    [Constitution, Jefferson's Manual, and the Rules of the House of Representatives, 106th Congress]
    [106th Congress]
    [House Document 105-358]
    [Miscellaneous Provisions Of Congressional Budget Laws]
    [Pages 997-1026]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    [[Page 997]]

                                                                   Sec. 1128

                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.
    (Although the primary enforcement mechanisms in the statute are fiscal
    controls such as sequestration, rather than procedural points of order,
    sections 250, 251, and 252 operate in conjunction with procedural
    provisions in title III of the Congressional Budget Act of 1974, supra,
    and sections 258, 258A, 258B, and 258C provide for reporting and
    consideration of legislation in the Senate.) 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.

                                                                    Sec. 250
    Sec. 250
    * * * * *
    (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 and ``discretionary spending limit'' shall

            mean the amounts specified in section 251 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

    [[Page 998]]

            authority or outlays for that year, as the case may be.

              (4) The term ``category'' means the subsets of discretionary

            appropriations in section 251(c). Discretionary appropriations

            in each of the categories shall be those designated in the joint

            explanatory statement accompanying the conference report on the

            Balanced Budget Act of 1997. New accounts or activities shall be

            categorized only after consultation with the committees on

            Appropriations and the Budget of the House of Representatives

            and the Senate and that consultation shall, to the extent

            practicable, include written communication to such committees

            that affords such committees the opportunity to comment before

            official action is taken with respect to new accounts or

            activities.

              (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 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 that budget submission that

            are not included with it, estimates consistent with the economic

            and technical assumptions underlying the most recently submitted

            President's budget.

              (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

    [[Page 999]]

            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 first 4 fiscal years that follow the budget

            year.

              (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) 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 Balanced Budget Act of

            1997.

              (18) The term ``deposit insurance'' refers to the expenses the

            Federal deposit insurance agencies, and other Federal agencies

            supervising insured depository institutions, resulting from full

            funding of, and continuation of, the deposit insurance guarantee

            commitment in effect under current estimates.

              (19) The term ``asset sale'' means the sale to the public of

            any asset (except for those assets covered by title V of the

            Congressional Budget Act of 1974), whether physical or

            financial, owned in whole or in part by the United States.

      Several definitions were amended by the Budget Enforcement Act of 1997
    (sec. 10202, P.L. 105-33).
    SEC. 251. ENFORCING DISCRETIONARY SPENDING LIMITS.

                                                                    Sec. 251
    Sec. 251

      (a) 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

    [[Page 1000]]

            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(f), each account within subfunctional category 051

            (other than those military personnel accounts for which the

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

            shall be further reduced by a dollar amount calculated by

            multiplying 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

    [[Page 1001]]

            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) Estimates.--

                      (A) CBO 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.

                      (B) OMB estimates and explanation of differences.--Not

                    later than 7 calendar days (excluding Saturdays,

                    Sundays, and legal holidays) after the date of 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 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 2 estimates.

                    If during the preparation of the report OMB determines

                    that there is a significant difference between OMB and

                    CBO, OMB shall consult with the Committees on the Budget

                    of the House of Representatives and the Senate regarding

                    that difference and that consultation shall include, to

                    extent practicable, written communication to those

                    committees that affords such committees the opportunity

    [[Page 1002]]

                    to comment before the issuance of the report.

                      (C) Assumptions and guidelines.--OMB estimates under

                    this paragraph shall be made using current economic and

                    technical assumptions. OMB shall use the OMB estimates

                    transmitted to the Congress under this paragraph. 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.

                      (D) Annual appropriations.--For purposes of this

                    paragraph, amounts provided by annual appropriations

                    shall include any new budget authority and outlays for

                    the current year (if any) and the budget year in

                    accounts for which funding is provided in that

                    legislation that result from previously enacted

                    legislation.

      (b) Adjustments to Discretionary Spending Limits.--

              (1) Preview Report.--When the President submits the budget

            under section 1105 of title 31, United States Code, OMB shall

            calculate and the budget shall include adjustments to

            discretionary spending limits (and those limits as cumulatively

            adjusted) for the budget year and each outyear to reflect

            changes in concepts and definitions. Such changes 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

            changes may only be made after consultation with the committees

            on Appropriations and the Budget of the House of Representatives

            and the Senate and that consultation shall include written

            communication to such committees that affords such committees

            the opportunity to comment before official action is taken with

            respect to such changes.

              (2) Sequestration reports.--When OMB submits a sequestration

            report under section 254(e), (f), or (g) for a fiscal year, OMB

            shall calculate, 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 2002, as

    [[Page 1003]]

            follows:

                      (A) Emergency appropriations.--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

                    fiscal years from such appropriations. This subparagraph

                    shall not apply to appropriations to cover agricultural

                    crop disaster assistance.

                      (B) 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 for a fiscal year is the amount of

                    the excess but not to exceed 0.5 percent of the sum of

                    the adjusted discretionary spending limits on outlays

                    for that fiscal year.

                      (C) Continuing disability reviews.--(i) If a bill or

                    joint resolution making appropriations for a fiscal year

                    is enacted that specifies an amount for continuing

                    disability reviews under the heading ``Limitation on

                    Administrative Expenses'' for the Social Security

                    Administration, the adjustments for that fiscal year

                    shall be the additional new budget authority provided in

                    that Act for such reviews for that fiscal year and the

                    additional outlays flowing from such amounts, but shall

                    not exceed--

                            (I) for fiscal year 1998, $290,000,000 in

                        additional new budget authority and $338,000,000 in

                        additional outlays;

                            (II) for fiscal year 1999, $520,000,000 in

                        additional new budget authority and $520,000,000 in

                        additional outlays;

                            (III) for fiscal year 2000, $520,000,000 in

                        additional new budget authority and $520,000,000 in

                        additional outlays;

                            (IV) for fiscal year 2001, $520,000,000 in

                        additional new budget authority and $520,000,000 in

    [[Page 1004]]

                        additional outlays; and

                            (V) for fiscal year 2002, $520,000,000 in

                        additional new budget authority and $520,000,000 in

                        additional outlays.

                      (ii) As used in this subparagraph--

                            (I) the term ``continuing disability reviews''

                        means reviews or redeterminations as defined under

                        section 201(g)(1)(A) of the Social Security Act and

                        reviews and redeterminations authorized under

                        section 211 of the Personal Responsibility and Work

                        Opportunity Reconciliation Act of 1996;

                            (II) the term ``additional new budget

                        authority'' means the amount provided for a fiscal

                        year, in excess of $200,000,000, in an

                        appropriations Act and specified to pay for the

                        costs of continuing disability reviews under the

                        heading ``Limitation on Administrative Expenses''

                        for the Social Security Administration; and

                            (III) the term ``additional outlays'' means

                        outlays, in excess of $200,000,000 in a fiscal year,

                        flowing from the amounts specified for continuing

                        disability reviews under the heading ``Limitation on

                        Administrative Expenses'' for the Social Security

                        Administration, including outlays in that fiscal

                        year flowing from amounts specified in Acts enacted

                        for prior fiscal years (but not before 1996).

                      (D) Allowance for imf.--If an appropriation bill or

                    joint resolution is enacted for a fiscal year through

                    2002 that includes an appropriation with respect to

                    clause (i) or (ii), the adjustment shall be the amount

                    of budget authority in the measure that is the dollar

                    equivalent of the Special Drawing Rights with respect

                    to--

                            (i) an increase in the United States quota as

                        part of the International Monetary Fund Eleventh

                        General Review of Quotas (United States Quota); or

                            (ii) any increase in the maximum amount

                        available to the Secretary of the Treasury pursuant

                        to section 17 of the Bretton Woods Agreements Act,

                        as amended from time to time (New Arrangements to

                        Borrow).

    [[Page 1005]]

                      (E) Allowance for international arrearages.--

                            (i) Adjustments.--If an appropriation bill or

                        joint resolution is enacted for fiscal year 1998,

                        1999, or 2000 that includes an appropriation for

                        arrearages for international organizations,

                        international peacekeeping, and multilateral

                        development banks for that fiscal year, the

                        adjustment shall be the amount of budget authority

                        in that measure and the outlays flowing in all

                        fiscal years from that budget authority.

                            (ii) Limitations.--The total amount of

                        adjustments made pursuant to this subparagraph for

                        the period of fiscal years 1998 through 2000 shall

                        not exceed $1,884,000,000 in budget authority.

                      (F) EITC compliance initiative.--If an appropriation

                    bill or joint resolution is enacted for a fiscal year

                    that includes an appropriation for an earned income tax

                    credit compliance initiative, the adjustment shall be

                    the amount of budget authority in that measure for that

                    initiative and the outlays flowing in all fiscal years

                    from that budget authority, but not to exceed--

                            (i) with respect to fiscal year 1998,

                        $138,000,000 in new budget authority and

                        $131,000,000 in outlays;

                            (ii) with respect to fiscal year 1999,

                        $143,000,000 in new budget authority and

                        $143,000,000 in outlays;

                            (iii) with respect to fiscal year 2000,

                        $144,000,000 in new budget authority and

                        $144,000,000 in outlays;

                            (iv) with respect to fiscal year 2001,

                        $145,000,000 in new budget authority and

                        $145,000,000 in outlays; and

                            (v) with respect to fiscal year 2002,

                        $146,000,000 in new budget authority and

                        $146,000,000 in outlays.

      (c) Discretionary Spending Limit.--As used in this part, the term
    ``discretionary spending limit'' means--

              (1) with respect to fiscal year 1997, for the discretionary

            category, the current adjusted limits of new budget authority

            and outlays;

              (2) with respect to fiscal year 1998--

                      (A) for the defense category: $269,000,000,000 in new

    [[Page 1006]]

                    budget authority and $266,823,000,000 in outlays;

                      (B) for the nondefense category: $252,357,000,000 in

                    new budget authority and $282,853,000,000 in outlays;

                    and

                      (C) for the violent crime reduction category:

                    $5,500,000,000 in new budget authority and

                    $3,592,000,000 in outlays;

              (3) with respect to fiscal year 1999--

                      (A) for the defense category: $271,500,000,000 in new

                    budget authority and $266,518,000,000 in outlays;

                      (B) for the nondefense category: $255,699,000,000 in

                    new budget authority and $287,850,000,000 in outlays;

                    and

                      (C) for the violent crime reduction category:

                    $5,800,000,000 in new budget authority and

                    $4,953,000,000 in outlays;

              (4) with respect to fiscal year 2000--

                      (A) for the discretionary category: $532,693,000,000

                    in new budget authority and $558,711,000,000 in outlays;

                    and

                      (B) for the violent crime reduction category:

                    $4,500,000,000 in new budget authority and

                    $5,554,000,000 in outlays;

              (5) with respect to fiscal year 2001, for the discretionary

            category: $542,032,000,000 in new budget authority and

            $564,396,000,000 in outlays; and

              (6) with respect to fiscal year 2002, for the discretionary

            category: $551,074,000,000 in new budget authority and

            $560,799,000,000 in outlays;
    as adjusted in strict conformance with subsection (b).

    SEC. 252. ENFORCING PAY-AS-YOU-GO.
      Section 251 was significantly rewritten by the Budget Enforcement Act
    of 1997 (sec. 10203, P.L. 105-33) to extend discretionary spending
    limits and sequestration enforcement. The amendment also imposed
    separate spending limits for defense, nondefense, and violent crime
    reduction, rendering section 251A unnecessary and was therefore repealed
    (Budget Enforcement Act of 1997 (sec. 10204, P.L. 105-33)).

                                                                    Sec. 252
    Sec. 252

      (a) Purpose.--The purpose of this section is to assure that any
    legislation enacted before October 1, 2002, affecting direct spending or
    receipts that increases the deficit will trigger an offsetting
    sequestration.

      (b) Sequestration.--

              (1) Timing.--Not later than 15 calendar days after the date

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

    [[Page 1007]]

            sequestration (if any) under section

            251 or 253, there shall be a sequestration to offset the amount

            of any net deficit increase caused by all direct spending and

            receipts legislation enacted before October 1, 2002, as

            calculated under paragraph (2).

              (2) Calculation of deficit increase.--OMB shall calculate the

            amount of deficit increase or decrease by adding--

                      (A) all OMB estimates for the budget year of direct

                    spending and receipts legislation transmitted under

                    subsection (d);

                      (B) the estimated amount of savings in direct spending

                    programs applicable to budget year resulting from the

                    prior year's sequestration under this section or section

                    253, if any, as published in OMB's final sequestration

                    report for that prior year; and

                      (C) any net deficit increase or decrease in the

                    current year resulting from all OMB estimates for the

                    current year of direct spending and receipts legislation

                    transmitted under subsection (d) that were not reflected

                    in the final OMB sequestration report for the current

                    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 and direct 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

    [[Page 1008]]

            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.

      (2) For purposes of this subsection, accounts shall be assumed to be
    at the level in the baseline.

      (d) Estimates.--

              (1) CBO estimates.--As soon as practicable after Congress

            completes action on any direct spending or receipts legislation,

            CBO shall provide an estimate to OMB of that legislation.

              (2) OMB estimates.--Not later than 7 calendar days (excluding

            Saturdays, Sundays, and legal holidays) after the date of

            enactment of any direct spending or receipts legislation, OMB

            shall transmit a report to the House of Representatives and to

            the Senate containing--

                      (A) the CBO estimate of that legislation;

                      (B) an OMB estimate of that legislation using current

                    economic and technical assumptions; and

                      (C) an explanation of any difference between the 2

                    estimates.

              (3) Significant differences.--If during the preparation of the

            report under paragraph (2) OMB determines that there is a

            significant difference between the OMB and CBO estimates, OMB

            shall consult with the Committees on the Budget of the House of

            Representatives and the Senate regarding that difference and

            that consultation, to the extent practicable, shall include

            written communication to such committees that affords such

            committees the opportunity to comment before the issuance of

            that report.

              (4) Scope of estimates.--The estimates under this section

            shall include the amount of change in outlays or receipts for

            the current year (if applicable), the budget year, and each

            outyear excluding any amounts resulting from--

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

                    insurance guarantee commitment in effect under current

                    estimates; and

                      (B) emergency provisions as designated under

    [[Page 1009]]

                    subsection (e).

              (5) Scorekeeping guidelines.--OMB and CBO, after consultation

            with each other and the Committees on the Budget of the House of

            Representatives and the Senate, shall--

                      (A) determine common scorekeeping guidelines; and

                      (B) in conformance with such guidelines, prepare

                    estimates under this section.

      (e) Emergency Legislation.--If 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 resulting from that provision shall be designated as an emergency
    requirement in the reports required under subsection (d). This
    subsection shall not apply to direct spending provisions to cover
    agricultural crop disaster assistance.

      Section 252 was significantly rewritten by the Budget Enforcement Act
    of 1997 (sec. 10205, P.L. 105-33).
    SEC. 253. ENFORCING DEFICIT TARGETS.

                                                                    Sec. 253
    Sec. 253

      (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.

    [[Page 1010]]

    counts (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).

      (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 ac

      (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

                    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

    [[Page 1011]]

            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

            reestimates of economic and technical 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

    [[Page 1012]]

            adjust

            ment 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.

      (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 set 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

    [[Page 1013]]

                    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.

      (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 guarantee
    commitment in effect on the date of submission of the budget for fiscal
    year 1993).
    SEC. 254. REPORTS AND ORDERS.

                                                                    Sec. 254
    Sec. 254
    * * * * *

      (i) 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 preceding such

            notification and the 4 quarters following such notification, CBO

            or OMB has 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

    [[Page 1014]]

            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.

      This paragraph was redesignated by the Budget Enforcement Act of 1997
    (sec. 10206, P.L. 105-33). In response to a ``low-growth report'' under
    this section, 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. 2128).
    * * * * *
    SEC. 258. SUSPENSION IN THE EVENT OF WAR OR LOW GROWTH.

                                                                    Sec. 258
    Sec. 258

      (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

                    as follows: ``That the Congress declares 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

    [[Page 1015]]

                    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.

            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

    [[Page 1016]]

            time shall be equally divided be

            tween, 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.

      (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 is concluded by Senate ratification of the
    necessary treaties, the provisions of subsection (b) triggered by that
    declaration of war are no longer effective.

    SEC. 258A. MODIFICATION OF PRESIDENTIAL ORDER.
      (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
    Sec. 258A

    [[Page 1017]]

    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.

      (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,

      (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

            committee 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

            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 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

    [[Page 1018]]

            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

            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

    [[Page 1019]]

            Representatives a joint reso

            lution 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

            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.

                                                                   Sec. 258B
    Sec. 258B

    [[Page 1020]]

    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.

      (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

      (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.

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

      (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.

    [[Page 1021]]

    (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).
      (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

      (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 the
    joint resolution shall remain the unfinished business of the Senate
    until disposed of.

      (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.

    [[Page 1022]]

    poses 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.
      (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 pur

      (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.

      (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 equivalent to any increase in
    outlays provided by such amendment or conference report.

      (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.

    [[Page 1023]]

      (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.

              (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.

    [[Page 1024]]

    SEC. 258C. SPECIAL RECONCILIATION PROCESS.
      (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
    Sec. 258C

      (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.

      (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
    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.

    [[Page 1025]]

    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 jurisdiction of the noncomplying
    committee to achieve the amount of deficit reduction directed in such
    instructions.
      (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

      (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.

      (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
    consideration 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.

      (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.

    [[Page 1026]]

      (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.
    * * * * *