[Constitution, Jefferson's Manual, and the Rules of the House of Representatives, 104th Congress]
[104th Congress]
[House Document 103-342]
[Miscellaneous Provisions Of Congressional Budget Laws]
[Pages 949-978]
[From the U.S. Government Publishing Office, www.gpo.gov]



[[Page 949]]

 

            BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT


 EXCERPTS FROM THE BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT OF 
                               __________


These excerpts are provided for quick reference. They include the 
provisions of the Act that relate directly to legislative procedure. A 
more thorough understanding of the statutory scheme requires the full 
statutory text (see 2 U.S.C. 900 et seq.).

SEC. 250. TABLE OF CONTENTS; STATEMENT OF BUDGET ENFORCEMENT THROUGH 
                                  1985


        SEQUESTRATION; DEFINITIONS.


         *            *            *            *            *        

    (c) Definitions.--As used in this part:

  (1) The terms ``budget authority'', ``new budget authority'', 
``outlays'', and ``deficit'' have the meanings given to such terms in 
section 3 of the Congressional Budget and Impoundment Control Act of 
1974 (but including the treatment specified in section 257(b)(3) of the 
Hospital Insurance Trust Fund) and the terms ``maximum deficit amount'' 
and ``discretionary spending limit'' shall mean the amounts specified in 
section 601 of that Act as adjusted under sections 251 and 253 of this 
Act.

  (2) The terms ``sequester'' and ``sequestration'' refer to or mean the 
cancellation of budgetary resources provided by discretionary 
appropriations or direct spending law.

  (3) The term ``breach'' means, for any fiscal year, the amount (if 
any) by which new budget authority or outlays for that year (within a 
category of discretionary appropriations) is above that category's 
discretionary spending limit for new budget authority or outlays for 
that year, as the case may be.

  (4) The term ``category'' means:

          (A) For fiscal years 1991, 1992, and 1993, any of the 

        following subsets of discretionary appropriations: defense, 


[[Page 950]]
        international, or domestic. Discretionary appro

        priations in each of the three categories shall be those so designated 

        in the joint statement of managers accompanying the conference 

        report on the Omnibus Budget Reconciliation Act of 1990. New 

        accounts or activities shall be categorized in consultation with 

        the Committees on Appropriations and the Budget of the House of 

        Representatives and the Senate.

          (B) For fiscal years 1994 and 1995, all discretionary 

        appropriations.
Contributions to the United States to offset the cost of Operation 
Desert Shield shall not be counted within any category.

  (5) The term ``baseline'' means the projection (described in section 
257) of current-year levels of new budget authority, outlays, receipts, 
and the surplus or deficit into the budget year and the outyears.

  (6) The term ``budgetary resources'' means--

          (A) with respect to budget year 1991, new budget authority; 

        unobligated balances; new loan guarantee commitments or 

        limitations; new direct loan obligations, commitments, or 

        limitations; direct spending authority; and obligation 

        limitations; or

          (B) with respect to budget year 1992, 1993, 1994, or 1995, new 

        budget authority; unobligated balances; direct spending 

        authority; and obligation limitations.

  (7) The term ``discretionary appropriations'' means budgetary 
resources (except to fund direct-spending programs) provided in 
appropriation Acts.

  (8) The term ``direct spending'' means--

          (A) budget authority provided by law other than appropriation 

        Acts;

          (B) entitlement authority; and

          (C) the food stamp program.

  (9) The term ``current'' means, with respect to OMB estimates included 
with a budget submission under section 1105(a) of title 31, United 
States Code, the estimates consistent with the economic and technical 
assumptions underlying that budget and with respect to estimates made 
after submission of the fiscal year 1992 budget that are not included 
with a budget submission, estimates consistent with the economic and 
technical assumptions underlying the most recently submitted President's 
budget.


[[Page 951]]

  (10) The term ``real economic growth'', with respect to any fiscal 
year, means the growth in the gross national product during such fiscal 
year, adjusted for inflation, consistent with Department of Commerce 
definitions. 

  (11) The term ``account'' means an item for which appropriations are 
made in any appropriation Act and, for items not provided for in 
appropriation Acts, such term means an item for which there is a 
designated budget account identification code number in the President's 
budget.

  (12) The term ``budget year'' means, with respect to a session of 
Congress, the fiscal year of the Government that starts on October 1 of 
the calendar year in which that session begins.

  (13) The term ``current year'' means, with respect to a budget year, 
the fiscal year that immediately precedes that budget year.

  (14) The term ``outyear'' means, with respect to a budget year, any of 
the fiscal years that follow the budget year through fiscal year 1995.

  (15) The term ``OMB'' means the Director of the Office of Management 
and Budget.

  (16) The term ``CBO'' means the Director of the Congressional Budget 
Office.

  (17) For purposes of sections 252 and 253, legislation enacted during 
the second session of the One Hundred First Congress shall be deemed to 
have been enacted before the enactment of this Act.

  (18) As used in this part, all references to entitlement authority 
shall include the list of mandatory appropriations included in the joint 
explanatory statement of managers accompanying the conference report on 
the Omnibus Budget Reconciliation Act of 1990.

  (19) The term ``deposit insurance'' refers to the expenses of the 
Federal Deposit Insurance Corporation and the funds it incorporates, the 
Resolution Trust Corporation, the National Credit Union Administration 
and the funds it incorporates, the Office of Thrift Supervision, the 
Comptroller of the Currency Assessment Fund, and the RTC Office of 
Inspector General.

  (20) The term ``composite outlay rate'' means the percent of new 
budget authority that is converted to outlays in the fiscal year for 
which the budget authority is provided and subsequent fiscal years, as 
follows:

          (A) For the international category, 46 percent for the first 

        year, 20 percent for the second year, 16 percent for the third 

        year, and 8 percent for the fourth year.

          (B) For the domestic category, 53 percent for the first year, 

        31 percent for the second year, 12 percent for the third year, 

        and 2 percent for the fourth year. 

[[Page 952]]

        

  (21) The sale of an asset means the sale to the public of any asset, 
whether physical or financial, owned in whole or in part by the United 
States. The term ``prepayment of a loan'' means payments to the United 
States made in advance of the schedules set by law or contract when the 
financial asset is first acquired, such as the prepayment to the Federal 
Financing Bank of loans guaranteed by the Rural Electrification 
Administration. If a law or contract allows a flexible payment schedule, 
the term ``in advance'' shall mean in advance of the slowest payment 
schedule allowed under such law or contract.
SEC. 251. ENFORCING DISCRETIONARY SPENDING LIMITS.

  (a) Fiscal Years 1991-1998 Enforcement.--

          (1) Sequestration.--Within 15 calendar days after Congress 

        adjourns to end a session and on the same day as a sequestration 

        (if any) under section 252 and section 253, there shall be a 

        sequestration to eliminate a budget-year breach, if any, within 

        any category.

          (2) Eliminating a breach.--Each non-exempt account within a 

        category shall be reduced by a dollar amount calculated by 

        multiplying the baseline level of sequestrable budgetary 

        resources in that account at that time by the uniform percentage 

        necessary to eliminate a breach within that category; except 

        that the health programs set forth in section 256(e) shall not 

        be reduced by more than 2 percent and the uniform percent 

        applicable to all other programs under this paragraph shall be 

        increased (if necessary) to a level sufficient to eliminate that 

        breach. If, within a category, the discretionary spending limits 

        for both new budget authority and outlays are breached, the 

        uniform percentage shall be calculated by--

                  (A) first, calculating the uniform percentage 

                necessary to eliminate the breach in new budget 

                authority, and

                  (B) second, if any breach in outlays remains, 

                increasing the uniform percentage to a level sufficient 

                to eliminate that breach.

          (3) Military personnel.--If the President uses the authority 

        to exempt any military personnel from sequestration under 

        section 255(h), each account within subfunctional category 051 

        (other than those military personnel accounts for which the 

        authority provided under section 255(h) has been exercised) 


[[Page 953]]
        shall be further reduced by a dollar amount calculated by mul

        tiplying the enacted level of non-exempt budgetary resources in that 

        account at that time by the uniform percentage necessary to 

        offset the total dollar amount by which outlays are not reduced 

        in military personnel accounts by reason of the use of such 

        authority.

          (4) Part-year appropriations.--If, on the date specified in 

        paragraph (1), there is in effect an Act making or continuing 

        appropriations for part of a fiscal year for any budget account, 

        then the dollar sequestration calculated for that account under 

        paragraphs (2) and (3) shall be subtracted from--

                  (A) the annualized amount otherwise available by law 

                in that account under that or a subsequent part-year 

                appropriation; and

                  (B) when a full-year appropriation for that account is 

                enacted, from the amount otherwise provided by the full-

                year appropriation.

          (5) Look-back.--If, after June 30, an appropriation for the 

        fiscal year in progress is enacted that causes a breach within a 

        category for that year (after taking into account any 

        sequestration of amounts within that category), the 

        discretionary spending limits for that category for the next 

        fiscal year shall be reduced by the amount or amounts of that 

        breach.

          (6) Within-session sequestration.--If an appropriation for a 

        fiscal year in progress is enacted (after Congress adjourns to 

        end the session for that budget year and before July 1 of that 

        fiscal year) that causes a breach within a category for that 

        year (after taking into account any prior sequestration of 

        amounts within that category), 15 days later there shall be a 

        sequestration to eliminate that breach within that category 

        following the procedures set forth in paragraphs (2) through 

        (4).

          (7) OMB estimates.--As soon as practicable after Congress 

        completes action on any discretionary appropriation, CBO, after 

        consultation with the Committees on the Budget of the House of 

        Representatives and the Senate, shall provide OMB with an 

        estimate of the amount of discretionary new budget authority and 

        outlays for the current year (if any) and the budget year 

        provided by that legislation. Within 5 calendar days after the 

        enactment of any discretionary appropriation, OMB shall transmit 

        a report to the House of Representatives and to the Senate 

        containing the CBO estimate of that legislation, an OMB estimate 


[[Page 954]]
        of 

        the amount of discretionary new budget authority and outlays for the 

        current year (if any) and the budget year provided by that 

        legislation, and an explanation of any difference between the 

        two estimates. For purposes of this paragraph, amounts provided 

        by annual appropriations shall include any new budget authority 

        and outlays for those years in accounts for which funding is 

        provided in that legislation that result from previously enacted 

        legislation. Those OMB estimates shall be made using current 

        economic and technical assumptions. OMB shall use the OMB 

        estimates transmitted to the Congress under this paragraph for 

        the purposes of this subsection. OMB and CBO shall prepare 

        estimates under this paragraph in conformance with scorekeeping 

        guidelines determined after consultation among the House and 


        Senate Committees on the Budget, CBO, and OMB.

  (b) Adjustments to Discretionary Spending Limits.--(1) When the 
President submits the budget under section 1105(a) of title 31, United 
States Code, for budget year 1992, 1993, 1994, 1995, 1996, 1997, or 1998 
(except as otherwise indicated), OMB shall calculate (in the order set 
forth below), and the budget shall include, adjustments to discretionary 
spending limits (and those limits as cumulatively adjusted) for the 
budget year and each outyear through 1998 to reflect the following:

          (A) Changes in concepts and definitions.--The adjustments 

        produced by the amendments made by title XIII of the Omnibus 

        Budget Reconciliation Act of 1990 or by any other changes in 

        concepts and definitions shall equal the baseline levels of new 

        budget authority and outlays using up-to-date concepts and 

        definitions minus those levels using the concepts and 

        definitions in effect before such changes. Such other changes in 

        concepts and definitions may only be made in consultation with 

        the Committees on Appropriations, the Budget, Government Reform 

        and Oversight), and Governmental Affairs of the House of 

        Representatives and Senate.

          (B) Changes in inflation.--

                  (i) For a budget submitted for budget year 1992, 1993, 

                1994, or 1995, the adjustments produced by changes in 

                inflation shall equal the levels of discretionary new 

                budget authority and outlays in the baseline (calculated 

                using current estimates) subtracted from those levels in 


[[Page 955]]
                that base

                line recalculated with the baseline inflators for the budget year only, 

                multiplied by the inflation adjustment factor computed 

                under clause (ii).

                  (ii) For a budget year the inflation adjustment factor 

                shall equal the ratio between the level of year-over-

                year inflation measured for the fiscal year most 

                recently completed and the applicable estimated level 

                for that year set forth below:

                  For 1990, 1.041

                  For 1991, 1.052

                  For 1992, 1.041

                  For 1993, 1.033

        Inflation shall be measured by the average of the estimated 

        gross national product implicit price deflator index for a 

        fiscal year divided by the average index for the prior fiscal 

        year.

                  (iii) For a budget submitted for budget year 1996, 

                1997, or 1998, the adjustments shall be those necessary 

                to reflect changes in inflation estimates since those of 

                March 31, 1993, set forth on page 46 of House Conference 

                Report 103-48.

          (C) Credit reestimates.--For a budget submitted for fiscal 

        year 1993 or 1994, the adjustments produced by reestimates to 

        costs of Federal credit programs shall be, for any such program, 

        a current estimate of new budget authority and outlays 

        associated with a baseline projection of the prior year's gross 

        loan level for that program minus the baseline projection of the 

        prior year's new budget authority and associated outlays for 

        that program.

  (2) When OMB submits a sequestration report under section 254(g) or 
(h) for fiscal year 1991, 1992, 1993, 1994, 1995, 1996, 1997, or 1998 
(except as otherwise indicated), OMB shall calculate (in the order set 
forth below), and the sequestration report, and subsequent budgets 
submitted by the President under section 1105(a) of title 31, United 
States Code, shall include, adjustments to discretionary spending limits 
(and those limits as adjusted) for the fiscal year and each succeeding 
year through 1998, as follows:

          (A) IRS funding.--To the extent that appropriations are 

        enacted that provide additional new budget authority or result 

        in additional outlays (as compared with the CBO baseline 

        constructed in June 1990) for the Internal Revenue Service 

        compliance initiative in any fiscal year, the adjustments for 


[[Page 956]]
        that year shall be 

        those amounts, but shall not exceed the amounts set forth below--

                  (i) for fiscal year 1991, $191,000,000 in new budget 

                authority and $183,000,000 in outlays;

                  (ii) for fiscal year 1992, $172,000,000 in new budget 

                authority and $169,000,000 in outlays;

                  (iii) for fiscal year 1993, $183,000,000 in new budget 

                authority and $179,000,000 in outlays;

                  (iv) for fiscal year 1994, $187,000,000 in new budget 

                authority and $183,000,000 in outlays; and

                  (v) for fiscal year 1995, $188,000,000 in new budget 

                authority and $184,000,000 in outlays; and

        the prior-year outlays resulting from these appropriations of 

        budget authority.

          (B) Debt forgiveness.--If, in calendar year 1990 or 1991, an 

        appropriation is enacted that forgives the Arab Republic of 

        Egypt's foreign military sales indebtedness to the United States 

        and any part of the Government of Poland's indebtedness to the 

        United States, the adjustment shall be the estimated costs (in 

        new budget authority and outlays, in all years) of that 

        forgiveness.

          (C) IMF funding.--If, in fiscal year 1991, 1992, 1993, 1994, 

        or 1995 an appropriation is enacted to provide to the 

        International Monetary Fund the dollar equivalent, in terms of 

        Special Drawing Rights, of the increase in the United States 

        quota as part of the International Monetary Fund Ninth General 

        Review of Quotas, the adjustment shall be the amount provided by 

        that appropriation.

          (D) Emergency appropriations.--

                  (i) If, for any fiscal year, appropriations for 

                discretionary accounts are enacted that the President 

                designates as emergency requirements and that the 

                Congress so designates in statute, the adjustment shall 

                be the total of such appropriations in discretionary 

                accounts designated as emergency requirements and the 

                outlays flowing in all years from such appropriations.

                  (ii) The costs for operation Desert Shield are to be 

                treated as emergency funding requirements not subject to 

                the defense spending limits. Funding for Desert Shield 

                will be provided through the normal legislative process. 


[[Page 957]]
                Desert Shield costs 

                should be accommodated through Allied burden-sharing, 

                subsequent appropriation Acts, and if the President so

                chooses, through offsets within other defense accounts.

                Emergency Desert Shield costs mean those incremental 

                costs associated with the increase in operations in the 

                Middle East and do not include costs that would be 

                experienced by the Department of Defense as part of its 

                normal operations absent Operation Desert Shield.

          (E) Special allowance for discretionary new budget 

        authority.--

                  (i) For each of fiscal years 1992 and 1993, the 

                adjustment for the domestic category in each year shall 

                be an amount equal to 0.1 percent of the sum of the 

                adjusted discretionary spending limits on new budget 

                authority for all categories for fiscal years 1991, 

                1992, and 1993 (cumulatively), together with outlays 

                associated therewith (calculated at the composite outlay 

                rate for the domestic category);

                  (ii) for each of fiscal years 1992 and 1993, the 

                adjustment for the international category in each year 

                shall be an amount equal to 0.079 percent of the sum of 

                the adjusted discretionary spending limits on new budget 

                authority for all categories for fiscal years 1991, 

                1992, and 1993 (cumulatively), together with outlays 

                associated therewith (calculated at the composite outlay 

                rate for the international category);

                  (iii) if, for fiscal years 1992 and 1993, the amount 

                of new budget authority provided in appropriation Acts 

                exceeds the discretionary spending limit on new budget 

                authority for any category due to technical estimates 

                made by the Director of the Office of Management and 

                Budget, the adjustment is the amount of the excess, but 

                not to exceed an amount (for 1992 and 1993 together) 

                equal to 0.042 percent of the sum of the adjusted 

                discretionary limits on new budget authority for all 

                categories for fiscal years 1991, 1992, and 1993 

                (cumulatively); and

                  (iv) if, for fiscal years 1994, 1995, 1996, 1997, and 

                1998, the amount of new budget authority provided in 

                appropriation Acts exceeds the discretionary spending 

                limit on new budget authority due to technical estimates 


[[Page 958]]
                made by the director of 

                the Office of Management and Budget, the adjustment is the amount of 

                the excess, but not to exceed an amount (for any one 

                fiscal year) equal to 0.1 percent of the adjusted 

                discretionary spending limit on new budget authority for 

                that fiscal year.

          (F) Special outlay allowance.--If in any fiscal year outlays 

        for a category exceed the discretionary spending limit for that 

        category but new budget authority does not exceed its limit for 

        that category (after application of the first step of a 

        sequestration described in subsection (a)(2), if necessary), the 

        adjustment in outlays is the amount of the excess, but not to 

        exceed $2,500,000,000 in the defense category, $1,500,000,000 in 

        the international category, or $2,500,000,000 in the domestic 

        category (as applicable) in fiscal year 1991, 1992, or 1993, and 

        not to exceed $6,500,000,000 in fiscal year 1994 or 1995 less 

        any of the outlay adjustments made under subparagraph (E) for a 

        category for a fiscal year, and not to exceed 0.5 percent of the 

        adjusted discretionary spending limit on outlays for the fiscal 

        year in fiscal year 1996, 1997, or 1998.
SEC. 251A. SEQUESTRATION WITH RESPECT TO VIOLENT CRIME REDUCTION TRUST 

        FUND.

  (a) Sequestration.--Within 15 days after Congress adjourns to end a 
session, there shall be a sequestration to eliminate any budgetary 
excess in the Violent Crime Reduction Trust Fund as described in 
subsection (b).

  (b) Eliminating a Budgetary Excess.--

          (1) In general.--Except as provided by paragraph (2), 

        appropriations from the Violent Crime Reduction Trust Fund shall 

        be reduced by a uniform percentage necessary to eliminate any 

        amount by which estimated outlays in the budget year from the 

        Fund exceed the following levels of outlays:

                  (A) For fiscal year 1995, $703,000,000.

                  (B) For fiscal year 1996, $2,334,000,000.

                  (C) For fiscal year 1997, $3,936,000,000.

                  (D) For fiscal year 1998, $4,904,000,000.

        For fiscal year 1999, the comparable level for budgetary 

        purposes shall be deemed to be $5,639,000,000. For fiscal year 

        2000, the comparable level for budgetary purposes shall be 

        deemed to be $6,225,000,000.

          (2) Special outlay allowance.--If estimated outlays from the 

        Fund for a fiscal year exceed the level specified in paragraph 


[[Page 959]]
        (1) for that year, that level 

        shall be increased by the lesser of that excess or 0.5 percent of that 

        level.

  (c) Look-Back.--If, after June 30, an appropriation for the fiscal 
year in progress is enacted that causes a budgetary excess in the 
Violent Crime Reduction Trust Fund as described in subsection (b) for 
that year (after taking into account any sequestration of amounts under 
this section), the level set forth in subsection (b) for the next fiscal 
year shall be reduced by the amount of that excess.

  (d) Within-Session Sequestration.--If an appropriation for a fiscal 
year in progress is enacted (after Congress adjourns to end the session 
for the budget year and before July 1 of that fiscal year) that causes a 
budgetary excess in the Violent Crime Reduction Trust Fund as described 
in subsection (b) for that year (after taking into account any prior 
sequestration of amounts under this section), 15 days later there shall 
be a sequestration to eliminate that excess following the procedures set 
forth in subsection (b).

  (e) Part-Year Appropriations and OMB Estimates.--Paragraphs (4) and 
(7) of section 251(a) shall apply to appropriations from, and 
sequestration of amounts appropriated from, the Violent Crime Reduction 
Trust Fund under this section in the same manner as those paragraphs 
apply to discretionary appropriations and sequestrations under that 
section.
SEC. 252. ENFORCING PAY-AS-YOU-GO.


  (a) Fiscal Years 1992-1998 Enforcement.--The purpose of this section 
is to assure that any legislation (enacted after the date of enactment 
of this section) affecting direct spending or receipts that increases 
the deficit in any fiscal year covered by this Act will trigger an 
offsetting sequestration.

  (b) Sequestration; Look-Back.--Within 15 calendar days after Congress 
adjourns to end a session (other than of the One Hundred First Congress) 
and on the same day as a sequestration (if any) under section 251 and 
section 253, there shall be a sequestration to offset the amount of any 
net deficit increase in that fiscal year and the prior fiscal year 
caused by all direct spending and receipts legislation enacted after the 
date of enactment of this section (after adjusting for any prior 
sequestration as provided by paragraph (2)). OMB shall calculate the 
amount of deficit increase, if any, in those fiscal years by adding--

          (1) all applicable estimates of direct spending and receipts 


[[Page 960]]
        legislation transmitted under subsection (d) 

        applicable to those fiscal years, other than any amounts included in 

        such estimates resulting from--

                  (A) full funding of, and continuation of, the deposit 

                insurance guarantee commitment in effect on the date of 

                enactment of this section, and

                  (B) emergency provisions as designated under 

                subsection (e); and

          (2) the estimated amount of savings in direct spending 

        programs applicable to those fiscal years resulting from the 

        prior year's sequestration under this section or section 253, if 

        any (except for any amounts sequestered as a result of a net 

        deficit increase in the fiscal year immediately preceding the 

        prior fiscal year), as published in OMB's end-of-session 


        sequestration report for that prior year.

  (c) Eliminating a Deficit Increase.--(1) The amount required to be 
sequestered in a fiscal year under subsection (b) shall be obtained from 
non-exempt direct spending accounts from actions taken in the following 
order:

          (A) First.--All reductions in automatic spending increases 

        specified in section 256(a) shall be made.

          (B) Second.--If additional reductions in direct spending 

        accounts are required to be made, the maximum reductions 

        permissible under sections 256(b) (guaranteed student loans) and 

        256(c) (foster care and adoption assistance) shall be made.

          (C) Third.--(i) If additional reductions in direct spending 

        accounts are required to be made, each remaining non-exempt 

        direct spending account shall be reduced by the uniform 

        percentage necessary to make the reductions in direct spending 

        required by paragraph (1); except that the medicare programs 

        specified in section 256(d) shall not be reduced by more than 4 

        percent and the uniform percentage applicable to all other 

        direct spending programs under this paragraph shall be increased 

        (if necessary) to a level sufficient to achieve the required 

        reduction in direct spending.

          (ii) For purposes of determining reductions under clause (i), 

        outlay reductions (as a result of sequestration of Commodity 

        Credit Corporation commodity price support contracts in the 

        fiscal year of a sequestration) that would occur in the 

        following fiscal year shall be credited as outlay reductions in 

        the fiscal year of the sequestration. 

[[Page 961]]

        

    (2) For purposes of this subsection, accounts shall be assumed to be 

    at the level in the baseline.

  (d) OMB Estimates.--As soon as practicable after Congress completes 
action on any direct spending or receipts legislation enacted after the 
date of enactment of this section, after consultation with the 
Committees on the Budget of the House of Representatives and the Senate, 
CBO shall provide OMB with an estimate of the amount of change in 
outlays or receipts, as the case may be, in each fiscal year through 
fiscal year 1998 resulting from that legislation. Within 5 calendar days 
after the enactment of any direct spending or receipts legislation 
enacted after the date of enactment of this section, OMB shall transmit 
a report to the House of Representatives and to the Senate containing 
such CBO estimate of that legislation, an OMB estimate of the amount of 
change in outlays or receipts, as the case may be, in each fiscal year 
through fiscal year 1998 resulting from that legislation, and an 
explanation of any difference between the two estimates. Those OMB 
estimates shall be made using current economic and technical 
assumptions. OMB and CBO shall prepare estimates under this paragraph in 
conformance with scorekeeping guidelines determined after consultation 
among the House and Senate Committees on the Budget, CBO, and OMB.

  (e) Emergency Legislation.--If, for any fiscal year from 1991 through 
1998, a provision of direct spending or receipts legislation is enacted 
that the President designates as an emergency requirement and that the 
Congress so designates in statute, the amounts of new budget authority, 
outlays, and receipts in all fiscal years through 1995 resulting from 
that provision shall be designated as an emergency requirement in the 
reports required under subsection (d).
SEC. 253. ENFORCING DEFICIT TARGETS.



[[Page 962]]

  (a) Sequestration.--Within 15 calendar days after Congress adjourns to 
end a session (other than of the One Hundred First Congress) and on the 
same day as a sequestration (if any) under section 251 and section 252, 
but after any sequestration required by section 251 (enforcing 
discretionary spending limits) or section 252 (enforcing pay-as-you-go), 
there shall be a sequestration to eliminate the excess deficit (if any 
remains) if it exceeds the margin.

  (b) Excess Deficit; Margin.--The excess deficit is, if greater than 
zero, the estimated deficit for the budget year, minus--

          (1) the maximum deficit amount for that year;

          (2) the amounts for that year designated as emergency direct 

        spending or receipts legislation under section 252(e); and

          (3) for any fiscal year in which there is not a full 

        adjustment for technical and economic reestimates, the deposit 

        insurance reestimate for that year, if any, calculated under 


        subsection (h).
The ``margin'' for fiscal year 1992 or 1993 is zero and for fiscal year 
1994 or 1995 is $15,000,000,000.


  (c) Dividing the Sequestration.--To eliminate the excess deficit in a 
budget year, half of the required outlay reductions shall be obtained 
from non-exempt defense accounts (accounts designated as function 050 in 
the President's fiscal year 1991 budget submission) and half from non-
exempt, non-defense accounts (all other non-exempt accounts).


  (d) Defense.--Each non-exempt defense account shall be reduced by a 
dollar amount calculated by multiplying the level of sequestrable 
budgetary resources in that account at that time by the uniform 
percentage necessary to carry out subsection (c), except that, if any 
military personnel are exempt, adjustments shall be made under the 
procedure set forth in section 251(a)(3).

  (e) Non-Defense.--Actions to reduce non-defense accounts shall be 
taken in the following order:

          (1) First.--All reductions in automatic spending increases 

        under section 256(a) shall be made.

          (2) Second.--If additional reductions in non-defense accounts 

        are required to be made, the maximum reduction permissible under 

        sections 256(b) (guaranteed student loans) and 256(c) (foster 

        care and adoption assistance) shall be made.

          (3) Third.--(A) If additional reductions in non-defense 

        accounts are required to be made, each remaining non-exempt, 

        non-defense account shall be reduced by the uniform percentage 

        necessary to make the reductions in non-defense outlays required 

        by subsection (c), except that--

                  (i) the medicare program specified in section 256(d) 

                shall not be reduced by more than 2 percent in total 


[[Page 963]]
                including any reduction of less than 

                2 percent made under section 252 or, if it has been 

                reduced by 2 percent or more under section 252, it may 

                not be further reduced under this section; and

                  (ii) the health programs set forth in section 256(e) 

                shall not be reduced by more than 2 percent in total 

                (including any reduction made under section 251),

        and the uniform percent applicable to all other programs under 

        this subsection shall be increased (if necessary) to a level 

        sufficient to achieve the required reduction in non-defense 

        outlays.

          (B) For purposes of determining reductions under subparagraph 

        (A), outlay reduction (as a result of sequestration of Commodity 

        Credit Corporation commodity price support contracts in the 

        fiscal year of a sequestration) that would occur in the 

        following fiscal year shall be credited as outlay reductions in 


        the fiscal year of the sequestration.

  (f) Baseline Assumptions; Part-Year Appropriations.--(1) Budget 
assumptions.--For purposes of subsections (b), (c), (d), and (e), 
accounts shall be assumed to be at the level in the baseline minus any 
reductions required to be made under sections 251 and 252.

  (2) Part-year appropriations.--If, on the date specified in subsection 
(a), there is in effect an Act making or continuing appropriations for 
part of a fiscal year for any non-exempt budget account, then the dollar 
sequestration calculated for that account under subsection (d) or (e), 
as applicable, shall be subtracted from--

          (A) the annualized amount otherwise available by law in that 

        account under that or a subsequent part-year appropriation; and

          (B) when a full-year appropriation for that account is 

        enacted, from the amount otherwise provided by the full-year 

        appropriation; except that the amount to be sequestered from 

        that account shall be reduced (but not below zero) by the 

        savings achieved by that appropriation when the enacted amount 


        is less than the baseline for that account.

  (g) Adjustments to Maximum Deficit Amounts.--(1) Adjustments.--

          (A) When the President submits the budget for fiscal year 

        1992, the maximum deficit amounts for fiscal years 1992, 1993, 

        1994, and 1995 shall be adjusted to reflect up-to-date 


[[Page 964]]
        reestimates of economic and tech

        nical assumptions and any changes in concepts or definitions. When the 

        President submits the budget for fiscal year 1993, the maximum 

        deficit amounts for fiscal years 1993, 1994, and 1995 shall be 

        further adjusted to reflect up-to-date reestimates of economic 

        and technical assumptions and any changes in concepts or 

        definitions.

          (B) When submitting the budget for fiscal year 1994, the 

        President may choose to adjust the maximum deficit amounts for 

        fiscal years 1994 and 1995 to reflect up-to-date reestimates for 

        economic and technical assumptions. If the President chooses to 

        adjust the maximum deficit amount when submitting the fiscal 

        year 1994 budget, the President may choose to invoke the same 

        adjustment procedure when submitting the budget for fiscal year 

        1995. In each case, the President must choose between making no 

        adjustment or the full adjustment described in paragraph (2). If 

        the President chooses to make that full adjustment, then those 

        procedures for adjusting discretionary spending limits described 

        in sections 251(b)(1)(C) and 251(b)(2)(E), otherwise applicable 

        through fiscal year 1993 or 1994 (as the case may be), shall be 

        deemed to apply for fiscal year 1994 (and 1995 if applicable).

          (C) When the budget for fiscal year 1994 or 1995 is submitted 

        and the sequestration reports for those years under section 254 

        are made (as applicable), if the President does not choose to 

        make the adjustments set forth in subparagraph (B), the maximum 

        deficit amount for that fiscal year shall be adjusted by the 

        amount of the adjustment to discretionary spending limits first 

        applicable for that year (if any) under section 251(b).

          (D) For each fiscal year the adjustments required to be made 

        with the submission of the President's budget for that year 

        shall also be made when OMB submits the sequestration update 

        report and the final sequestration report for that year, but OMB 

        shall continue to use the economic and technical assumptions in 

        the President's budget for that year.
Each adjustment shall be made by increasing or decreasing the maximum 
deficit amounts set forth in section 601 of the Congressional Budget Act 
of 1974.


[[Page 965]]

  (2) Calculations of adjustments.--The required increase or decrease 
shall be calculated as follows: 

          (A) The baseline deficit or surplus shall be calculated using 

        up-to-date economic and technical assumptions, using up-to-date 

        concepts and definitions, and, in lieu of the baseline levels of 

        discretionary appropriations, using the discretionary spending 

        limits sets forth in section 601 of the Congressional Budget Act 

        of 1974 as adjusted under section 251.

          (B) The net deficit increase or decrease caused by all direct 

        spending and receipts legislation enacted after the date of 

        enactment of this section (after adjusting for any sequestration 

        of direct spending accounts) shall be calculated for each fiscal 

        year by adding--

                  (i) the estimates of direct spending and receipts 

                legislation transmitted under section 252(d) applicable 

                to each such fiscal year; and

                  (ii) the estimated amount of savings in direct 

                spending programs applicable to each such fiscal year 

                resulting from the prior year's sequestration under this 

                section or section 252 of direct spending, if any, as 

                contained in OMB's final sequestration report for that 

                year.

          (C) The amount calculated under subparagraph (B) shall be 

        subtracted from the amount calculated under subparagraph (A).

          (D) The maximum deficit amount set forth in section 601 of the 

        Congressional Budget Act of 1974 shall be subtracted from the 

        amount calculated under subparagraph (C).

          (E) The amount calculated under subparagraph (D) shall be the 


        amount of the adjustment required by paragraph (1).

  (h) Treatment of Deposit Insurance.--(1) Initial estimates.--The 
initial estimates of the net costs of federal deposit insurance for 
fiscal year 1994 and fiscal year 1995 (assuming full funding of, and 
continuation of, the deposit insurance guarantee commitment in effect on 
the date of the submission of the budget for fiscal year 1993) shall be 
set forth in that budget.


[[Page 966]]
guarantee commitment in effect on the date of submission of the budget 
for fiscal year 1993).

  (2) Reestimates.--For fiscal year 1994 and fiscal year 1995, the 
amount of the reestimate of deposit insurance costs shall be calculated 
by subtracting the amount set forth under paragraph (1) for that year 
from the current estimate of deposit insurance costs (but assuming full 
funding of, and continuation of, the deposit insurance 


SEC. 254. REPORTS AND ORDERS.

         *            *            *            *            *        


         *            *            *            *            *        

  (j) Low-Growth Report.--At any time, CBO shall notify the Congress 
if--

          (1) during the period consisting of the quarter during which 

        such notification is given, the quarter proceeding such 

        notification and the 4 quarters following such notification, CBO 

        or OMB had determined that real economic growth is projected or 

        estimated to be less than zero with respect to each of any 2 

        consecutive quarters within such period; or

          (2) the most recent of the Department of Commerce's advance 

        preliminary or final reports of actual real economic growth 

        indicate that the rate of real economic growth for each of the 

        most recently reported quarter and the immediately preceding 


        quarter is less than one percent.


  In response to a ``low-growth report'' under section 254(j), the 
Majority Leader of the Senate introduced pursuant to section 258, infra, 
a joint resolution suspending certain budget enforcement laws (S. J. 
Res. 44, Jan. 23, 1991, p. ----).


SEC. 258. SUSPENSION IN THE EVENT OF WAR OR LOW GROWTH.
         *            *            *            *            *        

  (a) Procedures in the Event of a Low-Growth Report.--

          (1) Trigger.--Whenever CBO issues a low-growth report under 

        section 254(j), the Majority Leader of the House of 

        Representatives may, and the Majority Leader of the Senate 

        shall, introduce a joint resolution (in the form set forth in 

        paragraph (2)) declaring that the conditions specified in 

        section 254(j) are met and suspending the relevant provisions of 

        this title, titles III and VI of the Congressional Budget Act of 

        1974, and section 1103 of title 31, United States Code.

          (2) Form of joint resolution.--

                  (A) The matter after the resolving clause in any joint 

                resolution introduced pursuant to paragraph (1) shall be 


[[Page 967]]
                as follows: ``That the Congress de

                clares that the conditions specified in section 254(j) of the Balanced 

                Budget and Emergency Deficit Control Act of 1985 are 

                met, and the implementation of the Congressional Budget 

                and Impoundment Control Act of 1974, chapter 11 of title 

                31, United States Code, and part C of the Balanced 

                Budget and Emergency Deficit Control Act of 1985 are 

                modified as described in section 258(b) of the Balanced 

                Budget and Emergency Deficit Control Act of 1985.''.

                  (B) The title of the joint resolution shall be ``Joint 

                resolution suspending certain provisions of law pursuant 

                to section 258(a)(2) of the Balanced Budget and 

                Emergency Deficit Control Act of 1985.''; and the joint 

                resolution shall not contain any preamble.

          (3) Committee action.--Each joint resolution introduced 

        pursuant to paragraph (1) shall be referred to the appropriate 

        committees of the House of Representatives or the Committee on 

        the Budget of the Senate, as the case may be; and such Committee 

        shall report the joint resolution to its House without amendment 

        on or before the fifth day on which such House is in session 

        after the date on which the joint resolution is introduced. If 

        the Committee fails to report the joint resolution within the 

        five-day period referred to in the preceding sentence, it shall 

        be automatically discharged from further consideration of the 

        joint resolution, and the joint resolution shall be placed on 

        the appropriate calendar.

          (4) Consideration of joint resolution.--(A) A vote on final 

        passage of a joint resolution reported to the Senate or 

        discharged pursuant to paragraph (3) shall be taken on or before 

        the close of the fifth calendar day of session after the date on 

        which the joint resolution is reported or after the Committee 

        has been discharged from further consideration of the joint 

        resolution. If prior to the passage by one House of a joint 

        resolution of that House, that House receives the same joint 

        resolution from the other House, then--

                  (i) the procedure in that House shall be the same as 

                if no such joint resolution had been received from the 

                other House, but

                  (ii) the vote on final passage shall be on the joint 

                resolution of the other House. 

[[Page 968]]

                

        When the joint resolution is agreed to, the Clerk of the House 

        of Representatives (in the case of a House joint resolution 

        agreed to in the House of Representatives) or the Secretary of 

        the Senate (in the case of a Senate joint resolution agreed to 

        in the Senate) shall cause the joint resolution to be engrossed, 

        certified, and transmitted to the other House of the Congress as 

        soon as practicable.

          (B)(i) In the Senate, a joint resolution under this paragraph 

        shall be privileged. It shall not be in order to move to 

        reconsider the vote by which the motion is agreed to or 

        disagreed to.

          (ii) Debate in the Senate on a joint resolution under this 

        paragraph, and all debatable motions and appeals in connection 

        therewith, shall be limited to not more than five hours. The 

        time shall be equally divided between, and controlled by, the 

        majority leader and the minority leader or their designees.

          (iii) Debate in the Senate on any debatable motion or appeal 

        in connection with a joint resolution under this paragraph shall 

        be limited to not more than one hour, to be equally divided 

        between, and controlled by, the mover and the manager of the 

        joint resolution, except that in the event the manager of the 

        joint resolution is in favor of any such motion or appeal, the 

        time in opposition thereto shall be controlled by the minority 

        leader or his designee.

          (iv) A motion in the Senate to further limit debate on a joint 

        resolution under this paragraph is not debatable. A motion to 

        table or to recommit a joint resolution under this paragraph is 

        not in order.

          (C) No amendment to a joint resolution considered under this 


        paragraph shall be in order in the Senate.

  (b) Suspension of Sequestration Procedures.--Upon the enactment of a 
declaration of war or a joint resolution described in subsection (a)--

          (1) the subsequent issuance of any sequestration report or any 

        sequestration order is precluded;

          (2) sections 302(f), 310(d), 311(a), and title VI of the 

        Congressional Budget Act of 1974 are suspended; and

          (3) section 1103 of title 31, United States Code, is 


        suspended.


[[Page 969]]
is concluded by Senate ratification of the necessary treaties, the 
provisions of subsection (b) triggered by that declaration of war are no 
longer effective.
  (c) Restoration of Sequestration Procedures.--(1) In the event of a 
suspension of sequestration procedures due to a declaration of war, 
then, effective with the first fiscal year that begins in the session 
after the state of war 

  (2) In the event of a suspension of sequestration procedures due to 
the enactment of a joint resolution described in subsection (a), then, 
effective with regard to the first fiscal year beginning at least 12 
months after the enactment of that resolution, the provisions of 
subsection (b) triggered by that resolution are no longer effective.
SEC. 258A. MODIFICATION OF PRESIDENTIAL ORDER.


  (a) Introduction of Joint Resolution.--At any time after the Director 
of OMB issues a final sequestration report under section 254 for a 
fiscal year, but before the close of the twentieth calendar day of the 
session of Congress beginning after the date of issuance of such report, 
the majority leader of either House of Congress may introduce a joint 
resolution which contains provisions directing the President to modify 
the most recent order issued under section 254 or provide an alternative 
to reduce the deficit for such fiscal year. After the introduction of 
the first such joint resolution in either House of Congress in any 
calendar year, then no other joint resolution introduced in such House 
in such calendar year shall be subject to the procedures set forth in 
this section.

  (b) Procedures for Consideration of Joint Resolutions.--

          (1) Referral to committee.--A joint resolution introduced in 

        the Senate under subsection (a) shall not be referred to a 

        commitee of the Senate and shall be placed on the calendar 

        pending disposition of such joint resolution in accordance with 

        this subsection.

          (2) Consideration in the senate.--On or after the third 

        calendar day (excluding Saturdays, Sundays, and legal holidays) 

        beginning after a joint resolution is introduced under 

        subsection (a), notwithstanding any rule or precedent of the 

        Senate, including Rule XXII of the Standing Rules of the Senate, 

        it is in order (even though a previous motion to the same effect 

        has been disagreed to) for any Member of the Senate to move to 

        proceed to the consideration of the joint resolution. The motion 

        is not in order after the eighth calendar day (excluding 

        Saturdays, Sundays, and legal holidays) beginning after a joint 

        resolution (to which the motion applies) is introduced. The 


[[Page 970]]
        joint resolution is privileged in the Senate. A motion to re

        consider the vote by which the motion is agreed to or disagreed to 

        shall not be in order. If a motion to proceed to the 

        consideration of the joint resolution is agreed to, the Senate 

        shall immediately proceed to consideration of the joint 

        resolution without intervening motion, order, or other business, 

        and the joint resolution shall remain the unfinished business of 

        the Senate until disposed of.

          (3) Debate in the senate.--(A) In the Senate, debate on a 

        joint resolution introduced under subsection (a), amendments 

        thereto, and all debatable motions and appeals in connection 

        therewith shall be limited to not more than 10 hours, which 

        shall be divided equally between the majority leader and the 

        minority leader (or their designees).

          (B) A motion to postpone, or a motion to proceed to the 

        consideration of other business is not in order. A motion to 

        reconsider the vote by which the joint resolution is agreed to 

        or disagreed to is not in order, and a motion to recommit the 

        joint resolution is not in order.

          (C)(i) No amendment that is not germane to the provisions of 

        the joint resolution or to the order issued under section 254 

        shall be in order in the Senate. In the Senate, an amendment, 

        any amendment to an amendment, or any debatable motion or appeal 

        is debatable for not to exceed 30 minutes to be equally divided 

        between, and controlled by, the mover and the majority leader 

        (or their designees), except that in the event that the majority 

        leader favors the amendment, motion, or appeal, the minority 

        leader (or the minority leader's designee) shall control the 

        time in opposition to the amendment, motion, or appeal.

          (ii) In the Senate, an amendment that is otherwise in order 

        shall be in order notwithstanding the fact that it amends the 

        joint resolution in more than one place or amends language 

        previously amended. It shall not be in order in the Senate to 

        vote on the question of agreeing to such a joint resolution or 

        any amendment thereto unless the figures then contained in such 

        joint resolution or amendment are mathematically consistent.

          (4) Vote on final passage.--Immediately following the 

        conclusion of the debate on a joint resolution introduced under 

        subsection (a), a single quorum call at the conclusion of the 


[[Page 971]]
        debate if requested in accordance 

        with the rules of the Senate, and the disposition of any pending 

        amendments under paragraph (3), the vote on final passage of the 

        joint resolution shall occur.

          (5) Appeals.--Appeals from the decisions of the Chair shall be 

        decided without debate.

          (6) Conference reports.--In the Senate, points of order under 

        titles III, IV, and VI of the Congressional Budget Act of 1974 

        are applicable to a conference report on the joint resolution or 

        any amendments in disagreement thereto.

          (7) Resolution from other house.--If, before the passage by 

        the Senate of a joint resolution of the Senate introduced under 

        subsection (a), the Senate receives from the House of 

        Representatives a joint resolution introduced under subsection 

        (a), then the following procedures shall apply:

          (A) The joint resolution of the House of Representatives shall 

        not be referred to a committee and shall be placed on the 

        calendar.

          (B) With respect to a joint resolution introduced under 

        subsection (a) in the Senate--

                  (i) the procedure in the Senate shall be the same as 

                if no joint resolution had been received from the House; 

                but

                  (ii)(I) the vote on final passage shall be on the 

                joint resolution of the House if it is identical to the 

                joint resolution then pending for passage in the Senate; 

                or

                  (II) if the joint resolution from the House is not 

                identical to the joint resolution then pending for 

                passage in the Senate and the Senate then passes the 

                Senate joint resolution, the Senate shall be considered 

                to have passed the House joint resolution as amended by 

                the text of the Senate joint resolution.

          (C) Upon disposition of the joint resolution received from the 

        House, it shall no longer be in order to consider the resolution 

        originated in the Senate.

          (8) Senate action on house resolution.--If the Senate receives 

        from the House of Representatives a joint resolution introduced 

        under subsection (a) after the Senate has disposed of a Senate 

        originated resolution which is identical to the House passed 

        joint resolution, the action of the Senate with regard to the 


[[Page 972]]
        disposition of the Senate originated joint resolution shall 

        be deemed to be the action of the Senate with regard to the House 

        originated joint resolution. If it is not identical to the House 

        passed joint resolution, then the Senate shall be considered to 

        have passed the joint resolution of the House as amended by the 

        text of the Senate joint resolution.
SEC.  258B. FLEXIBILITY AMONG DEFENSE PROGRAMS, PROJECTS, AND 

        ACTIVITIES.


  (a) Subject to subsections (b), (c), and (d), new budget authority and 
unobligated balances for any programs, projects, or activities within 
major functional category 050 (other than a military personnel account) 
may be further reduced beyond the amount specified in an order issued by 
the President under section 254 for such fiscal year. To the extent such 
additional reductions are made and result in additional outlay 
reductions, the President may provide for lesser reductions in new 
budget authority and unobligated balances for other programs, projects, 
or activities within major functional category 050 for such fiscal year, 
but only to the extent that the resulting outlay increases do not exceed 
the additional outlay reductions, and no such program, project, or 
activity may be increased above the level actually made available by law 
in appropriation Acts (before taking sequestration into account). In 
making calculations under this subsection, the President shall use 
account outlay rates that are identical to those used in the report by 
the Director of OMB under section 254.


  (b) No actions taken by the President under subsection (a) for a 
fiscal year may result in a domestic base closure or realignment that 
would otherwise be subject to section 2687 of title 10, United States 
Code.

  (c) The President may not exercise the authority provided by this 
paragraph for a fiscal year unless--

          (1) the President submits a single report to Congress 

        specifying, for each account, the detailed changes proposed to 

        be made for such fiscal year pursuant to this section;

          (2) that report is submitted within 5 calendar days of the 

        start of the next session of Congress; and

          (3) a joint resolution affirming or modifying the changes 

        proposed by the President pursuant to this paragraph becomes 


        law.


[[Page 973]]
shall (by request) introduce a joint resolution which contains 
provisions affirming the changes proposed by the President pursuant to 
this paragraph.

  (d) Within 5 calendar days of session after the President submits a 
report to Congress under subsection (c)(1) for a fiscal year, the 
majority leader of each House of Congress 

  (e)(1) The matter after the resolving clause in any joint resolution 
introduced pursuant to subsection (d) shall be as follows: ``That the 
report of the President as submitted on [Insert Date] under section 258B 
is hereby approved.''.

  (2) The title of the joint resolution shall be ``Joint resolution 
approving the report of the President submitted under section 258B of 
the Balanced Budget and Emergency Deficit Control Act of 1985.''.


  (3) Such joint resolution shall not contain any preamble.

  (f)(1) A joint resolution introduced in the Senate under subsection 
(d) shall be referred to the Committee on Appropriations, and if not 
reported within 5 calendar days (excluding Saturdays, Sundays, and legal 
holidays) from the date of introduction shall be considered as having 
been discharged therefrom and shall be placed on the appropriate 
calendar pending disposition of such joint resolution in accordance with 
this subsection. In the Senate, no amendment proposed in the Committee 
on Appropriations shall be in order other than an amendment (in the 
nature of a substitute) that is germane or relevant to the provisions of 
the joint resolution or to the order issued under section 254. For 
purposes of this paragraph, an amendment shall be considered to be 
relevant if it relates to function 050 (national defense).


[[Page 974]]
the joint resolution shall remain the unfinished business of the Senate 
until disposed of.

  (2) On or after the third calendar day (excluding Saturdays, Sundays, 
and legal holidays) beginning after a joint resolution is placed on the 
Senate calendar, notwithstanding any rule or precedent of the Senate, 
including Rule XXII of the Standing Rules of the Senate, it is in order 
(even though a previous motion to the same effect has been disagreed to) 
for any Member of the Senate to move to proceed to the consideration of 
the joint resolution. The motion is not in order after the eighth 
calendar day (excluding Saturdays, Sundays, and legal holidays) 
beginning after such joint resolution is placed on the appropriate 
calendar. The motion is not debatable. The joint resolution is 
privileged in the Senate. A motion to reconsider the vote by which the 
motion is agreed to or disagreed to shall not be in order. If a motion 
to proceed to the consideration of the joint resolution is agreed to, 
the Senate shall immediately proceed to consideration of the joint 
resolution without intervening motion, order, or other business, and 

  (g)(1) In the Senate, debate on a joint resolution introduced under 
subsection (d), amendments thereto, and all debatable motions and 
appeals in connection therewith shall be limited to not more than 10 
hours, which shall be divided equally between the majority leader and 
the minority leader (or their designees).


  (2) A motion to postpone, or a motion to proceed to the consideration 
of other business is not in order. A motion to reconsider the vote by 
which the joint resolution is agreed to or disagreed to is not in order. 
In the Senate, a motion to recommit the joint resolution is not in 
order.

  (h)(1) No amendment that is not germane or relevant to the provisions 
of the joint resolution or to the order issued under section 254 shall 
be in order in the Senate. For purposes of this paragraph, an amendment 
shall be considered to be relevant if it relates to function 050 
(national defense). In the Senate, an amendment, any amendment to an 
amendment, or any debatable motion or appeal is debatable for not to 
exceed 30 minutes to be equally divided between, and controlled by, the 
mover and the majority leader (or their designees), except that in the 
event that the majority leader favors the amendment, motion, or appeal, 
the minority leader (or the minority leader's designee) shall control 
the time in opposition to the amendment, motion, or appeal.

  (2) In the Senate, an amendment that is otherwise in order shall be in 
order notwithstanding the fact that it amends the joint resolution in 
more than one place or amends language previously amended, so long as 
the amendment makes or maintains mathematical consistency. It shall not 
be in order in the Senate to vote on the question of agreeing to such a 
joint resolution or any amendment thereto unless the figures then 
contained in such joint resolution or amendment are mathematically 
consistent.


[[Page 975]]
alent to any increase in outlays provided by such amendment or 
conference report.
  (3) It shall not be in order in the Senate to consider any amendment 
to any joint resolution introduced under subsection (d) or any 
conference report thereon if such amendment or conference report would 
have the effect of decreasing any specific budget outlay reductions 
below the level of such outlay reductions provided in such joint 
resolution unless such amendment or conference report makes a reduction 
in other specific budget outlays at least equiv


  (4) For purposes of the application of paragraph (3), the level of 
outlays and specific budget outlay reductions provided in an amendment 
shall be determined on the basis of estimates made by the Committee on 
the Budget of the Senate.


  (i) Immediately following the conclusion of the debate on a joint 
resolution introduced under subsection (d), a single quorum call at the 
conclusion of the debate if requested in accordance with the rules of 
the Senate, and the disposition of any pending amendments under 
subsection (h), the vote on final passage of the joint resolution shall 
occur.


  (j) Appeals from the decisions of the Chair relating to the 
application of the rules of the Senate to the procedure relating to a 
joint resolution described in subsection (d) shall be decided without 
debate.


  (k) In the Senate, points of order under titles III and IV of the 
Congressional Budget Act of 1974 (including points of order under 
sections 302(c), 303(a), 306, and 401(b)(1)) are applicable to a 
conference report on the joint resolution or any amendments in 
disagreement thereto.

  (l) If, before the passage by the Senate of a joint resolution of the 
Senate introduced under subsection (d), the Senate receives from the 
House of Representatives a joint resolution introduced under subsection 
(d), then the following procedures shall apply:

          (1) The joint resolution of the House of Representatives shall 

        not be referred to a committee.

          (2) With respect to a joint resolution introduced under 

        subsection (d) in the Senate--

                  (A) the procedure in the Senate shall be the same as 

                if no joint resolution had been received from the House; 

                but

                  (B)(i) the vote on final passage shall be on the joint 

                resolution of the House if it is identical to the joint 

                resolution then pending for passage in the Senate; or

                  (ii) if the joint resolution from the House is not 

                identical to the joint resolution then pending for 

                passage in the Senate and the Senate then passes the 

                Senate joint resolution, the Senate shall be considered 

                to have passed the House joint resolution as amended by 

                the text of the Senate joint resolution. 

[[Page 976]]

                

          (3) Upon disposition of the joint resolution received from the 

        House, it shall no longer be in order to consider the joint 


        resolution originated in the Senate.

  (m) If the Senate receives from the House of Representatives a joint 
resolution introduced under subsection (d) after the Senate has disposed 
of a Senate originated joint resolution which is identical to the House 
passed joint resolution, the action of the Senate with regard to the 
disposition of the Senate originated joint resolution shall be deemed to 
be the action of the Senate with regard to the House originated joint 
resolution. If it is not identical to the House passed joint resolution, 
then the Senate shall be considered to have passed the joint resolution 
of the House as amended by the text of the Senate joint resolution.
SEC. 258C. SPECIAL RECONCILIATION PROCESS.

  (a) Reporting of Resolutions and Reconciliation Bills and Resolutions, 
in the Senate.--(1) Committee alternatives to presidential order.--After 
the submission of an OMB sequestration update report under section 254 
that envisions a sequestration under section 252 or 253, each standing 
committee of the Senate may, not later than October 10, submit to the 
Committee on the Budget of the Senate information of the type described 
in section 301(d) of the Congressional Budget Act of 1974 with respect 
to alternatives to the order envisioned by such report insofar as such 
order affects laws within the jurisdiction of the committee.

  (2) Initial budget committee action.--After the submission of such a 
report, the Committee on the Budget of the Senate may, not later than 
October 15, report to the Senate a resolution. The resolution may affirm 
the impact of the order envisioned by such report, in whole or in part. 
To the extent that any part is not affirmed, the resolution shall state 
which parts are not affirmed and shall contain instructions to 
committees of the Senate of the type referred to in section 310(a) of 
the Congressional Budget Act of 1974, sufficient to achieve at least the 
total level of deficit reduction contained in those sections which are 
not affirmed.



[[Page 977]]
so instructed such Committee shall, by the same date, report to the 
Senate a reconciliation bill or reconciliation resolution containing its 
recommendations in response to such instructions. A committee shall be 
considered to have complied with all instructions to it pursuant to a 
resolution adopted under paragraph (2) if it has made recommendations 
with respect to matters within its jurisdiction which would result in a 
reduction in the deficit at least equal to the total reduction directed 
by such instructions.
  (3) Response of committees.--Committees instructed pursuant to 
paragraph (2), or affected thereby, shall submit their responses to the 
Budget Committee no later than 10 days after the resolution referred to 
in paragraph (2) is agreed to, except that if only one such Committee is 

  (4) Budget committee action.--Upon receipt of the recommendations 
received in response to a resolution referred to in paragraph (2), the 
Budget Committee shall report to the Senate a reconciliation bill or 
reconciliation resolution, or both, carrying out all such 
recommendations without any substantive revisions. In the event that a 
committee instructed in a resolution referred to in paragraph (2) fails 
to submit any recommendation (or, when only one committee is instructed, 
fails to report a reconciliation bill or resolution) in response to such 
instructions, the Budget Committee shall include in the reconciliation 
bill or reconciliation resolution reported pursuant to this subparagraph 
legislative language within the jursidiction of the noncomplying 
committee to achieve the amount of deficit reduction directed in such 
instructions.

  (5) Point of order.--It shall not be in order in the Senate to 
consider any reconciliation bill or reconciliation resolution reported 
under paragraph (4) with respect to a fiscal year, any amendment 
thereto, or any conference report thereon if--

          (A) the enactment of such bill or resolution as reported;

          (B) the adoption and enactment of such amendment; or

          (C) the enactment of such bill or resolution in the form 

        recommended in such conference report,
would cause the amount of the deficit for such fiscal year to exceed the 
maximum deficit amount for such fiscal year, unless the low-growth 
report submitted under section 254 projects negative real economic 
growth for such fiscal year, or for each of any two consecutive quarters 
during such fiscal year.


[[Page 978]]
ation of such resolution if such amendment would be in order but for 
the fact that it would be held to be non-germane on the basis that the 
instruction constitutes new matter.
  (6) Treatment of certain amendments.--In the Senate, an amendment 
which adds to a resolution reported under paragraph (2) an instruction 
of the type referred to in such paragraph shall be in order during the 
consider


  (7) Definition.--For purposes of paragraphs (1), (2), and (3), the 
term ``day'' shall mean any calendar day on which the Senate is in 
session.

  (b) Procedures.--(1) In general.--Except as provided in paragraph (2), 
in the Senate the provisions of sections 305 and 310 of the 
Congressional Budget Act of 1974 for the consideration of concurrent 
resolutions on the budget and conference reports thereon shall also 
apply to the consideration of resolutions, and reconciliation bills and 
reconciliation resolutions reported under this paragraph and conference 
reports thereon.

  (2) Limit on debate.--Debate in the Senate on any resolution reported 
pursuant to subsection (a)(2), and all amendments thereto and debatable 
motions and appeals in connection therewith, shall be limited to 10 
hours.

  (3) Limitation on amendments.--Section 310(d)(2) of the Congressional 
Budget Act shall apply to reconciliation bills and reconciliation 
resolutions reported under this subsection.

  (4) Bills and resolutions received from the house.--Any bill or 
resolution received in the Senate from the House, which is a companion 
to a reconciliation bill or reconciliation resolution of the Senate for 
the purposes of this subsection, shall be considered in the Senate 
pursuant to the provisions of this subsection.


  (5) Definition.--For purposes of this subsection, the term 
``resolution'' means a simple, joint, or concurrent resolution.


  Sections 258, 258A, 258B, and 258C provide for reporting and 
consideration in the Senate but not in the House, where special rules 
might be adopted for the purpose.




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