion in BA in fiscal year 2003. BA
for International Affairs is 1.0 percent of total Federal BA,
and above the recent historical low of 0.9 percent in 1998.
International Affairs BA was about 1.2 percent of the Federal
budget in 1983, and 2.2 percent in 1993.
Summary of Committee-Reported Resolution
The budget resolution calls for $24.7 billion in BA and
$23.7 billion in outlays in fiscal year 2004, an increase of
9.8 percent in BA compared with fiscal year 2003. The function
totals are $149.8 billion in BA and $129.2 billion in outlays
over 5 years, and $326.4 billion in BA and $284.5 billion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $27.8 billion in BA and $26.4 billion in outlays.
This is an increase of $2.4 billion in BA and $376 million in
outlays over fiscal year 2003. The resolution calls for $152.2
billion in BA and $143.2 billion in outlays over 5 years, and
$328.2 billion in BA and $313.5 billion in outlays over 10
years.
Mandatory spending in this function is -$3.1 billion in BA
and -$2.7 billion in outlays in fiscal year 2004; and -$2.4
billion in BA and -$14.0 billion in outlays over 5 years; and
-$1.7 billion in BA and -$29.0 billion in outlays over 10
years.
Discretionary spending
The Department of State and international assistance
programs play a vital role in maintaining and expanding support
of the international coalition against terrorism. The budget
resolution recommends the President's request of $4.7 billion
to help win the global war against terrorism and alleviate
conditions that can promote it.
The resolution allows for $463 million for the Andean
Counter-drug Initiative to support the Colombian government's
campaign against terrorists and the drug trade that fuels their
activities. It also recommends the President's proposal to
create a new Government corporation (the Millennium Challenge
Corporation) to administer a $1.3 billion fund designed to
promote just governance and sound free-market economic policies
in International Development Association-eligible countries
(with per capita incomes below $1,435 per annum).
The budget resolution allows for $2 billion as the first
installment of the President's Emergency Plan for AIDS Relief,
a 5-year, $15-billion initiative to turn the tide in the global
effort to combat the HIV/AIDS pandemic. This initiative--funded
through USAID, the Department of Health and Human Services, and
the Centers for Disease Control--virtually triples U.S. funding
to fight the international AIDS pandemic, including:
A sum of $450 million for the Global AIDS Initiative
to help the most afflicted countries in Africa and the
Caribbean.
A total of $200 million for the Global Fund to Fight
AIDS, Tuberculosis, and Malaria ($100 million in USAID and
$100 million in HHS), raising the total U.S. pledge to $700
million, or 29 percent of total pledges.
A sum of $100 million for the International Mother and
Child HIV Prevention Initiative for a total funding level
of $300 million ($150 million in USAID and $150 million in
HHS funds).
The resolution assumes funds sufficient for the President's
proposal to create a new government corporation--the Millennium
Challenge Corporation--to administer a $1.3-billion fund
designed to promote just governance and sound free-market
economic policies in International Development Association-
eligible countries (with yearly per-capita incomes below
$1,435).
The budget resolution recommends $200 million for the
President's proposal to create a new fund with flexible
authority to provide emergency food aid and grants.
The resolution also recommends an additional $75 million
for the Trust Fund for Heavily Indebted Poor Countries [HIPC],
and $20 million for the Treasury Debt Restructuring account for
debt reduction under the Tropical Forest Conservation Act.
Mandatory spending
The resolution makes no specific mandatory assumptions.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the resolution.
Notwithstanding the recommended level for Function 250, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 250: GENERAL SCIENCE, SPACE, AND TECHNOLOGY
----------
FUNCTION 250: GENERAL SCIENCE, SPACE, AND TECHNOLOGY
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 23.1 22.8 23.6 24.3 25.1 25.9 260.8
Outlays........................ 21.6 22.3 23.1 23.7 24.4 25.1 254.1
Discretionary Spending:
Budget Authority............... 23.0 22.7 23.6 24.3 25.1 25.9 260.5
Outlays........................ 21.5 22.3 23.0 23.6 24.4 25.1 253.6
Mandatory Spending:
Budget Authority............... 0.1 0.0 0.0 0.0 0.0 0.0 0.3
Outlays........................ 0.1 0.1 0.1 0.1 0.0 0.0 0.5
----------------------------------------------------------------------------------------------------------------
Function Summary
Function 250 consists of General Science, Space and
Technology programs. The largest component of this function--
about two-thirds of total spending--is for the space flight,
research, and supporting activities of the National Aeronautics
and Space Administration [NASA]. The function also reflects
general science funding, including the budgets for the National
Science Foundation [NSF], and the fundamental science programs
of the Department of Energy [DOE].
The average growth rate over the last 5 years (1998-2003)
was 5.2 percent. BA for Function 250 has grown from $18.0
billion in 1998 to $23.2 billion for fiscal year 2003.
Summary of Committee-Reported Resolution
The resolution calls for approximately $22.8 billion in BA
and $22.3 billion in outlays in fiscal year 2004, a decrease of
1.6 percent in BA compared with fiscal year 2003. The function
totals are $121.8 billion in BA and $118.7 billion in outlays
over 5 years; and $260.8 billion in BA and $254.1 billion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
provides for $22.7 billion in BA and $22.3 billion in outlays.
The resolution calls for $121.6 billion in BA and $118.3
billion in outlays over 5 years, and $260.5 billion in BA and
$253.6 billion in outlays over 10 years.
Mandatory spending in this function is $30 million in BA
and $97 million in outlays in fiscal year 2004; and $153
million in BA and $329 million in outlays over 5 years; and
$317 million in BA and $488 million in outlays over 10 years.
Discretionary spending
The resolution provides for $5.5 billion for NSF, a $200
million, or 3.8-percent increase from the fiscal year 2003
level enacted. The resolution includes $4.1 billion for
research and related activities. Of this total, $1.1 billion
represents 40 percent of the Federal funding for university-
based research in math and physical sciences. The budget also
recommends $938 million to support education and research in
all science, technology engineering, and mathematics
disciplines. The research equipment and facilities construction
part of NSF's budget would receive $202 million, a 60.2-percent
increase over 2003.
Regarding NASA, the budget resolution is consistent with
the agency's strategic plan. Until further investigation of the
Colombia incident, the resolution considers it premature to add
additional funds for a space shuttle replacement.
The resolution provides for $14.5 billion for NASA in
Function 250. Another $978 million for NASA science,
aeronautics, and technology is included in Function 400
(Transportation), bringing NASA's total to $15.5 billion, $469
million or a 3.1-percent increase over fiscal year 2003.
Starting with fiscal year 2004, NASA programs include the full
cost of civil servant salaries and other costs previously
included in other accounts in the NASA budget. Because of this
accounting change, it is impossible to be precise about how
these full costs would have been distributed in previous years'
budgets. This level of funding in the resolution is consistent
with NASA's request prior to the Columbia incident.
Mandatory spending
The resolution makes no specific mandatory spending
assumptions in this function.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for Function 250, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 270: ENERGY
----------
FUNCTION 270: ENERGY
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 2.1 2.6 2.7 2.6 2.4 3.0 29.3
Outlays........................ 0.4 0.9 1.0 1.2 1.0 1.4 15.6
Discretionary Spending:
Budget Authority............... 3.2 3.6 3.9 3.8 3.8 4.7 45.3
Outlays........................ 3.2 3.6 3.9 3.9 3.8 4.6 45.0
Mandatory Spending:
Budget Authority............... -1.2 -1.0 -1.2 -1.2 -1.4 -1.8 -16.1
Outlays........................ -2.7 -2.7 -2.9 -2.7 -2.8 -3.2 -29.4
----------------------------------------------------------------------------------------------------------------
Function Summary
The Energy function reflects civilian energy and
environmental activities and programs of the Federal
Government. Through this function, spending is provided for
energy supply programs, such as solar and renewable, fossil and
nuclear research at the Department of Energy [DOE]; rural
electricity and telecommunications loans, administered through
the Rural Utilities Service of the Department of Agriculture;
electric power generation and transmission programs of the
Power Marketing Administrations (the Southeastern Power
Administration, the Southwestern Power Administration, the
Western Area Power Administration, and the Bonneville Power
Administration); and power generation and transmission programs
of the Tennessee Valley Authority [TVA]. This function also
provides funds for energy conservation programs; emergency
energy preparedness (mainly the Strategic Petroleum Reserve);
and energy information, policy, and regulation programs,
including spending by the Office of the Secretary of Energy and
the operations of the Federal Energy Regulatory Commission, the
Nuclear Regulatory Commission [NRC] and the U.S. Enrichment
Corporation
Function 270 does not include DOE's national security
activities--the National Nuclear Security Administration--which
are in Function 050 (Defense), or its basic research and
science activities, which are in Function 250 (General Science,
Space, and Technology).
The average annual funding increase in BA over the past 5
years (1998-2003) is 47.6 percent, for which mandatory charged
receipts (negative spending) are mostly responsible.
Discretionary funding is up 1 percent a year during this
period. Receipts, repayments, and electricity sales result in
negative mandatory BA and outlays.
Summary of Committee-Reported Resolution
The resolution calls for $2.6 billion in BA and $0.9
billion in outlays in fiscal year 2004, an increase of 25
percent in BA compared with fiscal year 2003. The function
totals are $13.3 billion in BA and $5.6 billion in outlays over
5 years, and $29.3 billion in BA and $15.6 billion in outlays
over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $3.6 billion in BA and outlays. This is an increase
of approximately $0.4 billion in BA and $0.5 billion in outlays
over fiscal year 2003.
Mandatory spending in this function is -$1.0 billion in BA
and -$2.7 billion in outlays in fiscal year 2004; -$6.6 billion
in BA and -$14.2 billion in outlays over 5 years, and -$16.1
billion in BA and -$29.4 billion in outlays over 10 years. Over
the 2004-2008 period, mandatory spending declines by -$0.6
billion due to increasing offsetting receipts from various loan
repayments and liquidations, electricity sales, and fees.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
OTHER PRIORITIES
Discretionary spending
The resolution also protects the homeland outside the new
Department of Homeland Security. A sum of $619 million is
assumed in fiscal year 2004 for the Nuclear Regulatory
Commission to continue to review and strengthen NRC's physical
facilities and information technology infrastructure to enhance
nuclear plant security. $546 million of this amount is provided
by fees and receipts.
The resolution can accommodate the President's
discretionary proposals, which fulfill the National Energy
Policy recommendations to focus Federal investment on future
energy solutions. For discretionary spending, the resolution
actually provides a 12-percent increase from $3.2 billion in
fiscal year 2003 to $3.6 billion in fiscal year 2004, and a 47-
percent increase over the next 5 years. This would support new
energy research initiatives on hydrogen, nuclear and coal, as
well as additional low-income weatherization and conservation
assistance.
Mandatory spending
The small aggregate totals in Function 270 come about
because the mandatory spending component is negative. Negative
spending on the mandatory side of $2.7 billion in 2004, the
same as 2003, is due to rural electrification and
telecommunications loan repayments and liquidations, Tennessee
Valley Authority and Power Marketing Administration electricity
sales, nuclear waste disposal fees, and uranium sales and
enrichment fees.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 300: NATURAL RESOURCES AND ENVIRONMENT
----------
FUNCTION 300: NATURAL RESOURCES AND ENVIRONMENT
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 30.8 29.2 30.3 30.9 31.4 32.2 331.0
Outlays........................ 28.9 29.9 30.3 31.2 31.3 31.7 327.9
Discretionary Spending:
Budget Authority............... 29.2 27.0 27.6 28.2 28.8 29.6 303.1
Outlays........................ 27.9 28.2 28.2 28.4 28.8 29.3 302.0
Mandatory Spending:
Budget Authority............... 1.6 2.2 2.7 2.8 2.7 2.6 27.8
Outlays........................ 1.1 1.7 2.1 2.8 2.6 2.4 25.9
----------------------------------------------------------------------------------------------------------------
Function Summary
Programs within Function 300 consist of water resources,
conservation, land management, pollution control and abatement,
and recreational resources. Major departments and agencies in
this function are the Department of Interior, including the
National Park Service [NPS], the Bureau of Land Management
[BLM], the Bureau of Reclamation, and the Fish and Wildlife
Service [FWS]; conservation-oriented and land management
agencies within the Department of Agriculture [USDA] including
the Forest Service; the National Oceanic and Atmospheric
Administration [NOAA] in the Department of Commerce; the Army
Corps of Engineers; and the Environmental Protection Agency
[EPA].
Over the past 5 years, funding for Function 300 has grown
by an average annual rate of 4.8 percent.
Summary of Committee-Reported Resolution
The resolution calls for $29.2 billion in BA and $29.9
billion in outlays in fiscal year 2004. The function totals are
$154.1 billion in BA and $154.4 billion in outlays over 5
years, and $331.0 billion in BA and $327.9 billion in outlays
over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $27.0 billion in BA and $28.2 billion in outlays. The
resolution calls for $141.2 billion in BA and $142.9 billion in
outlays over 5 years, and $303.1 billion in BA and $302.0
billion in outlays over 10 years.
Mandatory spending in this function is $2.2 billion in BA
and $1.7 billion in outlays in fiscal year 2004. This spending
would be $12.9 billion in BA and $11.5 billion in outlays over
5 years, and $27.8 billion in BA and $25.9 billion in outlays
over 10 years.
The following recommendations are assumed, or can be
accommodated, by the resolution.
Discretionary spending
A sum of $706 million in funds for reducing the
National Park Service's $5-billion backlog in operations
and maintenance. After nearly doubling the account in last
year's resolution, the resolution increases funds by $45
million, or 7 percent.
Full funding for the Land and Water Conservation Fund
[LWCF] at $901 million. This funding, which comes from
receipts for oil and gas drilling primarily from the Outer
Continental Shelf, is used by Federal and State governments
for local conservation projects, natural resource
protection, and outdoor recreation.
Full funding for the Cooperative Conservation
Initiative. The resolution allows $113 million in matching
funds for the NPS, FWS, BLM, and other land management
agencies to partner with adjacent landowners and other
private citizens on resource conservation projects.
A total of $1.4 billion for the Superfund program, a
9-percent, or $117-million, increase over the 2003 level.
This funding level will enable 10 to 20 new construction
starts in 2004, and a similar increase in the number of
completions by 2006.
A $17-million increase for NOAA's portion of the
multiagency Climate Change Research Initiative [CCRI]. The
CCRI will advance climate modeling capabilities and
climate-observation systems.
A sum of $1.2 billion within EPA's budget for
scientific research into environmental threats to
children's health: and $5 million for the STAR Fellowship
program to help attract the Nation's best scientists to
EPA.
Funding for the Forest Service's Hazardous Fuels
Treatments Program of $230 million. This program removes
the amount of brush and small trees that exacerbate the
risk of catastrophic fire which led to the second worst
fire season in 50 years last year destroying 7 million
acres and killing 21 firefighters. Funding will be focused
on activities that protect human life by dedicating 70
percent to the wildland-urban interface. The $230-million
level represents a 90-percent increase over the past 3
years.
A sum of $123 million to support the EPA's homeland
security responsibilities. The resolution allows the agency
to continue protecting the Nation's critical water
infrastructure while upgrading and improving emergency
response capabilities.
Mandatory spending
The Central Utah Project Completion Act [CUP], which
clarifies and streamlines completion of project goals. The
CUP provides water for agricultural, industrial, and
municipal uses.
Permanent extension of the Recreation Fee Program
which allows parks, refuges, forests, and other publicly
owned units to spend fees within the units from which they
are collected. This proposal is another tool for reducing
the multibillion dollar backlog in our existing publicly
owned parks, forests, and refuges.
Legislation to prevent the United Mine Workers of
America Combined Benefit Fund from financial crisis by
transferring to it any additional interest from the
Abandoned Mine Land Reclamation Fund.
Legislation allowing the Bureau of Land Management to
use updated management plans to identify publicly owned
areas suitable for sale. Using management plans with the
most up-to-date scientific information will allow the BLM
to keep the most environmentally sensitive holdings under
Federal protection. The proposal also allows a portion of
the receipts from sales to be used for restoration projects
The Water Resources Development Act of 2002, which
authorizes the Corps of Engineers to conduct water resource
studies and undertake specified projects and programs for
flood control, inland navigation, shoreline protection, and
environmental restoration.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for Function 300, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 350: AGRICULTURE
----------
FUNCTION 350: AGRICULTURE
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 24.4 24.0 26.1 25.8 25.1 24.0 240.8
Outlays........................ 23.4 23.4 25.2 25.0 24.4 23.5 237.1
Discretionary Spending:
Budget Authority............... 5.8 5.1 5.5 5.6 5.7 5.8 59.5
Outlays........................ 5.9 5.5 5.3 5.5 5.6 5.8 59.2
Mandatory Spending:
Budget Authority............... 18.7 18.9 20.7 20.2 19.4 18.2 181.3
Outlays........................ 17.5 17.8 19.9 19.5 18.8 17.7 177.9
----------------------------------------------------------------------------------------------------------------
Function Summary
The Agriculture function includes funds for direct
assistance and loans to food and fiber producers, export
assistance, market information, inspection services, and
agricultural research. Farm policy is driven by the Farm
Security and Rural Investment Act of 2002, which provides
producers with continued planting flexibility while protecting
them against unique uncertainties such as poor weather
conditions and unfavorable market conditions.
Over the past 5 years, funding for Function 350 has grown
by an average annual rate of 13.9 percent. A major contributor
to this dramatic increase has been the large swings in
commodity prices over this period. Commodity prices often
fluctuate dramatically from year to year. This has a huge
impact on the cost of mandatory programs, which make up
approximately 75 percent of Function 350 programs.
Summary of Committee-Reported Resolution
The resolution calls for $24.0 billion in BA and $23.4
billion in outlays in fiscal year 2004. The function totals are
$125.1 billion in BA and $121.5 billion in outlays over 5
years, and $240.8 billion in BA and $237.1 billion in outlays
over 10 years.
For fiscal year 2004 discretionary spending, the resolution
allows for $5.1 billion in BA and $5.5 billion in outlays. It
allows for $27.7 billion in BA and $27.7 billion in outlays
over 5 years, and $59.5 billion in BA and $59.2 billion in
outlays over 10 years.
Mandatory spending in this function is $18.9 billion in BA
and $17.8 billion in outlays in fiscal year 2004; $97.4 billion
in BA and $93.8 billion in outlays over 5 years; and $181.3
billion in BA and $177.9 billion in outlays over 10 years.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
OTHER PRIORITIES
Other items assumed in, or accommodated by, the resolution
include:
Discretionary spending
A $23-million increase for the APHIS inspection
budget. These funds will be used for inspections at certain
ports of entry; increasing the availability of vaccines for
foot-and-mouth disease and expanding diagnostic and other
scientific and technical services.
An increase in the USDA food safety budget of $92
million. This includes an increase of $42 million for the
Food Safety and Inspection Service [FSIS].
A $47-million increase for USDA's research agencies
for strengthening laboratory security measures; conducting
additional research on emerging animal diseases; new
vaccine development; new biosecurity database systems; and
continued development of the unified Federal-State
Diagnostic Network for identifying and responding to high
risk biological pathogens.
A sum of $2.2 billion for agricultural research,
education, and extension programs--an increase of $30
million, including increases for bioterrorism, emerging and
exotic diseases, genomics, cyber security, and the National
Research Initiative [NRI].
A total of $178 million in funding for the Common
Computing Environment program--an increase of $45 million,
or 33 percent. By modernizing the Department's computer
system, the program will help to improve employee
efficiency and internet access and electronic filing
capabilities.
Mandatory spending
A $511-million, or 17-percent increase for the Risk
Management Agency, which administers the Crop Insurance
Program and protects producers against a wide range of
environmental risks.
Full funding for trade assistance programs, including
a 39-percent increase for the Market Access Program, a 4-
percent increase for the Public Law 480 program, and a 58-
percent increase for the Dairy Export Incentive Program.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for Function 350, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 370: COMMERCE AND HOUSING CREDIT
----------
FUNCTION 370: COMMERCE AND HOUSING CREDIT
[On-budget amounts in billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 8.8 7.4 8.6 8.1 9.2 8.6 86.7
Outlays........................ 5.9 3.6 4.1 3.1 3.4 2.4 26.5
Discretionary Spending:
Budget Authority............... 0.2 -0.5 -0.2 -0.5 0.6 0.9 7.1
Outlays........................ 0.1 0.1 -0.3 -0.6 0.5 0.7 6.7
Mandatory Spending:
Budget Authority............... 8.7 7.9 8.9 8.6 8.6 7.7 79.6
Outlays........................ 5.8 3.4 4.4 3.7 2.8 1.6 19.8
----------------------------------------------------------------------------------------------------------------
Function Summary
Function 370 includes four components: mortgage credit
(usually negative BA because receipts tend to exceed the losses
from defaulted mortgages); the Postal Service (mostly off
budget); deposit insurance (negligible spending due to reserve
supporting fees, etc.); and other advancement of commerce (the
majority of the discretionary and mandatory spending in this
function).
The mortgage credit component of this function includes
housing assistance through the Federal Housing Administration
[FHA], the Federal National Mortgage Association [Fannie Mae],
the Federal Home Loan Mortgage Corporation [Freddie Mac], the
Government National Mortgage Association [Ginnie Mae], and
rural housing programs of the Department of Agriculture. The
function also includes net postal service spending and spending
for deposit insurance activities of banks, thrifts, and credit
unions. Finally, most, but not all, of the Commerce Department
is provided for in this function including the International
Trade Administration, Bureau of Economic Analysis, Patent and
Trademark Office [PTO], National Institute of Standards and
Technology, National Telecommunications and Information
Administration, and the Bureau of the Census; as well as
independent agencies such as the Securities and Exchange
Commission [SEC], the Commodity Futures Trading Commission, the
Federal Trade Commission, the Federal Communications Commission
[FCC], and the majority of the Small Business Administration
[SBA].
More than two-thirds of the spending in Function 370 is out
of the FCC's Universal Service Fund. (This fund receives the
receipts accounted for as revenue that certain
telecommunications operators derive from charges on their
consumers and customers to promote service to low-income users
and high-cost areas, as well as new services).
The average annual increase in on-budget BA over the past 5
years (1998-2003) for Function 370 is 2 percent. Off-budget BA
is down $7.5 billion for the same 5 years and negative in 2003
for the off-budget Postal Service due to receipts exceeding
costs.
Summary of Committee-Reported Resolution
The resolution calls for $7.4 billion on-budget in BA and
$3.6 billion in on-budget outlays in fiscal year 2004, a
decline of 16 percent in BA compared with fiscal year 2003. The
function totals are $42.0 billion in BA and $16.5 billion in
outlays over 5 years, and $86.7 billion in BA and $26.5 in
outlays over 10 years. However, when the ``off-budget'' U.S.
Postal Service component is included (assuming the proposal
regarding reduced Postal Service retirement payments to the
Treasury--see Function 950), Function 370 actually goes up $2
billion in the aggregate, from $5.2 billion in 2003 to $7.2
billion in 2004, a 38-percent increase.
For fiscal year 2004 discretionary spending, the resolution
calls for approximately -$0.5 billion in BA and $0.1 billion in
outlays. Discretionary funding is negative due to various
receipts and offsets being accounted for here, including for
FHA mortgage insurance and excess SEC and PTO fees. These off-
setting collections exceed the total costs of the Commerce
Department, SBA, and other independent agencies.
Mandatory on-budget spending in this function under the
resolution is $7.9 billion in BA and $3.4 billion in outlays in
fiscal year 2004; $41.7 billion in BA and $16.0 billion in
outlays over 5 years, and $79.6 billion in BA and $19.8 billion
in outlays over 10 years. Over the 2004-2008 period, mandatory
on-budget spending declines by $1.0 billion. The mandatory
spending is all at current law levels, the majority of which is
out of the Universal Service Fund for telecommunications
service subsidies to schools, libraries, health care providers,
high-cost areas and low-income consumers.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
OTHER PRIORITIES
The resolution assumes other funding for homeland security
purposes of the Commerce Department, including: $83.9 million
for the Bureau of Industry and Security to inhibit the global
spread of dual-use technologies that could be used in
biological, chemical, and nuclear weapons of mass destruction,
(formerly the Bureau of Export Administration); $10.3 million
for the National Institute of Standards and Technology; and
$3.7 million for the International Trade Administration.
Discretionary spending
The SEC can be increased to hire more accountants,
attorneys, and examiners to protect investors, root out fraud,
and combat corporate wrongdoing. Other activities authorized
under the Oxley-Sarbanes Act, including the Public Company
Accounting Oversight Board and for a standards setting body,
can be fully provided for in this function as well. Funds for
Census Bureau needs and planning toward re-engineering the 2010
decennial population count are also assumed. SBA can make
available almost $21 billion in non-disaster small business
loans, $5.5 billion more than today, under this resolution.
(SBA disaster loans are accounted for in Function 450, Regional
and Community Development).
Mandatory spending
The resolution assumes the following mandatory spending
policies: Reduction of the Postal Service's contributions to
the Civil Service trust fund, Merger of the Bank Insurance Fund
and the Savings Association Insurance Fund, which will reduce
premium payments collected by the combined fund, and
legislation to pay interest on bank deposits with the Federal
Reserve, known as sterile reserves. The resolution also assumes
enactment of legislation providing regulatory relief to certain
financial services companies which gives them new investment,
lending and ownership options.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
FUNCTION 400: TRANSPORTATION
----------
FUNCTION 400: TRANSPORTATION
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 64.1 65.4 65.8 66.7 67.7 68.6 698.4
Outlays........................ 67.8 73.8 69.9 68.4 68.3 68.7 712.4
Discretionary Spending:
Budget Authority............... 22.6 22.2 22.1 22.5 23.0 23.6 242.7
Outlays........................ 65.2 71.6 67.7 66.4 66.4 66.8 692.74
Mandatory Spending:
Budget Authority............... 41.5 43.2 43.6 44.1 44.7 45.1 455.7
Outlays........................ 2.7 2.2 2.1 2.0 1.9 1.9 19.7
----------------------------------------------------------------------------------------------------------------
Function Summary
This function funds all major Federal transportation modes
and programs including the Transportation Security
Administration; the Federal Highway Administration; the Federal
Transit Administration; the National Rail Passenger Corporation
[Amtrak]; highway, motor carrier and rail safety programs; the
Federal Aviation Administration; the aeronautical activities of
the National Aeronautics and Space Administration [NASA]; the
Coast Guard; the Maritime Administration; and other
transportation support activities.
Spending in Function 400 grew from $45.3 billion in BA in
fiscal year 1998 to $64.1 billion in BA in fiscal year 2003. BA
for Transportation is 3.0 percent of total Federal BA, above
the recent historical low of 2.3 percent in 1996.
Transportation BA was about 3.1 percent of the Federal budget
in 1983, and 2.7 percent in 1993.
Summary of Committee-Reported Resolution
The resolution calls for $65.4 billion in BA and $73.8
billion in outlays in fiscal year 2004, an increase of 2.1
percent in BA compared with fiscal year 2003. The function
totals are $334.2 billion in BA and $349.1 billion in outlays
over 5 years, and $698.4 billion in BA and $712.4 billion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $22.2 billion in BA and $71.6 billion in outlays. The
resolution calls for $113.5 billion in BA and $338.9 billion in
outlays over 5 years, and $242.7 billion in BA and $692.74
billion in outlays over 10 years.
Mandatory spending in this function is $43.2 billion in BA
and $2.2 billion in outlays in fiscal year 2004; and $220.8
billion in BA and $10.2 billion in outlays over 5 years; and
$455.7 billion in BA and $19.7 billion in outlays over 10
years.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
HIGHWAY TRUST FUND
The resolution provides $39.2 billion in BA from the
Highway Trust Fund for highway, highway safety, and transit
programs. The resolution is $3.7 billion over and above the
estimated receipts of the Highway Trust Fund, and spends down
the existing balance of the Trust Fund. The resolution also
assumes the transfer of the receipts from the 2.5-cent gasohol
deficit reduction tax from the General Fund to the Highway
Trust Fund, increasing receipts by almost $700 million per
year. The budget resolution creates a contingency procedure to
permit the Transportation and Infrastructure Committee to
increase spending above the level in the budget resolution on
highways, highway safety, and transit in the surface
transportation reauthorization bill it will consider later this
year, should additional resources be made available to the
Highway Trust Fund.
OTHER PRIORITIES
The budget resolution recommends $14.0 billion for the
Federal Aviation Administration, an increase of $425 million
over fiscal year 2003 (not including emergency supplemental
funding).
These funding levels will support other important
transportation objectives, consistent with the president's
recommendations, including:
Increased Funding for Passenger Rail. The budget
resolution recommends $900 million for the National
Passenger Railroad Corporation [Amtrak] for operations,
maintenance, and capital improvements.
Transportation for the Disabled. The budget resolution
assumes the President's initiative to provide $145 million
to the Federal Transit Administration to expand
transportation opportunities for individuals with
disabilities through the New Freedom Initiative.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 450: COMMUNITY AND REGIONAL DEVELOPMENT
----------
FUNCTION 450: COMMUNITY AND REGIONAL DEVELOPMENT
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 12.3 14.1 14.4 14.6 15.0 15.4 155.8
Outlays........................ 16.0 15.9 16.0 15.1 14.9 14.5 154.1
Discretionary Spending:
Budget Authority............... 11.7 13.9 14.2 14.5 14.8 15.3 155.0
Outlays........................ 16.1 16.0 16.1 15.3 15.1 14.8 156.7
Mandatory Spending:
Budget Authority............... 0.5 0.2 0.1 0.1 0.1 0.0 0.8
Outlays........................ -0.1 -0.1 -0.1 -0.2 -0.2 -0.3 -2.6
----------------------------------------------------------------------------------------------------------------
Function Summary
Function 450 includes programs that provide Federal funding
for economic and community development in both urban and rural
areas, including: Community Development Block Grants [CDBGs];
the non-power activities of the Tennessee Valley Authority; the
non-roads activities of the Appalachian Regional Commission;
the Economic Development Administration [EDA]; and partial
funding for the Bureau of Indian Affairs. Funding for disaster
relief and insurance--including the Federal Emergency
Management Agency [FEMA], now part of the new Department of
Homeland Security--also appear here.
The resolution proposes $14.1 billion in BA and $15.9
billion in outlays for fiscal year 2004 for this function. This
represents an increase of 15.4 percent in BA and a decline of
0.4 percent in outlays from the fiscal year 2003 level. Over
the period 1998-2003, spending will have increased an average
annual increase of 2.9 percent. The decline in outlays results
from the one-time emergency funding for FEMA, and CDBGs that
went for recovery efforts in New York after the terrorist
attacks of September 11, 2001. Outlays exceed BA in 2004
because one-time fiscal year 2002 emergency spending in FEMA
for recovery from the terrorist attacks of 11 September 2001,
and because of CDBG funds still in the pipeline. Outlays
decline relative to fiscal year 2003, also because of the end
of one-time spending increases in the function, which resulted
from the 11 September attacks.
Summary of Committee-Reported Resolution
The resolution calls for $14.1 billion in BA and $15.9
billion in outlays in fiscal year 2004, an increase of 15.4
percent in BA compared with fiscal year 2003. The function
totals are $73.5 billion in BA and $76.5 billion in outlays
over 5 years, and $155.8 billion in BA and $154.1 billion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
provides $13.9 billion in BA and $16.0 billion in outlays. It
calls for $72.8 billion in BA and $77.3 billion in outlays over
5 years, and $155.0 billion in BA and $156.7 billion in outlays
over 10 years.
Mandatory spending in this function is $0.2 billion in BA
and -$0.1 billion in outlays in fiscal year 2004; $0.6 billion
in BA and -$0.9 billion in outlays over 5 years; and $0.8
billion in BA and -$2.6 billion in outlays over 10 years.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
OTHER PRIORITIES
Discretionary spending
The resolution accommodates spending $4.7 billion on CDBGs.
These grants provide annual grants to more than 1,000 eligible
cities, counties, and States to fund activities aimed at ``the
development of viable urban communities.''
Flood Insurance Mapping funding is assumed to increase to
complete updating of flood maps. The resolution contains $200
million, identical to last year's administration request, to
continue replacing the Nation's flood insurance rate maps, many
of which are out of date and inaccurate.
The resolution assumes nearly $1.5 billion for Rural
Wastewater Loans and Grants, which have demonstrated
effectiveness at increasing the number of small rural
communities with safe drinking water and modern sewer systems.
This is the same as the administration's 2003 request.
Mandatory spending
The resolution makes no specific mandatory assumptions in
this function.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 500: EDUCATION, TRAINING, EMPLOYMENT, AND SOCIAL SERVICES
----------
FUNCTION 500: EDUCATION, TRAINING, EMPLOYMENT, AND SOCIAL SERVICES
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 86.2 84.7 84.4 86.7 88.6 90.8 914.5
Outlays........................ 81.3 85.7 83.6 84.6 86.4 88.3 898.5
Discretionary Spending:
Budget Authority............... 72.9 75.4 74.2 75.8 77.5 79.4 802.0
Outlays........................ 72.0 74.2 73.1 74.4 75.9 77.7 789.1
Mandatory Spending:
Budget Authority............... 13.3 9.4 10.2 10.9 11.2 11.4 112.4
Outlays........................ 9.4 11.5 10.5 10.2 10.5 10.7 109.4
----------------------------------------------------------------------------------------------------------------
Function Summary
Function 500 consists of Education, Training and Social
Service programs. Education spending consumes two-thirds of the
function total, including elementary and secondary education
services, higher education aid, and research and general
education aids--the latter category incorporating funding for
arts, humanities, museums, libraries and public broadcasting.
Job training and other Labor Department activities are located
in this function, as are social services including the Social
Services Block Grant, vocational rehabilitation, and national
service.
Function 500 BA rose from $56.7 billion in 1998 to $86.2
billion in 2003, a 9-percent average annual growth rate. During
the same time period, outlays rose from $50.5 billion to $81.3
billion, a 10 percent average annual growth rate. The largest
component of this was the budget of the Department of
Education, whose BA grew from $35.5 billion in 1998 to $61
billion in 2003, an 11-percent average annual increase.
Summary of Committee-Reported Resolution
Total BA and mandatory BA in this function decline between
2003 and 2004 chiefly for these two reasons: a $4.6 billion
upward reestimate by CBO of the cost of the outstanding direct
student loan portfolio (the entire sum is recorded as new BA in
2003); and the addition of $3.6 billion in BA in 2003 to
reflect the resolution's reconciliation instructions to the
Committee on Education and the Workforce establishing new
Personal Re-employment Accounts [PRAs] for unemployed workers.
The resolution calls for $84.7 billion in BA and $85.7
billion in outlays in fiscal year 2004. The function totals are
$435.2 billion in BA and $428.7 billion in outlays over 5
years, and $914.5 billion in BA and $898.5 billion in outlays
over 10 years.
Discretionary spending in this function is $75.4 billion in
BA and $74.2 billion in outlays in fiscal year 2004. This is an
increase of $2.5 billion in BA and $2.2 billion in outlays over
fiscal year 2003. Discretionary spending totals $382.2 billion
in BA and $375.2 billion in outlays over 5 years, and $802
billion in BA and $789.1 billion in outlays over 10 years.
Mandatory spending in this function is $9.4 billion in BA
and $11.5 billion in outlays in fiscal year 2004. This is a
reduction of $3.9 billion in BA and an increase of $2.1 billion
in outlays from fiscal year 2003. Mandatory spending totals $53
billion in BA and $53.4 billion in outlays over 5 years, and
$112.4 billion in BA and $109.4 in outlays over 10 years.
Key items assumed or accommodated by the resolution levels
include:
Discretionary spending
No Child Left Behind. The resolution accommodates an
increase of at least $666 million, to $12.35 billion, for
Title I grants to low-income school districts. These grant
funds are intended to help schools in high-poverty
communities meet the accountability standards established
in the No Child Left Behind [NCLB] Act of 2001. Funding at
the assumed level would result in a 10 percent average
annual growth rate for Title I since 1999. The resolution
accommodates $1.15 billion, an $82-million increase, for
the reading education programs that are central to NCLB.
Funding at the assumed level would result in a 33-percent
average annual growth rate for reading spending since 1999.
The resolution also accommodates $2.85 billion for Teacher
Quality State Grants. Funding at the assumed level would
result in a 13-percent average annual growth rate in
teacher quality spending since 1999.
Pell Grants. The resolution assumes at least $12.7
billion would go toward the Pell Grant program for low-
income undergraduate students, a $1.34-billion increase
from 2003. This is one of the largest programmatic
increases assumed in the entire resolution. It would fund
awards for nearly 5 million students--almost 1 million more
than when President Bush took office. The resolution also
assumes the President's proposal to allow the Department of
Education to match reported income data of Pell applicants
with data from the Internal Revenue Service, eliminating
under-awards and over-awards, while producing savings to
pay down the Pell shortfall. Funding for Pell at the
assumed level would result in a 11 percent average annual
growth rate since 1999.
Special Education. Special education remains a top
congressional priority. The resolution assumes an increase
of at least $660 million for Individuals with Disabilities
Education Act [IDEA] Part B Grants to States, to continue
progress toward full funding of the authorized maximum
level of 40 percent of the national average per pupil
expenditure for schoolchildren, thus reducing the burden on
States. This year's scheduled reauthorization of IDEA could
also alleviate the burden on States by reducing over-
identification and unnecessarily burdensome legal
requirements. Funding at the assumed level would result in
a 17-percent average annual growth rate in special
education spending since 1999.
Impact Aid. The resolution assumes an increase of $50
million for the Impact Aid program, to ensure that school
districts accepting children of military personnel are
appropriately compensated, and to help ensure that these
children are not left behind academically.
School Choice and Flexibility. The resolution
accommodates increased funding for programs encouraging
school choice. The assumptions include a $21-million
increase in Charter School grants and a $75-million
increase in the Credit Enhancement for Charter Schools
Facilities program. The resolution also assumes the
creation of new, $75 million Choice Incentive Fund that
encourages both public and private choice, while reserving
a portion of program funds to encourage school choice in
the District of Columbia.
Mandatory spending
New Re-employment Accounts. The resolution includes
reconciliation instructions to the Committee on Education
and the Workforce to create re-employment accounts as a
temporary new benefit. As recommended in the President's
economic growth proposal, $3.6 billion in BA is provided in
2003 for the establishment of these accounts. These funds
would enable the States to establish accounts containing up
to $3,000 for approximately 1.2 million unemployed
individuals. Account funds could be used to purchase
training, child care, or other services to help enable job-
seekers to rejoin the workforce. Those individuals who
become re-employed within 13 weeks would be eligible to
keep the remaining balance in their account.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 550: HEALTH
----------
FUNCTION 550: HEALTH
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 221.9 235.0 248.6 265.3 284.1 303.5 3,193.7
Outlays........................ 218.0 235.4 248.3 264.8 283.2 302.4 3,184.8
Discretionary Spending:
Budget Authority............... 49.5 48.1 49.1 50.2 51.3 52.6 533.9
Outlays........................ 44.3 47.1 48.2 49.1 50.2 51.1 520.1
Mandatory Spending:
Budget Authority............... 172.4 187.0 199.5 215.1 232.8 250.9 2,659.8
Outlays........................ 173.7 188.3 200.0 215.7 233.0 251.3 2,664.7
----------------------------------------------------------------------------------------------------------------
Function Summary
The Health function consists of health care services,
including Medicaid, the Nation's major program covering medical
and long-term care costs for low-income persons; the State
Children's Health Insurance Program [SCHIP], health research
and training, including NIH and substance abuse prevention and
treatment; and consumer and occupational health and safety,
including the Occupational Safety and Health Administration.
Medicaid represents about 71 percent of the spending in this
function.
Over the period 1998-2003, total BA in Function 550 rose
from $135.1 billion to $221.9 billion, a 10.4-percent average
annual increase. The largest component of this growth was
Medicaid, which increased from $101.2 billion to $147.5
billion. Even this increase represents a moderation of Medicaid
growth compared with the early 1990s, when Medicaid spending
more than doubled between 1990 and 1995.
Summary of Committee-Reported Resolution
The resolution calls for $235 billion in BA and $235.4
billion in outlays in fiscal year 2004, an increase of 5.9
percent in BA compared with fiscal year 2003. The function
totals are $1.3 trillion in BA and $1.3 trillion in outlays
over 5 years, and $3.2 trillion in BA and $3.2 trillion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
provides for $48.1 billion in BA and $47.1 billion in outlays.
It calls for $251.2 billion in BA and $245.7 billion in outlays
over 5 years, and $533.9 billion in BA and $520.1 billion in
outlays over 10 years.
Mandatory spending in this function is $187.0 billion in BA
and $188.3 billion in outlays in fiscal year 2004; $1.1
trillion in BA and $1.1 trillion in outlays over 5 years; and
$2.7 trillion in BA and $2.7 trillion in outlays over 10 years.
Over the 2004-2013 period, mandatory spending grows by $176.9
billion.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
OTHER PRIORITIES
Discretionary spending
The Department of Health and Human Services [HHS] plays a
lead role in addressing bio-terrorism--a critical part of the
budget's effort to enhance homeland security. Four key HHS
components participate in homeland bio-terrorism security: the
Centers for Disease Control and Prevention [CDC], the Food and
Drug Administration [FDA], the Health Resources and Services
Administration [HRSA], and the National Institutes of Health
[NIH]. In fiscal year 2004, total spending for HHS's bio-
terrorism efforts would be $3.6 billion. These funding levels
will support critical bio-defense security initiatives,
consistent with the President's recommendations.
The NIH has been a priority for Congress during the past
several years. Consequently, funding for the Institutes has
been boosted from $13.6 billion in fiscal year 1998 to $27.2
billion in fiscal year 2003. The budget assumes that by fiscal
year 2004, NIH funding will have more than doubled over the
1998 level, to $27.9 billion.
Mandatory spending
The resolution provides for Medicaid reform to give States
greater flexibility and to provide health insurance coverage
for new populations. The budget establishes a reserve fund of
$3.25 billion in fiscal year 2004 and $8.9 billion over 5 years
for Medicaid reform. Over 10 years budget neutrality would be
achieved.
Currently, about one-third of Medicaid recipients are not
required by Federal Medicaid law to be covered under a State's
Medicaid plan. These optional categories of recipients are
covered at the discretion of the States. The committee of
jurisdiction may give the States flexibility to redesign
benefits, co-payments, premiums and other items that in the
past would have required them to obtain a waiver from HHS. More
of the Nation's uninsured could be covered under the reform
proposal, especially adults without children.
Other Medicaid policies include assumptions that expiring
fiscal year 2000 State Children's Health Insurance Program
funds will be extended for 1 year, that Transitional Medicaid
Assistance and the Qualifying Individuals programs [QI-1] are
extended for 5 years, and that the Vaccines for Children
program will be modified to allow health departments to give
vaccines.
The resolution also assumes enactment of abstinence
education legislation and assumes States will have the option
to expand Medicaid coverage for children with special needs,
allowing families of disabled children the opportunity to
purchase coverage under the Medicaid program for such children.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 570: MEDICARE
----------
FUNCTION 570: MEDICARE
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 248.6 261.3 275.5 312.4 332.0 352.4 3,663.0
Outlays........................ 248.4 261.6 278.4 309.3 332.3 352.3 3,663.1
Discretionary Spending:
Budget Authority............... 3.8 3.6 3.7 3.8 3.9 4.0 42.5
Outlays........................ 3.8 3.7 3.7 3.8 3.9 4.0 42.4
Mandatory Spending:
Budget Authority............... 244.8 257.7 271.8 308.7 328.1 348.4 3,620.5
Outlays........................ 244.6 258.0 274.7 305.5 328.4 348.3 3,620.7
----------------------------------------------------------------------------------------------------------------
Function Summary
This budget function reflects the Medicare Part A Hospital
Insurance [HI] Program, Part B Supplementary Medical Insurance
[SMI] Program, and premiums paid by qualified aged and disabled
beneficiaries. It also includes the ``Medicare+Choice''
Program, which covers Part A and Part B benefits and allows
beneficiaries to choose certain private health insurance plans.
Medicare+Choice plans may include health maintenance
organizations, preferred provider organizations, provider-
sponsored organizations, and private fee-for-service plans. In
addition to covering all Medicare-covered services, such plans
may add benefits or reduce cost-sharing required by the
traditional Medicare program.
Over the period 1998-2003, total BA in Function 570 rose
from $193.7 billion to $248.6 billion, a 5.1 percent average
annual increase over the period. Medicare actually experienced
a decrease in spending from 1998 to 1999, although that
slowdown was in contrast to the first half of the 1990s when
Medicare spending experienced approximately 13 percent average
annual growth rates.
Summary of Committee-Reported Resolution
The resolution calls for $261.3 billion in BA and $261.6
billion in outlays in fiscal year 2004, an increase of 5.1
percent in BA compared with fiscal year 2003. The function
totals are $1.5 trillion in BA and $1.5 trillion in outlays
over 5 years and $3.7 trillion in BA and $3.7 trillion in
outlays over 10 years. Over the 2004-2013 period, Medicare
spending grows by 7 percent annually.
For fiscal year 2004 discretionary spending, the resolution
calls for $3.6 billion in BA and $3.7 billion in outlays. This
is a decrease of $0.2 billion in BA and $0.1 billion in outlays
from fiscal year 2003. Discretionary spending totals $19.0
billion in BA and $19.1 billion in outlays over 5 years, and
$42.5 billion in BA and $42.4 billion in outlays over 10 years.
For fiscal year 2004 mandatory spending, the resolution
calls for $257.7 billion in BA and $258.0 billion in outlays.
This is an increase of $12.9 billion in BA and $13.3 in outlays
from fiscal year 2003. Mandatory spending totals $1.5 trillion
in BA and $1.5 trillion in outlays over 5 years and $3.6
trillion in BA and $3.6 trillion in outlays over 10 years.
MEDICARE MODERNIZATION AND PRESCRIPTION DRUG BENEFIT
This function allocates $400 billion over 10 years for
Medicare modernization and a prescription drug benefit. This is
equal to the amount the President proposed in his fiscal year
2004 budget. It is also in addition to the $54 billion increase
in Medicare spending in the Fiscal Year 2003 Omnibus
Appropriations bill.
The $400-billion amount is rolled into the 1-percent
across-the-board reconciliation instructions for the Energy and
Commerce and Ways and Means Committees. In other words, the
instructions for these committees reflects the net of the $400-
billion addition for Medicare and $372 billion in savings
($110.6 billion for Energy and Commerce plus $261.8 billion for
Ways and Means).
THE NEED FOR REFORM
The principal arguments for Medicare reform are the
following:
Medicare's Financial Liabilities. Medicare baseline growth
will average 6.5 percent annually over the next decade.
According to CBO, Medicare baseline spending is about $259.3
billion in fiscal year 2004, and is projected to nearly double
in the next 10 years, to $464.8 billion in fiscal year 2013.
The sources of spending growth are primarily automatic payment
updates in Medicare, and increased caseload projections.
Taking the entire Medicare program together, including
Parts A and B, dedicated Medicare revenues (i.e. payroll taxes,
Social Security benefit taxes, premiums) fall far short of
covering total Medicare costs--notwithstanding the Part A
surplus. Even today, Medicare's dedicated revenues are lower
than expenditures for the program as a whole. As a result,
Medicare is increasingly relying on general Federal revenue.
The Medicare Trustees project that Medicare expenditures as a
percentage of GDP will nearly quadruple, from 2.4 percent now
to 8.5 percent in 2076. At the same time, dedicated revenues
will only grow from 1.9 percent of GDP currently to 2.5 percent
in 2076. The President's budget says Medicare has a $13.3-
trillion shortfall, as measured by the present discounted value
of the program's future benefits net of future income over the
next 75 years. Taken together, Medicare, Social Security, and
Medicaid are projected to eventually consume virtually all
Federal revenue.
In addition to the financial liabilities facing the total
Medicare program, Medicare Part A is facing its own problems.
Income dedicated to the Hospital Insurance Program (i.e.
Medicare Part A) currently exceeds its expenses. The excess
cash is used to purchase Government securities, which are
credited to the HI Trust Fund (a system analogous to the Social
Security trust funds). According to the Trustees' latest
report, payments out of the HI Trust Fund will exceed its
direct income in 2016 (or 2021 including interest). After 2021,
the securities in the HI trust fund will have to be redeemed to
pay benefits. The cash to redeem these bonds can come from only
three places: from drawing funding away from other Federal
programs; from higher taxes; or from higher debt.
In 2030, according to the Trustees current estimates, the
HI Trust Fund itself will have insufficient securities to pay
benefits obligated by Medicare. This is the date, therefore, at
which the trust fund will be considered insolvent. But as the
discussion above shows, by this time Medicare already will have
become a severe drain on the Federal budget.
Medicare's Outmoded Benefit. Medicare was established in
1965 and has lagged behind private health coverage over the
years. Medicare's outmoded benefit does not cover prescription
drugs, provide consistent coverage for many preventive
treatments, support coordinated management of chronic diseases,
or offer catastrophic coverage.
Medicare Complexity. Recently, providers have testified at
congressional hearings regarding Medicare complexity. Among
other things, witnesses stated that regulations have become so
complex beneficiaries are being denied entitled services. In
rural areas, beneficiaries are not able to take advantage of
programs intended to help them because the procedures to
receive such assistance requires nearly the amount of work to
apply for a NIH sponsored research award. According to a
February 2002 General Accounting Office report: ``[T]he
complexity of the environment in which CMS operates the
Medicare program cannot be overstated.''
FUNCTION 600: INCOME SECURITY
----------
FUNCTION 600: INCOME SECURITY
[In billions of dollars)
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 326.6 315.9 326.5 332.4 337.2 345.9 3,524.3
Outlays........................ 334.4 321.6 329.9 334.9 339.2 347.1 3,543.0
Discretionary Spending:
Budget Authority............... 44.0 44.4 45.2 46.2 46.3 46.5 476.7
Outlays........................ 50.8 50.6 48.9 49.4 49.1 48.9 503.5
Mandatory Spending:
Budget Authority............... 282.6 271.5 281.2 286.3 290.9 299.4 3,047.6
Outlays........................ 283.6 271.0 280.9 285.5 290.1 298.2 3,039.5
----------------------------------------------------------------------------------------------------------------
Function Summary
The Income Security function (Function 600) includes most
of the Federal Government's income support programs. These
include: general retirement and disability insurance (excluding
Social Security)--mainly through the Pension Benefit Guaranty
Corporation [PBGC]--and benefits to railroad retirees. Other
components are Federal employee retirement and disability
benefits (including military retirees); unemployment
compensation; low-income housing assistance, including Section
8 housing; food and nutrition assistance, including food stamps
and school lunch subsidies; and other income security programs.
This last category includes: Temporary Assistance to Needy
Families [TANF], the Government's principal welfare program;
Supplemental Security Income [SSI]; spending for the refundable
portion of the Earned Income Credit [EIC]; and the Low Income
Home Energy Assistance Program [LIHEAP]. Agencies involved in
these programs include the Departments of Agriculture, Health
and Human Services, Housing and Urban Development, the Social
Security Administration (for SSI), and the Office of Personnel
Management (for Federal retirement benefits).
Over the period 1998-2003, BA in the function has had an
average annual increase of 6.4 percent. BA and outlays in the
function in fiscal year 2004 decline relative to fiscal year
2003 primarily because of the termination of the extended
Federal Unemployment Insurance Benefits in May of 2003.
Additionally, the reauthorization of the Contingency Fund in
the TANF Program in fiscal year 2003 causes a one-time spike in
BA and outlays during fiscal year 2003 relative to the
remaining period for which the program is reauthorized.
Summary of Committee-Reported Resolution
The resolution calls for $315.9 billion in BA and $321.6
billion in outlays in fiscal year 2004. The function totals are
$1.7 trillion in BA and $1.7 trillion in outlays over 5 years,
and $3.5 trillion in BA and $3.5 trillion in outlays over 10
years.
For fiscal year 2004 discretionary spending, the resolution
calls for $44.4 billion in BA and $50.6 billion in outlays.
Discretionary levels are $228.7 billion in BA and $246.9
billion in outlays over 5 years, and $476.7 billion in BA and
$503.5 billion in outlays over 10 years.
Mandatory spending in this function is $271.5 billion in BA
and $271.0 billion in outlays in fiscal year 2004; and $1.4
trillion in BA and $1.4 trillion in outlays over 5 years, and
$3 trillion in BA and $3 trillion in outlays over 10 years.
Over the 2004-2008 period, mandatory spending grows by $27.9
billion. Over the 2004-2013 period, mandatory spending grows by
$70.4 billion.
Discretionary spending
The resolution accommodates the President's recommended
$4.8 billion in BA for the Special Supplemental Feeding Program
for Women, Infants and Children [WIC]. This funding level
should be sufficient to serve all 7.8 million of the WIC-
eligible population. In the event that additional funding is
necessary to meet this goal, the resolution assumes a $150-
million contingency fund to meet additional unanticipated
needs. The proposal for WIC includes a $5 million initiative to
combat childhood obesity, and $20 million to support breast
feeding. Management initiatives include $5 million for an
evaluation of the program, and $30 million to improve State
management information systems.
The resolution allows for $2 billion in 2004 for LIHEAP. Of
that amount, $300 million would be reserved in an emergency
contingency fund which requires a Presidential declaration of
an emergency in order to be spent. If the assumed level is
enacted by the Appropriations Committee, total funding for
LIHEAP would be $212 million above the enacted level fiscal
year 2003, including prior year carryover funding.
Mandatory spending
The resolution accommodates $25.6 billion in BA for the
Food Stamp Program. Participation in the program is assumed to
increase 3 percent over fiscal year 2003. Last year's farm bill
included a provision proposed by the administration to restore
food stamp eligibility to certain noncitizens made ineligible
under the welfare reform bill of 1996.
The resolution allows $11.8 billion in funding for child
nutrition programs such as the School Lunch and Breakfast
program, Summer Feeding, and the Child and Adult Care Food
Program. This amount is sufficient to support anticipated
participation levels and food costs in these programs. These
programs are scheduled for reauthorization in 2004.
The budget resolution assumes that the TANF block grant, as
well as the related child care entitlement to States and other
elements of the 1996 welfare reform law will be reauthorized
during fiscal year 2003 as passed by the House on 13 February
2003 in the Personal Responsibility, Work, And Family Promotion
Act of 2003. The funding levels provided for TANF reflect the
relative stability of welfare caseloads, which increased only 1
percent despite the economic downturn and increased
unemployment levels. Though poverty rates increased slightly
between 2000 and 2001, poverty is still near record lows for
single-mother households and African-American families. More
than 3 million children have left poverty since the TANF
program was enacted in 1996.
As part of that reauthorization process, the budget
accommodates an additional $2.4 billion in mandatory spending
for these programs over 5 years (2003-2008) above the baseline,
which is consistent with the new spending levels contained in
the reauthorization bill which passed the House in 2003. The
resolution allows for the enactment of an additional $1 billion
over 5 years in new mandatory child care funding which was
included in the House bill. The budget accommodates $17.6
billion for the TANF block grant in 2004. This would maintain
the funding level at $16.7 billion annually for the block
grant, or the level of the initial 6 years of the TANF program.
The overall TANF authorization level would be slightly higher
due to continuation of TANF supplemental grants, and other
minor changes.
The resolution allows for an additional $1 billion over 5
years above current law for the mandatory child care
entitlement to States, consistent with the amount contained in
the House-passed reauthorization of TANF.
The resolution assumes $4.5 billion would go to assist
States with the administrative costs of enforcing court ordered
child support. In fiscal year 2002, child support collections
reached a record level of $20 billion, including a record $1.6
billion in overdue child support collected from Federal income
tax refunds. The resolution anticipates a number of changes
proposed for the program as part of the reathorization of TANF.
These include providing incentives to States to pass through
more child support collections to custodial parents currently
on welfare, as well as a greater percentage of child care
arrearages collected on behalf of former welfare recipients.
Also accommodated are proposals to increase the collection of
delinquent child support through tougher sanctions, and new
spending of $218 million to improve automated enforcement
mechanisms such as database compilation and data matching.
The resolution also accommodates the President's proposal
to offer States an optional block grant for foster care
payments. The resolution assumes $6.9 billion in 2004 for
Foster Care and Adoption Assistance, including the Independent
Living program which provides assistance to youths who are
aging out of foster care. Of the total, $5.0 billion is for the
foster care program, which provides maintenance payments to
families caring for foster children.This amount includes a
$238-million increase from the 2003 level, and is consistent
with the President's legislative proposal to increase State
flexibility in the program by offering foster care funding in
the form of an optional block grant. States that take advantage
of the block grant will obtain administrative simplification
and greater flexibility to develop strategies to assist at-risk
families and prevent family breakup and deter child abuse and
neglect before it occurs.
The resolution assumes enactment of legislation to reduce
payments made by the Postal Service to the Civil Service
Retirement and Disability Trust fund in response to evidence
that the Postal Service may soon be overfunding accruing
retirement benefits for its employees. This is due to higher
than anticipated prior yields on past pension investments.
The resolution provides for $39.8 billion in Unemployment
Insurance Benefit payments in fiscal year 2004, a decline of
$14 billion relative to 2003. The decline results in part
because extended Federal Unemployment Insurance benefits
enacted on 8 January, 2003 will terminate 31 May, 2003, and
because economic assumptions assume a drop in the unemployment
rate in 2004.
The resolution assumes reforms of the Federal Employees
Compensation Act [FECA], the workers compensation program for
Federal employees, which will generate savings of $10 million
in 2004 and $60 million over 5 years. Among the reforms are
charging the full cost of employee benefits to the employing
agency to create incentives for agencies to provide safer
workplaces, instituting a waiting period before benefits are
paid to discourage frivolous claims, and paying slightly higher
benefits to all claimants, while eliminating the practice of
providing higher benefit levels to employees with dependents
versus those with no dependents, despite identical injuries and
wage losses. The proposal also will eliminate the incentive for
older FECA claimants to remain on the FECA rolls once they
reach retirement age by paying beneficiaries over age 65 the
equivalent benefit they would have received from their Federal
retirement program. This proposal would apply to new claimants
only, and holds harmless all current beneficiaries.
The resolution seeks to reduce erroneous overpayments in
SSI by accommodating $1.4 billion to conduct Continuing
Disability Reviews [CDRs] of SSI Disability recipients to
ensure that they remain sufficiently disabled in order to
remain eligible for benefits, as well as non-disability
redeterminations to verify that SSI recipients continue to have
incomes and resources below the threshold for program
eligibility. Additionally, the administration proposes to
review up to 50 percent of new favorable SSI disability
determinations prior to initiating payments to increase payment
accuracy. The budget assumes savings of $194 million over 5
years from these reviews.
The resolution assumes the outlay portions of refundable
tax credits contained in the President's economic growth
package of tax incentives, together with the outlay effects of
making refundable tax credit policies of the 2001 tax cuts
permanent. Outlays are assumed for the Earned Income Tax Credit
and the Child Tax Credit under these provisions.
The resolution accommodates enactment of legislation to
simplify computation of annuities under the Civil Service
Retirement System for part-time service. It also assumes
enactment of H.R. 4069, legislation providing for enhancement
of Social Security benefits for women. The resolution also
assumes enactment of legislation similar to H.R. 3762 from the
107th Congress, which would make certain changes to laws
governing pension plans regulated and insured by the Pension
Benefit Guaranty Corporation, and which would alter premium
payments made by firms with pensions plans covered by the PBGC.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 650: SOCIAL SECURITY
----------
FUNCTION 650: SOCIAL SECURITY
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 13.3 14.2 15.3 16.5 18.0 19.8 224.3
Outlays........................ 13.3 14.2 15.3 16.5 18.0 19.8 224.3
Discretionary Spending:
Budget Authority............... 0.0 0.0 0.0 0.0 0.0 0.0 0.3
Outlays........................ 0.0 0.0 0.0 0.0 0.0 0.0 0.3
Mandatory Spending:
Budget Authority............... 13.2 14.2 15.3 16.4 17.9 19.8 224.0
Outlays........................ 13.2 14.2 15.3 16.4 17.9 19.8 224.0
----------------------------------------------------------------------------------------------------------------
Function Summary
Function 650 consists of the Social Security Program, or
Old Age, Survivors, and Disability Insurance [OASDI]. Under
provisions of the Congressional Budget Act and the Budget
Enforcement Act, Social Security trust funds are ``off
budget.'' Nevertheless, a small portion of spending in Function
650--specifically a portion of the budget for the Office of the
Inspector General of the Social Security Administration [SSA],
the quinquennial adjustment for World War II veterans, and
general fund transfers of taxes paid on Social Security
benefits--are on budget.
Summary of Committee-Reported Resolution
Total on-budget spending in the resolution is $14.2 billion
in BA for fiscal year 2004, an increase of $967 million from
the 2003 request.
FUNCTION 700: VETERANS BENEFITS AND SERVICES
----------
FUNCTION 700: VETERANS BENEFITS AND SERVICES
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 57.6 60.7 65.8 64.0 62.3 65.7 670.4
Outlays........................ 57.5 60.7 65.3 63.7 62.0 65.5 667.7
Discretionary Spending:
Budget Authority............... 26.5 27.3 27.7 28.2 28.6 29.2 301.7
Outlays........................ 26.9 27.5 27.6 28.0 28.5 29.1 300.5
Mandatory Spending:
Budget Authority............... 31.1 33.4 38.1 35.8 33.7 36.5 368.7
Outlays........................ 30.6 33.2 37.7 35.7 33.5 36.4 367.2
----------------------------------------------------------------------------------------------------------------
Function Summary
The Veterans Benefits and Services function includes
funding for the Department of Veterans Affairs [VA], which
provides benefits to veterans who meet various eligibility
rules. Benefits range from income security for veterans,
principally disability compensation and pensions; veterans
education, training, and rehabilitation services; hospital and
medical care for veterans; and other veterans' benefits and
services, such as home loan guarantees. There are about 25
million veterans, but over the next 20 years this number will
decline by one-third, to about 17 million.
Over the period 1998-2003, total BA in Function 700 rose
from $42.8 billion to $57.6 billion, excluding medical care
receipts from veterans, a 6.1-percent average annual increase.
The largest component of this growth was medical care, which
increased from $17.9 billion to $23.6 billion.
Summary of Committee-Reported Resolution
The resolution calls for $60.7 billion in BA and $60.7
billion in outlays in fiscal year 2004, an increase of 5.4
percent in BA compared with fiscal year 2003. The function
totals are $318.5 billion in BA and $317.3 billion in outlays
over 5 years; and $670.4 billion in BA and $667.7 billion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $27.3 billion in BA and $27.5 billion in outlays.
This is an increase of $786 million in BA and $607 million in
outlays over fiscal year 2003. Discretionary levels are $141
billion in BA and $140.7 billion in outlays over 5 years, and
$301.7 billion in BA and $300.5 billion in outlays over 10
years.
Mandatory spending in this function is $33.4 billion in BA
and $33.2 billion in outlays in fiscal year 2004; $177.5
billion in BA and $176.6 billion in outlays over 5 years; and
$368.7 billion in BA and $367.2 billion in outlays over 10
years. Over the 2004-2013 period, mandatory spending grows by
$6.8 billion. (Mandatory spending in the function declines
because of fluctuations in the number of yearly benefit
payments).
Discretionary spending
The resolution assumes veterans medical care resources are
refocused. The emphasis would be on treating veterans with
military disabilities, low-income or special needs. Currently,
the VA assigns veterans receiving medical care to one of eight
priority levels. Veterans with military disabilities, low-
income or special needs are given higher priority levels in
line with VA's core mission. Veterans without these
characteristics fall into the lowest priority levels (Priority
Levels 7 and 8). The committee believes that the budget is
sufficient to eliminate the long waits for VA medical care. The
resolution assumes faster turnaround by focusing care on those
who need it most.
The resolution seeks to guarantee that veterans' disability
claims are processed accurately and quickly, meeting the
timeliness goal in claims processing set by Secretary Principi.
It assumes funding for a major expansion in cemeteries to
prepare for increased burial demands. The VA's goal is to
ensure compassionate and good service, while searching for more
efficient ways to meet increased burial demands.
Mandatory spending
The resolution assumes the expansions and revisions of
mandatory benefits proposed by the administration's fiscal year
2004 budget. These include:
Payment of full compensation to New Philippine Scouts
and Dependency and Indemnity to Filipino veteran survivors
residing in the United States,
Retroactivity for a second headstone and allowing
States to receive a burial plot allowance for all veterans
buried at no cost to the veterans estate in State veterans
cemeteries, and
Allowing an alternate beneficiary to claim National
Service Life Insurance and Veterans Special Life Insurance
proceeds.
In addition, it assumes, as recommended by the Veterans
Affairs Committee, continuation of Dependency and Indemnity
Compensation for surviving spouses who remarry after age 55; an
increase in auto allowance from $9,000 to $11,000 for severely
disabled veterans; and accrued benefits for veteran's
survivors. These items are recommended for priority
consideration in this function, within the overall framework of
the across-the-board percentage reduction assumed in the budget
resolution. Notwithstanding the recommended level for this
function, the budget resolution provides a lump sum for
discretionary spending to the Appropriations Committee, which
makes allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 750: ADMINISTRATION OF JUSTICE
----------
FUNCTION 750: ADMINISTRATION OF JUSTICE
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 38.5 37.3 37.7 37.6 38.0 38.9 400.5
Outlays........................ 37.7 40.9 39.0 38.0 37.9 38.6 404.2
Discretionary Spending:
Budget Authority............... 36.3 33.3 35.6 36.4 37.2 38.3 390.2
Outlays........................ 35.5 37.7 36.5 36.6 37.2 38.1 394.8
Mandatory Spending:
Budget Authority............... 2.3 4.0 2.1 1.2 0.7 0.6 10.3
Outlays........................ 2.2 3.2 2.5 1.4 0.6 0.5 9.4
----------------------------------------------------------------------------------------------------------------
Function Summary
Function 750 supports the majority of Federal justice and
law enforcement programs and activities. This includes funding
for the Department of Justice [DOJ], much of the newly formed
Department of Homeland Security [DHS], as well as the financial
law enforcement activities of the Department of the Treasury,
Federal courts and prisons, and criminal justice assistance to
State and local governments.
Over the period 1998-2003, BA in the function has increased
an average of 8.2 percent. This percent increase largely
reflects the Federal Government's initial response to the
attacks of September 11, 2001, and its continued commitment to
homeland security and fighting terrorism. (Figures for fiscal
year 2003 include $1.5 billion for costs related to election
reform grants for that same fiscal year. Additional funding for
election reform grants will appear in Function 800 beginning in
fiscal year 2004).
Summary of Committee-Reported Resolution
The resolution calls for $37.3 billion in BA and $40.9
billion in outlays in fiscal year 2004. The function totals are
$189.4 billion in BA and $194.4 billion in outlays over 5
years; and $400.5 billion in BA and $404.2 billion in outlays
over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $33.3 billion in BA and $37.7 billion in outlays. It
calls for $180.8 billion in BA and $186.2 billion in outlays
over 5 years, and $390.2 billion in BA and $394.8 billion in
outlays over 10 years.
Mandatory spending in this function is $4 billion in BA and
$3.2 billion in outlays in fiscal year 2004; $8.6 billion in BA
and $8.2 billion in outlays over 5 years; and $10.3 billion in
BA and $9.4 billion in outlays over 10 years. Over the 2004-
2008 period, mandatory spending declines by $3.4 billion; and
over the 2004-2013 period by $3.8 billion. The significant
decline in mandatory spending can primarily be attributed to
the depletion of the September 11 Victim Compensation Fund by
fiscal year 2007.
DEPARTMENT OF HOMELAND SECURITY
A portion of funding in this function goes toward
activities of the new Department of Homeland Security. Please
see the separate section on the Department in this report.
DEPARTMENT OF JUSTICE
Discretionary spending
The resolution provides for $18.7 billion in discretionary
funding for the Department of Justice [DOJ], and thus allows
for the hiring of 2,170 new employees. The resolution further
assumes additional resources will go toward the traditional
crime fighting mission of the Department.
Along with increased support for FBI-led interagency task
forces intended to dismantle terrorist networks, the resolution
also assumes funding for a number of other initiatives intended
to quickly respond to any potential terrorist activity. These
initiatives include: $28 million for new agents and other staff
specifically responsible for investigating terrorist acts; $60
million for cyber crime investigations, including attacks
against the nation's critical infrastructure; $24 million for
FBI response units, such as aviation support, crisis response
and hostage rescue/SWAT teams; $37 million to support the FBI's
improved personnel, facility, and information security; $23
million for additional maximum security prison space to house
terrorist inmates; $2 million to assist the U.S. Attorneys in
counterterrorism prosecutions; and $2.5 million to increase
training for State and local law enforcement on the
investigation and prosecution of terrorist incidents.
The resolution assumes $4.2 billion for the Federal Bureau
of Investigation [FBI], or a $397 million increase, to hire
some 1,911 new personnel, including 811 new intelligence
analysts and surveillance personnel.
The resolution assumes $1.6 billion for the Drug
Enforcement Administration [DEA]. The resolution also assumes
the consolidation of the Treasury, Coast Guard, and Justice
Organized Crime Drug Enforcement Task Forces within the DOJ.
Through the enactment of the Homeland Security Act of 2002
[HSA], all of the enforcement actions of the Bureau of Alcohol,
Tobacco and Firearms are being merged into DOJ, leaving only
the revenue collection arm in the Treasury Department.
Consistent with HSA, the resolution assumes $10 million for the
national Explosives Licensing Center, which is responsible for
reviewing and acting on applications for all Federal explosives
licenses and permits. For fiscal year 2004, the resolution
assumes $852 million for BATFE.
The resolution assumes an additional $25 million for DOJ to
expand their investigative and prosecutorial capacity to
address corporate fraud.
The resolution assumes $190 million for forensic DNA
programs, including $177 to assist State and local crime labs
clear their backlog of unanalyzed DNA samples and make
technology improvements. Additional funding of $13 million can
also be invested in the FBI's national DNA database.
The resolution assumes continued funding for Community
Oriented Policing Services [COPS]. The resolution assumes $164
million for the continuation of the COPS grants program but,
acknowledging the completion of the original program mission to
hire or redeploy 100,000 police officers by the year 2000 and
the inconclusiveness of the program's impact on crime, the
resolution assumes no additional funds for the COPS hiring
grants. The resolution does, however, allow for officer hiring
through the Justice Assistance Grant program funded around $600
million in the resolution.
The resolution assumes the merging of the Treasury
Department's Treasury Forfeiture Fund into a single Asset
Forfeiture Fund within the DOJ.
DEPARTMENT OF THE TREASURY
The resolution supports Treasury Department anti-terrorism
efforts. The Treasury Department plays a crucial role in
fighting the war against terrorism by detecting, disrupting,
dismantling and blocking terrorist financing operations. Since
September 2001, the United States and our allies have blocked a
total of $124 million of terrorist-related assets worldwide.
The following Treasury agencies, funded in Function 750, are
responsible for the success of these operations:
The Office of Foreign Assets Control [OFAC] is the
directorate behind dismantling terrorist financing. OFAC
administers and enforces economic and trade sanctions based
on US foreign policy and national security goals against
targeted foreign countries, terrorists, international
narcotics traffickers, and those engaged in activities
related to the proliferation of weapons of mass
destruction. OFAC acts under Presidential wartime and
national emergency powers, as well as authority granted by
specific legislation, to impose controls on transactions
and freeze foreign assets under U.S. jurisdiction. Many of
the sanctions are based on United Nations and other
international mandates, are multilateral in scope, and
involve close cooperation with allied governments.
As the primary tool in fighting the financial war
against terrorism, the Financial Crimes Enforcement Network
[FinCEN] has the unique role in linking the law enforcement
and intelligence communities with the financial industry to
root out illegal activities and schemes. The resolution
assumes $58 million for FinCEN to improve their information
sharing capabilities.
The Criminal Investigation Division [CID] of the
Internal Revenue Service [IRS] is well suited for fighting
the financial war against terrorism. With their expertise
in gathering and analyzing complex financial information,
and applying the evidence to tax, money laundering, and
Bank Secrecy Act violations, IRS special agents are an
ideal resource for fighting the financial war on terrorism.
Assisting IRS special agents, including joint efforts with
other agencies, the resolution assumes $4.0 billion ($476
million specifically for Function 750 and strictly Federal
law enforcement activities) for them in fiscal year 2004.
OTHER ASSUMPTIONS
Mandatory spending
Judgeships. The resolution assumes funding for the
mandatory costs associated with creating 62 new Federal
judgeships and extending five existing bankruptcy
judgeships. Additionally, the resolution assumes $10
million in fiscal year 2004 for a cost of living adjustment
[COLA] for Federal judges, which was recently made
mandatory with the enactment of H.R. 16, A Bill to
Authorize Salary Adjustment for Justices and Judges of the
United States for fiscal year 2003 (Public Law 108-6).
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for Function 750, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
FUNCTION 800: GENERAL GOVERNMENT
----------
FUNCTION 800: GENERAL GOVERNMENT
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... 18.2 19.8 20.0 19.7 20.0 19.8 206.1
Outlays........................ 18.1 19.6 20.2 19.7 19.7 19.6 203.5
Discretionary Spending:
Budget Authority............... 15.7 17.3 17.6 17.4 17.8 18.3 189.4
Outlays........................ 15.6 16.9 17.9 17.5 17.6 17.9 186.6
Mandatory Spending:
Budget Authority............... 2.5 2.5 2.4 2.3 2.2 1.5 16.6
Outlays........................ 2.5 2.7 2.3 2.2 2.1 1.6 16.9
----------------------------------------------------------------------------------------------------------------
Function Summary
The General Government function consists of the activities
of the Legislative Branch; the Executive Office of the
President; general tax collection and fiscal operations of the
Department of Treasury (including the Internal Revenue Service
[IRS]); the property and personnel costs of the General
Services Administration and the Office of Personnel Management;
general purpose fiscal assistance to States, localities, the
District of Columbia, and U.S. territories; and other general
Government activities. The IRS accounts for about half of the
spending in this function
The average growth rate over the past 5 years (1998-2003)
was 2.6-percent. BA for Function 800 has grown from $15.957
billion in 1998 to $18.178 billion in fiscal year 2003.
Summary of Committee-Reported Resolution
The resolution calls for $19.8 billion in BA and $19.6
billion in outlays in fiscal year 2004, an increase of 8
percent in BA compared with fiscal year 2003. The function
totals are $99.16 billion in BA and $98.78 billion in outlays
over 5 years, and $206.06 billion in BA and $203.517 billion in
outlays over 10 years.
For fiscal year 2004 discretionary spending, the resolution
calls for $17.3 billion in BA and $16.9 billion in outlays.
This is an increase of approximately $1.6 billion in BA and
$1.4 billion in outlays over fiscal year 2003. The resolution
calls for $88.374 billion in BA and $189.44 billion in outlays
over 5 years, and $87.796 billion in BA and $186.618 billion in
outlays over 10 years.
Mandatory spending in this function is $2.5 billion in BA
and $2.7 billion in outlays in fiscal year 2004; $10.8 billion
in BA and $11.0 billion in outlays over 5 years; $15.62 billion
in BA and $16.9 billion in outlays over 10 years.
Department of Homeland Security
Both the Federal Computer Incident Response Center and
Federal Protective Services (Function 800) are being
transferred to the new Department of Homeland Security. Fiscal
year 2004 funding for both will come from the transfer of $424
million from the Federal Buildings Fund to the new Department.
Other Priorities
Discretionary spending
The resolution accommodates $500 million for the newly
created Election Assistance Commission. The funds would be
issued to states in the form of grants to purchase modern
voting equipment. In October of 2002, Congress enacted and the
President signed Public Law 107-252, the Help America Vote Act
of 2002, which would provide $2.8 billion over fiscal years
2002 through 2006, mostly for grants to States and localities
to improve voting technology and election administration. The
law established the Election Assistance Commission to undertake
activities to improve the administration of elections and set
minimum standards for national elections.
Mandatory spending
The budget resolution assumes the President's mandatory
spending proposal to pay financial institutions for their
services in lieu of providing compensating balances, and
provides $394 million in BA for fiscal year 2004 and $2.1
billion over 5 years in Function 800 for this. (This proposal
would reduce the deficit, as the interest saved on lower
borrowing exceeds the outlays to pay for the services. The
proposal would provide estimated saving of $637 million for the
first 5 years and $1.2 billion over 10 years. The savings are
reflected in Function 900).
The resolution also assumes a proposal that reduces the
Postal Service's contributions to the Civil Service Retirement
and Disability Trust Fund to prevent the overfunding of
accruing pension benefits for Postal Employees who are part of
the old Civil Service Retirement System [CSRS]. Currently, the
postal service makes a payment annually to the CSRDF to
``forward fund'' future retiree annuities. Because of the
higher than expected return on the Treasury securities in which
the fund is invested, the Postal Service's contribution is soon
to be higher than the actual costs of future benefits. The
proposal lowers the amount that the Postal Service must pay to
the CSRDF to prevent this overfunding. Most of the effect
occurs in the off-budget portion of Function 950, but some
effects also occur in Function 800, and in the off-budget
portion of Function 370.
The resolution also assumes a proposal for the continuation
of fiscal assistance provided to the Compact of Free
Association between the United States Government and the
government of the Federated States of Micronesia [FSM] This
would cost $19 million for fiscal year 2004 and $105 million
over the next 5 years. This proposal is part of the ongoing
negotiation regarding the Compact of Free Association between
the U.S. Government and the FSM.
These items are recommended for priority consideration in
this function, within the overall framework of the across-the-
board percentage reduction assumed in the budget resolution.
Notwithstanding the recommended level for this function, the
budget resolution provides a lump sum for discretionary
spending to the Appropriations Committee, which makes
allocations to its subcommittees based on its priorities.
Therefore, the aggregate funding levels in this function may
increase or decrease depending on how committees determine the
savings.
FUNCTION 900: NET INTEREST
----------
FUNCTION 900: NET INTEREST
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority.............. 155.6 166.9 205.9 232.7 244.8 251.7 2,393.3
Outlays....................... 155.6 166.9 205.9 232.7 244.8 251.7 2,393.3
On Budget:
Budget Authority.......... 239.7 256.7 303.8 341.6 366.5 387.6 3,874.7
Outlays................... 239.7 256.7 303.8 341.6 366.5 387.6 3,874.7
Off Budget:
Budget Authority.......... -84.1 -89.8 -97.9 -108.9 -121.8 -135.9 -1,481.3
Outlays................... -84.1 -89.8 -97.9 -108.9 -121.8 -135.9 -1,481.3
----------------------------------------------------------------------------------------------------------------
Function Summary
Net interest is the interest paid for the Federal
Government's borrowing less the interest received by the
Federal Government from trust fund investments and loans to the
public. Function 900 is a mandatory payment, with no
discretionary components.
On-budget BA and outlays for net interest has gone from
$287.8 billion in fiscal year 1998 to $239.7 billion in fiscal
year 2003, a overall decrease of 3.6 percent per year.
Summary of Committee-Reported Resolution
On-Budget Interest. The resolution calls for $256.7 billion
in BA and outlays in fiscal year 2004, an increase of 7.1
percent compared with fiscal year 2003. The function totals are
$1,656.2 billion in BA and outlays over 5 years, and $3,874.7
billion in BA and outlays over 10 years.
Off-Budget Interest. The resolution calls for -$89.8
billion in BA and outlays in fiscal year 2004, a decrease of
6.3 percent compared with fiscal year 2003. The function totals
are -$554.2 billion in BA and outlays over 5 years, and
-$1,481.3 billion in BA and outlays over 10 years.
The resolution assumes a saving in interest payments of
$0.3 billion in BA and outlays in fiscal year 2004 and $5.3
billion in BA and outlays over 10 years. This saving arises
from replacing Treasury's compensating balances by a permanent
indefinite appropriation (see Function 800) that would result
in lower borrowing by the Federal Government. There is a small
reduction in the interest received from Federal Financing Bank
in fiscal years 2004-2013. This is related to Postal Service
pension proposal (see Function 950).
FUNCTION 920: ALLOWANCES
----------
FUNCTION 920: Allowances
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... ......... -0.2 ......... ......... ......... ......... -0.2
Outlays........................ ......... -0.2 (\1\) (\1\) (\1\) ......... -0.2
Discretionary Spending:
Budget Authority............... ......... -0.2 ......... ......... ......... ......... -0.2
Outlays........................ ......... -0.2 (\1\) (\1\) (\1\) ......... -0.2
Off Budget:
Budget Authority............... ......... ......... ......... ......... ......... ......... .........
Outlays........................ ......... ......... ......... ......... ......... .........
----------------------------------------------------------------------------------------------------------------
\1\ Less than -$10 million.
Function Summary
The Allowances function is used for planning purposes to
address the budgetary effects of proposals or assumptions that
cross various other budget functions. Once such changes are
enacted, the budgetary effects are distributed to the
appropriate budget functions in past years.
There is no spending history in Function 920 for the reason
mentioned above.
Summary of Committee-Reported Resolution
The resolution calls for -$0.2 billion in BA and -$0.2
billion in outlays in fiscal year 2004. The figure carries
through the 10 years of the budget resolution.
For fiscal year 2004 discretionary spending, the resolution
calls for -$0.2 billion in BA and -$0.2 billion in outlays.
There is an offset in Function 500 for those amounts. This
offset carries through the 10 years of the budget resolution.
FUNCTION 950: UNDISTRIBUTED OFFSETTING RECEIPTS
----------
FUNCTION 950: UNDISTRIBUTED OFFSETTING RECEIPTS
[In billions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2005 2006 2007 2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Total Spending:
Budget Authority............... -50.5 -52.9 -63.4 -66.0 -63.7 -66.6 -676.0
Outlays........................ -50.5 -52.9 -63.4 -66.0 -63.7 -66.6 -676.0
On Budget:
Budget Authority........... -41.1 -42.9 -52.6 -54.5 -51.5 -53.5 -539.4
Outlays.................... -41.1 -42.9 -52.6 -54.5 -51.5 -53.5 -539.4
Off Budget:
Budget Authority........... -9.4 -10.0 -10.8 -11.5 -12.2 -13.1 -136.5
Outlays.................... -9.4 -10.0 -10.8 -11.5 -12.2 -13.1 -136.5
----------------------------------------------------------------------------------------------------------------
Function Summary
Receipts recorded in this function are either
intragovernmental (a payment from one Federal agency to
another, such as agency payments to the retirement trust funds)
or proprietary (a payment from the public for some kind of
business transaction with the Government). The main types of
receipts recorded in this function are: the payments Federal
employers make to employee retirement trust funds; payments
made by companies for the right to explore and produce oil and
gas on the Outer Continental Shelf; and payments by those who
bid for the right to buy or use public property or resources,
such as the electromagnetic spectrum. These receipts are
treated as mandatory negative spending.
The average annual increase in on-budget receipts (or
decline in spending) in BA and outlays over the past 5 years
[1998-2003] for Function 950 is -2.1 percent. The average
annual increase in off-budget receipts is -5.9 percent.
Summary of Committee-Reported Resolution
The resolution calls for -$52.9 billion in BA and outlays
for this function in fiscal year 2004, reflecting a -$2.4
billion, or -4.8 percent, increase in receipts (or decrease in
spending) compared to the fiscal year 2003 budget. This amount
is the baseline for offsetting receipts increased by the
reduction ($2.7 billion) in the Postal Service's contribution
to the Civil Service Retirement System for prior-year
overpayments. Over the 2004-2008 period, BA and outlays are to
further decrease by -$16.1 billion due to an average increase
for receipts of -5.7 percent per year. Over 10 years, receipts
are to total $676.0 billion in BA and outlays.
On-Budget Receipts. The resolution calls for -$42.9 billion
in BA and outlays in fiscal year 2004, a decrease of -4.4
percent in BA compared with fiscal year 2003. The function
totals are -$255.0 billion in BA and outlays over 5 years, and
-$539.4 billion in BA and outlays over 10 years. Over the 2004-
2008 period, on-budget BA and outlays further decrease an
average of -5.4 percent per year. The on-budget receipts in
this function consist of six items at baseline levels: Outer
Continental Shelf receipts; spectrum auction receipts; agency
contributions to the Medicare Hospital Insurance trust fund;
agency contributions to the military retirement fund; agency
contributions to the DOD Retiree Health Care Fund; and other
agency contributions to the civil and foreign service
retirement and disability fund. The resolution does assume a
proposal that reduces the Postal Service's contributions to the
Civil Service Retirement and Disability Trust Fund to prevent
the overfunding of accruing pension benefits for Postal
Employees who are part of the old Civil Service Retirement
System [CSRS]. Currently, the Postal Service makes a payment
annually to the CSRDF to ``forward fund'' future retiree
annuities. Because of the higher than expected return on the
Treasury securities in which the fund is invested, the Postal
Service's contribution is soon to be higher than the actual
costs of future benefits. The proposal lowers the amount that
the Postal Service must pay to the CSRDF to prevent this
overfunding. The effect of this proposal occurs in this
function, Function 800, and in the off-budget portion of
Function 370.
Off-Budget Receipts. The resolution assumes -$10.0 billion
in BA and outlays in fiscal year 2004, a decrease of -6.6
percent in BA compared with fiscal year 2003. The off-budget
function totals -$57.6 billion in BA and outlays over 5 years,
and -$136.5 billion in BA and outlays over 10 years. Over the
2004-2008 period, BA and outlays further decrease an average of
-6.8 percent per year. The off-budget receipts in this function
are agencies' payments to the Social Security trust funds at
baseline.
The resolution does not assume the enactment of proposed
legislation to permanently extend the Federal Communications
Commission's authority (which expires in 2007) to auction
spectrum. The resolution also does not assume an analog
spectrum lease fee, or a new spectrum license user fee for non-
auctioned spectrum.
Summary Tables: Spending and Revenue*
----------
Comparison of Total Budget Revenues for President's Request and
Committee Recommendations (Table 3)
---------------------------------------------------------------------------
*Numbers may not add due to rounding.
Comparison of On Budget Revenues for President's Request and
---------------------------------------------------------------------------
Committee Recommendation (Table 4)
CBO Baseline Revenues by Source, in Billions of Dollars, Under
Past and Current Law (Table 5)
CBO Baseline Revenues By Source, Percent of GDP, Under Past and
Current Law (Table 6)
Comparison of Total Budget Revenues for CBO Baseline and
Committee Recommendation (Table 7)
Comparison of Total Budget Revenues, as Percent of GDP, for CBO
Baseline and Committee Recommendation
(Table 8)
Tax Expenditure Estimates by Function (Table 9)
Budget Resolution Total Spending and Revenue (Table 10)
Budget Resolution Discretionary Spending (Table 11)
Budget Resolution Mandatory Spending (Table 12)
Budget Resolution Minus the President's Request: Total Spending
and Revenues (Table 13)
Budget Resolution Compared to 2003: Total Spending and Revenues
(Table 14)
Budget Resolution Compared to 2003: Percentage Change (Table
15)
Reconciliation (Table 16)
Revenue Comparisons
----------
TABLE 3.--COMPARISON OF TOTAL REVENUES FOR PRESIDENT'S REQUEST AND
COMMITTEE RECOMMENDATION
[In billions of dollars]
Amount
Fiscal Year:
1992 Actual..................................................1,091.3
1993 Actual..................................................1,154.4
1994 Actual..................................................1,258.6
1995 Actual..................................................1,351.8
1996 Actual..................................................1,453.1
1997 Actual..................................................1,579.3
1998 Actual..................................................1,721.8
1999 Actual..................................................1,827.5
2000 Actual..................................................2,025.2
2001 Actual..................................................1,991.2
2002 Actual..................................................1,853.2
Fiscal Year 2003:
President's Request (February 2003)..........................1,856.4
Committee Level..............................................1,855.3
Fiscal Year 2004:
President's Request (February 2003)..........................1,907.2
Committee Level..............................................1,908.0
Fiscal Year 2005:
President's Request (February 2003)..........................2,100.0
Committee Level..............................................2,107.2
Fiscal Year 2006:
President's Request (February 2003)..........................2,273.1
Committee Level..............................................2,281.9
Fiscal Year 2007:
President's Request (February 2003)..........................2,433.2
Committee Level..............................................2,444.4
Fiscal Year 2008:
President's Request (February 2003)..........................2,573.4
Committee Level..............................................2,587.2
Fiscal Year 2009:
President's Request (February 2003)..........................2,719.7
Committee Level..............................................2,736.6
Fiscal Year 2010:
President's Request (February 2003)..........................2,867.9
Committee Level..............................................2,886.7
Fiscal Year 2011:
President's Request (February 2003)..........................3,008.0
Committee Level..............................................3,028.0
Fiscal Year 2012:
President's Request (February 2003)..........................3,172.8
Committee Level..............................................3,194.1
Fiscal Year 2013:
President's Request (February 2003)..........................3,349.8
Committee Level..............................................3,372.4
TABLE 4.--COMPARISON OF ON-BUDGET REVENUES FOR PRESIDENT'S REQUEST AND
COMMITTEE RECOMMENDATION
[In billions of dollars]
Amount
Fiscal Year:
1992 Actual................................................... 788.9
1993 Actual................................................... 842.5
1994 Actual................................................... 923.6
1995 Actual..................................................1,000.8
1996 Actual..................................................1,085.6
1997 Actual..................................................1,187.3
1998 Actual..................................................1,306.0
1999 Actual..................................................1,383.0
2000 Actual..................................................1,544.6
2001 Actual..................................................1,483.7
2002 Actual..................................................1,337.9
Fiscal Year 2003:
President's Request (February 2003)..........................1,324.8
Committee Level..............................................1,323.7
Fiscal Year 2004:
President's Request (February 2003)..........................1,349.3
Committee Level..............................................1,350.1
Fiscal Year 2005:
President's Request (February 2003)..........................1,512.1
Committee Level..............................................1,519.3
Fiscal Year 2006:
President's Request (February 2003)..........................1,654.0
Committee Level..............................................1,662.7
Fiscal Year 2007:
President's Request (February 2003)..........................1,781.9
Committee Level..............................................1,793.1
Fiscal Year 2008:
President's Request (February 2003)..........................1,888.9
Committee Level..............................................1,902.7
Fiscal Year 2009:
President's Request (February 2003)..........................2,000.5
Committee Level..............................................2,017.4
Fiscal Year 2010:
President's Request (February 2003)..........................2,112.0
Committee Level..............................................2,130.9
Fiscal Year 2011:
President's Request (February 2003)..........................2,215.8
Committee Level..............................................2,235.8
Fiscal Year 2012:
President's Request (February 2003)..........................2,343.2
Committee Level..............................................2,364.4
Fiscal Year 2013:
President's Request (February 2003)..........................2,480.0
Committee Level..............................................2,502.6
TABLE 5.--COMPARISON OF TOTAL REVENUES FOR CBO BASELINE AND COMMITTEE
RECOMMENDATION
[In billions of dollars]
Amount
Fiscal Year:
1992 Actual..................................................1,091.3
1993 Actual..................................................1,154.4
1994 Actual..................................................1,258.6
1995 Actual..................................................1,351.8
1996 Actual..................................................1,453.1
1997 Actual..................................................1,579.3
1998 Actual..................................................1,721.8
1999 Actual..................................................1,827.5
2000 Actual..................................................2,025.2
2001 Actual..................................................1,991.2
2002 Actual..................................................1,853.2
Fiscal Year 2003:
CBO Baseline (March 2003)....................................1,891.4
Committee Level..............................................1,855.3
Fiscal Year 2004:
CBO Baseline (March 2003)....................................2,024.3
Committee Level..............................................1,908.0
Fiscal Year 2005:
CBO Baseline (March 2003)....................................2,204.9
Committee Level..............................................2,107.2
Fiscal Year 2006:
CBO Baseline (March 2003)....................................2,359.8
Committee Level..............................................2,281.9
Fiscal Year 2007:
CBO Baseline (March 2003)....................................2,504.4
Committee Level..............................................2,444.4
Fiscal Year 2008:
CBO Baseline (March 2003)....................................2,647.5
Committee Level..............................................2,587.2
Fiscal Year 2009:
CBO Baseline (March 2003)....................................2,797.5
Committee Level..............................................2,736.6
Fiscal Year 2010:
CBO Baseline (March 2003)....................................2,948.9
Committee Level..............................................2,886.7
Fiscal Year 2011:
CBO Baseline (March 2003)....................................3,219.7
Committee Level..............................................3,028.0
Fiscal Year 2012:
CBO Baseline (March 2003)....................................3,479.4
Committee Level..............................................3,194.1
Fiscal Year 2013:
CBO Baseline (March 2003)....................................3,674.0
Committee Level..............................................3,372.4
TABLE 6.--COMPARISON OF TOTAL REVENUES, AS PERCENT OF GDP, FOR CBO
BASELINE AND COMMITTEE RECOMMENDATION
[In billions of dollars]
Percent
Fiscal Year:
1992 Actual................................................... 17.5
1993 Actual................................................... 17.6
1994 Actual................................................... 18.1
1995 Actual................................................... 18.5
1996 Actual................................................... 18.9
1997 Actual................................................... 19.3
1998 Actual................................................... 19.9
1999 Actual................................................... 20.0
2000 Actual................................................... 20.8
2001 Actual................................................... 19.9
2002 Actual................................................... 17.9
Fiscal Year 2003:
CBO Baseline (March 2003)..................................... 17.6
Committee Level............................................... 17.2
Fiscal Year 2004:
CBO Baseline (March 2003)..................................... 17.9
Committee Level............................................... 16.9
Fiscal Year 2005:
CBO Baseline (March 2003)..................................... 18.5
Committee Level............................................... 17.7
Fiscal Year 2006:
CBO Baseline (March 2003)..................................... 18.8
Committee Level............................................... 18.1
Fiscal Year 2007:
CBO Baseline (March 2003)..................................... 18.9
Committee Level............................................... 18.4
Fiscal Year 2008:
CBO Baseline (March 2003)..................................... 18.9
Committee Level............................................... 18.5
Fiscal Year 2009:
CBO Baseline (March 2003)..................................... 19.0
Committee Level............................................... 18.6
Fiscal Year 2010:
CBO Baseline (March 2003)..................................... 19.0
Committee Level............................................... 18.6
Fiscal Year 2011:
CBO Baseline (March 2003)..................................... 19.8
Committee Level............................................... 18.6
Fiscal Year 2012:
CBO Baseline (March 2003)..................................... 20.5
Committee Level............................................... 18.8
Fiscal Year 2013:
CBO Baseline (March 2003)..................................... 20.6
Committee Level............................................... 18.9
TABLE 7.--CBO BASELINE REVENUES BY SOURCE, IN BILLIONS OF DOLLARS
[Includes on- and off-budget revenues, fiscal years]
----------------------------------------------------------------------------------------------------------------
Projected
1950 1960 1970 1980 1990 2000 2002 -------------------
2003 2004
----------------------------------------------------------------------------------------------------------------
Individual Income Tax....... 15.8 40.7 90.4 244.1 466.9 1,004.5 858.3 868.9 923.5
Corporate Income Tax........ 10.4 21.5 32.8 64.6 93.5 207.3 148.0 156.2 184.7
Social Insurance Tax and 4.3 14.7 44.4 157.8 380.0 652.9 700.8 725.4 765.7
contributions..............
Excise Taxes................ 7.6 11.7 15.7 24.3 35.3 68.9 67.0 68.3 71.1
Estate and Gift Taxes....... 0.7 1.6 3.6 6.4 11.5 29.0 26.5 21.5 24.0
Customs Duties.............. 0.4 1.1 2.4 7.2 16.7 19.9 18.6 18.4 19.7
Miscellaneous Receipts...... 0.2 1.2 3.4 12.7 28.0 42.8 33.9 32.7 35.5
-----------------------------------------------------------------------------------
Total\1\.............. 39.4 92.5 192.8 517.1 1,032.0 2,025.2 1,853.2 1,891.4 2,024.3
On-Budget Revenues.......... (37.3) (81.9) (159.3) (403.9) (750.3) (1,544.6 (1,337.9 (1,359.8 (1,466.4
) ) ) )
Off-Budget Revenues\2\...... (2.1) (10.6) (33.5) (113.2) (281.7) (480.6) (515.3) (531.6) (557.9)
----------------------------------------------------------------------------------------------------------------
\1\ Details may not sum to totals due to rounding.
\2\ Social Security (OASDI) revenues.
TABLE 8.--OMB BASELINE REVENUES BY SOURCE, AS PERCENT OF GDP
[Includes on- and off-budget revenues, fiscal years]
----------------------------------------------------------------------------------------------------------------
Projected
1950 1960 1970 1980 1990 2000 2002 ---------------
2003 2004
----------------------------------------------------------------------------------------------------------------
Individual Income Tax................... 5.8 7.8 8.9 8.9 8.1 10.3 8.3 8.1 8.2
Corporate Income Tax.................... 3.8 4.1 3.2 2.4 1.6 2.1 1.4 1.5 1.6
Social Insurance Tax and contributions.. 1.6 2.8 4.4 5.8 6.6 6.7 6.8 6.7 6.8
Excise Taxes............................ 2.8 2.3 1.6 0.9 0.6 0.7 0.6 0.6 0.6
Estate and Gift Taxes................... 0.3 0.3 0.4 0.2 0.2 0.3 0.3 0.2 0.2
Customs Duties.......................... 0.1 0.2 0.2 0.3 0.3 0.2 0.2 0.2 0.2
Miscellaneous Receipts.................. 0.1 0.2 0.3 0.5 0.5 0.4 0.3 0.3 0.3
-----------------------------------------------------------------------
Total\1\.......................... 14.4 17.8 19.0 18.9 18.0 20.8 17.9 17.6 17.9
On-Budget Revenues...................... (13.7) (15.8) (15.7) (14.8) (13.1) (15.9) (12.9) (12.6) (13.0)
Off-Budget Revenues\2\.................. (0.8) (2.1) (3.3) (4.1) (4.9) (4.9) (5.0) (4.9) (4.9)
----------------------------------------------------------------------------------------------------------------
\1\ Details may not sum to totals due to rounding.
\2\ Social Security (OASDI) revenues.
Table 9.--Tax Expenditure Estimates By Budget Function, Fiscal Years 2003-2007
[Billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
Corporations Individuals
Function ------------------------------------------------------------------------------------------ Total
2003 2004 2005 2006 2007 2003 2004 2005 2006 2007 2003-07
--------------------------------------------------------------------------------------------------------------------------------------------------------
National Defense
Exclusion of benefits and allowances to Armed ....... ....... ....... ....... ....... 2.5 2.6 2.6 2.7 2.8 13.1
Forces personnel................................
Exclusion of military disability benefits........ ....... ....... ....... ....... ....... 0.1 0.1 0.1 0.1 0.1 0.6
International Affairs
Exclusion of income earned abroad by U.S. ....... ....... ....... ....... ....... 3.0 3.2 3.4 3.6 3.8 17.0
citizens........................................
Exclusion of certain allowances for Federal ....... ....... ....... ....... ....... 0.4 0.4 0.5 0.5 0.6 2.4
employees abroad................................
Exclusion of extraterritorial income............. 4.8 5.0 5.3 5.7 6.0 ....... ....... ....... ....... ....... 26.8
Deferral of active income of controlled foreign 4.4 4.6 4.8 5.0 5.2 ....... ....... ....... ....... ....... 24.0
corporations....................................
Inventory property sales source rule exception... 5.1 5.4 5.7 6.0 6.3 ....... ....... ....... ....... ....... 28.5
Deferral of certain financing income............. 1.7 1.9 2.1 2.3 1.7 ....... ....... ....... ....... ....... 9.7
General Science, Space, and Technology
Tax credit for qualified research expenditures... 5.1 4.5 2.7 1.4 0.7 (\1\) (\1\) (\1\) (\1\) (\1\) 14.7
Expensing of research and experimental 3.8 4.7 5.4 5.9 6.2 (\1\) (\1\) (\1\) (\1\) (\1\) 26.6
expenditures....................................
Energy
Expensing of exploration and development costs:
Oil and gas.................................... 0.6 0.4 0.3 0.4 0.5 (\1\) (\1\) (\1\) (\1\) (\1\) 2.2
Other fuels.................................... (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.2
Excess of percentage over cost depletion:
Oil and gas.................................... 0.4 0.4 0.4 0.5 0.5 (\1\) (\1\) (\1\) (\1\) (\1\) 2.2
Other fuels.................................... (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
Tax credit for enhanced oil recovery costs....... 0.2 0.2 0.2 0.2 0.2 0.1 0.1 0.1 0.1 0.1 1.5
Tax credit for production of non-conventional 0.8 0.5 0.5 0.5 0.6 0.2 0.1 0.1 0.1 0.1 3.6
fuels...........................................
Tax credits for alcohol fuels \2\................ (\1\) (\1\) (\1\) (\1\) (\1\) ....... ....... ....... ....... ....... 0.1
Exclusion of interest on State and local (\1\) (\1\) (\1\) (\1\) (\1\) 0.1 0.1 0.1 0.1 0.1 0.8
government industrial development bonds for
energy production facilities....................
Exclusion of energy conservation subsidies ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
provided by public utilities....................
Tax credit for investments in solar and (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
geothermal energy facilities....................
Tax credit for electricity production from wind, (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.3
biomass, and poultry waste......................
Natural Resources and Environment
Expensing of exploration and development costs, (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.3
nonfuel minerals................................
Excess of percentage over cost depletion, nonfuel 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.8
minerals........................................
Expensing of multiperiod timber-growing costs.... 0.2 0.2 0.2 0.2 0.2 (\1\) (\1\) (\1\) (\1\) (\1\) 0.9
Exclusion of interest on State and local 0.2 0.2 0.2 0.2 0.2 0.4 0.4 0.4 0.4 0.5 3.1
governments sewage, water, and hazardous waste
facilities bonds................................
Special rules for mining reclamation reserves.... (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.2
Special tax rate for nuclear decommissioning 0.3 0.3 0.3 0.3 0.3 ....... ....... ....... ....... ....... 1.5
reserve fund....................................
Exclusion of contributions in aid of construction (\1\) (\1\) (\1\) (\1\) (\1\) ....... ....... ....... ....... ....... 0.1
for water and sewer utilities...................
Agriculture
Expensing of soil and water conservation (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.2
expenditures....................................
Expensing of fertilizer and soil conditioner (\3\) (\1\) (\1\) (\1\) (\1\) (\3\) (\1\) (\1\) (\1\) (\1\) 0.1
costs...........................................
Expensing of the costs of raising dairy and (\1\) (\1\) (\1\) (\1\) (\1\) 0.1 (\1\) (\1\) (\1\) (\1\) 0.2
breeding cattle.................................
Exclusion of cost-sharing payments............... (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
Exclusion of cancellation of indebtedness income ....... ....... ....... ....... ....... 0.1 0.1 0.1 0.1 0.1 0.4
of farmers......................................
Cash accounting for agriculture.................. (\1\) 0.1 0.1 0.1 0.1 0.4 0.6 0.6 0.6 0.6 3.2
Income averaging for farmers..................... ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
Five-year carryback period for net operating (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.2
losses atrributable to farming..................
Commerce and Housing
Financial institutions:
Exemption of credit union income............... 1.1 1.1 1.2 1.3 1.3 ....... ....... ....... ....... ....... 6.0
Insurance companies:
Exclusion of investment income on life 1.4 1.4 1.4 1.5 1.5 24.0 24.6 25.2 25.8 26.5 133.2
insurance and annuity contracts...............
Small life insurance company taxable income 0.1 0.1 0.1 0.1 0.1 ....... ....... ....... ....... ....... 0.5
adjustment....................................
Special treatment of life insurance company 1.3 1.3 1.3 1.4 1.4 ....... ....... ....... ....... ....... 6.8
reserves......................................
Deduction of unpaid property loss reserves for 1.4 1.4 1.4 1.5 1.5 ....... ....... ....... ....... ....... 7.2
property and casualty insurance companies.....
Special deduction for Blue Cross and Blue 0.3 0.3 0.3 0.3 0.3 ....... ....... ....... ....... ....... 1.5
Shield companies..............................
Housing:
Deduction for mortgage interest on owner- ....... ....... ....... ....... ....... 69.9 72.6 76.5 80.5 85.5 384.9
occupied residences...........................
Deduction for property taxes on owner-occupied ....... ....... ....... ....... ....... 22.1 21.7 19.0 15.4 14.0 92.1
residences....................................
Exclusion of capital gains on sales of ....... ....... ....... ....... ....... 17.8 17.9 18.2 18.4 18.7 91.0
principal residences..........................
Exclusion of interest on State and local 0.3 0.3 0.3 0.3 0.3 0.7 0.8 0.8 0.8 0.8 5.3
government bonds for owner-occupied housing...
Exclusion of interest on State and local 0.1 0.1 0.1 0.1 0.1 0.2 0.2 0.2 0.2 0.2 1.1
government bonds for rental housing...........
Depreciation of rental housing in excess of 0.3 0.3 0.4 0.4 0.5 2.8 3.1 3.4 3.8 4.4 19.4
alternative depreciation system...............
Tax credit for low-income housing.............. 2.9 3.0 3.2 3.3 3.4 1.2 1.3 1.4 1.4 1.5 22.5
Tax credit for first-time homebuyers in the ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) (\1\)
District of Columbia..........................
Tax credit for rehabilitation of historic 0.4 0.4 0.4 0.4 0.4 0.1 0.1 0.1 0.1 0.1 2.5
structures....................................
Other business and commerce:
Reduced rates of tax on long-term capital gains ....... ....... ....... ....... ....... 55.3 54.7 52.8 53.2 48.6 264.6
Exclusion of capital gains at death............ ....... ....... ....... ....... ....... 38.1 41.1 44.3 47.6 49.1 220.2
Carryover basis of capital gains on gifts...... ....... ....... ....... ....... ....... 4.5 4.7 5.0 5.3 5.6 25.1
Deferral of gain on non-dealer installment 0.7 0.7 0.7 0.7 0.7 0.5 0.5 0.5 0.5 0.5 6.0
sales.........................................
Deferral of gain on like-kind exchanges........ 1.4 1.4 1.5 1.5 1.5 0.5 0.5 0.5 0.5 0.5 9.8
Deferral of gain on involuntary conversions ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
resulting from Presidentially declared
disasters.....................................
Depreciation of buildings other than rental 1.5 1.4 1.1 0.9 1.2 0.9 0.9 0.6 0.2 0.3 9.1
housing in excess of alternative depreciation
system........................................
Depreciation of equipment in excess of 39.3 36.2 19.1 10.3 14.4 10.5 9.2 4.2 1.6 2.7 147.5
alternative depreciation system...............
Expensing of depreciable business property..... -0.1 (\3\) 0.1 0.2 0.2 -0.6 -0.2 0.5 0.8 0.7 1.5
Amortization of business startup costs......... (\1\) (\1\) (\1\) (\1\) (\1\) 0.6 0.6 0.6 0.6 0.6 3.0
Reduced rates on first $10,000,000 of corporate 4.4 4.6 4.8 4.9 5.1 ....... ....... ....... ....... ....... 23.7
taxable income................................
Permanent exemption from imputed interest rules (\1\) (\1\) (\1\) (\1\) (\1\) 0.3 0.3 0.3 0.3 0.3 1.5
Expensing of magazine circulation expenditures. (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.2
Special rules for magazine, paperback book, and (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
record returns................................
Completed contract rules....................... 0.2 0.2 0.2 0.2 0.2 (\1\) (\1\) (\1\) (\1\) (\1\) 1.2
Cash accounting, other than agriculture........ (\1\) (\1\) (\1\) (\1\) (\1\) 0.5 0.5 0.5 0.5 0.5 2.5
Exclusion of interest on State and local 0.1 0.1 0.1 0.1 0.1 0.3 0.3 0.3 0.3 0.3 2.0
government small-issue industrial development
bonds.........................................
Exception from net operating loss limitations 0.8 0.6 0.6 0.6 0.6 ....... ....... ....... ....... ....... 3.2
for corporations in bankruptcy proceedings....
Tax credit for employer-paid FICA taxes on tips 0.1 0.1 0.1 0.2 0.2 0.2 0.3 0.3 0.3 0.3 1.9
Transportation
Deferral of tax on capital construction funds of 0.1 0.1 0.1 0.1 0.1 ....... ....... ....... ....... ....... 0.5
shipping companies..............................
Exclusion of employer-paid transportation ....... ....... ....... ....... ....... 3.7 3.8 3.8 3.9 3.9 19.1
benefits........................................
Exclusion of interest on State and local (\1\) (\1\) (\1\) (\1\) (\1\) 0.1 0.1 0.1 0.1 0.1 0.5
government bonds for high-speed rail............
Community and Regional Development
New York City Liberty Zone tax incentives........ 0.4 0.2 0.5 0.7 0.6 0.4 0.3 0.4 0.5 0.3 4.4
Empowerment zone tax incentives.................. 0.3 0.3 0.3 0.4 0.4 0.3 0.3 0.4 0.4 0.4 3.5
Renewal community tax incentives................. 0.1 0.1 0.2 0.2 0.3 0.3 0.3 0.4 0.4 0.4 2.7
New markets tax credit........................... (\1\) 0.1 0.2 0.2 0.3 0.1 0.1 0.2 0.3 0.4 2.0
District of Columbia tax incentives.............. (\1\) 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.7
Indian reservation tax incentives................ 0.4 0.5 0.3 -0.1 -0.3 0.2 0.2 0.2 (\3\) -0.1 1.3
Expensing of environmental remediation costs 0.1 (\1\) (\3\) (\3\) (\3\) 0.1 0.1 (\3\) (\3\) (\3\) 0.3
(``Brownfields'')...............................
Tax credit for rehabilitation of structures, (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
other than historic structures..................
Exclusion of interest on State and local 0.2 0.2 0.2 0.2 0.2 0.5 0.6 0.6 0.6 0.6 3.9
government bonds for private airports, docks,
and mass-commuting facilities...................
Education, Training, Employment, and Social
Services
Education and training:
Tax credits for tuition for post-secondary ....... ....... ....... ....... ....... 4.3 4.3 4.3 4.4 4.4 21.7
education.....................................
Deduction for interest on student loans........ ....... ....... ....... ....... ....... 0.6 0.7 0.8 0.8 0.9 3.8
Deduction for higher education expenses........ ....... ....... ....... ....... ....... 2.1 2.7 2.9 0.7 ....... 8.4
Exclusion of earnings of trust accounts for ....... ....... ....... ....... ....... 0.4 0.5 0.6 0.7 0.8 3.0
higher education (``education IRAs'').........
Exclusion of interest on educational savings ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
bonds.........................................
Deferral of tax on earnings of qualified State ....... ....... ....... ....... ....... 0.2 0.2 0.3 0.3 0.4 1.4
tuition programs..............................
Exclusion of scholarship and fellowship income. ....... ....... ....... ....... ....... 1.4 1.5 1.5 1.6 1.6 7.6
Exclusion of employer-provided education ....... ....... ....... ....... ....... 0.7 0.8 0.8 0.9 0.9 4.1
assistance benefits...........................
Parental personal exemption for students age 19 ....... ....... ....... ....... ....... 1.5 1.4 1.2 0.7 0.5 5.3
to 23.........................................
Exclusion of interest on State and local 0.1 0.1 0.1 0.1 0.1 0.3 0.3 0.3 0.3 0.3 1.8
government student loan bonds.................
Exclusion of interest on State and local 0.3 0.3 0.3 0.3 0.3 0.7 0.7 0.8 0.8 0.8 5.3
government bonds for private nonprofit
educational facilities 4......................
Tax credit for holders of qualified zone (\1\) 0.1 0.1 0.1 0.1 ....... ....... ....... ....... ....... 0.4
academy bonds.................................
Deduction for charitable contributions to 1.0 1.1 1.1 1.1 1.2 6.2 6.4 6.6 6.8 7.0 38.3
educational institutions......................
Above the line deduction for teacher classroom ....... ....... ....... ....... ....... 0.2 0.1 ....... ....... ....... 0.3
expenses......................................
Employment:
Exclusion of employee meals and lodging (other ....... ....... ....... ....... ....... 0.9 0.9 0.9 0.9 0.9 4.5
than military)................................
Exclusion of benefits provided under cafeteria ....... ....... ....... ....... ....... 14.0 14.8 16.0 16.8 18.0 79.5
plans 5.......................................
Exclusion of housing allowances for ministers.. ....... ....... ....... ....... ....... 0.4 0.5 0.5 0.5 0.5 2.4
Exclusion of miscellaneous fringe benefits..... ....... ....... ....... ....... ....... 6.0 6.2 6.4 6.7 7.0 32.3
Exclusion of employee awards................... ....... ....... ....... ....... ....... 0.1 0.1 0.2 0.2 0.2 0.8
Exclusion of income earned by voluntary ....... ....... ....... ....... ....... 3.0 3.2 3.4 3.5 3.7 16.8
employees' beneficiary associations...........
Special tax provisions for employee stock 0.8 0.9 0.9 0.9 0.9 0.2 0.2 0.3 0.3 0.3 5.6
ownership plans (``ESOPs'')...................
Work opportunity tax credit.................... 0.3 0.2 0.1 (\1\) (\1\) 0.1 (\1\) (\1\) (\1\) (\1\) 0.8
Welfare-to-work tax credit..................... 0.1 0.1 (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.3
Deferral of taxation on spread on acquisition ....... ....... ....... ....... ....... 0.3 0.4 0.4 0.5 0.5 2.1
of stock under incentive stock option plans
and employee stock purchase plans \6\.........
Social services:
Tax credit for children under age 17 \7\....... ....... ....... ....... ....... ....... 27.1 26.9 30.1 31.7 31.0 146.8
Tax credit for child and dependent care ....... ....... ....... ....... ....... 3.2 3.0 2.5 2.0 1.9 12.6
expenses......................................
Exclusion of employer-provided child care \8\.. ....... ....... ....... ....... ....... 0.8 0.8 0.9 0.9 1.0 4.4
Tax credit for employer-provided child care.... 0.1 0.1 0.1 0.1 0.2 (\1\) (\1\) (\1\) (\1\) (\1\) 0.7
Exclusion of certain foster care payments...... ....... ....... ....... ....... ....... 0.6 0.6 0.7 0.7 0.8 3.4
Adoption credit and employee adoption benefits ....... ....... ....... ....... ....... 0.2 0.3 0.4 0.4 0.4 1.7
exclusion.....................................
Deduction for charitable contributions, other 1.7 1.8 1.9 1.9 2.0 32.5 33.5 34.5 35.6 36.7 182.0
than for education and health.................
Tax credit for disabled access expenditures.... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1 0.1 0.1 0.1 0.1 0.4
Health
Exclusion of employer contributions for health ....... ....... ....... ....... ....... 79.6 85.1 91.8 98.7 106.6 461.8
care, health insurance premiums, and long-term
care insurance premiums \9\.....................
Exclusion of medical care and CHAMPUS/TRICARE ....... ....... ....... ....... ....... 1.8 1.8 1.8 1.9 1.9 9.1
medical insurance for military dependents,
retirees, and retiree dependents................
Deduction for health insurance premiums and long- ....... ....... ....... ....... ....... 2.5 2.9 3.1 3.2 3.4 15.1
term care insurance premiums by the self-
employed........................................
Deduction for medical expenses and long-term care ....... ....... ....... ....... ....... 5.9 6.1 6.3 6.5 6.9 31.6
expenses........................................
Exclusion of workers' compensation benefits ....... ....... ....... ....... ....... 3.8 3.9 4.0 4.1 4.1 20.0
(medical benefits)..............................
Medical savings accounts......................... ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
Exclusion of interest on State and local 0.4 0.4 0.4 0.4 0.4 1.1 1.1 1.1 1.1 1.1 7.7
government bonds for private nonprofit hospital
facilities......................................
Deduction for charitable contributions to health 0.9 0.9 1.0 1.0 1.0 4.2 4.4 4.5 4.6 4.8 27.4
organizations...................................
Tax credit for orphan drug research.............. 0.2 0.2 0.2 0.2 0.2 ....... ....... ....... ....... ....... 1.0
Tax credit for purchase of health insurance by ....... ....... ....... ....... ....... 0.3 0.4 0.5 0.5 0.5 2.1
certain displaced persons.......................
Medicare
Exclusion of untaxed Medicare benefits:
Hospital insurance............................. ....... ....... ....... ....... ....... 13.9 15.1 16.3 17.5 18.7 81.5
Supplementary medical insurance................ ....... ....... ....... ....... ....... 9.1 9.7 10.4 11.3 12.4 52.9
Income Security
Exclusion of workers' compensation benefits ....... ....... ....... ....... ....... 4.7 4.8 4.9 5.0 5.3 24.7
(disability and survivors payments).............
Exclusion of damages on account of personal ....... ....... ....... ....... ....... 1.4 1.4 1.4 1.4 1.7 7.1
physical injuries or physical sickness..........
Exclusion of special benefits for disabled coal ....... ....... ....... ....... ....... 0.1 0.1 0.1 0.1 0.1 0.3
miners..........................................
Exclusion of cash public assistance benefits..... ....... ....... ....... ....... ....... 3.0 3.2 3.3 3.5 3.6 16.6
Net exclusion of pension contributions and
earnings:
Employer plans................................. ....... ....... ....... ....... ....... 83.5 94.7 99.7 104.9 110.3 493.1
Individual retirement plans.................... ....... ....... ....... ....... ....... 10.4 13.7 16.1 17.8 19.3 77.3
Keogh plans.................................... ....... ....... ....... ....... ....... 5.7 5.8 6.0 6.4 6.7 30.5
Tax credit for certain individuals for elective ....... ....... ....... ....... ....... 1.6 1.5 1.4 1.3 0.4 6.3
deferrals and IRA contributions.................
Tax credit for new retirement plan expenses of (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
small businesses................................
Exclusion of other employee benefits:
Premiums on group term life insurance.......... ....... ....... ....... ....... ....... 2.4 2.5 2.6 2.7 2.7 12.6
Premiums on accident and disability insurance.. ....... ....... ....... ....... ....... 2.3 2.4 2.5 2.7 2.8 12.7
Additional standard deduction for the blind and ....... ....... ....... ....... ....... 2.0 2.1 2.2 2.3 2.2 10.7
the elderly.....................................
Tax credit for the elderly and disabled.......... ....... ....... ....... ....... ....... (\1\) (\1\) (\1\) (\1\) (\1\) 0.1
Deduction for casualty and theft losses.......... ....... ....... ....... ....... ....... 0.2 0.2 0.2 0.2 0.2 1.1
Earned income credit (``EIC'') \7\............... ....... ....... ....... ....... ....... 34.1 34.6 35.9 36.8 37.3 178.8
Social Security and Railroad Retirement
Exclusion of untaxed Social Security and railroad ....... ....... ....... ....... ....... 21.6 22.2 22.8 23.4 24.2 114.2
retirement benefits.............................
Veterans' Benefits and Services
Exclusion of veterans' disability compensation... ....... ....... ....... ....... ....... 2.6 2.7 2.8 2.8 2.8 13.7
Exclusion of veterans' pensions.................. ....... ....... ....... ....... ....... 0.1 0.1 0.1 0.1 0.1 0.6
Exclusion of veterans' readjustment benefits..... ....... ....... ....... ....... ....... 0.1 0.1 0.1 0.1 0.1 0.6
Exclusion of interest on State and local (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) (\1\) 0.2
government bonds for veterans' housing..........
General Purpose Fiscal Assistance
Exclusion of interest on public purpose State and 6.6 6.7 6.8 6.9 7.0 16.9 17.3 17.6 17.9 18.2 121.6
local government debt...........................
Deduction of nonbusiness State and local ....... ....... ....... ....... ....... 50.9 50.4 46.7 39.0 36.4 223.5
government income and personal property taxes...
Tax credit for Puerto Rico and possession income, 1.8 1.6 1.4 0.4 ....... ....... ....... ....... ....... ....... 5.2
and Puerto Rico economic activity...............
Interest
Deferral of interest on savings bonds............ ....... ....... ....... ....... ....... 1.6 1.6 1.6 1.6 1.6 8.0
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Positive tax expenditure of less than $50 million.
\2\ In addition, the exemption from excise tax for alcohol fuels results in a reduction in excise tax receipts, net of income tax effect, of $0.7
billion in fiscal year 2003, and $0.8 billion per year in fiscal years 2004 through 2007.
\3\ Negative tax expenditure of less than $50 million.
\4\ Estimate includes tax-exempt bonds for qualified educational facilities.
\5\ Estimate includes amounts of employer-provided health insurance purchased through cafeteria plans and employer-provided child care purchased
through dependent care flexible spending accounts. These amounts are also included in other line items in this table.
\6\ Tax expenditure estimate does not include offsetting denial of corporate deduction for qualified stock option compensation.
\7\ The amount of refundable child tax credit and earned income tax credit used to offset taxes other than income tax or paid out as refunds is: $38.1
billion in 2003, $37.9 billion in 2004, $38.5 billion in 2005, $41.7 billion in 2006, and $42.3 billion in 2007.
\8\ Estimate includes employer-provided child care purchased through dependent care flexible spending accounts.
\9\ Estimate includes employer-provided health insurance purchased through cafeteria plans.
Note.--Details may not add to totals due to rounding.
Source: Joint Committee on Taxation.
TABLE 10.--FISCAL YEAR 2004 BUDGET RESOLUTION TOTAL SPENDING AND REVENUES
[In billions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Fiscal year 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2004-2008 2004-2013
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
SUMMARY
Total Spending:
BA.......................... 2,158.555 2,220.255 2,341.999 2,473.605 2,583.883 2,696.443 2,806.566 2,913.038 3,046.805 3,171.268 3,321.334 12,316.185 27,575.196
OT.......................... 2,143.410 2,232.185 2,333.122 2,442.443 2,544.123 2,656.422 2,771.095 2,880.886 3,020.867 3,130.903 3,288.991 12,208.295 27,301.037
On-Budget:
BA...................... 1,790.046 1,833.379 1,945.086 2,066.138 2,163.834 2,262.530 2,356.013 2,444.106 2,559.262 2,660.496 2,784.115 10,270.967 23,074.959
OT...................... 1,776.895 1,847.707 1,939.000 2,038.048 2,127.443 2,226.263 2,324.692 2,416.407 2,538.165 2,625.454 2,757.585 10,178.461 22,840.764
Off-Budget:
BA...................... 368.509 386.876 396.913 407.467 420.049 433.913 450.553 468.932 487.543 510.772 537.219 2,045.218 4,500.237
OT...................... 366.515 384.478 394.122 404.395 416.680 430.159 446.403 464.479 482.702 505.449 531.406 2,029.834 4,460.273
Revenues:
Total....................... 1,855.336 1,908.024 2,107.162 2,281.891 2,444.370 2,587.249 2,736.597 2,886.701 3,028.028 3,194.074 3,372.405 11,328.696 26,546.501
On-budget................... 1,323.729 1,350.138 1,519.267 1,662.729 1,793.142 1,902.740 2,017.385 2,130.867 2,235.796 2,364.426 2,502.635 8,228.016 19,479.125
Off-budget.................. 531.607 557.886 587.895 619.162 651.228 684.509 719.212 755.834 792.232 829.648 869.770 3,100.680 7,067.376
Surplus/Deficit (-):
Total....................... -288.074 -324.161 -225.960 -160.552 -99.753 -69.173 -34.498 5.815 7.161 63.171 83.414 -879.599 -754.536
On-budget................... -453.166 -497.569 -419.733 -375.319 -334.301 -323.523 -307.307 -285.540 -302.369 -261.028 -254.950 -1,950.445 -3,361.639
Off-budget.................. 165.092 173.408 193.773 214.767 234.548 254.350 272.809 291.355 309.530 324.199 338.364 1,070.846 2,607.103
Debt Held by the Public (end of 3,858 4,179 4,412 4,585 4,697 4,777 4,821 4,823 4,824 4,768 4,690 na na
year)..........................
Debt Subject to Limit (end of 6,687 7,264 7,790 8,290 8,753 9,210 9,651 10,076 10,521 10,931 11,336 na na
year)..........................
BY FUNCTION
National Defense (050):
BA.......................... 392.494 400.546 420.071 440.185 460.435 480.886 494.067 507.840 522.103 536.531 551.323 2,202.123 4,813.987
OT.......................... 386.229 400.916 414.237 426.011 438.656 462.861 480.650 497.348 516.338 523.884 543.541 2,142.681 4,704.442
International Affairs (150):
BA.......................... 22.506 24.747 28.626 31.082 32.262 33.107 33.759 34.445 35.294 36.128 36.985 149.824 326.435
OT.......................... 19.283 23.676 24.128 25.608 27.409 28.389 29.398 30.221 31.065 31.873 32.737 129.210 284.504
General Science, Space, and
Technology (250):
BA.......................... 23.153 22.771 23.591 24.344 25.153 25.899 26.503 27.140 27.800 28.464 29.134 121.758 260.799
OT.......................... 21.556 22.348 23.082 23.690 24.425 25.127 25.799 26.435 27.079 27.735 28.393 118.672 254.113
Energy (270):
BA.......................... 2.074 2.583 2.707 2.609 2.431 2.988 2.977 3.085 3.182 3.289 3.402 13.318 29.253
OT.......................... 0.439 0.929 0.962 1.245 1.023 1.402 1.663 1.784 1.957 2.319 2.295 5.561 15.579
Natural Resources and
Environment (300):
BA.......................... 30.816 29.237 30.250 30.940 31.448 32.224 33.454 34.421 35.427 36.343 37.240 154.099 330.984
OT.......................... 28.940 29.866 30.274 31.199 31.331 31.706 32.835 33.757 34.741 35.615 36.590 154.376 327.914
Agriculture (350):
BA.......................... 24.418 23.966 26.144 25.799 25.113 24.035 24.239 23.427 22.985 22.651 22.433 125.057 240.792
OT.......................... 23.365 23.356 25.194 24.987 24.415 23.523 24.066 23.496 23.002 22.627 22.388 121.475 237.054
Commerce and Housing Credit
(370):
BA.......................... 5.212 7.201 8.133 5.667 5.995 5.096 4.988 4.608 4.424 4.256 4.053 32.092 54.421
OT.......................... 2.281 3.387 3.559 0.652 0.194 -1.177 -1.289 -1.921 -2.657 -3.163 -3.354 6.615 -5.769
On-budget:
BA...................... 8.812 7.401 8.633 8.145 9.166 8.628 8.763 8.737 8.939 9.029 9.247 41.973 86.688
OT...................... 5.881 3.587 4.059 3.130 3.365 2.355 2.486 2.208 1.858 1.610 1.840 16.496 26.498
Off-budget:
BA...................... -3.600 -0.200 -0.500 -2.478 -3.171 -3.532 -3.775 -4.129 -4.515 -4.773 -5.194 -9.881 -32.267
OT...................... -3.600 -0.200 -0.500 -2.478 -3.171 -3.532 -3.775 -4.129 -4.515 -4.773 -5.194 -9.881 -32.267
Transportation (400):
BA.......................... 64.091 65.416 65.785 66.691 67.693 68.647 69.825 71.016 72.723 74.432 76.218 334.232 698.446
OT.......................... 67.847 73.832 69.861 68.369 68.293 68.700 69.604 71.021 72.573 74.228 75.924 349.055 712.405
Community and Regional
Development (450):
BA.......................... 12.251 14.137 14.355 14.647 14.968 15.350 15.701 16.075 16.467 16.857 17.255 73.457 155.812
OT.......................... 15.994 15.923 15.990 15.120 14.918 14.500 14.802 15.146 15.524 15.892 16.288 76.451 154.103
Education, Training, Employment
and Social Services (500):
BA.......................... 86.169 84.744 84.376 86.663 88.640 90.799 92.377 93.915 95.812 97.615 99.516 435.222 914.457
OT.......................... 81.340 85.702 83.593 84.632 86.408 88.343 90.470 92.151 93.918 95.694 97.583 428.678 898.494
Health (550):
BA.......................... 221.878 235.033 248.561 265.324 284.054 303.513 323.793 345.221 370.172 394.838 423.165 1,336.485 3,193.674
OT.......................... 218.021 235.408 248.255 264.811 283.181 302.371 322.510 343.935 368.888 393.580 421.858 1,334.026 3,184.797
Medicare (570):
BA.......................... 248.586 261.298 275.475 312.447 332.020 352.392 372.165 392.052 420.691 453.915 490.497 1,533.632 3,662.952
OT.......................... 248.434 261.621 278.402 309.300 332.299 352.287 371.929 392.309 423.880 450.312 490.754 1,533.909 3,663.093
Income Security (600):
BA.......................... 326.588 315.939 326.452 332.440 337.235 345.904 354.493 362.278 376.326 379.667 393.564 1,657.970 3,524.298
OT.......................... 334.373 321.576 329.892 334.883 339.157 347.149 355.411 363.059 377.070 380.403 394.420 1,672.657 3,543.020
Social Security (650):
BA.......................... 478.882 501.089 521.493 546.791 575.122 606.191 641.237 679.459 720.651 766.311 816.362 2,750.686 6,374.706
OT.......................... 476.888 498.690 518.702 543.719 571.753 602.437 637.087 675.006 715.810 760.988 810.549 2,735.301 6,334.741
On-budget:
BA...................... 13.255 14.223 15.330 16.451 17.975 19.827 21.982 24.357 28.235 31.450 34.481 83.806 224.311
OT...................... 13.255 14.222 15.330 16.451 17.975 19.827 21.982 24.357 28.235 31.450 34.481 83.805 224.310
Off-budget:
BA...................... 465.627 486.866 506.163 530.340 557.147 586.364 619.255 655.102 692.416 734.861 781.881 2,666.880 6,150.395
OT...................... 463.633 484.468 503.372 527.268 553.778 582.610 615.105 650.649 687.575 729.538 776.068 2,651.496 6,110.431
Veterans Benefits and Services
(700):
BA.......................... 57.597 60.710 65.827 63.976 62.320 65.655 66.888 68.158 72.646 69.805 74.452 318.488 670.437
OT.......................... 57.486 60.692 65.329 63.720 62.014 65.502 66.644 67.874 72.350 69.416 74.132 317.257 667.673
Administration of Justice (750):
BA.......................... 38.543 37.310 37.673 37.581 37.963 38.880 39.839 40.884 42.152 43.451 44.800 189.407 400.533
OT.......................... 37.712 40.895 39.003 38.026 37.859 38.633 39.662 40.696 41.847 43.124 44.464 194.416 404.209
General Government (800):
BA.......................... 18.178 19.768 20.025 19.654 19.955 19.760 20.168 20.572 21.294 22.039 22.829 99.162 206.064
OT.......................... 18.103 19.586 20.213 19.713 19.716 19.552 19.761 20.127 20.826 21.700 22.323 98.780 203.517
Net Interest (900):
BA.......................... 155.632 166.909 205.856 232.715 244.783 251.721 256.622 257.956 259.397 260.329 257.045 1,101.984 2,393.333
OT.......................... 155.632 166.909 205.856 232.715 244.783 251.721 256.622 257.956 259.397 260.329 257.045 1,101.984 2,393.333
On-budget:
BA...................... 239.741 256.667 303.803 341.619 366.538 387.576 407.629 425.168 443.855 463.017 478.803 1,656.203 3,874.675
OT...................... 239.741 256.667 303.803 341.619 366.538 387.576 407.629 425.168 443.855 463.017 478.803 1,656.203 3,874.675
Off-budget:
BA...................... -84.109 -89.758 -97.947 -108.904 -121.755 -135.855 -151.007 -167.212 -184.458 -202.688 -221.758 -554.219 -1,481.342
OT...................... -84.109 -89.758 -97.947 -108.904 -121.755 -135.855 -151.007 -167.212 -184.458 -202.688 -221.758 -554.219 -1,481.342
Allowances (920):
BA.......................... .......... -0.223 .......... .......... .......... .......... .......... .......... .......... .......... .......... -0.223 -0.223
OT.......................... .......... -0.201 -0.009 -0.007 -0.004 .......... .......... .......... .......... .......... .......... -0.221 -0.221
Undistributed Offsetting
Receipts (950):
BA.......................... -50.513 -52.926 -63.401 -65.950 -63.707 -66.604 -66.529 -69.514 -72.741 -75.653 -78.939 -312.588 -675.964
OT.......................... -50.513 -52.926 -63.401 -65.950 -63.707 -66.604 -66.529 -69.514 -72.741 -75.653 -78.939 -312.588 -675.964
On-budget:
BA...................... -41.104 -42.894 -52.598 -54.459 -51.535 -53.540 -52.609 -54.685 -56.841 -59.025 -61.229 -255.026 -539.415
OT...................... -41.104 -42.894 -52.598 -54.459 -51.535 -53.540 -52.609 -54.685 -56.841 -59.025 -61.229 -255.026 -539.415
Off-budget:
BA...................... -9.409 -10.032 -10.803 -11.491 -12.172 -13.064 -13.920 -14.829 -15.900 -16.628 -17.710 -57.562 -136.549
OT...................... -9.409 -10.032 -10.803 -11.491 -12.172 -13.064 -13.920 -14.829 -15.900 -16.628 -17.710 -57.562 -136.549
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
TABLE 11.--FISCAL YEAR 2004 BUDGET RESOLUTION DISCRETIONARY SPENDING
[In billions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Fiscal year 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2004-2008 2004-2013
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
SUMMARY
Total Spending:
BA.......................... 765.796 775.386 802.587 830.682 860.381 891.601 915.318 939.877 965.492 991.479 1,018.043 4,160.637 8,990.846
OT.......................... 804.682 835.873 844.653 859.483 879.661 911.861 940.906 968.801 999.395 1,018.939 1,050.829 4,331.531 9,310.401
Defense:
BA.......................... 392.137 400.058 419.437 439.507 459.729 480.129 493.288 507.026 521.259 535.680 550.432 2,198.860 4,806.545
OT.......................... 386.373 400.561 413.682 425.379 437.995 462.157 479.923 496.588 515.552 523.096 542.715 2,139.774 4,697.648
Nondefense:
BA.......................... 373.659 375.328 383.150 391.175 400.652 411.472 422.030 432.851 444.233 455.799 467.611 1,961.777 4,184.301
OT.......................... 418.309 435.312 430.971 434.104 441.666 449.704 460.983 472.213 483.843 495.843 508.114 2,191.757 4,612.753
BY FUNCTION
National Defense (050):
BA.......................... 392.137 400.058 419.437 439.507 459.729 480.129 493.288 507.026 521.259 535.680 550.432 2,198.860 4,806.545
OT.......................... 386.373 400.561 413.682 425.379 437.995 462.157 479.923 496.588 515.552 523.096 542.715 2,139.774 4,697.648
International Affairs (150):
BA.......................... 25.407 27.843 29.122 30.620 31.842 32.791 33.546 34.351 35.187 36.016 36.851 152.218 328.169
OT.......................... 26.000 26.376 26.888 28.455 30.266 31.234 32.310 33.233 34.097 34.935 35.754 143.219 313.548
General Science, Space, and
Technology (250):
BA.......................... 23.047 22.741 23.561 24.314 25.122 25.867 26.472 27.108 27.767 28.430 29.100 121.605 260.482
OT.......................... 21.457 22.251 22.989 23.627 24.381 25.095 25.768 26.404 27.047 27.703 28.360 118.343 253.625
Energy (270):
BA.......................... 3.237 3.625 3.888 3.813 3.794 4.752 4.840 4.960 5.086 5.211 5.344 19.872 45.313
OT.......................... 3.151 3.614 3.856 3.915 3.816 4.562 4.804 4.919 5.043 5.167 5.297 19.763 44.993
Natural Resources and
Environment (300):
BA.......................... 29.238 27.018 27.588 28.150 28.751 29.646 30.518 31.431 32.374 33.340 34.320 141.153 303.136
OT.......................... 27.857 28.167 28.205 28.427 28.771 29.305 30.073 30.914 31.800 32.700 33.657 142.875 302.019
Agriculture (350):
BA.......................... 5.727 5.109 5.467 5.569 5.691 5.838 6.005 6.177 6.354 6.538 6.728 27.674 59.476
OT.......................... 5.852 5.537 5.334 5.462 5.599 5.783 5.943 6.116 6.287 6.471 6.658 27.715 59.190
Commerce and Housing Credit
(370):
BA.......................... 0.150 -0.503 -0.217 -0.489 0.595 0.916 1.225 1.280 1.369 1.439 1.521 0.302 7.136
OT.......................... 0.054 0.147 -0.314 -0.564 0.523 0.730 1.042 1.150 1.234 1.333 1.387 0.522 6.668
On-budget:
BA...................... 0.150 -0.503 -0.217 -0.489 0.595 0.916 1.225 1.280 1.369 1.439 1.521 0.302 7.136
OT...................... 0.054 0.147 -0.314 -0.564 0.523 0.730 1.042 1.150 1.234 1.333 1.387 0.522 6.668
Off-budget:
BA...................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ............ ............
OT...................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ............ ............
Transportation (400):
BA.......................... 22.611 22.225 22.140 22.544 23.010 23.554 24.279 25.042 25.828 26.635 27.468 113.473 242.725
OT.......................... 65.184 71.603 67.717 66.368 66.366 66.848 67.742 69.169 70.686 72.297 73.940 338.902 692.736
Community and Regional
Development (450):
BA.......................... 11.725 13.909 14.227 14.527 14.849 15.313 15.668 16.043 16.434 16.824 17.218 72.825 155.012
OT.......................... 16.054 16.016 16.116 15.289 15.145 14.775 15.116 15.491 15.866 16.227 16.614 77.341 156.655
Education, Training, Employment
and Social Services (500):
BA.......................... 72.875 75.390 74.170 75.775 77.459 79.444 80.873 82.381 83.947 85.515 87.091 382.238 802.045
OT.......................... 71.958 74.172 73.051 74.414 75.943 77.662 79.647 81.218 82.757 84.313 85.892 375.242 789.069
Health (550):
BA.......................... 49.468 48.063 49.093 50.183 51.285 52.591 53.850 55.162 56.522 57.887 59.271 251.215 533.907
OT.......................... 44.349 47.097 48.243 49.086 50.216 51.105 52.282 53.540 54.849 56.186 57.537 245.747 520.141
Medicare (570):
BA.......................... 3.798 3.619 3.687 3.785 3.888 4.009 4.221 4.433 4.662 4.936 5.234 18.988 42.474
OT.......................... 3.797 3.668 3.723 3.795 3.883 4.000 4.192 4.401 4.629 4.891 5.184 19.069 42.366
Income Security (600):
BA.......................... 44.020 44.436 45.235 46.150 46.305 46.540 47.533 48.538 49.589 50.639 51.691 228.666 476.656
OT.......................... 50.781 50.570 48.947 49.387 49.075 48.944 49.724 50.427 51.286 52.128 52.985 246.923 503.473
Social Security (650):
BA.......................... 3.833 4.160 4.226 4.310 4.407 4.519 4.671 4.829 4.991 5.158 5.333 21.622 46.604
OT.......................... 3.859 4.171 4.225 4.318 4.408 4.515 4.661 4.816 4.980 5.145 5.320 21.637 46.559
On-budget:
BA...................... 0.021 0.024 0.024 0.025 0.026 0.026 0.027 0.028 0.029 0.030 0.031 0.125 0.270
OT...................... 0.021 0.023 0.024 0.025 0.026 0.026 0.027 0.028 0.029 0.030 0.031 0.124 0.269
Off-budget:
BA...................... 3.812 4.136 4.202 4.285 4.381 4.493 4.644 4.801 4.962 5.128 5.302 21.497 46.334
OT...................... 3.838 4.148 4.201 4.293 4.382 4.489 4.634 4.788 4.951 5.115 5.289 21.513 46.290
Veterans Benefits and Services
(700):
BA.......................... 26.532 27.318 27.729 28.153 28.610 29.174 30.128 31.102 32.116 33.159 34.234 140.984 301.723
OT.......................... 26.902 27.509 27.603 27.980 28.483 29.109 29.969 30.924 31.931 32.968 34.036 140.684 300.512
Administration of Justice (750):
BA.......................... 36.289 33.314 35.592 36.372 37.247 38.266 39.328 40.482 41.819 43.190 44.612 180.791 390.222
OT.......................... 35.484 37.693 36.532 36.636 37.212 38.127 39.256 40.398 41.614 42.961 44.373 186.200 394.802
General Government (800):
BA.......................... 15.702 17.284 17.642 17.399 17.797 18.252 18.873 19.532 20.188 20.882 21.595 88.374 189.444
OT.......................... 15.570 16.922 17.865 17.516 17.583 17.910 18.454 19.093 19.737 20.418 21.120 87.796 186.618
Allowances (920):
BA.......................... .......... -0.223 .......... .......... .......... .......... .......... .......... .......... .......... .......... -0.223 -0.223
OT.......................... .......... -0.201 -0.009 -0.007 -0.004 .......... .......... .......... .......... .......... .......... -0.221 -0.221
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
TABLE 12.--FISCAL YEAR 2004 BUDGET RESOLUTION MANDATORY SPENDING
[In billions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Fiscal year 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2004-2008 2004-2013
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
SUMMARY
Total Spending:
BA.......................... 1,392.759 1,444.869 1,539.412 1,642.923 1,723.502 1,804.842 1,891.248 1,973.161 2,081.313 2,179.789 2,303.291 8,155.548 18,584.350
OT.......................... 1,338.728 1,396.312 1,488.469 1,582.960 1,664.462 1,744.561 1,830.189 1,912.085 2,021.472 2,111.964 2,238.162 7,876.764 17,990.636
On-budget:
BA...................... 1,028.062 1,062.129 1,146.701 1,239.741 1,307.834 1,375.422 1,445.339 1,509.030 1,598.732 1,674.145 1,771.374 6,131.827 14,130.447
OT...................... 976.051 1,015.982 1,098.548 1,182.858 1,252.164 1,318.891 1,388.420 1,452.394 1,543.721 1,611.630 1,712.045 5,868.443 13,576.653
Off-budget:
BA...................... 364.697 382.740 392.711 403.182 415.668 429.420 445.909 464.131 482.581 505.644 531.917 2,023.721 4,453.903
OT...................... 362.677 380.330 389.921 400.102 412.298 425.670 441.769 459.691 477.751 500.334 526.117 2,008.321 4,413.983
BY FUNCTION
National Defense (050):
BA.......................... 0.357 0.488 0.634 0.678 0.706 0.757 0.779 0.814 0.844 0.851 0.891 3.263 7.442
OT.......................... -0.144 0.355 0.555 0.632 0.661 0.704 0.727 0.760 0.786 0.788 0.826 2.907 6.794
International Affairs (150):
BA.......................... -2.901 -3.096 -0.496 0.462 0.420 0.316 0.213 0.094 0.107 0.112 0.134 -2.394 -1.734
OT.......................... -6.717 -2.700 -2.760 -2.847 -2.857 -2.845 -2.912 -3.012 -3.032 -3.062 -3.017 -14.009 -29.044
General Science, Space, and
Technology (250):
BA.......................... 0.106 0.030 0.030 0.030 0.031 0.032 0.031 0.032 0.033 0.034 0.034 0.153 0.317
OT.......................... 0.099 0.097 0.093 0.063 0.044 0.032 0.031 0.031 0.032 0.032 0.033 0.329 0.488
Energy (270):
BA.......................... -1.163 -1.042 -1.181 -1.204 -1.363 -1.764 -1.863 -1.875 -1.904 -1.922 -1.942 -6.554 -16.060
OT.......................... -2.712 -2.685 -2.894 -2.670 -2.793 -3.160 -3.141 -3.135 -3.086 -2.848 -3.002 -14.202 -29.414
Natural Resources and
Environment (300):
BA.......................... 1.578 2.219 2.662 2.790 2.697 2.578 2.936 2.990 3.053 3.003 2.920 12.946 27.848
OT.......................... 1.083 1.699 2.069 2.772 2.560 2.401 2.762 2.843 2.941 2.915 2.933 11.501 25.895
Agriculture (350):
BA.......................... 18.691 18.857 20.677 20.230 19.422 18.197 18.234 17.250 16.631 16.113 15.705 97.383 181.316
OT.......................... 17.513 17.819 19.860 19.525 18.816 17.740 18.123 17.380 16.715 16.156 15.730 93.760 177.864
Commerce and Housing Credit
(370):
BA.......................... 5.062 7.704 8.350 6.156 5.400 4.180 3.763 3.328 3.055 2.817 2.532 31.790 47.285
OT.......................... 2.227 3.240 3.873 1.216 -0.329 -1.907 -2.331 -3.071 -3.891 -4.496 -4.741 6.093 -12.437
On-budget:
BA...................... 8.662 7.904 8.850 8.634 8.571 7.712 7.538 7.457 7.570 7.590 7.726 41.671 79.552
OT...................... 5.827 3.440 4.373 3.694 2.842 1.625 1.444 1.058 0.624 0.277 0.453 15.974 19.830
Off-budget:
BA...................... -3.600 -0.200 -0.500 -2.478 -3.171 -3.532 -3.775 -4.129 -4.515 -4.773 -5.194 -9.881 -32.267
OT...................... -3.600 -0.200 -0.500 -2.478 -3.171 -3.532 -3.775 -4.129 -4.515 -4.773 -5.194 -9.881 -32.267
Transportation (400):
BA.......................... 41.480 43.191 43.645 44.147 44.683 45.093 45.546 45.974 46.895 47.797 48.750 220.759 455.721
OT.......................... 2.663 2.229 2.144 2.001 1.927 1.852 1.862 1.852 1.887 1.931 1.984 10.153 19.669
Community and Regional
Development (450):
BA.......................... 0.526 0.228 0.128 0.120 0.119 0.037 0.033 0.032 0.033 0.033 0.037 0.632 0.800
OT.......................... -0.060 -0.093 -0.126 -0.169 -0.227 -0.275 -0.314 -0.345 -0.342 -0.335 -0.326 -0.890 -2.552
Education, Training, Employment
and Social Services (500):
BA.......................... 13.294 9.354 10.206 10.888 11.181 11.355 11.504 11.534 11.865 12.100 12.425 52.984 112.412
OT.......................... 9.382 11.530 10.542 10.218 10.465 10.681 10.823 10.933 11.161 11.381 11.691 53.436 109.425
Health (550):
BA.......................... 172.410 186.970 199.468 215.141 232.769 250.922 269.943 290.059 313.650 336.951 363.894 1,085.270 2,659.767
OT.......................... 173.672 188.311 200.012 215.725 232.965 251.266 270.228 290.395 314.039 337.394 364.321 1,088.279 2,664.656
Medicare (570):
BA.......................... 244.788 257.679 271.788 308.662 328.132 348.383 367.944 387.619 416.029 448.979 485.263 1,514.644 3,620.478
OT.......................... 244.637 257.953 274.679 305.505 328.416 348.287 367.737 387.908 419.251 445.421 485.570 1,514.840 3,620.727
Income Security (600):
BA.......................... 282.568 271.503 281.217 286.290 290.930 299.364 306.960 313.740 326.737 329.028 341.873 1,429.304 3,047.642
OT.......................... 283.592 271.006 280.945 285.496 290.082 298.205 305.687 312.632 325.784 328.275 341.435 1,425.734 3,039.547
Social Security (650):
BA.......................... 475.049 496.929 517.267 542.481 570.715 601.672 636.566 674.630 715.660 761.153 811.029 2,729.064 6,328.102
OT.......................... 473.029 494.519 514.477 539.401 567.345 597.922 632.426 670.190 710.830 755.843 805.229 2,713.664 6,288.182
On-budget:
BA...................... 13.234 14.199 15.306 16.426 17.949 19.801 21.955 24.329 28.206 31.420 34.450 83.681 224.041
OT...................... 13.234 14.199 15.306 16.426 17.949 19.801 21.955 24.329 28.206 31.420 34.450 83.681 224.041
Off-budget:
BA...................... 461.815 482.730 501.961 526.055 552.766 581.871 614.611 650.301 687.454 729.733 776.579 2,645.383 6,104.061
OT...................... 459.795 480.320 499.171 522.975 549.396 578.121 610.471 645.861 682.624 724.423 770.779 2,629.983 6,064.141
Veterans Benefits and Services
(700):
BA.......................... 31.065 33.392 38.098 35.823 33.710 36.481 36.760 37.056 40.530 36.646 40.218 177.504 368.714
OT.......................... 30.584 33.183 37.726 35.740 33.531 36.393 36.675 36.950 40.419 36.448 40.096 176.573 367.161
Administration of Justice (750):
BA.......................... 2.254 3.996 2.081 1.209 0.716 0.614 0.511 0.402 0.333 0.261 0.188 8.616 10.311
OT.......................... 2.228 3.202 2.471 1.390 0.647 0.506 0.406 0.298 0.233 0.163 0.091 8.216 9.407
General Government (800):
BA.......................... 2.476 2.484 2.383 2.255 2.158 1.508 1.295 1.040 1.106 1.157 1.234 10.788 16.620
OT.......................... 2.533 2.664 2.348 2.197 2.133 1.642 1.307 1.034 1.089 1.282 1.203 10.984 16.899
Net Interest (900):
BA.......................... 155.632 166.909 205.856 232.715 244.783 251.721 256.622 257.956 259.397 260.329 257.045 1,101.984 2,393.333
OT.......................... 155.632 166.909 205.856 232.715 244.783 251.721 256.622 257.956 259.397 260.329 257.045 1,101.984 2,393.333
On-budget:
BA...................... 239.741 256.667 303.803 341.619 366.538 387.576 407.629 425.168 443.855 463.017 478.803 1,656.203 3,874.675
OT...................... 239.741 256.667 303.803 341.619 366.538 387.576 407.629 425.168 443.855 463.017 478.803 1,656.203 3,874.675
Off-budget:
BA...................... -84.109 -89.758 -97.947 -108.904 -121.755 -135.855 -151.007 -167.212 -184.458 -202.688 -221.758 -554.219 -1,481.342
OT...................... -84.109 -89.758 -97.947 -108.904 -121.755 -135.855 -151.007 -167.212 -184.458 -202.688 -221.758 -554.219 -1,481.342
Allowances (920):
BA.......................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ............ ............
OT.......................... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... .......... ............ ............
Undistributed Offsetting
Receipts (950):
BA.......................... -50.513 -52.926 -63.401 -65.950 -63.707 -66.604 -66.529 -69.514 -72.741 -75.653 -78.939 -312.588 -675.964
OT.......................... -50.513 -52.926 -63.401 -65.950 -63.707 -66.604 -66.529 -69.514 -72.741 -75.653 -78.939 -312.588 -675.964
On-budget:
BA...................... -41.104 -42.894 -52.598 -54.459 -51.535 -53.540 -52.609 -54.685 -56.841 -59.025 -61.229 -255.026 -539.415
OT...................... -41.104 -42.894 -52.598 -54.459 -51.535 -53.540 -52.609 -54.685 -56.841 -59.025 -61.229 -255.026 -539.415
Off-budget:
BA...................... -9.409 -10.032 -10.803 -11.491 -12.172 -13.064 -13.920 -14.829 -15.900 -16.628 -17.710 -57.562 -136.549
OT...................... -9.409 -10.032 -10.803 -11.491 -12.172 -13.064 -13.920 -14.829 -15.900 -16.628 -17.710 -57.562 -136.549
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
TABLE 13.--FISCAL YEAR 2004 BUDGET RESOLUTION MINUS THE PRESIDENT'S BUDGET
[In billions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Fiscal year 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2004-2008 2004-2013
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
SUMMARY
Total Spending:
BA.............................. 0.536 -18.508 -44.021 -54.172 -65.247 -85.959 -104.949 -132.115 -145.148 -152.333 -167.642 -267.907 -970.094
OT.............................. 0.523 -13.208 -36.728 -48.527 -61.689 -82.567 -101.476 -127.749 -140.922 -147.708 -163.205 -242.719 -923.779
On-budget:
BA.......................... 0.555 -19.008 -43.939 -50.787 -61.866 -82.013 -100.560 -127.122 -139.512 -146.130 -160.678 -257.613 -931.615
OT.......................... 0.542 -13.770 -36.682 -45.165 -58.326 -78.638 -97.103 -122.773 -135.305 -141.524 -156.260 -232.581 -885.546
Off-Budget:
BA.......................... -0.019 0.500 -0.082 -3.385 -3.381 -3.946 -4.389 -4.993 -5.636 -6.203 -6.964 -10.294 -38.479
OT.............................. -0.019 0.562 -0.046 -3.362 -3.363 -3.929 -4.373 -4.976 -5.617 -6.184 -6.945 -10.138 -38.233
Revenues:
Total........................... -1.044 0.836 7.172 8.769 11.199 13.873 16.927 18.847 20.034 21.240 22.616 41.849 141.513
On-Budget....................... -1.044 0.836 7.172 8.769 11.199 13.873 16.927 18.847 20.034 21.240 22.616 41.849 141.513
Off-Budget...................... 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
Surplus/Deficit (-):
Total........................... -1.567 14.044 43.900 57.296 72.888 96.440 118.403 146.596 160.956 168.948 185.821 284.568 1,065.292
On-Budget....................... -1.586 14.606 43.854 53.934 69.525 92.511 114.030 141.620 155.339 162.764 178.876 274.430 1,027.059
Off-Budget...................... 0.019 -0.562 0.046 3.362 3.363 3.929 4.373 4.976 5.617 6.184 6.945 10.138 38.233
BY FUNCTION
National Defense (050):
BA.............................. 0.000 0.070 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.070 0.070
OT.............................. 0.000 0.034 0.032 0.004 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.070 0.070
International Affairs (150):
BA.............................. 0.000 -0.934 -1.108 -1.226 -1.341 -1.504 -1.654 -1.813 -1.842 -1.877 -1.900 -6.113 -15.199
OT.............................. 0.000 -0.531 -0.789 -0.931 -1.055 -1.215 -1.335 -1.468 -1.500 -1.535 -1.561 -4.521 -11.920
General Science, Space, and
Technology (250):
BA.............................. 0.000 -0.732 -0.739 -0.768 -0.796 -0.823 -0.847 -0.866 -0.887 -0.908 -0.928 -3.858 -8.294
OT.............................. 0.000 -0.330 -0.536 -0.626 -0.672 -0.706 -0.729 -0.748 -0.768 -0.785 -0.805 -2.870 -6.705
Energy (270):
BA.............................. 0.000 -0.252 -0.269 -0.283 -0.282 -0.270 -0.296 -0.299 -0.306 -0.314 -0.322 -1.356 -2.893
OT.............................. 0.000 -0.175 -0.206 -0.228 -0.228 -0.202 -0.211 -0.205 -0.218 -0.240 -0.241 -1.039 -2.154
Natural Resources and Environment
(300):
BA.............................. 0.000 -1.000 -0.904 -0.864 -0.817 -0.904 -1.014 -1.120 -1.115 -1.089 -1.159 -4.489 -9.986
OT.............................. 0.000 -0.491 -0.683 -0.731 -0.701 -0.788 -0.885 -0.986 -0.980 -0.951 -1.022 -3.394 -8.218
Agriculture (350):
BA.............................. 0.000 -0.663 -0.884 -1.042 -1.183 -1.459 -1.840 -2.104 -1.986 -1.899 -1.843 -5.231 -14.903
OT.............................. 0.000 -0.337 -0.501 -0.600 -0.688 -0.845 -1.045 -1.205 -1.155 -1.125 -1.084 -2.971 -8.585
Commerce and Housing Credit (370):
BA.............................. 0.000 -0.112 -0.145 -3.470 -2.675 -3.702 -4.025 -4.457 -4.838 -5.091 -5.503 -10.104 -34.018
OT.............................. 0.000 -0.043 -0.073 -3.341 -2.514 -3.477 -3.737 -4.089 -4.443 -4.671 -5.085 -9.448 -31.473
On-Budget:
BA.......................... 0.000 -0.112 -0.145 -0.192 0.496 -0.170 -0.250 -0.328 -0.323 -0.318 -0.309 -0.123 -1.651
OT.......................... 0.000 -0.043 -0.073 -0.063 0.657 0.055 0.038 0.040 0.072 0.102 0.109 0.533 0.894
Off-Budget:
BA.......................... 0.000 0.000 0.000 -3.278 -3.171 -3.532 -3.775 -4.129 -4.515 -4.773 -5.194 -9.981 -32.367
OT.......................... 0.000 0.000 0.000 -3.278 -3.171 -3.532 -3.775 -4.129 -4.515 -4.773 -5.194 -9.981 -32.367
Transportation (400):
BA.............................. 0.000 5.577 0.505 -0.178 -0.764 -1.412 -1.895 -2.433 -2.533 -2.662 -2.749 3.728 -8.544
OT.............................. 0.000 5.069 3.439 2.086 0.905 -0.058 -0.695 -0.881 -1.056 -1.221 -1.382 11.441 6.206
Community and Regional Development
(450):
BA.............................. 0.000 -0.298 -0.273 -0.282 -0.291 -0.302 -0.318 -0.331 -0.339 -0.348 -0.355 -1.446 -3.137
OT.............................. 0.000 -0.162 -0.241 -0.265 -0.256 -0.256 -0.263 -0.268 -0.276 -0.284 -0.291 -1.180 -2.562
Education, Training, Employment and
Social Services (500):
BA.............................. -0.130 -2.270 -2.702 -2.745 -2.877 -3.052 -3.228 -3.405 -3.460 -3.522 -3.573 -13.646 -30.834
OT.............................. -0.115 -1.074 -1.999 -2.290 -2.490 -2.688 -2.854 -3.038 -3.087 -3.146 -3.194 -10.541 -25.860
Health (550):
BA.............................. 0.225 -7.922 -15.847 -19.187 -20.306 -23.052 -26.385 -30.689 -32.446 -34.169 -36.054 -86.314 -246.057
OT.............................. 0.225 -7.058 -15.428 -18.918 -20.068 -22.842 -26.185 -30.495 -32.252 -33.956 -35.797 -84.314 -242.999
Medicare (570):
BA.............................. 0.000 -3.880 -7.584 -9.888 -12.648 -18.035 -24.580 -31.782 -34.250 -35.752 -37.874 -52.035 -216.273
OT.............................. 0.000 -3.822 -7.605 -9.796 -12.639 -18.015 -24.555 -31.783 -34.418 -35.529 -37.873 -51.877 -216.035
Income Security (600):
BA.............................. 0.198 -3.235 -5.026 -6.546 -8.379 -12.031 -15.391 -18.469 -19.154 -18.566 -18.902 -35.217 -125.699
OT.............................. 0.170 -2.659 -4.799 -6.573 -8.224 -11.744 -15.193 -18.317 -18.993 -18.403 -18.749 -33.999 -123.654
Social Security (650):
BA.............................. 0.000 -0.051 -0.006 0.056 0.114 0.120 0.132 0.137 0.146 0.157 0.167 0.233 0.972
OT.............................. 0.000 0.011 0.030 0.079 0.132 0.137 0.148 0.154 0.165 0.176 0.186 0.389 1.218
On-Budget:
BA.......................... 0.000 -0.629 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.633 -0.638
OT.......................... 0.000 -0.629 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.001 -0.633 -0.638
Off-Budget:
BA.......................... 0.000 0.578 -0.005 0.057 0.115 0.121 0.133 0.138 0.147 0.158 0.168 0.866 1.610
OT.......................... 0.000 0.640 0.031 0.080 0.133 0.138 0.149 0.155 0.166 0.177 0.187 1.022 1.856
Veterans Benefits and Services
(700):
BA.............................. 0.000 -1.268 -1.538 -1.668 -1.808 -2.273 -2.662 -3.117 -3.316 -3.118 -3.303 -8.555 -24.071
OT.............................. 0.000 -0.830 -1.283 -1.495 -1.666 -2.152 -2.548 -2.994 -3.189 -2.983 -3.171 -7.426 -22.311
Administration of Justice (750):
BA.............................. 0.000 -0.963 -0.856 -0.928 -0.963 -1.030 -1.098 -1.173 -1.201 -1.235 -1.266 -4.740 -10.713
OT.............................. 0.000 -0.507 -0.786 -0.830 -0.860 -0.927 -0.990 -1.063 -1.088 -1.117 -1.145 -3.910 -9.313
General Government (800):
BA.............................. -0.017 -0.918 -1.149 -2.953 -1.375 -2.047 -1.950 -2.299 -2.336 -2.398 -2.478 -8.442 -19.903
OT.............................. -0.017 -0.668 -0.995 -2.865 -1.305 -1.981 -1.876 -2.218 -2.254 -2.321 -2.391 -7.814 -18.874
Net Interest (900):
BA.............................. 0.260 0.651 -4.140 -4.253 -6.779 -13.131 -18.595 -28.627 -35.957 -42.581 -52.677 -27.652 -206.089
OT.............................. 0.260 0.651 -4.140 -4.253 -6.779 -13.131 -18.595 -28.627 -35.957 -42.581 -52.677 -27.652 -206.089
On-budget:
BA.......................... 0.279 0.729 -4.063 -4.089 -6.454 -12.596 -17.848 -27.625 -34.689 -40.993 -50.739 -26.473 -198.367
OT.......................... 0.279 0.729 -4.063 -4.089 -6.454 -12.596 -17.848 -27.625 -34.689 -40.993 -50.739 -26.473 -198.367
Off-Budget:
BA.......................... -0.019 -0.078 -0.077 -0.164 -0.325 -0.535 -0.747 -1.002 -1.268 -1.588 -1.938 -1.179 -7.722
OT.......................... -0.019 -0.078 -0.077 -0.164 -0.325 -0.535 -0.747 -1.002 -1.268 -1.588 -1.938 -1.179 -7.722
Allowances (920):
BA.............................. 0.000 -0.223 -1.275 -1.275 -0.025 -0.025 -0.025 -0.025 -0.025 -0.025 -0.025 -2.823 -2.948
OT.............................. 0.000 -0.201 -0.084 -0.282 -0.529 -0.650 -0.650 -0.275 -0.150 -0.100 -0.025 -1.746 -2.946
Undistributed Offsetting Receipts
(950):
BA.............................. 0.000 -0.085 -0.081 3.328 -2.052 -1.027 0.722 0.757 0.697 3.064 3.102 0.083 8.425
OT.............................. 0.000 -0.085 -0.081 3.328 -2.052 -1.027 0.722 0.757 0.697 3.064 3.102 0.083 8.425
On-Budget:
BA.......................... 0.000 -0.085 -0.081 3.328 -2.052 -1.027 0.722 0.757 0.697 3.064 3.102 0.083 8.425
OT.......................... 0.000 -0.085 -0.081 3.328 -2.052 -1.027 0.722 0.757 0.697 3.064 3.102 0.083 8.425
Off-Budget:
BA.......................... 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
OT.......................... 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
TABLE 14.--FISCAL YEAR 2004 BUDGET RES0LUTION COMPARED TO 2003: TOTAL SPENDING AND REVENUES
[In billions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Fiscal year 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2004-2008 2004-2013
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
SUMMARY
Total Spending:
BA................................................ 61.700 183.444 315.050 425.328 537.888 648.011 754.483 888.250 1,012.713 1,162.779 1,523.410 5,989.646
OT................................................ 88.775 189.712 299.033 400.713 513.012 627.685 737.476 877.457 987.493 1,145.581 1,491.245 5,866.937
On-budget:
BA............................................ 43.333 155.040 276.092 373.788 472.484 565.967 654.060 769.216 870.450 994.069 1,320.737 5,174.499
OT............................................ 70.812 162.105 261.153 350.548 449.368 547.797 639.512 761.270 848.559 980.690 1,293.986 5,071.814
Off-Budget:
BA............................................ 18.367 28.404 38.958 51.540 65.404 82.044 100.423 119.034 142.263 168.710 202.673 815.147
OT............................................ 17.963 27.607 37.880 50.165 63.644 79.888 97.964 116.187 138.934 164.891 197.259 795.123
Revenues:
Total............................................. 52.688 251.826 426.555 589.034 731.913 881.261 1,031.365 1,172.692 1,338.738 1,517.069 2,052.016 7,993.141
On-Budget......................................... 26.409 195.538 339.000 469.413 579.011 693.656 807.138 912.067 1,040.697 1,178.906 1,609.371 6,241.835
Off-Budget........................................ 26.279 56.288 87.555 119.621 152.902 187.605 224.227 260.625 298.041 338.163 442.645 1,751.306
Surplus/Deficit (-):
Total............................................. -36.087 62.114 127.522 188.321 218.901 253.576 293.889 295.235 351.245 371.488 560.771 2,126.204
On-Budget......................................... -44.403 33.433 77.847 118.865 129.643 145.859 167.626 150.797 192.138 198.216 315.385 1,170.021
Off-Budget........................................ 8.316 28.681 49.675 69.456 89.258 107.717 126.263 144.438 159.107 173.272 245.386 956.183
BY FUNCTION
National Defense (050):
BA................................................ 8.052 27.577 47.691 67.941 88.392 101.573 115.346 129.609 144.037 158.829 239.653 889.047
OT................................................ 14.687 28.008 39.782 52.427 76.632 94.421 111.119 130.109 137.655 157.312 211.536 842.152
International Affairs (150):
BA................................................ 2.241 6.120 8.576 9.756 10.601 11.253 11.939 12.788 13.622 14.479 37.294 101.375
OT................................................ 4.393 4.845 6.325 8.126 9.106 10.115 10.938 11.782 12.590 13.454 32.795 91.674
General Science, Space, and Technology (250):
BA................................................ -0.382 0.438 1.191 2.000 2.746 3.350 3.987 4.647 5.311 5.981 5.993 29.269
OT................................................ 0.792 1.526 2.134 2.869 3.571 4.243 4.879 5.523 6.179 6.837 10.892 38.553
Energy (270):
BA................................................ 0.509 0.633 0.535 0.357 0.914 0.903 1.011 1.108 1.215 1.328 2.948 8.513
OT................................................ 0.490 0.523 0.806 0.584 0.963 1.224 1.345 1.518 1.880 1.856 3.366 11.189
Natural Resources and Environment (300):
BA................................................ -1.579 -0.566 0.124 0.632 1.408 2.638 3.605 4.611 5.527 6.424 0.019 22.824
OT................................................ 0.926 1.334 2.259 2.391 2.766 3.895 4.817 5.801 6.675 7.650 9.676 38.514
Agriculture (350):
BA................................................ -0.452 1.726 1.381 0.695 -0.383 -0.179 -0.991 -1.433 -1.767 -1.985 2.967 -3.388
OT................................................ -0.009 1.829 1.622 1.050 0.158 0.701 0.131 -0.363 -0.738 -0.977 4.650 3.404
Commerce and Housing Credit (370):
BA................................................ 1.989 2.921 0.455 0.783 -0.116 -0.224 -0.604 -0.788 -0.956 -1.159 6.032 2.301
OT................................................ 1.106 1.278 -1.629 -2.087 -3.458 -3.570 -4.202 -4.938 -5.444 -5.635 -4.790 -28.579
On-budget:
BA............................................ -1.411 -0.179 -0.667 0.354 -0.184 -0.049 -0.075 0.127 0.217 0.435 -2.087 -1.432
OT............................................ -2.294 -1.822 -2.751 -2.516 -3.526 -3.395 -3.673 -4.023 -4.271 -4.041 -12.909 -32.312
Off-budget:
BA............................................ 3.400 3.100 1.122 0.429 0.068 -0.175 -0.529 -0.915 -1.173 -1.594 8.119 3.733
OT............................................ 3.400 3.100 1.122 0.429 0.068 -0.175 -0.529 -0.915 -1.173 -1.594 8.119 3.733
Transportation (400):
BA................................................ 1.325 1.694 2.600 3.602 4.556 5.734 6.925 8.632 10.341 12.127 13.777 57.536
OT................................................ 5.985 2.014 0.522 0.446 0.853 1.757 3.174 4.726 6.381 8.077 9.820 33.935
Community and RegionalDevelopment (450):
BA................................................ 1.886 2.104 2.396 2.717 3.099 3.450 3.824 4.216 4.606 5.004 12.202 33.302
OT................................................ -0.071 -0.004 -0.874 -1.076 -1.494 -1.192 -0.848 -0.470 -0.102 0.294 -3.519 -5.837
Education, Training, Employment and Social Services
(500):
BA................................................ -1.425 -1.793 0.494 2.471 4.630 6.208 7.746 9.643 11.446 13.347 4.377 52.767
OT................................................ 4.362 2.253 3.292 5.068 7.003 9.130 10.811 12.578 14.354 16.243 21.978 85.094
Health (550):
BA................................................ 13.155 26.683 43.446 62.176 81.635 101.915 123.343 148.294 172.960 201.287 227.095 974.894
OT................................................ 17.387 30.234 46.790 65.160 84.350 104.489 125.914 150.867 175.559 203.837 243.921 1,004.587
Medicare (570):
BA................................................ 12.712 26.889 63.861 83.434 103.806 123.579 143.466 172.105 205.329 241.911 290.702 1,177.092
OT................................................ 13.187 29.968 60.866 83.865 103.853 123.495 143.875 175.446 201.878 242.320 291.739 1,178.753
Income Security (600):
BA................................................ -10.649 -0.136 5.852 10.647 19.316 27.905 35.690 49.738 53.079 66.976 25.030 258.418
OT................................................ -12.797 -4.481 0.510 4.784 12.776 21.038 28.686 42.697 46.030 60.047 0.792 199.290
Social Security (650):
BA................................................ 22.207 42.611 67.909 96.240 127.309 162.355 200.577 241.769 287.429 337.480 356.276 1,585.886
OT................................................ 21.802 41.814 66.831 94.865 125.549 160.199 198.118 238.922 284.100 333.661 350.861 1,565.861
On-budget:
BA............................................ 0.968 2.075 3.196 4.720 6.572 8.727 11.102 14.980 18.195 21.226 17.531 91.761
OT............................................ 0.967 2.075 3.196 4.720 6.572 8.727 11.102 14.980 18.195 21.226 17.530 91.760
Off-budget:
BA............................................ 21.239 40.536 64.713 91.520 120.737 153.628 189.475 226.789 269.234 316.254 338.745 1,494.125
OT................................................ 20.835 39.739 63.635 90.145 118.977 151.472 187.016 223.942 265.905 312.435 333.331 1,474.101
Veterans Benefits and Services (700):
BA................................................ 3.113 8.230 6.379 4.723 8.058 9.291 10.561 15.049 12.208 16.855 30.503 94.467
OT................................................ 3.206 7.843 6.234 4.528 8.016 9.158 10.388 14.864 11.930 16.646 29.827 92.813
Administration of Justice (750):
BA................................................ -1.233 -0.870 -0.962 -0.580 0.337 1.296 2.341 3.609 4.908 6.257 -3.308 15.103
OT................................................ 3.183 1.291 0.314 0.147 0.921 1.950 2.984 4.135 5.412 6.752 5.856 27.089
General Government (800):
BA................................................ 1.590 1.847 1.476 1.777 1.582 1.990 2.394 3.116 3.861 4.651 8.272 24.284
OT................................................ 1.483 2.110 1.610 1.613 1.449 1.658 2.024 2.723 3.597 4.220 8.265 22.487
Net Interest (900):
BA................................................ 11.277 50.224 77.083 89.151 96.089 100.990 102.324 103.765 104.697 101.413 323.824 837.013
OT................................................ 11.277 50.224 77.083 89.151 96.089 100.990 102.324 103.765 104.697 101.413 323.824 837.013
On-budget:
BA............................................ 16.926 64.062 101.878 126.797 147.835 167.888 185.427 204.114 223.276 239.062 457.498 1,477.265
OT............................................ 16.926 64.062 101.878 126.797 147.835 167.888 185.427 204.114 223.276 239.062 457.498 1,477.265
Off-budget:
BA............................................ -5.649 -13.838 -24.795 -37.646 -51.746 -66.898 -83.103 -100.349 -118.579 -137.649 -133.674 -640.252
OT............................................ -5.649 -13.838 -24.795 -37.646 -51.746 -66.898 -83.103 -100.349 -118.579 -137.649 -133.674 -640.252
Allowances (920):
BA................................................ -0.223 ......... ......... ......... ......... ......... .......... .......... .......... .......... -0.223 -0.223
OT................................................ -0.201 -0.009 -0.007 -0.004 ......... ......... .......... .......... .......... .......... -0.221 -0.221
Undistributed Offsetting Receipts (950):
BA................................................ -2.413 -12.888 -15.437 -13.194 -16.091 -16.016 -19.001 -22.228 -25.140 -28.426 -60.023 -170.834
OT................................................ -2.413 -12.888 -15.437 -13.194 -16.091 -16.016 -19.001 -22.228 -25.140 -28.426 -60.023 -170.834
On-budget:
BA............................................ -1.790 -11.494 -13.355 -10.431 -12.436 -11.505 -13.581 -15.737 -17.921 -20.125 -49.506 -128.375
OT............................................ -1.790 -11.494 -13.355 -10.431 -12.436 -11.505 -13.581 -15.737 -17.921 -20.125 -49.506 -128.375
Off-budget:
BA............................................ -0.623 -1.394 -2.082 -2.763 -3.655 -4.511 -5.420 -6.491 -7.219 -8.301 -10.517 -42.459
OT............................................ -0.623 -1.394 -2.082 -2.763 -3.655 -4.511 -5.420 -6.491 -7.219 -8.301 -10.517 -42.459
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
TABLE 15.--FISCAL YEAR 2004 BUDGET RES0LUTION COMPARED TO 2003 TOTAL SPENDING AND REVENUES
[Percentage change]
--------------------------------------------------------------------------------------------------------------------------------------------------------
Fiscal year 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
--------------------------------------------------------------------------------------------------------------------------------------------------------
SUMMARY
Total Spending:
BA............................ 2.9 8.5 14.6 19.7 24.9 30.0 35.0 41.2 46.9 53.9
OT............................ 4.1 8.9 14.0 18.7 23.9 29.3 34.4 40.9 46.1 53.4
On-budget:
BA........................ 2.4 8.7 15.4 20.9 26.4 31.6 36.5 43.0 48.6 55.5
OT........................ 4.0 9.1 14.7 19.7 25.3 30.8 36.0 42.8 47.8 55.2
Off-Budget:
BA........................ 5.0 7.7 10.6 14.0 17.7 22.3 27.3 32.3 38.6 45.8
OT........................ 4.9 7.5 10.3 13.7 17.4 21.8 26.7 31.7 37.9 45.0
Revenues:
Total......................... 2.8 13.6 23.0 31.7 39.4 47.5 55.6 63.2 72.2 81.8
On-Budget................. 2.0 14.8 25.6 35.5 43.7 52.4 61.0 68.9 78.6 89.1
Off-Budget................ 4.9 10.6 16.5 22.5 28.8 35.3 42.2 49.0 56.1 63.6
Surplus/Deficit (-):
Total......................... 12.5 -21.6 -44.3 -65.4 -76.0 -88.0 -102.0 -102.5 -121.9 -129.0
On-Budget..................... 9.8 -7.4 -17.2 -26.2 -28.6 -32.2 -37.0 -33.3 -42.4 -43.7
Off-Budget.................... 5.0 17.4 30.1 42.1 54.1 65.2 76.5 87.5 96.4 105.0
BY FUNCTION
National Defense (050):
BA............................ 2.1 7.0 12.2 17.3 22.5 25.9 29.4 33.0 36.7 40.5
OT............................ 3.8 7.3 10.3 13.6 19.8 24.4 28.8 33.7 35.6 40.7
International Affairs (150):
BA............................ 10.0 27.2 38.1 43.3 47.1 50.0 53.0 56.8 60.5 64.3
OT............................ 22.8 25.1 32.8 42.1 47.2 52.5 56.7 61.1 65.3 69.8
General Science, Space, and
Technology (250):
BA............................ -1.6 1.9 5.1 8.6 11.9 14.5 17.2 20.1 22.9 25.8
OT............................ 3.7 7.1 9.9 13.3 16.6 19.7 22.6 25.6 28.7 31.7
Energy (270):
BA............................ 24.5 30.5 25.8 17.2 44.1 43.5 48.7 53.4 58.6 64.0
OT............................ 111.6 119.1 183.6 133.0 219.4 278.8 306.4 345.8 428.2 422.8
Natural Resources and Environment
(300):
BA............................ -5.1 -1.8 0.4 2.1 4.6 8.6 11.7 15.0 17.9 20.8
OT............................ 3.2 4.6 7.8 8.3 9.6 13.5 16.6 20.0 23.1 26.4
Agriculture (350):
BA............................ -1.9 7.1 5.7 2.8 -1.6 -0.7 -4.1 -5.9 -7.2 -8.1
OT............................ ......... 7.8 6.9 4.5 0.7 3.0 0.6 -1.6 -3.2 -4.2
Commerce and Housing Credit (370):
BA............................ 38.2 56.0 8.7 15.0 -2.2 -4.3 -11.6 -15.1 -18.3 -22.2
OT............................ 48.5 56.0 -71.4 -91.5 -151.6 -156.5 -184.2 -216.5 -238.7 -247.0
On-Budget:
BA........................ -16.0 -2.0 -7.6 4.0 -2.1 -0.6 -0.9 1.4 2.5 4.9
OT........................ -39.0 -31.0 -46.8 -42.8 -60.0 -57.7 -62.5 -68.4 -72.6 -68.7
Off-Budget:
BA........................ -94.4 -86.1 -31.2 -11.9 -1.9 4.9 14.7 25.4 32.6 44.3
OT........................ -94.4 -86.1 -31.2 -11.9 -1.9 4.9 14.7 25.4 32.6 44.3
Transportation (400):
BA............................ 2.1 2.6 4.1 5.6 7.1 8.9 10.8 13.5 16.1 18.9
OT............................ 8.8 3.0 0.8 0.7 1.3 2.6 4.7 7.0 9.4 11.9
Community and Regional Development
(450):
BA............................ 15.4 17.2 19.6 22.2 25.3 28.2 31.2 34.4 37.6 40.8
OT............................ -0.4 ......... -5.5 -6.7 -9.3 -7.5 -5.3 -2.9 -0.6 1.8
Education, Training, Employment
and Social Services (500):
BA............................ -1.7 -2.1 0.6 2.9 5.4 7.2 9.0 11.2 13.3 15.5
OT............................ 5.4 2.8 4.0 6.2 8.6 11.2 13.3 15.5 17.6 20.0
Health (550):
BA............................ 5.9 12.0 19.6 28.0 36.8 45.9 55.6 66.8 78.0 90.7
OT............................ 8.0 13.9 21.5 29.9 38.7 47.9 57.8 69.2 80.5 93.5
Medicare (570):
BA............................ 5.1 10.8 25.7 33.6 41.8 49.7 57.7 69.2 82.6 97.3
OT............................ 5.3 12.1 24.5 33.8 41.8 49.7 57.9 70.6 81.3 97.5
Income Security (600):
BA............................ -3.3 ......... 1.8 3.3 5.9 8.5 10.9 15.2 16.3 20.5
OT............................ -3.8 -1.3 0.2 1.4 3.8 6.3 8.6 12.8 13.8 18.0
Social Security (650):
BA............................ 4.6 8.9 14.2 20.1 26.6 33.9 41.9 50.5 60.0 70.5
OT............................ 4.6 8.8 14.0 19.9 26.3 33.6 41.5 50.1 59.6 70.0
On-Budget:
BA........................ 7.3 15.7 24.1 35.6 49.6 65.8 83.8 113.0 137.3 160.1
OT........................ 7.3 15.7 24.1 35.6 49.6 65.8 83.8 113.0 137.3 160.1
Off-Budget:
BA........................ 4.6 8.7 13.9 19.7 25.9 33.0 40.7 48.7 57.8 67.9
OT........................ 4.5 8.6 13.7 19.4 25.7 32.7 40.3 48.3 57.4 67.4
Veterans Benefits and Services
(700):
BA............................ 5.4 14.3 11.1 8.2 14.0 16.1 18.3 26.1 21.2 29.3
OT............................ 5.6 13.6 10.8 7.9 13.9 15.9 18.1 25.9 20.8 29.0
Administration of Justice (750):
BA............................ -3.2 -2.3 -2.5 -1.5 0.9 3.4 6.1 9.4 12.7 16.2
OT............................ 8.4 3.4 0.8 0.4 2.4 5.2 7.9 11.0 14.4 17.9
General Government (800):
BA............................ 8.7 10.2 8.1 9.8 8.7 10.9 13.2 17.1 21.2 25.6
OT............................ 8.2 11.7 8.9 8.9 8.0 9.2 11.2 15.0 19.9 23.3
Net Interest (900):
BA............................ 7.2 32.3 49.5 57.3 61.7 64.9 65.7 66.7 67.3 65.2
OT............................ 7.2 32.3 49.5 57.3 61.7 64.9 65.7 66.7 67.3 65.2
On-budget:
BA........................ 7.1 26.7 42.5 52.9 61.7 70.0 77.3 85.1 93.1 99.7
OT........................ 7.1 26.7 42.5 52.9 61.7 70.0 77.3 85.1 93.1 99.7
Off-Budget:
BA........................ 6.7 16.5 29.5 44.8 61.5 79.5 98.8 119.3 141.0 163.7
OT........................ 6.7 16.5 29.5 44.8 61.5 79.5 98.8 119.3 141.0 163.7
Allowances (920):
BA............................ na na na na na na na na na na
OT............................ na na na na na na na na na na
Undistributed Offsetting Receipts
(950):
BA............................ 4.8 25.5 30.6 26.1 31.9 31.7 37.6 44.0 49.8 56.3
OT............................ 4.8 25.5 30.6 26.1 31.9 31.7 37.6 44.0 49.8 56.3
On-Budget:
BA........................ 4.4 28.0 32.5 25.4 30.3 28.0 33.0 38.3 43.6 49.0
OT........................ 4.4 28.0 32.5 25.4 30.3 28.0 33.0 38.3 43.6 49.0
Off-Budget:
BA........................ 6.6 14.8 22.1 29.4 38.8 47.9 57.6 69.0 76.7 88.2
OT........................ 6.6 14.8 22.1 29.4 38.8 47.9 57.6 69.0 76.7 88.2
--------------------------------------------------------------------------------------------------------------------------------------------------------
Reconciliation
----------
As provided in Section 310 of the Budget Act (2 U.S.C.
641), the budget resolution instructs 14 authorizing committees
to reconcile and report changes in law necessary to achieve the
direct spending and revenue levels provided for in the budget
resolution. The Budget Committee makes general assumptions
about what each Committee will do to comply with its
reconciliation instructions; however, the Committees have wide
latitude to develop their legislation. The Budget Committee
will report these changes to the House as two separate
reconciliation measures, but will not substantively change the
legislative language submitted to it by the various committees.
The Budget Act gives the Budget Committee the authority to
include reconciliation instructions in the budget resolution.
The committees receiving a directive must increase or
decrease spending by the specified amount, or in the case of
revenue, increase or decrease revenue by the specified amount
(the latter is almost exclusively a directive to the Ways and
Means Committee). The committees may achieve the amounts
specified in any manner they wish. When a directive is
received, the committees hold a mark-up as they would on any
other bill, but it is reported to the Budget Committee instead
of the House. That committee then binds all the submissions
together and reports it out of committee as a single bill--the
Budget Committee may not make any changes in the submitted
text, except the ministerial task of binding it together. The
committees are given a deadline for submitting the bill to the
Budget Committee.
The reconciliation bill is protected in the Senate: It has
an automatic time limit on debate and cannot be filibustered--
hence passage only requires 51 votes. A provision that does not
increase or decrease spending (or revenue) violates the Byrd
Rule, and may be removed from the bill, unless there are 60
votes to waive the point of order. Reconciliation does not
apply to discretionary spending, which is controlled by the
Appropriations Committee.
Economic Growth Reconciliation Measure
The first reconciliation bill is designed to stimulate
economic growth, simplify the tax system, and make it more
fair. The reconciliation instruction incorporates two separate
directives: one to the Committee on Ways and Means and one to
the Committee on Education and the Workforce. The Ways and
Means Committee must report a measure by 11 April 2003, that
will reduce taxes by $35.4 billion for fiscal year 2003, $112.8
billion for fiscal year 2004, $387.7 billion from 2004 through
2008, and $662.9 billion from 2004 through 2013. Because tax
measures often include tax credits, the directive to the Ways
and Means Committee includes the requirement that their
submission must also increase direct spending by $4.4 billion
for fiscal year 2003, $1.1 billion for fiscal year 2004, $17.4
billion from 2004 through 2008, and $23.1 billion from 2004
through 2013.
The second directive requires the Committee on Education
and the Workforce to increase direct spending on programs
within its jurisdiction by $3.6 billion for fiscal year 2003.
The committee is not required to include any policy assumed by
the Budget Committee in its submission as long as it achieves
the increases in direct spending contemplated by the directive.
Both committees' direct spending submissions must be
transmitted to the House Budget Committee by 11 April 2003.
Elimination of Waste, Fraud and Inefficiencies
The resolution also instructs 14 committees to report
changes in programs within their jurisdiction to the Budget
Committee by 18 July 2003. The intent of the instruction is to
reduce instances of waste, fraud, and abuse in these program
areas. The committees will choose their own methods of
complying with the directives. The committees directed to
produce these changes are as follows: Committee on Agriculture,
Committee on Education and the Workforce, Committee on Energy
and Commerce, Committee on Financial Services, Committee on
Government Reform, Committee on House Administration, Committee
on International Relations, Committee on the Judiciary,
Committee on Resources, Committee on Science, Committee on
Small Business, Committee on Transportation and Infrastructure,
Committee on Veterans Affairs, and the Committee on Ways and
Means. Each committee is required to reduce spending in
programs, projects and activities within its jurisdiction by 1
percent. The intent of these directives is to produce greater
efficiency in Government programs. Consequently, the savings to
be attained by this legislation will come from the elimination
of waste, fraud, and abuse, and through greater efficiency in
program utilization.
For the second set of submissions, a special rule is
established for the Energy and Commerce and Ways and Means
Committees. It is intended to ensure that the two committees
have maximum flexibility in modernizing Medicare, achieving
prescription drug coverage, and in meeting their targets for
mandatory savings. By reconciling both Medicare and the
mandatory savings of each committee, the bill allows the
committees to count any savings from Medicare reform towards
their mandatory savings requirements. Conversely, if the
committees achieve more savings than required by the budget
resolution they can use it to augment their reconciliation
instructions for Medicare.
As a result of the shared jurisdiction of the two
committees over Medicare, the $400 billion for Medicare
modernization and prescription drug coverage was reconciled to
both committees. In order to ensure that the committees achieve
the required level of savings and do not effectively overspend
the $400 billion for Medicare, the rule creates a point of
order to prevent the two committees from bringing such a bill
to the floor. Should such a situation arise, the Leadership
will work with the committees to craft a bill in compliance
with the overall levels of spending included in the budget
resolution.
The following table indicates the amounts required from
each reconciled committee:
Fiscal Year 2004 Budget Resolution Reconciliation Instructions by House
Authorizing Committee
TABLE 16.--SUBMISSIONS PROVIDING FOR ECONOMIC GROWTH AND TAX SIMPLIFICATION AND FAIRNESS (DUE 11 APRIL 2003)
[By fiscal year in millions of dollars]
----------------------------------------------------------------------------------------------------------------
2003 2004 2004-2008 2004-2013
----------------------------------------------------------------------------------------------------------------
Ways and Means:
Revenues.................................................... 35,420 112,785 387,719 662,874
Outlays..................................................... 4,380 1,111 17,393 23,096
Education and Workforce:
Budget Authority............................................ 3,600 .......... .......... ..........
----------------------------------------------------------------------------------------------------------------
SUBMISSIONS PROVIDING FOR THE ELIMINATION OF WASTE, FRAUD, AND ABUSE IN
MANDATORY PROGRAMS (DUE JULY 18, 2003)
[By fiscal year in millions of dollars of outlays, unless otherwise
noted]
------------------------------------------------------------------------
2004 2004-2008 2004-2013
------------------------------------------------------------------------
Agriculture......................... -618 -5,696 -19,171
Education and Workforce............. -269 -2,675 -9,701
Energy and Commerce................. .......... 105,482 289,436
Financial Services (Budget -13 -126 -144
Authority).........................
Government Reform................... -1,104 -10,680 -39,464
House Administration................ -5 -28 -91
International Relations............. -161 -1,333 -4,605
Judiciary........................... -88 -749 -2,475
Resources........................... -40 -354 -1,137
Science............................. -1 -6 -15
Small Business...................... .......... .......... ..........
Transportation and Infrastructure... -192 -1,798 -6,087
Veterans' Affairs................... -463 -4,347 -15,062
Ways and Means...................... .......... 65,213 138,223
------------------------------------------------------------------------
Section-by-Section Description
----------
The Budget Resolution establishes a budgetary framework,
which includes aggregate levels of total new BA and outlays,
total Federal revenues and the amount by which revenues should
be changed by bills, the surplus or deficit, new BA and outlays
for each major functional category, the debt held by the
public, the debt subject to the statutory limit, and directives
to authorizing committees.
SECTION 1. CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL YEAR 2004
Subsection (a), in accordance with section 301(a) of the
Congressional Budget Act of 1974, establishes the appropriate
budgetary levels for the current year, fiscal year 2003, for
the budget year, fiscal year 2004, and each of the 9 years
following the budget year, fiscal years 2005 through 2013. The
level for fiscal year 2003 replaces the level established for
the House in H.Con.Res. 353 as passed by the House.
Subsection (b) sets out the table of contents of the
resolution.
Title I--Recommended Levels and Amounts
SECTION 101. RECOMMENDED LEVELS AND AMOUNTS
Consistent with section 301 of the Congressional Budget Act
of 1974, this section establishes the recommended levels for
revenue, reduction in revenue, total new BA, total budget
outlays, surpluses or deficits, debt held by the public, and
the debt subject to the statutory limit. The recommended level
of revenue operates as a floor against which all revenue bills
are measured pursuant to section 311 of the Budget Act.
Similarly, the recommended levels of new BA and budget outlays
serve as a ceiling on the consideration of subsequent spending.
The surplus or deficit levels reflect only on-budget outlays
and revenue and hence do not reflect most outlays and receipts
related to the Social Security program and certain Postal
Service operations. The debt subject to statutory limit
aggregates refers to the portion of gross Federal debt issued
by the Treasury to the public or another Government fund or
account, whereas the debt held by the public is the amount of
debt issued and held by entities or individuals other than the
U.S. Government.
SECTION 102. MAJOR FUNCTIONAL CATEGORIES
As further required by section 301(a) of the Budget Act,
section 102 establishes the appropriate budgetary levels for 20
functional categories for the current fiscal year, 2003, the
budget year, fiscal year 2004, and fiscal years 2004 through
2013. The amount of spending included in any function level for
fiscal year 2004 is further described in the ``Function-by-
Function Presentation'' in this report. The functions include
the following categories:
050 National Defense
100 Homeland Security
150 International Affairs
250 Science, Space and Technology
270 Energy
300 Natural Resources and Environment
350 Agriculture
370 Commerce and Housing Credit
400 Transportation
450 Community and Regional Development
500 Education, Training, Employment and Social Services
550 Health
570 Medicare
600 Income Security
650 Social Security
700 Veterans Benefits
750 Administration of Justice
800 General Government
900 Net Interest
920 Allowances
950 Undistributed Offsetting Receipts
Title II--Reconciliation
SECTION 201. RECONCILIATION IN THE HOUSE OF REPRESENTATIVES
As provided in Section 310 of the Congressional Budget Act
of 1974, the budget resolution includes reconciliation
instructions to a total of 14 authorizing committees to submit
to the House Budget Committee changes in law necessary to
achieve the direct spending and revenue levels in the budget
resolution. The Budget Committee will report these changes to
the House as two separate reconciliation measures, but will not
substantively change the legislative language submitted to it
by the various committees.
Subsection (a) directs two committees to report changes in
programs within their jurisdiction to the House Budget
Committee by 11 April 2003. The Committee on Ways and Means
must report a measure sufficient to reduce revenue by $35.4
billion for fiscal year 2003, $112.7 billion for fiscal year
2004, $387.7 billion from 2004 through 2008, or $662.9 billion
from 2004 through 2013; this submission must also increase
direct spending by $4.4 billion for fiscal year 2003, $1.1
billion for fiscal year 2004, $17.4 billion from 2004 through
2008, or $662.9 billion from 2004 through 2013. The subsection
also directs the Committee on Education and the Workforce to
increase direct spending on programs within its jurisdiction by
$3.6 billion for fiscal year 2003.
Subsection (b) directs 14 committees to report changes in
programs within their jurisdiction to the Budget Committee by
18 July 2003. The committees which must submit legislative
language to the Budget Committee are as follows: Committee on
Agriculture, Committee on Education and the Workforce,
Committee on Energy and Commerce, Committee on Financial
Services, Committee on Government Reform, Committee on House
Administration, Committee on International Relations, Committee
on the Judiciary, Committee on Resources, Committee on Science,
Committee on Small Business, Committee on Transportation and
Infrastructure, Committee on Veterans' Affairs, and the
Committee on Ways and Means.
These committees are essentially reconciled for a 1-percent
spending reduction in programs, projects, or activities within
their jurisdiction in fiscal year 2004, the period from fiscal
year 2004 through 2008, and the period from fiscal year 2004
through 2013. The committees may make whatever changes in the
law they deem appropriate as long as they achieve the specified
amount of savings for the three periods.
The intent of these directives is to produce greater
efficiency in Government programs. Consequently, the savings to
be attained by this legislation will come from the elimination
of waste, fraud, and abuse, and through greater efficiency in
program utilization. (Please see Table 16 in the Reconciliation
section of this report for the specific amount this percentage
equals and that is reconciled to each committee).
This subsection adds a special rule for the Energy and
Commerce and Ways and Means Committees, which were reconciled a
net number consisting of required savings and funding for a
Medicare Inititiative. It was reconciled to both committees
because they both have jurisdiction over Medicare.
Title III--Reserve Funds and Contingency Procedure
Pursuant to the Congressional Budget Act of 1974, the
resolution provides the chairman of the House Budget Committee
with the authority to increase the budget aggregates, and in
some cases the allocations, for specified legislation whose
costs are not assumed in the allocation and/or aggregates.
Absent these adjustments, such legislation reported by the
committees of jurisdiction would exceed the applicable
committee's allocations in violation of section 302(f) of the
Budget Act. This would subject the measure to a point of order
and preclude the House from considering it. Budget resolutions
have long included these adjustments pursuant to section
301(b)(4) of the Budget Act, which permits the budget
resolution to include ``such other matters, and require such
other procedures, relating to the budget, as may be appropriate
to carry out the purposes of this Act.'' Each of the reserve
funds established under this title apply to reported bills,
amendments, and conference reports.
Subtitle A--Reserve Fund for Legislation Assumed in Aggregates
SECTION 301. RESERVE FUND FOR MEDICAID
This section creates a reserve fund that allows the
chairman of the House Budget Committee to adjust the allocation
of BA and outlays to the Committee on Energy and Commerce for
any measure that combines funding for Medicaid and the State
Children's Health Insurance Program [SCHIP]. The purpose of
this reserve fund is to ensure as a condition for setting any
increase in the allocation, the bill achieves long term
savings. The adjustments in the allocations may not exceed $3.3
billion in new BA and outlays for fiscal year 2004; and $8.9
billion in new BA and outlays for the period of fiscal years
2004 through 2008.
SECTION 302. RESERVE FUND FOR BIOSHIELD
This section creates a reserve fund that allows the
chairman of the House Budget Committee to adjust the allocation
of BA and outlays to the appropriate committees, for a bill
that establishes a program to accelerate the research,
development, and purchase of biomedical threat countermeasures.
The adjustment was structured to accommodate either a
discretionary or mandatory program depending on the type of
program. For the adjustment to take place, the measure must
provide new mandatory BA to carry out the program. If this is
the case, the adjustment made by the Budget Committee chairman
may be no more than $890 million in new BA for fiscal year
2004, and $3.4 billion in new BA for fiscal years 2004 through
2008. The adjustment must also be made for the outlays flowing
from the BA. Alternatively an adjustment may be made if the
appropriate committee authorizes discretionary new BA to carry
this program out, and the Committee on Appropriations also
reports a bill providing new BA for that purpose. In this case,
the adjustment will be made for no more than $890 million in BA
for fiscal year 2004 and the resulting outlays.
If the program includes both mandatory and discretionary
components or if two bills are enacted, the maximum adjustment
the committee may make in fiscal year 2004 is $890 million in
BA and outlays.
Subtitle B--Contingency Procedure for Legislation Not Assumed in the
Aggregates
SECTION 311. RESERVE FUND FOR HIGHWAYS AND HIGHWAY SAFETY
Transportation spending has a unique character. Typically,
a committee has jurisdiction over a program and the spending
associated with it is defined as either mandatory or subject to
annual appropriations. If a committee expands a mandatory
program, the BA is considered to be mandatory and the outlays
flowing therefrom are also mandatory. If an authorizing
committee increases the authorization level for a program that
is subject to annual appropriations, it is not scored as BA,
but rather the Appropriations Committee must report a
subsequent measure funding the program. It is at that time that
the BA is scored and characterized as discretionary. The
outlays flowing therefrom are also considered to be
discretionary.
Transportation spending is different: The authorizing
committee, the Committee on Transportation and Infrastructure,
has programs that spend out of the Highway Trust Fund, in which
BA is defined as mandatory. In this particular case, the form
of BA is termed ``contract authority.'' The outlays flowing
therefrom, however, are characterized as discretionary, and are
scored against the Appropriations Committee. That committee
includes in its annual transportation appropriations act
language known as ``obligation limitations.'' These limitations
may constrain the amount of outlays flowing from the mandatory
BA, depending on their level. Since this is the case, the
reserve fund included in this resolution has two components:
subsection (a) allows additional mandatory BA for highway and
transit programs to be provided by the Committee on
Transportation and Infrastructure; and subsection (b) allows
additional discretionary outlays to be provided by the
Appropriations Committee.
Subsection (a) creates a reserve fund that allows the
chairman of the House Budget Committee to adjust the allocation
of BA to the Committee on Transportation and Infrastructure for
any measure that reauthorizes surface transportation programs
and provides new BA for highway and transit spending. The
Budget Committee chairman may make an adjustment to its
allocation if the Transportation Committee reports a measure
that exceeds the amounts specified in section 311. The
adjustment may only be made if it is offset by changes in law,
either included in same measure, or by previously enacted
legislation. The changes in law may effect either direct
spending or receipts must be appropriated to the Highway Trust
Fund. The adjustment may be made in the BA allocation for
fiscal year 2004 and the 5 year period, but the additional
resources must offset the additional BA and corresponding
outlays in each year.
Subsection (b) creates a reserve fund that allows the
chairman of the House Budget Committee to adjust the allocation
of outlays to the Committee on Appropriations for any measure
that sets total obligation limitations greater than $38.5
billion for fiscal year 2004 for spending from the Highway
Trust Fund. In addition, the amount of the adjustment must be
offset by increases in resources dedicated to the Highway Trust
Fund in fiscal year 2004 as previously referred to in
subsection (a).
Subtitle C--Implementation of Reserve and Contingency Funds
SECTION 321. APPLICATION AND EFFECTS OF CHANGES IN ALLOCATIONS AND
AGGREGATES
This section sets forth the procedures for making
adjustments pursuant to the reserve funds included in this
resolution. Subsection (a)(1) and (2) provide that the
adjustments may only be made during the interval that the
legislation is under consideration and do not take effect until
the legislation is actually enacted. This is approximately
consistent with the procedures for making adjustments for
various initiatives under section 314 of the Congressional
Budget Act.
Subsection (a)(3) provides that in order to make the
adjustments provided for in the reserve funds, the chairman of
the House Budget Committee is directed to insert these
adjustments in the Congressional Record.
Subsection (b) clarifies that any adjustments made under
any of the reserve funds in the resolution have the same effect
as if they were part of the original levels set forth in
section 101. Therefore the adjusted levels are used to enforce
points of order against legislation inconsistent with the
allocations and aggregates included in the concurrent
resolution on the budget.
Subsection (c) clarifies that the House Budget Committee
determines the levels and estimates used to enforce points of
order, as is the case for enforcing budget-related points of
order, and the determination is made pursuant to section 312 of
the Budget Act. This section of the Budget Act provides the
chairman of the Budget Committee with the authority to advise
the chairman of the House on the appropriate levels and
estimates related to legislation being considered on the floor.
Title IV--Budget Enforcement
SECTION 401. RESTRICTIONS ON ADVANCE APPROPRIATIONS
Section 401 imposes a limitation on advance appropriations
similar to a provision included in the last several budget
resolutions. It effectively limits which programs may receive
an advance appropriation and an overall amount of advanced
appropriations. It is enforced by prohibiting the managers of
any appropriations measure from accepting advance
appropriations in a conference committee unless a separate vote
on the spending is taken by the whole House.
It establishes this procedural mechanism with regard to any
advance appropriation for fiscal year 2004 and any year
thereafter with two exceptions: First, advance appropriations
may be provided for the accounts in the appropriation bills
under the section ``Accounts Identified Advanced
Appropriations'' in the Joint Statement of Managers on any
Conference Report on the Budget Resolution. The list is
expected to be the same as that which appears in this report in
the section ``Additional Report Language'' and with the same
heading. In addition, total advance appropriations for these
accounts may not exceed $23,178,000,000 in BA for fiscal year
2005.
Subsection (c) defines an ``advance appropriation'' as any
new discretionary BA making general appropriations or
continuing appropriations for fiscal year 2004 that first
becomes available for any fiscal year after 2004.
This limitation may be enforced by any member making a
point of order at the appropriate time against any advance
appropriations not falling within an exception or exceeding the
overall limit. The effect of a point of order under this
section, if sustained by the Chair, is to cause the
appropriation(s) to be stricken from the bill or joint
resolution. The bill itself, however, would continue to be
considered in the House.
SECTION 402. COMPLIANCE WITH SECTION 13301 THE BUDGET ENFORCEMENT ACT
OF 1990
This section provides authority to include the
administrative expenses related to Social Security in the
allocation to the Appropriations Committee. This language is
necessary to ensure that the Appropriations Committee retains
control of administrative expenses through the Congressional
budget process.
In the 106th Congress, the joint Leadership of the House
and Senate Budget Committees decided to discontinue including
administrative expenses in the budget resolution. This change
was intended to make the budget resolution consistent with
CBO's baseline which does not include administrative expenses
for Social Security.
At the same time, the House Budget Committee believed that
these expenses should continue to be reflected in the 302(a)
allocations to the Appropriations Committee. Absent a waiver of
section 302(a) of the Budget Act, the inclusion of these
expenses in the allocation is construed as violating 302(a) of
the Budget Act which states that the allocations must reflect
the discretionary amounts in the budget resolution (and
arguably, section 13301 of the Budget Enforcement Act, which
states that Social Security benefits and revenues are off-
budget).
Congressional Budget Process
----------
The spending and revenue levels established in the budget
resolution are executed through two parallel, but separate,
mechanisms: allocations to the appropriations and authorizing
committees, and reconciliation directives to the authorizing
committees. The budget resolution may include instructions
directing the authorizing committees to report legislation
complying with entitlement, revenue, deficit or debt reduction
targets. The report accompanying the budget resolution
distributes or ``allocates'' amounts set forth in the budget
aggregates for programs, projects and activities to the
Appropriations Committee for annual appropriations and the
authorizing committees if they have permanent or multiyear
spending authority. For fiscal year 2004, the budget resolution
reported from the Budget Committee includes certain
reconciliation instructions.
As required under Section 302(a) of the Congressional
Budget Act of 1974, the discretionary spending levels
established in the budget resolution are allocated to the
Appropriations Committee and the mandatory spending levels are
allocated to each of the authorizing committees with mandatory
spending authority. These levels are enforced through points of
order as discussed in the section ``Enforcing the Budget
Resolution.'' Amounts provided under ``current law'' encompass
programs that affect direct spending entitlement and other
programs that have spending authority or offsetting receipts.
Amounts subject to discretionary action refer to programs that
require subsequent legislation to provide the necessary
spending authority. Amounts provided under
``reauthorizations''' reflect amounts assumed to reauthorize
expiring mandatory programs.
The report accompanying the budget resolution provides
allocations of BA and outlays for each of the authorizing
committees for the current year (fiscal year 2003), the budget
year (fiscal year 2004), the 5-year period (fiscal years 2004
through 2008) and the 10-year period covered by the Budget
Resolution. Section 302 of the Congressional Budget Act of 1974
(as modified by the Balanced Budget Act of 1997) requires that
allocations of BA be provided in the budget resolution for the
first fiscal year and at least the 4 ensuing fiscal years
(except for the Committee on Appropriations which only receives
an allocation for the budget year).
The budget resolution for fiscal year 2004 includes 10-year
allocations, but for enforcement purposes, each bill coming to
the floor of the House of Representatives will be assessed as
to what budgetary implications it has over 5 years.
Appropriations Committee
The report accompanying the budget resolution allocates a
lump sum of discretionary BA assumed in the resolution and
corresponding outlays to the Committee on Appropriations.
TERM OF THE 302(A) ALLOCATION
The allocation to the Appropriations Committee is for the
fiscal year commencing on 1 October 2003. Unlike the
authorizing committees, the Appropriations Committee does not
receive a 5-year allocation of BA and outlays.
302(B) ALLOCATION
Upon receiving its 302(a) allocation, the Appropriations
Committee is required to divide the allocation among its 13
subcommittees. The amount each subcommittee receives
constitutes its allocation pursuant to section 302(b) of the
Congressional Budget Act.
Authorizing Committees
The authorizing committees are allocated a lump sum of new
BA along with the corresponding outlays. A committee is
allocated this BA for the programs in its jurisdiction that are
implemented by the Executive Branch pursuant to current law. In
addition, the committees may be allocated additional BA
categorized as subject to discretionary action. This occurs
when the budget resolution assumes a new or expanded mandatory
program or a reduction in an existing program. Such spending
authority must be provided through subsequent legislation and
is not controlled through the annual appropriations process.
TERM OF THE 302(A) ALLOCATION
Since the spending authority for the authorizing committees
is multi-year or permanent, the allocations are for the
forthcoming budget year commencing on 1 October and a 5-year
total for fiscal years 2004 through 2008.
The authorizing committees are provided a single allocation
of new BA (divided between current law and discretionary
action) that is not provided through annual appropriations.
They are not required to file 302(b) allocations. Bills first
effective in fiscal year 2003 will be measured against the
revised level for that year included in the fiscal year 2004
Budget Resolution, and also the 5-year period of fiscal year
2003 through 2007.
Adjustments
In addition to the adjustments made under the Congressional
Budget Act, the Budget Resolution also provides the chairman of
the House Budget Committee with the authority to make certain
adjustments in the aggregates and allocations, in certain
circumstances.
In section 301, chairman of the House Budget Committee
is given the authority to make adjustments in the
allocation of BA to the Committee on Energy and Commerce if
the committee reports a bill that combines the funding of
the Medicaid and the State Children's Health Insurance
Program (SCHIP), excluding the funding for Medicaid
mandatory eligibility groups, and makes such funds
available to the States in separate allotments for acute
and long-term care.
In section 302, the chairman of the House Budget
Committee is given the authority to make adjustments in the
allocation of BA to the appropriate committee if the
committee reports a bill that for a bill that establishes a
program to accelerate the research, development, and
purchase of biomedical threat countermeasures.
In section 311, the chairman of the House Budget
Committee is given the authority to make adjustments in the
allocation of BA to the Committee on Transportation and
Infrastructure for a measure increasing highway spending,
but only if they are either offset by changes in law either
in that measure, or previously enacted legislation. The
changes in law must dedicate the additional resources to
the Highway Trust Fund. It also provides for an adjustment
to accommodate the additional outlays that would flow from
the mandatory BA. Most discretionary spending is
implemented by appropriating BA, but in the Highway
Category, BA is provided on the mandatory side. The outlays
resulting therefrom are discretionary and may be restricted
through the use of ``obligation limits'' included in
appropriation acts. Again, these outlays must be offset by
the changes in law included either in the Transportation's
Committee's measure, or previously enacted legislation.
The authority for the chairmen of the Budget Committees to
make adjustments pursuant to Section 314 of the Congressional
Budget Act of 1974 has expired. Prior to this, emergencies
could be designated in legislation, and this would cause an
immediate adjustment in the reporting committees allocation,
essentially allowing for the additional spending without it
being specifically budgeted for in the budget resolution.
Enforcement
In order to enforce these allocations, Members may raise a
point of order against spending legislation that exceeds a
committee's allocation (see the section titled ``Enforcing the
Budget Resolution'' in this report). The authorizing committees
are given 5-year allocations, and hence the enforcement period
for spending under section 302(f) of the Congressional Budget
Act will be for the 5 years commencing from the year in which
the committee's legislation is first effective.
Statutory Controls Over the Budget
----------
For the second time since the mid-1980s, the Congress and
the President are entering a budget cycle in which there are no
budget controls enforced through automatic spending cuts. Both
the discretionary spending limits [caps] and the pay-as-you-go
[PAYGO] rule for entitlement and tax legislation, adopted in
1990 and most recently extended in 1997, expired at the end of
fiscal year 2002. The Government has returned to a time when
the only comprehensive control over budgeting is the
Congressional Budget and Impoundment Control Act of 1974. A
reasonable argument may be made that this is a desirable
situation, that it is preferable for Congress and the President
to make no attempt to develop a joint budgetary framework
before considering individual spending and tax bills. Some
Members may believe the only true budgetary framework is the
sum of all the appropriations, tax, and entitlement measures
enacted in a given session of Congress. Further, it may not
make sense to extend budget controls that, in recent years,
have been routinely circumvented by both Congress and the
administration.
The possible extension of the statutory controls presents
opportunities, but also may evoke concerns and create
difficulties. When first enacted, and through the middle part
of the last decade, they served as a useful tool for control
over budgetary pressures. Yet, once surpluses were attained in
1999, the statutory controls proved ineffective. The controls
were written at a time of deficits and never envisioned an
environment with budget surpluses. Now that deficits have
returned, it becomes necessary to consider whether Congress
should revive a statutory regimen of budgetary discipline to
add to the existing Congressional process. There are three
basic options: Do nothing and rely on the Congressional
process; revive PAYGO and the caps in largely the same
structure as first envisioned in 1990; or create a new process
of budgetary disciplines, perhaps building on the previous
structures.
The administration has stated its desire to extend both
PAYGO and the caps for 2 years. The circumstances are different
than in the time of previous extensions: In 1990, 1993 and
1997, the period of both PAYGO and the caps was for 5 years
rather than two. In addition, in the 1997 extension, PAYGO
effects were extended for an additional 5 years, through 2006,
to capture out year spending and revenue implications and to
prevent any attempts to push budget effects beyond the PAYGO
window in order to avoid finding offsets.
The committee agrees there are compelling arguments for
reestablishing statutory budget controls. The principal reason
is the disappearance of budget surpluses in the wake of 11
September and a sluggish economy. As in the late 1980s and
early and mid-1990s, policy makers may need the discipline
imposed by fixed caps on appropriations and a pay-as-you-go
rule for new or expanded entitlements. Moreover, the long-term
pressures on the budget arising from the aging of the baby boom
generation and skyrocketing health costs call for a mechanism
such as PAYGO to keep mandatory initiatives within manageable
limits.
When first established, both PAYGO and the caps were set
for 5 years. This 5-year period was again used during their
extension in both 1993 and 1997. For the caps, one recurring
difficulty has been the inability to adhere to the spending
limits in the last year, or last several years. The first
extension in 1993 revised the caps after 3 years. The second
extension lasted longer and the caps were largely adhered to
from fiscal year 1994 through 1997, indeed overall
discretionary spending was in certain years well below the cap
level. The cap, however, for fiscal year 1998, was replaced by
a new cap during the extension of the Budget Enforcement Act
included in the Balanced Budget Act of 1997. This extended the
cap regimen through fiscal year 2002. During this period, the
discretionary cap was ineffective as a tool for controlling
discretionary spending.
However, a 2-year extension has difficulties as well--
primarily insofar as predicting what the budget needs will be
over that time period, and the possible disparity between a
statutory cap and the Congressional Budget Resolution.
Another difficulty that arose throughout the lifetime of
the discretionary spending limits was the inconsistency with
levels provided for in the budget resolution passed annually
pursuant to the Congressional Budget Act. In that resolution,
an allocation is provided to the Appropriations Committee, that
typically diverged greatly from the statutory level.
Similar problems have arisen with respect to the PAYGO
statute. When it was first established, deficits were a chronic
problem. The legislation did not anticipate the surpluses that
occurred in the late 1990s, and could not accommodate the
desire on the part of policymakers to reduce revenue and
increase mandatory spending without offsetting the costs. In
the last years PAYGO was in effect, substantial reductions in
revenue and increases in entitlement spending occurred. During
this time, the scorecard was periodically set back to zero to
avoid large sequesters.
When large balances remain on the PAYGO scorecard, it
becomes an ineffective tool to enforce fiscal discipline. The
magnitude of a sequester that would be required when those
large balances exist is unrealistic because no Congress would
allow it to take place--when the PAYGO scorecard was reset to
zero the final time, there were $571 billion worth of balances
over 5 years. It is questionable, under the terms of the
Deficit Control Act, whether such a massive sequester could
even take place, since the sequester base, the programs subject
to an across the board reduction, may not be sufficiently large
to erase the balance, even to the point of eliminating all
programs in the base.
This raises a similar issue: The exemption of most programs
from the sequester base makes the threat of a sequester too
draconian to the subject programs and hence less likely to
occur.
These problems associated with the PAYGO system are not
insuperable, and do not gravitate, necessarily, against its
extension. Rather they are issues that need to be considered,
and, perhaps by refining how PAYGO works, could be resolved.
The Committee concurs with those who lament Congress'
failure to adhere to the caps and PAYGO. Clearly caps and PAYGO
cannot substitute for making the difficult choices necessary to
put the budget back into surplus and on a path toward
eliminating the public debt. Still, a new statutory process
along the lines of PAYGO and caps can augment the efforts to
impose budgetary discipline and to focus attention on the need
for spending control and deficit reduction.
Public Debt Limit
----------
The eventual adoption of this concurrent resolution by the
two Houses would result in the engrossment of a House joint
resolution adjusting the level of the statutory limit on the
public debt pursuant to rule XXVII.
Votes of the Committee
----------
Clause 3(b) of House Rule XIII requires each committee
report to accompany any bill or resolution of a public
character, ordered to include the total number of votes cast
for and against on each roll call vote, on a motion to report
and any amendments offered to the measure or matter, together
with the names of those voting for and against. Listed below
are the roll call votes taken in the House Budget Committee on
the Concurrent Resolution on the Budget for Fiscal Year 2004.
On 12 March 2003 the committee met in open session, a
quorum being present. The committee adopted and ordered
reported the Concurrent Resolution on the Budget for fiscal
year 2004. The following votes were taken in committee:
Mr. Shays asked unanimous consent that the chairman be
authorized, consistent with clause 4 of House Rule XVI, to
declare a recess at any time during the committee meeting.
There was no objection to the unanimous consent request.
Chairman Nussle asked unanimous consent: to dispense with
the first reading of the budget aggregates, function levels,
and other appropriate matter; that the aggregates, function
totals, and other appropriate matter be open for amendment; and
that amendments be considered as read.
There was no objection to the unanimous consent requests.
The following votes were taken by the committee:
1. Mr. Baird made a motion to adjourn.
VOTE NO. 1
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, .......... X ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... .......... ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... .......... ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... .......... ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... ..........
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The motion made by Mr. Baird was not agreed to by a vote of
16 ayes and 21 noes.
2. Mr. Moran offered an amendment to adjust the appropriate
revenue, BA, and outlays in the chairman's mark to increase the
amount of tax relief in fiscal year 2003, to halve the size of
the tax relief over all, and to increase spending to implement
an economic stimulus plan. The adjustments are by the following
amounts: BA: 2003: $49; outlays: 2003: $49, 2004: 0; 2005: 0.0;
2006: -$1; 2007: -$1; 2008: -$1; 2009: -$1 2010: -$1; 2011: -$1
20012: -$1 2013: -$1; Revenues: 2003: -$67, 2004: $70; 2005:
$60; 2006: $46; 2007: $36; 2008: $35;: 2009:$35; 2010: $35; $;
2011: $99; 2012: $151; 2013: $159; (billions for fiscal year).
VOTE NO. 2
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... .......... ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to on a roll call vote of 15
ayes and 23 noes.
3. Mr. Moore offered an amendment to adjust the appropriate
the levels of revenue the chairman's mark to halve the size of
the tax relief over all so that publicly held debt is reduced
in 2009. The adjustments are by the following amounts: In
revenues: 2003: $20; 2004: $59; 2005: $53; 2006: $44; 2007:
$34; 2008: $34; 2009: $34; 2010: $34; 2011: $98; 2012: $150;
2013: $158; (billions for fiscal year).
The amendment also included a section that prevented Rule
XXVII, related to the statutory debt limit, would not apply to
the budget resolution for fiscal year 2004 or any future budget
resolutions.
VOTE NO. 3
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... .......... ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 23 noes.
4. Mr. Spratt offered an amendment reversing the dates of
the reconciliation instructions included in the legislative
text of the budget resolution to require the spending reduction
reconciliation legislation to be submitted to the Budget
Committee by 11 April 2003 and the tax related legislation to
be submitted by 18 July 2003.
VOTE NO. 4
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... .......... ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... .......... ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 22 noes.
5. Mrs. Capps offered an amendment to strike the reserve
fund providing for Medicare Modernization and Prescription
Drugs and insert in lieu thereof a new reserve fund providing a
total of $600 billion over 10 years for a prescription drug
benefit under the Medicare program under Title XVIII of the
Social Security Act, that would be voluntary, comprehensive,
affordable, accessible and universally available. It further
provided for a $200 billion increase for the prior benefit
should savings be enacted by the Ways and Means Committee to
offset that cost.
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
would be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 5
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD .......... ......... X
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... ..........
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to agreed to by a roll call
vote of 16 ayes, 23 noes, and 1 member voting present.
6. Mr. Cooper offered an amendment to strike the
reconciliation instruction to the Ways and Means Committee and
to instruct that committee as follows: ``The Committee on Ways
and Means. The House Committee on Ways and Means shall report
changes in laws within its jurisdiction that provide direct
spending sufficient to reduce the level of direct spending for
that committee by $5,705 million in outlays for fiscal year
2004, $14,880 million in outlays for the period of fiscal years
2004 through 2008, and $46,859 million in outlays for the
period of fiscal years 2004 through 2013.'' It also required a
change in the amounts of BA and outlays in each function
applicable, and in the aggregate accordingly.
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 6
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 19
ayes and 24 noes.
7. Ms. Majette offered an amendment to strike the
reconciliation instruction to the Education and Workforce
Committee included in section 201(A)(2)(B) of the legislative
text of the budget resolution. It also increased BA and outlays
for Function 500 to reflect an increase of the maximum Pell
Grant award to $4500, to increase spending on certain education
programs, and increase funds for No Child Left Behind programs
such as Improving Teacher Quality, Title I (Education for the
Disadvantaged), and the 21st Century Community Learning Centers
after-school program. The adjustments are by the following
amounts: BA: 2003: $7.8; outlays: 2003: $.663, 2004: 0; 2005:
$5.7; 2006: $1.2; 2007: $.202; (in billions for fiscal years).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 7
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 19
ayes and 24 noes.
8. Ms. Hooley offered an amendment to increase the BA and
outlays in Function 450 to reflect an increase in funding for
grants for first responders through the Department of Homeland
Security. The levels are as follows: BA: 2003: $2.2; outlays:
2003: $.990; 2004: $.660; 2005: $.550; (in billions for fiscal
year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 8
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 24 noes.
9. Ms. Baldwin offered an amendment to increase the BA and
outlays in functions 550 and 250 to reflect increased funding
for scientific research. The levels are as follows: BA for
Function 550: 2004: $3546; outlays: 2004: $1028; 2005: $1843;
2006: $390; 2007: $177; 2008: $35. BA for Function 250: 2004:
$1000; outlays: 2004: $509; 2005: $369; 2006: $71; 2007: $26;
2008: $8; (millions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 9
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD .......... ......... X
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote 17
ayes, 24 noes, and 1 member voting present.
10. Ms. Hooley offered an amendment to increase the BA and
outlays in functions 500 to reflect increased funding to
reflect the raising of the Federal share of special education
to 40 percent. The levels are as follows: BA: 2004: $2.151;
outlays: 2004: $.043; 2005: $1.355; 2006: $.645; 2007: $.108
(billions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 10
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 17
ayes and 24 noes.
11. Ms. DeLauro offered an amendment to strike the
reconciliation instruction to the Resource Committee and change
all other instructions accordingly. The amendment reflected the
assumption that opening the coast plain of Arctic National
Wildlife Refuge to oil exploration would be specifically
rejected.
VOTE NO. 11
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 17
ayes and 25 noes.
12. Mr. Emanuel offered an amendment to increase BA and
outlays for Function 300 to reflect an increase in funding for
natural resources and environmental protection programs. BA:
2004: $1,213; 2005: $757; 2006: $887; outlays: 2004: $365;
2005: $503; 2006: $902; 2007: $567.; 2008: $433; 2009: $89
(millions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
It further added a sense of the Congress supporting an
extension of the caps on conservation at the levels P.L. 106-
291.
VOTE NO. 12
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 24 noes.
13. Ms. DeLauro offered an amendment to increase BA and
outlays for Function 600 to reflect funding to expand the
number of low-income working families who receive child care
assistance for which they are eligible through the Child Care
and Development Fund. The levels are as follows: BA: 2004:
$1,563; outlays: 2004: $1,172; 2005: $250; 2006: $94; 2007:
$31.; 2008: $16; (millions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 13
Voice vote: No.
The amendment was not agreed to by voice vote.
14. Ms. Hooley offered an amendment to strike the
reconciliation instruction to the Veterans' Resource Committee.
It also provided for an increase in Function 700 to reflect
increased funding for veterans compensation, pensions, life
insurance, and education. In mandatory BA: 2004: $463; 2005:
$700; 2006: $824; 2007: $960; 2008: $1,400; 2009: $1,770; 2010:
$2,190; 2011: $2,360; 2012: $2,120; 2013: $2,275; in mandatory
outlays: 2004: $463; 2005: $700; 2006: $824; 2007: $960; 2008:
$1,400; 2009: $1,770; 2010: $2,190; 2011: $2,360; 2012: $2,120;
2013: $2,275; in discretionary BA: 2004: 1844; in discretionary
outlays: 2004: $1,295; 2005: $347; 2006: $183; 2007: $5. The
amendment also provided for an increase in Function 600 to
reflect the elimination of the reduction in current law in the
military survivor benefit annuity from 55 percent to 35 percent
of retired pay at age 62. In mandatory BA: 2004: $10; 2005:
$127; 2006: $323; 2007: $644; 2008: $947; 2009: $996; 2010:
$1,046; 2011: $1,095; 2012: $1,142; 2013: $1,189; in mandatory
outlays: 2004: $10; 2005: $127; 2006: $323; 2007: $644; 2008:
$947; 2009: $996; 2010: $1,046; 2011: $1,095; 2012: $1,142;
2013: $1,189; (all figures in millions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 14
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... .......... ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE X ..........
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 19
ayes and 22 noes.
15. Mr. Kind offered an amendment increase BA and outlays
for Function 570 to reflect continuation of current Medicare
payment policies for inpatient services to rural hospitals. BA:
2004: $.6; 2005: $.6; 2006: $.7; 2007: $.7; 2008: $.8; 2009:
$.8; 2010: $.9; 2011: $.9; 2012: $1.0; 2013: $1.1; in mandatory
outlays: 2004: $.6; 2005: $.6; 2006: $.7; 2007: $.7; 2008: $.8;
2009: $.8; 2010: $.9; 2011: $.9; 2012: $1.0; 2013: $1.1;
(billions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 15
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 24 noes.
16. Mr. Lewis offered an amendment to increase BA and
outlays for Function 600 to reflect funding for HOPE VI, a
program for revitalizing distressed housing. The levels are as
follows: BA: 2004: $574; outlays: 2004: $0; 2005: $11; 2006:
$75; 2007: $115.; 2008: $115; 2009: $115; 2010: $115 (millions
for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 16
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 24 noes.
17. Mr. Davis offered an amendment to increase BA and
outlays for Function 350 by $55 million to reflect the
following: An increase of $16 million for capacity building
grants to colleges eligible to receive funds under the Act of
August 20, 1890; an increase of $12 million for payments to
upgrade research, extension and teaching facilities at the 1890
land-grant colleges, including Tuskegee University; an increase
of $10 million for payments to the 1890 land-grant colleges,
including Tuskegee University; an increase of $11 million for
payments for cooperative extension work by the colleges
receiving the benefits of the second Morill Act and Tusekegee
University; and an increase of $6 million for grants and
contracts pursuant to section 2501 of the Food, Agriculture,
Conservation, and Trade Act of 1990, to provide Outreach for
Socially Disadvantaged Farmers.
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 17
Voice vote: No.
The amendment was not agreed to by a voice vote.
18. Mrs. Capps offered an amendment to strike the Medicaid
reserve fund and the reconciliation instruction to the Energy
and Commerce Committee included in the legislative text of the
budget resolution. It also would increase BA and outlays for
Function 550 by $10 billion in fiscal year 2003 to reflect
temporary State fiscal relief in the form of an increased
Federal match under the Medicaid program.
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 18
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... .......... ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 23 noes.
19. Mr. Scott offered an amendment to increase BA and
outlays for Function 500 to reflect BA and outlays for No Child
Left Behind. The levels are as follows: BA: 2004: $10.011;
outlays: 2004: $.501; 2005: $6.507; 2006: $2.503; 2007: $.501
(billions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 19
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... ..........
----------------------------------------------------------------------------------------------------------------
The amendment not agreed to by a roll call vote of 19 ayes
and 23 noes.
20. Mr. Ford offered an amendment expressing the sense of
the Congress on reducing the number of the uninsured and a
Federal initiative to support core safety providers.
VOTE NO. 20
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment not agreed to by a roll call vote of 18 ayes
and 24 noes.
21. Ms. DeLauro offered an amendment to change the
reconciliation instructions in the chairman's mark to reflect
the following: The Ways and Means Committee would be directed
to increase the child tax credit to $1,000 per child starting
immediately for the period of 1 year, to make that tax credit
fully refundable, and to reduce the tax cuts assumed in the
budget resolution to reflect the cost.
VOTE NO. 21
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 19
ayes and 24 noes.
22. Mr. Edwards offered an amendment to increase BA and
outlays by $3.63 billion for Function 600 to reflect full
funding for concurrent receipt. It also decreased BA and
outlays by $302 million in Function 050 to reflect savings from
the repeal of special payments to disabled retirees.
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 22
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, .......... ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... .......... ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... .......... ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD .......... ......... X
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 17
ayes, 22 noes, and 1 member voting present.
23. Mr. Thompson offered an amendment expressing the sense
of the Congress on Klamath Basin.
VOTE NO. 23
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY .......... ......... X
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 17
ayes, 24 noes, and 1 member voting present.
24. Mr. Cooper offered an amendment to insert the following
reconciliation instruction in the legislative text of the
budget resolution: Not later than 15 June 2003, the House
Committee on Ways and Means shall report to the House a
reconciliation bill that consists of changes in laws within its
jurisdiction sufficient to reduce revenues by not more than
$2.1 billion for fiscal year 2004 and by not more than $26
billion for the period of fiscal years 2004 through 2013. The
intent of the reconciliation language is to fully restore the
State sales tax deduction.
VOTE NO. 24
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND .......... ......... X
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment not agreed to by a roll call vote of 17 ayes,
24 noes with 1 Member voting present.
25. Mr. Emanuel offered an amendment to increase BA and
outlays for Function 500 to increase funding for Pell Grants.
BA: 2004: $.200; 2005: $.285; 2006: $.370; 2007: .455; 2008:
$.540; 2009: $.625; 2010: $.710; 2011: $.795; 2012: $.880;
2013: $.965; outlays: 2004: $.040; 2005: $.213; 2006: $.300;
2007: .385; 2008: $.470; 2009: $.555; 2010: $.640; 2011: $.725;
2012: $.810; 2013: $.895; (billions for fiscal year).
It also adjusted the aggregate level of revenues by amounts
equal to the foregoing outlay changes to Function 500,
reflecting an increase in revenue associated with tax law
changes that ensure that corporate owned life insurance is only
used for legitimate business purposes.
VOTE NO. 25
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment not agreed to by a roll call vote of 17 ayes
and 24 noes.
26. Mr. Davis offered an amendment to increase BA and
outlays for Function 450 by $50 million in fiscal year 2004 to
fund empowerment zones; to increase BA and outlays for Function
450 by $40 million in fiscal year 2004 to fund the Brownfield
Redevelopment Program; and to increase BA and outlays for
Function 600 by $40 million in fiscal year 2004 to fund the
Rural Housing and Economic Development Program.
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 26
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN .......... ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... X ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 18
ayes and 24 noes.
27. Mr. Ford offered an amendment to increase BA and
outlays for Function 500 to increase funding for the
establishment of the Office of Pre-Kindergarten Oriented
Professional Support within the Department of Education. The
levels are as follows: BA: 2004: $40; 2005: $40; 2006: $40;
2007: $40; 2008: $40; 2009: $40; 2010: $40; 2011: $40; 2012:
$40; 2013: $40; outlays: 2004: $1.0; 2005: $5; 2006: $5; 2007:
$5; 2008: $5; 2009: $20; 2010: $20; 2011:$40; 2012: $40; 2013:
$40; (millions for fiscal year).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 27
Voice vote: No.
The amendment was not agreed to by a voice vote.
28. Mrs. Capps offered an amendment to increase BA and
outlays for Function 550 to reflect efforts to address the
nursing shortage. The levels are as follows: BA: 2004: $77.00;
2005: $129.00; 2006: $129.00; 2007: $129.00; 2008: $129.00;
2009: $129.00; 2010: $129.00; 2011: $129.00; 2012: $129.00;
2013: $129.00; outlays: 2004: $36.190; 2005: $89.890; 2006:
$118.120; 2007: $126.150; 2008: $128.480; 2009: $129.00; 2010:
$129.00; 2011: $129.00; 2012: $129.00; 2013: $129.00; (millions
for fiscal year).
VOTE NO. 28
Voice vote: No.
The amendment not agreed to by a voice vote.
29. Mr. Cooper offered an amendment expressing the sense of
the Congress that Head Start should remain in the Department of
Health and Human Services.
VOTE NO. 29
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, .......... X ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS .......... X ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT .......... X ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY .......... X ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN .......... X ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY .......... X ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS .......... X ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN .......... .......... ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK .......... X ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN .......... X ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW .......... X ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM .......... X ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER .......... X ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF .......... X ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER .......... X ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER .......... X ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS .......... X ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT .......... X ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT .......... X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER .......... X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART .......... X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING .......... X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE .......... X
----------------------------------------------------------------------------------------------------------------
The amendment was not agreed to by a roll call vote of 19
ayes and 23 noes.
30. Mr. Emanuel offered an amendment to increase BA and
outlays for Function 500 to reflect increased funding for
education programs. The levels are as follows: BA: 2004: $1.0;
2005: $1.045; 2006: $1.090; 2007: $1.135; 2008: $1.180; 2009:
$1.225; 2010: $1.270; 2011: $1.315; 2012: $1.360; 2013: $1.405;
outlays: 2004: $.050; 2005: $.702; 2006: $.984; 2007: $1.077;
2008: $1.122; 2009: $1.167; 2010: $1.212; 2011: $1.257; 2012:
$1.302; 2013: $1.347; (billions for fiscal year).
VOTE NO. 30
Voice vote: No.
The amendment was not agreed to by a voice vote.
31. Mr. Kind offered an amendment to decrease BA and
outlays for Function 350 to reflect a decreased limit on
commodity payments. The levels are as follows: BA: 2004: -$60;
2005: -$90; 2006: -$98; 2007: -$90; 2008: -$75; 2009: -$91;
2010: -$71; 2011: -$62; 2012: -$55; 2013: -$50; outlays: 2004:
-$60; 2005: -$90; 2006: -$98; 2007: -$90; 2008: -$75; 2009:
-$91; 2010: -$71; 2011: -$62; 2012: -$55; 2013: -$50; (millions
for fiscal year). The amendment reduce the deficit in the
budget resolution by an amount equal to the foregoing outlay
changes to Function 350.
VOTE NO. 31
Voice vote: No.
The amendment was not agreed to by a voice vote.
32. Ms. Hooley offered an amendment to increase BA and
outlays in Function 500 to reflect an increase of funding for
the Dislocated Worker Program. BA: 2004: $211; outlays: 2004:
$10.55; 2005: $137.15; 2006: $52.75; 2007: $10.55 (millions for
fiscal years).
It also provided that the deficit would be reduced by an
amount equal to the outlay changes in the appropriate function
for the prior changes, and that the aggregate levels of revenue
should be increased by amounts equal to twice the foregoing
outlay changes, reflecting a reduction in the tax relief
assumed in the budget resolution.
VOTE NO. 32
Voice vote: No.
The amendment not agreed to by a roll call vote of 17 ayes
and 24 noes.
33. Mr. Scott moved that the committee recommend certain
report language be included in the report on the budget
resolution. The report language indicated that the committee
recognizes that the 2001 Quadrennial Defense Review by the Navy
stressed the need for a 360-400 vessel fleet. It would have
also acknowledged that the Department of Defense has
recommended a fleet of between 305 and 310. It further would
have indicated that the committee recognizes that, according to
the Navy, 54 percent of the ships and 30 percent of the
submarines are currently deployed, with a total of 67 percent
and 51 percent respectively underway. It would have expressed
that the committee believes it necessary to meet the minimally
suggested fleet of 305 vessels, and thus for the fiscal year
2004 budget, Function 050 should move at least $4.442 billion
from the missile defense fund to ship building for three
additional vessels.
VOTE NO. 33
Voice vote: No.
The motion was not agreed to by a voice vote.
34. Mr. Edwards, Mr. Schrock, Mrs. Capps, Mr. Thornberry,
Mr. Brown, Mr. Crenshaw and Mr. Scott offered an amendment to
increase BA and outlays for Function 500 to reflect sufficient
funding to maintain Impact Aid services at the 2003 level. The
levels are as follow: BA: 2004: $223; outlays: 2004: $201;
2005: $9; 2006: $7; 2007: $4; (millions for fiscal year).
VOTE NO. 34
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, X .......... ............ Mr. SPRATT, X ......... ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS X .......... ............ Mr. MORAN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT X .......... ............ Ms. HOOLEY X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY X .......... ............ Ms. BALDWIN X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN X .......... ............ Mr. MOORE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY X .......... ............ Mr. LEWIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS X .......... ............ Mr. NEAL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN X .......... ............ Ms. DeLAURO X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK X .......... ............ Mr. EDWARDS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN X .......... ............ Mr. SCOTT X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW X .......... ............ Mr. FORD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM X .......... ............ Mrs. CAPPS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. WICKER X .......... ............ Mr. THOMPSON X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. HULSHOF X .......... ............ Mr. BAIRD X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. TANCREDO .......... X ............ Mr. COOPER X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. VITTER X .......... ............ Mr. EMANUEL X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BONNER X .......... ............ Mr. DAVIS X ......... ...........
----------------------------------------------------------------------------------------------------------------
Ms. FRANKS X .......... ............ Ms. MAJETTE X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. GARRETT X .......... ............ Mr. KIND X ......... ...........
----------------------------------------------------------------------------------------------------------------
Mr. BARRETT X
----------------------------------------------------------------------------------------------------------------
Mr. McCOTTER X
----------------------------------------------------------------------------------------------------------------
Mr. DIAZ-BALART X
----------------------------------------------------------------------------------------------------------------
Mr. HENSARLING X
----------------------------------------------------------------------------------------------------------------
Ms. BROWN-WAITE X
----------------------------------------------------------------------------------------------------------------
The amendment was agreed to by a roll call vote of 42 ayes
and 1 no.
35. Mr. Nussle offered an amendment that consisted of two
revisions to the legislative text. The first replaced
reconciliation instructions to the Ways and Means Committee and
the Energy and Commerce Committee with instructions combining
required savings with funds for Medicare modernization. It
included a special role to ensure a required role of savings.
The second revision inserts a contingency procedure that would
adjust the levels of the budget resolution to accommodate
increased spending for highways if offset by a reduction in
direct spending or an increase in other resources.
VOTE NO. 35
Voice vote: Yes.
The amendment was agreed to by voice vote.
36. Mr. Shays made a motion that the committee adopt the
aggregates, function totals, and other appropriate matter, with
any amendments.
VOTE NO. 36
Voice vote: Yes.
The motion offered by Mr. Shays was agreed to by voice
vote.
Chairman Nussle called up the Concurrent Resolution on the
Budget for Fiscal year 2004 incorporating the aggregates,
function totals, and other appropriate matter as previously
agreed.
37. Mr. Shays made a motion that the committee report the
Concurrent Resolution with a favorable recommendation and that
the Concurrent Resolution do pass.
VOTE NO. 37
----------------------------------------------------------------------------------------------------------------
Representative Aye No Present Representative Aye No Present
----------------------------------------------------------------------------------------------------------------
Mr. NUSSLE, X .......... ............ Mr. SPRATT, .......... X ...........
Chairman Ranking
----------------------------------------------------------------------------------------------------------------
Mr. SHAYS X .......... ............ Mr. MORAN .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. GUTKNECHT X .......... ............ Ms. HOOLEY .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. THORNBERRY X .......... ............ Ms. BALDWIN .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. RYUN X .......... ............ Mr. MOORE .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. TOOMEY X .......... ............ Mr. LEWIS .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. HASTINGS X .......... ............ Mr. NEAL .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. PORTMAN X .......... ............ Ms. DeLAURO .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. SCHROCK X .......... ............ Mr. EDWARDS .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. BROWN X .......... ............ Mr. SCOTT .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. CRENSHAW X .......... ............ Mr. FORD .......... X ...........
----------------------------------------------------------------------------------------------------------------
Mr. PUTNAM X .......... ............ Mrs. CAPPS .......... X ...........
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Mr. WICKER X .......... ............ Mr. THOMPSON .......... X ...........
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Mr. HULSHOF X .......... ............ Mr. BAIRD .......... X ...........
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Mr. TANCREDO X .......... ............ Mr. COOPER .......... X ...........
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Mr. VITTER X .......... ............ Mr. EMANUEL .......... X ...........
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Mr. BONNER X .......... ............ Mr. DAVIS .......... X ...........
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Ms. FRANKS X .......... ............ Ms. MAJETTE .......... X ...........
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Mr. GARRETT X .......... ............ Mr. KIND .......... X ...........
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Mr. BARRETT X
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Mr. McCOTTER X
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Mr. DIAZ-BALART X
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Mr. HENSARLING X
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Ms. BROWN-WAITE X
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The motion offered by Mr. Shays was agreed to by a roll
call vote of 24 ayes and 19 noes.
Mr. Shays asked for unanimous consent that the chairman be
authorized to make a motion to go to conference pursuant to
clause 1 of House Rule XXII, the staff be authorized to make
any necessary technical and conforming corrections in the
resolution, and any committee amendments, and calculate any
remaining elements required in the resolution, prior to filing
the resolution.
There was no objection to the unanimous consent requests.
Additional Report Language
----------
Accelerated Modernization Plan
The Department of Agriculture animal health facilities play
a critical role in responding effectively to emerging animal
diseases such as Foot and Mouth and Mad Cow diseases as well as
threats to human welfare. The committee recommends that these
facilities receive sufficient funding to meet these growing
demands. In particular, the committee believes that the
Accelerated Modernization Plan for USDA's health facilities in
Ames, Iowa should be adequately funded so that modernization
plans at Ames may be completed in a timely manner.
Inland Waterways
The committee recognizes the importance of the inland
waterway system and the need to modernize the navigation
infrastructure so agriculture and related industries can
compete in the international marketplace.
Water Trust Funds
Mr. Bonner and Mr. Hulshof expressed concern about the
issue of Water Trust Funds. The administration budget proposes
to expand the authorized uses of the Inland Waterways Trust
Fund and the Harbor Maintenance Trust Fund to finance 25 to 50
percent of operation and maintenance costs for inland
waterways, in addition to the currently authorized financing
for 50 percent of construction and major rehabilitation costs
of inland waterways improvements. For coastal harbors, the
Harbor Maintenance Trust Fund would be used for the first time
to finance the Federal share of project construction costs, in
addition to the currently authorized financing for the Federal
share of the costs to operate and maintain the general
navigation features of these harbors. The committee wants to be
clear that the budget resolution does not assume enactment of a
proposal by the administration to change the purposes of two
trust funds that finance U.S. Army Corps of Engineers work on
the inland waterway system and on the nation's coastal harbors.
Millenium Challenge Accounts
The Millennium Challenge Account (MCA) is an unprecedented
foreign assistance program that builds on America's core values
of freedom, generosity, and dedication to progress and economic
prosperity. The MCA will provide aid designed to initiate rapid
economic growth in low-income countries that pursue sound
policies. Through standards set by the MCA, the United States
is committing itself to the belief that successful societies
cannot be created without strong leadership, significant
investments in health and education, and economies based on
sound market principles.
Establishing criteria to measure and reward the progress of
low-income nations allows the United States to provide a
powerful and influential incentive to foreign governments to
embrace and sustain reforms. Special consideration should be
provided to these low income countries that have demonstrated
successful post conflict national reconciliation and adherence
to the rule of law yet have difficulty in creating a physical
infrastructure to support economic growth due to the
debilitating effects of regular natural disasters such as
cyclones and hurricanes. Nations such as Bangladesh; Bolivia;
Ghana; Georgia; Honduras; Mongolia; Mozambique; Senegal; and
Sri Lanka, with less than $1,435 per capita incomes, are
clearly exemplifying the criteria that MCA outlines.
Health Facilities Project
Mr. Tancredo raised the issue of Fitzsimons Army Hospital.
To be clear on this matter, the committee recognizes the
importance of new construction projects within the Department
of Veterans Affairs and the benefits these projects can bring
to the improved health care of our nation's veterans. The
Colorado University School of Medicine plans a major relocation
of all its facilities to the site of the closed Fitzsimons Army
Hospital. Veterans Affairs is considering whether to recommend
replacement of the Denver VA Medical Center, a 50 year old
structure now colocated with the Colorado Medical School as
part of that relocation. Priority for this project should be
given consideration within the Department of Veterans Affairs
Medical Programs funding allocations for construction projects.
Mixed Oxide Fuel Facility
Mr. Barrett raised the issue of Mixed Oxide Facilities. To
be clear on this matter, the budget resolution assumes full
funding of the President's $415 million request for the
construction of the Department of Energy's [DOE] Mixed Oxide
[MOX] Fuel Facility and Pit Disassembly and Conversion Facility
[PDCF] for fiscal year 2004. This funding would be used to
initiate construction of the MOX Fuel Facility and complete the
design of the PDCF at the Savannah River Site.
Lowry Bombing and Gunnery Range
Mr. Tancredo raised the issue of the Lowry Bombing and
Gunnery Range. To be clear on this matter, the committee
recognizes the continuing challenges presented to State and
local governments by finding of unexploded and hazardous
munitions on sites previously used for training by the
Department of Defense. The U.S. Army Corps of Engineers is
conducting reclamation and mitigation activities at the former
Lowry Bombing and Gunnery Range in Arapahoe County, Colorado.
Given the proximity of the site to Cherry Creek High School,
Aurora Reservoir, and encroaching suburbs, the committee
believes that full funding to complete this cleanup should be
given consideration within the Department of Defense Formerly
Used Defense Sites (FUDS) account.
Land Grant Colleges
During committee consideration of the budget resolution,
Mr. Davis raised the issue of Land Grant Colleges. To be clear
on this matter, the committee recognizes the outstanding
achievements of 1890 Colleges of Agriculture and recommends
that these institutions be given equal consideration for
funding that 1862 land grant schools receive during the coming
fiscal year.
Artificial Neural Networks
Mr. Tancredo raised the issue of the Artificial Neural
Networks. To be clear on this matter, the committee is aware of
research into Artificial Neural Networks (ANN) which are
capable of recognizing complex patterns in data and
information. The committee believes such networks are excellent
tools for clinical decision making in prostate cancer,
testicular cancer, cardiovascular problems, and other medical
situations. Research to date has been encouraging, but
expansion of the research efforts to include a more diverse
population base would aid the ANN is determining optimal
treatment. Therefore, the committee asks that the ANN receive
priority in funding consideration for cooperative studies
research and medical research under the Department of Veterans
Affairs Medical and Prosthetic Research budget in order to
continue research in the diagnosis and prognosis of prostate
cancer
Center for Disease Control and Prevention
The Budget Committee believes the Center for Disease
Control and Prevention's building and facilities master plan
should be adequately funded so that it may be brought to
completion.
General Fund Diesel Fuel Excise Tax
Mr. Hulshof raised the issue of the Diesel Fuel Excise Tax.
To be clear on this matter, the unfair and discriminatory 4.3
cents per gallon general fund excise tax imposed on rail and
inland waterway carriers should be repealed. This tax unfairly
targets railroad and barges for discriminatory tax treatment
and is inconsistent with sound transportation policy. The
resolution also opposes the creation or diversion of revenue
from the tax to new or existing Federal trust funds.
Medicare Home Health
Mr. Ryun raised the issue of the Medicare Home Health Care
program. To be clear on this matter, the committee recognizes
the importance of Home Health Care for seniors and disabled
citizens and notes that the 10 percent rural add-on payment for
Home Health will be eliminated on 1 April 2003. MedPAC has
expressed concern that payments under the Home Health PPS may
not be appropriately distributed for some rural providers.
Medicare Payment Equity
The committee believes that the Medicare+Choice regional
disparity among reimbursement rates is unfair. Further, there
is also a need to assess the fairness of urban/rural payment
disparities in the fee-for-service.
Navy's LPD-17 Program
Mr. Vitter raised the issue of the Navy's LPD-17 Program.
To be clear on this matter, the budget resolution supports the
President's position on advanced procurement and construction
of advance components for one fiscal year 2005 LPD-17 Class
ship. LPD-17 acquisition program will replace 41 obsolete
amphibious ships, all of which are beyond their economical
service life. In addition, when complete, the LPD-17 program
will reduce amphibious ship manning requirements by
approximately 9,000 sailors. It is the committee's
understanding that during the development of the fiscal year
2004 Defense Budget, the LPD-17 program procurement profile was
modified to stretch program, which was to be completed by 2008,
by procuring just one ship a year through fiscal year 2010. The
new acquisition profile will substantially increase the
procurement cost of these vital ships. The additional $260
million will stabilize and optimize production schedules and
meet the unfunded requirements of both the Chief of Naval
Operations and the Commandant of the Marine Corps.
Alternative version: The budget supports the President's
request of $1.192 billion for the LPD-17 program. In addition,
the committee is concerned that the current program procurement
profile will stretch program, which was to be completed by
2008, by procuring just one ship a year through fiscal year
2010, thus increasing costs to the taxpayers and the Navy. The
committee also understands that both the Chief of Naval
Operations and the Commandant of the Marine Corps have included
advanced LPD-17 procurement on their unfunded requirements and
request list.
Coast Guard
Mr. Vitter raised the issue of the Coast Guard. To be clear
on this matter, the Coast Guard has been protecting America's
maritime interests with honor and distinction since 1790. From
our ports and inland waterways, to the Gulf of Mexico and the
Mississippi River system and beyond, our Nation's maritime
assets provide critical transportation and trade routes
essential to growing our economy. A terrorist attack on any of
our maritime systems would be devastating to our economy. As
one of the core agencies of the new Department of Homeland
Security, the Coast Guard will continue its mission to protect
our maritime interests with distinction and honor, and the
committee believes it is vital to the Homeland Security
Department's mission that the Coast Guard receives ample
funding.
Maritime Administration
Mr. Scott raised the issue of the Maritime Administration's
designation of certain vessels. Currently, the Maritime
Administration's [MARAD] has 130 vessels designated for
disposal as part of its Ship Disposal Program. At least 40 of
these vessels are in particularly bad condition. They are
anchored in the James River in Virginia, Suisin Bay in
California, and the Neches River in Texas. The vessels contain
hazardous substances that pose a risk to the environment unless
these vessels are either scrapped, repaired, or used for
another purpose--including the fish reef program, by another
Federal or State agency, or as donations to museums--in the
near future. The committee has held hearings on the matter, and
recognizes the imporance of addressing this issue.
Department of Energy's Defense Environmental Management
Mr. Hastings raised the issue of the Defense Environmental
Management. To be clear on this matter, the budget resolution
assumes full funding of the President's $7.2 billion request
for the Department of Energy's [DOE] Environmental Management
Program for Fiscal Year 2004. The funding level provided in the
resolution will allow for accelerating the completion of
cleanup by decades and save billions of dollars in spending.
Child Nutrition Act
Mr. Putnam raised the issue of the Child Nutrition Act. To
be clear on this matter, the budget resolution should ensure
that Federal nutrition programs, including reauthorization of
the Child Nutrition Act by Congress this year, provides funding
resources to encourage the greater availability of fruit,
vegetables and 100 percent juice products in Federal nutrition
programs.
Food and Drug Administration
During committee consideration of the budget resolution,
Mr. Kind as well as Mr. Gutknecht raised the issue of the
enforcement of laws administered by the Food and Drug
Administration. The committee urges the Food and Drug
Administration to ensure all applicable domestic food
production laws are abided by and enforced.
VISN
Ms. Brown-Waite raised the issue of cancelled appointments
for VA medical care. To be clear on this matter, the committee
recommends that the Veterans' Administration make a quarterly
report to each Member of Congress on appointment cancellations
within their respective Veterans Integrated Service Network
[VISN]. The report should include the number of VA initiated
cancellations for doctors' appointments and reasons for these
cancellations.
Individual Development Accounts
Mrs. Capps raised the issue of Individual Development
Accounts. To be clear on this matter, the committee believes
that asset accumulation is an important component of helping
low-income families and individuals enter the financial
mainstream and improve their financial security in both the
short and long-terms. The committee is further aware that
Individual Development Accounts (IDAs) are an innovative
program that has proven successful in permitting low-income,
working families and individuals build the necessary financial
resources to buy their first house, expand postsecondary
education and job training opportunities, or start a small
business. In short, IDAs are matched savings accounts that
provide valuable assistance for struggling families and
individuals to achieve their piece of the American Dream.
The future success of IDAs is greatly dependent on the
availability of needed matching funds to supplement the hard
earned savings of working families and individuals who are
committed to building a better life. Bipartisan legislation has
been introduced in past Congresses and, once again, President
Bush's fiscal year 2004 budget request has echoed those
legislative proposals, calling for the creation of a tax credit
for financial institutions to provide the matching dollars
required by IDAs.
The committee believes the Federal Tax Code should support
a significant expansion of IDAs so that low-income, working
families can save, build assets, and move their lives forward;
thus making positive contributions to the economic and social
well being of the United States, as well as to its future.
Veterans' Outpatient Clinics
Ms. Brown-Waite raised the issue of Veterans' Outpatient
Clinics. To be clear on this matter, the committee recommends
that one or more Veterans' Outpatient Clinics, providing
general and specialist care to veterans, be placed in VISN 8.
These clinics must provide, but are not limited to,
audiologists, cardiologists, and dermatologists.The committee
further recommends that preference for the site of this project
be given to areas with donated land and building space.
Impact Aid
The committee strongly supports funding for the education
of dependents of military personnel. Payments to school
districts accepting these children, made under the Impact Aid
program, are necessary to ensure that local school districts
receive full compensation for their students living on Federal
property. The Impact Aid program is intended to fill a gap
created by the Federal Government; Congress should fully fund
this program to ensure that all children have access to the
best possible education.
Salmon Recovery
Pacific Salmon are historically, culturally, and
economically important to the people of the Northwest. The
United States Government has negotiated treaties with the
Columbia River Indian tribes. The National Marine Fisheries
Service in December 2000 issued a biological opinion on the
Federal Columbia River Power System calling for greater efforts
by the Federal Government, to satisfy the ESA standards of
section 7(a)(2) of the Endangered Species Act; and the citizens
of the Pacific Northwest are committed to salmon recovery and
their hard work in communities throughout the region to advance
local solutions deserves Federal assistance. This resolution
assumes that the Pacific Northwest salmon recovery program,
administered by Federal agencies on the Federal Columbia River
Power System and Pacific coast, should be made a high-priority
item for funding.
Federal Pay Parity
Members of the uniformed services and civilian employees of
the United States make significant contributions to the general
welfare of the Nation. Increases in the pay of members of the
uniformed services and of civilian employees of the United
States have not kept pace with increases in the overall pay
levels of workers in the private sector, so that there now
exists a 32 percent gap between compensation levels of Federal
civilian employees and compensation levels of private sector
workers, and an estimated 10 percent gap between compensation
levels of members of the uniformed services and compensation
levels of private sector workers. In almost every year during
the past two decades, there have been equal adjustments in the
compensation of members of the uniformed services and the
compensation of civilian employees of the United States. The
committee believes that rates of compensation for civilian
employees of the United States should be adjusted at the same
time, and in the same proportion, as are rates of compensation
for members of the uniformed services.
Accounts Identified for Advance Appropriations
INTERIOR APPROPRIATIONS
Elk Hills (89 5428 02 271)
LABOR, HEALTH AND HUMAN SERVICES, EDUCATION APPROPRIATIONS
Corporation for Public Broadcasting (20 0151 01 503)
Employment and Training administration (16 0174 01 504)
Education for the Disadvantaged (91 0900 01 501)
School Improvement (91 1000 01 501)
Children and Family Services [Head Start] (75 1536 01 506)
Special Education (91 0300 01 501)
Vocational and Adult Education (91 0400 01 501)
TRANSPORTATION APPROPRATIONS
Transportation (highways; transit; Farley Building)
TREASURY, GENERAL GOVERNMENT APPROPRIATIONS
Payment to Postal Service (18 1001 01 372)
VETERANS, HOUSING AND URBAN DEVELOPMENT APPROPRIATIONS
Section 8 Renewals (86 0319 01 604)
Other Matters to Be Discussed Under the
Rules of the House
----------
Committee on the Budget Oversight Findings and Recommendations
Clause 3(c)(1) of rule XIII requires each committee report
to contain oversight findings and recommendations pursuant to
clause 2(b)(1) of rule X. The Budget Committee has no findings
to report at the present time.
New Budget Authority, Entitlement Authority, and Tax Expenditures
Clause 3(c)(2) of Rule XIII of the Rules of the House of
Representatives provides that committee reports shall contain
the statement required by Section 308(a)(1) of the
Congressional Budget Act of 1974. This report does not contain
such a statement because as a concurrent resolution setting
forth a blueprint for the Congressional budget, the budget
resolution does not provide new BA or new entitlement authority
or change revenues.
General Performance Goals and Objectives
Clause 3(c)(4) of rule XIII requires each committee report
to contain a statement of general performance goals and
objectives, including outcome-related goals and objectives, for
which the measure authorizes funding. The Budget Committee has
no such goals and objectives to report at this time.
Views of Committee Members
Clause 2(l) of rule XI requires each committee to afford a
2-day opportunity for members of the committee to file
additional, minority, or dissenting views and to include the
views in its report. The following views were submitted:
BUSH BUDGET SPENDS $5 TRILLION FROM SOCIAL SECURITY LOCKBOX
----------------------------------------------------------------------------------------------------------------
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Total
----------------------------------------------------------------------------------------------------------------
-317 -452 -512 -464 -429 -404 -416 -421 -427 -458 -424 -434 -5158
----------------------------------------------------------------------------------------------------------------
Prepared by the Democratic Staff of the House Budget Committee.
APRIL 2001 BASELINE TO FEBRUARY 2003 CURRENT POLICY
[In billions of dollars]
------------------------------------------------------------------------
2002 2003 2004 2002-11
------------------------------------------------------------------------
April 2001 Baseline Surplus. 283 334 387 5,637
Economic adjustments.... -284 -352 -292 -3,174
-------------------------------------------
Adjusted Surplus...... ......... ......... ......... 2,463
===========================================
Enacted Policy (with debt
service):
Tax Cuts................ -41 -94 -120 -1,491
Stimulus................ -59 -41 -31 -79
Other Enacted -57 -110 -104 -1,022
Legislation............
-------------------------------------------
Subtotal: Enacted ......... ......... ......... 2,592
Policies.............
-------------------------------------------
Current Baseline............ -158 -264 -158 -129
FY '04 Budget Proposals..... ......... -40 -149 -1,993
-------------------------------------------
Budget Deficits............. -158 -304 -307 -2,122
------------------------------------------------------------------------
Prepared by the Democratic Staff of the House Budget Committee.
Source: CBO Baseline, OMB Policies.
MINORITY VIEWS OF REPRESENTATIVES JOHN M. SPRATT, JR., JIM MORAN,
DARLENE HOOLEY, TAMMY BALDWIN, DENNIS MOORE, JOHN LEWIS, RICHARD E.
NEAL, ROSA L. DeLAURO, CHET EDWARDS, ROBERT C. ``BOBBY'' SCOTT, HAROLD
E. FORD, JR., LOIS CAPPS, MIKE THOMPSON, BRIAN BAIRD, JIM COOPER, RAHM
EMANUEL, ARTUR DAVIS, DENISE L. MAJETTE, AND RON KIND
[Chart 1] We begin this process in a fiscal hole, with
deficits as far as the forecasts go, and a President's budget
that offers no solutions; it only compounds our problems. Just
consider the first table in CBO's analysis of the President's
budget, released Friday March 7, 2003. [Chart 2] Add the top-
line from 2002 across to the year 2013, and you will see,
written on one line, the fiscal legacy of this Administration.
Under its policies, the on-budget deficit from 2002 through
2013 adds up to $5.158 trillion.
With deficits like these, we can understand why Republicans
rejected the President's budget and wrote their own, but it is
difficult to take this budget--with its enormous unspecified
spending cuts--at face value. We think the Republican budget
leads us down the same path, deeper and deeper into deficit and
debt.
How did we get from a budget that was $236 billion in
surplus in the year 2000 to a budget that is in deficit by $287
billion in 2003?
When the first President Bush left office, he left behind
the largest deficit in the nation's history. President Clinton
sent Congress a budget to cut that deficit by more than half
over five years. It passed by one vote amid taunts that it
would ``cut the economy off at the knees'' and ``mushroom the
deficit.'' The deficit did not ``mushroom;'' it shrank. The
bottom-line of the budget got better every year. By 1998 it was
balanced for the first time in thirty years. By 2000, the
budget was in surplus by $236 billion.
And so the second President Bush took office with an
advantage few presidents have enjoyed: a budget in surplus,
projected at $5.6 trillion over 10 years, according to OMB. We
warned that this projected surplus was based on a blue-sky
forecast, and implored the Republicans not to be reckless with
the first round of tax cuts.
Republicans enacted their tax cuts anyway, and they took a
$1.7 trillion bite out of the surplus. By July of 2001, despite
the claimed benefit from enactment of the Republican tax cuts,
the economy had taken another bite out of the surplus, so much
so that when CBO sent us its Mid-Session Review in July 2001,
the surplus, not including Social Security, was down to $575
billion, and not including Medicare, it was down to about $300
billion. The Administration blames today's deficits on the
tragedy of September 11, but most of the on-budget surplus was
already gone by the time the terrorists struck.
So, this is where we find ourselves as we consider the
budget for Fiscal Year 2004. [Chart 3] OMB acknowledges that it
overstated the surplus by at least $3.2 trillion. Its latest
forecast, adjusted for the economy, is $2.463 trillion, but
here's the rub: Congress has enacted policies committing all of
that and more. In fact, there is no surplus; in place of the
$5.6 trillion surplus, there is a deficit of $129 billion.
We could excuse the first tax cut as a failure to use due
care. Republicans took a bet on a blue-sky forecast. But now,
they are on notice. Every dollar of tax reduction that
Republicans enact now will go straight to the bottom line and
add to the deficit; and that's exactly what happens with the
President's budget. But deficits don't deter this
Administration. The President goes right on and proposes $1.993
billion of new policy actions, $1.6 trillion in new tax cuts,
and racks up $2.1 trillion in deficits between now and 2011.
This is no longer a failure to use due care. This is willful,
wanton, and intentional. This, in our opinion, is reckless.
Apparently, House Republicans agree, to an extent, because
what they do in their budget resolution is repudiate the
President's budget. They look down that road he would take us,
toward $5 trillion in additional deficits, and they opt for
another route.
But the President has proposed $1.6 trillion in new tax
cuts, and Republicans don't reject them; they cling tenaciously
to these new tax cuts. They subordinate everything in the
budget to these additional tax cuts.
--They subordinate veterans; cutting their benefits by
$15.062 billion over the next ten years.
--They subordinate students; cutting guaranteed loans by as
much as $9.701 billion over the next ten years.
--They subordinate the elderly; cutting Medicare by as much
as $261.771 billion over the next ten years.
--They subordinate the poor; cutting Medicaid by as much as
$110.564 billion over the next ten years.
--They subordinate environment; taking $2.475 billion from
the Resources Committee.
They also cut discretionary spending. To make a little room
for his tax cuts, the President has already cut non-defense,
non homeland security discretionary budget authority by $143
billion below current services over 10 years. House Republicans
cut it by another $126 billion. So much for education, and for
Leave No Child Behind. It is funded in the President's budget
at $9 billion less than what was authorized for 2004. Since
House Republicans double the cuts in discretionary spending,
presumably it will be funded even lower.
Furthermore, the Republican budget does nothing to provide
help for the fiscal crisis facing the states, and in fact makes
it worse. Because of the linkages between the federal and state
tax codes, the dividend tax proposal at the heart of the
Republican ``economic growth'' plan would make worse the
serious budget shortfalls that states are already facing.
Across the country, states are facing the worst fiscal crisis
in 50 years, which is forcing them to raise taxes and impose
drastic spending cuts.
We don't agree with their budget policies, but we might
grant that their spending cuts are politically bold--if we
believed they would ever happen. But we don't think this budget
is on the level.
Here is one telltale indication that it's not real. This
budget calls for the tax cuts to be reported by April 11. It
does not call for the reconciliation bills, with $470 billion
in spending reduction, to be reported until July 18, 2003, long
after votes on the tax bill have come and gone.
Here's another suspicious indicator. If Republicans are
serious about saving $470 billion, they might provide us with
examples of how you would do it. All we get is ``waste, fraud,
and abuse.'' When the ``Contract with America'' called for
Medicare cuts of $280 billion, Democrats asked how in the world
that could be done without emasculating Medicare, and that's
what Republicans told us, ``waste, fraud, and abuse.'' Here
they go again.
There is another reason this budget is not real. The
largest category in this budget is defense; and the spending
level for defense, as high as it is at $400 billion, is a plug
number. Once this resolution has passed, and the tax cuts have
passed, the Pentagon will send Congress an enormous
supplemental that will go straight to the deficit, because this
budget makes no provision for how to pay for the war.
We can understand why Republicans did not want to go with
the President's budget, down a road that leads to more than $5
trillion in additional debt, but this budget leads in the same
direction, because the massive spending cuts that Republicans
propose will never be made. But the tax cuts may be, and after
they are passed, and the defense supplemental has passed, the
cost of war on the one hand and tax cuts on the other will
drive the bottom line out of sight.
We know that Republicans think their 2001 tax cuts helped
the struggling economy. But in the end, the only one of those
tax cuts that worked was the rebate proposal, which Republicans
co-opted from Democrats. The only thing that the U.S. economy
has to show for the Republican 2001 tax cut is more debt.
Instead of paying off the public debt by 2008, the debt will
increase by $1.5 trillion by 2008.
The failure of the $1.7 trillion 2001 Republican tax cut
unquestionably should give us pause before we add even more
debt to the burden of the U.S. economy, just five years before
the baby-boom generation begins to retire on Social Security,
and just eight years before it begins to collect Medicare
benefits.
The bad news isn't over. The Administration's, and even
CBO's, receipts projections still have plenty of room to fall
before they get back to the levels of the middle 1990s. We
could lose hundreds of billions of dollars from our revenue
collections, even before the effects of the new tax cuts in the
Republican resolution. After those tax cuts, we could well have
another deficit and debt explosion like the one we had in the
1980s.
The Republican resolution is a risk that we cannot afford.
The signs are so obvious and so clear. We went through these
policies in the 1980s, and the result was an explosion of
deficits and debt. The hemorrhaging was stopped only by the
Democratic reversal of policy in the 1990s. Now, immediately
after Republicans gained control of the White House along with
the Congress and turned policy around again, the debt has begun
to mount once more. And rather than being chastened, and trying
to correct their error, Republicans want to push their debt
policy still further. How can the Congress fail to see what is
happening?
John M. Spratt, Jr.
Jim Moran.
Darlene Hooley.
Tammy Baldwin.
Dennis Moore.
John Lewis.
Richard E. Neal.
Rosa L. DeLauro.
Chet Edwards.
Bobby Scott.
Harold E. Ford, Jr.
Lois Capps.
Mike Thompson.
Brian Baird.
Jim Cooper.
Rahm Emanuel.
Artur Davis.
Denise L. Majette.
Ron Kind.
ADDITIONAL VIEWS OF REPRESENTATIVE ROBERT C. ``BOBBY'' SCOTT
While I concur with the Minority's Views, there are a few
points that need additional emphasis.
While September 11 has changed our fiscal reality, we also
have to be honest about the fiscal state of emergency we find
ourselves in. By July 2001, two months before the attacks, the
unified surplus had already plummeted by $2.5 trillion. We were
well on our way to a deficit before the attacks.
Before this Administration and its policies, we were also
on our way to paying off the national debt by 2011. We are now
on our way to paying a skyrocketing ``debt tax.'' The debt we
are experiencing is not theoretical; the interest, the ``debt
tax,'' we have paid and will pay is quite real. In fact, the
interest we are paying soon will be eclipsing the non-defense
discretionary spending. From the Majority's own budget
document, by 2013, we will be paying $477 billion in interest
on the debt while only spending $468 billion on the entire non-
defense discretionary budget. That $477 billion in interest
does not even begin to reduce the debt: it just is just
interest on the debt.
Indeed, if we are going to reduce the debt, we will need
much more than balanced budgets each year. We will need to
return to surpluses. Unfortunately, this budget never projects
an on-budget surplus during any year in the future.
In addition to the present deficit projections, the sad
fact is that the effect of the tax cuts are going to be worse
than they currently appear; because they are phased in, the tax
cuts' true cost is hidden in the first years. We will not see
how expensive they are until, their full effect is felt in the
second 10 years. Furthermore, that cost will also kick in at
the same time our fiscal reality is dramatically changed by the
baby boomers' retirement.
This fiscal irresponsibility is compounded by the pattern
of spending cuts contained in the budget; cuts such as
reduction to school lunches, heating assistance to low-income
families, health care for veterans, Medicare, and education,
just to name a few.
If we are going to deal with the financial crisis we are
finding ourselves in, we need to start making tough choices. We
cannot have all that we want right now, including tax cuts. Tax
cuts for the few and eroding safety nets for the many are not
the answer.
Bobby Scott.