[House Report 109-62]
[From the U.S. Government Publishing Office]




109th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     109-62

======================================================================
 
        CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL YEAR 2006

                                _______
                                

                 April 28, 2005.--Ordered to be printed

                                _______
                                

 Mr. Nussle, from the committee on conference, submitted the following

                           CONFERENCE REPORT

                     [To accompany H. Con. Res. 95]

      The committee of conference on the disagreeing votes of 
the two Houses on the amendment of the Senate to the concurrent 
resolution (H. Con. Res. 95), establishing the congressional 
budget for the United States Government for fiscal year 2006, 
revising appropriate budgetary levels for fiscal year 2005, and 
setting forth appropriate budgetary levels for fiscal years 
2007 through 2010, having met, after full and free conference, 
have agreed to recommend and do recommend to their respective 
Houses as follows:
      That the House recede from its disagreement to the 
amendment of the Senate and agree to the same with an amendment 
as follows:
      In lieu of the matter proposed to be inserted by the 
Senate amendment, insert the following:

SECTION 1. CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL YEAR 2006.

    (a) Declaration.--The Congress declares that the concurrent 
resolution on the budget for fiscal year 2006 is hereby 
established and that the appropriate budgetary levels for 
fiscal years 2005 and 2007 through 2010 are set forth.
    (b) Table of Contents.--The table of contents for this 
concurrent resolution is as follows:
Sec. 1. Concurrent resolution on the budget for fiscal year 2006.

                 TITLE I--RECOMMENDED LEVELS AND AMOUNTS

Sec. 101. Recommended levels and amounts.
Sec. 102. Social security.
Sec. 103. Major functional categories.

             TITLE II--RECONCILIATION AND REPORT SUBMISSIONS

Sec. 201. Reconciliation in the House of Representatives.
Sec. 202. Reconciliation in the Senate.

                        TITLE III--RESERVE FUNDS

Sec. 301. Adjustment for surface transportation.
Sec. 302. Reserve fund for the Family Opportunity Act.
Sec. 303. Reserve fund for the Federal Pell Grant Program.
Sec. 304. Reserve fund for the uninsured.
Sec. 305. Reserve fund for the disposal of underutilized Federal real 
          property.
Sec. 306. Reserve fund for health information technology and pay-for-
          performance.
Sec. 307. Reserve fund for Asbestos Injury Trust Fund.
Sec. 308. Reserve fund for energy legislation.
Sec. 309. Reserve fund for the safe importation of prescription drugs.
Sec. 310. Reserve fund for the restoration of SCHIP funds.

                      TITLE IV--BUDGET ENFORCEMENT

Sec. 401. Restrictions on advance appropriations.
Sec. 402. Emergency legislation.
Sec. 403. Extension of senate enforcement.
Sec. 404. Discretionary spending limits in the Senate.
Sec. 405. Application and effect of changes in allocations and 
          aggregates.
Sec. 406. Adjustments to reflect changes in concepts and definitions.
Sec. 407. Limitation on long-term spending proposals.
Sec. 408. Compliance with section 13301 of the Budget Enforcement Act of 
          1990.
Sec. 409. Exercise of rulemaking powers.
Sec. 410. Treatment of allocations in the House.
Sec. 411. Special procedures to achieve savings in mandatory spending 
          through FY2014.

                      TITLE V--SENSE OF THE SENATE

Sec. 501. Sense of the Senate regarding unauthorized appropriations.
Sec. 502. Sense of the Senate regarding a commission to review the 
          performance of programs.
Sec. 503. Sense of the Senate regarding TRICARE.
Sec. 504. Sense of the Senate regarding tribal colleges and 
          universities.
Sec. 505. Sense of the Senate regarding social security restructuring.
Sec. 506. Sense of the Senate regarding funding for subsonic and 
          hypersonic aeronautics research by the National Aeronautics 
          and Space Administration.
Sec. 507. Sense of the Senate regarding the acquisition of the next 
          generation destroyer (DDX).

                TITLE I--RECOMMENDED LEVELS AND AMOUNTS

SEC. 101. RECOMMENDED LEVELS AND AMOUNTS.

    The following budgetary levels are appropriate for each of 
fiscal years 2005 through 2010:
            (1) Federal revenues.--For purposes of the 
        enforcement of this resolution:
                    (A) The recommended levels of Federal 
                revenues are as follows:
                            Fiscal year 2005: 
                        $1,483,658,000,000.
                            Fiscal year 2006: 
                        $1,589,892,000,000.
                            Fiscal year 2007: 
                        $1,693,246,000,000.
                            Fiscal year 2008: 
                        $1,824,274,000,000.
                            Fiscal year 2009: 
                        $1,928,678,000,000.
                            Fiscal year 2010: 
                        $2,043,916,000,000.
                    (B) The amounts by which the aggregate 
                levels of Federal revenues should be reduced 
                are as follows:
                            Fiscal year 2005: $366,000,000.
                            Fiscal year 2006: $17,758,000,000.
                            Fiscal year 2007: $26,006,000,000.
                            Fiscal year 2008: $11,935,000,000.
                            Fiscal year 2009: $27,553,000,000.
                            Fiscal year 2010: $22,466,000,000.
            (2) New budget authority.--For purposes of the 
        enforcement of this resolution, the appropriate levels 
        of total new budget authority are as follows:
                    Fiscal year 2005: $2,078,456,000,000.
                    Fiscal year 2006: $2,144,384,000,000.
                    Fiscal year 2007: $2,211,308,000,000.
                    Fiscal year 2008: $2,324,327,000,000.
                    Fiscal year 2009: $2,428,613,000,000.
                    Fiscal year 2010: $2,524,958,000,000.
            (3) Budget outlays.--For purposes of the 
        enforcement of this resolution, the appropriate levels 
        of total budget outlays are as follows:
                    Fiscal year 2005: $2,056,006,000,000.
                    Fiscal year 2006: $2,161,420,000,000.
                    Fiscal year 2007: $2,215,361,000,000.
                    Fiscal year 2008: $2,305,908,000,000.
                    Fiscal year 2009: $2,411,288,000,000.
                    Fiscal year 2010: $2,514,745,000,000.
            (4) Deficits (on-budget).--For purposes of the 
        enforcement of this resolution, the amounts of the 
        deficits (on-budget) are as follows:
                    Fiscal year 2005: $572,348,000,000.
                    Fiscal year 2006: $571,528,000,000.
                    Fiscal year 2007: $522,115,000,000.
                    Fiscal year 2008: $481,634,000,000.
                    Fiscal year 2009: $482,610,000,000.
                    Fiscal year 2010: $470,829,000,000.
            (5) Debt subject to limit.--Pursuant to section 
        301(a)(5) of the Congressional Budget Act of 1974, the 
        appropriate levels of the public debt are as follows:
                    Fiscal year 2005: $7,962,000,000,000.
                    Fiscal year 2006: $8,645,000,000,000.
                    Fiscal year 2007: $9,284,000,000,000.
                    Fiscal year 2008: $9,890,000,000,000.
                    Fiscal year 2009: $10,500,000,000,000.
                    Fiscal year 2010: $11,105,000,000,000.
            (6) Debt held by the public.--The appropriate 
        levels of debt held by the public are as follows:
                    Fiscal year 2005: $4,689,000,000,000.
                    Fiscal year 2006: $5,082,000,000,000.
                    Fiscal year 2007: $5,409,000,000,000.
                    Fiscal year 2008: $5,677,000,000,000.
                    Fiscal year 2009: $5,927,000,000,000.
                    Fiscal year 2010: $6,150,000,000,000.

SEC. 102. SOCIAL SECURITY.

    (a) Social Security Revenues.--For purposes of Senate 
enforcement under sections 302 and 311 of the Congressional 
Budget Act of 1974, the amounts of revenues of the Federal Old-
Age and Survivors Insurance Trust Fund and the Federal 
Disability Insurance Trust Fund are as follows:
                    Fiscal year 2005: $573,475,000,000.
                    Fiscal year 2006: $604,777,000,000.
                    Fiscal year 2007: $637,792,000,000.
                    Fiscal year 2008: $671,688,000,000.
                    Fiscal year 2009: $705,849,000,000.
                    Fiscal year 2010: $740,343,000,000.
    (b) Social Security Outlays.--For purposes of Senate 
enforcement under sections 302 and 311 of the Congressional 
Budget Act of 1974, the amounts of outlays of the Federal Old-
Age and Survivors Insurance Trust Fund and the Federal 
Disability Insurance Trust Fund are as follows:
                    Fiscal year 2005: $398,088,000,000.
                    Fiscal year 2006: $415,993,000,000.
                    Fiscal year 2007: $429,254,000,000.
                    Fiscal year 2008: $443,235,000,000.
                    Fiscal year 2009: $460,443,000,000.
                    Fiscal year 2010: $479,412,000,000.
    (c) Social Security Administrative Expenses.--In the 
Senate, the amounts of new budget authority and budget outlays 
of the Federal Old-Age and Survivors Insurance Trust Fund and 
the Federal Disability Insurance Trust Fund for administrative 
expenses are as follows:
            Fiscal year 2005:
                    (A) New budget authority, $4,426,000,000.
                    (B) Outlays, $4,405,000,000.
            Fiscal year 2006:
                    (A) New budget authority, $4,576,000,000.
                    (B) Outlays, $4,587,000,000.
            Fiscal year 2007:
                    (A) New budget authority, $4,710,000,000.
                    (B) Outlays, $4,785,000,000.
            Fiscal year 2008:
                    (A) New budget authority, $4,853,000,000.
                    (B) Outlays, $4,849,000,000.
            Fiscal year 2009:
                    (A) New budget authority, $5,001,000,000.
                    (B) Outlays, $4,974,000,000.
            Fiscal year 2010:
                    (A) New budget authority, $5,152,000,000.
                    (B) Outlays, $5,124,000,000.

SEC. 103. MAJOR FUNCTIONAL CATEGORIES.

    The Congress determines and declares that the appropriate 
levels of new budget authority and outlays for fiscal years 
2005 through 2010 for each major functional category are:
            (1) National Defense (050):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $423,446,000,000.
                            (B) Outlays, $465,709,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $441,562,000,000.
                            (B) Outlays, $447,020,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $465,260,000,000.
                            (B) Outlays, $448,508,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $483,730,000,000.
                            (B) Outlays, $467,840,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $503,763,000,000.
                            (B) Outlays, $488,307,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $513,904,000,000.
                            (B) Outlays, $505,531,000,000.
            (2) International Affairs (150):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $28,413,000,000.
                            (B) Outlays, $31,620,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $30,913,000,000.
                            (B) Outlays, $32,692,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $34,338,000,000.
                            (B) Outlays, $31,804,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $34,700,000,000.
                            (B) Outlays, $31,322,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $34,739,000,000.
                            (B) Outlays, $31,313,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $34,430,000,000.
                            (B) Outlays, $31,033,000,000.
            (3) General Science, Space, and Technology (250):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $24,413,000,000.
                            (B) Outlays, $23,594,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $24,735,000,000.
                            (B) Outlays, $23,894,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $25,171,000,000.
                            (B) Outlays, $24,610,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $25,545,000,000.
                            (B) Outlays, $24,922,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $25,851,000,000.
                            (B) Outlays, $25,242,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $26,162,000,000.
                            (B) Outlays, $25,565,000,000.
            (4) Energy (270):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $2,564,000,000.
                            (B) Outlays, $794,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $3,247,000,000.
                            (B) Outlays, $2,127,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $2,837,000,000.
                            (B) Outlays, $1,687,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $2,920,000,000.
                            (B) Outlays, $1,026,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $2,531,000,000.
                            (B) Outlays, $1,127,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $2,229,000,000.
                            (B) Outlays, $1,018,000,000.
            (5) Natural Resources and Environment (300):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $32,504,000,000.
                            (B) Outlays, $31,163,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $30,021,000,000.
                            (B) Outlays, $32,016,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $30,389,000,000.
                            (B) Outlays, $31,622,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $30,458,000,000.
                            (B) Outlays, $31,938,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $31,212,000,000.
                            (B) Outlays, $32,182,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $30,754,000,000.
                            (B) Outlays, $31,763,000,000.
            (6) Agriculture (350):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $30,151,000,000.
                            (B) Outlays, $28,550,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $29,420,000,000.
                            (B) Outlays, $28,476,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $27,130,000,000.
                            (B) Outlays, $25,948,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $25,274,000,000.
                            (B) Outlays, $24,225,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $25,631,000,000.
                            (B) Outlays, $24,738,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $25,357,000,000.
                            (B) Outlays, $24,627,000,000.
            (7) Commerce and Housing Credit (370):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $16,804,000,000.
                            (B) Outlays, $11,302,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $10,772,000,000.
                            (B) Outlays, $5,562,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $10,074,000,000.
                            (B) Outlays, $4,929,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $10,040,000,000.
                            (B) Outlays, $4,250,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $10,667,000,000.
                            (B) Outlays, $3,768,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $14,565,000,000.
                            (B) Outlays, $6,393,000,000.
            (8) Transportation (400):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $75,833,000,000.
                            (B) Outlays, $67,639,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $73,034,000,000.
                            (B) Outlays, $70,137,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $74,515,000,000.
                            (B) Outlays, $72,092,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $76,482,000,000.
                            (B) Outlays, $73,893,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $66,268,000,000.
                            (B) Outlays, $75,235,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $67,611,000,000.
                            (B) Outlays, $77,107,000,000.
            (9) Community and Regional Development (450):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $23,007,000,000.
                            (B) Outlays, $20,756,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $14,493,000,000.
                            (B) Outlays, $18,323,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $14,510,000,000.
                            (B) Outlays, $17,180,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $14,597,000,000.
                            (B) Outlays, $15,779,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $14,735,000,000.
                            (B) Outlays, $14,706,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $14,755,000,000.
                            (B) Outlays, $14,402,000,000.
            (10) Education, Training, Employment, and Social 
        Services (500):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $94,026,000,000.
                            (B) Outlays, $92,805,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $97,364,000,000.
                            (B) Outlays, $91,463,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $90,395,000,000.
                            (B) Outlays, $91,045,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $90,450,000,000.
                            (B) Outlays, $89,335,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $90,665,000,000.
                            (B) Outlays, $88,826,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $90,124,000,000.
                            (B) Outlays, $88,646,000,000.
            (11) Health (550):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $257,498,000,000.
                            (B) Outlays, $252,798,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $262,269,000,000.
                            (B) Outlays, $262,628,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $275,200,000,000.
                            (B) Outlays, $274,781,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $294,954,000,000.
                            (B) Outlays, $293,755,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $317,026,000,000.
                            (B) Outlays, $313,539,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $336,407,000,000.
                            (B) Outlays, $335,458,000,000.
            (12) Medicare (570):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $292,587,000,000.
                            (B) Outlays, $293,587,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $331,181,000,000.
                            (B) Outlays, $330,944,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $371,875,000,000.
                            (B) Outlays, $372,167,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $395,312,000,000.
                            (B) Outlays, $395,364,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $420,234,000,000.
                            (B) Outlays, $419,828,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $448,111,000,000.
                            (B) Outlays, $448,442,000,000.
            (13) Income Security (600):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $339,658,000,000.
                            (B) Outlays, $347,855,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $347,606,000,000.
                            (B) Outlays, $354,415,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $352,843,000,000.
                            (B) Outlays, $359,969,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $365,782,000,000.
                            (B) Outlays, $371,374,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $374,984,000,000.
                            (B) Outlays, $379,241,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $384,088,000,000.
                            (B) Outlays, $387,610,000,000.
            (14) Social Security (650):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $15,849,000,000.
                            (B) Outlays, $15,849,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $15,991,000,000.
                            (B) Outlays, $15,991,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $17,804,000,000.
                            (B) Outlays, $17,804,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $19,868,000,000.
                            (B) Outlays, $19,868,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $21,843,000,000.
                            (B) Outlays, $21,843,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $24,129,000,000.
                            (B) Outlays, $24,129,000,000.
            (15) Veterans Benefits and Services (700):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $69,448,000,000.
                            (B) Outlays, $68,873,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $68,994,000,000.
                            (B) Outlays, $68,365,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $66,434,000,000.
                            (B) Outlays, $66,168,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $69,561,000,000.
                            (B) Outlays, $69,387,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $70,074,000,000.
                            (B) Outlays, $69,791,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $70,172,000,000.
                            (B) Outlays, $69,900,000,000.
            (16) Administration of Justice (750):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $39,731,000,000.
                            (B) Outlays, $39,440,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $40,984,000,000.
                            (B) Outlays, $42,382,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $41,531,000,000.
                            (B) Outlays, $42,593,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $42,172,000,000.
                            (B) Outlays, $42,791,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $42,743,000,000.
                            (B) Outlays, $42,920,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $43,001,000,000.
                            (B) Outlays, $42,944,000,000.
            (17) General Government (800):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $16,765,000,000.
                            (B) Outlays, $17,673,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $17,909,000,000.
                            (B) Outlays, $18,398,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $17,829,000,000.
                            (B) Outlays, $17,758,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $17,285,000,000.
                            (B) Outlays, $17,289,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $17,140,000,000.
                            (B) Outlays, $16,956,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $16,733,000,000.
                            (B) Outlays, $16,580,000,000.
            (18) Net Interest (900):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $267,982,000,000.
                            (B) Outlays, $267,982,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $310,774,000,000.
                            (B) Outlays, $310,774,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        $360,512,000,000.
                            (B) Outlays, $360,512,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        $398,347,000,000.
                            (B) Outlays, $398,347,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        $427,735,000,000.
                            (B) Outlays, $427,735,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        $455,167,000,000.
                            (B) Outlays, $455,167,000,000.
            (19) Allowances (920):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        $81,881,000,000.
                            (B) Outlays, $32,121,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        $48,477,000,000.
                            (B) Outlays, $60,905,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        -$4,076,000,000.
                            (B) Outlays, $18,572,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        -$7,670,000,000.
                            (B) Outlays, -$505,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        -$8,352,000,000.
                            (B) Outlays, -$5,758,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        -$9,294,000,000.
                            (B) Outlays, -$8,748,000,000.
            (20) Undistributed Offsetting Receipts (950):
                    Fiscal year 2005:
                            (A) New budget authority, 
                        -$54,104,000,000.
                            (B) Outlays, -$54,104,000,000.
                    Fiscal year 2006:
                            (A) New budget authority, 
                        -$55,362,000,000.
                            (B) Outlays, -$55,362,000,000.
                    Fiscal year 2007:
                            (A) New budget authority, 
                        -$63,263,000,000.
                            (B) Outlays, -$64,388,000,000.
                    Fiscal year 2008:
                            (A) New budget authority, 
                        -$65,480,000,000.
                            (B) Outlays, -$66,292,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, 
                        -$60,876,000,000.
                            (B) Outlays, -$60,251,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, 
                        -$63,447,000,000.
                            (B) Outlays, -$62,822,000,000.

            TITLE II--RECONCILIATION AND REPORT SUBMISSIONS

SEC. 201. RECONCILIATION IN THE HOUSE OF REPRESENTATIVES.

    (a) Submissions To Slow the Growth in Mandatory Spending.--
(1) Not later than September 16, 2005, the House committees 
named in paragraph (2) shall submit their recommendations to 
the House Committee on the Budget. After receiving those 
recommendations, the House Committee on the Budget shall report 
to the House a reconciliation bill carrying out all such 
recommendations without any substantive revision.
    (2) Instructions.--
            (A) Committee on agriculture.--The House Committee 
        on Agriculture shall report changes in laws within its 
        jurisdiction sufficient to reduce the level of direct 
        spending for that committee by $173,000,000 in outlays 
        for fiscal year 2006 and $3,000,000,000 in outlays for 
        the period of fiscal years 2006 through 2010.
            (B) Committee on education and the workforce.--The 
        House Committee on Education and the Workforce shall 
        report changes in laws within its jurisdiction 
        sufficient to reduce the level of direct spending for 
        that committee by $992,000,000 in outlays for fiscal 
        years 2005 and 2006 and $12,651,000,000 in outlays for 
        the period of fiscal years 2005 through 2010.
            (C) Committee on energy and commerce.--The House 
        Committee on Energy and Commerce shall report changes 
        in laws within its jurisdiction sufficient to reduce 
        the level of direct spending for that committee by 
        $2,000,000 in outlays for fiscal year 2006 and 
        $14,734,000,000 in outlays for the period of fiscal 
        years 2006 through 2010.
            (D) Committee on financial services.--The House 
        Committee on Financial Services shall report changes in 
        laws within its jurisdiction sufficient to reduce the 
        level of direct spending for that committee by 
        $30,000,000 in outlays for fiscal year 2006 and 
        $470,000,000 in outlays for the period of fiscal years 
        2006 through 2010.
            (E) Committee on the judiciary.--The House 
        Committee on the Judiciary shall report changes in laws 
        within its jurisdiction sufficient to reduce the level 
        of direct spending for that committee by $60,000,000 in 
        outlays for fiscal year 2006 and $300,000,000 in 
        outlays for the period of fiscal years 2006 through 
        2010.
            (F) Committee on resources.--The House Committee on 
        Resources shall report changes in laws within its 
        jurisdiction sufficient to reduce the level of direct 
        spending for that committee by $2,400,000,000 in 
        outlays for the period of fiscal years 2006 through 
        2010.
            (G) Committee on transportation and 
        infrastructure.--The House Committee on Transportation 
        and Infrastructure shall report changes in laws within 
        its jurisdiction sufficient to reduce the level of 
        direct spending for that committee by $12,000,000 in 
        outlays for fiscal year 2006 and $103,000,000 in 
        outlays for the period of fiscal years 2006 through 
        2010.
            (H) Committee on ways and means.--The House 
        Committee on Ways and Means shall report changes in 
        laws within its jurisdiction sufficient to reduce the 
        deficit by $250,000,000 for fiscal year 2006 and 
        $1,000,000,000 for the period of fiscal years 2006 
        through 2010.
    (b) Submission Providing for Changes in Revenue.--The House 
Committee on Ways and Means shall report to the House a 
reconciliation bill not later than September 23, 2005, that 
consists of changes in laws within its jurisdiction sufficient 
to reduce revenues by not more than $11,000,000,000 for fiscal 
year 2006 and by not more than $70,000,000,000 for the period 
of fiscal years 2006 through 2010.
    (c) Increase in Statutory Debt Limit.--The Committee on 
Ways and Means shall report to the House a reconciliation bill 
not later than September 30, 2005, that consists solely of 
changes in laws within its jurisdiction to increase the 
statutory debt limit by $781,000,000,000.
    (d)(1) Upon the submission to the Committee on the Budget 
of the House of a recommendation that has complied with its 
reconciliation instructions solely by virtue of section 310(b) 
of the Congressional Budget Act of 1974, the chairman of that 
committee may file with the House appropriately revised 
allocations under section 302(a) of such Act and revised 
functional levels and aggregates.
    (2) Upon the submission to the House of a conference report 
recommending a reconciliation bill or resolution in which a 
committee has complied with its reconciliation instructions 
solely by virtue of this section, the chairman of the Committee 
on the Budget of the House may file with the House 
appropriately revised allocations under section 302(a) of such 
Act and revised functional levels and aggregates.
    (3) Allocations and aggregates revised pursuant to this 
subsection shall be considered to be allocations and aggregates 
established by the concurrent resolution on the budget pursuant 
to section 301 of such Act.

SEC. 202. RECONCILIATION IN THE SENATE.

    (a) Spending Reconciliation Instructions.--In the Senate, 
by September 16, 2005, the committees named in this section 
shall submit their recommendations to the Committee on the 
Budget. After receiving those recommendations, the Committee on 
the Budget shall report to the Senate a reconciliation bill 
carrying out all such recommendations without any substantive 
revision.
            (1) Committee on agriculture, nutrition, and 
        forestry.--The Senate Committee on Agriculture, 
        Nutrition, and Forestry shall report changes in laws 
        within its jurisdiction sufficient to reduce outlays by 
        $173,000,000 in fiscal year 2006, and $3,000,000,000 
        for the period of fiscal years 2006 through 2010.
            (2) Committee on banking, housing, and urban 
        affairs.--The Senate Committee on Banking, Housing, and 
        Urban Affairs shall report changes in laws within its 
        jurisdiction sufficient to reduce outlays by 
        $30,000,000 in fiscal year 2006, and $470,000,000 for 
        the period of fiscal years 2006 through 2010.
            (3) Committee on commerce, science, and 
        transportation.--The Senate Committee on Commerce, 
        Science, and Transportation shall report changes in 
        laws within its jurisdiction sufficient to reduce 
        outlays by $10,000,000 in fiscal year 2006, and 
        $4,810,000,000 for the period of fiscal years 2006 
        through 2010.
            (4) Committee on energy and natural resources.--The 
        Senate Committee on Energy and Natural Resources shall 
        report changes in laws within its jurisdiction 
        sufficient to reduce outlays by $2,400,000,000 for the 
        period of fiscal years 2006 through 2010.
            (5) Committee on environment and public works.--The 
        Senate Committee on Environment and Public Works shall 
        report changes in laws within its jurisdiction 
        sufficient to reduce outlays by $4,000,000 in fiscal 
        year 2006, and $27,000,000 for the period of fiscal 
        years 2006 through 2010.
            (6) Committee on finance.--The Senate Committee on 
        Finance shall report changes in laws within its 
        jurisdiction sufficient to reduce outlays by 
        $10,000,000,000 for the period of fiscal years 2006 
        through 2010.
            (7) Committee on health, education, labor, and 
        pensions.--The Senate Committee on Health, Education, 
        Labor, and Pensions shall report changes in laws within 
        its jurisdiction sufficient to reduce outlays by 
        $1,242,000,000 in fiscal years 2005 and 2006, and 
        $13,651,000,000 for the period of fiscal years 2005 
        through 2010.
            (8) Committee on the Judiciary.--The Senate 
        Committee on the Judiciary shall report changes in laws 
        within its jurisdiction sufficient to reduce outlays by 
        $60,000,000 in fiscal year 2006, and $300,000,000 for 
        the period of fiscal years 2006 through 2010.
    (b) Revenue Reconciliation Instructions.--The Committee on 
Finance shall report to the Senate a reconciliation bill not 
later than September 23, 2005 that consists of changes in laws 
within its jurisdiction sufficient to reduce the total level of 
revenues by not more than: $11,000,000,000 for fiscal year 
2006, and $70,000,000,000 for the period of fiscal years 2006 
through 2010.
    (c) Increase in Statutory Debt Limit.--The Committee on 
Finance shall report to the Senate a reconciliation bill not 
later than September 30, 2005, that consists solely of changes 
in laws within its jurisdiction to increase the statutory debt 
limit by $781,000,000,000.

                        TITLE III--RESERVE FUNDS

SEC. 301. ADJUSTMENT FOR SURFACE TRANSPORTATION.

    (a) In General.--If the Committee on Transportation and 
Infrastructure of the House or the Committee on Environment and 
Public Works, the Committee on Banking, Housing, and Urban 
Affairs, or the Committee on Commerce, Science, and 
Transportation of the Senate reports a bill or joint 
resolution, or an amendment is offered thereto or a conference 
report is submitted thereon, that provides new budget authority 
for the budget accounts or portions thereof, for programs, 
projects, and activities for highways, highway safety, and 
transit in excess of--
            (1) for fiscal year 2005, $46,094,000,000; or
            (2) for fiscal year 2006, $47,008,000,000; or
            (3) for fiscal years 2005 through 2009, 
        $230,769,000,000;

the appropriate chairman of the Committee on the Budget may 
make the appropriate adjustments in allocations and aggregates 
and increase the allocation of new budget authority to such 
committees in amounts equal to the program increases proposed 
by the committee or committees of jurisdiction for fiscal years 
2005 and 2006 and for the period of fiscal years 2005 through 
2009. Adjustments shall be made only to the extent such excess 
is offset by a reduction in mandatory outlays from the highway 
trust fund or an increase in receipts that are appropriated to 
such fund for the applicable fiscal year caused by such 
legislation. In the Senate, any increase in receipts shall be 
reported by the Committee on Finance.
    (b) Adjustment for Outlays.--In the House and the Senate, 
for fiscal year 2006, and, as necessary, in subsequent fiscal 
years, if a bill or joint resolution is reported, or if an 
amendment is offered thereto or a conference report is 
submitted thereon, that changes obligation limitations such 
that the total limitations are in excess of $44,193,000,000 for 
fiscal year 2006, for programs, projects, and activities for 
highways, highway safety, and transit, and if legislation has 
been enacted that satisfies the conditions set forth in 
subsection (a) for such fiscal year, the appropriate chairman 
of the Committee on the Budget may increase the allocation of 
outlays and appropriate aggregates for such fiscal year, and, 
as necessary, in subsequent fiscal years, for the committees 
reporting such measures, by the amount of outlays that 
corresponds to such excess obligation limitations, but not to 
exceed the amount of such excess that was offset in 2006 
pursuant to subsection (a). After the adjustment has been made, 
the Senate Committee on Appropriations shall report new section 
302(b) allocations consistent with this section.

SEC. 302. RESERVE FUND FOR THE FAMILY OPPORTUNITY ACT.

    If the Committee on Energy and Commerce of the House or the 
Committee on Finance of the Senate reports a bill or joint 
resolution or an amendment is offered thereto or a conference 
report is submitted thereon, that provides families of disabled 
children with the opportunity to purchase coverage under the 
medicaid coverage for such children (the Family Opportunity 
Act), and provided that, in the Senate, the committee is within 
its allocation as provided under section 302(a) of the 
Congressional Budget Act of 1974, the appropriate chairman of 
the Committee on the Budget may make the appropriate 
adjustments in allocations and aggregates to the extent that 
such legislation would not increase the deficit for fiscal year 
2006 and for the period of fiscal years 2006 through 2010.

SEC. 303. RESERVE FUND FOR THE FEDERAL PELL GRANT PROGRAM.

    If the appropriate committee of the House or Senate reports 
a bill or joint resolution, or an amendment is offered thereto 
or a conference report is submitted thereon, that eliminates 
the accumulated shortfall of budget authority resulting from 
insufficient appropriations of discretionary new budget 
authority previously enacted for the Federal Pell Grant Program 
for awards made through the award year 2005-2006, provided 
that, in the Senate the committee is within its allocation as 
provided under section 302(a) of the Congressional Budget Act 
of 1974, or in the House the measure would not increase the 
deficit, the appropriate chairman of the Committee on the 
Budget may make the appropriate adjustments in allocations and 
aggregates by the amount provided by that measure for that 
purpose, but not to exceed $4,300,000,000 in new budget 
authority for the fiscal year 2006.

SEC. 304. RESERVE FUND FOR THE UNINSURED.

    If the Committee on Finance or the Committee on Health, 
Education, Labor, and Pensions of the Senate or the Committee 
on Energy and Commerce of the House reports a bill or joint 
resolution, or an amendment is offered thereto or a conference 
report is submitted thereon, that--
            (1) addresses health care costs, coverage, or care 
        for the uninsured;
            (2)(A) provides safety net access to integrated and 
        other health care services; or
            (B) increases the number of people with health 
        insurance, provided that such increase is not obtained 
        primarily as a result of increasing premiums for the 
        currently insured; and
            (3) increases access to coverage through mechanisms 
        that decrease the growth of health care costs, and may 
        include tax- and market-based measures (such as tax 
        credits, deductibility, regulatory reforms, consumer-
        directed initiatives, and other measures targeted to 
        key segments of the uninsured, such as individuals 
        without employer-sponsored coverage and college 
        students and recent graduates),

provided that, in the Senate, the committee is within its 
allocation as provided under section 302(a) of the 
Congressional Budget Act of 1974, the chairman of the Committee 
on the Budget may make the appropriate adjustments in 
allocations and aggregates to the extent that such legislation 
would not increase the deficit for fiscal year 2006 and for the 
period of fiscal years 2006 through 2010.

SEC. 305. RESERVE FUND FOR THE DISPOSAL OF UNDERUTILIZED FEDERAL REAL 
                    PROPERTY.

    If the Committee on Government Reform of the House reports 
a bill or joint resolution, or an amendment is offered thereto 
or a conference report is submitted thereon, that enhances the 
Government's real property disposal authority and generates 
discretionary savings, the chairman of the Committee on the 
Budget may make the appropriate adjustments in allocations and 
aggregates by the amount provided by that measure for that 
purpose, but not to exceed $50,000,000 in new budget authority 
and outlays flowing therefrom for fiscal year 2006, and 
$50,000,000 in new budget authority and outlays flowing 
therefrom for the period of fiscal years 2006 through 2010.

SEC. 306. RESERVE FUND FOR HEALTH INFORMATION TECHNOLOGY AND PAY-FOR-
                    PERFORMANCE.

    In the Senate, if the Committee on Finance or the Committee 
on Health, Education, Labor, and Pensions reports a bill or 
joint resolution, or if an amendment is offered thereto or if a 
conference report is submitted thereon, that--
            (1) provides incentives or other support for 
        adoption of modern information technology to improve 
        quality in health care; and
            (2) provides for performance-based payments that 
        are based on accepted clinical performance measures 
        that improve the quality in health care;

provided that the committee is within its allocation as 
provided under section 302(a) of the Congressional Budget Act 
of 1974, the chairman of the Committee on the Budget may make 
the appropriate adjustments in allocations and aggregates to 
the extent that such legislation would not increase the deficit 
for the period of fiscal years 2006 through 2010.

SEC. 307. RESERVE FUND FOR ASBESTOS INJURY TRUST FUND.

    In the Senate, if the Committee on Judiciary reports 
legislation, or if an amendment is offered thereto or a 
conference report is submitted thereon, that--
            (1) provides monetary compensation to impaired 
        victims of asbestos-related disease who can establish 
        that asbestos exposure is a substantial contributing 
        factor in causing their condition;
            (2) does not provide monetary compensation to the 
        unimpaired claimants or those suffering from a disease 
        who cannot establish that asbestos exposure was a 
        substantial contributing factor in causing their 
        condition; and
            (3) is estimated to remain funded from nontaxpayer 
        sources for the life of the fund; and

assuming the committee is within its allocation as provided 
under section 302(a) of the Congressional Budget Act of 1974, 
the chairman of the Committee on the Budget may make the 
appropriate adjustments in allocations and aggregates to the 
extent that such legislation would not increase the deficit for 
the period of fiscal years 2006 through 2056.

SEC. 308. RESERVE FUND FOR ENERGY LEGISLATION.

    If a bill or joint resolution is reported, or an amendment 
is offered thereto or a conference report is submitted thereon, 
within the jurisdiction of the Committee on Energy and Natural 
Resources of the Senate, that provides for a national energy 
policy, provided that the committee is within its allocation as 
provided under section 302(a) of the Congressional Budget Act 
of 1974, the chairman of the Committee on the Budget may make 
the appropriate adjustments in allocations and aggregates by 
the amount provided by that measure for that purpose, but not 
to exceed $100,000,000 in new budget authority for fiscal year 
2006 and the outlays flowing from that budget authority and 
$2,000,000,000 in new budget authority for the period of fiscal 
years 2006 through 2010 and the outlays flowing from that 
budget authority.

SEC. 309. RESERVE FUND FOR THE SAFE IMPORTATION OF PRESCRIPTION DRUGS.

    If the Committee on Health, Education, Labor, and Pensions 
of the Senate reports a bill or joint resolution, or an 
amendment is offered thereto or a conference report is 
submitted thereon, that permits the safe importation of 
prescription drugs approved by the Food and Drug Administration 
from specified countries with strong safety laws, and provided 
that the committee is within its allocation as provided under 
section 302(a) of the Congressional Budget Act of 1974, the 
chairman of the Committee on the Budget may make the 
appropriate adjustments in allocations and aggregates to the 
extent that such legislation would not increase the deficit for 
fiscal year 2006 and for the period of fiscal years 2006 
through 2010.

SEC. 310. RESERVE FUND FOR THE RESTORATION OF SCHIP FUNDS.

    If the Committee on Finance of the Senate reports a bill or 
joint resolution, or an amendment is offered thereto or a 
conference report is submitted thereon, that provides for the 
restoration of unexpended funds under the State Children's 
Health Insurance Program that reverted to the Treasury on 
October 1, 2004, and that may provide for the redistribution of 
such funds for outreach and enrollment as well as for coverage 
initiatives and provided that the committee is within its 
allocation as provided under section 302(a) of the 
Congressional Budget Act of 1974, the chairman of the Committee 
on the Budget may make the appropriate adjustments in 
allocations and aggregates to the extent that such legislation 
would not increase the deficit for fiscal year 2006 and for the 
period of fiscal years 2006 through 2010.

                      TITLE IV--BUDGET ENFORCEMENT

SEC. 401. RESTRICTIONS ON ADVANCE APPROPRIATIONS.

    (a) In the House.--(1)(A) In the House, except as provided 
in paragraph (2), an advance appropriation may not be reported 
in a bill or joint resolution making a general appropriation or 
continuing appropriation, and may not be in order as an 
amendment thereto.
    (B) Managers on the part of the House may not agree to a 
Senate amendment that would violate subparagraph (A) unless 
specific authority to agree to the amendment first is given by 
the House by a separate vote with respect thereto.
    (2) In the House, an advance appropriation may be provided 
for fiscal year 2007 or 2008 for programs, projects, activities 
or accounts identified in the joint explanatory statement of 
managers accompanying this resolution under the heading 
``Accounts Identified for Advance Appropriations'' in an 
aggregate amount not to exceed $23,158,000,000 in new budget 
authority.
    (3) In this subsection, the term ``advance appropriation'' 
means any new budget authority provided in a bill or joint 
resolution making general appropriations or any new budget 
authority provided in a bill or joint resolution continuing 
appropriations for fiscal year 2006 that first becomes 
available for any fiscal year after 2006.
    (b) In the Senate.--(1) Except as provided in paragraph 
(2), it shall not be in order in the Senate to consider any 
bill, joint resolution, motion, amendment, or conference report 
that would provide an advance appropriation.
    (2) An advance appropriation may be provided for the fiscal 
years 2007 and 2008 for programs, projects, activities, or 
accounts identified in the joint explanatory statement of 
managers accompanying this resolution under the heading 
``Accounts Identified for Advance Appropriations'' in an 
aggregate amount not to exceed $23,158,000,000 in new budget 
authority in each year.
    (3)(A) In the Senate, paragraph (1) may be waived or 
suspended only by an affirmative vote of three-fifths of the 
Members, duly chosen and sworn. An affirmative vote of three-
fifths of the Members of the Senate, duly chosen and sworn, 
shall be required to sustain an appeal of the ruling of the 
Chair on a point of order raised under paragraph (1).
    (B) A point of order under paragraph (1) may be raised by a 
Senator as provided in section 313(e) of the Congressional 
Budget Act of 1974.
    (C) If a point of order is sustained under paragraph (1) 
against a conference report in the Senate, the report shall be 
disposed of as provided in section 313(d) of the Congressional 
Budget Act of 1974.
    (4) In this subsection, the term ``advance appropriation'' 
means any new budget authority provided in a bill or joint 
resolution making general appropriations or continuing 
appropriations for fiscal year 2006 that first becomes 
available for any fiscal year after 2006, or any new budget 
authority provided in a bill or joint resolution making general 
appropriations or continuing appropriations for fiscal year 
2007, that first becomes available for any fiscal year after 
2007.

SEC. 402. EMERGENCY LEGISLATION.

    (a) In the House.--
            (1) Exemption of overseas contingency operations.--
        (A) In the House, if any bill or joint resolution is 
        reported, or an amendment is offered thereto or a 
        conference report is filed thereon, that makes 
        supplemental appropriations for fiscal year 2005 or 
        fiscal year 2006 for contingency operations related to 
        the global war on terrorism, then the new budget 
        authority, new entitlement authority, outlays, and 
        receipts resulting therefrom shall not count for 
        purposes of sections 302, 303, 311, as appropriate, and 
        401 of the Congressional Budget Act of 1974 for the 
        provisions of such measure that are designated pursuant 
        to this subsection as making appropriations for such 
        contingency operations.
            (B) Amounts included in this resolution for the 
        purpose set forth in subparagraph (A) shall be 
        considered to be current law for purposes of the 
        preparation of the current level of budget authority 
        and outlays and the appropriate levels shall be 
        adjusted upon the enactment of such bill.
            (2) Exemption of emergency provisions.--In the 
        House, if a bill or joint resolution is reported, or an 
        amendment is offered thereto or a conference report is 
        filed thereon, that designates a provision as an 
        emergency requirement pursuant to this subsection, then 
        the new budget authority, new entitlement authority, 
        outlays, and receipts resulting therefrom shall not 
        count for purposes of sections 302, 303, 311, as 
        appropriate, and 401 of the Congressional Budget Act of 
        1974.
            (3) Designations.--In the House, if a provision of 
        legislation is designated as an emergency requirement 
        under this subsection, the committee report and any 
        statement of managers accompanying that legislation 
        shall include an explanation of the manner in which the 
        provision meets the criteria in subsection (c). If such 
        legislation is to be considered by the House without 
        being reported, then the committee shall cause the 
        explanation to be published in the Congressional Record 
        in advance of floor consideration.
    (b) In the Senate.--
            (1) Authority to designate.--With respect to a 
        provision of direct spending or receipts legislation or 
        appropriations for discretionary accounts that the 
        Congress designates as an emergency requirement in such 
        measure, the amounts of new budget authority, outlays, 
        and receipts in all fiscal years resulting from that 
        provision shall be treated as an emergency requirement 
        for the purpose of this subsection.
            (2) Exemption of emergency provisions.--Any new 
        budget authority, outlays, and receipts resulting from 
        any provision designated as an emergency requirement, 
        pursuant to this subsection, in any bill, joint 
        resolution, amendment, or conference report shall not 
        count for purposes of sections 302 and 311 of the 
        Congressional Budget Act of 1974 and section 404 of 
        this resolution (relating to discretionary spending 
        limits in the Senate) and section 505 of the Concurrent 
        Resolution on the Budget for Fiscal Year 2004, H. Con. 
        Res. 95 (relating to the paygo requirement in the 
        Senate).
            (3) Designations.--If a provision of legislation is 
        designated as an emergency requirement under this 
        subsection, the committee report and any statement of 
        managers accompanying that legislation shall include an 
        explanation of the manner in which the provision meets 
        the criteria in subsection (c).
            (4) Definitions.--In this subsection, the terms 
        ``direct spending'', ``receipts'', and ``appropriations 
        for discretionary accounts'' means any provision of a 
        bill, joint resolution, amendment, motion, or 
        conference report that affects direct spending, 
        receipts, or appropriations as those terms have been 
        defined and interpreted for purposes of the Balanced 
        Budget and Emergency Deficit Control Act of 1985.
            (5) Point of order.--When the Senate is considering 
        a bill, resolution, amendment, motion, or conference 
        report, if a point of order is made by a Senator 
        against an emergency designation in that measure, that 
        provision making such a designation shall be stricken 
        from the measure and may not be offered as an amendment 
        from the floor.
            (6) Waiver and appeal.--Paragraph (5) may be waived 
        or suspended in the Senate only by an affirmative vote 
        of three-fifths of the Members, duly chosen and sworn. 
        Appeals in the Senate from the decisions of the Chair 
        relating to any provision of this subsection shall be 
        limited to 1 hour, to be equally divided between, and 
        controlled by, the appellant and the manager of the 
        bill or joint resolution, as the case may be. An 
        affirmative vote of three-fifths of the Members of the 
        Senate, duly chosen and sworn, shall be required to 
        sustain an appeal of the ruling of the Chair on a point 
        of order raised under this subsection.
            (7) Definition of an emergency designation.--For 
        purposes of paragraph (5), a provision shall be 
        considered an emergency designation if it designates 
        any item as an emergency requirement pursuant to this 
        subsection.
            (8) Form of the point of order.--A point of order 
        under paragraph (5) may be raised by a Senator as 
        provided in section 313(e) of the Congressional Budget 
        Act of 1974.
            (9) Conference reports.--If a point of order is 
        sustained under paragraph (5) against a conference 
        report, the report shall be disposed of as provided in 
        section 313(d) of the Congressional Budget Act of 1974.
            (10) Exception for defense spending.--Paragraph (5) 
        shall not apply against an emergency designation for a 
        provision making discretionary appropriations under the 
        defense function (050).
            (11) Exemption of overseas contingent operations.--
                    (A) In general.--In the Senate, if a bill, 
                joint resolution, amendment, or a conference 
                report makes supplemental appropriations for 
                fiscal year 2006 for overseas contingency 
                operations related to the global war on 
                terrorism, then the new budget authority, new 
                entitlement authority, and outlays resulting 
                from the provisions of such measure that are 
                designated pursuant to this subsection as 
                making appropriations for such contingency 
                operations--
                            (i) shall not count for purposes of 
                        sections 302 and 311 of the 
                        Congressional Budget Act of 1974; and
                            (ii) shall not count for the 
                        purpose of section 404 of this 
                        resolution (relating to discretionary 
                        spending limits in the Senate) and 
                        section 505 of the Concurrent 
                        Resolution on the Budget for Fiscal 
                        Year 2004, H. Con. Res. 95 (relating to 
                        the pay-go requirement).
                    (B) Limitation.--The amounts that are not 
                counted for purposes of this subsection shall 
                not exceed $50,000,000,000 in new budget 
                authority and outlays associated with the 
                budget authority.
    (c) Criteria.--
            (1) In general.--For purposes of this section, any 
        provision is an emergency requirement if the situation 
        addressed by such provision is--
                    (A) necessary, essential, or vital (not 
                merely useful or beneficial);
                    (B) sudden, quickly coming into being, and 
                not building up over time;
                    (C) an urgent, pressing, and compelling 
                need requiring immediate action;
                    (D) subject to paragraph (2), unforeseen, 
                unpredictable, and unanticipated; and
                    (E) not permanent, temporary in nature.
            (2) Unforeseen.--An emergency that is part of an 
        aggregate level of anticipated emergencies, 
        particularly when normally estimated in advance, is not 
        unforeseen.

SEC. 403. EXTENSION OF SENATE ENFORCEMENT.

    (a) Extension.--Notwithstanding any provision of the 
Congressional Budget Act of 1974, subsections (c)(2) and (d)(3) 
of section 904 of the Congressional Budget Act of 1974 shall 
remain in effect for purposes of Senate enforcement through 
September 30, 2010.
    (b) In General.--
            (1) Unfunded mandates.--Section 425(a)(1) and (2) 
        of the Congressional Budget Act of 1974 shall be 
        subject to the waiver and appeal requirements of 
        subsections (c)(2) and (d)(3) of section 904 of the 
        Congressional Budget Act of 1974.
            (2) Consideration of budget legislation.--Section 
        303 of the Congressional Budget Act of 1974 shall be 
        subject to the waiver and appeal requirements of 
        subsections (c)(2) and (d)(3) of section 904 of the 
        Congressional Budget Act of 1974. For the purpose of 
        Section 303, the year covered by the resolution shall 
        be construed as the upcoming fiscal year only.
            (3) Application to reconciliation.--This subsection 
        shall not apply to any legislation reported pursuant to 
        reconciliation directions contained in a concurrent 
        resolution on the budget.
            (4) Effective date.--This subsection shall remain 
        in effect for purposes of Senate enforcement through 
        September 30, 2010.

SEC. 404. DISCRETIONARY SPENDING LIMITS IN THE SENATE.

    (a) Discretionary Spending Limits.--In the Senate and as 
used in this section, the term ``discretionary spending limit'' 
means--
            (1) for fiscal year 2006, $842,265,000,000 in new 
        budget authority and $916,081,000,000 in outlays for 
        the discretionary category;
            (2) for fiscal year 2007, $866,038,000,000 in new 
        budget authority for the discretionary category; and
            (3) for fiscal year 2008, $887,005,000,000 in new 
        budget authority for the discretionary category;
as adjusted in conformance with the adjustment procedures in 
subsection (d).
    (b) Adjustments to Discretionary Spending Limits.--
            (1) Continuing disability reviews.--If a bill or 
        joint resolution is reported making appropriations for 
        fiscal year 2006 that appropriates $412,000,000 for 
        continuing disability reviews for the Social Security 
        Administration, and provides an additional 
        appropriation of $189,000,000 for continuing disability 
        reviews for the Social Security Administration, then 
        the allocation to the Senate Committee on 
        Appropriations shall be increased by $189,000,000 in 
        budget authority and outlays flowing from the budget 
        authority for fiscal year 2006.
            (2) Internal revenue service tax enforcement.--If a 
        bill or joint resolution is reported making 
        appropriations for fiscal year 2006 that appropriates 
        $6,447,000,000 for enhanced tax enforcement to address 
        the ``Federal tax gap'' for the Internal Revenue 
        Service, and provides an additional appropriation of 
        $446,000,000 for enhanced tax enforcement to address 
        the ``Federal tax gap'' for the Internal Revenue 
        Service, then the allocation to the Senate Committee on 
        Appropriations shall be increased by $446,000,000 in 
        budget authority and outlays flowing from the budget 
        authority for fiscal year 2006.
            (3) Health care fraud and abuse control program.--
        If a bill or joint resolution is reported making 
        appropriations for fiscal year 2006 that appropriates 
        $80,000,000 to the health care fraud and abuse control 
        program at the Department of Health and Human Services, 
        then the allocation to the Senate Committee on 
        Appropriations shall be increased by $80,000,000 in 
        budget authority and outlays flowing from the budget 
        authority for fiscal year 2006.
            (4) Unemployment insurance improper payments.--If a 
        bill or joint resolution is reported making 
        appropriations for fiscal year 2006 that appropriates 
        $10,000,000 for unemployment insurance improper 
        payments reviews for the Department of Labor, and 
        provides an additional appropriation of $40,000,000 for 
        unemployment insurance improper payments reviews for 
        the Department of Labor, then the allocation to the 
        Senate Committee on Appropriations shall be increased 
        by $40,000,000 in budget authority and outlays flowing 
        from the budget authority for fiscal year 2006.
    (c) Discretionary Spending Point of Order in the Senate.--
            (1) In general.--Except as otherwise provided in 
        this subsection, it shall not be in order in the Senate 
        to consider any bill or joint resolution (or amendment, 
        motion, or conference report on that bill or joint 
        resolution) that would cause the discretionary spending 
        limits in this section to be exceeded.
            (2) Waiver.--This subsection may be waived or 
        suspended in the Senate only by the affirmative vote of 
        three-fifths of the Members, duly chosen and sworn.
            (3) Appeals.--Appeals in the Senate from the 
        decisions of the Chair relating to any provision of 
        this subsection shall be limited to 1 hour, to be 
        equally divided between, and controlled by, the 
        appellant and the manager of the bill or joint 
        resolution, as the case may be. An affirmative vote of 
        three-fifths of the Members of the Senate, duly chosen 
        and sworn, shall be required to sustain an appeal of 
        the ruling of the Chair on a point of order raised 
        under this subsection.
    (d) Procedure for Adjustments.--
            (1) In general.--
                    (A) Chairman.--After the reporting of a 
                bill or joint resolution, or the offering of an 
                amendment thereto or the submission of a 
                conference report thereon, the chairman of the 
                Committee on the Budget may make the 
                adjustments set forth in subparagraph (B) for 
                the amount of new budget authority in that 
                measure (if that measure meets the requirements 
                set forth in paragraph (2)) and the outlays 
                flowing from that budget authority.
                    (B) Matters to be adjusted.--The 
                adjustments referred to in subparagraph (A) are 
                to be made to--
                            (i) the discretionary spending 
                        limits, if any, set forth in the 
                        appropriate concurrent resolution on 
                        the budget;
                            (ii) the allocations made pursuant 
                        to the appropriate concurrent 
                        resolution on the budget pursuant to 
                        section 302(a) of the Congressional 
                        Budget Act of 1974; and
                            (iii) the budgetary aggregates as 
                        set forth in the appropriate concurrent 
                        resolution on the budget.
            (2) Amounts of adjustments.--The adjustment 
        referred to in paragraph (1) shall be an amount 
        provided for the fiscal year 2006 pursuant to 
        subsection (b).
            (3) Reporting revised suballocations.--Following 
        any adjustment made under paragraph (1), the Committee 
        on Appropriations of the Senate shall report 
        appropriately revised suballocations under section 
        302(b) of the Congressional Budget Act of 1974 to carry 
        out this subsection.

SEC. 405. APPLICATION AND EFFECT OF CHANGES IN ALLOCATIONS AND 
                    AGGREGATES.

    (a) Application.--Any adjustments of allocations and 
aggregates made pursuant to this resolution shall--
            (1) apply while that measure is under 
        consideration;
            (2) take effect upon the enactment of that measure; 
        and
            (3) be published in the Congressional Record as 
        soon as practicable.
    (b) Effect of Changed Allocations and Aggregates.--Revised 
allocations and aggregates resulting from these adjustments 
shall be considered for the purposes of the Congressional 
Budget Act of 1974 as allocations and aggregates contained in 
this resolution.
    (c) Budget Committee Determinations.--For purposes of this 
resolution--
            (1) the levels of new budget authority, outlays, 
        direct spending, new entitlement authority, revenues, 
        deficits, and surpluses for a fiscal year or period of 
        fiscal years shall be determined on the basis of 
        estimates made by the appropriate Committee on the 
        Budget; and
            (2) such chairman may make any other necessary 
        adjustments to such levels, including adjustments 
        necessary, and in the House separate allocations, to 
        reflect the timing of responses to reconciliation 
        directives pursuant to sections 201 and 202 of this 
        resolution.

SEC. 406. ADJUSTMENTS TO REFLECT CHANGES IN CONCEPTS AND DEFINITIONS.

    (a) In General.--Upon the enactment of a bill or joint 
resolution providing for a change in concepts or definitions, 
the appropriate chairman of the Committee on the Budget shall 
make adjustments to the levels and allocations in this 
resolution in accordance with section 251(b) of the Balanced 
Budget and Emergency Deficit Control Act of 1985 (as in effect 
prior to September 30, 2002).
    (b) Pell Grants.--
            (1) Budget authority.--If appropriations of 
        discretionary new budget authority enacted for the 
        Federal Pell Grant Program are insufficient to cover 
        the full cost of Pell Grants in the upcoming award 
        year, adjusted for any cumulative funding surplus or 
        shortfall from prior years, the budget authority 
        counted against the bill for the Pell Grant Program 
        shall be equal to the adjusted full cost.
            (2) Application.--This subsection shall apply only 
        to new Pell Grant awards approved in legislation for 
        award year 2006-2007 and subsequent award years and 
        shall not apply to the cumulative shortfall through 
        award year 2005-2006.
            (3) Estimates.--The estimate of the budget 
        authority associated with the full cost of Pell Grants 
        shall be based on the maximum award and any changes in 
        eligibility requirements, using current economic and 
        technical assumptions and as determined pursuant to 
        scorekeeping guidelines, if any.

SEC. 407. LIMITATION ON LONG-TERM SPENDING PROPOSALS.

    (a) Congressional Budget Office Analysis of Proposals.--The 
Director of the Congressional Budget Office shall, to the 
extent practicable, prepare for each bill or joint resolution 
reported from committee (except measures within the 
jurisdiction of the Committee on Appropriations), or amendments 
thereto or conference reports thereon, an estimate of whether 
the measure would cause, relative to current law, a net 
increase in direct spending in excess of $5 billion in any of 
the four 10-year periods beginning in fiscal year 2016 through 
fiscal year 2055.
    (b) Point of Order.--In the Senate, it shall not be in 
order to consider any bill, joint resolution, amendment, 
motion, or conference report that would cause a net increase in 
direct spending in excess of $5 billion in any of the four 10-
year periods beginning in 2016 through 2055.
    (c) Waiver.--This section may be waived or suspended only 
by the affirmative vote of three-fifths of the Members, duly 
chosen and sworn.
    (d) Appeals.--An affirmative vote of three-fifths of the 
Members, duly chosen and sworn, shall be required to sustain an 
appeal of the ruling of the Chair on a point of order raised 
under this section.
    (e) Determinations of Budget Levels.--For purposes of this 
section, the levels of net direct spending shall be determined 
on the basis of estimates provided by the Committee on the 
Budget of the Senate.
    (f) Application to Reconciliation.--This section shall not 
apply to any legislation reported pursuant to reconciliation 
directions contained in a concurrent resolution on the budget.
    (g) Sunset.--This section shall expire on September 30, 
2010.

SEC. 408. COMPLIANCE WITH SECTION 13301 OF THE BUDGET ENFORCEMENT ACT 
                    OF 1990.

    (a) In General.--In the House and the Senate, 
notwithstanding section 302(a)(1) of the Congressional Budget 
Act of 1974 and section 13301 of the Budget Enforcement Act of 
1990, the joint explanatory statement accompanying the 
conference report on any concurrent resolution on the budget 
shall include in its allocation under section 302(a) of the 
Congressional Budget Act of 1974 to the Committee on 
Appropriations amounts for the discretionary administrative 
expenses of the Social Security Administration.
    (b) Special Rule.--In the House, for purposes of applying 
section 302(f) of the Congressional Budget Act of 1974, 
estimates of the level of total new budget authority and total 
outlays provided by a measure shall include any discretionary 
amounts provided for the Social Security Administration.

SEC. 409. EXERCISE OF RULEMAKING POWERS.

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

SEC. 410. TREATMENT OF ALLOCATIONS IN THE HOUSE.

    (a) In General.--In the House, the Committee on 
Appropriations may make a separate suballocation for 
appropriations for the legislative branch for the first fiscal 
year of this resolution. Such suballocation shall be deemed to 
be made under section 302(b) of the Congressional Budget Act of 
1974 and shall be treated as such a suballocation for all 
purposes under section 302 of such Act.
    (b) Display of Committee Allocations.--An allocation to a 
committee under section 302(a) of the Congressional Budget Act 
of 1974 may display an amount to reflect a committee's 
instruction under the reconciliation process, but it shall not 
constitute an allocation within the meaning of section 302 of 
such Act. Changes in levels of direct spending achieved in a 
reconciliation bill submitted pursuant to title II of this 
resolution shall not be included in current levels of new 
budget authority and outlays for purposes of enforcing an 
allocation under 302(a) of such Act.

SEC. 411. SPECIAL PROCEDURES TO ACHIEVE SAVINGS IN MANDATORY SPENDING 
                    THROUGH FY2014.

    (a) Sense of Congress.--The Congress finds that--
            (1) the share of the budget consumed by mandatory 
        spending has been growing since the mid-1970s, and now 
        is about 54 percent;
            (2) this portion of the budget is continuing to 
        grow, crowding out other priorities and threatening 
        overall budget control;
            (3) mandatory spending is intrinsically difficult 
        to control;
            (4) these programs are subject to a variety of 
        factors outside the control of Congress, such as 
        demographics, economic conditions, and medical prices;
            (5) Congress should make an effort at least every 
        other year, to review mandatory spending;
            (6) the reconciliation process set forth in the 
        Congressional Budget Act of 1974 is a viable tool to 
        reduce the rate of growth in mandatory spending; and
            (7) concurrent resolutions on the budget for fiscal 
        years 2007 through 2010 should include reconciliation 
        instructions to committees, every other year, pursuant 
        to section 310(a) of the Congressional Budget Act of 
        1974 to achieve significant savings in mandatory 
        spending.

                      TITLE V--SENSE OF THE SENATE

SEC. 501. SENSE OF THE SENATE REGARDING UNAUTHORIZED APPROPRIATIONS.

    It is the sense of the Senate that Congress should--
            (1) preclude consideration of any bill, joint 
        resolution, motion, amendment, or conference report 
        that would provide an appropriation, in whole or in 
        part, for programs not specifically authorized by law 
        or Treaty stipulation, or the amount of which exceeds 
        the amount specifically authorized by law or Treaty 
        stipulation, or that would provide a limited tax 
        benefit as defined by the Line Item Veto Act of 1996 
        (Public Law 104-130); and
            (2) determine a method for effectively containing 
        the extraordinary growth in unauthorized earmarks.

SEC. 502. SENSE OF THE SENATE REGARDING A COMMISSION TO REVIEW THE 
                    PERFORMANCE OF PROGRAMS.

    It is the sense of the Senate that a commission should be 
established to review Federal agencies, and programs within 
such agencies, including an assessment of programs on an 
accrual basis, and legislation to implement those 
recommendations, with the express purpose of providing Congress 
with recommendations, to realign or eliminate Government 
agencies and programs that are wasteful, duplicative, 
inefficient, outdated, irrelevant, or have failed to accomplish 
their intended purpose.

SEC. 503. SENSE OF THE SENATE REGARDING TRICARE.

    It is the sense of the Senate that Congress should provide 
sufficient funding to the Department of Defense to offer 
members of the Reserve Component continuous access to TRICARE, 
for a premium, regardless of their activation status.

SEC. 504. SENSE OF THE SENATE REGARDING TRIBAL COLLEGES AND 
                    UNIVERSITIES.

    It is the sense of the Senate that--
            (1) this resolution recognizes the funding 
        challenges faced by tribal colleges, and universities 
        and assumes that equitable consideration will be 
        provided to them through funding of the Tribally 
        Controlled College or University Assistance Act, the 
        Equity in Educational Land Grant Status Act, title III 
        of the Higher Education Act of 1965, and the National 
        Science Foundation, Department of Defense, and Housing 
        and Urban Development Tribal College and University 
        Programs; and
            (2) such equitable consideration reflects the 
        intent of Congress to continue to work toward statutory 
        Federal funding authorization goals for tribal colleges 
        and universities.

SEC. 505. SENSE OF THE SENATE REGARDING SOCIAL SECURITY RESTRUCTURING.

    It is the sense of the Senate that--
            (1) the President, the Congress, and the American 
        people including seniors, workers, women, minorities, 
        and disabled persons should work together at the 
        earliest opportunity to enact legislation to achieve a 
        solvent and permanently sustainable Social Security 
        system;
            (2) Social Security reform must--
                    (A) protect current and near retirees from 
                any changes to Social Security benefits;
                    (B) reduce the pressure on future taxpayers 
                and on other budgetary priorities;
                    (C) provide benefit levels that adequately 
                reflect individual contributions to the Social 
                Security system; and
                    (D) preserve and strengthen the safety net 
                for vulnerable populations including the 
                disabled and survivors.

SEC. 506. SENSE OF THE SENATE REGARDING FUNDING FOR SUBSONIC AND 
                    HYPERSONIC AERONAUTICS RESEARCH BY THE NATIONAL 
                    AERONAUTICS AND SPACE ADMINISTRATION.

    It is the sense of the Senate that--
            (1) the level of funding provided for the 
        Aeronautics Mission Directorate within the National 
        Aeronautics and Space Administration should be 
        increased by $1,582,700,000 between fiscal year 2006 
        and fiscal year 2010; and
            (2) the increases provided should be applied to the 
        Vehicle Systems portion of the Aeronautics Mission 
        Directorate budget for use in subsonic and hypersonic 
        aeronautical research.

SEC. 507. SENSE OF THE SENATE REGARDING THE ACQUISITION OF THE NEXT 
                    GENERATION DESTROYER (DDX).

    (a) Sense of the Senate.--It is the sense of the Senate 
that--
            (1) it is ill-advised for the Department of Defense 
        to pursue a winner-take-all strategy for the 
        acquisition of destroyers under the next generation 
        destroyer (DDX) program; and
            (2) the amounts identified in this resolution 
        assume that the Department of Defense will not acquire 
        any destroyer under the next generation destroyer 
        program through a winner-take-all strategy.
    (b) Winner-Take-All Strategy Defined.--In this section, the 
term ``winner-take-all strategy'', with respect to the 
acquisition of destroyers under the next generation destroyer 
program, means the acquisition (including design and 
construction) of such destroyers through a single shipyard.
      And the Senate agree to the same.

                                   Jim Nussle,
                                   Jim Ryun,
                                 Managers on the Part of the House.

                                   Judd Gregg,
                                   Pete Domenici,
                                   Chuck Grassley,
                                   Wayne Allard,
                                Managers on the Part of the Senate.
       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

      The managers on the part of the House and the Senate at 
the conference on the disagreeing votes of the two Houses on 
the amendment of the Senate to the concurrent resolution (H. 
Con. Res. 95), establishing the congressional budget for the 
United States Government for fiscal year 2006 revising 
appropriate budgetary levels for fiscal year 2005, and setting 
forth appropriate budgetary levels for fiscal years 2007 
through 2010, submit the following joint statement to the House 
and the Senate in explanation of the effect of the action 
agreed upon by the managers and recommended in the accompanying 
conference report:
      The Senate amendment struck all of the House bill after 
the enacting clause and inserted a substitute text.
      The House recedes from its disagreement to the amendment 
of the Senate with an amendment that is a substitute for the 
House bill and the Senate amendment. The differences between 
the House bill, the Senate amendment, and the substitute agreed 
to in conference are noted below, except for clerical 
corrections, conforming changes made necessary by agreements 
reached by the conferees, and minor drafting and clarifying 
changes.

                          DISPLAYS AND AMOUNTS

      The required contents of concurrent budget resolutions 
are set forth in section 301(a) of the Congressional Budget Act 
of 1974. The years in this document are fiscal years unless 
otherwise noted.
      Both the House-passed and Senate-passed budget 
resolutions, as well as this conference report, retain the 
conventional budget function structure of past resolutions. 
These amounts are not binding; they are intended to provide an 
overall accounting of estimated spending requirements and 
priorities according to major categories of government 
activities. The budget resolution is the only legislative 
vehicle that reflects such a global assessment of the demands 
on Federal resources.
      The treatment of budget function levels in the respective 
budget resolutions and the conference report is as follows:

                            HOUSE RESOLUTION

      In the House resolution, the discretionary amounts in 
each function (amounts controlled through the annual 
appropriations process) are, in general, the President's 
recommended functional levels, for the budget year and the 
outyears, as re-estimated by the Congressional Budget Office 
[CBO]. In certain functions, the discretionary figures are 
modified to account for congressional policy judgments.
      For mandatory spending--spending not controlled by annual 
appropriations--the amounts in the function are, in general, 
current-law levels as estimated by CBO. In some cases, these 
levels are adjusted to accommodate certain legislative 
initiatives. In addition, the Allowances function (Function 
920) calls for a reduction in total projected mandatory 
spending of $68 billion over 5 years, to be achieved through 
the reconciliation process (see title II). Although specific 
amounts of the total savings are assigned to specific 
authorizing committees in reconciliation, the savings amounts 
are not allocated among specific budget functions. The intent 
is to assure the widest possible discretion among authorizing 
committees. Although each authorizing committee in 
reconciliation is assigned a savings amount, nothing in the 
budget functions constrains any committee's policy choices to 
achieve those savings.
      The House resolution also adjusts levels for the current 
year, fiscal year 2005, to accommodate $81.1 billion in 
supplemental funding for military operations in Iraq and 
Afghanistan, and other enacted legislation.

                            SENATE AMENDMENT

      The Senate amendment includes all the items required 
under section 301(a) of the Congressional Budget Act. The 
Senate amendment sets ``first-year'' levels for both 2005 and 
2006, as the conference report on the 2005 budget resolution 
was not adopted by the Senate.

                          CONFERENCE AGREEMENT

      In the conference agreement, discretionary spending 
amounts are generally the President's recommended levels, for 
the budget year and the outyears, as re-estimated by CBO. In 
certain functions, the discretionary figures are modified to 
account for congressional policy judgments.
      For mandatory spending, the functional amounts are 
generally current-law levels as estimated by CBO. In some 
cases, these levels are adjusted to accommodate certain 
legislative initiatives. In addition, the Allowances function 
(Function 920) calls for a reduction in total projected 
mandatory spending outlays of $34.7 billion over 5 years, to be 
achieved through the reconciliation process (see title II). 
Although specific portions of this savings amount are assigned 
to specific authorizing committees in reconciliation, the 
savings amounts are not allocated among budget functions. The 
intent is to assure the widest possible discretion among 
authorizing committees. Although each authorizing committee in 
reconciliation is assigned a savings amount, nothing in the 
budget functions constrains any committee's policy choices to 
achieve those savings.
      The conference agreement also adjusts levels for the 
current year, fiscal year 2005, to accommodate $81.9 billion in 
supplemental funding for military operations in Iraq and 
Afghanistan.

                     AGGREGATE AND FUNCTION LEVELS

      The following tables are included in this section:
Conference Report on the Fiscal Year 2006 Budget Resolution: 
        Total Spending and Revenues.
Conference Report on the Fiscal Year 2006 Budget Resolution: 
        Discretionary Spending
Conference Report on the Fiscal Year 2006 Budget Resolution: 
        Mandatory Spending
House-Passed Fiscal Year 2006 Budget Resolution: Total Spending 
        and Revenues
House-Passed Fiscal Year 2006 Budget Resolution: Discretionary 
        Spending
House-Passed Fiscal Year 2006 Budget Resolution: Mandatory 
        Spending
Senate-Passed Fiscal Year 2006 Budget Resolution: Total 
        Spending and Revenues
Senate-Passed Fiscal Year 2006 Budget Resolution: Discretionary 
        Spending
Senate-Passed Fiscal Year 2006 Budget Resolution: Mandatory 
        Spending

                         FUNCTIONS AND REVENUES

      Pursuant to section 301(a)(3) of the Budget Act, the 
budget resolution must set appropriate levels for each major 
functional category based on the 302(a) allocations and the 
budgetary totals.
      The respective levels of the House resolution, the Senate 
amendment, and the Conference Agreement for each major budget 
function, as well as revenue totals, are discussed in the 
following section. A summary of the overall budget policy is as 
follows:
      Total spending is $2.562 trillion in budget authority 
[BA] and $2.577 trillion in outlays in fiscal year 2006, and 
$13.878 trillion in BA and $13.840 trillion in outlays over 
2006-10.
      Discretionary spending for fiscal year 2006 totals $843.0 
billion in BA and $947.3 billion in outlays. These two 
aggregate amounts (minus cap adjustments in the Senate) are 
allocated to the Appropriations Committees to be suballocated 
among their respective appropriations subcommittees. This sum 
can accommodate the President's recommendation for $419.5 
billion for national defense, $32.5 billion for homeland 
security, and $391.1 billion for other discretionary spending. 
The total excludes a sum of $50 billion toward supplemental 
funding for military operations in Iraq and Afghanistan.
      Mandatory spending totals $1.669 trillion in BA and 
$1.598 trillion in outlays in fiscal year 2006, and $9.401 
trillion in BA and $9.068 trillion in outlays over 2006-10. 
This includes $34.7 billion in reconciled mandatory outlay 
savings over the 5-year period. The total of these savings is 
reflected in Function 920, and divided among authorizing 
committees in the reconciliation directives of this conference 
report. Specific policies will be determined by the committees 
of jurisdiction.
      Revenue totals $2.195 trillion in fiscal year 2006, and 
$12.440 trillion over 5 years. The conference agreement 
includes tax reductions of $17.8 billion in fiscal year 2006, 
and $105.7 billion over 5 years. Of these amounts, the 
agreement reconciles $11.0 billion in tax reduction in 2006, 
and $70.0 billion over 5 years. The conference report assumes 
that tax rates are not increased (as they would be under 
current law). Specific tax relief policies will be determined 
by the Committee on Ways and Means in the House, and the 
Committee on Finance in the Senate.
      The conference report reduces the budget deficit from 
$382.7 billion (3.0 percent of gross domestic product [GDP]) in 
fiscal year 2006, to $210.9 billion (1.3 percent of GDP) in 
2010.
      The following section describes the conference report's 
revenue and spending levels according to the budget's 
functional categories.

                                Revenue

                                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; and other taxes, such as estate and 
gift taxes. 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 tax portion of Medicare, the 
Federal Unemployment Tax Act [FUTA] payroll tax, railroad 
retirement and other retirement systems) are all on budget. 
Customs duties, tariffs, and other miscellaneous receipts also 
are included in the revenue function. 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.

                            HOUSE RESOLUTION

      The budget resolution calls for $1.590 trillion in on-
budget revenue for fiscal year 2006, and $9.080 trillion over 
2006-10. Total revenue in the budget resolution is $2.195 
trillion for fiscal year 2006 and $12.441 trillion over 2006-
10. The resolution assumes tax reductions of $16.623 billion 
for fiscal year 2006 and $105.715 billion over 2006-10--
principally the result of preventing automatic tax increases 
that otherwise would occur. Of these amounts, the resolution 
reconciles $16.623 in tax reduction in 2006, and $45.0 billion 
over 5 years.
      For a complete summary of the House-passed revenue 
levels, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate-passed budget resolution includes $1.589 
trillion in on budget revenue for 2006, and $9.057 trillion 
over 2006-10. Total revenue in the budget resolution is $2.193 
trillion for fiscal year 2006 and $12.418 trillion over 2006-
10. The resolution assumes policies with a revenue impact of 
$19.016 billion for fiscal year 2006 and $128.580 billion over 
2006-10. The Senate resolution assumes that tax rates are not 
increased (as they would be under current law). The resolution 
assumes a modest reduction in revenues, relative to the 
baseline, that balances the need for fiscal responsibility with 
the need to continue the modest tax rates necessary for 
economic growth and job creation.
      During Senate consideration of the budget resolution, the 
Senate adopted the Bunning amendment, which reduced revenues by 
$63.9 billion over 2006-10, and the Kennedy amendment, which 
increased revenues by $5.5 billion over 2006-10.

                          CONFERENCE AGREEMENT

      The conference agreement includes $1.6 trillion in on-
budget revenue for 2006, and $9.1 trillion over 2006-10. Total 
revenue is $2.2 trillion for fiscal year 2006 and $12.4 
trillion over 2006-10. The agreement includes tax reductions of 
$17.8 billion for fiscal year 2006 and $105.7 billion over 
2006-10. Of these, the agreement reconciles $11.0 billion in 
revenue reductions in fiscal year 2006, and $70.0 billion over 
2006-10.
      The conference report assumes that tax rates are not 
increased (as they would be under current law). Specific tax 
relief policies will be determined by the Committee on Ways and 
Means in the House, and the Committee on Finance in the Senate.

                     National Defense: Function 050

                            FUNCTION SUMMARY

      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; the remaining 
funding in the function applies to atomic energy defense 
activities of the Department of Energy, and other defense-
related activities.

                            HOUSE RESOLUTION

      The resolution calls for a total of $441.6 billion in BA 
and $475.6 billion in outlays in fiscal year 2006, and $2,408.2 
billion in BA and $2,402.4 billion in outlays over 5 years. The 
outlay figures include the fiscal year 2005 supplemental. 
Elsewhere (in Function 920) the resolution includes $50 billion 
for fiscal year 2006 in anticipation of additional needs in 
Afghanistan, Iraq, and the global war on terrorism. For a 
complete summary of the House-passed function levels, including 
the discretionary and mandatory spending breakdown, see H. 
Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $491.6 billion 
in BA and $496.1 billion in outlays in fiscal year 2006, and 
$2,458 billion in BA and $2,450.8 billion in outlays over 5 
years. These totals include an anticipated fiscal year 2006 
supplemental appropriation.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. These levels 
accommodate the President's request for national defense. 
Elsewhere (in Function 920) the agreement includes $50 billion 
for fiscal year 2006 in anticipation of additional needs in 
Afghanistan, Iraq, and the global war on terrorism. (The 
agreement also adjusts the Function 920 levels for the current 
year, fiscal year 2005, to accommodate $81.9 billion in 
supplemental funding for military operations in Iraq and 
Afghanistan, and other enacted legislation.)
      The mandatory figures reflect the Congressional Budget 
Office [CBO] baseline levels.
      The conference conferees understand the Navy may review 
whether advance appropriations can improve its procurement of 
ships and provide savings as it designs its 2007 budget. In 
addition, the conferees intend to request the Government 
Accountability Office [GAO] to assess the implications of using 
advance appropriations to procure ships.

                  International Affairs: Function 150

                            FUNCTION SUMMARY

      This function includes international development and 
humanitarian assistance; international security assistance; the 
conduct of foreign affairs; foreign information and exchange 
activities; and international financial programs. The major 
agencies in this function include the Department of 
Agriculture, the Department of State, the Department of the 
Treasury, the United States Agency for International 
Development, and the Millennium Challenge Corporation.

                            HOUSE RESOLUTION

      The resolution calls for $31.7 billion in BA and $35.2 
billion in outlays in fiscal year 2006, and $171.9 billion in 
BA and $164.6 billion in outlays over 5 years. The function 
totals are $171.9 billion in BA and $164.6 billion in outlays 
over 5 years. The discretionary component of these amounts is 
the President's recommended level, as re-estimated by the 
Congressional Budget Office, with the following adjustments: 
the starting level was reduced by $1.2 billion; and a further 
reduction was made with the adoption of the Bradley amendment, 
which shifted $229 million in fiscal year 2006 and $1.15 
billion over 5 years to function 700 to provide for an increase 
in the Department of Veterans Affairs' medical care funding.
      For a complete summary of the House-passed function 
levels, including the discretionary and mandatory spending 
breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $32.9 billion in 
BA and $35.4 billion in outlays in fiscal year 2006, and $180.6 
billion in BA and $171.2 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Mandatory spending 
figures are the CBO baseline levels.
      The conference agreement recognizes the importance of the 
Global Fund and its role in eradicating HIV/AIDS, tuberculosis, 
and malaria and encourages the Appropriations Committees to 
ensure the U.S. is able to donate the maximum allowed (a one-
to-two ratio for U.S./international contributions) by law 
(Public Law 108-25).

          General Science, Space, and Technology: Function 250

                            FUNCTION SUMMARY

      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. The function also contains general science 
funding, including the budgets for the National Science 
Foundation, and the fundamental science programs of the 
Department of Energy.

                            HOUSE RESOLUTION

      The resolution calls for a total of $24.7 billion in BA 
and $23.9 billion in outlays in fiscal year 2006, and $127.5 
billion in budget authority and $124.2 billion in outlays over 
5 years. Within Function 250, the Budget Committee assumes full 
funding of the President's request for NASA. For a complete 
summary of the House-passed function levels, including the 
discretionary and mandatory spending breakdown, see H. Rept. 
109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $24.7 billion in 
BA and $23.9 billion in outlays in fiscal year 2006, and $128.3 
billion in BA and $124.9 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

       The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears are the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending reflects the CBO baseline levels.

                          Energy: Function 270

                            FUNCTION SUMMARY

      This function includes civilian energy and environmental 
programs of the Department of Energy [DOE] (it does not include 
DOE's national security activities--the National Nuclear 
Security Administration--which are in Function 050, or its 
basic research and science activities, which are in Function 
250). Function 270 also includes the Rural Utilities Service of 
the Department of Agriculture, the Tennessee Valley Authority, 
the Federal Energy Regulatory Commission, and the Nuclear 
Regulatory Commission.

                            HOUSE RESOLUTION

      The resolution ca11s for a total of $3.1 billion in 
budget authority and $2.0 billion in outlays in fiscal year 
2006, and $11.8 billion in budget authority and $5 billion in 
outlays over 5 years. The resolution could accommodate a 
comprehensive energy bill. This is reflected in the allocation 
to the Committee on Energy and Commerce, which is free to 
determine its own policies within the allocation limits. For a 
complete summary of the House-passed function levels, including 
the discretionary and mandatory spending breakdown, see H. 
Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $3.2 billion in 
BA and $2.1 billion in outlays in fiscal year 2006, and $13.8 
billion in BA and $7.0 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears are the 
President's recommended levels, as re-estimated by CBO. The 
mandatory spending figures reflect the CBO baseline, adjusted 
to accommodate the spending components of a comprehensive 
energy bill. The conference agreement also includes a reserve 
fund in the Senate for such legislation. In addition, the 
agreement includes mandatory levels in Function 920 
(Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

            Natural Resources and Environment: Function 300

                            FUNCTION SUMMARY

      The Natural Resources and Environment function consists 
of water resources, conservation, land management, pollution 
control and abatement, and recreational resources. Major 
departments and agencies in this function are the Department of 
the Interior, including the National Park Service, the Bureau 
of Land Management, the Bureau of Reclamation, and the Fish and 
Wildlife Service; conservation-oriented and land management 
agencies within the Department of Agriculture including the 
Forest Service; the National Oceanic and Atmospheric 
Administration in the Department of Commerce; the Army Corps of 
Engineers; and the Environmental Protection Agency.

                            HOUSE RESOLUTION

      The resolution calls for a total of $30.5 billion in 
budget authority and $32.3 billion in outlays in fiscal year 
2006, and $155.3 billion in budget authority and $161.6 billion 
in outlays over 5 years. The discretionary level in this 
function for fiscal year 2006 is the President's recommended 
level, as re-estimated by the Congressional Budget Office, with 
an increase to accommodate additional budget authority. For a 
complete summary of the House-passed function levels, including 
the discretionary and mandatory spending breakdown, see H. 
Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $30.0 billion in 
BA and $32.0 billion in outlays in fiscal year 2006, and $152.5 
billion in BA and $159.0 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears are the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending reflects the CBO baseline levels, with an 
adjustment to accommodate several small environmental and 
resource-related initiatives. In addition, the conference 
agreement includes mandatory levels in Function 920 
(Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

                       Agriculture: Function 350

                            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.
      Homeland security spending in this function includes 
funding for the Department of Agriculture and the Department of 
Homeland Security (including the Agriculture and Plant Health 
Inspection Service).

                            HOUSE RESOLUTION

      The resolution calls for $29.5 billion in budget 
authority and $28.5 billion in outlays in fiscal year 2006, and 
$133.1 billion in budget authority and $128.3 billion in 
outlays over 5 years. For a complete summary of the House-
passed function levels, including the discretionary and 
mandatory spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $29.1 billion in 
BA and $28.1 billion in outlays in fiscal year 2006, and $129.3 
billion in BA and $124.4 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears are the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending reflects the CBO baseline levels. In 
addition, the conference agreement includes mandatory levels in 
Function 920 (Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

               Commerce and Housing Credit: Function 370

                            FUNCTION SUMMARY

      The Commerce and Housing Credit function includes four 
components: mortgage credit (usually negative budget authority 
because receipts tend to exceed the losses from defaulted 
mortgages); the Postal Service (mostly off budget); deposit 
insurance; 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, 
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, the Bureau of Economic Analysis, the 
Patent and Trademark Office, the National Institute of 
Standards and Technology, the National Telecommunications and 
Information Administration, and the Bureau of the Census; as 
well as independent agencies such as the Securities and 
Exchange Commission, the Commodity Futures Trading Commission, 
the Federal Trade Commission, the Federal Communications 
Commission, and the majority of the Small Business 
Administration.
      More than two-thirds of the spending in Function 370 is 
out of the FCC's Universal Service Fund. This fund collects 
receipts (which appear in roughly offsetting amounts on the 
revenue side of the budget) raised by certain 
telecommunications operators from charges on their customers to 
promote service to low-income users and high-cost areas, as 
well as new services.

                            HOUSE RESOLUTION

      For on-budget amounts, the resolution calls for $10.8 
billion in budget authority and $5.6 billion in outlays in 
fiscal year 2006, and $56.1 billion in budget authority and 
$24.9 billion in outlays over 5 years. For a complete summary 
of the House-passed function levels, including the 
discretionary and mandatory spending breakdown, see H. Rept. 
109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $5.8 billion in 
BA and $0.5 billion in outlays in fiscal year 2006, and $33.4 
billion in BA and $3.2 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears are the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending reflects the CBO baseline levels. In 
addition, the conference agreement includes mandatory levels in 
Function 920 (Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

                      Transportation: Function 400

                            FUNCTION SUMMARY

      The Transportation function includes ground, air, water 
and other transportation funding. The major agencies and 
programs in this function include the Department of 
Transportation (including the Federal Aviation Administration; 
the Federal Highway Administration; the Federal Transit 
Administration; highway, motor carrier, rail and pipeline 
safety programs; and the Maritime Administration), the 
aeronautical activities of the National Aeronautics and Space 
Administration, and the National Railroad Passenger 
Corporation.
      Homeland security spending in this function includes 
funding for the Department of Homeland Security (including the 
Federal Air Marshals, the Transportation Security 
Administration and the U.S. Coast Guard) and the Department of 
Transportation.

                            HOUSE RESOLUTION

      The resolution calls for $70.0 billion in budget 
authority and $70.4 billion in outlays in fiscal year 2006, and 
$353.8 billion in budget authority and $369.8 billion in 
outlays over 5 years. The mandatory component consists of CBO 
baseline levels adjusted to accommodate the anticipated 
reauthorization of TEA-21. For a complete summary of the House-
passed function levels, including the discretionary and 
mandatory spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $69.7 billion in 
BA and $69.8 billion in outlays in fiscal year 2006, and $379.6 
billion in BA and $368.6 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. The conference 
agreement reflects funding levels for fiscal years 2005-09 
consistent with a $284-billion surface transportation bill. The 
agreement also includes a contingency procedure should 
additional resources be made available to the Highway Trust 
Fund. In addition, the conference agreement includes mandatory 
levels in Function 920 (Allowances). These levels reflect the 
sum of the reconciliation savings targets set for authorizing 
committees to achieve in spending programs under their 
jurisdictions. How these changes would affect programs in 
various functions will depend on the actual reconciliation 
legislation that is enacted.

            Community and Regional Development: Function 450

                            FUNCTION SUMMARY

      The Community and Regional Development function 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.
      Homeland Security spending in this function includes the 
State and Local Government grant programs of the Department of 
Homeland Security.

                            HOUSE RESOLUTION

      The resolution calls for a total of $14.2 billion in 
budget authority [BA] and $18.5 billion in outlays in fiscal 
year 2006, and $71.5 billion in BA and $80.2 billion in outlays 
over 5 years. The discretionary component of these amounts was 
increased in fiscal year 2006 to accommodate higher 
appropriations for programs such as the Community Development 
Block Grant. For a complete summary of the House-passed 
function levels, including the discretionary and mandatory 
spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $15.2 billion in 
BA and $18.4 billion in outlays in fiscal year 2006, and $68.4 
billion in BA and $78.4 billion in outlays over 5 years, 
including an amendment adopted on the Senate floor to increase 
the levels in this function by $1.5 billion above the 
President's request for the CDBG program, and other related 
economic and community development programs, in 2006.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. The discretionary 
levels for both the budget year and the outyears are the 
President's recommended levels, as re-estimated by CBO, with 
the following adjustment: the levels are $1.5 billion higher 
than the President's request to maintain economic and community 
development programs such as CDBG at 2005 levels. Mandatory 
spending levels reflect the CBO baseline. In addition, the 
conference agreement includes mandatory levels in Function 920 
(Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

   Education, Training, Employment and Social Services: Function 500

                            FUNCTION SUMMARY

      The function titled Education, Training, Employment, and 
Social Services primarily covers Federal spending within the 
Departments of Education, Labor, and Health and Human Services 
for programs that directly provide--or assist States and 
localities in providing--services to young people and adults. 
Its activities provide developmental services to low-income 
children; support programs for disadvantaged and other 
elementary and secondary school students; make grants and loans 
to post secondary students; and maintain job-training and 
employment services.

                            HOUSE RESOLUTION

      The resolution calls for $92.0 billion in budget 
authority and $91.0 billion in outlays in fiscal year 2006, and 
$451.7 billion in budget authority and $446.7 billion in 
outlays over 5 years. For a complete summary of the House-
passed function levels, including the discretionary and 
mandatory spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $98.4 billion in 
BA and $88.5 billion in outlays for fiscal year 2006, and 
$460.0 billion in BA and $450.3 billion in outlays over 5 
years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears reflect the 
President's recommended levels, as re-estimated by CBO, with 
the following adjustments: the discretionary levels are 
increased by $1.04 billion in BA in fiscal year 2006 for 
Department of Education programs. These increases include $0.6 
billion above the President's request to maintain funding for 
Community Development Block Grants at 2005 levels, and an 
additional $0.4 billion to accommodate a $100 increase in Pell 
Grants in 2006. Mandatory spending levels reflect the CBO 
baseline, adjusted to support state-based abstinence grants. 
The conference agreement also includes a reserve fund to 
accommodate potential legislation addressing the shortfall in 
BA in the Pell Grant Program, and procedures modifying the 
budgetary treatment of Pell Grant funding. In addition, the 
conference agreement includes mandatory levels in Function 920 
(Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.
      Although the Congress strongly supports the Federal 
student loan programs, it is increasingly concerned that the 
subsidy estimates for the Ford Direct Loan Program do not 
reflect the program's true cost to the Federal Government. For 
example, the President's 2006 budget reveals that although the 
program was expected to result in a net savings of $2 billion 
from its inception through fiscal year 2004, the actual 
experience is that the program resulted in a net cost to 
taxpayers of $3 billion over the same period. This represents a 
$5-billion underestimate of the program's actual cost to 
taxpayers over roughly 10 years. Accordingly, the Congress 
supports the administration's continuing efforts to direct the 
Department of Education to refine and improve its cost 
estimating techniques for this program.
      The Congress believes it is important for estimates to be 
corrected for all known deficiencies so that the decision 
makers have sufficient information to compare the cost to 
taxpayers of competing policy options, and large-scale 
structural reform proposals, in the student loan programs.

                          Health: Function 550

                            FUNCTION SUMMARY

      This 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 the National Institutes of Health [NIH] and substance 
abuse prevention and treatment; and consumer and occupational 
health and safety, including the Occupational Safety and Health 
Administration. Medicaid represents 71 percent of the spending 
in this function.
      Homeland security activities and agencies in this 
category include Project Bioshield, the National Institutes of 
Health, the National Institute of Allergy and Infectious 
Diseases, the Food Safety and Inspection Service, and the Food 
and Drug Administration.

                            HOUSE RESOLUTION

      The resolution calls for a total of $262.2 billion in BA 
and $262.5 billion in outlays in fiscal year 2006, and $1,486 
billion in BA and $1,480.3 billion in outlays over 5 years. For 
a complete summary of the House-passed function levels, 
including the discretionary and mandatory spending breakdown, 
see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $264.0 billion 
in BA and $264.3 billion in outlays in fiscal year 2006, and 
$1,489.3 billion in BA and $1,483.2 billion in outlays over 5 
years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels for both the budget year and the outyears reflect the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending levels reflect the CBO baseline, and the 
conference agreement contains reserve funds for the Family 
Opportunity Act and for health coverage for the uninsured. The 
agreement also contains reserve funds in the Senate for 
importation of prescription drugs, for the restoration of funds 
for the State Children's Health Insurance Program, and for 
health information technology and pay-for-performance. In 
addition, the conference agreement includes mandatory levels in 
Function 920 (Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted. No savings are assumed in fiscal year 2006 in the 
Medicaid Program.

                         Medicare: Function 570

                            FUNCTION SUMMARY

      This function consists entirely of the Medicare Program. 
It reflects the Medicare Part A Hospital Insurance [HI] 
Program, Part B Supplementary Medical Insurance [SMI] Program, 
Part C Medicare Advantage Program, and Part D Prescription Drug 
Benefit, as well as premiums paid by qualified aged and 
disabled beneficiaries. On 8 December 2003, Congress and the 
President enacted the Medicare Prescription Drug, Improvement, 
and Modernization Act [MMA]. MMA changed Medicare Part C from 
the Medicare+Choice Program to the Medicare Advantage Program 
and added the Part D Prescription Drug Benefit to the Medicare 
Program.

                            HOUSE RESOLUTION

      The resolution calls for $331.2 billion in budget 
authority and $330.9 billion in outlays in fiscal year 2006, 
and $1,966.7 billion in budget authority and $1,966.7 billion 
in outlays over 5 years. For a complete summary of the House-
passed function levels, including the discretionary and 
mandatory spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $331.2 billion 
in BA and $331.0 billion in outlays in fiscal year 2006, and 
$1,966.9 billion in BA and $1,967.0 billion in outlays over 5 
years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. The discretionary 
spending levels reflect the President's recommended levels, as 
re-estimated by CBO. The mandatory figures reflect CBO baseline 
levels.

                     Income Security: Function 600

                            FUNCTION SUMMARY

      The Income Security function 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; spending for the 
refundable portion of the Earned Income Credit; and the Low 
Income Home Energy Assistance Program.

                            HOUSE RESOLUTION

      The resolution calls for $347.2 billion in budget 
authority and $354.1 billion in outlays in fiscal year 2006, 
and $1,823.1 billion in budget authority and $1,850.0 billion 
in outlays over 5 years. The discretionary component for fiscal 
year 2006 is the President's recommended level, as re-estimated 
by the Congressional Budget Office, reduced by $0.1 billion to 
accommodate increased funding for community and regional 
development programs in Function 450. For a complete summary of 
the House-passed function levels, including the discretionary 
and mandatory spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $347.4 billion 
in BA and $353.4 billion in outlays in fiscal year 2006, and 
$1,824.9 billion in BA and $1,846.4 billion in outlays over 5 
years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels, for both the budget year and the outyears, reflect the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending reflects the CBO baseline levels, adjusted 
to accommodate reauthorization of Temporary Assistance for 
Needy Families. In addition, the conference agreement includes 
mandatory levels in Function 920 (Allowances). These levels 
reflect the sum of the reconciliation savings targets set for 
authorizing committees to achieve in spending programs under 
their jurisdictions. How these changes would affect programs in 
various functions will depend on the actual reconciliation 
legislation that is enacted.

                     Social Security: Function 650

                            FUNCTION SUMMARY

      This function consists of the Social Security Program, or 
Old Age, Survivors, and Disability Insurance [OASDI]. It is the 
largest budget function in terms of outlays, and provides funds 
for the Government's largest entitlement program. Under 
provisions of the Congressional Budget Act and the Budget 
Enforcement Act, Social Security trust funds are considered to 
be off budget. But a small portion of spending within Function 
650--including general fund transfers of taxes paid on Social 
Security benefits--is on budget. The presentations below, 
therefore, refer to only the on-budget portion of Function 650.

                            HOUSE RESOLUTION

      The resolution calls for $15.9 billion in on-budget 
budget authority and $15.9 billion in outlays in fiscal year 
2006, and $99.1 billion in budget authority and $99.1 billion 
in outlays over 5 years. (The corresponding unified budget 
totals would be $547.0 billion and $544.9 billion in outlays in 
fiscal year 2006, and $3,020.2 billion in BA and $3,007.4 
billion in outlays over 5 years.) For a complete summary of the 
House-passed function levels, including the discretionary and 
mandatory spending breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a unified total of $546.8 
billion in BA and $544.8 billion in outlays in fiscal year 
2006, and $3,021.3 billion in BA and $3,008.4 billion in 
outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. The unified 
discretionary spending levels, for both the budget year and the 
outyears, are at the CBO baseline levels. The mandatory 
spending figures reflect the CBO baseline levels.

              Veterans Benefits and Services: Function 700

                            FUNCTION SUMMARY

      This 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 24.8 million veterans.

                            HOUSE RESOLUTION

      The resolution calls for $68.9 billion in budget 
authority and $68.1 billion in outlays in fiscal year 2006, and 
$344.7 billion in budget authority and $342.9 billion in 
outlays over 5 years. The discretionary component reflects an 
increase over the President's level, as re-estimated by the 
Congressional Budget Office. Specifically, the Chairman's Mark 
increased budget authority over the President's recommended 
levels by $68 million in fiscal year 2006 and $609 million over 
the period 2006-10. In addition, during markup, the Budget 
Committee adopted an amendment by Mr. Bradley further 
increasing budget authority by $229 million for fiscal year 
2006 and $1.145 billion over the period 2006-10. As a result, 
the reported resolution includes an increase in total veterans 
budget authority of $297 million in fiscal year 2006 over the 
President's request.
      For a complete summary of the House-passed function 
levels, including the discretionary and mandatory spending 
breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $69.0 billion in 
BA and $68.4 billion in outlays in fiscal year 2006, and $344.7 
billion in BA and $343.0 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. The discretionary 
spending levels, for both the budget year and the outyears, 
reflect the President's recommended levels, as re-estimated by 
CBO, with the following adjustments: the levels are increased 
to provide for an additional $410 million in BA Veterans' 
Medical Care in fiscal year 2006.
      Mandatory spending figures reflect the CBO baseline 
levels.

                Administration of Justice: Function 750

                            FUNCTION SUMMARY

      This function supports the majority of Federal justice 
and law enforcement programs and activities. This includes 
funding for the Department of Justice, 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.
      Homeland security spending in this function includes 
funding for the law enforcement and border protection 
activities of the Department of Homeland Security and the 
counterterrorism activities of the Department of Justice and 
the Department of the Treasury.

                            HOUSE RESOLUTION

      The resolution calls for $40.8 billion in budget 
authority and $42.3 billion in outlays in fiscal year 2006, and 
$209.7 billion in budget authority and $213 billion in outlays 
over 5 years. The discretionary component for fiscal year 2006 
is the President's recommended level, as re-estimated by the 
Congressional Budget Office, with an adjustment for the Federal 
Judiciary to grow at the rate of inflation. For a complete 
summary of the House-passed function levels, including the 
discretionary and mandatory spending breakdown, see H. Rept. 
109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $42.0 billion in 
BA and $42.9 billion in outlays in fiscal year 2006, and $213.0 
billion in BA and $216.0 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels, for both the budget years and the outyears, reflect the 
President's recommended levels, as re-estimated by CBO. The 
conference agreement also contains a reserve fund in the Senate 
for the Asbestos Injury Trust Fund. Mandatory spending figures 
reflect the CBO baseline. In addition, the conference agreement 
includes mandatory levels in Function 920 (Allowances). These 
levels reflect the sum of the reconciliation savings targets 
set for authorizing committees to achieve in spending programs 
under their jurisdictions. How these changes would affect 
programs in various functions will depend on the actual 
reconciliation legislation that is enacted.

                    General Government: Function 800

                            FUNCTION SUMMARY

      General Government consists of the activities of the 
Legislative Branch; the Executive Office of the President; 
general tax collection and fiscal operations of the Department 
of the Treasury (including the Internal Revenue Service); the 
Office of Personnel Management, and the property and personnel 
costs of the General Services Administration; general purpose 
fiscal assistance to States, localities, the District of 
Columbia, and U.S. territories; and other general Government 
activities.

                            HOUSE RESOLUTION

      The resolution calls for $18 billion in budget authority 
and $18.3 billion in outlays in fiscal year 2006, and $88.5 
billion in budget authority and $88.5 billion in outlays over 5 
years. For a complete summary of the House-passed function 
levels, including the discretionary and mandatory spending 
breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $18.1 billion in 
BA and $18.4 billion in outlays in fiscal year 2006, and $91.8 
billion in BA and $91.6 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. Discretionary spending 
levels, for both the budget year and the outyears, reflect the 
President's recommended levels, as re-estimated by CBO, with 
adjustments to accommodate changes in Function 500, Education, 
Labor, Employment, and Social Services; and in Function 650, 
Social Security. Mandatory spending figures reflect the CBO 
baseline, adjusted for several intergovernmental provisions. 
The conference agreement also contains a reserve fund in the 
House of Representatives for Federal property disposal. In 
addition, the conference agreement includes mandatory levels in 
Function 920 (Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

                       Net Interest: Function 900

                            FUNCTION SUMMARY

      This function includes net interest, which is the 
interest paid on the Federal Government's borrowing less the 
interest received by the Federal Government from trust fund 
investments and loans to the public. It is a mandatory payment, 
with no discretionary components.

                            HOUSE RESOLUTION

      The resolution calls for $214.0 billion in unified budget 
authority and outlays in fiscal year 2006, and $1,357.9 billion 
in budget authority and outlays over 5 years. For a complete 
summary of the House-passed function levels, see H. Rept. 109-
17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of $214.0 billion 
in BA and $214.0 billion in outlays in fiscal year 2006, and 
$1,365.5 billion in BA and $1,365.5 billion in outlays over 5 
years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. No mandatory 
assumptions are reflected in this function.

                        Allowances: Function 920

                            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.

                            HOUSE RESOLUTION

      The function totals are $47.903 billion in budget 
authority and $24.359 billion in outlays in fiscal year 2006; 
and $9.963 billion in budget authority and -$16.969 billion in 
outlays for 2006-10. The figures include $50.0 billion in 
discretionary budget authority and $32.0 billion in outlays in 
fiscal year 2006 toward likely costs for continuing military 
operations in Afghanistan and Iraq. The figures also include 
proposed mandatory savings of $2.097 in budget authority and 
$7.641 in outlays in fiscal year 2006, and $40.037 billion in 
budget authority and $66.969 billion in outlays for 2006-10. 
For a complete summary of the House-passed function totals, 
including the discretionary and mandatory spending breakdown, 
see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of -$6.1 billion in 
BA and -$3.2 billion in outlays in fiscal year 2006, and -$6.3 
billion in BA and -$6.1 billion in outlays over 5 years.

                          CONFERENCE AGREEMENT

      The agreement calls for a total of $48.5 billion in 
budget authority and $60.9 billion in outlays in fiscal year 
2006, and $19.1 billion in BA and $64.5 billion in outlays over 
5 years. The discretionary levels are $50.0 billion in BA and 
$62.4 billion in outlays in fiscal year 2006, and $50.0 billion 
in BA and $99.1 billion in outlays over 5 years. Mandatory 
amounts are -$1.5 billion in BA and -$1.5 billion in outlays in 
fiscal year 2006, and $30.9 billion in BA and $34.7 billion in 
outlays over 5 years.
      These figures are derived as follows:
      The conference report calls for $50.0 billion in 
discretionary budget authority and $62.4 billion in outlays in 
fiscal year 2006. This is to anticipate the likelihood of 
supplemental appropriations for continuing military operations 
in Afghanistan and Iraq. It is an estimate for anticipated 
annual costs. It is an attempt not to predetermine the scope or 
intensity of operations, troop levels, or which weapons and 
supplies the Department of Defense will need, but rather to 
make the budget reflect a likely future expenditure. Over 5 
years, outlays from the 2006 budget authority total $50.0 
billion.
      The conference agreement also adjusts levels for the 
current year, fiscal year 2005, to accommodate $81.9 billion in 
supplemental funding for military operations in Iraq and 
Afghanistan.
      The function also reflects a net reduction of $34.7 
billion in outlays over 5 years in projected mandatory spending 
called for in the conference report. The budget recognizes the 
significance and rapid growth of mandatory spending--spending 
not subject to annual appropriations--which now consumes about 
55 percent of total Federal spending (excluding interest). 
Total mandatory spending (including interest) is growing at a 
rate of about 6.4 percent per year. At its current rate, net 
non-interest mandatory spending will consume 61 percent of 
total spending in just 10 years--increasingly crowding out 
other priorities. Spending control depends on controlling the 
rate of mandatory spending growth. Therefore, to slow the 
growth of total mandatory spending, the conference agreement 
includes reconciliation directives to a range of authorizing 
committees (see the Reconciliation discussion in this report), 
the sum of which is reflected in this function. The committees 
are free to legislate savings provisions in any of the 
mandatory programs in their jurisdictions, so long as they 
achieve their respective reconciliation targets.

            Undistributed Offsetting Receipts: Function 950

                            FUNCTION SUMMARY

      This function consists of receipts to the Treasury. 
Receipts recorded in this function are either intrabudgetary (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 employees and agencies 
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 
negative spending.

                            HOUSE RESOLUTION

      The resolution calls for a total of -$67.1 billion in 
unified budget authority and -$67.1 billion in outlays in 
fiscal year 2006 (with the minus signs again indicating 
receipts into the Treasury). The function totals are -$375.7 
billion in budget authority and -$376.4 billion in outlays over 
5 years. For a complete summary of the House-passed function 
levels, including the discretionary and mandatory spending 
breakdown, see H. Rept. 109-17.

                            SENATE AMENDMENT

      The Senate amendment reflects a total of -$67.1 billion 
in BA and -$67.1 billion in outlays in fiscal year 2006, and 
-$385.1 billion in BA and -$385.8 billion in outlays over 5 
years.

                          CONFERENCE AGREEMENT

      The totals for this function appear in the budget 
resolution conference agreement tables. The discretionary 
levels, for both the budget year and the outyears, reflect the 
President's recommended levels, as re-estimated by CBO. 
Mandatory spending levels reflect the CBO baseline. In 
addition, the conference agreement includes mandatory levels in 
Function 920 (Allowances). These levels reflect the sum of the 
reconciliation savings targets set for authorizing committees 
to achieve in spending programs under their jurisdictions. How 
these changes would affect programs in various functions will 
depend on the actual reconciliation legislation that is 
enacted.

                                   FISCAL YEAR 2006 BUDGET RESOLUTION CONFERENCE AGREEMENT TOTAL SPENDING AND REVENUES
                                                                [In billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                            Fiscal year                                2005        2006        2007        2008        2009        2010       2006-2010
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         Summary
Total Spending:
    BA............................................................   2,479.210   2,562.363   2,642.332   2,771.425   2,893.177   3,008.522    13,877.819
    OT............................................................   2,454.699   2,577.400   2,644.200   2,750.392   2,872.905   2,995.181    13,840.078
  On-Budget:
    BA............................................................   2,078.456   2,144.384   2,211.308   2,324.327   2,428.613   2,524.958    11,633.590
    OT............................................................   2,056.006   2,161.420   2,215.361   2,305.908   2,411.288   2,514.745    11,608.722
  Off-Budget:
    BA............................................................     400.754     417.979     431.024     447.098     464.564     483.564     2,244.229
    OT............................................................     398.693     415.980     428.839     444.484     461.617     480.436     2,231.356
Revenues:
    Total.........................................................   2,057.133   2,194.669   2,331.038   2,495.962   2,634.527   2,784.259    12,440.455
    On-Budget.....................................................   1,483.658   1,589.892   1,693.246   1,824.274   1,928.678   2,043.916     9,080.006
    Off-Budget....................................................     573.475     604.777     637.792     671.688     705.849     740.343     3,360.449
Surplus/Deficit (-):
    Total.........................................................    -397.566    -382.731    -313.162    -254.430    -238.378    -210.922    -1,399.623
    On-Budget.....................................................    -572.348    -571.528    -522.115    -481.634    -428.610    -470.829    -2,528.716
    Off-Budget....................................................     174.782     188.797     208.953     227.204     244.232     259.907     1,129.093
Debt Held by the Public (end of year).............................       4,689       5,082       5,409       5,677       5,927       6,150            na
Debt Subject to Limit (end of year)...............................       7,962       8,645       9,284       9,890      10,500      11,105            na
 
                                                                       By Function
National Defense (050):
    BA............................................................     423.446     441.562     465.260     483.730     503.763     513.904     2,408.219
    OT............................................................     465.709     447.020     448.508     467.840     488.307     505.531     2,357.206
International Affairs (150):
    BA............................................................      28.413      30.913      34.338      34.700      34.739      34.430       169.120
    OT............................................................      31.620      32.962      31.804      31.322      31.313      31.033       158.434
General Science, Space, and Technology (250):
    BA............................................................      24.413      24.735      25.171      25.545      25.851      26.162       127.464
    OT............................................................      23.594      23.894      24.610      24.922      25.242      25.565       124.233
Energy (270):
    BA............................................................       2.564       3.247       2.837       2.920       2.531       2.229        13.764
    OT............................................................       0.794       2.127       1.687       1.026       1.127       1.018         6.985
Natural Resources and Environment (300):
    BA............................................................      32.504      30.021      30.389      30.458      31.212      30.754       152.834
    OT............................................................      31.163      32.016      31.622      31.938      32.182      31.763       159.521
Agriculture (350):
    BA............................................................      30.151      29.420      27.130      25.274      25.631      25.357       132.812
    OT............................................................      28.550      28.476      25.948      24.225      24.738      24.627       128.014
Commerce and Housing Credit (370):
    BA............................................................      13.004       6.172       4.874       6.440       6.867      10.465        34.818
    OT............................................................       7.502       0.962      -0.271       0.650      -0.032       2.293         3.602
  On-budget:
    BA............................................................      16.804      10.772      10.074      10.040      10.667      14.565        56.118
    OT............................................................      11.302       5.562       4.929       4.250       3.768       6.393        24.902
  Off-budget:
    BA............................................................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100       -21.300
    OT............................................................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100       -21.300
Transportation (400):
    BA............................................................      75.833      73.034      74.515      76.482      66.268      67.611       357.910
    OT............................................................      67.639      70.137      72.092      73.893      75.235      77.107       368.464
Community and Regional Development (450):
    BA............................................................      23.007      14.493      14.510      14.597      14.735      14.755        73.090
    OT............................................................      20.756      18.323      17.180      15.779      14.706      14.402        80.390
Education, Training, Employment and Social Services (500):
    BA............................................................      94.026      97.364      90.395      90.450      90.665      90.124       458.998
    OT............................................................      92.805      91.463      91.045      89.335      88.826      88.646       449.315
Health (550):
    BA............................................................     257.498     262.269     275.200     294.954     317.026     336.407     1,485.856
    OT............................................................     252.798     262.628     274.781     293.755     313.539     335.458     1,480.161
Medicare (570):
    BA............................................................     292.587     331.181     371.875     395.312     420.234     448.111     1,966.713
    OT............................................................     293.587     330.944     372.167     395.364     419.828     448.442     1,966.745
Income Security (600):
    BA............................................................     339.658     347.606     352.843     365.782     374.984     384.088     1,825.303
    OT............................................................     347.855     354.415     359.969     371.374     379.241     387.610     1,852.609
Social Security (650):
    BA............................................................     522.557     546.809     572.203     600.483     633.133     668.691     3,021.319
    OT............................................................     520.496     544.810     570.018     597.869     630.186     665.563     3,008.446
  On-budget:
    BA............................................................      15.849      15.991      17.804      19.868      21.843      24.129        99.635
    OT............................................................      15.849      15.991      17.804      19.868      21.843      24.129        99.635
  Off-budget:
    BA............................................................     506.708     530.818     554.399     580.615     611.290     644.562     2,921.684
    OT............................................................     504.647     528.819     552.214     578.001     608.343     641.434     2,908.811
Veterans Benefits and Services (700):
    BA............................................................      69.448      68.994      66.434      69.561      70.074      70.172       345.235
    OT............................................................      68.873      68.365      66.168      69.387      69.791      69.900       343.611
Administration of Justice (750):
    BA............................................................      39.731      40.984      41.531      42.172      42.743      43.001       210.431
    OT............................................................      39.440      42.382      42.593      42.791      42.920      42.944       213.630
General Government (800):
    BA............................................................      16.765      17.909      17.829      17.285      17.140      16.733        86.896
    OT............................................................      17.673      18.398      17.758      17.289      16.956      16.580        86.981
Net Interest (900):
    BA............................................................     176.982     214.274     254.812     281.847     299.135     313.567     1,363.635
    OT............................................................     176.982     214.274     254.812     281.847     299.135     313.567     1,363.635
  On-budget:
    BA............................................................     267.982     310.774     360.512     398.347     427.725     455.167     1,952.535
    OT............................................................     267.982     310.774     360.512     398.347     427.725     455.167     1,952.535
  Off-budget:
    BA............................................................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600      -588.900
    OT............................................................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600      -588.900
Allowances (920):
    BA............................................................      81.881      48.477      -4.076      -7.670      -8.352      -9.294        19.085
    OT............................................................      32.121      60.905      18.572      -0.505      -5.758      -8.748        64.466
Undistributed Offsetting Receipts (950):
    BA............................................................     -65.258     -67.101     -75.738     -78.897     -75.202     -78.745      -375.683
    OT............................................................     -65.258     -67.101     -76.863     -79.709     -74.577     -78.120      -376.370
  On-budget:
    BA............................................................     -54.104     -55.362     -63.263     -65.480     -60.876     -63.447      -308.428
    OT............................................................     -54.104     -55.362     -64.388     -66.292     -60.251     -62.822      -309.115
  Off-budget:
    BA............................................................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298       -67.255
    OT............................................................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298       -67.255
--------------------------------------------------------------------------------------------------------------------------------------------------------


                 FISCAL YEAR 2006 BUDGET RESOLUTION CONFERENCE AGREEMENT DISCRETIONARY SPENDING
                                            [In billions of dollars]
----------------------------------------------------------------------------------------------------------------
               Fiscal year                  2005      2006      2007      2008      2009      2010     2006-2010
----------------------------------------------------------------------------------------------------------------
                                                     Summary
Total Spending:
    BA..................................   921.917   893.020   866.038   887.005   910.515   920.227   4,476.805
    OT..................................   961.641   979.260   937.599   936.596   951.089   967.365   4,771.909
  Defense:
    BA..................................   421.642   438.973   462.597   481.043   500.969   511.018   2,394.600
    OT..................................   463.887   444.398   445.816   465.130   485.494   502.628   2,343.466
  Nondefense:
    BA..................................   500.275   454.047   403.441   405.962   409.546   409.209   2,082.205
    OT..................................   497.754   534.862   491.783   471.466   465.595   464.737   2,428.443
 
                                                   By Function
National Defense (050):
    BA..................................   421.642   438.973   462.597   481.043   500.969   511.018   2,394.600
    OT..................................   463.887   444.398   445.816   465.130   485.494   502.628   2,343.466
International Affairs (150):
    BA..................................    30.019    31.369    33.526    33.873    33.898    33.573     166.239
    OT..................................    36.182    35.794    34.392    33.868    33.882    33.620     171.556
General Science, Space, and Technology
 (250):
    BA..................................    24.295    24.605    25.058    25.426    25.732    26.042     126.863
    OT..................................    23.516    23.815    24.523    24.829    25.142    25.462     123.771
Energy (270):
    BA..................................     3.807     4.536     3.756     3.873     3.803     3.664      19.632
    OT..................................     3.785     4.742     4.150     3.864     3.841     3.740      20.337
Natural Resources and Environment (300):
    BA..................................    31.306    27.975    27.945    27.968    27.903    27.484     139.275
    OT..................................    31.035    30.339    29.296    28.954    28.658    27.988     145.235
Agriculture (350):
    BA..................................     5.725     5.365     5.663     5.705     5.717     5.661      28.111
    OT..................................     5.754     5.817     5.586     5.613     5.625     5.640      28.281
Commerce and Housing Credit (370):
    BA..................................     1.849     0.864     0.991     1.050     1.500     5.206       9.611
    OT..................................     1.543     1.099     1.332     1.066     1.273     4.123       8.893
  On-budget:
    BA..................................     1.849     0.864     0.991     1.050     1.500     5.206       9.611
    OT..................................     1.543     1.099     1.332     1.066     1.273     4.123       8.893
  Off-budget:
    BA..................................  ........  ........  ........  ........  ........  ........  ..........
    OT..................................  ........  ........  ........  ........  ........  ........  ..........
Transportation (400):
    BA..................................    25.305    21.607    21.668    22.075    22.469    23.805     111.624
    OT..................................    65.517    67.949    69.939    71.644    73.078    74.999     357.609
Community and Regional Development
 (450):
    BA..................................    22.676    14.009    14.365    14.532    14.671    14.688      72.265
    OT..................................    20.314    18.564    17.313    15.863    14.892    14.584      81.216
Education, Training, Employment and
 Social Services (500):
    BA..................................    79.556    79.139    76.214    76.173    76.023    75.218     382.767
    OT..................................    79.217    79.961    78.691    76.769    75.884    75.389     386.694
Health (550):
    BA..................................    54.368    50.912    50.268    50.558    52.862    50.265     254.865
    OT..................................    51.012    51.730    51.138    50.608    50.551    50.577     254.604
Medicare (570):
    BA..................................     4.000     5.061     4.987     4.991     4.975     4.895      24.909
    OT..................................     3.989     4.855     4.991     5.002     4.978     4.912      24.738
Income Security (600):
    BA..................................    46.056    47.256    46.436    46.465    46.319    45.630     232.106
    OT..................................    54.294    54.275    53.535    52.143    50.891    49.356     260.200
Social Security (650):
    BA..................................     4.426     4.576     4.710     4.853     5.001     5.152      24.292
    OT..................................     4.405     4.587     4.785     4.849     4.974     5.124      24.319
  On-budget:
    BA..................................  ........  ........  ........  ........  ........  ........  ..........
    OT..................................  ........  ........  ........  ........  ........  ........  ..........
  Off-budget:
    BA..................................     4.426     4.576     4.710     4.853     5.001     5.152      24.292
    OT..................................     4.405     4.587     4.785     4.849     4.974     5.124      24.319
Veterans Benefits and Services (700):
    BA..................................    30.861    31.851    30.957    30.893    30.691    30.068     154.460
    OT..................................    30.327    31.252    30.775    30.822    30.526    29.922     153.297
Administration of Justice (750):
    BA..................................    38.733    38.848    40.758    41.494    42.151    42.502     205.753
    OT..................................    38.363    41.076    41.295    41.837    42.378    42.501     209.087
General Government (800):
    BA..................................    15.412    16.085    16.149    16.042    15.839    15.363      79.478
    OT..................................    16.380    16.594    16.070    15.901    15.699    15.263      79.527
Allowances (920):
    BA..................................    81.881    50.000  ........  ........  ........  ........      50.000
    OT..................................    32.121    62.424    23.982     7.843     3.331     1.544      99.124
Undistributed Offsetting Receipts (950):
    BA..................................  ........    -0.011    -0.010    -0.009    -0.008    -0.007      -0.045
    OT..................................  ........    -0.011    -0.010    -0.009    -0.008    -0.007      -0.045
  On-budget:
    BA..................................  ........    -0.011    -0.010    -0.009    -0.008    -0.007      -0.045
    OT..................................  ........    -0.011    -0.010    -0.009    -0.008    -0.007      -0.045
  Off-budget:
    BA..................................  ........  ........  ........  ........  ........  ........  ..........
    OT..................................  ........  ........  ........  ........  ........  ........  ..........
----------------------------------------------------------------------------------------------------------------


                   FISCAL YEAR 2006 BUDGET RESOLUTION CONFERENCE AGREEMENT MANDATORY SPENDING
                                            [In billions of dollars]
----------------------------------------------------------------------------------------------------------------
         Fiscal year             2005        2006        2007        2008        2009        2010      2006-2010
----------------------------------------------------------------------------------------------------------------
                                                     Summary
Total Spending:
    BA......................   1,557.293   1,669.343   1,776.294   1,884.420   1,982.662   2,088.295   9,401.014
    OT......................   1,493.058   1,598.140   1,706.601   1,813.796   1,921.816   2,027.816   9,068.169
  On-Budget:
    BA......................   1,160.965   1,255.940   1,349.980   1,442.175   1,523.099   1,609.883   7,181.077
    OT......................   1,098.770   1,186.747   1,282.547   1,374.161   1,465.173   1,552.504   6,861.132
  Off-Budget:
    BA......................     396.328     413.403     426.314     442.245     459.563     478.412   2,219.937
    OT......................     394.288     411.393     424.054     439.635     456.643     475.312   2,207.037
 
                                                   By Function
National Defense (050):
    BA......................       1.804       2.589       2.663       2.687       2.794       2.886      13.619
    OT......................       1.822       2.622       2.692       2.710       2.813       2.903      13.740
International Affairs (150):
    BA......................      -1.606      -0.456       0.812       0.827       0.841       0.857       2.881
    OT......................      -4.562      -2.832      -2.588      -2.546      -2.569      -2.587     -13.122
General Science, Space, and
 Technology (250):
    BA......................       0.118       0.130       0.113       0.119       0.119       0.120       0.601
    OT......................       0.078       0.079       0.087       0.093       0.100       0.103       0.462
Energy (270):
    BA......................      -1.243      -1.289      -0.919      -0.953      -1.272      -1.435      -5.868
    OT......................      -2.991      -2.615      -2.463      -2.838      -2.714      -2.722     -13.352
Natural Resources and
 Environment (300):
    BA......................       1.198       2.046       2.444       2.490       3.309       3.270      13.559
    OT......................       0.128       1.677       2.326       2.984       3.524       3.775      14.286
Agriculture (350):
    BA......................      24.426      24.055      21.467      19.569      19.914      19.696     104.701
    OT......................      22.796      22.659      20.362      18.612      19.113      18.987      99.733
Commerce and Housing Credit
 (370):
    BA......................      11.155       5.308       3.883       5.390       5.367       5.259      25.207
    OT......................       5.959      -0.137      -1.603      -0.416      -1.305      -1.830      -5.291
  On-budget:
    BA......................      14.955       9.908       9.083       8.990       9.167       9.359      46.507
    OT......................       9.759       4.463       3.597       3.184       2.495       2.270      16.009
  Off-budget:
    BA......................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100     -21.300
    OT......................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100     -21.300
Transportation (400):
    BA......................      50.528      51.427      52.847      54.407      43.799      43.806     246.286
    OT......................       2.122       2.188       2.153       2.249       2.157       2.108      10.855
Community and Regional
 Development (450):
    BA......................       0.331       0.484       0.145       0.065       0.064       0.067       0.825
    OT......................       0.442      -0.241      -0.133      -0.084      -0.186      -0.182      -0.826
Education, Training,
 Employment and Social
 Services (500):
    BA......................      14.470      18.225      14.181      14.277      14.642      14.906      76.231
    OT......................      13.588      11.502      12.354      12.566      12.942      13.257      62.621
Health (550):
    BA......................     203.130     211.357     224.932     244.396     264.164     286.142   1,230.991
    OT......................     201.786     210.898     223.643     243.147     262.988     284.881   1,225.557
Medicare (570):
    BA......................     288.587     326.120     366.888     390.321     415.259     443.216   1,941.804
    OT......................     289.598     326.089     367.176     390.362     414.850     443.530   1,942.007
Income Security (600):
    BA......................     293.602     300.350     306.407     319.317     328.665     338.458   1,593.197
    OT......................     293.561     300.140     306.434     319.231     328.350     338.254   1,592.409
Social Security (650):
    BA......................     518.131     542.233     567.493     595.630     628.132     663.539   2,997.027
    OT......................     516.091     540.223     565.233     593.020     625.212     660.439   2,984.127
  On-budget:
    BA......................      15.849      15.991      17.804      19.868      21.843      24.129      99.635
    OT......................      15.849      15.991      17.804      19.868      21.843      24.129      99.635
  Off-budget:
    BA......................     502.282     526.242     549.689     575.762     606.289     639.410   2,897.392
    OT......................     500.242     524.232     547.429     573.152     603.369     636.310   2,884.492
Veterans Benefits and
 Services (700):
    BA......................      38.587      37.143      35.477      38.668      39.383      40.104     190.775
    OT......................      38.546      37.113      35.393      38.565      39.265      39.978     190.314
Administration of Justice
 (750):
    BA......................       0.998       2.136       0.773       0.678       0.592       0.499       4.678
    OT......................       1.077       1.306       1.298       0.954       0.542       0.443       4.543
General Government (800):
    BA......................       1.353       1.824       1.680       1.243       1.301       1.370       7.418
    OT......................       1.293       1.804       1.688       1.388       1.257       1.317       7.454
Net Interest (900):
    BA......................     176.982     214.274     254.812     281.847     299.135     313.567   1,363.635
    OT......................     176.982     214.274     254.812     281.847     299.135     313.567   1,363.635
  On-budget:
    BA......................     267.982     310.774     360.512     398.347     427.735     455.167   1,952.535
    OT......................     267.982     310.774     360.512     398.347     427.735     455.167   1,952.535
  Off-budget:
    BA......................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600    -588.900
    OT......................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600    -588.900
Allowances (920):
    BA......................  ..........      -1.523      -4.076      -7.670      -8.352      -9.294     -30.915
    OT......................  ..........      -1.519      -5.410      -8.348      -9.089     -10.292     -34.658
Undistributed Offsetting
 Receipts (950):
    BA......................     -65.258     -67.090     -75.728     -78.888     -75.194     -78.738    -375.638
    OT......................     -65.258     -67.090     -76.853     -79.700     -74.569     -78.113    -376.325
  On-budget:
    BA......................     -54.104     -55.351     -63.253     -65.471     -60.868     -63.440    -308.383
    OT......................     -54.104     -55.351     -64.378     -66.283     -60.243     -62.815    -309.070
  Off-budget:
    BA......................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298     -67.255
    OT......................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298     -67.255
----------------------------------------------------------------------------------------------------------------


                                  FISCAL YEAR 2006 BUDGET RESOLUTION AS PASSED BY THE HOUSE TOTAL SPENDING AND REVENUES
                                                                [In billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                            Fiscal year                                2005        2006        2007        2008        2009        2010       2006-2010
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         Summary
Total Spending:
    BA............................................................   2,471.111   2,553.527   2,630.115   2,761.537   2,894.637   3,010.943    13,850.759
    OT............................................................   2,451.244   2,570.621   2,635.179   2,742.732   2,864.079   2,987.327    13,799.938
  On-Budget:
    BA............................................................   2,070.357   2,135.290   2,199.074   2,314.562   2,430.359   2,527.892    11,607.177
    OT............................................................   2,052.551   2,154.404   2,206.300   2,298.338   2,402.719   2,507.365    11,569.126
  Off-Budget:
    BA............................................................     400.754     418.237     431.041     446.975     464.278     483.051     2,243.582
    OT............................................................     398.693     416.217     428.879     444.394     461.360     479.962     2,230.812
Revenues:
  Total...........................................................   2,057.446   2,194.781   2,331.157   2,496.038   2,634.611   2,784.345    12,440.932
  On-Budget.......................................................   1,483.971   1,589.905   1,693.266   1,824.251   1,928.663   2,043.903     9,079.988
  Off-Budget......................................................     573.475     604.876     637.891     671.787     705.948     740.442     3,360.944
Surplus/Deficit (-):
  Total...........................................................    -393.798    -375.840    -304.022    -246.694    -229.468    -202.982    -1,359.006
  On-Budget.......................................................    -568.580    -564.499    -513.034    -474.087    -474.056    -463.462    -2,489.138
  Off-Budget......................................................     174.782     188.659     209.012     227.393     244.588     260.480     1,130.132
Debt Held by the Public (end of year).............................       4,685       5,071       5,389       5,649       5,891       6,105            na
Debt Subject to Limit (end of year)...............................       7,958       8,635       9,264       9,862      10,464      11,060            na
 
                                                                       By Function
National Defense (050):
    BA............................................................     500.621     441.562     465.260     483.730     503.763     513.904     2,408.219
    OT............................................................     497.196     475.603     460.673     471.003     489.220     505.908     2,402.407
International Affairs (150):
    BA............................................................      32.085      31.718      34.835      35.197      35.237      34.928       171.915
    OT............................................................      32.166      35.097      33.359      32.397      32.115      31.643       164.611
General Science, Space, and Technology (250):
    BA............................................................      24.413      24.735      25.171      25.545      25.851      26.162       127.464
    OT............................................................      23.594      23.894      24.610      24.922      25.242      25.565       124.233
Energy (270):
    BA............................................................       2.564       3.147       2.362       2.445       2.056       1.754        11.764
    OT............................................................       0.794       2.027       1.212       0.551       0.652       0.543         4.985
Natural Resources and Environment (300):
    BA............................................................      32.527      30.513      30.883      30.952      31.706      31.248       155.302
    OT............................................................      31.168      32.276      32.046      32.402      32.663      32.254       161.641
Agriculture (350):
    BA............................................................      30.151      29.480      27.190      25.334      25.691      25.417       133.112
    OT............................................................      28.550      28.507      25.999      24.281      24.796      24.687       128.270
Commerce and Housing Credit (370):
    BA............................................................      13.004       6.172       4.874       6.440       6.867      10.465        34.818
    OT............................................................       7.502       0.962      -0.271       0.650      -0.032       2.293         3.602
  On-Budget:
    BA............................................................      16.804      10.772      10.074      10.040      10.667      14.565        56.118
    OT............................................................      11.302       5.562       4.929       4.250       3.768       6.393        24.902
  Off-Budget:
    BA............................................................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100       -21.300
    OT............................................................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100       -21.300
Transportation (400):
    BA............................................................      72.506      70.007      70.130      70.501      70.911      72.254       353.803
    OT............................................................      67.703      70.393      72.421      74.167      75.500      77.356       369.837
Community and Regional Development (450):
    BA............................................................      23.007      14.179      14.196      14.283      14.421      14.441        71.520
    OT............................................................      20.756      18.461      17.413      15.727      14.491      14.140        80.232
Education, Training, Employment and Social Services (500):
    BA............................................................      94.001      91.978      89.925      89.980      90.194      89.652       451.729
    OT............................................................      92.798      90.981      90.360      88.864      88.363      88.181       446.749
Health (550):
    BA............................................................     257.469     262.151     275.220     295.010     317.113     336.523     1,486.017
    OT............................................................     252.770     262.513     274.801     293.810     313.625     335.574     1,480.323
Medicare (570):
    BA............................................................     292.587     331.181     371.875     395.312     420.234     448.111     1,966.713
    OT............................................................     293.587     330.944     372.167     395.364     419.828     448.442     1,966.745
Income Security (600):
    BA............................................................     339.057     347.218     352.416     365.343     374.529     383.590     1,823.096
    OT............................................................     347.754     354.055     359.566     370.830     378.609     386.978     1,850.038
Social Security (650):
    BA............................................................     522.557     546.967     572.120     600.260     632.747     668.078     3,020.172
    OT............................................................     520.496     544.947     569.958     597.679     629.829     664.989     3,007.402
  On-Budget:
    BA............................................................      15.849      15.891      17.704      19.768      21.743      24.029        99.135
    OT............................................................      15.849      15.891      17.704      19.768      21.743      24.029        99.135
  Off-Budget:
    BA............................................................     506.708     531.076     554.416     580.492     611.004     644.049     2,921.037
    OT............................................................     504.647     529.056     552.254     577.911     608.086     640.960     2,908.267
Veterans Benefits and Services (700):
    BA............................................................      69.448      68.881      66.321      69.448      69.961      70.059       344.670
    OT............................................................      68.873      68.148      66.014      69.258      69.672      69.787       342.879
Administration of Justice (750):
    BA............................................................      39.817      40.840      41.390      42.031      42.602      42.860       209.723
    OT............................................................      39.501      42.268      42.463      42.650      42.779      42.803       212.963
General Government (800):
    BA............................................................      16.748      18.017      17.956      17.570      17.587      17.408        88.538
    OT............................................................      17.656      18.308      17.999      17.555      17.378      17.216        88.456
Net Interest (900):
    BA............................................................     176.942     213.979     254.097     280.694     297.562     311.572     1,357.904
    OT............................................................     176.942     213.979     254.097     280.694     297.562     311.572     1,357.904
  On-Budget:
    BA............................................................     267.942     310.479     359.797     397.194     426.162     453.172     1,946.804
    OT............................................................     267.942     310.479     359.797     397.194     426.162     453.172     1,946.804
  Off-Budget:
    BA............................................................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600      -588.900
    OT............................................................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600      -588.900
Allowances (920):
    BA............................................................      -3.135      47.903     -10.368      -9.641      -9.193      -8.738         9.963
    OT............................................................      -3.304      24.359      -2.845     -10.363     -13.636     -14.484       -16.969
Undistributed Offsetting Receipts (950):
    BA............................................................     -65.258     -67.101     -75.738     -78.897     -75.202     -78.745      -375.683
    OT............................................................     -65.258     -67.101     -76.863     -79.709     -74.577     -78.120      -376.370
  On-Budget:
    BA............................................................     -54.104     -55.362     -63.263     -65.480     -60.876     -63.447      -308.428
    OT............................................................     -54.104     -55.362     -64.388     -66.292     -60.251     -62.822      -309.115
  Off-Budget:
    BA............................................................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298       -67.255
    OT............................................................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298       -67.255
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                    FISCAL YEAR 2006 BUDGET RESOLUTION AS PASSED BY THE HOUSE DISCRETIONARY SPENDING
                                                                [In billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                            Fiscal year                                 2005        2006        2007        2008        2009        2010      2006-2010
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         Summary
Total Spending:
    BA.............................................................     921.153     893.020     866.038     887.005     910.515     920.227    4,476.805
    OT.............................................................     961.683     979.549     938.535     936.992     951.327     967.610    4,774.013
Defense:
    BA.............................................................     498.817     438.973     462.597     481.043     500.969     511.018    2,394.600
    OT.............................................................     495.374     472.981     457.981     468.293     486.407     503.005    2,388.667
Nondefense:
    BA.............................................................     422.336     454.047     403.441     405.962     409.546     409.209    2,082.205
    OT.............................................................     466.309     506.568     480.554     468.699     464.920     464.605    2,385.346
 
                                                                       By Function
National Defense (050):
    BA.............................................................     498.817     438.973     462.597     481.043     500.969     511.018    2,394.600
    OT.............................................................     495.374     472.981     457.981     468.293     486.407     503.005    2,388.667
International Affairs (150):
    BA.............................................................      33.691      32.174      34.023      34.370      34.396      34.071      169.034
    OT.............................................................      36.728      37.929      35.947      34.943      34.684      34.230      177.733
General Science, Space, and Technology (250):
    BA.............................................................      24.295      24.605      25.058      25.426      25.732      26.042      126.863
    OT.............................................................      23.516      23.815      24.523      24.829      25.142      25.462      123.771
Energy (270):
    BA.............................................................       3.807       4.536       3.756       3.873       3.803       3.664       19.632
    OT.............................................................       3.785       4.742       4.150       3.864       3.841       3.740       20.337
Natural Resources and Environment (300):
    BA.............................................................      31.329      28.475      28.445      28.468      28.403      27.984      141.775
    OT.............................................................      31.040      30.607      29.726      29.424      29.145      28.485      147.387
Agriculture (350):
    BA.............................................................       5.725       5.425       5.723       5.765       5.777       5.721       28.411
    OT.............................................................       5.754       5.848       5.637       5.669       5.683       5.700       28.537
Commerce and Housing Credit (370):
    BA.............................................................       1.849       0.864       0.991       1.050       1.500       5.206        9.611
    OT.............................................................       1.543       1.099       1.332       1.066       1.273       4.123        8.893
  On-budget:
    BA.............................................................       1.849       0.864       0.991       1.050       1.500       5.206        9.611
    OT.............................................................       1.543       1.099       1.332       1.066       1.273       4.123        8.893
  Off-budget:
    BA.............................................................  ..........  ..........  ..........  ..........  ..........  ..........  ...........
    OT.............................................................  ..........  ..........  ..........  ..........  ..........  ..........  ...........
Transportation (400):
    BA.............................................................      25.466      21.607      21.668      22.075      22.469      23.805      111.624
    OT.............................................................      65.581      68.205      70.268      71.918      73.343      75.248      358.982
Community and Regional Development (450):
    BA.............................................................      22.676      13.695      14.051      14.218      14.357      14.374       70.695
    OT.............................................................      20.314      18.702      17.546      15.811      14.677      14.322       81.058
Education, Training, Employment and Social Services (500):
    BA.............................................................      79.556      78.103      75.794      75.753      75.602      74.796      380.048
    OT.............................................................      79.217      79.502      78.041      76.338      75.464      74.968      384.313
Health (550):
    BA.............................................................      54.368      50.912      50.268      50.558      52.862      50.265      254.865
    OT.............................................................      51.012      51.730      51.138      50.608      50.551      50.577      254.604
Medicare (570):
    BA.............................................................       4.000       5.061       4.987       4.991       4.975       4.895       24.909
    OT.............................................................       3.989       4.855       4.991       5.002       4.978       4.912       24.738
Income Security (600):
    BA.............................................................      46.056      47.115      46.295      46.324      46.178      45.489      231.401
    OT.............................................................      54.294      54.203      53.416      52.011      50.754      49.216      259.600
Social Security (650):
    BA.............................................................       4.426       4.734       4.627       4.630       4.615       4.539       23.145
    OT.............................................................       4.405       4.724       4.725       4.659       4.617       4.550       23.275
  On-budget:
    BA.............................................................  ..........  ..........  ..........  ..........  ..........  ..........  ...........
    OT.............................................................  ..........  ..........  ..........  ..........  ..........  ..........  ...........
  Off-budget:
    BA.............................................................       4.426       4.734       4.627       4.630       4.615       4.539       23.145
    OT.............................................................       4.405       4.724       4.725       4.659       4.617       4.550       23.275
Veterans Benefits and Services (700):
    BA.............................................................      30.861      31.738      30.844      30.780      30.578      29.955      153.895
    OT.............................................................      30.327      31.035      30.621      30.693      30.407      29.809      152.565
Administration of Justice (750):
    BA.............................................................      38.819      38.713      40.623      41.359      42.016      42.367      205.078
    OT.............................................................      38.424      40.971      41.170      41.702      42.243      42.366      208.452
General Government (800):
    BA.............................................................      15.412      16.301      16.298      16.331      16.291      16.043       81.264
    OT.............................................................      16.380      16.612      16.333      16.171      16.126      15.904       81.146
Allowances (920):
    BA.............................................................  ..........      50.000  ..........  ..........  ..........  ..........       50.000
    OT.............................................................  ..........      32.000      11.000       4.000       2.000       1.000       50.000
Undistributed Offsetting Receipts (950):
    BA.............................................................  ..........      -0.011      -0.010      -0.009      -0.008      -0.007       -0.045
    OT.............................................................  ..........      -0.011      -0.010      -0.009      -0.008      -0.007       -0.045
  On-budget:
    BA.............................................................  ..........      -0.011      -0.010      -0.009      -0.008      -0.007       -0.045
    OT.............................................................  ..........      -0.011      -0.010      -0.009      -0.008      -0.007       -0.045
  Off-budget:
    BA.............................................................  ..........  ..........  ..........  ..........  ..........  ..........  ...........
    OT.............................................................  ..........  ..........  ..........  ..........  ..........  ..........  ...........
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                      FISCAL YEAR 2006 BUDGET RESOLUTION AS PASSED BY THE HOUSE MANDATORY SPENDING
                                                                [In billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                            Fiscal year                                 2005        2006        2007        2008        2009        2010      2006-2010
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                         Summary
Total Spending:
    BA.............................................................   1,549.958   1,660.507   1,764.077   1,874.532   1,984.122   2,090.716    9,373.954
    OT.............................................................   1,489.561   1,591.072   1,696.644   1,805.740   1,912.752   2,019.717    9,025.925
On-Budget:
    BA.............................................................   1,153.630   1,247.004   1,337.663   1,432.187   1,524.459   1,612.204    7,153.517
    OT.............................................................   1,095.273   1,179.579   1,272.490   1,366.005   1,456.009   1,544.305    6,818.388
Off-Budget:
    BA.............................................................     396.328     413.503     426.414     442.345     459.663     478.512    2,220.437
    OT.............................................................     394.288     411.493     424.154     439.735     456.743     475.412    2,207.537
 
                                                                       By Function
National Defense (050):
    BA.............................................................       1.804       2.589       2.663       2.687       2.794       2.886       13.619
    OT.............................................................       1.822       2.622       2.692       2.710       2.813       2.903       13.740
International Affairs (150):
    BA.............................................................      -1.606      -0.456       0.812       0.827       0.841       0.857        2.881
    OT.............................................................      -4.562      -2.832      -2.588      -2.546      -2.569      -2.587      -13.122
General Science, Space, and Technology (250):
    BA.............................................................       0.118       0.130       0.113       0.119       0.119       0.120        0.601
    OT.............................................................       0.078       0.079       0.087       0.093       0.100       0.103        0.462
Energy (270):
    BA.............................................................      -1.243      -1.389      -1.394      -1.428      -1.747      -1.910       -7.868
    OT.............................................................      -2.991      -2.715      -2.938      -3.313      -3.189      -3.197      -15.352
Natural Resources and Environment (300):
    BA.............................................................       1.198       2.038       2.438       2.484       3.303       3.264       13.527
    OT.............................................................       0.128       1.669       2.320       2.978       3.518       3.769       14.254
Agriculture (350):
    BA.............................................................      24.426      24.055      21.467      19.569      19.914      19.696      104.701
    OT.............................................................      22.796      22.659      20.362      18.612      19.113      18.987       99.733
Commerce and Housing Credit (370):
    BA.............................................................      11.155       5.308       3.883       5.390       5.367       5.259       25.207
    OT.............................................................       5.959      -0.137      -1.603      -0.416      -1.305      -1.830       -5.291
  On-budget:
    BA.............................................................      14.955       9.908       9.083       8.990       9.167       9.359       46.507
    OT.............................................................       9.759       4.463       3.597       3.184       2.495       2.270       16.009
  Off-budget:
    BA.............................................................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100      -21.300
    OT.............................................................      -3.800      -4.600      -5.200      -3.600      -3.800      -4.100      -21.300
Transportation (400):
    BA.............................................................      47.040      48.400      48.462      48.426      48.442      48.449      242.179
    OT.............................................................       2.122       2.188       2.153       2.249       2.157       2.108       10.855
Community and Regional Development (450):
    BA.............................................................       0.331       0.484       0.145       0.065       0.064       0.067        0.825
    OT.............................................................       0.442      -0.241      -0.133      -0.084      -0.186      -0.182       -0.826
Education, Training, Employment and Social Services (500):
    BA.............................................................      14.445      13.875      14.131      14.227      14.592      14.856       71.681
    OT.............................................................      13.581      11.479      12.319      12.526      12.899      13.213       62.436
Health (550):
    BA.............................................................     203.101     211.239     224.952     244.452     264.251     286.258    1,231.152
    OT.............................................................     201.758     210.783     223.663     243.202     263.074     284.997    1,225.719
Medicare (570):
    BA.............................................................     288.587     326.120     366.888     390.321     415.259     443.216    1,941.804
    OT.............................................................     289.598     326.089     367.176     390.362     414.850     443.530    1,942.007
Income Security (600):
    BA.............................................................     293.001     300.103     306.121     319.019     328.351     338.101    1,591.695
    OT.............................................................     293.460     299.852     306.150     318.819     327.855     337.762    1,590.438
Social Security (650):
    BA.............................................................     518.131     542.233     567.493     595.630     628.132     663.539    2,997.027
    OT.............................................................     516.091     540.223     565.233     593.020     625.212     660.439    2,984.127
  On-budget:
    BA.............................................................      15.849      15.891      17.704      19.768      21.743      24.029       99.135
    OT.............................................................      15.849      15.891      17.704      19.768      21.743      24.029       99.135
  Off-budget:
    BA.............................................................     502.282     526.342     549.789     575.862     606.389     639.510    2,897.892
    OT.............................................................     500.242     524.332     547.529     573.252     603.469     636.410    2,884.992
Veterans Benefits and Services (700):
    BA.............................................................      38.587      37.143      35.477      38.668      39.383      40.104      190.775
    OT.............................................................      38.546      37.113      35.393      38.565      39.265      39.978      190.314
Administration of Justice (750):
    BA.............................................................       0.998       2.127       0.767       0.672       0.586       0.493        4.645
    OT.............................................................       1.077       1.297       1.293       0.948       0.536       0.437        4.511
General Government (800):
    BA.............................................................       1.336       1.716       1.658       1.239       1.296       1.365        7.274
    OT.............................................................       1.276       1.696       1.666       1.384       1.252       1.312        7.310
Net Interest (900):
    BA.............................................................     176.942     213.979     254.097     280.694     297.562     311.572    1,357.904
    OT.............................................................     176.942     213.979     254.097     280.694     297.562     311.572    1,357.904
  On-budget:
    BA.............................................................     267.942     310.479     359.797     397.194     426.162     453.172    1,946.804
    OT.............................................................     267.942     310.479     359.797     397.194     426.162     453.172    1,946.804
  Off-budget:
    BA.............................................................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600     -588.900
    OT.............................................................     -91.000     -96.500    -105.700    -116.500    -128.600    -141.600     -588.900
Allowances (920):
    BA.............................................................      -3.135      -2.097     -10.368      -9.641      -9.193      -8.738      -40.037
    OT.............................................................      -3.304      -7.641     -13.845     -14.363     -15.636     -15.484      -66.969
Undistributed Offsetting Receipts (950):
    BA.............................................................     -65.258     -67.090     -75.728     -78.888     -75.194     -78.738     -375.638
    OT.............................................................     -65.258     -67.090     -76.853     -79.700     -74.569     -78.113     -376.325
  On-budget:
    BA.............................................................     -54.104     -55.351     -63.253     -65.471     -60.868     -63.440     -308.383
    OT.............................................................     -54.104     -55.351     -64.378     -66.283     -60.243     -62.815     -309.070
  Off-budget:
    BA.............................................................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298      -67.255
    OT.............................................................     -11.154     -11.739     -12.475     -13.417     -14.326     -15.298      -67.255
--------------------------------------------------------------------------------------------------------------------------------------------------------

                                                                                                                                             
                                                                                                                                             
                      RECONCILIATION INSTRUCTIONS

      The reconciliation process set forth in section 310 of 
the Congressional Budget Act of 1974 provides Congress with 
expedited procedures to achieve changes in spending and 
revenues. Using the reconciliation procedures, Congress directs 
its committees to submit legislation to achieve specified 
changes in laws within their respective jurisdictions to their 
respective Budget Committees or, if only one committee is so 
reconciled, to report the changes directly to the House or 
Senate by a date certain.

                            HOUSE RESOLUTION

Section 201: Reconciliation in the House
      The House amendment provides instructions for two 
reconciliation bills. The first instructs nine authorizing 
committees to achieve specified savings in direct spending; the 
second provides for a reduction in revenue.
      The committees may make whatever changes in law they deem 
appropriate to meet the specified amount of savings for fiscal 
year 2006 and for the period of fiscal years 2006 through 2010. 
(1) The Agriculture Committee is instructed to reduce direct 
spending from current law levels by $797 million in 2006 and 
$5.278 billion for fiscal years 2006-2010; (2) the Education 
and Workforce Committee is instructed to reduce direct spending 
from current law levels by $2.097 billion in fiscal year 2006 
and $21.410 billion for fiscal years 2006-2010; (3) the Energy 
and Commerce Committee is instructed to reduce direct spending 
from current law levels by $630 million in fiscal year 2006 and 
$20.002 billion for fiscal years 2006-2010; (4) the Financial 
Services Committee is instructed to reduce direct spending from 
current law levels by $30 million in fiscal year 2006 and $270 
million for fiscal years 2006-2010; (5) the Judiciary Committee 
is instructed to reduce direct spending from current law levels 
by $123 million in fiscal year 2006 and $603 million for fiscal 
years 2006-2010; (6) the Resources Committee is instructed to 
reduce direct spending from current law levels by $96 million 
in fiscal year 2006 and $1.413 billion for fiscal years 2006-
2010; (7) the Transportation and Infrastructure Committee is 
instructed to reduce direct spending from current law levels by 
$12 million in fiscal year 2006 and $103 million for fiscal 
years 2006-2010; (8) the Veterans' Affairs Committee is 
instructed to reduce direct spending from current law levels by 
$155 million in fiscal year 2006 and $798 million for fiscal 
years 2006-2010; and, (9) the Committee on Ways and Means is 
instructed to reduce the deficit by $3.907 billion in fiscal 
year 2006 and by $18.680 billion for fiscal years 2006-2010.
      In the House-passed budget resolution, the first 
reconciliation submissions must be transmitted to the Budget 
Committee by September 16, 2005.
      The second reconciliation instruction directs the 
Committee on Ways and Means to report a measure to reduce taxes 
by $16.623 billion in 2006 and by $45.000 billion for fiscal 
years 2006-2010. These amounts are sufficient to accommodate an 
extension of certain expiring tax provisions from the 2001 
Economic Growth and Tax Relief Reconciliation Act and the 2003 
Jobs and Growth Tax Relief Reconciliation Act, and certain 
other tax relief.
      The second reconciliation bill must be reported by the 
Ways and Means Committee to the House floor by June 24, 2005.

                            SENATE AMENDMENT

Section 201: Reconciliation in the Senate
      The Senate amendment contains instructions for three 
separate bills. The first instruction directs six authorizing 
committees to submit to the Senate Committee on the Budget, 
changes in laws by June 6, 2005, sufficient to reduce outlays 
by $2.46 billion in fiscal year 2006, and $17 billion for the 
period of fiscal years 2006 through 2010.

                        [In billions of dollars]

        Outlay reduction targets                            FY 2006-2010
Agriculture, Nutrition and Forestry...............................   2.8
Banking, Housing, and Urban Affairs...............................  0.27
Commerce, Science, and Transportation.............................   2.6
Energy and Natural Resources......................................   2.7
Environment and Public Works......................................   0.1
Health, Education, Labor, and Pensions............................   8.6
                                                                  ______
      Total Outlay Target.........................................    17

      The second instruction directs the Senate Committee on 
Finance to report to the Senate changes in law to reduce the 
total level of revenues by not more than $19.016 billion for 
fiscal year 2006, and $128.580 billion for the period of fiscal 
years 2006 through 2010, no later than September 7, 2005.
      The third instruction directs the Senate Committee on 
Finance to report to the Senate a bill to increase the 
statutory limit on the debt by $446.464 billion no later than 
September 16, 2005.

                          CONFERENCE AGREEMENT

Section 201: Reconciliation in the House
      The conference agreement provides for three 
reconciliation bills, and provides instructions to House 
committees to make changes in programs within their 
jurisdiction to achieve the levels provided for in the budget 
resolution.
      Section 201(a) directs eight committees to slow the 
growth of mandatory spending in programs within their 
jurisdiction. (1) The Agriculture Committee is instructed to 
reduce direct spending from current law levels by $173 million 
in 2006 and $3 billion for fiscal years 2006-2010; (2) the 
Education and Workforce Committee is instructed to reduce 
direct spending from current law levels by $992 million in 
fiscal year 2005 and 2006, and $12.651 billion for fiscal years 
2005-2010; (3) the Energy and Commerce Committee is instructed 
to reduce direct spending from current law levels by $2 million 
in fiscal year 2006 and $14.734 billion for fiscal years 2006-
2010; (4) the Financial Services Committee is instructed to 
reduce direct spending from current law levels by $30 million 
in fiscal year 2006 and $470 million for fiscal years 2006-
2010; (5) the Judiciary Committee is instructed to reduce 
direct spending from current law levels by $60 million in 
fiscal year 2006 and $300 million for fiscal years 2006-2010; 
(6) the Resources Committee is instructed to reduce direct 
spending from current law levels by $2.4 billion for fiscal 
years 2006-2010; (7) the Transportation and Infrastructure 
Committee is instructed to reduce direct spending from current 
law levels by $12 million in fiscal year 2006 and $103 million 
for fiscal years 2006-2010; (8) the Committee on Ways and Means 
is instructed to reduce the deficit by $250 million in fiscal 
year 2006 and by $1 billion for fiscal years 2006-2010. These 
changes are to be submitted to the House Budget Committee by 
September 16, 2005.
      Section 201(b) instructs the House Committee on Ways and 
Means to report a reconciliation bill to the House floor by 
September 23, 2005; this measure is to reduce the level of 
revenue collected by the Federal government by $11 billion in 
fiscal year 2006 and by $70 billion for fiscal years 2006-2010.
      Section 201(c) instructs the House Committee on Ways and 
Means to report a reconciliation bill to change the public debt 
limit to $8.965 trillion by September 30, 2005.
      Section 201(d) gives the Chairman of the House Committee 
on the Budget authority similar to that afforded to the 
Chairman of the Senate Budget Committee under the Congressional 
Budget Act, to make adjustments in the allocations and 
aggregates subsequent to the enactment of reconciliation if the 
effect of complying with reconciliation instructions resulted 
in a mix of outlay and revenue levels not contemplated by the 
budget resolution, but nevertheless deficit-neutral.
Section 202: Reconciliation in the Senate
      The conference agreement adopts the form of the Senate-
passed resolution and provides for three reconciliation bills. 
The first instruction directs eight authorizing committees to 
report to the Senate Committee on the Budget, changes in laws 
by September 16, 2005 sufficient to reduce outlays by $1.5 
billion in fiscal year 2006, and $34.7 billion for the period 
of fiscal years 2006 through 2010.

                        [In billions of dollars]

        Outlay reduction targets                            FY 2006-2010
Agriculture, Nutrition, and Forestry..............................  $3.0
Banking, Housing, and Urban Affairs...............................   0.5
Commerce, Science, and Transportation.............................   4.8
Energy and Natural Resources......................................   2.4
Environment and Public Works......................................  0.03
Finance...........................................................  10.0
Health, Education, Labor, and Pensions............................  13.7
Judiciary.........................................................   0.3
                                                                  ______
      Total Outlay Target.........................................  34.7

      The second instruction directs the Senate Committee on 
Finance to report to the Senate changes in law to reduce the 
total level of revenues by not more than $11.0 billion for 
fiscal year 2006, and $70.0 billion for the period of fiscal 
years 2006 through 2010, not later than September 23, 2005.
      The third instruction directs the Senate Committee on 
Finance to report to the Senate a bill to increase the 
statutory limit on the debt by $781 billion not later than 
September 30, 2005.

 FISCAL YEAR 2006 BUDGET RESOLUTION CONFERENCE AGREEMENT--RECONCILIATION
               INSTRUCTIONS BY HOUSE AUTHORIZING COMMITTEE
------------------------------------------------------------------------
                                               2006          2006-2010
------------------------------------------------------------------------
   Submissions to Slow the Growth in Mandatory Spending and to Achieve
               Deficit Reduction (Due September 16, 2005)
           [By fiscal year in millions of dollars of outlays]
 
Committee on Agriculture................            -173          -3,000
Committee on Education and the Workforce            -992         -12,651
Committee on Energy and Commerce........              -2         -14,734
Committee on Financial Services.........             -30            -470
Committee on the Judiciary..............             -60            -300
Committee on Resources..................  ..............          -2,400
Committee on Transportation and                      -12            -103
 Infrastructure.........................
Committee on Ways and Means.............            -250          -1,000
                                         -------------------------------
    Total...............................          -1,519         -34.658
 
  Submission Providing for Changes in Revenue (Due September 23, 2005)
                 [By fiscal year in millions of dollars]
 
Ways and Means..........................         -11,000         -70,000
 
        Increase in Statutory Debt Limit (Due September 30, 2005)
                 [By fiscal year in millions of dollars]
Ways and Means..........................  ..............         781,000
------------------------------------------------------------------------


                   SENATE RECONCILIATION INSTRUCTIONS
                        [In billions of dollars]
------------------------------------------------------------------------
                Committee                      2006          2006-2010
------------------------------------------------------------------------
Agriculture.............................          -0.173          -3.000
Banking.................................          -0.030          -0.470
Commerce................................          -0.010          -4.810
Energy..................................           0.000          -2.400
Environment.............................          -0.004          -0.027
Finance.................................           0.000         -10.000
Judiciary...............................          -0.060          -0.300
HELP....................................          -1.242         -13.651
                                         -------------------------------
    Total...............................          -1.519         -34.658
------------------------------------------------------------------------

                             RESERVE FUNDS

      A budget resolution does not become law and cannot amend 
law. However, pursuant to section 301(b)(4) of the 
Congressional Budget Act, some provisions in the resolution may 
affect the consideration of legislation in order to implement 
and enforce the underlying policy assumptions, if any. The 
conference agreement contains a number of provisions which 
implement policies assumed in this resolution.
      In general, a reserve fund (or discretionary adjustment) 
permits the Chairman of the Committee on the Budget to increase 
the section 302 allocations and other appropriate levels set 
out in this resolution, including, in the Senate, the 
discretionary spending limits, once certain conditions have 
been met. The authority to make these adjustments is solely 
within the discretion of the Chairman and may be made when the 
committee of jurisdiction reports a measure that satisfies the 
conditions set out in the reserve fund.

                            HOUSE RESOLUTION

Section 301: Contingency procedure for surface transportation
      This section of the House resolution permits the Chairman 
of the Committee on the Budget to adjust the appropriate levels 
in the budget resolution to accommodate legislation increasing 
spending for highway and transit programs above the levels in 
the budget resolution to the extent there are offsets for the 
additional spending.
      Subsection (a) permits the Chairman of the Committee on 
the Budget to increase the Committee on Transportation and 
Infrastructure's allocation for legislation that increases 
mandatory contract authority for highway and transit programs 
financed out of the Highway Trust Fund. In order to make the 
adjustment, the additional spending must be offset by a 
reduction in mandatory outlays out of the Fund or receipts 
appropriated to the Fund.
      Because any additional contract authority provided 
pursuant to subsection (a) would be made available for 
obligation through a change in obligation limitations, 
subsection (b) permits the Chairman of the Committee on the 
Budget to increase the Appropriations Committee?s allocation of 
discretionary outlays to the extent legislation increases the 
obligation limits for highway programs above the levels assumed 
in the budget resolution. In order to make the adjustment, 
legislation must first be enacted in compliance with subsection 
(a).

                            SENATE AMENDMENT

Section 301: Reserve Fund for Health Information Technology and Pay-
        for-Performance
      The Senate amendment includes a deficit-neutral reserve 
fund for health information technology.
      To qualify for the reserve fund, legislation from the 
Health, Education, Labor and Pensions Committee or the Finance 
Committee must include language that provides incentives or 
other support for adoption of information technology to improve 
quality in health care; and provides for performance-based 
payments that are based on accepted clinical performance 
measures and improve the quality in healthcare.
      The reserve fund permits the Budget Chairman to adjust 
allocation levels and would assist the HELP and Finance 
Committees to work together to craft legislation.
      The Committee intends to enforce five-year budget 
neutrality in the evaluation of legislation that would qualify 
for this reserve fund.
Section 302: Reserve Fund for Asbestos Injury Trust Fund
      The Senate amendment includes a deficit-neutral reserve 
fund for asbestos injury compensation legislation. The 
committee recognizes the urgent need for litigation reform for 
victims of asbestos exposure. The committee intends any 
asbestos compensation fund to protect the budget and taxpayers 
from a financial obligation associated with outstanding claims, 
debt of the fund and interest on such debt.
Section 303: Reserve Fund for the Uninsured
      The Senate amendment includes a deficit-neutral reserve 
fund for legislation that would addresses health care costs, 
coverage, or care for the uninsured. The legislation could 
improve the safety net by providing the uninsured with access 
to integrated and other health care services. The legislation 
could also increase the number of people who have health 
insurance directly or through reform mechanisms that are 
designed to reduce the growth of health care costs. Such 
mechanisms may include tax- and market-based measures, such as 
tax credits, deductibility, regulatory reforms, consumer-
directed initiatives, and other measures targeted to key 
segments of the uninsured, such as individuals without 
employer-sponsored coverage and college students and recent 
graduates. However, the resolution provides that any measure 
designed to increase coverage for certain populations not 
achieve this result primarily by increasing premiums for the 
currently insured, as might result from a measure that permits 
preferential regulation for select groups and results in 
adverse selection.
      The reserve fund allows the Chairman to adjust applicable 
allocations and aggregates to accommodate this legislation if 
the Committee on Finance or the Committee on Health, Education, 
Labor, and Pensions reports a bill that meets the standards of 
this reserve fund.
Section 304: Reserve Fund for Land and Water Conservation Fund
      The Senate amendment includes a reserve fund stipulating 
that if legislation is enacted that opens ANWR to drilling, an 
amount equal to $1.05 billion of the associated receipts will 
be devoted to appropriations for the Land and Water 
Conservation Programs, the Forest Legacy Program, and the 
Coastal and Estuarine Land Protection Program ($350 million per 
year in 2008, 2009, and 2010).
Section 305: Reserve Fund for the Federal Pell Grant Program
      The Senate amendment includes a reserve fund for $4.3 
billion in budget authority only for legislation that retires 
the existing shortfall in budget authority for Pell Grant 
funding.
Section 306: Reserve Fund for Higher Education
      The Senate amendment includes a reserve fund ($5.510 
billion in budget authority and $5.006 billion in outlays over 
the 2006-2010 period) to cover the new costs of initiatives in 
the reauthorization of the Higher Education Act to provide 
increased access to college for low- and middle-income 
students.
Section 307: Reserve Fund for Energy Legislation
      The Senate amendment includes a reserve fund for energy 
policy legislation, which totals $0.1 billion in budget 
authority for 2006 and $2.0 billion in budget authority for the 
2006-2010 period (and associated outlays).
Section 308: Reserve Fund for Safe Importation of Prescription Drugs
      The Senate amendment includes a reserve fund in relation 
to the importation of FDA-approved prescription drugs from 
specified foreign countries. If the Committee on Health, 
Education, Labor, and Pensions produces legislation that allows 
for the safe importation of prescription drugs, the Budget 
Committee Chairman may revise the Committee on Health, 
Education, Labor, and Pension's allocations to reflect the 
savings associated with this legislation.
Section 309: Adjustment for Surface Transportation
      The Senate amendment includes a mechanism to increase 
allocations of contract authority and outlays for the relevant 
committees that report legislation relating to the 
reauthorization of and appropriation for surface transportation 
programs, provided that the reauthorization (by virtue of a 
title reported by the Committee on Finance) makes available new 
net resources for the highway trust fund that offset the 
resulting outlays--without increasing the deficit.
Section 310: Reserve fund for the bipartisan Medicaid commission
      The Senate amendment includes a reserve fund for 
legislation that creates a bipartisan commission charged with 
reviewing and recommending long term goals for the effective 
operation of Medicaid.
Section 311: Deficit neutral reserve fund for patriotic employers of 
        national guardsmen and reservists
      The Senate amendment includes a reserve fund for deficit-
neutral legislation that provides a 50-percent tax credit to 
employees who are on active duty status as members of the Guard 
or Reserve to make up the difference between the employee's 
civilian pay and military pay and/or for compensation paid to a 
worker hired to replace an active duty Guard or Reserve 
employee.
Section 312: Deficit neutral reserve fund for the Family Opportunity 
        Act
      The Senate amendment includes a reserve fund for deficit-
neutral legislation that provides families of disabled children 
with the opportunity to purchase Medicaid coverage.
Section 313: Deficit neutral reserve fund for the restoration of SCHIP 
        funds
      The Senate amendment includes a reserve fund for deficit-
neutral legislation that provides for the restoration of 
unexpended funds under the State Children's Health Insurance 
Program that reverted to the Treasury on October 1, 2004 and 
that may provide for the redistribution of such funds for 
outreach and enrollment as well as for coverage initiatives.
Section 314: Reserve fund for funding of Hope credit
      The Senate amendment includes a reserve fund for deficit-
neutral legislation that increases the Hope credit to $4,000 
and makes the credit available for 4 years.
Section 315: Deficit neutral reserve fund for influenza vaccine 
        shortage prevention
      The Senate amendment includes a reserve fund for deficit-
neutral legislation that increases the participation of 
manufacturers in the production of influenza vaccine, and 
bioterror countermeasures, increase research and innovation in 
new technologies for the development of influenza vaccine, and 
enhances the ability of the United States to track and respond 
to domestic influenza outbreaks as well as pandemic containment 
efforts.
Section 316: Reserve fund for extension of treatment of combat pay for 
        earned income and child tax credits
      The Senate amendment includes a reserve fund for deficit 
neutral legislation that makes permanent the taxpayer election 
to treat combat pay otherwise excluded from gross income under 
section 112 of Internal Revenue Code as earned income for 
purposes of the earned income credit and makes permanent the 
treatment of such combat pay as earned income for purposes of 
the child tax credit.

                          CONFERENCE AGREEMENT

Section 301: Adjustment for Surface Transportation
      Section 301 of the conference agreement is similar to 
section 301 of the House resolution and section 309 of the 
Senate amendment and allows for adjustments to committee 
allocations for changes in surface transportation policy to the 
extent that amounts in excess of those assumed in this 
resolution must be offset by new revenues or a reduction in 
trust fund mandatory outlays.
Section 302: Reserve fund for the Family Opportunity Act
      Section 302 of the conference agreement retains the 
language of section 312 of the Senate amendment which provides 
for a reserve fund for legislation to enable the expansion of 
Medicaid coverage for children with special needs to permit 
their parents to purchase such coverage--with a modification. 
The conference agreement applies in both the House of 
Representatives and the Senate and permits the appropriate 
Budget Committee chairman to adjust committee allocations and 
other appropriate budgetary aggregates and allocations for 
legislation that is reported (and amendments thereto, or any 
conference report thereon) from the Senate Finance Committee, 
or the House Committee on Energy and Commerce, if the 
committees report legislation that expands Medicaid coverage 
for children with special needs to permit their parents to 
purchase such coverage. In order for the adjustments to be 
made, the Senate Finance Committee must be within its 302 
allocation, and the legislation reported by committees in both 
Houses must be deficit neutral in fiscal year 2006 and for the 
period of fiscal years 2006 through 2010.
Section 303: Reserve fund for the Federal Pell Grant Program
      Section 303 retains the language of section 305 of the 
Senate amendment which establishes a reserve fund for a measure 
that provides appropriations for the shortfall within the 
Federal Pell Grant program, with certain modifications. The 
reserve fund in the conference agreement applies in both the 
House of Representatives and the Senate and permits the 
appropriate Budget Committee chairman to adjust committee 
allocations and other appropriate budgetary aggregates and 
allocations by up to $4.3 billion in budget authority for the 
purpose of repaying the Pell shortfall. It may apply to a 
measure reported by the Appropriations Committee of either 
House, or by the relevant authorizing committee, though it is 
intended that the spending associated with this reserve fund be 
classified as mandatory. In order for the adjustments to be 
made, the committee in the Senate must be within its 302 
allocations, and the legislation reported by a committee in the 
House must be deficit-neutral in fiscal year 2006 and the 
period of fiscal years 2006 through 2010.
      A change in the way new Pell Grant spending is estimated 
is included in the ``Budget Enforcement'' of this conference 
agreement.
      Guidelines for estimating a bill, joint resolution, 
amendment or conference report providing budget authority for 
the shortfall in the Federal Pell Grant Program:
      Notwithstanding Rule 3 of the Budget Scorekeeping 
Guidelines set forth in the joint explanatory statement of the 
committee of conference accompanying Conference Report No. 105-
217, the provisions of any bill or joint resolution, amendment 
offered thereto or conference report submitted thereon, that 
provides budget authority for the shortfall in the Federal Pell 
Grant program, shall be treated as direct spending, under 
section 252 of the Balanced Budget and Emergency Deficit 
Control Act of 1985, by the Congressional Budget Office, and by 
the Chairmen of the House and Senate Budget Committees, as 
appropriate, under the Congressional Budget Act of 1974.
Section 304: Reserve fund for the uninsured
      The conference agreement retains the Senate (section 303) 
reserve fund for legislation relating to health insurance for 
the uninsured. The reserve fund is deficit-neutral. The reserve 
fund in the conference agreement applies in both the House of 
Representatives and the Senate.
Section 305: Reserve fund for the disposal of underutilized Federal 
        real property
      Section 304 establishes a reserve fund in the House of 
Representatives for Federal real property disposal. If the 
House Committee on Government Reform reports a bill designed to 
enhance the ability of the Federal government to dispose of 
unused and underutilized Federal real property assets, then the 
House Budget Committee Chairman may increase the allocation to 
that committee by $50 million in fiscal year 2006, and by the 
same amount over five years.
      The Federal government is one of the world's largest real 
property owners with a real estate portfolio of over 3.2 
billion square feet consisting of nearly 525,000 buildings 
valued at over $328 billion. The proposed reserve fund would 
facilitate the consideration of legislation to remove barriers 
that discourage the disposal of unneeded property and create 
incentives to encourage agencies to dispose of such property at 
fair market value, thereby increasing receipts to the Federal 
treasury.
Section 306: Reserve fund for health information technology and pay-
        for-performance
      The conference agreement retains the language of section 
301 of the Senate amendment, which establishes a reserve fund 
for health information technology and pay-for-performance, with 
a modification. The reserve fund in the conference agreement 
applies to the Senate and permits the Budget Committee chairman 
to adjust committee allocations and other appropriate budgetary 
aggregates and allocations for such purpose, except that the 
legislation must be deficit-neutral for the period of fiscal 
years 2006 through 2010.
Section 307: Reserve fund for Asbestos Injury Trust Fund
      The conference agreement retains with modification the 
Senate reserve fund (section 302) for legislation relating to 
the asbestos injury trust fund, which provides for monetary 
compensation to impaired victims of asbestos-related disease 
who can establish that asbestos exposure is a substantial 
contributing factor in causing their condition, does not 
compensate unimpaired claimants or those suffering from a 
disease who cannot establish asbestos exposure was a 
substantial factor causing their disease and is estimated to 
remain funded from non-taxpayer sources for the life of the 
fund. Assuming the Committee is within its allocation as 
provided under section 302(a) of the Congressional Budget Act 
of 1974 the Chairman of the Budget Committee may make the 
appropriate adjustments in allocations and aggregates to the 
extent that such legislation would not increase the deficit for 
the period of fiscal years 2006-2056.
Section 308: Reserve fund for energy legislation
      The conference agreement retains the Senate (section 307) 
reserve fund for legislation relating to national energy 
policy.
Section 309: Reserve fund for the safe importation of prescription 
        drugs
      The conference agreement retains the Senate (section 308) 
reserve fund for legislation relating to the safe importation 
of prescription drugs. The reserve fund is deficit-neutral.
Section 310: Reserve fund for the restoration of SCHIP funds
      The conference agreement retains the Senate (section 309) 
reserve fund for legislation relating to the restoration of 
SCHIP funds. The reserve fund is deficit-neutral.

                           BUDGET ENFORCEMENT

      Under section 301 of the Budget Act, the budget 
resolution may include special procedures to enforce the 
spending and revenue levels contained in the resolution and the 
allocations found in the accompanying joint statement of 
managers.

                            HOUSE RESOLUTION

Section 401: Emergency legislation
      Section 401 provides Congress with the authority to 
designate spending provisions as ``emergencies.'' It adopts 
criteria for evaluating emergency spending. It also exempts 
from budget controls supplemental appropriations for the 
Department of Defense for contingency operations related to the 
global war on terrorism.
      Section 401(a) provides a special exemption from budget 
controls for a supplemental spending measure for the Department 
of Defense for ``contingency operations related to the global 
war on terrorism.'' Though $50 billion has been budgeted for 
fiscal year 2006 in the budget resolution for this purpose, the 
final amount has yet to be determined. The final level of the 
supplemental will depend on the President's request and the 
response of the Appropriations committees of the House and the 
Senate.
      Subsection (b) exempts spending designated as an 
emergency from points of order and other provisions of the 
Congressional Budget Act.
Section 402: Compliance with section 13301 of 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.
Section 403: Application and effect of changes in allocations and 
        aggregates
      This section sets forth the procedures for making 
adjustments for 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.
      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.
Section 404: Restrictions on advance appropriations
      The section includes a general restriction that limits 
the programs that may receive an advance appropriation and the 
total level of such appropriations. Advance appropriations may 
be provided for the accounts in appropriation bills identified 
under the section ``Accounts Identified Advanced 
Appropriations'' in this Joint Statement of Managers on the 
Conference Report on the Budget Resolution in the section 
detailing the conference agreement. The amount in the House 
resolution was limited for these accounts to $23.568 billion in 
budget authority. The amount is essentially the same as 
provided in previous budget resolutions, but it was adjusted to 
reflect advance appropriations provided for any year.
      The section defines an ``advance appropriation'' as any 
new discretionary budget authority making general 
appropriations or continuing appropriations for fiscal year 
2006 that first becomes available for any fiscal year after 
2006.
Section 405: Special rule in the House for certain 302(b) 
        suballocations
      Under section 302(b) of the Congressional Budget Act of 
1974, the Appropriations Committee suballocates its section 
302(a) allocation among its various subcommittees. The recent 
reorganization of the House Appropriations subcommittees, 
however, eliminated the subcommittee responsible for 
legislative branch appropriations. To allow the House 
Appropriations Committee to report a bill providing legislative 
branch appropriations and then go to conference with the Senate 
on that bill, a special rule was required that allows the House 
Appropriations Committee to make a section 302(b) suballocation 
for legislative branch operations.
Section 406: Special procedures to achieve savings in mandatory 
        spending through fiscal year 2014
      Section 406 describes the sense of Congress that during 
the four fiscal years following the budget year, at least every 
other concurrent resolution on the budget should include 
reconciliation instructions to authorizing committees to 
achieve significant savings in mandatory spending.

                            SENATE AMENDMENT

Section 401: Restrictions on advance appropriations
      The Senate amendment includes language limiting the use 
of advance appropriations. This restriction was first included 
in the fiscal year 2001 budget resolution and was included and 
revised in the conference agreements for the 2002, 2004, and 
2005 resolutions as well. The Senate amendment restricts 
advance appropriations to an annual limit of $23.393 billion to 
both the fiscal years 2006 and 2007 appropriation bills and 
limits permissible advance appropriations to those programs 
that are listed in the statement of managers accompanying the 
conference report on the budget resolution.
      The list of permissible advances in the respective 
appropriations bill is as follows:

             ACCOUNTS IDENTIFIED FOR ADVANCE APPROPRIATIONS

      Interior: Elk Hills
      Labor, HHS:
            Corporation for Public Broadcasting
            Employment and Training Administration
            Education for the Disadvantaged
            School Improvement
            Children and Family Services (Head Start)
            Special Education
            Vocational and Adult Education
      Transportation, Treasury:
            Payment to Postal Service
            Section 8 Renewals
Section 402: Emergency legislation
      In general, the Senate's emergency rule addresses three 
issues with respect to emergency spending: the ability to 
designate spending as an emergency, the restatement of the 
Senate point of order with respect to the use of that 
designation, and the exemption of defense appropriations and 
overseas contingent operations from that point of order.
Section 403: Supermajority Enforcement
      Section 403 of the Senate amendment extends the 60-vote 
requirement for points of order, waivers and appeals with 
respect to those budget-related points of order for which this 
requirement would have expired on September 30, 2008 for an 
additional two years (until September 30, 2010).
      Section 403 also extends the supermajority enforcement of 
waivers and appeals to the unfunded mandates points of order 
(section 425(a)(1) and (2) of the Congressional Budget Act of 
1974) for five years (until September 30, 2010). For the past 
10 years, these points of order could have been waived by a 
simple majority vote.
Section 404: Discretionary spending limits in the Senate
      Section 404 of the Senate amendment sets out 
congressional discretionary spending limits for the first three 
years covered by the 2006 budget resolution (fiscal years 2006, 
2007 and 2008) with respect to both budget authority and 
outlays for the first year, and budget authority for the second 
and third years. Since the advent of statutory discretionary 
spending limits in 1990, a majority of budget resolution 
conference reports have included language dealing with 
`congressional caps.'
      Section 404 of the Senate amendment sets the following 
amounts as the discretionary spending limits:
            For fiscal year 2006: $848.1 billion in new budget 
        authority and $916.4 billion in outlays for the 
        discretionary category.
            For fiscal year 2007: $868.5 billion in new budget 
        authority for the discretionary category.
            For fiscal year 2008: $891.4 billion in new budget 
        authority for the discretionary category.
      The Senate amendment also provides for a number of cap 
adjustments. The cap adjustments permit the chairman of the 
Committee on the Budget to increase the discretionary spending 
limit, the section 302(a) allocation to the Committee on 
Appropriations, and any other appropriate levels in the 
resolution if an appropriations bill provides additional 
resources for the programs specified in the adjustment. The 
resolution allows for adjustments to discretionary spending 
limits for four program integrity programs: continuing 
disability reviews, internal revenue service tax enforcement, 
health care fraud and abuse control, and unemployment insurance 
improper payments.
Section 405: Application and effect of changes in allocations and 
        aggregates
      The Senate amendment also provides for a number of cap 
adjustments. The cap adjustments permit resolution retains 
language from previous resolutions clarifying the process for 
implementing any adjustment made pursuant to the reserve funds 
and discretionary adjustments and the status of these adjusted 
levels. It also clarifies that the Budget Committee determines 
scoring for purposes of points of order.
Section 406: Adjustments to reflect changes in concepts and definitions
      Section 406(a) of the Senate amendment also allows 
adjustments for changes in budgetary concepts. It provides that 
upon enactment of legislation that changes funding of an 
existing program from discretionary to mandatory (or vice 
versa) the chairman of the Committee on the Budget will adjust 
the levels in this budget resolution (including the 
discretionary spending limits) to reflect such a change.
      Section 406(b) sets forth a change in the way the Federal 
Pell Grant Program should be estimated upon the adoption of the 
FY 2006 budget resolution.
Section 407: Limitation on long-term spending proposals
      Section 407 creates a new point of order against 
legislation that would cause a net increase in direct spending 
in excess of $5,000,000,000 in any of the four ten-year periods 
beginning in 2016 through 2055, as measured against current 
out-year estimates prepared by the Congressional Budget Office.
      The point of order may be waived by 60 votes. An appeal 
of the ruling of the chair also requires 60 votes. The section 
will remain in effect until September 30, 2010.
Section 408: Exercise of rulemaking powers.
      The Senate amendment restates the Congress's authority to 
legislate its rules of procedure.

                          CONFERENCE AGREEMENT

Section 401: Restrictions on advance appropriations
      Section 401 reflects an overall limit on advance 
appropriations of $23.158 billion in fiscal year 2007, which is 
the same limit on advance appropriations as has been included 
in all previous limitations on advance appropriations in past 
budget resolutions.
      The list of permissible advances is as follows:

      ACCOUNTS IDENTIFIED FOR ADVANCE APPROPRIATIONS IN THE SENATE

      Defense: Shipbuilding and Conversion, Navy
      Interior: Elk Hills.
      Labor, HHS:
            Corporation for Public Broadcasting
            Employment and Training Administration
            Education for the Disadvantaged
            School Improvement
            Children and Family Services (Head Start)
            Special Education
            Vocational and Adult Education
      Transportation, Treasury: Payment to Postal Service
      Veterans, HUD: Section 8 Renewals

      ACCOUNTS IDENTIFIED FOR ADVANCE APPROPRIATIONS IN THE HOUSE

          PART A: ADVANCE APPROPRIATIONS FOR FISCAL YEAR 2007

Elk Hills
Employment and Training Administration
Education for the Disadvantaged
School Improvement
Child and Family Services [Head Start]
Special Education
Vocational and Adult Education
Payment to Postal Service
Section 8 Renewals
Shipbuilding and Conversion, Navy

          PART B: ADVANCE APPROPRIATIONS FOR FISCAL YEAR 2008

Corporation for Public Broadcasting
Section 402: Emergency legislation
      Section 402(a) of the conference agreement largely 
follows section 401 of the House resolution with respect to the 
rule on emergency spending and the designation for contingency 
operations related to the global war on terrorism.
      Section 402(b) follows the Senate amendment with regard 
to emergency spending and its exemption for overseas contingent 
operations.
      Section 402(c) of the conference agreement sets forth 
common criteria for both Houses of Congress for spending that 
may be properly defined as an emergency requirement. In order 
to trigger the exemptions included in this section in either 
the House of Representatives or the Senate, spending must be 
`designated by the Congress to be emergency legislation 
pursuant to section 402 of H. Con. Res. 95.'
Section 403: Extension of Senate enforcement
      Section 403 of the conference agreement contains language 
similar to section 403 of the Senate amendment. It extends 
voting requirements applicable to Senate budget enforcement 
procedures.
Section 404: Discretionary spending limits in the Senate
      Section 404 of the conference agreement retains the 
language of section 404 of the Senate amendment, with adjusted 
figures to reflect the conference agreement.
Section 405: Application and effect of changes in allocations and 
        aggregates
      Section 405 of the conference agreement retains the 
language of section 403 of the House resolution (which is 
identical to section 405 of the Senate amendment) clarifying 
both the process for making adjustments under the reserve funds 
and the status of the adjusted levels. It also determines 
scoring for purposes of enforcing budget related points of 
order.
Section 406: Adjustments to reflect changes in concepts and definitions
      The House recedes to the Senate on section 406 of the 
Senate amendment with an amendment. Subsection 406(a) 
authorizes the chairmen of the Committees on the Budget of the 
House and the Senate to adjust the resolution to take into 
account changes in budgetary concepts and definitions upon 
enactment of such legislation.
      Subsection 406(b) retains the language from section 406 
of the Senate amendment regarding a change in the rules used to 
estimate the annual cost of the Federal Pell Grant program, and 
made it applicable in both the House of Representatives and the 
Senate.
Section 407: Limitation on long-term spending proposals.
      Section 407(a) requires that the Director of the 
Congressional Budget Office prepare for the House and Senate, 
an analysis of measures that would cause a net increase in 
direct spending in excess of $5,000,000,000 in any of the four 
ten-year periods beginning in 2016 through 2055.
      Section 407(b) creates a new point of order in the Senate 
against any legislation that exceeds the threshold specified in 
subsection (a). The point of order may be waived and the 
rulings of the chair may be appealed by 60 votes.
      The section remains in effect until September 30, 2010.
Section 408: Compliance with section 13301 of the Budget Enforcement 
        Act of 1990
      Section 408 of the conference agreement retains the 
language of section 402 of the House resolution, and applies it 
to the Senate. That section provides for the budgetary 
treatment of discretionary spending for the Social Security 
Administration.
Section 409: Exercise of rulemaking powers
      In section 409, the House recedes to section 408 of the 
Senate amendment, which affirms that the budget resolution is 
an act of congressional rulemaking and subject to revisions by 
either House. Section 409 of the conference agreement states 
the authority by which Congress adopts the various budgetary 
enforcement rules and procedures for the consideration of 
certain legislation set out in the budget resolution.
Section 410: Treatment of allocations in the House
      This section is identical to section 405 of the House-
passed budget resolution, and applies only in the House of 
Representatives, and adds a clarification on the display of 
allocations to authorizing committees made pursuant to section 
302(a) of the Congressional Budget Act of 1974.
Section 411: Special procedures to achieve savings in mandatory 
        spending through 2014
      This section is identical to section 406 of the House-
passed budget resolution, and applies only in the House of 
Representatives.

                     SENSES OF THE HOUSE AND SENATE

                            HOUSE RESOLUTION

      The House resolution contains one section (in title IV of 
that resolution) that included a `Sense of the House.'

                            SENATE AMENDMENT

      The Senate amendment contains twenty-eight sections 
dealing with `Sense of the Senate' provisions that were adopted 
either during the committee consideration of the resolution or 
during consideration on the Senate floor:
      Section 501: Sense of the Senate regarding unauthorized 
appropriations
      Section 502: Sense of the Senate regarding a commission 
to review the performance of programs
      Section 503: Sense of the Senate regarding Tricare
      Section 504: Sense of the Senate regarding restraining 
Medicaid growth
      Section 505: Sense of the Senate regarding tribal 
colleges and universities
      Section 506: Sense of the Senate regarding support for 
the President's request to concentrate Federal funds for State 
and local homeland security assistance programs on the highest 
threats, vulnerabilities, and needs
      Section 507: Sense of the Senate rejecting proposed 
elimination of per diem reimbursement to State nursing homes in 
the President's budget
      Section 508: Sense of the Senate regarding Impact Aid
      Section 509: Sense of the Senate regarding mandatory 
agricultural programs
      Section 510: Sense of the Senate regarding social 
security restructuring
      Section 511: Sense of the Senate that failing to address 
social security will result in massive debt, deep benefit cuts 
and tax increases
      Section 512: Sense of the Senate regarding the State 
Criminal Alien Assistance Program
      Section 513: Sense of the Senate regarding funding for 
subsonic and hypersonic aeronautics research by the National 
Aeronautics and Space Administration
      Section 514: Sense of the Senate concerning children with 
HIV/AIDS
      Section 515: Sense of the Senate regarding the 
acquisition of the next generation destroyer (DDX)
      Section 516: Sense of the Senate on reducing the tax on 
social security benefits
      Section 517: Sense of the Senate on the crime victims 
fund
      Section 518: Sense of the Senate supporting funding for 
HIDTAS
      Section 519: Sense of the Senate regarding the need for a 
comprehensive, coordinated, and integrated national ocean 
policy
      Section 520. United States response to global HIV/AIDS, 
tuberculosis, and malaria
      Section 521. Offset for increases in funding for the Cops 
Methamphetamine Enforcement and Clean Up Program
      Section 522: Sense of the Senate regarding foreign-owned 
debt
      Section 523: Sense of the Senate regarding tax relief to 
encourage charitable giving
      Section 524: Sense of the Senate regarding water 
infrastructure
      Section 525: Sense of the Senate regarding funding of 
administrative costs of Social Security Administration
      Section 526: Sense of the Senate concerning comparative 
effectiveness studies
      Section 527: Sense of the Senate regarding the Advanced 
Technology Program
      Section 528: Sense of the Senate with respect to pension 
reform

                          CONFERENCE AGREEMENT

      The conference agreement contains the following 
provisions:
      Section 501: Sense of the Senate regarding unauthorized 
appropriations
      Section 502: Sense of the Senate regarding a commission 
to review the performance of programs
      Section 503: Sense of the Senate regarding Tricare
      Section 504: Sense of the Senate regarding tribal 
colleges and universities
      Section 505: Sense of the Senate regarding social 
security restructuring
      Section 506: Sense of the Senate regarding funding for 
subsonic and hypersonic aeronautics research by the National 
Aeronautics and Space Administration
      Section 507: Sense of the Senate regarding the 
acquisition of the next generation destroyer (DDX)

                              ALLOCATIONS

      As required in section 302 of the Congressional Budget 
Act, the joint statement of managers includes an allocation, 
based on the conference agreement, of total budget authority 
and total budget outlays among each of the appropriate 
committees. The allocations are as follow:

   ALLOCATION OF SPENDING AUTHORITY TO HOUSE APPROPRIATIONS COMMITTEE
                        [In millions of dollars]
------------------------------------------------------------------------
                                               2005            2006
------------------------------------------------------------------------
Discretionary Action:
    BA..................................         840,036         843,020
    OT..................................         929,520         916,836
Current Law Mandatory:
    BA..................................         483,881         528,504
    OT..................................         460,908         510,843
------------------------------------------------------------------------


                 ALLOCATIONS OF SPENDING AUTHORITY TO HOUSE COMMITTEES OTHER THAN APPROPRIATIONS
                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                                   Total  2005-                     Total 2006-
                                                       2005            2009            2006            2010
----------------------------------------------------------------------------------------------------------------
               Agriculture Committee
 
Current Law:
    BA..........................................          25,410         101,716          25,882          82,931
    OT..........................................          25,320         101,173          25,244          82,359
Reconciliation:
    BA..........................................  ..............  ..............            -173          -3,000
    OT..........................................  ..............  ..............            -173          -3,000
Reauthorizations:
    BA..........................................  ..............          82,160  ..............         131,495
    OT..........................................  ..............          80,586  ..............         129,886
 
             Armed Services Committee
 
Current Law:
    BA..........................................          85,355         473,465          91,209         494,600
    OT..........................................          85,245         473,045          91,129         494,215
 
     Committee on Education and the Workforce
 
Current Law:
    BA..........................................           9,726          47,046           9,080          47,155
    OT..........................................           9,564          46,462           8,215          47,512
Discretionary Action:
    BA..........................................  ..............             400             100             500
    OT..........................................  ..............             400             100             500
Reconciliation:
    BA..........................................  ..............  ..............            -966          -8,971
    OT..........................................  ..............  ..............            -992         -12,651
Reauthorizations:
    BA..........................................  ..............          11,219           2,720          14,657
    OT..........................................  ..............           8,797           1,088          12,061
 
           Energy and Commerce Committee
 
Current Law:
    BA..........................................         161,936       1,155,178         207,337       1,293,242
    OT..........................................         161,946       1,157,483         207,955       1,295,935
Discretionary Action:
    BA..........................................  ..............           1,525             100           2,000
    OT..........................................  ..............           1,525             100           2,000
Reconciliation:
    BA..........................................  ..............  ..............              -2         -14,844
    OT..........................................  ..............  ..............              -2         -14,734
Reauthorizations:
    BA..........................................  ..............          10,080  ..............          15,120
    OT..........................................  ..............           5,985  ..............          10,845
 
           Financial Services Committee
 
Current Law:
    BA..........................................           5,364          17,669           3,193          15,258
    OT..........................................           3,218          -2,737            -116          -8,873
Reconciliation:
    BA..........................................  ..............  ..............             -60            -300
    OT..........................................  ..............  ..............             -30            -470
 
            Government Reform Committee
 
Current Law:
    BA..........................................          70,524         382,713          75,531         398,024
    OT..........................................          69,395         369,316          70,624         382,349
Discretionary Action:
    BA..........................................  ..............              50              50              50
    OT..........................................  ..............              50              50              50
 
         Committee on House Administration
 
Current Law:
    BA..........................................              77             370              72             366
    OT..........................................              20             325              15             323
 
          Committee on Homeland Security
 
Current Law:
    BA..........................................           1,217           6,054           1,262           6,051
    OT..........................................           1,109           6,057           1,157           6,205
 
         International Relations Committee
 
Current Law:
    BA..........................................          10,782          61,081          11,532          63,726
    OT..........................................          11,051          59,403          11,939          60,966
 
                Judiciary Committee
 
Current Law:
    BA..........................................           5,192          27,222           6,519          27,264
    OT..........................................           5,159          27,013           5,664          29,983
Discretionary Action:
    BA..........................................  ..............               6               6               6
    OT..........................................  ..............               6               6               6
Reconciliation:
    BA..........................................  ..............  ..............             -60            -300
    OT..........................................  ..............  ..............             -60            -300
 
                Resources Committee
 
Current Law:
    BA..........................................           5,612          24,776           5,245          22,912
    OT..........................................           4,354          22,534           4,699          22,350
Discretionary Action:
    BA..........................................               6              45               8              50
    OT..........................................               6              45               8              50
Reconciliation:
    BA..........................................  ..............  ..............  ..............          -2,400
    OT..........................................  ..............  ..............  ..............          -2,400
 
                 Science Committee
 
Current Law:
    BA..........................................             119             604             131             606
    OT..........................................              79             442              80             467
 
             Small Business Committee
 
Current Law:
    BA..........................................           1,702           1,702  ..............  ..............
    OT..........................................           1,702           1,702  ..............  ..............
 
    Transportation and Infrastructure Committee
 
Current Law:
    BA..........................................          41,675         104,284          17,141          77,176
    OT..........................................          11,526          67,912          14,097          71,000
Discretionary Action:
    BA..........................................           3,488          12,238           3,027           4,107
    OT..........................................  ..............  ..............  ..............  ..............
Reconciliation:
    BA..........................................  ..............  ..............             -12            -100
    OT..........................................  ..............  ..............             -12            -103
Reauthorizations:
    BA..........................................          14,449         195,237          43,347         227,835
    OT..........................................              58           1,955             262           2,515
 
            Veterans' Affairs Committee
 
Current Law:
    BA..........................................           2,162           7,265           1,293           6,327
    OT..........................................           2,191           7,438           1,353           6,498
Reauthorizations:
    BA..........................................  ..............           5,890             558           9,011
    OT..........................................  ..............           5,726             538           8,796
 
             Ways and Means Committee
 
Current Law:
    BA..........................................         653,873       3,796,797         690,460       4,066,577
    OT..........................................         656,155       3,803,436         692,761       4,071,184
Discretionary Action:
    BA..........................................             554           1,800             350           1,537
    OT..........................................              64           1,558             346           1,914
Reconciliation:
    BA..........................................  ..............  ..............            -250          -1,000
    OT..........................................  ..............  ..............            -250          -1,000
Reauthorizations:
    BA..........................................           7,954          89,139          19,622         102,030
    OT..........................................           5,681          84,462          17,299          99,617
----------------------------------------------------------------------------------------------------------------


SENATE COMMITTEE BUDGET AUTHORITY AND OUTLAY ALLOCATIONS PURSUANT TO SECTION 302 OF THE CONGRESSIONAL BUDGET ACT
                                             BUDGET YEAR TOTAL 2005
                                            [In billions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                   Direct spending jurisdiction    Entitlements funded in annual
                                                 --------------------------------       appropriaitons acts
                    Committee                                                    -------------------------------
                                                      Budget          Outlays         Budget
                                                     authority                       authority        Outlays
----------------------------------------------------------------------------------------------------------------
Appropriations:
    General Purpose Discretionary...............         840.036         929.520
        Memo:
            on-budget...........................         835.610         925.115
            off-budget..........................           4.426           4.405
Agriculture, Nutrition, and Forestry............          25.258          25.148          71.954          49.563
Armed Services..................................          85.351          85.240           0.041           0.061
Banking, Housing and Urban Affairs..............          14.779           6.052           0.000          -0.047
Commerce, Science, and Transportation...........          13.635           8.218           1.082           0.889
Energy and Natural Resources....................           5.124           3.922           0.004           0.005
Environment and Public Works....................          39.395           2.056           0.000           0.000
Finance.........................................         820.963         821.355         350.443         350.266
Foreign Relations...............................          10.785          11.054           0.172           0.172
Governmental Affairs............................          71.750          70.621          18.219          18.219
Judiciary.......................................           6.009           6.076           0.578           0.564
Health, Education, Labor, and Pensions..........          13.952          13.946           3.988           3.889
Rules and Administration........................           0.076           0.019           0.113           0.112
Intelligence....................................           0.000           0.000           0.239           0.239
Veterans' Affairs...............................           2.161           2.190          36.996          36.924
Indian Affairs..................................           0.555           0.562           0.000           0.000
Small Business..................................           1.702           1.702           0.000           0.000
Unassigned to Committee.........................        -434.360        -420.248           0.000           0.000
                                                 ---------------------------------------------------------------
    Total.......................................         677.135         637.913         483.829         460.856
----------------------------------------------------------------------------------------------------------------


  SENATE COMMITTEE BUDGET AUTHORITY AND OUTLAY ALLOCATIONS PURSUANT TO SECTION 302 OF THE CONGRESSIONAL BUDGET
                                           ACT--BUDGET YEAR TOTAL 2006
                                            [In billions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                   Direct spending jurisdiction    Entitlements funded in annual
                                                 --------------------------------       appropriations acts
                    Committee                                                    -------------------------------
                                                      Budget          Outlays         Budget
                                                     authority                       authority        Outlays
----------------------------------------------------------------------------------------------------------------
Appropriations:
    General Purpose Discretionary...............         842.265         916.081  ..............  ..............
        Memo:
            On-budget...........................         837.689         911.494  ..............  ..............
                                                 ---------------------------------------------------------------
            Off-budget..........................           4.576           4.587  ..............  ..............
Agriculture, Nutrition, and Forestry............          25.721          25.061          69.535          50.456
Armed Services..................................          91.206          91.125           0.040           0.060
Banking, Housing, and Urban Affairs.............          13.507           2.957           0.000          -0.014
Commerce, Science, and Transportation...........          13.078           7.575           0.928           0.921
Energy and Natural Resources....................           4.600           4.135           0.054           0.060
Environment and Public Works....................          39.389           2.154           0.000           0.000
Finance.........................................         921.381         923.335         401.199         401.160
Foreign Relations...............................          11.532          11.939           0.174           0.174
Governmental Affairs............................          74.698          71.791          18.611          18.611
Judiciary.......................................           7.387           6.528           0.580           0.592
Health, Education, Labor, and Pensions..........          13.180          11.578           4.100           3.979
Rules and Administration........................           0.072           0.015           0.118           0.117
Intelligence....................................           0.000           0.000           0.245           0.245
Veterans' Affairs...............................           1.293           1.353          36.198          36.108
Indian Affairs..................................           0.559           0.547           0.000           0.000
Small Business..................................           0.000           0.000           0.000           0.000
Unassigned to Committee.........................        -496.329        -484.403           0.000           0.000
                                                 ---------------------------------------------------------------
    Total.......................................         721.274         675.690         531.782         512.469
----------------------------------------------------------------------------------------------------------------


  SENATE COMMITTEE BUDGET AUTHORITY AND OUTLAY ALLOCATIONS PURSUANT TO SECTION 302 OF THE CONGRESSIONAL BUDGET
                                          ACT--5-YEAR TOTAL: 2006-2010
                                            [In billions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                   Direct spending jurisdiction    Entitlements funded in annual
                                                 --------------------------------       appropriations acts
                    Committee                                                    -------------------------------
                                                      Budget          Outlays         Budget
                                                     authority                       authority        Outlays
----------------------------------------------------------------------------------------------------------------
Agriculture, Nutrition, and Forestry............         111.747         111.108         341.876         260.136
Armed Services..................................         494.585         494.199           0.200           0.270
Banking, Housing, and Urban Affairs.............          74.258           9.668           0.000          -0.028
Commerce, Science, and Transportation...........          68.875          40.886           5.076           5.054
Energy and Natural Resources....................          19.461          18.898           0.268           0.277
Environment and Public Works....................         180.812           9.994           0.000           0.000
Finance.........................................       5,505.551       5,517.365       2,424.576       2,423.728
Foreign Relations...............................          63.726          60.966           0.794           0.794
Governmental Affairs............................         402.936         387.261          99.879          99.879
Judiciary.......................................          32.071          31.766           2.941           2.979
Health, Education, Labor, and Pensions..........          68.205          62.245          21.289          20.734
Rules and Administration........................           0.366           0.323           0.640           0.639
Intelligence....................................           0.000           0.000           1.314           1.314
Veterans' Affairs...............................           6.327           6.498         185.814         185.182
Indian Affairs..................................           2.555           2.682           0.000           0.000
Small Business..................................           0.000           0.000           0.000           0.000
----------------------------------------------------------------------------------------------------------------

PAY-AS-YOU-GO SCORECARD FOR THE SENATE REFLECTING LEVELS FOR THE 
CONFERENCE AGREEMENT:

                 [In billions of dollars, fiscal years]

2005.............................................................. 0.436
2006..............................................................16.849
2006-2010.........................................................75.580
2011-2015....................................................... 274.999

                          Economic Assumptions

      Section 301(g)(2) of the Congressional Budget Act 
requires that the joint explanatory statement accompanying a 
conference report on a budget resolution set forth the common 
economic assumptions upon which the joint statement and 
conference report are based. The Conference Agreement is built 
upon the economic forecasts developed by the Congressional 
Budget Office and presented in CBO's ``The Budget and Economic 
Outlook: Fiscal Years 2006-2015'' (January 2005).

                            HOUSE RESOLUTION

      CBO's economic assumptions were used.

                            SENATE AMENDMENT

      CBO's economic assumptions were used.

                          CONFERENCE AGREEMENT

      CBO's economic assumptions were used.

                                  ECONOMIC ASSUMPTIONS OF THE BUDGET RESOLUTION
                                           [Calendar years 2005-2010]
----------------------------------------------------------------------------------------------------------------
                                                   2005       2006       2007       2008       2009       2010
----------------------------------------------------------------------------------------------------------------
Real GDP (percentage change year over year)...        3.8        3.7        3.7        3.4        3.1        2.9
GDP Price Index (percentage change year over          1.8        1.5        1.7        1.8        1.8        1.8
 year)........................................
Consumer Price Index (percentage change year          2.4        1.9        2.1        2.2        2.2        2.2
 over year)...................................
Unemployment Rate (percent, annual average)...        5.2        5.2        5.2        5.2        5.2        5.2
3-month Treasury Bill Rate (percent, annual           2.8        4.0        4.6        4.6        4.6        4.6
 average).....................................
10-year Treasury Note Yield (percent, annual          4.8        5.4        5.5        5.5        5.5        5.5
 average).....................................
----------------------------------------------------------------------------------------------------------------

 PUBLIC DEBT: AMENDING THE STATUTORY LIMIT PURSUANT TO HOUSE RULE XXVII

      The adoption of this conference agreement 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 House Rule XXVII. In consonance with 
clause 3 of that rule, the conferees contemplate a joint 
resolution of the following form:
      Resolved, by the Senate and the House of Representatives 
of the United States of America in Congress assembled, That 
subsection (b) of section 3101 of title 31, United States Code, 
is amended by striking out the dollar limitation contained in 
such subsection and inserting in lieu thereof 
$8,965,000,000,000.
      If the joint resolution is enacted to raise the debt 
limit to the level contemplated by this conference agreement, 
the limit will be increased from $8.184 trillion to $8.965 
trillion, an increase of $781 billion.
      Legislative jurisdiction over the public debt remains 
with the Finance Committee in the Senate and the Committee on 
Ways and Means in the House.
                                   Jim Nussle,
                                   Jim Ryun,
                                 Managers on the Part of the House.

                                   Judd Gregg,
                                   Pete Domenici,
                                   Chuck Grassley,
                                   Wayne Allard,
                                Managers on the Part of the Senate.

                                  
