[United States Statutes at Large, Volume 121, 110th Congress, 1st Session]
[From the U.S. Government Publishing Office, www.gpo.gov]

 
[NOTE: May 17, 2007 -  [S.Con.Res.21] FEDERAL BUDGET--FISCAL YEAR
2008

SECTION 1. CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL YEAR 2008.

(a) Declaration.--Congress declares that this resolution is the
concurrent resolution on the budget for fiscal year 2008 and that this
resolution sets forth the appropriate budgetary levels for fiscal years
2007 and 2009 through 2012.
(b) Table of Contents.--The table of contents for this concurrent
resolution is as follows:

Sec. 1. Concurrent resolution on the budget for fiscal year 2008.

TITLE I--RECOMMENDED LEVELS AND AMOUNTS

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

TITLE II--BUDGET PROCESS

Sec. 201. Pay-as-you-go point of order in the Senate.
Sec. 202. Senate point of order against reconciliation legislation that
would increase the deficit or reduce a surplus.

[[Page 2591]]
121 STAT. 2591

Sec. 203. Senate point of order against legislation increasing long-term
deficits.
Sec. 204. Emergency legislation.
Sec. 205. Extension of enforcement of budgetary points of order in the
Senate.
Sec. 206. Point of order against advance appropriations.
Sec. 207. Discretionary spending limits, program integrity initiatives,
and other adjustments.
Sec. 208. Application of previous allocations in the Senate.
Sec. 209. Senate point of order against provisions of appropriations
legislation that constitute changes in mandatory programs
with net costs.
Sec. 210. Compliance with section 13301 of the Budget Enforcement Act of
1990.
Sec. 211. Application and effect of changes in allocations and
aggregates.
Sec. 212. Adjustments to reflect changes in concepts and definitions.
Sec. 213. Exercise of rulemaking powers.

TITLE III--RESERVE FUNDS

Sec. 301. Deficit-neutral reserve fund for SCHIP legislation.
Sec. 302. Deficit-neutral reserve fund for veterans and wounded
servicemembers.
Sec. 303. Deficit-neutral reserve fund for tax relief.
Sec. 304. Deficit-neutral reserve fund for Medicare improvements.
Sec. 305. Deficit-neutral reserve funds for health care quality,
effectiveness, efficiency, and transparency.
Sec. 306. Deficit-neutral reserve fund for higher education.
Sec. 307. Deficit-neutral reserve fund for the Farm Bill.
Sec. 308. Deficit-neutral reserve fund for energy legislation.
Sec. 309. Deficit-neutral reserve fund for county payments legislation.
Sec. 310. Deficit-neutral reserve fund for terrorism risk insurance
reauthorization.
Sec. 311. Deficit-neutral reserve fund for affordable housing.
Sec. 312. Deficit-neutral reserve fund for receipts from Bonneville
Power Administration.
Sec. 313. Deficit-neutral reserve fund for Indian claims settlement.
Sec. 314. Deficit-neutral reserve fund for improvements in health.
Sec. 315. Deficit-neutral reserve fund for child care.
Sec. 316. Deficit-neutral reserve fund for immigration reform in the
Senate.
Sec. 317. Deficit-reduction reserve fund.
Sec. 318. Deficit-neutral reserve fund for manufacturing initiatives in
the Senate.
Sec. 319. Deficit-neutral reserve fund for the Food and Drug
Administration in the Senate.
Sec. 320. Deficit-neutral reserve fund for Medicaid.
Sec. 321. Reserve fund adjustment for revenue measures in the House.
Sec. 322. Deficit-neutral reserve fund for San Joaquin River restoration
and Navajo Nation water rights settlements.
Sec. 323. Deficit-neutral reserve fund for selected tax relief policies
in the Senate.

TITLE IV--POLICY

Sec. 401. Policy on middle-income tax relief.
Sec. 402. Policy on defense priorities.
Sec. 403. Policy on college affordability.

TITLE V--SENSE OF THE HOUSE AND SENSE OF CONGRESS

Sec. 501. Sense of Congress on servicemembers' and veterans' health care
and other priorities.
Sec. 502. Sense of Congress on the Innovation Agenda: A commitment to
competitiveness to keep America #1.
Sec. 503. Sense of Congress on homeland security.
Sec. 504. Sense of Congress regarding the ongoing need to respond to
Hurricanes Katrina and Rita.
Sec. 505. Sense of Congress regarding long-term sustainability of
entitlements.
Sec. 506. Sense of Congress regarding the need to maintain and build
upon efforts to fight hunger.
Sec. 507. Sense of Congress regarding affordable health coverage.
Sec. 508. Sense of Congress regarding extension of the statutory pay-as-
you-go rule.
Sec. 509. Sense of Congress on long-term budgeting.
Sec. 510. Sense of Congress regarding pay parity.
Sec. 511. Sense of Congress regarding waste, fraud, and abuse.
Sec. 512. Sense of Congress regarding the importance of child support
enforcement.
Sec. 513. Sense of the House on State veterans cemeteries.
Sec. 514. Sense of Congress on the State Criminal Alien Assistance
Program.

TITLE VI--RECONCILIATION

Sec. 601. Reconciliation in the House.
Sec. 602. Deficit-reduction reconciliation instruction in the Senate.

[[Page 2592]]
121 STAT. 2592

TITLE I--RECOMMENDED LEVELS AND AMOUNTS

SEC. 101. RECOMMENDED LEVELS AND AMOUNTS.

The following budgetary levels are appropriate for each of fiscal
years 2007 through 2012:
(1) Federal revenues.--For purposes of the enforcement of
this resolution:
(A) The recommended levels of Federal revenues are
as follows:
Fiscal year 2007: $1,900,340,000,000.
Fiscal year 2008: $2,015,858,000,000.
Fiscal year 2009: $2,113,828,000,000.
Fiscal year 2010: $2,169,484,000,000.
Fiscal year 2011: $2,350,254,000,000.
Fiscal year 2012: $2,488,301,000,000.
(B) The amounts by which the aggregate levels of
Federal revenues should be changed are as follows:
Fiscal year 2007: -$4,366,000,000.
Fiscal year 2008: -$34,938,000,000.
Fiscal year 2009: $6,902,000,000.
Fiscal year 2010: $5,763,000,000.
Fiscal year 2011: -$44,296,000,000.
Fiscal year 2012: -$108,795,000,000.
(2) New budget authority.--For purposes of the enforcement
of this resolution, the appropriate levels of total new budget
authority are as follows:
Fiscal year 2007: $2,380,535,000,000.
Fiscal year 2008: $2,496,028,000,000.
Fiscal year 2009: $2,517,132,000,000.
Fiscal year 2010: $2,569,696,000,000.
Fiscal year 2011: $2,684,889,000,000.
Fiscal year 2012: $2,719,268,000,000.
(3) Budget outlays.--For purposes of the enforcement of this
resolution, the appropriate levels of total budget outlays are
as follows:
Fiscal year 2007: $2,300,572,000,000.
Fiscal year 2008: $2,469,636,000,000.
Fiscal year 2009: $2,566,481,000,000.
Fiscal year 2010: $2,600,036,000,000.
Fiscal year 2011: $2,692,104,000,000.
Fiscal year 2012: $2,703,556,000,000.
(4) Deficits.--For purposes of the enforcement of this
resolution, the amounts of the deficits are as follows:
Fiscal year 2007: $400,232,000,000.
Fiscal year 2008: $453,778,000,000.
Fiscal year 2009: $452,653,000,000.
Fiscal year 2010: $430,552,000,000.
Fiscal year 2011: $341,850,000,000.
Fiscal year 2012: $215,255,000,000.
(5) Debt subject to limit.--Pursuant to section 301(a)(5) of
the Congressional Budget Act of 1974, the appropriate levels of
the public debt are as follows:
Fiscal year 2007: $8,932,264,000,000.
Fiscal year 2008: $9,504,150,000,000.
Fiscal year 2009: $10,073,725,000,000.

[[Page 2593]]
121 STAT. 2593

Fiscal year 2010: $10,622,023,000,000.
Fiscal year 2011: $11,077,407,000,000.
Fiscal year 2012: $11,419,028,000,000.
(6) Debt held by the public.--The appropriate levels of debt
held by the public are as follows:
Fiscal year 2007: $5,047,318,000,000.
Fiscal year 2008: $5,312,560,000,000.
Fiscal year 2009: $5,561,383,000,000.
Fiscal year 2010: $5,774,487,000,000.
Fiscal year 2011: $5,881,776,000,000.
Fiscal year 2012: $5,850,852,000,000.

SEC. 102. SOCIAL SECURITY.

(a) Social Security Revenues.--For purposes of Senate enforcement
under sections 302 and 311 of the Congressional Budget Act of 1974, the
amounts of revenues of the Federal Old-Age and Survivors Insurance Trust
Fund and the Federal Disability Insurance Trust Fund are as follows:
Fiscal year 2007: $637,586,000,000.
Fiscal year 2008: $668,998,000,000.
Fiscal year 2009: $702,851,000,000.
Fiscal year 2010: $737,589,000,000.
Fiscal year 2011: $772,605,000,000.
Fiscal year 2012: $807,928,000,000.
(b) Social Security Outlays.--For purposes of Senate enforcement
under sections 302 and 311 of the Congressional Budget Act of 1974, the
amounts of outlays of the Federal Old-Age and Survivors Insurance Trust
Fund and the Federal Disability Insurance Trust Fund are as follows:
Fiscal year 2007: $441,676,000,000.
Fiscal year 2008: $460,224,000,000.
Fiscal year 2009: $478,578,000,000.
Fiscal year 2010: $499,655,000,000.
Fiscal year 2011: $520,743,000,000.
Fiscal year 2012: $546,082,000,000.
(c) Social Security Administrative Expenses.--In the Senate, the
amounts of new budget authority and budget outlays of the Federal Old-
Age and Survivors Insurance Trust Fund and the Federal Disability
Insurance Trust Fund for administrative expenses are as follows:
Fiscal year 2007:
(A) New budget authority, $4,692,000,000.
(B) Outlays, $4,727,000,000.
Fiscal year 2008:
(A) New budget authority, $4,850,000,000.
(B) Outlays, $4,859,000,000.
Fiscal year 2009:
(A) New budget authority, $4,996,000,000.
(B) Outlays, $4,970,000,000.
Fiscal year 2010:
(A) New budget authority, $5,147,000,000.
(B) Outlays, $5,121,000,000.
Fiscal year 2011:
(A) New budget authority, $5,306,000,000.
(B) Outlays, $5,278,000,000.
Fiscal year 2012:
(A) New budget authority, $5,467,000,000.

[[Page 2594]]
121 STAT. 2594

(B) Outlays, $5,439,000,000.

SEC. 103. MAJOR FUNCTIONAL CATEGORIES.

Congress determines and declares that the appropriate levels of new
budget authority and outlays for fiscal years 2007 through 2012 for each
major functional category are:
(1) National Defense (050):
Fiscal year 2007:
(A) New budget authority, $525,797,000,000.
(B) Outlays, $534,270,000,000.
Fiscal year 2008:
(A) New budget authority, $506,955,000,000.
(B) Outlays, $514,401,000,000.
Fiscal year 2009:
(A) New budget authority, $534,705,000,000.
(B) Outlays, $524,384,000,000.
Fiscal year 2010:
(A) New budget authority, $545,171,000,000.
(B) Outlays, $536,433,000,000.
Fiscal year 2011:
(A) New budget authority, $550,944,000,000.
(B) Outlays, $547,624,000,000.
Fiscal year 2012:
(A) New budget authority, $559,799,000,000.
(B) Outlays, $548,169,000,000.
(2) International Affairs (150):
Fiscal year 2007:
(A) New budget authority, $28,795,000,000.
(B) Outlays, $31,308,000,000.
Fiscal year 2008:
(A) New budget authority, $34,678,000,000.
(B) Outlays, $33,070,000,000.
Fiscal year 2009:
(A) New budget authority, $35,602,000,000.
(B) Outlays, $32,664,000,000.
Fiscal year 2010:
(A) New budget authority, $35,980,000,000.
(B) Outlays, $33,070,000,000.
Fiscal year 2011:
(A) New budget authority, $36,630,000,000.
(B) Outlays, $33,528,000,000.
Fiscal year 2012:
(A) New budget authority, $37,257,000,000.
(B) Outlays, $34,150,000,000.
(3) General Science, Space, and Technology (250):
Fiscal year 2007:
(A) New budget authority, $25,079,000,000.
(B) Outlays, $24,516,000,000.
Fiscal year 2008:
(A) New budget authority, $27,615,000,000.
(B) Outlays, $26,472,000,000.
Fiscal year 2009:
(A) New budget authority, $28,641,000,000.
(B) Outlays, $28,411,000,000.
Fiscal year 2010:
(A) New budget authority, $29,844,000,000.
(B) Outlays, $29,485,000,000.

[[Page 2595]]
121 STAT. 2595

Fiscal year 2011:
(A) New budget authority, $31,103,000,000.
(B) Outlays, $30,089,000,000.
Fiscal year 2012:
(A) New budget authority, $32,438,000,000.
(B) Outlays, $31,367,000,000.
(4) Energy (270):
Fiscal year 2007:
(A) New budget authority, $2,943,000,000.
(B) Outlays, $1,369,000,000.
Fiscal year 2008:
(A) New budget authority, $3,408,000,000.
(B) Outlays, $1,162,000,000.
Fiscal year 2009:
(A) New budget authority, $3,209,000,000.
(B) Outlays, $1,590,000,000.
Fiscal year 2010:
(A) New budget authority, $3,275,000,000.
(B) Outlays, $1,782,000,000.
Fiscal year 2011:
(A) New budget authority, $3,346,000,000.
(B) Outlays, $1,829,000,000.
Fiscal year 2012:
(A) New budget authority, $3,404,000,000.
(B) Outlays, $2,111,000,000.
(5) Natural Resources and Environment (300):
Fiscal year 2007:
(A) New budget authority, $31,332,000,000.
(B) Outlays, $32,919,000,000.
Fiscal year 2008:
(A) New budget authority, $33,384,000,000.
(B) Outlays, $35,219,000,000.
Fiscal year 2009:
(A) New budget authority, $33,910,000,000.
(B) Outlays, $35,704,000,000.
Fiscal year 2010:
(A) New budget authority, $34,660,000,000.
(B) Outlays, $35,834,000,000.
Fiscal year 2011:
(A) New budget authority, $35,113,000,000.
(B) Outlays, $36,035,000,000.
Fiscal year 2012:
(A) New budget authority, $36,094,000,000.
(B) Outlays, $36,507,000,000.
(6) Agriculture (350):
Fiscal year 2007:
(A) New budget authority, $21,471,000,000.
(B) Outlays, $19,738,000,000.
Fiscal year 2008:
(A) New budget authority, $20,481,000,000.
(B) Outlays, $19,603,000,000.
Fiscal year 2009:
(A) New budget authority, $21,033,000,000.
(B) Outlays, $20,146,000,000.
Fiscal year 2010:
(A) New budget authority, $21,238,000,000.
(B) Outlays, $20,207,000,000.

[[Page 2596]]
121 STAT. 2596

Fiscal year 2011:
(A) New budget authority, $21,256,000,000.
(B) Outlays, $20,534,000,000.
Fiscal year 2012:
(A) New budget authority, $21,502,000,000.
(B) Outlays, $20,963,000,000.
(7) Commerce and Housing Credit (370):
Fiscal year 2007:
(A) New budget authority, $5,515,000,000.
(B) Outlays, -$3,522,000,000.
Fiscal year 2008:
(A) New budget authority, $9,279,000,000.
(B) Outlays, $2,034,000,000.
Fiscal year 2009:
(A) New budget authority, $9,973,000,000.
(B) Outlays, $1,048,000,000.
Fiscal year 2010:
(A) New budget authority, $13,775,000,000.
(B) Outlays, $3,431,000,000.
Fiscal year 2011:
(A) New budget authority, $8,822,000,000.
(B) Outlays, $2,439,000,000.
Fiscal year 2012:
(A) New budget authority, $8,822,000,000.
(B) Outlays, $756,000,000.
(8) Transportation (400):
Fiscal year 2007:
(A) New budget authority, $81,282,000,000.
(B) Outlays, $74,739,000,000.
Fiscal year 2008:
(A) New budget authority, $82,799,000,000.
(B) Outlays, $81,093,000,000.
Fiscal year 2009:
(A) New budget authority, $76,306,000,000.
(B) Outlays, $84,025,000,000.
Fiscal year 2010:
(A) New budget authority, $77,061,000,000.
(B) Outlays, $85,959,000,000.
Fiscal year 2011:
(A) New budget authority, $78,089,000,000.
(B) Outlays, $86,672,000,000.
Fiscal year 2012:
(A) New budget authority, $78,969,000,000.
(B) Outlays, $88,352,000,000.
(9) Community and Regional Development (450):
Fiscal year 2007:
(A) New budget authority, $15,717,000,000.
(B) Outlays, $28,281,000,000.
Fiscal year 2008:
(A) New budget authority, $15,814,000,000.
(B) Outlays, $22,292,000,000.
Fiscal year 2009:
(A) New budget authority, $14,725,000,000.
(B) Outlays, $21,008,000,000.
Fiscal year 2010:
(A) New budget authority, $14,942,000,000.
(B) Outlays, $19,892,000,000.

[[Page 2597]]
121 STAT. 2597

Fiscal year 2011:
(A) New budget authority, $15,157,000,000.
(B) Outlays, $18,440,000,000.
Fiscal year 2012:
(A) New budget authority, $15,371,000,000.
(B) Outlays, $15,938,000,000.
(10) Education, Training, Employment, and Social Services
(500):
Fiscal year 2007:
(A) New budget authority, $92,780,000,000.
(B) Outlays, $92,224,000,000.
Fiscal year 2008:
(A) New budget authority, $93,880,000,000.
(B) Outlays, $91,022,000,000.
Fiscal year 2009:
(A) New budget authority, $97,809,000,000.
(B) Outlays, $94,513,000,000.
Fiscal year 2010:
(A) New budget authority, $99,726,000,000.
(B) Outlays, $97,075,000,000.
Fiscal year 2011:
(A) New budget authority, $100,151,000,000.
(B) Outlays, $98,745,000,000.
Fiscal year 2012:
(A) New budget authority, $100,748,000,000.
(B) Outlays, $98,728,000,000.
(11) Health (550):
Fiscal year 2007:
(A) New budget authority, $267,892,000,000.
(B) Outlays, $268,197,000,000.
Fiscal year 2008:
(A) New budget authority, $287,486,000,000.
(B) Outlays, $286,442,000,000.
Fiscal year 2009:
(A) New budget authority, $308,326,000,000.
(B) Outlays, $306,410,000,000.
Fiscal year 2010:
(A) New budget authority, $326,118,000,000.
(B) Outlays, $326,100,000,000.
Fiscal year 2011:
(A) New budget authority, $347,561,000,000.
(B) Outlays, $346,748,000,000.
Fiscal year 2012:
(A) New budget authority, $370,422,000,000.
(B) Outlays, $369,653,000,000.
(12) Medicare (570):
Fiscal year 2007:
(A) New budget authority, $365,152,000,000.
(B) Outlays, $370,180,000,000.
Fiscal year 2008:
(A) New budget authority, $389,587,000,000.
(B) Outlays, $389,703,000,000.
Fiscal year 2009:
(A) New budget authority, $416,710,000,000.
(B) Outlays, $416,367,000,000.
Fiscal year 2010:
(A) New budget authority, $442,347,000,000.

[[Page 2598]]
121 STAT. 2598

(B) Outlays, $442,569,000,000.
Fiscal year 2011:
(A) New budget authority, $489,077,000,000.
(B) Outlays, $489,087,000,000.
Fiscal year 2012:
(A) New budget authority, $486,804,000,000.
(B) Outlays, $486,417,000,000.
(13) Income Security (600):
Fiscal year 2007:
(A) New budget authority, $360,365,000,000.
(B) Outlays, $364,204,000,000.
Fiscal year 2008:
(A) New budget authority, $380,763,000,000.
(B) Outlays, $384,301,000,000.
Fiscal year 2009:
(A) New budget authority, $391,707,000,000.
(B) Outlays, $393,962,000,000.
Fiscal year 2010:
(A) New budget authority, $401,747,000,000.
(B) Outlays, $402,784,000,000.
Fiscal year 2011:
(A) New budget authority, $417,020,000,000.
(B) Outlays, $417,013,000,000.
Fiscal year 2012:
(A) New budget authority, $402,674,000,000.
(B) Outlays, $402,008,000,000.
(14) Social Security (650):
Fiscal year 2007:
(A) New budget authority, $19,089,000,000.
(B) Outlays, $19,089,000,000.
Fiscal year 2008:
(A) New budget authority, $19,644,000,000.
(B) Outlays, $19,644,000,000.
Fiscal year 2009:
(A) New budget authority, $21,518,000,000.
(B) Outlays, $21,518,000,000.
Fiscal year 2010:
(A) New budget authority, $23,701,000,000.
(B) Outlays, $23,701,000,000.
Fiscal year 2011:
(A) New budget authority, $27,009,000,000.
(B) Outlays, $27,009,000,000.
Fiscal year 2012:
(A) New budget authority, $29,898,000,000.
(B) Outlays, $29,898,000,000.
(15) Veterans Benefits and Services (700):
Fiscal year 2007:
(A) New budget authority, $73,896,000,000.
(B) Outlays, $72,342,000,000.
Fiscal year 2008:
(A) New budget authority, $85,262,000,000.
(B) Outlays, $84,421,000,000.
Fiscal year 2009:
(A) New budget authority, $87,787,000,000.
(B) Outlays, $88,290,000,000.
Fiscal year 2010:
(A) New budget authority, $90,414,000,000.

[[Page 2599]]
121 STAT. 2599

(B) Outlays, $89,981,000,000.
Fiscal year 2011:
(A) New budget authority, $96,033,000,000.
(B) Outlays, $95,543,000,000.
Fiscal year 2012:
(A) New budget authority, $93,325,000,000.
(B) Outlays, $92,666,000,000.
(16) Administration of Justice (750):
Fiscal year 2007:
(A) New budget authority, $45,504,000,000.
(B) Outlays, $44,659,000,000.
Fiscal year 2008:
(A) New budget authority, $47,998,000,000.
(B) Outlays, $47,131,000,000.
Fiscal year 2009:
(A) New budget authority, $48,315,000,000.
(B) Outlays, $49,120,000,000.
Fiscal year 2010:
(A) New budget authority, $49,220,000,000.
(B) Outlays, $49,449,000,000.
Fiscal year 2011:
(A) New budget authority, $50,146,000,000.
(B) Outlays, $49,969,000,000.
Fiscal year 2012:
(A) New budget authority, $51,079,000,000.
(B) Outlays, $50,759,000,000.
(17) General Government (800):
Fiscal year 2007:
(A) New budget authority, $18,193,000,000.
(B) Outlays, $18,574,000,000.
Fiscal year 2008:
(A) New budget authority, $18,628,000,000.
(B) Outlays, $19,012,000,000.
Fiscal year 2009:
(A) New budget authority, $19,254,000,000.
(B) Outlays, $19,323,000,000.
Fiscal year 2010:
(A) New budget authority, $19,876,000,000.
(B) Outlays, $19,755,000,000.
Fiscal year 2011:
(A) New budget authority, $20,637,000,000.
(B) Outlays, $20,360,000,000.
Fiscal year 2012:
(A) New budget authority, $21,349,000,000.
(B) Outlays, $21,183,000,000.
(18) Net Interest (900):
Fiscal year 2007:
(A) New budget authority, $344,509,000,000.
(B) Outlays, $344,509,000,000.
Fiscal year 2008:
(A) New budget authority, $370,578,000,000.
(B) Outlays, $370,578,000,000.
Fiscal year 2009:
(A) New budget authority, $391,056,000,000.
(B) Outlays, $391,056,000,000.
Fiscal year 2010:
(A) New budget authority, $414,724,000,000.

[[Page 2600]]
121 STAT. 2600

(B) Outlays, $414,724,000,000.
Fiscal year 2011:
(A) New budget authority, $433,665,000,000.
(B) Outlays, $433,665,000,000.
Fiscal year 2012:
(A) New budget authority, $448,597,000,000.
(B) Outlays, $448,597,000,000.
(19) Allowances (920):
Fiscal year 2007:
(A) New budget authority, $785,000,000.
(B) Outlays, $755,000,000.
Fiscal year 2008:
(A) New budget authority, -$6,394,000,000.
(B) Outlays, -$2,164,000,000.
Fiscal year 2009:
(A) New budget authority, -$6,894,000,000.
(B) Outlays, -$6,319,000,000.
Fiscal year 2010:
(A) New budget authority, -$7,190,000,000.
(B) Outlays, -$6,984,000,000.
Fiscal year 2011:
(A) New budget authority, -$7,295,000,000.
(B) Outlays, -$7,181,000,000.
Fiscal year 2012:
(A) New budget authority, -$7,427,000,000.
(B) Outlays, -$7,311,000,000.
(20) Undistributed Offsetting Receipts (950):
Fiscal year 2007:
(A) New budget authority, -$69,714,000,000.
(B) Outlays, -$69,714,000,000.
Fiscal year 2008:
(A) New budget authority, -$70,979,000,000.
(B) Outlays, -$70,979,000,000.
Fiscal year 2009:
(A) New budget authority, -$66,560,000,000.
(B) Outlays, -$66,569,000,000.
Fiscal year 2010:
(A) New budget authority, -$66,933,000,000.
(B) Outlays, -$66,933,000,000.
Fiscal year 2011:
(A) New budget authority, -$69,575,000,000.
(B) Outlays, -$69,595,000,000.
Fiscal year 2012:
(A) New budget authority, -$71,857,000,000.
(B) Outlays, -$71,860,000,000.
(21) Overseas Deployments and Other Activities (970):
Fiscal year 2007:
(A) New budget authority, $124,153,000,000.
(B) Outlays, $31,935,000,000.
Fiscal year 2008:
(A) New budget authority, $145,162,000,000.
(B) Outlays, $115,179,000,000.
Fiscal year 2009:
(A) New budget authority, $50,000,000,000.
(B) Outlays, $109,830,000,000.
Fiscal year 2010:
(A) New budget authority, $0.

[[Page 2601]]
121 STAT. 2601

(B) Outlays, $41,722,000,000.
Fiscal year 2011:
(A) New budget authority, $0.
(B) Outlays, $13,551,000,000.
Fiscal year 2012:
(A) New budget authority, $0.
(B) Outlays, $4,505,000,000.

TITLE II--BUDGET PROCESS

SEC. 201. PAY-AS-YOU-GO POINT OF ORDER IN THE SENATE.

(a) Point of Order.--
(1) In general.--It shall not be in order in the Senate to
consider any direct spending or revenue legislation that would
increase the on-budget deficit or cause an on-budget deficit for
either of the applicable time periods as measured in paragraphs
(5) and (6).
(2) Applicable time periods.--For purposes of this
subsection, the term ``applicable time period'' means either--
(A) the period of the current fiscal year, the
budget year, and the ensuing 4 fiscal years following
the budget year; or
(B) the period of the current fiscal year, the
budget year, and the ensuing 9 fiscal years following
the budget year.
(3) Direct spending legislation.--For purposes of this
subsection and except as provided in paragraph (4), the term
``direct spending legislation'' means any bill, joint
resolution, amendment, motion, or conference report that affects
direct spending as that term is defined by, and interpreted for
purposes of, the Balanced Budget and Emergency Deficit Control
Act of 1985.
(4) Exclusion.--For purposes of this subsection, the terms
``direct spending legislation'' and ``revenue legislation'' do
not include--
(A) any concurrent resolution on the budget; or
(B) any provision of legislation that affects the
full funding of, and continuation of, the deposit
insurance guarantee commitment in effect on the date of
enactment of the Budget Enforcement Act of 1990.
(5) Baseline.--Estimates prepared pursuant to this
subsection shall--
(A) use the baseline surplus or deficit used for the
most recently adopted concurrent resolution on the
budget; and
(B) be calculated under the requirements of
subsections (b) through (d) of section 257 of the
Balanced Budget and Emergency Deficit Control Act of
1985 (as in effect prior to September 30, 2002) for
fiscal years beyond those covered by that concurrent
resolution on the budget.
(6) Prior surplus.--If direct spending or revenue
legislation increases the on-budget deficit or causes an on-
budget deficit when taken individually, it must also increase
the on-budget deficit or cause an on-budget deficit when taken
together with all direct spending and revenue legislation
enacted since the beginning of the calendar year not accounted
for in the

[[Page 2602]]
121 STAT. 2602

baseline under paragraph (5)(A), except that direct spending or
revenue effects resulting in net deficit reduction enacted in
any bill pursuant to a reconciliation instruction since the
beginning of that same calendar year shall never be made
available on the pay-as-you-go ledger and shall be dedicated
only for deficit reduction.
(b) Supermajority Waiver and Appeals.--
(1) Waiver.--This section may be waived or suspended in the
Senate only by the affirmative vote of three-fifths of the
Members, duly chosen and sworn.
(2) Appeals.--Appeals in the Senate from the decisions of
the Chair relating to any provision of this section shall be
limited to 1 hour, to be equally divided between, and controlled
by, the appellant and the manager of the bill or joint
resolution, as the case may be. An affirmative vote of three-
fifths of the Members of the Senate, duly chosen and sworn,
shall be required to sustain an appeal of the ruling of the
Chair on a point of order raised under this section.
(c) Determination of Budget Levels.--For purposes of this section,
the levels of new budget authority, outlays, and revenues for a fiscal
year shall be determined on the basis of estimates made by the Senate
Committee on the Budget.
(d) Sunset.--This section shall expire on September 30, 2017.
(e) Repeal.--In the Senate, section 505 of H. Con. Res. 95 (108th
Congress), the fiscal year 2004 concurrent resolution on the budget,
shall no longer apply.

SEC. 202. SENATE POINT OF ORDER AGAINST RECONCILIATION LEGISLATION THAT
WOULD INCREASE THE DEFICIT OR REDUCE A SURPLUS.

(a) In General.--It shall not be in order in the Senate to consider
any reconciliation bill, resolution, amendment, amendment between
Houses, motion, or conference report pursuant to section 310 of the
Congressional Budget Act of 1974 that would cause or increase a deficit
or reduce a surplus in either of the following periods:
(1) The current fiscal year, the budget year, and the
ensuing 4 fiscal years following the budget year.
(2) The current fiscal year, the budget year, and the
ensuing 9 fiscal years following the budget year.
(b) Supermajority Waiver and Appeal in the Senate.--
(1) Waiver.--This section may be waived or suspended in the
Senate only by an affirmative vote of three-fifths of the
Members, duly chosen and sworn.
(2) Appeal.--An affirmative vote of three-fifths of the
Members of the Senate, duly chosen and sworn, shall be required
in the Senate to sustain an appeal of the ruling of the Chair on
a point of order raised under this section.
(c) Determination of Budget Levels.--For purposes of this section,
the levels of net deficit increases shall be determined on the basis of
estimates provided by the Senate Committee on the Budget.

SEC. 203. SENATE POINT OF ORDER AGAINST LEGISLATION INCREASING LONG-TERM
DEFICITS.

(a) Congressional Budget Office Analysis of Proposals.--The Director
of the Congressional Budget Office shall, to the extent practicable,
prepare for each bill and joint resolution reported from

[[Page 2603]]
121 STAT. 2603

committee (except measures within the jurisdiction of the Committee on
Appropriations), and amendments thereto and conference reports thereon,
an estimate of whether the measure would cause, relative to current law,
a net increase in deficits in excess of $5,000,000,000 in any of the
four 10-year periods beginning in fiscal year 2018 through fiscal year
2057.
(b) Point of Order.--It shall not be in order in the Senate to
consider any bill, joint resolution, amendment, motion, or conference
report that would cause a net increase in deficits in excess of
$5,000,000,000 in any of the 4 10-year periods beginning in 2018 through
2057.
(c) Supermajority Waiver and Appeal in the Senate.--
(1) Waiver.--This section may be waived or suspended only by
the affirmative vote of three-fifths of the Members, duly chosen
and sworn.
(2) Appeal.--An affirmative vote of three-fifths of the
Members, duly chosen and sworn, shall be required to sustain an
appeal of the ruling of the Chair on a point of order raised
under this section.
(d) Determinations of Budget Levels.--For purposes of this section,
the levels of net deficit increases shall be determined on the basis of
estimates provided by the Senate Committee on the Budget.
(e) Repeal.--In the Senate, section 407 of H. Con. Res. 95 (109th
Congress), the concurrent resolution on the budget for fiscal year 2006,
shall no longer apply.
(f) Sunset.--This section shall expire on September 30, 2017.

SEC. 204. EMERGENCY LEGISLATION.

(a) Senate.--
(1) Authority to designate.--In the Senate, with respect to
a provision of direct spending or receipts legislation or
appropriations for discretionary accounts that Congress
designates as an emergency requirement in such measure, the
amounts of new budget authority, outlays, and receipts in all
fiscal years resulting from that provision shall be treated as
an emergency requirement for the purpose of this subsection.
(2) Exemption of emergency provisions.--Any new budget
authority, outlays, and receipts resulting from any provision
designated as an emergency requirement, pursuant to this
subsection, in any bill, joint resolution, amendment, or
conference report shall not count for purposes of sections 302
and 311 of the Congressional Budget Act of 1974 and sections
201, 203, and 207 of this resolution (relating to pay-as-you-go
in the Senate, long-term deficits, and discretionary spending
limits).
(3) Designations.--If a provision of legislation is
designated as an emergency requirement under this subsection,
the committee report and any statement of managers accompanying
that legislation shall include an explanation of the manner in
which the provision meets the criteria in paragraph (6).
(4) Definitions.--In this subsection, the terms ``direct
spending'', ``receipts'', and ``appropriations for discretionary
accounts'' mean any provision of a bill, joint resolution,
amendment, motion, or conference report that affects direct
spending, receipts, or appropriations as those terms have been
defined

[[Page 2604]]
121 STAT. 2604

and interpreted for purposes of the Balanced Budget and
Emergency Deficit Control Act of 1985.
(5) Point of order.--
(A) In general.--When the Senate is considering a
bill, resolution, amendment, motion, or conference
report, if a point of order is made by a Senator against
an emergency designation in that measure, that provision
making such a designation shall be stricken from the
measure and may not be offered as an amendment from the
floor.
(B) Supermajority waiver and appeals.--
(i) Waiver.--Subparagraph (A) may be waived or
suspended in the Senate only by an affirmative
vote of three-fifths of the Members, duly chosen
and sworn.
(ii) Appeals.--Appeals in the Senate from the
decisions of the Chair relating to any provision
of this paragraph shall be limited to 1 hour, to
be equally divided between, and controlled by, the
appellant and the manager of the bill or joint
resolution, as the case may be. An affirmative
vote of three-fifths of the Members of the Senate,
duly chosen and sworn, shall be required to
sustain an appeal of the ruling of the Chair on a
point of order raised under this paragraph.
(C) Definition of an emergency designation.--For
purposes of subparagraph (A), a provision shall be
considered an emergency designation if it designates any
item as an emergency requirement pursuant to this
subsection.
(D) Form of the point of order.--A point of order
under subparagraph (A) may be raised by a Senator as
provided in section 313(e) of the Congressional Budget
Act of 1974.
(E) Conference reports.--When the Senate is
considering a conference report on, or an amendment
between the Houses in relation to, a bill, upon a point
of order being made by any Senator pursuant to this
subsection, and such point of order being sustained,
such material contained in such conference report shall
be deemed stricken, and the Senate shall proceed to
consider the question of whether the Senate shall recede
from its amendment and concur with a further amendment,
or concur in the House amendment with a further
amendment, as the case may be, which further amendment
shall consist of only that portion of the conference
report or House amendment, as the case may be, not so
stricken. Any such motion in the Senate shall be
debatable. In any case in which such point of order is
sustained against a conference report (or Senate
amendment derived from such conference report by
operation of this paragraph), no further amendment shall
be in order.
(6) Criteria.--
(A) In general.--For purposes of this subsection,
any provision is an emergency requirement if the
situation addressed by such provision is--
(i) necessary, essential, or vital (not merely
useful or beneficial);
(ii) sudden, quickly coming into being, and
not building up over time;

[[Page 2605]]
121 STAT. 2605

(iii) an urgent, pressing, and compelling need
requiring immediate action;
(iv) subject to subparagraph (B), unforeseen,
unpredictable, and unanticipated; and
(v) not permanent, temporary in nature.
(B) Unforeseen.--An emergency that is part of an
aggregate level of anticipated emergencies, particularly
when normally estimated in advance, is not unforeseen.
(7) Repeal.--In the Senate, section 402 of H. Con. Res. 95
(109th Congress), the concurrent resolution on the budget for
fiscal year 2006, shall no longer apply.
(b) House.--In the House, if any bill or joint resolution, or
amendment offered or considered as adopted or conference report thereon,
that makes appropriations for discretionary amounts, and such amounts
are designated as necessary to meet emergency needs, then the new budget
authority and outlays resulting therefrom shall not be counted for the
purposes of titles III and IV of the Congressional Budget Act of 1974.

SEC. 205. EXTENSION OF ENFORCEMENT OF BUDGETARY POINTS OF ORDER IN THE
SENATE.

Notwithstanding any provision of the Congressional Budget Act of
1974, subsections (c)(2) and (d)(3) of section 904 of the Congressional
Budget Act of 1974 shall remain in effect for purposes of Senate
enforcement through September 30, 2017, and Section 403 of H. Con. Res.
95 (109th Congress) shall no longer apply in the Senate.

SEC. 206. POINT OF ORDER AGAINST ADVANCE APPROPRIATIONS.

(a) Senate.--
(1) In general.--
(A) Point of order.--Except as provided in paragraph
(2), it shall not be in order in the Senate to consider
any bill, joint resolution, motion, amendment, or
conference report that would provide an advance
appropriation.
(B) Definition.--In this subsection, the term
``advance appropriation'' means any new budget authority
provided in a bill or joint resolution making
appropriations for fiscal year 2008 that first becomes
available for any fiscal year after 2008, or any new
budget authority provided in a bill or joint resolution
making general appropriations or continuing
appropriations for fiscal year 2009, that first becomes
available for any fiscal year after 2009.
(2) Exceptions.--Advance appropriations may be provided--
(A) for fiscal years 2009 and 2010 for programs,
projects, activities, or accounts identified in the
joint explanatory statement of managers accompanying
this resolution under the heading ``Accounts Identified
for Advance Appropriations'' in an aggregate amount not
to exceed $25,158,000,000 in new budget authority in
each year; and
(B) for the Corporation for Public Broadcasting.
(3) Supermajority waiver and appeal.--
(A) Waiver.--In the Senate, paragraph (1) may be
waived or suspended only by an affirmative vote of
three-fifths of the Members, duly chosen and sworn.

[[Page 2606]]
121 STAT. 2606

(B) Appeal.--An affirmative vote of three-fifths of
the Members of the Senate, duly chosen and sworn, shall
be required to sustain an appeal of the ruling of the
Chair on a point of order raised under paragraph (1).
(4) Form of point of order.--A point of order under
paragraph (1) may be raised by a Senator as provided in section
313(e) of the Congressional Budget Act of 1974.
(5) Conference reports.--When the Senate is considering a
conference report on, or an amendment between the Houses in
relation to, a bill, upon a point of order being made by any
Senator pursuant to this subsection, and such point of order
being sustained, such material contained in such conference
report shall be deemed stricken, and the Senate shall proceed to
consider the question of whether the Senate shall recede from
its amendment and concur with a further amendment, or concur in
the House amendment with a further amendment, as the case may
be, which further amendment shall consist of only that portion
of the conference report or House amendment, as the case may be,
not so stricken. Any such motion in the Senate shall be
debatable. In any case in which such point of order is sustained
against a conference report (or Senate amendment derived from
such conference report by operation of this subsection), no
further amendment shall be in order.
(6) Repeal.--In the Senate, section 401 of H. Con. Res. 95
(109th Congress), the concurrent resolution on the budget for
fiscal year 2006, shall no longer apply.
(b) House.--
(1) In general.--In the House, except as provided in
paragraph (2), a bill or joint resolution making a general
appropriation or continuing appropriation, or an amendment
thereto may not provide for advance appropriations.
(2) Advance appropriation.--In the House, an advance
appropriation may be provided for fiscal year 2009 or 2010 for
programs, projects, activities, or accounts identified in the
joint explanatory statement of managers accompanying this
resolution under the heading ``Accounts Identified for Advance
Appropriations'' in an aggregate amount not to exceed
$25,558,000,000 in new budget authority.
(3) Definition.--In this subsection, the term ``advance
appropriation'' means any new discretionary budget authority
provided in a bill or joint resolution making general
appropriations or any new discretionary budget authority
provided in a bill or joint resolution continuing appropriations
for fiscal year 2008 that first becomes available for any fiscal
year after 2008.

SEC. 207. DISCRETIONARY SPENDING LIMITS, PROGRAM INTEGRITY INITIATIVES,
AND OTHER ADJUSTMENTS.

(a) Senate Point of Order.--
(1) In general.--Except as otherwise provided in this
section, it shall not be in order in the Senate to consider any
bill or joint resolution (or amendment, motion, or conference
report on that bill or joint resolution) that would cause the
discretionary spending limits in this section to be exceeded.
(2) Supermajority waiver and appeals.--

[[Page 2607]]
121 STAT. 2607

(A) Waiver.--This subsection may be waived or
suspended in the Senate only by the affirmative vote of
three-fifths of the Members, duly chosen and sworn.
(B) Appeals.--Appeals in the Senate from the
decisions of the Chair relating to any provision of this
subsection shall be limited to 1 hour, to be equally
divided between, and controlled by, the appellant and
the manager of the bill or joint resolution. An
affirmative vote of three-fifths of the Members of the
Senate, duly chosen and sworn, shall be required to
sustain an appeal of the ruling of the Chair on a point
of order raised under this subsection.
(b) Senate Discretionary Spending Limits.--In the Senate and as used
in this section, the term ``discretionary spending limit'' means--
(1) for fiscal year 2007, $950,504,000,000 in new budget
authority and $1,029,465,000,000 in outlays; and
(2) for fiscal year 2008, $953,052,000,000 in new budget
authority and $1,028,397,000,000 in outlays;

as adjusted in conformance with the adjustment procedures in subsection
(c).
(c) Adjustments in the Senate.--
(1) In general.--After the reporting of a bill or joint
resolution relating to any matter described in paragraph (2), or
the offering of an amendment thereto or the submission of a
conference report thereon--
(A) the Chairman of the Senate Committee on the
Budget may adjust the discretionary spending limits,
budgetary aggregates, and allocations pursuant to
section 302(a) of the Congressional Budget Act of 1974,
by the amount of new budget authority in that measure
for that purpose and the outlays flowing therefrom; and
(B) following any adjustment under subparagraph (A),
the Senate Committee on Appropriations may report
appropriately revised suballocations pursuant to section
302(b) of the Congressional Budget Act of 1974 to carry
out this subsection.
(2) Matters described.--Matters referred to in paragraph (1)
are as follows:
(A) Continuing disability reviews and ssi
redeterminations.--If a bill or joint resolution is
reported making appropriations for fiscal year 2008 that
appropriates $264,000,000 for continuing disability
reviews and Supplemental Security Income
redeterminations for the Social Security Administration,
and provides an additional appropriation of up to
$213,000,000 for continuing disability reviews and
Supplemental Security Income redeterminations for the
Social Security Administration, then the discretionary
spending limits, allocation to the Senate Committee on
Appropriations, and aggregates may be adjusted by the
amounts provided in such legislation for that purpose,
but not to exceed $213,000,000 in budget authority and
outlays flowing therefrom for fiscal year 2008.
(B) Internal revenue service tax enforcement.--If a
bill or joint resolution is reported making
appropriations for fiscal year 2008 that appropriates
$6,822,000,000 for the Internal Revenue Service for
enhanced tax enforcement to address the Federal tax gap
(taxes owed but not

[[Page 2608]]
121 STAT. 2608

paid) and provides an additional appropriation of up to
$406,000,000 for the Internal Revenue Service for
enhanced tax enforcement to address the Federal tax gap,
then the discretionary spending limits, allocation to
the Senate Committee on Appropriations, and aggregates
may be adjusted by the amounts provided in such
legislation for that purpose, but not to exceed
$406,000,000 in budget authority and outlays flowing
therefrom for fiscal year 2008.
(C) Health care fraud and abuse control.--If a bill
or joint resolution is reported making appropriations
for fiscal year 2008 that appropriates up to
$383,000,000 to the Health Care Fraud and Abuse Control
program at the Department of Health and Human Services,
then the discretionary spending limits, allocation to
the Senate Committee on Appropriations, and aggregates
may be adjusted by the amounts provided in such
legislation for that purpose, but not to exceed
$383,000,000 in budget authority and outlays flowing
therefrom for fiscal year 2008.
(D) Unemployment insurance improper payment
reviews.--If a bill or joint resolution is reported
making appropriations for fiscal year 2008 that
appropriates $10,000,000 for in-person reemployment and
eligibility assessments and unemployment insurance
improper payment reviews, and provides an additional
appropriation of up to $40,000,000 for in-person
reemployment and eligibility assessments and
unemployment insurance improper payment reviews, then
the discretionary spending limits, allocation to the
Senate Committee on Appropriations, and aggregates may
be adjusted by the amounts provided in such legislation
for that purpose, but not to exceed $40,000,000 in
budget authority and outlays flowing therefrom for
fiscal year 2008.
(E) Costs of overseas deployments and related
activities.--The Chairman of the Senate Committee on the
Budget may adjust the discretionary spending limits,
allocation to the Senate Committee on Appropriations,
and aggregates for one or more bills, joint resolutions,
motions, amendments, or conference reports making
appropriations for fiscal year 2008 for overseas
deployments and related activities, by the amounts
provided in such legislation for that purpose (and so
designated pursuant to this subparagraph) up to the
amounts of budget authority specified in Section 103(21)
for fiscal year 2008 and the new outlays flowing
therefrom.
(d) House.--
(1) Program integrity initiatives and other adjustments.--
(A) Continuing disability reviews and supplemental
security income redeterminations.--If a bill or joint
resolution is reported making appropriations for fiscal
year 2008 that appropriates $264,000,000 for continuing
disability reviews and Supplemental Security Income
redeterminations for the Social Security Administration,
and provides an additional appropriation of up to
$213,000,000 and the amount is designated for continuing
disability reviews and Supplemental Security

[[Page 2609]]
121 STAT. 2609

Income redeterminations for the Social Security
Administration, then the allocation to the Committee on
Appropriations of the House of Representatives shall be
increased by the amount of the additional budget
authority and outlays flowing from that budget authority
for fiscal year 2008.
(B) Internal revenue service tax compliance.--If a
bill or joint resolution is reported making
appropriations for fiscal year 2008 that appropriates
$6,822,000,000 to the Internal Revenue Service and the
amount is designated to improve compliance with the
provisions of the Internal Revenue Code of 1986 and
provides an additional appropriation of up to
$406,000,000, and the amount is designated to improve
compliance with the provisions of the Internal Revenue
Code of 1986, then the allocation to the Committee on
Appropriations of the House of Representatives shall be
increased by the amount of the additional budget
authority and outlays flowing from that budget authority
for fiscal year 2008.
(C) Health care fraud and abuse control program.--If
a bill or joint resolution is reported making
appropriations for fiscal year 2008 that appropriates up
to $383,000,000 and the amount is designated to the
Health Care Fraud and Abuse Control program at the
Department of Health and Human Services, then the
allocation to the Committee on Appropriations of the
House of Representatives shall be increased by the
amount of additional budget authority and outlays
flowing from that budget authority for fiscal year 2008.
(D) Unemployment insurance improper payment
reviews.--If a bill or joint resolution is reported
making appropriations for fiscal year 2008 that
appropriates $10,000,000 for in-person reemployment and
eligibility assessments and unemployment insurance
improper payment reviews, and provides an additional
appropriation of up to $40,000,000 for in-person
reemployment and eligibility assessments and
unemployment insurance improper payment reviews, then
the allocation to the Committee on Appropriations and
aggregates may be adjusted by the amounts provided in
such legislation for that purpose, but not to exceed
$40,000,000 in budget authority and outlays flowing
therefrom for fiscal year 2008.
(E) Costs of overseas deployments and related
activities.--
(i) In the House, if one or more bills or
joint resolutions are reported making
appropriations for fiscal year 2008 for overseas
deployments and related activities, (and such
amounts are so designated pursuant to this clause)
then the allocation to the House Committee on
Appropriations and aggregates may be adjusted by
the amounts provided in such legislation for that
purpose up to the amounts of budget authority
specified in section 103 (21) for fiscal year 2008
and the new outlays flowing therefrom.
(ii) In the House, if one or more bills or
joint resolutions are reported making
appropriations for fiscal year 2008 for overseas
deployments and related

[[Page 2610]]
121 STAT. 2610

activities (and such amounts are so designated
pursuant to this clause) above the amounts of
budget authority and new outlays specified in
clause (i), then new budget authority, outlays, or
receipts resulting therefrom shall not count for
the purposes of titles III and IV of the
Congressional Budget Act of 1974.
(2) Procedure for adjustments.--
(A) In general.--After the reporting of a bill or
joint resolution, or an amendment offered or considered
as adopted thereto, or the submission of a conference
report thereon, the Chairman of the Committee on the
Budget shall make adjustments set forth in paragraph (1)
for the incremental new budget authority in that measure
and the outlays flowing from that budget authority, if
that measure meets the requirements set forth in
paragraph (1), except that no adjustment shall be made
for provisions exempted for the purposes of titles III
and IV of the Congressional Budget Act of 1974 under
paragraph (1)(E)(ii).
(B) Matters to be adjusted.--The adjustments
referred to in subparagraph (A) are to be made to--
(i) the allocations made pursuant to the
appropriate concurrent resolution on the budget
pursuant to section 302(a) of the Congressional
Budget Act of 1974; and
(ii) the budgetary aggregates as set forth in
this resolution.
(e) Oversight of Government Performance.--In the House and the
Senate, all committees are directed to review programs within their
jurisdictions to root out waste, fraud, and abuse in program spending,
giving particular scrutiny to issues raised by Government Accountability
Office reports. Based on these oversight efforts and committee
performance reviews of programs within their jurisdictions, committees
are directed to include recommendations for improved governmental
performance in their annual views and estimates reports required under
section 301(d) of the Congressional Budget Act of 1974 to the Committees
on the Budget.
(f) Supplemental Appropriations for Fiscal Year 2007.--If
legislation making supplemental appropriations for fiscal year 2007 is
enacted, the Chairman of the appropriate Committee on the Budget shall
make the appropriate adjustments in allocations, aggregates,
discretionary spending limits, and other levels of new budget authority
and outlays to reflect the difference between such measure and the
corresponding levels assumed in this resolution.

SEC. 208. APPLICATION OF PREVIOUS ALLOCATIONS IN THE SENATE.

Section 7035 of Public Law 109-234 shall no longer apply in the
Senate.

SEC. 209. SENATE POINT OF ORDER AGAINST PROVISIONS OF APPROPRIATIONS
LEGISLATION THAT CONSTITUTE CHANGES IN MANDATORY PROGRAMS
WITH NET COSTS.

(a) In General.--In the Senate, it shall not be in order to consider
any appropriations legislation, including any amendment thereto, motion
in relation thereto, or conference report thereon, that includes any
provision which constitutes a change in a mandatory program producing
net costs, as defined in subsection (b), that would have been estimated
as affecting direct spending or

[[Page 2611]]
121 STAT. 2611

receipts under section 252 of the Balanced Budget and Emergency Deficit
Control Act of 1985 (as in effect prior to September 30, 2002) were they
included in legislation other than appropriations legislation. A point
of order pursuant to this section shall be raised against such provision
or provisions as described in subsections (e) and (f).
(b) Changes in Mandatory Programs Producing Net Costs.--A provision
or provisions shall be subject to a point of order pursuant to this
section if--
(1) the provision would increase budget authority in at
least 1 of the 9 fiscal years that follow the budget year and
over the period of the total of the budget year and the 9 fiscal
years following the budget year;
(2) the provision would increase net outlays over the period
of the total of the 9 fiscal years following the budget year;
and
(3) the sum total of all changes in mandatory programs in
the legislation would increase net outlays as measured over the
period of the total of the 9 fiscal years following the budget
year.
(c) Determination.--The determination of whether a provision is
subject to a point of order pursuant to this section shall be made by
the Committee on the Budget of the Senate.
(d) Supermajority Waiver and Appeal.--This section may be waived or
suspended in the Senate only by an affirmative vote of three-fifths of
the Members, duly chosen and sworn. An affirmative vote of three-fifths
of the Members of the Senate, duly chosen and sworn, shall be required
to sustain an appeal of the ruling of the Chair on a point of order
raised under this section.
(e) General Point of Order.--It shall be in order for a Senator to
raise a single point of order that several provisions of a bill,
resolution, amendment, motion, or conference report violate this
section. The Presiding Officer may sustain the point of order as to some
or all of the provisions against which the Senator raised the point of
order. If the Presiding Officer so sustains the point of order as to
some of the provisions (including provisions of an amendment, motion, or
conference report) against which the Senator raised the point of order,
then only those provisions (including provision of an amendment, motion,
or conference report) against which the Presiding Officer sustains the
point of order shall be deemed stricken pursuant to this section. Before
the Presiding Officer rules on such a point of order, any Senator may
move to waive such a point of order as it applies to some or all of the
provisions against which the point of order was raised. Such a motion to
waive is amendable in accordance with rules and precedents of the
Senate. After the Presiding Officer rules on such a point of order, any
Senator may appeal the ruling of the Presiding Officer on such a point
of order as it applies to some or all of the provisions on which the
Presiding Officer ruled.
(f) Form of the Point of Order.--When the Senate is considering a
conference report on, or an amendment between the Houses in relation to,
a bill, upon a point of order being made by any Senator pursuant to this
section, and such point of order being sustained, such material
contained in such conference report or amendment shall be deemed
stricken, and the Senate shall proceed to consider the question of
whether the Senate shall recede from its amendment and concur with a
further amendment, or concur

[[Page 2612]]
121 STAT. 2612

in the House amendment with a further amendment, as the case may be,
which further amendment shall consist of only that portion of the
conference report or House amendment, as the case may be, not so
stricken. Any such motion shall be debatable. In any case in which such
point of order is sustained against a conference report (or Senate
amendment derived from such conference report by operation of this
subsection), no further amendment shall be in order.
(g) Effectiveness.--This section shall not apply to--
(1) legislation making supplemental appropriations for
fiscal year 2007; and
(2) any provision constituting a change in a mandatory
program in appropriations legislation if such provision has been
enacted in each of the 3 fiscal years prior to the budget year.

SEC. 210. COMPLIANCE WITH SECTION 13301 OF THE BUDGET ENFORCEMENT ACT OF
1990.

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

SEC. 211. APPLICATION AND EFFECT OF CHANGES IN ALLOCATIONS AND
AGGREGATES.

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

SEC. 212. ADJUSTMENTS TO REFLECT CHANGES IN CONCEPTS AND DEFINITIONS.

Upon the enactment of a bill or joint resolution providing for a
change in concepts or definitions, the Chairman of the appropriate
Committee on the Budget may make adjustments to the levels and
allocations in this resolution in accordance with section 251(b)

[[Page 2613]]
121 STAT. 2613

of the Balanced Budget and Emergency Deficit Control Act of 1985 (as in
effect prior to September 30, 2002).

SEC. 213. EXERCISE OF RULEMAKING POWERS.

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

TITLE III--RESERVE FUNDS

SEC. 301. DEFICIT-NEUTRAL RESERVE FUND FOR SCHIP LEGISLATION.

(a) Senate.--
(1) Priority.--The Senate establishes the following
priorities and makes the following findings:
(A) The Senate shall make the enactment of
legislation to reauthorize the State Children's Health
Insurance Program (SCHIP) a top priority for the
remainder of fiscal year 2007, during the first session
of the 110th Congress.
(B) Extending health care coverage to the Nation's
vulnerable uninsured children is an urgent priority for
the Senate.
(C) SCHIP has proven itself a successful program for
covering previously uninsured children.
(D) More than 6 million children are enrolled in
this landmark program, which has enjoyed broad
bipartisan support in Congress, among our Nation's
governors, and within state and local governments.
(E) SCHIP reduces the percentage of children with
unmet health care needs.
(F) Since SCHIP was created, enormous progress has
been made in reducing disparities in children's coverage
rates.
(G) Uninsured children who gain coverage through
SCHIP receive more preventive care and their parents
report better access to providers and improved
communications with their children's doctors.
(H) Congress has a responsibility to reauthorize
SCHIP before the expiration of its current
authorization.
(2) Reserve fund.--In the Senate, the Chairman of the Senate
Committee on the Budget may revise the allocations, aggregates,
and other appropriate levels in this resolution for a bill,
joint resolution, amendment, motion, or conference report that
provides up to $50,000,000,000 in outlays over the period of the
total of fiscal years 2007 through 2012 for reauthorization of
the State Children's Health Insurance Program (SCHIP), if such
legislation maintains coverage for those currently

[[Page 2614]]
121 STAT. 2614

enrolled in SCHIP, continues efforts to enroll uninsured
children who are already eligible for SCHIP or Medicaid but are
not enrolled, or supports States in their efforts to move
forward in covering more children, by the amounts provided in
that legislation for those purposes, provided that the outlay
adjustment shall not exceed $50,000,000,000 in outlays over the
period of the total of fiscal years 2007 through 2012, and
provided that such legislation would not increase the deficit
over either the period of the total of fiscal years 2007 through
2012 or the period of the total of fiscal years 2007 through
2017.
(b) House Reserve Fund for the State Children's Health Insurance
Program.--The Chairman of the House Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels for bills, joint resolutions, amendments, or
conference reports, which contains matter within the jurisdiction of the
Committee on Energy and Commerce that expands coverage and improves
children's health through the State Children's Health Insurance Program
(SCHIP) under title XXI of the Social Security Act and the program under
title XIX of such Act (commonly known as Medicaid) and that increases
new budget authority that will result in not more than $50,000,000,000
in outlays in fiscal years 2007 through 2012, and others which contain
offsets so designated for the purpose of this section within the
jurisdiction of another committee or committees, if the combined changes
would not increase the deficit or decrease the surplus for the total
over the period of fiscal years 2007 through 2012 or the period of
fiscal years 2007 through 2017.

SEC. 302. DEFICIT-NEUTRAL RESERVE FUND FOR VETERANS AND WOUNDED
SERVICEMEMBERS.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports which--
(1) enhance medical care and disability benefits for wounded
or disabled military personnel or veterans, which may include
low-vision and blinded veterans;
(2) expand eligibility for Combat-Related Special
Compensation to permit additional disabled retirees to receive
both disability compensation and retired pay;
(3) eliminate the offset between Survivor Benefit Plan
annuities and veterans' dependency and indemnity compensation;
(4) improve disability evaluations of military personnel or
veterans to expedite the claims process;
(5) enhance educational benefits of veterans; or
(6) provide for or increase benefits to Filipino veterans of
World War II, their survivors and dependents;

by the amounts provided in such legislation for those purposes (or, in
the House, that contain offsets so designated for those purposes),
provided in the Senate that such legislation would not increase the
deficit over either the period of the total of fiscal years 2007 through
2012 or the period of the total of fiscal years 2007 through 2017, and
provided further in the House that such legislation would not increase
the deficit or decrease the surplus

[[Page 2615]]
121 STAT. 2615

for the total over the period of fiscal years 2007 through 2012 or the
period of fiscal years 2007 through 2017.

SEC. 303. DEFICIT-NEUTRAL RESERVE FUND FOR TAX RELIEF.

(a) Senate.--In the Senate, the Chairman of the Senate Committee on
the Budget may revise the aggregates, allocations, and other appropriate
levels in this resolution for one or more bills, joint resolutions,
amendments, motions, or conference reports that would provide tax
relief, including extensions of expiring tax relief and refundable tax
relief, by the amounts provided in that legislation for those purposes,
provided that such legislation would not increase the deficit over
either the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017.
(b) House.--
(1) Reserve fund for reform of the alternative minimum
tax.--The Chairman of the House Committee on the Budget may
revise the allocations of a committee or committees, aggregates,
and other appropriate levels in this resolution for one or more
bills, joint resolutions, amendments, motions, or conference
reports that provide for reform of the Internal Revenue Code of
1986 by reducing the tax burden of the alternative minimum tax
on middle-income families by the amounts provided in such
legislation for that purpose or that contain offsets so
designated for that purpose, provided that such legislation
would not increase the deficit or decrease the surplus for the
total over the period of fiscal years 2007 through 2012 or the
period of fiscal years 2007 through 2017.
(2) Reserve fund to provide for middle-income tax relief and
economic equity.--The Chairman of the House Committee on the
Budget may revise the allocations of a committee or committees,
aggregates, and other appropriate levels in this resolution for
one or more bills, joint resolutions, amendments, motions, or
conference reports that provide for tax relief for middle-income
families and taxpayers and enhanced economic equity, such as
extension of the child tax credit, extension of marriage penalty
relief, extension of the 10 percent individual income tax
bracket, modification of the Alternative Minimum Tax,
elimination of estate taxes on all but a minute fraction of
estates by reforming and substantially increasing the unified
credit, extension of the research and experimentation tax
credit, extension of the deduction for State and local sales
taxes, and a tax credit for school construction bonds, by the
amounts provided in such legislation for those purposes or that
contain offsets so designated for those purposes, provided that
such legislation would not increase the deficit or decrease the
surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.

SEC. 304. DEFICIT-NEUTRAL RESERVE FUND FOR MEDICARE IMPROVEMENTS.

(a) House.--The Chairman of the House Committee on the Budget may
revise the allocations of a committee or committees, aggregates, and
other appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that improve the
Medicare program for beneficiaries and protect access to care, through
measures such as increasing the reimbursement rate for physicians while
protecting beneficiaries

[[Page 2616]]
121 STAT. 2616

from associated premium increases and making improvements to the
prescription drug program under part D by the amounts provided in such
legislation for those purposes or that contain offsets so designated for
those purposes, provided that such legislation would not increase the
deficit or decrease the surplus for the total over the period of fiscal
years 2007 through 2012 or the period of fiscal years 2007 through 2017.
(b) Senate.--
(1) Prescription drugs.--In the Senate, the Chairman of the
Senate Committee on the Budget may revise the aggregates,
allocations, and other appropriate levels in this resolution for
a bill, joint resolution, amendment, motion, or conference
report that repeals the prohibition in section 1860D-11(i)(1) of
the Social Security Act (42 U.S.C. 1395w-111(i)(1)) while
preserving access to prescription drugs and price competition
without requiring a particular formulary or instituting a price
structure for reimbursement of covered Part D drugs, provided
that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017, and
provided further that any savings from the measure are to be
used either to improve the Medicare Part D benefit or for
deficit reduction.
(2) Physician payments.--In the Senate, the Chairman of the
Senate Committee on the Budget may revise the aggregates,
allocations, and other appropriate levels in this resolution for
a bill, joint resolution, amendment, motion, or conference
report that increases the reimbursement rate for physician
services under section 1848(d) of the Social Security Act and
that includes financial incentives for physicians to improve the
quality and efficiency of items and services furnished to
Medicare beneficiaries through the use of consensus-based
quality measures, by the amounts provided in such legislation
for that purpose, provided that such legislation would not
increase the deficit over either the period of the total of
fiscal years 2007 through 2012 or the period of the total of
fiscal years 2007 through 2017.
(3) Improvements to medicare part d.--In the Senate, the
Chairman of the Senate Committee on the Budget may revise the
aggregates, allocations, and other appropriate levels in this
resolution for a bill, joint resolution, amendment, motion, or
conference report that makes improvements to the prescription
drug benefit under Medicare Part D, by the amounts provided in
such legislation for that purpose up to $5,000,000,000, provided
that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017.
(4) Improving medicare hospital payments.--In the Senate,
the Chairman of the Senate Committee on the Budget may revise
the allocations, aggregates, and other appropriate levels in
this resolution for a bill, joint resolution, amendment, motion,
or conference report that--
(A) includes provisions to reform the area wage
index used to adjust payments to hospitals under the
Medicare

[[Page 2617]]
121 STAT. 2617

hospital inpatient prospective payment system under
section 1886(d) of the Social Security Act (42 U.S.C.
1395ww(d)); and
(B) includes a transition to the reform described in
subparagraph (A);
provided that such legislation would not increase the deficit
over either the period of the total of fiscal years 2007 through
2012 or the period of the total of fiscal years 2007 through
2017.
(c) Senate and House Deficit-Neutral Reserve Fund to Address
Physician and Other Health Care Provider Shortages.--The Chairman of the
appropriate Committee on the Budget may revise the allocations of a
committee or committees, aggregates, and other appropriate levels in
this resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports that encourage physicians to train in
primary care residencies and attract more physicians and other health
care providers to States that face a shortage of health care providers
by the amounts provided in such legislation for those purposes (or, in
the House, that contain offsets so designated for those purposes),
provided in the Senate that such legislation would not increase the
deficit over either the period of the total of fiscal years 2007 through
2012 or the period of the total of fiscal years 2007 through 2017, and
provided further in the House that such legislation would not increase
the deficit or decrease the surplus for the total over the period of
fiscal years 2007 through 2012 or the period of fiscal years 2007
through 2017.

SEC. 305. DEFICIT-NEUTRAL RESERVE FUNDS FOR HEALTH CARE QUALITY,
EFFECTIVENESS, EFFICIENCY, AND TRANSPARENCY.

(a) Health Information Technology.--
(1) The Chairman of the appropriate Committee on the Budget
may revise the allocations of a committee or committees,
aggregates, and other appropriate levels in this resolution for
one or more bills, joint resolutions, amendments, motions, or
conference reports that provide incentives or other support for
adoption of modern information technology to improve quality and
protect privacy in health care, by the amounts provided in such
legislation for that purpose (or, in the House, that contain
offsets so designated for that purpose), provided in the Senate
that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017, and
provided further in the House that such legislation would not
increase the deficit or decrease the surplus for the total over
the period of fiscal years 2007 through 2012 or the period of
fiscal years 2007 through 2017.
(2) The Chairman of the appropriate Committee on the Budget
may revise the allocations of a committee or committees,
aggregates, and other appropriate levels in this resolution for
one or more bills, joint resolutions, amendments, motions, or
conference reports that provide incentives for Medicare
providers or suppliers to comply with, where available and
medically appropriate, clinical protocols identified as best
practices, by the amounts provided in such legislation for that
purpose (or, in the House, that contain offsets so designated
for that

[[Page 2618]]
121 STAT. 2618

purpose), provided in the Senate that such legislation would not
increase the deficit over either the period of the total of
fiscal years 2007 through 2012 or the period of the total of
fiscal years 2007 through 2017, and provided further in the
House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal
years 2007 through 2012 or the period of fiscal years 2007
through 2017.
(b) Comparative Effectiveness Research.--The Chairman of the
appropriate Committee on the Budget may revise the allocations of a
committee or committees, aggregates, and other appropriate levels in
this resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports that establish a new Federal or public-
private initiative for comparative effectiveness research, by the
amounts provided in such legislation for that purpose (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.
(c) Improving the Health Care System.--In the Senate, the Chairman
of the Senate Committee on the Budget may revise the allocations,
aggregates, and other levels in this resolution for a bill, joint
resolution, motion, amendment, or conference report that--
(1) creates a framework and parameters for the use of
Medicare data for the purpose of conducting research, public
reporting, and other activities to evaluate health care safety,
effectiveness, efficiency, quality, and resource utilization in
Federal programs and the private health care system; and
(2) includes provisions to protect beneficiary privacy and
to prevent disclosure of proprietary or trade secret information
with respect to the transfer and use of such data;

provided that such legislation would not increase the deficit over
either the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017.

SEC. 306. DEFICIT-NEUTRAL RESERVE FUND FOR HIGHER EDUCATION.

(a) Senate.--In the Senate, the Chairman of the Senate Committee on
the Budget may revise the aggregates, allocations, and other appropriate
levels in this resolution for one or more bills, joint resolutions,
amendments, motions, or conference reports that would make higher
education more accessible and more affordable, which may include tax
benefits, by the amounts provided in such legislation for that purpose,
provided that such legislation would not increase the deficit over
either the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017.
(b) House.--The Chairman of the House Committee on the Budget may
revise the allocations of a committee or committees, aggregates, and
other appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that make
college more affordable through reforms to the Higher Education Act of
1965 or other legislation by the amounts

[[Page 2619]]
121 STAT. 2619

provided in such legislation for that purpose or that contain offsets so
designated for that purpose, provided that such legislation would not
increase the deficit or decrease the surplus for the total over the
period of fiscal years 2007 through 2012 or the period of fiscal years
2007 through 2017.

SEC. 307. DEFICIT-NEUTRAL RESERVE FUND FOR THE FARM BILL.

(a) Senate.--The Chairman of the Senate Committee on the Budget may
revise the allocations, aggregates, and other appropriate levels in this
resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports that provide for the reauthorization of
the programs of the Food Security and Rural Investment Act of 2002 or
prior Acts, authorize similar or related programs, provide for revenue
changes, or any combination of the preceding purposes, by the amounts
provided in such legislation for those purposes up to $20,000,000,000
over the period of the total of fiscal years 2007 through 2012, provided
that such legislation would not increase the deficit over either the
period of the total of fiscal years 2007 through 2012 or the period of
the total of fiscal years 2007 through 2017.
(b) House.--The Chairman of the House Committee on the Budget may
revise the allocations of a committee or committees, aggregates, and
other appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that provide for
the reauthorization of the programs of the Food Security and Rural
Investment Act of 2002 or prior Acts, authorize similar or related
programs, or both, by the amounts provided in such legislation for those
purposes or that contain offsets so designated for those purposes up to
$20,000,000,000 for the total over the period of fiscal years 2007
through 2012, provided that such legislation would not increase the
deficit or decrease the surplus for the total over the period of fiscal
years 2007 through 2012 or the period of fiscal years 2007 through 2017.

SEC. 308. DEFICIT-NEUTRAL RESERVE FUND FOR ENERGY LEGISLATION.

(a) Senate.--In the Senate, the Chairman of the Senate Committee on
the Budget may revise the allocations, aggregates, and other appropriate
levels and limits in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that would
reduce our Nation's dependence on foreign sources of energy, expand
production and use of clean alternative fuels and alternative fuel
vehicles, promote renewable energy development, improve electricity
transmission, encourage responsible development of domestic oil and
natural gas resources, or reward conservation and efficiency, by the
amounts provided in that legislation for those purposes, provided that
such legislation would not increase the deficit over either the period
of the total of fiscal years 2007 through 2012 or the period of the
total of fiscal years 2007 through 2017. The legislation may include tax
legislation such as a proposal to extend energy tax incentives like the
production tax credit for electricity produced from renewable resources,
the Clean Renewable Energy Bond program, or provisions to encourage
energy efficient buildings, products, and power plants.
(b) House.--
(1) The Chairman of the House Committee on the Budget shall
revise the allocations of a committee or committees, aggregates,
and other appropriate levels in this resolution for one

[[Page 2620]]
121 STAT. 2620

or more bills, joint resolutions, amendments, motions, or
conference reports that fulfill the purposes of section 301(a)
of H.R. 6, the Clean Energy Act of 2007 by the amounts provided
in such legislation for those purposes or that contain offsets
so designated for those purposes, provided that such legislation
would not increase the deficit or decrease the surplus for the
total over the period of fiscal years 2007 through 2012 or the
period of fiscal years 2007 through 2017.
(2) The Chairman of the House Committee on the Budget shall
revise the allocations provided for under section 302(a) of the
Congressional Budget Act of 1974 to the Committee on
Appropriations to the extent that any bills, joint resolutions,
amendments, motions, or conference reports provide budget
authority for purposes set forth in section 301(a) of H.R. 6 in
excess of the amounts provided for those purposes in fiscal year
2007. Any adjustments made under this paragraph shall not
include revenues attributable to changes in the Internal Revenue
Code of 1986 and shall not exceed the receipts estimated by the
Congressional Budget Office that are attributable to H.R. 6 for
the year in which the adjustments are made.

SEC. 309. DEFICIT-NEUTRAL RESERVE FUND FOR COUNTY PAYMENTS LEGISLATION.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels and limits in this resolution for one or more bills,
joint resolutions, amendments, motions, or conference reports that
provide for the reauthorization of the Secure Rural Schools and
Community Self-Determination Act of 2000 (Public Law 106-393), make
changes to the Payments in Lieu of Taxes Act of 1976 (Public Law 94-
565), or both, by the amounts provided by that legislation for those
purposes (or, in the House, that contain offsets so designated for those
purposes), provided in the Senate that such legislation would not
increase the deficit over either the period of the total of fiscal years
2007 through 2012 or the period of the total of fiscal years 2007
through 2017, and provided further in the House that such legislation
would not increase the deficit or decrease the surplus for the total
over the period of fiscal years 2007 through 2012 or the period of
fiscal years 2007 through 2017.

SEC. 310. DEFICIT-NEUTRAL RESERVE FUND FOR TERRORISM RISK INSURANCE
REAUTHORIZATION.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
levels in this resolution for one or more bills, joint resolutions,
amendments, motions, or conference reports that provide for a continued
Federal role in ensuring the availability of terrorism insurance after
the expiration of the Terrorism Risk Insurance Extension Act, by the
amounts provided in such legislation for that purpose (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.

[[Page 2621]]
121 STAT. 2621

SEC. 311. DEFICIT-NEUTRAL RESERVE FUND FOR AFFORDABLE HOUSING.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
levels in this resolution for one or more bills, joint resolutions,
amendments, motions, or conference reports that would establish an
affordable housing fund financed by the housing government sponsored
enterprises, by the amounts provided in such legislation for that
purpose (or, in the House, that contain offsets so designated for that
purpose), provided in the Senate that such legislation would not
increase the deficit over either the period of the total of fiscal years
2007 through 2012 or the period of the total of fiscal years 2007
through 2017, and provided further in the House that such legislation
would not increase the deficit or decrease the surplus for the total
over the period of fiscal years 2007 through 2012 or the period of
fiscal years 2007 through 2017.

SEC. 312. DEFICIT-NEUTRAL RESERVE FUND FOR RECEIPTS FROM BONNEVILLE
POWER ADMINISTRATION.

The Chairman of the appropriate Committee on the Budget may adjust
the allocations of a committee or committees, aggregates, and other
appropriate levels and limits in this resolution for one or more bills,
joint resolutions, amendments, motions, or conference reports that
prohibit the Bonneville Power Administration from making early payments
on its Federal Bond Debt to the United States Treasury, by the amounts
provided by that legislation for that purpose (or, in the House, that
contain offsets so designated for that purpose), provided in the Senate
that such legislation would not increase the deficit over either the
period of the total of fiscal years 2007 through 2012 or the period of
the total of fiscal years 2007 through 2017, and provided further in the
House that such legislation would not increase the deficit or decrease
the surplus for the total over the period of fiscal years 2007 through
2012 or the period of fiscal years 2007 through 2017.

SEC. 313. DEFICIT-NEUTRAL RESERVE FUND FOR INDIAN CLAIMS SETTLEMENT.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that--
(1) create an Indian claims settlement fund for trust
accounting and management deficiencies related to Individual
Indian Moneys and assets; and
(2) extinguish all claims arising before the date of
enactment for losses resulting from accounting errors,
mismanagement of assets, or interest owed in connection with
Individual Indian Moneys accounts;

by the amounts provided in such legislation for those purposes up to
$8,000,000,000 (or, in the House, that contain offsets so designated for
those purposes), provided in the Senate that such legislation would not
increase the deficit over either the period of the total of fiscal years
2007 through 2012 or the period of the total of fiscal years 2007
through 2017, and provided further in the House that such legislation
would not increase the deficit

[[Page 2622]]
121 STAT. 2622

or decrease the surplus for the total over the period of fiscal years
2007 through 2012 or the period of fiscal years 2007 through 2017.

SEC. 314. DEFICIT-NEUTRAL RESERVE FUND FOR IMPROVEMENTS IN HEALTH.

(a) Health Insurance Coverage.--The Chairman of the appropriate
Committee on the Budget may revise the allocations of a committee or
committees, aggregates, and other appropriate levels in this resolution
for one or more bills, joint resolutions, amendments, motions, or
conference reports that make health insurance coverage more affordable
or available to small businesses and their employees, through pooling
arrangements that provide appropriate consumer protections, by the
amounts provided in such legislation for that purpose (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.
(b) Health Coverage.--If a SCHIP reauthorization bill is enacted,
then the Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports to improve
health care, and provide quality health insurance for the uninsured and
underinsured, and protect individuals with current health coverage, by
the amounts provided in that legislation for that purpose (or, in the
House, that contain offsets so designated for that purpose), provided in
the Senate that such legislation would not increase the deficit over
either the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017, and provided
further in the House that such legislation would not increase the
deficit or decrease the surplus for the total over the period of fiscal
years 2007 through 2012 or the period of fiscal years 2007 through 2017.
(c) Long-Term Care.--The Chairman of the appropriate Committee on
the Budget may revise the allocations of a committee or committees,
aggregates, and other levels in this resolution for one or more bills,
joint resolutions, amendments, motions, or conference reports that would
improve long-term care, enhance the safety and dignity of patients,
encourage appropriate use of institutional and community-based care,
promote quality care, or provide for the cost-effective use of public
resources, by the amounts provided in such legislation for that purpose
(or, in the House, that contain offsets so designated for that purpose),
provided in the Senate that such legislation would not increase the
deficit over either the period of the total of fiscal years 2007 through
2012 or the period of the total of fiscal years 2007 through 2017, and
provided further in the House that such legislation would not increase
the deficit or decrease the surplus for the total over the period of
fiscal years 2007 through 2012 or the period of fiscal years 2007
through 2017.
(d) Mental Health Parity.--The Chairman of the appropriate Committee
on the Budget may revise the allocations of a committee or committees,
aggregates, and other appropriate levels in this

[[Page 2623]]
121 STAT. 2623

resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports that would provide parity between health
insurance coverage of mental health benefits and benefits for medical
and surgical services, including parity in public programs, by the
amounts provided in such legislation for that purpose (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.

SEC. 315. DEFICIT-NEUTRAL RESERVE FUND FOR CHILD CARE.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that provide up
to $5,000,000,000 for the child care entitlement to States, by the
amounts provided by such legislation for that purpose (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.

SEC. 316. DEFICIT-NEUTRAL RESERVE FUND FOR IMMIGRATION REFORM IN THE
SENATE.

The Chairman of the Senate Committee on the Budget may revise the
allocations of a committee or committees, aggregates, and other levels
in this resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports that provide for immigration reform by
the amounts provided in such legislation for those purposes, provided
that such legislation would not increase the deficit over either the
period of the total of fiscal years 2007 through 2012 or the period of
the total of fiscal years 2007 through 2017.

SEC. 317. DEFICIT-REDUCTION RESERVE FUND.

(a) Reduction of Improper Payments.--The Chairman of the appropriate
Committee on the Budget may revise the allocations of a committee or
committees, aggregates, and other appropriate levels and limits in this
resolution upon enactment of legislation that achieves savings by
eliminating or reducing improper payments made by agencies reporting
improper payments estimates under the Improper Payments Information Act
of 2002 and uses such savings to reduce the deficit (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.

[[Page 2624]]
121 STAT. 2624

(b) Increased Use of Recovery Audits.--The Chairman of the
appropriate Committee on the Budget may revise the allocations of a
committee or committees, aggregates, and other appropriate levels and
limits in this resolution upon enactment of legislation that achieves
savings by requiring that agencies increase their use of the recovery
audits authorized by the Erroneous Payments Recovery Act of 2001
(section 831 of the National Defense Authorization Act for fiscal year
2002) and uses such savings to reduce the deficit (or, in the House,
that contain offsets so designated for that purpose), provided in the
Senate that such legislation would not increase the deficit over either
the period of the total of fiscal years 2007 through 2012 or the period
of the total of fiscal years 2007 through 2017, and provided further in
the House that such legislation would not increase the deficit or
decrease the surplus for the total over the period of fiscal years 2007
through 2012 or the period of fiscal years 2007 through 2017.

SEC. 318. DEFICIT-NEUTRAL RESERVE FUND FOR MANUFACTURING INITIATIVES IN
THE SENATE.

In the Senate, the Chairman of the Senate Committee on the Budget
may revise the allocations, aggregates, and other appropriate levels in
this resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports, including tax legislation, that would
revitalize the United States domestic manufacturing sector by increasing
Federal research and development, by expanding the scope and
effectiveness of manufacturing programs across the Federal government,
by increasing support for development of alternative fuels and leap-
ahead automotive and energy technologies, and by establishing tax
incentives to encourage the continued production in the United States of
advanced technologies and the infrastructure to support such
technologies, by the amounts provided in that legislation for those
purposes, provided that such legislation would not increase the deficit
over either the period of the total of fiscal years 2007 through 2012 or
the period of the total of fiscal years 2007 through 2017.

SEC. 319. DEFICIT-NEUTRAL RESERVE FUND FOR THE FOOD AND DRUG
ADMINISTRATION IN THE SENATE.

(a) Regulation.--In the Senate, the Chairman of the Senate Committee
on the Budget may revise the allocations, aggregates, and other
appropriate levels in this resolution for a bill, joint resolution,
motion, amendment, or conference report that authorizes the Food and
Drug Administration to regulate products and assess user fees on
manufacturers and importers of those products to cover the cost of the
Food and Drug Administration's regulatory activities, by the amounts
provided in that legislation for those purposes, provided that such
legislation would not increase the deficit over either the period of the
total of fiscal years 2007 through 2012 or the period of the total of
fiscal years 2007 through 2017.
(b) Drug Importation.--In the Senate, the Chairman of the Senate
Committee on the Budget may revise the aggregates, allocations, and
other levels in this resolution for a bill, joint resolution, motion,
amendment, or conference report that permits the safe importation of
prescription drugs approved by the Food and Drug Administration from a
specified list of countries, by the amounts provided in such legislation
for that purpose, provided that such legislation would not increase the
deficit over either the period

[[Page 2625]]
121 STAT. 2625

of the total of fiscal years 2007 through 2012 or the period of the
total of fiscal years 2007 through 2017.

SEC. 320. DEFICIT-NEUTRAL RESERVE FUND FOR MEDICAID.

(a) Delay of Rule.--The Chairman of the appropriate Committee on the
Budget may revise the allocations, aggregates, and other appropriate
levels in this resolution for a bill, joint resolution, amendment,
motion, or conference report that provides for a delay in the
implementation of the proposed rule published on January 18, 2007, on
pages 2236 through 2248 of volume 72, Federal Register (relating to
parts 433, 447, and 457 of title 42, Code of Federal Regulations) or any
other rule that would affect the Medicaid program or SCHIP in a similar
manner, or place restrictions on coverage of or payment for graduate
medical education, rehabilitation services, or school-based
administration, transportation, or medical services under title XIX of
the Social Security Act by the amounts provided in that legislation for
that purpose (or, in the House, that contain offsets so designated for
that purpose), provided in the Senate that such legislation would not
increase the deficit over either the total of the period of fiscal years
2007 through 2012 or the total of the period of fiscal years 2007
through 2017, and provided further in the House that such legislation
would not increase the deficit or decrease the surplus for the total
over the period of fiscal years 2007 through 2012 or the period of
fiscal years 2007 through 2017.
(b) Demonstration Project Regarding Medicaid Coverage of Low-Income
HIV-Infected Individuals.--The Chairman of the appropriate Committee on
the Budget may revise the allocations, aggregates, and other appropriate
levels in this resolution for a bill, joint resolution, amendment,
motion, or conference report that provides for a demonstration project
under which a State may apply under section 1115 of the Social Security
Act (42 U.S.C. 1315) to provide medical assistance under a State
Medicaid program to HIV-infected individuals who are not eligible for
medical assistance under such program under section 1902(a)(10)(A)(I) of
the Social Security Act (42 U.S.C. 1396a(a)(10)(A)(I)), by the amounts
provided in that legislation for those purposes up to $500,000,000 (or,
in the House, that contain offsets so designated for those purposes),
provided in the Senate that such legislation would not increase the
deficit over either the total of the period of fiscal years 2007 through
2012 or the total of the period of fiscal years 2007 through 2017, and
provided further in the House that such legislation would not increase
the deficit or decrease the surplus for the total over the period of
fiscal years 2007 through 2012 or the period of fiscal years 2007
through 2017.
(c) Transitional Medical Assistance.--The Chairman of the
appropriate Committee on the Budget may revise the allocations of a
committee or committees, aggregates, and other appropriate levels in
this resolution for one or more bills, joint resolutions, amendments,
motions, or conference reports that extend the Transitional Medical
Assistance program, included in title XIX of the Social Security Act, by
the amounts provided in such legislation for that purpose (or, in the
House, that contain offsets so designated for that purpose), provided in
the Senate that such legislation would not increase the deficit over
either the total of the period of fiscal years 2007 through 2012 or the
total of the period of fiscal years 2007 through 2017, and provided
further in the House

[[Page 2626]]
121 STAT. 2626

that such legislation would not increase the deficit or decrease the
surplus for the total over the period of fiscal years 2007 through 2012
or the period of fiscal years 2007 through 2017.

SEC. 321. RESERVE FUND ADJUSTMENT FOR REVENUE MEASURES IN THE HOUSE.

In the House, for the duration of the 110th Congress with respect to
consideration of any bill, joint resolution, amendment, motion, or
conference report that would decrease total revenues for the single
period comprising the budget year and the following 4 fiscal years below
the Congressional Budget Office baseline for the most recent concurrent
resolution on the budget, the Chairman of the House Committee on the
Budget shall increase the revenue aggregates by $179,816,000,000 for the
total over the period of fiscal years 2008 through 2012, if the Chairman
determines that such legislation does not contain a provision consistent
with the provision set forth in the joint explanatory statement of
managers accompanying this concurrent resolution. The Chairman may
readjust such levels upon disposition of any measure in violation of
this section.

SEC. 322. DEFICIT-NEUTRAL RESERVE FUND FOR SAN JOAQUIN RIVER RESTORATION
AND NAVAJO NATION WATER RIGHTS SETTLEMENTS.

The Chairman of the appropriate Committee on the Budget may revise
the allocations of a committee or committees, aggregates, and other
appropriate levels in this resolution for one or more bills, joint
resolutions, amendments, motions, or conference reports that would
fulfill the purposes of the San Joaquin River Restoration Settlement
Act, implement a Navajo Nation water rights settlement as authorized by
the Northwestern New Mexico Rural Water Projects Act, or both, by the
amounts provided by that legislation for those purposes (or, in the
House, that contain offsets so designated for those purposes), provided
in the Senate that such legislation would not increase the deficit over
either the period of the total of fiscal years 2007 through 2012 or the
period of the total of fiscal years 2007 through 2017, and provided
further in the House that such legislation would not increase the
deficit or decrease the surplus for the total over the period of fiscal
years 2007 through 2012 or the period of fiscal years 2007 through 2017.

SEC. 323. DEFICIT-NEUTRAL RESERVE FUND FOR SELECTED TAX RELIEF POLICIES
IN THE SENATE.

The Chairman of the Senate Committee on the Budget may revise the
aggregates, allocations, and other appropriate levels in this resolution
for one or more bills, joint resolutions, amendments, motions, or
conference reports that would provide tax relief by extending the State
and local sales tax deduction, extending enhanced charitable giving from
individual retirement accounts, reauthorizing the new markets tax credit
under section 45D of the Internal Revenue Code of 1986, or extending and
increasing the above-the-line deduction for teacher classroom supplies
and expanding it to include qualified professional development expenses,
by the amounts provided in that legislation for those purposes, provided
that such legislation would not increase the deficit over either the
period of the total of fiscal years 2007 through 2012 or the period of
the total of fiscal years 2007 through 2017.

[[Page 2627]]
121 STAT. 2627

TITLE IV--POLICY

SEC. 401. POLICY ON MIDDLE-INCOME TAX RELIEF.

(a) In the House.--
(1) In general.--It is the policy of the House to minimize
fiscal burdens on middle-income families and their children and
grandchildren. It is the policy of the House to provide
immediate relief for the tens of millions of middle-income
households who would otherwise be subject to the Alternative
Minimum Tax under current law. Furthermore, it is the policy of
the House to support extension of middle-income tax relief and
enhanced economic equity through policies such as--
(A) extension of the child tax credit;
(B) extension of marriage penalty relief;
(C) extension of the 10 percent individual income
tax bracket;
(D) elimination of estate taxes on all but a minute
fraction of estates by reforming and substantially
increasing the unified tax credit;
(E) extension of the research and experimentation
tax credit;
(F) extension of the deduction for State and local
sales taxes;
(G) extension of the deduction for small business
expensing; and
(H) enactment of a tax credit for school
construction bonds.
(2) Other matters.--The House assumes the cost of enacting
such policies is offset by reforms within the Internal Revenue
Code of 1986 that promote economic efficiency, higher rates of
tax compliance to close the ``tax gap'', and reduced taxpayer
burdens through tax simplification.
(b) In the Senate.--
(1) In general.--The Senate adopted by a vote of 97 to 1 an
amendment to S. Con. Res. 21 as reported by the Senate Committee
on the Budget which, with regard to tax relief, reduced the
revenue aggregates by $179,816,000,000 to provide for--
(A) extension of the child tax credit;
(B) extension of marriage penalty relief;
(C) extension of the 10 percent individual income
tax bracket;
(D) reform of the estate tax to protect small
businesses and family farms;
(E) extension of the adoption tax credit;
(F) extension of the dependent care tax credit;
(G) extension of the treatment of combat pay for
purposes of determining the Earned Income Tax Credit;
and
(H) other, unspecified tax relief.
(2) Policy.--It is the policy of the Senate that this
resolution supports both the enactment of the policies listed in
paragraph (1) and the Senate pay-as-you-go rule in section 201,
and that any additional revenues needed to meet the Senate's tax
policy goals can be achieved by closing the tax gap, shutting
down abusive tax shelters, addressing offshore tax havens, and
without raising taxes.

[[Page 2628]]
121 STAT. 2628

SEC. 402. POLICY ON DEFENSE PRIORITIES.

It is the policy of this resolution that--
(1) implementing the recommendation of the National
Commission on Terrorist Attacks Upon the United States (commonly
referred to as the 9/11 Commission) to adequately fund
cooperative threat reduction and nuclear nonproliferation
programs should receive higher priority than the President's
budget provides;
(2) TRICARE fees for military retirees under the age of 65
should remain at current levels;
(3) military pay and benefits should be enhanced to improve
retention of experienced personnel;
(4) the recommendations of the bipartisan ``Walter Reed
Commission'' (the President's Commission on Care for America's
Returning Wounded Warriors) and other United States Government
investigations into military healthcare facilities and services
should be funded;
(5) higher priority defense needs could be addressed by
funding missile defense at an adequate but lower level, not
providing funding for development of space-based missile defense
interceptors, and by restraining excessive cost and schedule
growth in defense research, development and procurement
programs;
(6) sufficient resources should be provided for the
Department of Defense to do a more careful job of addressing as
many as possible of the 1,378 unimplemented recommendations made
by the Government Accountability Office over the last 6 years to
improve practices at the Department of Defense, including
investigation of the billions of dollars of obligations,
disbursements and overcharges for which the Department of
Defense cannot account; and
(7) savings from the actions recommended in paragraphs (5)
and (6) of this section should be used to fund the priorities
identified in paragraphs (1) through (4) in this section.

SEC. 403. POLICY ON COLLEGE AFFORDABILITY.

It is the policy of this resolution that nothing in this resolution
should be construed to reduce any assistance that makes college more
affordable for students, including but not limited to assistance to
student aid programs run by nonprofit state agencies.

TITLE V--SENSE OF THE HOUSE AND SENSE OF CONGRESS

SEC. 501. SENSE OF CONGRESS ON SERVICEMEMBERS' AND VETERANS' HEALTH CARE
AND OTHER PRIORITIES.

It is the sense of Congress that--
(1) Congress supports excellent health care for current and
former members of the United States Armed Services, who have
served well and honorably and have made significant sacrifices
for this Nation;
(2) this resolution provides $43,125,000,000 in
discretionary budget authority for 2008 for Function 700
(Veterans Benefits and Services), including veterans' health
care, which is $6,668,000,000 more than the 2007 level,
$5,474,000,000 more

[[Page 2629]]
121 STAT. 2629

than the Congressional Budget Office's baseline level for 2008,
and $3,576,000,000 more than the President's budget for 2008;
(3) this resolution provides funding to implement, in part,
recommendations of the bi-partisan ``Walter Reed Commission''
(the President's Commission on Care for America's Returning
Wounded Warriors) and other United States Government
investigations into military and veterans health care facilities
and services;
(4) this resolution assumes the rejection of the enrollment
fees and co-payment increases in the President's budget;
(5) this resolution provides additional funding above the
President's inadequate budget levels for the Department of
Veterans Affairs to research and treat veterans' mental health,
post-traumatic stress disorder, and traumatic brain and spinal
cord injuries; and
(6) this resolution provides additional funding above the
President's inadequate budget levels for the Department of
Veterans Affairs to improve the speed and accuracy of its
processing of disability compensation claims, including funding
to hire additional personnel above the President's requested
level.

SEC. 502. SENSE OF CONGRESS ON THE INNOVATION AGENDA: A COMMITMENT TO
COMPETITIVENESS TO KEEP AMERICA #1.

(a) It is the sense of Congress to provide sufficient funding that
our Nation may continue to be the world leader in education, innovation
and economic growth. This resolution provides substantial increased
funding above the President's requested level for 2008, and additional
amounts in subsequent years in Function 250 (General Science, Space and
Technology) and Function 270 (Energy). Additional increases for
scientific research and education are included in Function 500
(Education, Employment, Training, and Social Services), Function 550
(Health), Function 300 (Environment and Natural Resources), Function 350
(Agriculture), Function 400 (Transportation), and Function 370 (Commerce
and Housing Credit), all of which receive more funding than the
President requested.
(b) America's greatest resource for innovation resides within
classrooms across the country. The increased funding provided in this
resolution will support important initiatives to educate 100,000 new
scientists, engineers, and mathematicians, and place highly qualified
teachers in math and science K-12 classrooms.
(c) Independent scientific research provides the foundation for
innovation and future technologies. This resolution will put us on the
path toward doubling funding for the National Science Foundation, basic
research in the physical sciences, and collaborative research
partnerships; and toward achieving energy independence through the
development of clean and sustainable alternative energy technologies.

SEC. 503. SENSE OF CONGRESS ON HOMELAND SECURITY.

It is the sense of Congress that--
(1) this resolution assumes additional homeland security
funding above the President's requested level for 2008 and every
subsequent year;
(2) this resolution assumes funding above the President's
requested level for 2008, and additional amounts in subsequent

[[Page 2630]]
121 STAT. 2630

years, in the four budget functions: Function 400
(Transportation), Function 450 (Community and Regional
Development), Function 550 (Health), and Function 750
(Administration of Justice) that fund most nondefense homeland
security activities; and
(3) the homeland security funding provided in this
resolution will help to strengthen the security of our Nation's
transportation system, particularly our ports where significant
security shortfalls still exist and foreign ports, by expanding
efforts to identify and scan all high-risk United States-bound
cargo, equip, train and support first responders (including
enhancing interoperable communications and emergency
management), strengthen border patrol, and increase the
preparedness of the public health system.

SEC. 504. SENSE OF CONGRESS REGARDING THE ONGOING NEED TO RESPOND TO
HURRICANES KATRINA AND RITA.

The sense of Congress is as follows:
(1) Critical needs in the Gulf Coast region should be
addressed without further delay. The budget resolution creates a
reserve fund that would allow for affordable housing that may be
used to focus on areas devastated by Hurricanes Katrina and
Rita, as well as new funding for additional recovery priorities.
(2) Additional oversight and investigation is needed to
ensure that recovery efforts are on track, develop legislation
to reform the contracting process, and better prepare for future
disasters. Those efforts should be made in close consultation
with residents of affected areas. For example, the budget
resolution provides additional 2007 funding for the Federal
Emergency Management Agency, some of which may be used for this
purpose.

SEC. 505. SENSE OF CONGRESS REGARDING LONG-TERM SUSTAINABILITY OF
ENTITLEMENTS.

(a) Findings.--Congress finds the following:
(1) The aging of the United States population is going to
put unprecedented pressure on the Nation's retirement and health
care systems.
(2) The long-term strength of Social Security would be
improved through a fiscally responsible policy of reducing the
deficit and paying down the debt that has accumulated since
2001, thus reducing debt service payments and freeing up
billions of dollars that can be dedicated to meeting social
security's obligations.
(3) A policy of reducing and eventually eliminating the
deficit and paying down the debt is a key factor in improving
the long-term strength of the economy as a whole, because a
lower debt burden frees up resources for productive investments
that will result in higher economic growth, provide a higher
standard of living for future generations, and enhance the
Nation's ability to meet its commitments to its senior citizens.
(4) The most significant factor affecting the Nation's
entitlement programs is the rapid increase in health care costs.
The projected increasing costs of Medicare and Medicaid are not
unique to these programs but rather are part of a pattern of
rising costs for the health sector as a whole.

[[Page 2631]]
121 STAT. 2631

(b) Sense of Congress.--It is the sense of Congress that the growing
cost of entitlements should be addressed in a way that is fiscally
responsible and promotes economic growth, that addresses the causes of
cost growth in the broader health care system, and that protects
beneficiaries without leaving a legacy of debt to future generations.

SEC. 506. SENSE OF CONGRESS REGARDING THE NEED TO MAINTAIN AND BUILD
UPON EFFORTS TO FIGHT HUNGER.

(a) Findings.--Congress finds the following:
(1) More than 35 million individuals (12.4 million of them
children) are food insecure, uncertain of having, or unable to
acquire enough food. 10.8 million Americans are hungry because
of lack of food.
(2) Despite the critical contributions of the Department of
Agriculture nutrition programs and particularly the food stamp
program that significantly reduced payment error rates while
increasing enrollment to partially mitigate the impact of recent
increases in the poverty rate, significant need remains.
(3) Nearly 25 million people, including nine million
children and three million seniors, sought emergency food
assistance from food pantries, soup kitchens, shelters, and
local charities last year.
(b) Sense of Congress.--It is the sense of Congress that the
Department of Agriculture programs that help fight hunger should be
maintained and that Congress should seize opportunities to enhance those
programs to reach people in need and to fight hunger.

SEC. 507. SENSE OF CONGRESS REGARDING AFFORDABLE HEALTH COVERAGE.

(a) Findings.--Congress finds the following:
(1) More than 46 million Americans, including nine million
children, lack health insurance. People without health insurance
are more likely to experience problems getting medical care and
to be hospitalized for avoidable health problems.
(2) Most Americans receive health coverage through their
employers. A major issue facing all employers is the rising cost
of health insurance. Small businesses, which have generated most
of the new jobs annually over the last decade, have an
especially difficult time affording health coverage, due to
higher administrative costs and fewer people over whom to spread
the risk of catastrophic costs. Because it is especially costly
for small businesses to provide health coverage, their employees
make up a large proportion of the nation's uninsured
individuals.
(b) Sense of Congress.--It is the sense of Congress that legislation
consistent with the pay-as-you-go principle should be adopted that makes
health insurance more affordable and accessible, with attention to the
special needs of small businesses, and that lowers costs and improves
the quality of health care by encouraging integration of health
information technology tools into the practice of medicine, and
promoting improvements in disease management and disease prevention.

[[Page 2632]]
121 STAT. 2632

SEC. 508. SENSE OF CONGRESS REGARDING EXTENSION OF THE STATUTORY PAY-AS-
YOU-GO RULE.

It is the sense of Congress that in order to reduce the deficit
Congress should extend PAYGO consistent with provisions of the Budget
Enforcement Act of 1990.

SEC. 509. SENSE OF CONGRESS ON LONG-TERM BUDGETING.

It is the sense of Congress that the determination of the
congressional budget for the United States Government and the
President's budget request should include consideration of the Financial
Report of the United States Government, especially its information
regarding the Government's net operating cost, financial position, and
long-term liabilities.

SEC. 510. SENSE OF CONGRESS REGARDING PAY PARITY.

It is the sense of Congress that rates of compensation for civilian
employees of the United States should be adjusted at the same time, and
in the same proportion, as are rates of compensation for members of the
uniformed services.

SEC. 511. SENSE OF CONGRESS REGARDING WASTE, FRAUD, AND ABUSE.

It is the sense of Congress that all committees should examine
programs within their jurisdiction to identify wasteful and fraudulent
spending. To this end, section 207 of this resolution includes cap
adjustments to provide appropriations for 3 programs that accounted for
a significant share of improper payments reported by Federal agencies in
2006: Social Security Administration Continuing Disability Reviews, the
Medicare/Medicaid Health Care Fraud and Abuse Control Program, and
Unemployment Insurance. Section 207 also includes a cap adjustment for
the Internal Revenue Service for tax compliance efforts to close the tax
gap. In addition, the resolution's deficit-neutral reserve funds require
authorizing committees to cut lower-priority and wasteful spending to
accommodate higher-priority programs. Finally, section 207 of the
resolution directs all committees to review the performance of programs
within their jurisdiction and report recommendations annually to the
Committees on the Budget as part of the views and estimates process
required by section 301(d) of the Congressional Budget Act of 1974.

SEC. 512. SENSE OF CONGRESS REGARDING THE IMPORTANCE OF CHILD SUPPORT
ENFORCEMENT.

It is the sense of Congress that--
(1) additional legislative action is needed to ensure that
States have the necessary resources to collect all child support
that is owed to families and to allow them to pass 100 percent
of support on to families without financial penalty; and
(2) when 100 percent of child support payments are passed to
the child, rather than administrative expenses, program
integrity is improved and child support participation increases.

SEC. 513. SENSE OF THE HOUSE ON STATE VETERANS CEMETERIES.

It is the sense of the House that the Federal Government should pay
the plot allowance for the interment in a State veterans cemetery of any
spouse or eligible child of a veteran, consistent with the pay-as-you-go
principle.

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121 STAT. 2633

SEC. 514. SENSE OF CONGRESS ON THE STATE CRIMINAL ALIEN ASSISTANCE
PROGRAM.

(a) Findings.--Congress makes the following findings:
(1) Control of illegal immigration is a Federal
responsibility.
(2) The State Criminal Alien Assistance Program (referred to
in this section as ``SCAAP'') carried out pursuant to section
241(i) of the Immigration and Nationality Act (8 U.S.C. 1231(i))
provides critical funding to States and localities for
reimbursement of costs incurred as a result of housing
undocumented criminal aliens.
(3) Congress appropriated $300,000,000 for SCAAP to
reimburse State and local governments for those costs in fiscal
year 2004.
(4) Congress appropriated $305,000,000 for SCAAP to
reimburse State and local governments for those costs in fiscal
year 2005.
(5) Congress appropriated $405,000,000 for SCAAP to
reimburse State and local governments for those costs in fiscal
year 2006.
(6) Congress appropriated $399,000,000 for SCAAP to
reimburse State and local governments for those costs in fiscal
year 2007.
(7) Congress has authorized to be appropriated $950,000,000
to carry out SCAAP for each of the fiscal years 2008 through
2011.
(b) Sense of Congress.--It is the sense of Congress that SCAAP
funding for fiscal year 2008 should be consistent with the goal of
achieving the program's fully authorized level.

TITLE VI--RECONCILIATION

SEC. 601. RECONCILIATION IN THE HOUSE.

Not later than September 10, 2007, the House Committee on Education
and Labor shall report to the House of Representatives changes in laws
to reduce the deficit by $750,000,000 for the period of fiscal years
2007 through 2012.

SEC. 602. DEFICIT-REDUCTION RECONCILIATION INSTRUCTION IN THE SENATE.

Not later than September 10, 2007, the Senate Committee on Health,
Education, Labor, and Pensions shall report changes in laws within its
jurisdiction to reduce the deficit by $750,000,000 for the period of
fiscal years 2007 through 2012.

Agreed to May 17, 2007.