    [United States Statutes at Large, Volume 124, 111th Congress, 2nd Session]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    Public Law 111-139
    111th Congress

    Joint Resolution

    Increasing the statutory limit on the public debt. <>

    Resolved by the Senate and House of Representatives of the United
    States of America in Congress assembled, That subsection (b) of section
    3101 of title 31, United States Code, is amended by striking out the
    dollar limitation contained in such subsection and inserting in lieu
    thereof $14,294,000,000,000.

    TITLE I <> --STATUTORY PAY-
    AS-YOU-GO ACT OF 2010

    SEC. 1. <> SHORT TITLE.

    This title may be cited as the ``Statutory Pay-As-You-Go Act of
    2010''.

    SEC. 2. <> PURPOSE.

    The purpose of this title is to reestablish a statutory procedure to
    enforce a rule of budget neutrality on new revenue and direct spending
    legislation.

    SEC. 3. <> DEFINITIONS AND APPLICATIONS.

    As used in this title--
    (1) The term ``BBEDCA'' means the Balanced Budget and
    Emergency Deficit Control Act of 1985.
    (2) The definitions set forth in section 3 of the
    Congressional Budget and Impoundment Control Act of 1974 and in
    section 250 of BBEDCA shall apply to this title, except to the
    extent that they are specifically modified as follows:
    (A) The term ``outyear'' means a fiscal year one or
    more years after the budget year.
    (B) In section 250(c)(8)(C), the reference to the
    food stamp program shall be deemed to be a reference to
    the Supplemental Nutrition Assistance Program.
    (3) The term ``AMT'' means the Alternative Minimum Tax for
    individuals under sections 55-59 of the Internal Revenue Code of
    1986, the term ``EGTRRA'' means the Economic Growth and Tax
    Relief Reconciliation Act of 2001 (Public Law 107-16), and the
    term ``JGTRRA'' means the Jobs and Growth Tax Relief and
    Reconciliation Act of 2003 (Public Law 108-27).
    (4)(A) The term ``budgetary effects'' means the amount by
    which PAYGO legislation changes outlays flowing from direct
    spending or revenues relative to the baseline and shall be

    [[Page 9]]

    determined on the basis of estimates prepared under section 4. Budgetary
    effects that increase outlays flowing from direct spending or decrease
    revenues are termed ``costs'' and budgetary effects that increase
    revenues or decrease outlays flowing from direct spending are termed
    ``savings''. Budgetary effects shall not include any costs associated
    with debt service.
    (B) For purposes of these definitions, off-budget effects
    shall not be counted as budgetary effects.
    (C) Solely for purposes of recording entries on a PAYGO
    scorecard, provisions in appropriation Acts are also considered
    to be budgetary effects for purposes of this title if such
    provisions make outyear modifications to substantive law, except
    that provisions for which the outlay effects net to zero over a
    period consisting of the current year, the budget year, and the
    4 subsequent years shall not be considered budgetary effects.
    For purposes of this paragraph, the term, ``modifications to
    substantive law'' refers to changes to or restrictions on
    entitlement law or other mandatory spending contained in
    appropriations Acts, notwithstanding section 250(c)(8) of
    BBEDCA. Provisions in appropriations Acts that are neither
    outyear modifications to substantive law nor changes in revenues
    have no budgetary effects for purposes of this title.
    (5) The term ``debit'' refers to the net total amount, when
    positive, by which costs recorded on the PAYGO scorecards for a
    fiscal year exceed savings recorded on those scorecards for that
    year.
    (6) The term ``entitlement law'' refers to a section of law
    which provides entitlement authority.
    (7) The term ``PAYGO legislation'' or a ``PAYGO Act'' refers
    to a bill or joint resolution that affects direct spending or
    revenue relative to the baseline. The budgetary effects of
    changes in revenues and outyear modifications to substantive law
    included in appropriation Acts as defined in paragraph (4) shall
    be treated as if they were contained in PAYGO legislation or a
    PAYGO Act.
    (8) The term ``timing shift'' refers to a delay of the date
    on which outlays flowing from direct spending would otherwise
    occur from the ninth outyear to the tenth outyear or an
    acceleration of the date on which revenues would otherwise occur
    from the tenth outyear to the ninth outyear.

    SEC. 4. <> PAYGO ESTIMATES AND PAYGO SCORECARDS.

    (a) PAYGO Estimates.--
    (1) <> Required designation in paygo
    acts.--
    (A) House of representatives.--To establish the
    budgetary effects of a PAYGO Act consistent with the
    determination made by the Chairman of the House Budget
    Committee, a PAYGO Act originated in or amended by the
    House of Representatives may include the following
    statement: ``The budgetary effects of this Act, for the
    purpose of complying with the Statutory Pay-As-You-Go-
    Act of 2010, shall be determined by reference to the
    latest statement titled `Budgetary Effects of PAYGO
    Legislation' for this Act, submitted for printing in the
    Congressional Record by the Chairman of the House Budget
    Committee, provided that such statement has been
    submitted prior to the vote on passage.''.

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    (B) Senate.--To establish the budgetary effects of a
    PAYGO Act consistent with the determination made by the
    Chairman of the Senate Budget Committee, a PAYGO Act
    originated in or amended by the Senate shall include the
    following statement: ``The budgetary effects of this
    Act, for the purpose of complying with the Statutory
    Pay-As-You-Go-Act of 2010, shall be determined by
    reference to the latest statement titled `Budgetary
    Effects of PAYGO Legislation' for this Act, submitted
    for printing in the Congressional Record by the Chairman
    of the Senate Budget Committee, provided that such
    statement has been submitted prior to the vote on
    passage.''.
    (C) Conference reports and amendments between the
    houses.--To establish the budgetary effects of the
    conference report on a PAYGO Act, or an amendment to an
    amendment between Houses on a PAYGO Act, which if
    estimated shall be estimated jointly by the Chairmen of
    the House and Senate Budget Committees, the conference
    report or amendment between the Houses shall include the
    following statement: ``The budgetary effects of this
    Act, for the purpose of complying with the Statutory
    Pay-As-You-Go-Act of 2010, shall be determined by
    reference to the latest statement titled `Budgetary
    Effects of PAYGO Legislation' for this Act, jointly
    submitted for printing in the Congressional Record by
    the Chairmen of the House and Senate Budget Committees,
    provided that such statement has been submitted prior to
    the vote on passage in the House acting first on this
    conference report or amendment between the Houses.''.
    (2) Determination of budgetary effects of paygo acts.--
    (A) Original legislation.--
    (i) Statement and estimate.--Prior to a vote
    on passage of a PAYGO Act originated or amended by
    one House, the Chairman of the Budget Committee of
    that House may submit for printing in the
    Congressional Record a statement titled
    ``Budgetary Effects of PAYGO Legislation'' which
    shall include an estimate of the budgetary effects
    of that Act, if available prior to passage of the
    Act by that House and shall submit, if applicable,
    an identification of any current policy
    adjustments made pursuant to section 7 of this
    Act. The timely submission of such a statement, in
    conjunction with the appropriate designation made
    pursuant to paragraph (1)(A) or (1)(B), as
    applicable, shall establish the budgetary effects
    of the PAYGO Act for the purposes of this Act.
    (ii) Effect.--The latest statement submitted
    by the Chairman of the Budget Committee of that
    House prior to passage shall supersede any prior
    statements submitted in the Congressional Record
    and shall be valid only if the PAYGO Act is not
    further amended by either House.
    (iii) Failure to submit estimate.--If--
    (I) the estimate required by clause
    (i) has not been submitted prior to
    passage by that House;

    [[Page 11]]

    (II) such estimate has been
    submitted but is no longer valid due to
    a subsequent amendment to the PAYGO Act;
    or
    (III) the designation required
    pursuant to this subsection has not been
    made;
    the budgetary effects of the PAYGO Act shall be
    determined under subsection (d)(3), provided that
    this clause shall not apply if a valid designation
    is subsequently included in that PAYGO Act
    pursuant to paragraph (1)(C) and a statement is
    submitted pursuant to subparagraph (B).
    (B) Conference reports and amendments between
    houses.--
    (i) In general.--Prior to the adoption of a
    report of a committee of conference on a PAYGO Act
    in either House, or disposition of an amendment to
    an amendment between Houses on a PAYGO Act, the
    Chairmen of the Budget Committees of the House and
    Senate may jointly submit for printing in the
    Congressional Record a statement titled
    ``Budgetary Effects of PAYGO Legislation'' which
    shall include an estimate of the budgetary effects
    of that Act if available prior to passage of the
    Act by the House acting first on the legislation
    and shall submit, if applicable, an identification
    of any current policy adjustments made pursuant to
    section 7 of this title. The timely submission of
    such a statement, in conjunction with the
    appropriate designation made pursuant to paragraph
    (1)(C), shall establish the budgetary effects of
    the PAYGO Act for the purposes of this Act.
    (ii) Failure to submit estimate.--If such
    estimate has not been submitted prior to the
    adoption of a report of a committee of conference
    by either House, or if the designation required
    pursuant to this subsection has not been made, the
    budgetary effects of the PAYGO Act shall be
    determined under subsection (d)(3).
    (3) Procedure in the senate.--In the Senate, upon submission
    of a statement titled ``Budgetary Effects of PAYGO Legislation''
    by the Chairman of the Senate Budget Committee for printing in
    the Congressional Record, the Legislative Clerk shall read the
    statement.
    (4) Jurisdiction of the budget committees.--For the purposes
    of enforcing section 306 of the Congressional Budget Act of
    1974, a designation made pursuant to paragraph (1)(A), (1)(B),
    or (1)(C), that includes only the language specifically
    prescribed therein, shall not be considered a matter within the
    jurisdiction of either the Senate or House Committees on the
    Budget.

    (b) CBO PAYGO Estimates.--
    (1) In general.--
    (A) Estimates.--Section 308(a) of the Congressional
    Budget Act of <> 1974 is amended by
    adding at the end the following new paragraph:
    ``(3) CBO paygo estimates.--
    ``(A) The Chairs of the Committees on the Budget of
    the House and Senate, as applicable, shall request from

    [[Page 12]]

    the Director of the Congressional Budget Office an
    estimate of the budgetary effects of PAYGO legislation.
    ``(B) Estimates shall be prepared using baseline
    estimates supplied by the Congressional Budget Office,
    consistent with section 257 of the Balanced Budget and
    Emergency Deficit Control Act of 1985.
    ``(C) The Director shall not count timing shifts, as
    that term is defined at section 3(8) of the Statutory
    Pay-As-You-Go Act of 2010, in estimates of the budgetary
    effects of PAYGO Legislation.''.
    (B) Sideheading.--The side heading of section 308(a)
    of the Congressional Budget Act of 1974 is amended by
    striking ``Reports on''.
    (2) Guidelines.--Section 308 of the Congressional Budget Act
    of 1974 is amended by adding at the end the following new
    subsection:

    ``(d) Scorekeeping Guidelines.--Estimates under this section shall
    be provided in accordance with the scorekeeping guidelines determined
    under section 252(d)(5) of the Balanced Budget and Emergency Deficit
    Control Act of 1985.''.
    (c) Current Policy Adjustments for Certain Legislation.--
    (1) In general.--For any provision of legislation that meets
    the criteria in subsection (c), (d), (e) or (f) of section 7,
    the Chairs of the Committees on the Budget of the House and
    Senate, as applicable, shall request that CBO adjust the
    estimate of budgetary effects of that legislation pursuant to
    paragraph (2) for the purposes of this title. A single piece of
    legislation may contain provisions that meet criteria in more
    than one of the subsections referred to in the preceding
    sentence. CBO shall adjust estimates for legislation designated
    under subsection (a) and estimated under subsection (b). OMB
    shall adjust estimates for legislation estimated under
    subsection (d)(3).
    (2) Adjustments.--
    (A) Estimates.--CBO or OMB, as applicable, shall
    exclude from the estimate of budgetary effects any
    budgetary effects of a provision that meets the criteria
    in subsection (c), (d), (e) or (f) of section 7, to the
    extent that those budgetary effects, when combined with
    all other excluded budgetary effects of any other
    previously designated provisions of enacted legislation
    under the same subsection of section 7, do not exceed
    the maximum applicable current policy adjustment defined
    under the applicable subsection of section 7 for the
    applicable 10-year period.
    (B) Baseline.--Any estimate made pursuant to
    subparagraph (A) shall be prepared using baseline
    estimates supplied by the Congressional Budget Office,
    consistent with section 257 of the BBEDCA. CBO estimates
    of legislation adjusted for current policy shall include
    a separate presentation of costs excluded from the
    calculation of budgetary effects for the legislation, as
    well as an updated total of all excluded costs of
    provisions within subsection (c), (d), or (e) of section
    7, as applicable, and in the case of paragraph (1) of
    section 7(f), within any of the subparagraphs (A)
    through (L) of such paragraph, as applicable.

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    (3) Limitation on availability of excess savings.--
    (A) Prohibition on use of excess saving for
    ineligible policies.--To the extent the adjustment for
    current policy of any provision estimated under this
    subsection exceeds the estimated budgetary effects of
    that provision, these excess savings shall not be
    available to offset the costs of any provisions not
    otherwise eligible for a current policy adjustment under
    section 7, and shall not be counted on the PAYGO
    scorecards established pursuant to subsections (d)(4)
    and (d)(5).
    (B) Prohibition on use of excess savings across
    budget areas.--For provisions eligible for a current
    policy adjustment under subsections (c) through (f) of
    section 7, to the extent the adjustment for current
    policy of any provision exceeds the estimated budgetary
    effects of that same provision, the excess savings shall
    be available only to offset the costs of other
    provisions that qualify for a current policy adjustment
    in that same subsection. Each paragraph in section
    7(f)(1) shall be considered a separate subsection for
    purposes of this section.
    (4) Further guidance on estimating budgetary effects.--
    Estimates of budgetary effects under this subsection shall be
    consistent with the guidance provided at section 7(h).
    (5) Inclusion of statement.--For PAYGO legislation adjusted
    pursuant to section 7, the Chairman of the House or Senate
    Budget Committee, as applicable, shall include in any statement
    titled ``Budgetary Effects of PAYGO Legislation'', submitted for
    that legislation pursuant to section 4, an explanation of the
    current policy designation and adjustments.

    (d) OMB PAYGO Scorecards.--
    (1) In general. <> --OMB shall
    maintain and make publicly available a continuously updated
    document containing two PAYGO scorecards displaying the
    budgetary effects of PAYGO legislation as determined under
    section 308 of the Congressional Budget Act of 1974, applying
    the look-back requirement in subsection (e) and the averaging
    requirement in subsection (f), and a separate addendum
    displaying the estimates of the costs of provisions designated
    in statute as emergency requirements.
    (2) Estimates in legislation.--Except as provided in
    paragraph (3), in making the calculations for the PAYGO
    scorecards, OMB shall use the budgetary effects included by
    reference in the applicable legislation pursuant to subsection
    (a).
    (3) OMB paygo estimates.--If a PAYGO Act does not contain a
    valid reference to its budgetary effects consistent with
    subsection (a), OMB shall estimate the budgetary effects of that
    legislation upon its enactment. The OMB estimate shall be based
    on the approaches to scorekeeping set forth in section 308 of
    the Congressional Budget Act of 1974, as amended by this title,
    and subsection (g)(4), and shall use the same economic and
    technical assumptions as used in the most recent budget
    submitted by the President under section 1105(a) of title 31 of
    the United States Code.
    (4) 5-year scorecard.--The first scorecard shall display the
    budgetary effects of PAYGO legislation in each year over the 5-
    year period beginning in the budget year.

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    (5) 10-year scorecard.--The second scorecard shall display
    the budgetary effects of PAYGO legislation in each year over the
    10-year period beginning in the budget year.
    (6) Community living assistance services and supports act.--
    Neither scorecard maintained by OMB pursuant to this subsection
    shall include net savings from any provisions of legislation
    titled ``Community Living Assistance Services and Supports
    Act'', which establishes a Federal insurance program for long-
    term care, if such legislation is enacted into law, or amended,
    subsequent to the date of enactment of this title.

    (e) Look-back To Capture Current-year Effects.--For purposes of this
    section, OMB shall treat the budgetary effects of PAYGO legislation
    enacted during a session of Congress that occur during the current year
    as though they occurred in the budget year.
    (f) Averaging Used To Measure Compliance Over 5-year and 10-year
    Periods.--OMB shall cumulate the budgetary effects of a PAYGO Act over
    the budget year (which includes any look-back effects under subsection
    (e)) and--
    (1) for purposes of the 5-year scorecard referred to in
    subsection (d)(4), the four subsequent outyears, divide that
    cumulative total by five, and enter the quotient in the budget-
    year column and in each subsequent column of the 5-year PAYGO
    scorecard; and
    (2) for purposes of the 10-year scorecard referred to in
    subsection (d)(5), the nine subsequent outyears, divide that
    cumulative total by ten, and enter the quotient in the budget-
    year column and in each subsequent column of the 10-year PAYGO
    scorecard.

    (g) Emergency Legislation.--
    (1) Designation in statute.--If a provision of direct
    spending or revenue legislation in a PAYGO Act is enacted as an
    emergency requirement that the Congress so designates in statute
    pursuant to this section, the amounts of new budget authority,
    outlays, and revenue in all fiscal years resulting from that
    provision shall be treated as an emergency requirement for the
    purposes of this Act.
    (2) Designation in the house of representatives.--If a PAYGO
    Act includes a provision expressly designated as an emergency
    for the purposes of this title, the Chair shall put the question
    of consideration with respect thereto.
    (3) Point of order in the senate.--
    (A) In general.--When the Senate is considering a
    PAYGO Act, 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 subsection shall be limited to 1 hour, to
    be equally divided between, and controlled by, the
    appellant and the manager of the bill or joint
    resolution, as the

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    case may be. An affirmative vote of three-fifths
    of the Members of the Senate, duly chosen and
    sworn, shall be required to sustain an appeal of
    the ruling of the Chair on a point of order raised
    under this subsection.
    (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 PAYGO Act, 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 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.
    (4) Effect of designation on scoring.--If a provision is
    designated as an emergency requirement under this Act, CBO or
    OMB, as applicable, shall not include the budgetary effects of
    such a provision in its estimate of the budgetary effects of
    that PAYGO legislation.

    SEC. 5. <> ANNUAL REPORT AND SEQUESTRATION ORDER.

    (a) Annual Report. <> --Not later than 14 days (excluding weekends and
    holidays) after Congress adjourns to end a session, OMB shall make
    publicly available and cause to be printed in the Federal Register an
    annual PAYGO report. The report shall include an up-to-date document
    containing the PAYGO scorecards, a description of any current policy
    adjustments made under section 4(c), information about emergency
    legislation (if any) designated under section 4(g), information about
    any sequestration if required by subsection (b), and other data and
    explanations that enhance public understanding of this title and actions
    taken under it.

    (b) Sequestration Order. <> --If the annual report
    issued at the end of a session of Congress under subsection (a) shows a
    debit on either PAYGO scorecard for the budget year, OMB shall prepare
    and the President shall issue and include in that report a sequestration
    order that, upon issuance, shall reduce budgetary resources of direct
    spending programs by enough to offset that debit as prescribed in
    section 6. If there is a debit on both scorecards, the order shall fully
    offset the larger of the two debits. OMB shall transmit the order and
    the report to the House of

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    Representatives and the Senate. If the President issues a sequestration
    order, the annual report shall contain, for each budget account to be
    sequestered, estimates of the baseline level of budgetary resources
    subject to sequestration, the amount of budgetary resources to be
    sequestered, and the outlay reductions that will occur in the budget
    year and the subsequent fiscal year because of that sequestration.

    SEC. 6. <> CALCULATING A SEQUESTRATION.

    (a) Reducing Nonexempt Budgetary Resources by a Uniform
    Percentage.--
    (1) In general.--OMB shall calculate the uniform percentage
    by which the budgetary resources of nonexempt direct spending
    programs are to be sequestered such that the outlay savings
    resulting from that sequestration, as calculated under
    subsection (b), shall offset the budget-year debit, if any, on
    the applicable PAYGO scorecard. If the uniform percentage
    calculated under the prior sentence exceeds 4 percent, the
    Medicare programs described in section 256(d) of BBEDCA shall be
    reduced by 4 percent and the uniform percentage by which the
    budgetary resources of all other nonexempt direct spending
    programs are to be sequestered shall be increased, as necessary,
    so that the sequestration of Medicare and of all other nonexempt
    direct spending programs together produce the required outlay
    savings.
    (2) Programs and activities in unified budget only.--
    Subject <> to the exemptions set forth in
    section 11, OMB shall determine the uniform percentage required
    under paragraph (1) with respect to programs and activities
    contained in the unified budget only.

    (b) Outlay Savings.--In determining the amount by which a
    sequestration offsets a budget-year debit, OMB shall count--
    (1) the amount by which the sequestration in a crop year of
    crop support payments, pursuant to section 256(j) of BBEDCA,
    reduces outlays in the budget year and the subsequent fiscal
    year;
    (2) the amount by which the sequestration of Medicare
    payments in the 12-month period following the sequestration
    order, pursuant to section 256(d) of BBEDCA, reduces outlays in
    the budget year and the subsequent fiscal year; and
    (3) the amount by which the sequestration in the budget year
    of the budgetary resources of other nonexempt mandatory programs
    reduces outlays in the budget year and in the subsequent fiscal
    year.

    SEC. 7. <> ADJUSTMENT FOR CURRENT POLICIES.

    (a) Purpose.--The purpose of this section is to provide for
    adjustments of estimates of budgetary effects of PAYGO legislation for
    legislation affecting 4 areas of the budget--
    (1) payments made under section 1848 of the Social Security
    Act (referred to in this section as ``Payment for Physicians'
    Services'');
    (2) the Estate and Gift Tax under subtitle B of the Internal
    Revenue Code of 1986;
    (3) the AMT; and
    (4) provisions of EGTRRA or JGTRRA that amended the Internal
    Revenue Code of 1986 (or provisions in later statutes

    [[Page 17]]

    further amending the amendments made by EGTRRA or JGTRRA), other
    than--
    (A) the provisions of those 2 Acts that were made
    permanent by the Pension Protection Act of 2006 (Public
    Law 109-280);
    (B) amendments to the Estate and Gift Tax referred
    to in paragraph (2);
    (C) the AMT referred to in paragraph (3); and
    (D) the income tax rates on ordinary income that
    apply to individuals with adjusted gross incomes greater
    than $200,000 for a single filer and $250,000 for joint
    filers.

    (b) Duration.--This section shall remain in effect through December
    31, 2011.
    (c) Medicare Payments to Physicians.--
    (1) Criteria.--Legislation that includes provisions amending
    or superseding the system for updating payments under
    subsections (d) and (f) of section 1848 of the Social Security
    Act shall trigger the current policy adjustment required by this
    title.
    (2) Adjustment.--The amount of the maximum current policy
    adjustment shall be the difference between--
    (A) estimated net outlays attributable to the
    payment rates and related parameters in accordance with
    subsections (d) and (f) of section 1848 of the Social
    Security Act (as scheduled on December 31, 2009, to be
    in effect); and
    (B) what those net outlays would have been if--
    (i) the nominal payment rates and related
    parameters in effect for 2009 had been in effect
    through December 31, 2014, without change; and
    (ii) thereafter, the nominal payment rates and
    related parameters described in subparagraph (A)
    had applied and the assumption described in clause
    (i) had never applied.
    (3) Limitation.--If the provisions in the legislation that
    cause it to meet the criteria in paragraph (1) cover a time
    period that ends before December 31, 2014, subject to the
    maximum adjustment provided for under paragraph (2), the amount
    of each current policy adjustment made pursuant to this section
    shall be limited to the difference between--
    (A) estimated net outlays attributable to the
    payment rates and related parameters specified in that
    section of the Social Security Act (as scheduled on
    December 31, 2009, to be in effect for the period of
    time covered by the relevant provisions of the eligible
    legislation); and
    (B) what those net outlays would have been if the
    nominal payment rates and related parameters in effect
    for 2009 had been in effect, without change, for the
    same period of time covered by the relevant provisions
    of the eligible legislation as under subparagraph (A).

    (d) Estate and Gift Tax.--
    (1) Criteria.--Legislation that includes provisions amending
    the Estate and Gift Tax under subtitle B of the Internal Revenue
    Code of 1986 shall trigger the current policy adjustment
    required by this title.
    (2) Adjustment.--The amount of the maximum current policy
    adjustment shall be the difference between--

    [[Page 18]]

    (A) total revenues projected to be collected under
    the Internal Revenue Code of 1986 (as scheduled on
    December 31, 2009, to be in effect); and
    (B) what those revenue collections would have been
    if, on the date of enactment of the legislation meeting
    the criteria in paragraph (1), estate and gift tax law
    had instead been amended so that the tax rates, nominal
    exemption amounts, and related parameters in effect for
    tax year 2009 had remained in effect through December
    31, 2011, with nominal exemption amounts indexed for
    inflation after 2009 consistent with subsection (g).
    (3) Limitation.--If the provisions in the legislation that
    cause it to meet the criteria in paragraph (1) cover a time
    period that ends before December 31, 2011, subject to the
    maximum adjustment provided for under paragraph (2), the amount
    of each current policy adjustment made pursuant to this section
    shall be limited to the difference between--
    (A) total revenues projected to be collected under
    the Internal Revenue Code of 1986 (as scheduled on
    December 31, 2009, to be in effect for the period of
    time covered by the relevant provisions of the eligible
    legislation); and
    (B) what those revenues would have been if the
    estate and gift tax law rates, nominal exemption
    amounts, and related parameters in effect for 2009, with
    nominal exemption amounts indexed for inflation after
    2009 consistent with subsection (g), had been in effect
    for the same period of time covered by the relevant
    provisions of the eligible legislation as under
    subparagraph (A).
    (4) Duration of policy adjustment.--Adjustments made
    pursuant to this subsection are available for policies affecting
    the estate and gift tax through only December 31, 2011. Any
    adjustments shall include budgetary effects in all years from
    these policy changes.

    (e) AMT Relief.--
    (1) Criteria.--Legislation that includes provisions
    extending AMT relief shall trigger the current policy adjustment
    required by this title.
    (2) Adjustment.--The amount of the maximum current policy
    adjustment shall be the difference between--
    (A) total revenues projected to be collected under
    the Internal Revenue Code of 1986 (as scheduled on
    December 31, 2009, to be in effect); and
    (B) what those revenue collections would have been
    if, on the date of enactment of legislation meeting the
    criteria in paragraph (1), AMT law had instead been
    amended by making commensurate adjustments in the
    exemption amounts for joint and single filers in such a
    manner that the number of taxpayers with AMT liability
    or lost credits that occur as a result of the AMT would
    not be estimated to exceed the number of taxpayers
    affected by the AMT in tax year 2008 in any year for
    which relief is provided, through December 31, 2011.
    (3) Limitation.--If the provisions in the legislation that
    cause it to meet the criteria in paragraph (1) cover a time
    period that ends before December 31, 2011, subject to the
    maximum adjustment provided for under paragraph (2), the

    [[Page 19]]

    amount of each current policy adjustment made pursuant to this
    section shall be limited to the difference between--
    (A) total revenues projected to be collected under
    the Internal Revenue Code of 1986 (as scheduled on
    December 31, 2009, to be in effect for the period of
    time covered by the relevant provisions of the eligible
    legislation); and
    (B) what those revenues would have been if, on the
    date of enactment of legislation meeting the criteria in
    paragraph (1), AMT law had instead been amended by
    making commensurate adjustments in the exemption amounts
    for joint and single filers in such a manner that the
    number of taxpayers with AMT liability or lost credits
    that occur as a result of the AMT would not be estimated
    to exceed the number of AMT taxpayers in tax year 2008
    for the same period of time covered by the relevant
    provisions of the eligible legislation as under
    subparagraph (A).
    (4) Duration of policy adjustment.--Adjustments made
    pursuant to this subsection are available for policies affecting
    the AMT through only December 31, 2011. Any adjustments shall
    include budgetary effects in all years from these policy
    changes.

    (f) Permanent Extension of Middle-class Tax Cuts.--
    (1) Criteria.--Legislation that includes provisions
    extending middle-class tax cuts shall trigger the current policy
    adjustment required by this title if those provisions extend 1
    or more of the following provisions:
    (A) The 10 percent bracket as in effect for tax year
    2010, as provided for under section 101(a) of EGTRRA and
    any later amendments through December 31, 2009.
    (B) The child tax credit as in effect for tax year
    2010, as provided for under section 201 of EGTRRA and
    any later amendments through December 31, 2009.
    (C) Tax benefits for married couples as in effect
    for tax year 2010, as provided for under title III of
    EGTRRA and any later amendments through December 31,
    2009.
    (D) The adoption credit as in effect in tax year
    2010, as provided for under section 202 of EGTRRA and
    any later amendments through December 31, 2009.
    (E) The dependent care credit as in effect in tax
    year 2010, as provided for under section 204 of EGTRRA
    and any later amendments through December 31, 2009.
    (F) The employer-provided child care credit as in
    effect in tax year 2010, as provided for under section
    205 of EGTRRA and any later amendments through December
    31, 2009.
    (G) The education tax benefits as in effect in tax
    year 2010, as provided for under title IV of EGTRRA and
    any later amendments through December 31, 2009.
    (H) The 25 and 28 percent brackets as in effect for
    tax year 2010, as provided for under section 101(a) of
    EGTRRA and any later amendments through December 31,
    2009.
    (I) The 33 percent bracket as in effect for tax year
    2010, as provided for under section 101(a) of EGTRRA and
    any later amendment through December 31, 2009, affecting
    taxpayers with adjusted gross income of $200,000 or less
    for single filers and $250,000 or less for joint filers

    [[Page 20]]

    in tax year 2010, with these income levels indexed for
    inflation in each subsequent year consistent with
    subsection (g).
    (J) The rates on income derived from capital gains
    and qualified dividends as in effect for tax year 2010,
    as provided for under sections 301 and 302 of JGTRRA and
    any later amendment through December 31, 2009, affecting
    taxpayers with adjusted gross income of $200,000 or less
    for single filers and $250,000 for joint filers with
    these income levels indexed for inflation in each
    subsequent year consistent with subsection (g).
    (K) The phaseout of personal exemptions and the
    overall limitation on itemized deductions as in effect
    for tax year 2010, as provided for under sections 102
    and 103 of EGTRRA of 2001, respectively, and any later
    amendment through December 31, 2009, affecting taxpayer
    with adjusted gross income of $200,000 or less for
    single filers and $250,000 for joint filers, with these
    income levels indexed for inflation in each subsequent
    year consistent with subsection (g).
    (L) The increase in the limitations on expensing
    depreciable business assets for small businesses under
    section 179(b) of the Internal Revenue Code of 1986 as
    in effect in tax year 2010, as provided under section
    202 of JGTRRA and any later amendment through December
    31, 2009.
    (2) Adjustment.--The amount of the maximum current policy
    adjustment shall be the difference between--
    (A) total revenues projected to be collected and
    outlays to be paid under the Internal Revenue Code of
    1986 (as scheduled on December 31, 2009, to be in
    effect); and
    (B) what those revenue collections and outlay
    payments would have been if, on the date of enactment of
    legislation meeting the criteria in paragraph (1), the
    provisions identified in paragraph (1) were made
    permanent.
    (3) Limitation.--If the provisions in the legislation that
    cause it to meet the criteria in paragraph (1) are not
    permanent, subject to the maximum adjustment provided for under
    paragraph (2), the amount of each current policy adjustment made
    pursuant to this section shall be limited to the difference
    between--
    (A) total revenues projected to be collected and
    outlays to be paid under the Internal Revenue Code of
    1986 (as scheduled on December 31, 2009, to be in effect
    for the period of time covered by the relevant
    provisions of the eligible legislation); and
    (B) what those revenue collections and outlay
    payments would have been if, on the date of enactment of
    legislation meeting the criteria in paragraph (1), the
    provisions identified in paragraph (1) had been in
    effect, without change, for the same period of time
    covered by the relevant provisions of the eligible
    legislation as under subparagraph (A).

    (g) Indexing for Inflation.--Indexed amounts are assumed to increase
    in each year by an amount equal to the cost-of-living adjustment
    determined under section 1(f)(3) of the Internal Revenue Code of 1986
    for the calendar year in which the taxable year begins, determined by
    substituting ``calendar year 2008'' for ``calendar year 1992'' in
    subparagraph (B) of such section.

    [[Page 21]]

    (h) Guidance on Estimates and Current Policy Adjustments.--
    (1) Middle class tax cuts.--For purposes of estimates made
    pursuant to subsection (f)--
    (A) each of the income tax provisions shall be
    estimated as though the AMT had remained at current law
    as scheduled on December 31, 2009 to be in effect; and
    (B) if more than 1 of the income tax provisions is
    included in a single piece of legislation, those
    provisions shall be estimated in the order in which they
    appear.
    (2) AMT.--For purposes of estimates made pursuant to
    subsection (e), changes to the AMT shall be estimated as if, on
    the date of enactment of legislation meeting the criteria in
    subsection (e)(1), all of the income tax provisions identified
    in subsection (f)(1) were made permanent.

    SEC. 8. <> APPLICATION OF BBEDCA.

    For purposes of this title--
    (1) notwithstanding section 275 of BBEDCA, the provisions of
    sections 255, 256, 257, and 274 of BBEDCA, as amended by this
    title, shall apply to the provisions of this title;
    (2) references in sections 255, 256, 257, and 274 to ``this
    part'' or ``this title'' shall be interpreted as applying to
    this title;
    (3) references in sections 255, 256, 257, and 274 of BBEDCA
    to ``section 254'' shall be interpreted as referencing section 5
    of this title;
    (4) the reference in section 256(b) of BBEDCA to ``section
    252 or 253'' shall be interpreted as referencing section 5 of
    this title;
    (5) the reference in section 256(d)(1) of BBEDCA to
    ``section 252 or 253'' shall be interpreted as referencing
    section 6 of this title;
    (6) the reference in section 256(d)(4) of BBEDCA to
    ``section 252 or 253'' shall be interpreted as referencing
    section 5 of this title;
    (7) section 256(k) of BBEDCA shall apply to a sequestration,
    if any, under this title; and
    (8) references in section 257(e) of BBEDCA to ``section 251,
    252, or 253'' shall be interpreted as referencing section 4 of
    this title.

    SEC. 9. TECHNICAL CORRECTIONS.

    (a) Section 250(c)(18) of BBEDCA <> is amended by
    striking ``the expenses the Federal deposit insurance agencies'' and
    inserting ``the expenses of the Federal deposit insurance agencies''.

    (b) Section 256(k)(1) of BBEDCA <> is amended by
    striking ``in paragraph (5)'' and inserting ``in paragraph (6)''.

    SEC. 10. CONFORMING AMENDMENTS.

    (a) Section 256(a) of BBEDCA <> is repealed.

    (b) Section 256(b) of BBEDCA is amended by striking ``origination
    fees under sections 438(c)(2) and 455(c) of that Act shall each be
    increased by 0.50 percentage point.'' and inserting in lieu thereof
    ``origination fees under sections 438(c)(2) and (6) and 455(c) and loan
    processing and issuance fees under section 428(f)(1)(A)(ii) of that Act
    shall each be increased by the uniform percentage specified in that
    sequestration order, and, for student loans originated during

    [[Page 22]]

    the period of the sequestration, special allowance payments under
    section 438(b) of that Act accruing during the period of the
    sequestration shall be reduced by the uniform percentage specified in
    that sequestration order.''.
    (c) Section 256(c) of BBEDCA <> is repealed.

    (d) Section 256(d) of BBEDCA is amended--
    (1) by redesignating paragraphs (2), (3), and (4) as
    paragraphs (3), (5), and (6);
    (2) by amending paragraph (1) to read as follows:
    ``(1) Calculation of reduction in payment amounts.--
    To <> achieve the total
    percentage reduction in those programs required by section 252
    or 253, subject to paragraph (2), and notwithstanding section
    710 of the Social Security Act, OMB shall determine, and the
    applicable Presidential order under section 254 shall implement,
    the percentage reduction that shall apply, with respect to the
    health insurance programs under title XVIII of the Social
    Security Act--
    ``(A) in the case of parts A and B of such title, to
    individual payments for services furnished during the
    one-year period beginning on the first day of the first
    month beginning after the date the order is issued (or,
    if later, the date specified in paragraph (4)); and
    ``(B) in the case of parts C and D, to monthly
    payments under contracts under such parts for the same
    one-year period;
    such that the reduction made in payments under that order shall
    achieve the required total percentage reduction in those
    payments for that period.''.
    (3) by inserting after paragraph (1) the following:
    ``(2) Uniform reduction rate; maximum permissible
    reduction.--Reductions in payments for programs and activities
    under such title XVIII pursuant to a sequestration order under
    section 254 shall be at a uniform rate, which shall not exceed 4
    percent, across all such programs and activities subject to such
    order.'';
    (4) by inserting after paragraph (3), as redesignated, the
    following:
    ``(4) Timing of subsequent sequestration order.--A
    sequestration order required by section 252 or 253 with respect
    to programs under such title XVIII shall not take effect until
    the first month beginning after the end of the effective period
    of any prior sequestration order with respect to such programs,
    as determined in accordance with paragraph (1).'';
    (5) in paragraph (6), as redesignated, to read as follows:
    ``(6) Sequestration disregarded in computing payment
    amounts.--The Secretary of Health and Human Services shall not
    take into account any reductions in payment amounts which have
    been or may be effected under this part, for purposes of
    computing any adjustments to payment rates under such title
    XVIII, specifically including--
    ``(A) the part C growth percentage under section
    1853(c)(6);
    ``(B) the part D annual growth rate under section
    1860D-2(b)(6); and
    ``(C) application of risk corridors to part D
    payment rates under section 1860D-15(e).''; and

    [[Page 23]]

    (6) by adding after paragraph (6), as redesignated, the
    following:
    ``(7) Exemptions from sequestration.--In addition to the
    programs and activities specified in section 255, the following
    shall be exempt from sequestration under this part:
    ``(A) Part d low-income subsidies.--Premium and
    cost-sharing subsidies under section 1860D-14 of the
    Social Security Act.
    ``(B) Part d catastrophic subsidy.--Payments under
    section 1860D-15(b) and (e)(2)(B) of the Social Security
    Act.
    ``(C) Qualified individual (qi) premiums.--Payments
    to States for coverage of Medicare cost-sharing for
    certain low-income Medicare beneficiaries under section
    1933 of the Social Security Act.''.

    SEC. 11. EXEMPT PROGRAMS AND ACTIVITIES.

    (a) Designations.--Section 255 of <> BBEDCA is
    amended by redesignating subsection (i) as (j) and striking ``1998'' and
    inserting in lieu thereof ``2010''.

    (b) Social Security, Veterans Programs, Net Interest, and Tax
    Credits.--Subsections (a) through (d) of section 255 of BBEDCA are
    amended to read as follows:
    ``(a) Social Security Benefits and Tier I Railroad Retirement
    Benefits.--Benefits payable under the old-age, survivors, and disability
    insurance program established under title II of the Social Security Act
    (42 U.S.C. 401 et seq.), and benefits payable under section 231b(a),
    231b(f)(2), 231c(a), and 231c(f) of title 45 United States Code, shall
    be exempt from reduction under any order issued under this part.
    ``(b) Veterans Programs.--The following programs shall be exempt
    from reduction under any order issued under this part:
    ``All programs administered by the Department of Veterans
    Affairs.
    ``Special Benefits for Certain World War II Veterans (28-
    0401-0-1-701).

    ``(c) Net Interest.--No reduction of payments for net interest (all
    of major functional category 900) shall be made under any order issued
    under this part.
    ``(d) Refundable Income Tax Credits.--Payments to individuals made
    pursuant to provisions of the Internal Revenue Code of 1986 establishing
    refundable tax credits shall be exempt from reduction under any order
    issued under this part.''.
    (c) Other Programs and Activities, Low-income Programs, and Economic
    Recovery Programs.--Subsections (g) and (h) of section 255 of BBEDCA are
    amended to read as follows:
    ``(g) Other Programs and Activities.--
    ``(1)(A) The following budget accounts and activities shall
    be exempt from reduction under any order issued under this part:
    ``Activities resulting from private donations,
    bequests, or voluntary contributions to the Government.
    ``Activities financed by voluntary payments to the
    Government for goods or services to be provided for such
    payments.
    ``Administration of Territories, Northern Mariana
    Islands Covenant grants (14-0412-0-1-808).

    [[Page 24]]

    ``Advances to the Unemployment Trust Fund and Other
    Funds (16-0327-0-1-600).
    ``Black Lung Disability Trust Fund Refinancing (16-
    0329-0-1-601).
    ``Bonneville Power Administration Fund and borrowing
    authority established pursuant to section 13 of Public
    Law 93-454 (1974), as amended (89-4045-0-3-271).
    ``Claims, Judgments, and Relief Acts (20-1895-0-1-
    808).
    ``Compact of Free Association (14-0415-0-1-808).
    ``Compensation of the President (11-0209-01-1-802).
    ``Comptroller of the Currency, Assessment Funds (20-
    8413-0-8-373).
    ``Continuing Fund, Southeastern Power Administration
    (89-5653-0-2-271).
    ``Continuing Fund, Southwestern Power Administration
    (89-5649-0-2-271).
    ``Dual Benefits Payments Account (60-0111-0-1-601).
    ``Emergency Fund, Western Area Power Administration
    (89-5069-0-2-271).
    ``Exchange Stabilization Fund (20-4444-0-3-155).
    ``Farm Credit Administration Operating Expenses Fund
    (78-4131-0-3-351).
    ``Farm Credit System Insurance Corporation, Farm
    Credit Insurance Fund (78-4171-0-3-351).
    ``Federal Deposit Insurance Corporation, Deposit
    Insurance Fund (51-4596-0-4-373).
    ``Federal Deposit Insurance Corporation, FSLIC
    Resolution Fund (51-4065-0-3-373).
    ``Federal Deposit Insurance Corporation, Noninterest
    Bearing Transaction Account Guarantee (51-4458-0-3-373).
    ``Federal Deposit Insurance Corporation, Senior
    Unsecured Debt Guarantee (51-4457-0-3-373).
    ``Federal Home Loan Mortgage Corporation (Freddie
    Mac).
    ``Federal Housing Finance Agency, Administrative
    Expenses (95-5532-0-2-371).
    ``Federal National Mortgage Corporation (Fannie
    Mae).
    ``Federal Payment to the District of Columbia
    Judicial Retirement and Survivors Annuity Fund (20-1713-
    0-1-752).
    ``Federal Payment to the District of Columbia
    Pension Fund (20-1714-0-1-601).
    ``Federal Payments to the Railroad Retirement
    Accounts (60-0113-0-1-601).
    ``Federal Reserve Bank Reimbursement Fund (20-1884-
    0-1-803).
    ``Financial Agent Services (20-1802-0-1-803).
    ``Foreign Military Sales Trust Fund (11-8242-0-7-
    155).
    ``Hazardous Waste Management, Conservation Reserve
    Program (12-4336-0-3-999).
    ``Host Nation Support Fund for Relocation (97-8337-
    0-7-051).
    ``Internal Revenue Collections for Puerto Rico (20-
    5737-0-2-806).

    [[Page 25]]

    ``Intragovernmental funds, including those from
    which the outlays are derived primarily from resources
    paid in from other government accounts, except to the
    extent such funds are augmented by direct appropriations
    for the fiscal year during which an order is in effect.
    ``Medical Facilities Guarantee and Loan Fund (75-
    9931-0-3-551).
    ``National Credit Union Administration, Central
    Liquidity Facility (25-4470-0-3-373).
    ``National Credit Union Administration, Corporate
    Credit Union Share Guarantee Program (25-4476-0-3-376).
    ``National Credit Union Administration, Credit Union
    Homeowners Affordability Relief Program (25-4473-0-3-
    371).
    ``National Credit Union Administration, Credit Union
    Share Insurance Fund (25-4468-0-3-373).
    ``National Credit Union Administration, Credit Union
    System Investment Program (25-4474-0-3-376).
    ``National Credit Union Administration, Operating
    fund (25-4056-0-3-373).
    ``National Credit Union Administration, Share
    Insurance Fund Corporate Debt Guarantee Program (25-
    4469-0-3-376).
    ``National Credit Union Administration, U.S. Central
    Federal Credit Union Capital Program (25-4475-0-3-376).
    ``Office of Thrift Supervision (20-4108-0-3-373).
    ``Panama Canal Commission Compensation Fund (16-
    5155-0-2-602).
    ``Payment of Vietnam and USS Pueblo prisoner-of-war
    claims within the Salaries and Expenses, Foreign Claims
    Settlement account (15-0100-0-1-153).
    ``Payment to Civil Service Retirement and Disability
    Fund (24-0200-0-1-805).
    ``Payment to Department of Defense Medicare-Eligible
    Retiree Health Care Fund (97-0850-0-1-054).
    ``Payment to Judiciary Trust Funds (10-0941-0-1-
    752).
    ``Payment to Military Retirement Fund (97-0040-0-1-
    054).
    ``Payment to the Foreign Service Retirement and
    Disability Fund (19-0540-0-1-153).
    ``Payments to Copyright Owners (03-5175-0-2-376).
    ``Payments to Health Care Trust Funds (75-0580-0-1-
    571).
    ``Payment to Radiation Exposure Compensation Trust
    Fund (15-0333-0-1-054).
    ``Payments to Social Security Trust Funds (28-0404-
    0-1-651).
    ``Payments to the United States Territories, Fiscal
    Assistance (14-0418-0-1-806).
    ``Payments to trust funds from excise taxes or other
    receipts properly creditable to such trust funds.
    ``Payments to widows and heirs of deceased Members
    of Congress (00-0215-0-1-801).
    ``Postal Service Fund (18-4020-0-3-372).

    [[Page 26]]

    ``Radiation Exposure Compensation Trust Fund (15-
    8116-0-1-054).
    ``Reimbursement to Federal Reserve Banks (20-0562-0-
    1-803).
    ``Salaries of Article III judges.
    ``Soldiers and Airmen's Home, payment of claims (84-
    8930-0-7-705).
    ``Tennessee Valley Authority Fund, except nonpower
    programs and activities (64-4110-0-3-999).
    ``Tribal and Indian trust accounts within the
    Department of the Interior which fund prior legal
    obligations of the Government or which are established
    pursuant to Acts of Congress regarding Federal
    management of tribal real property or other fiduciary
    responsibilities, including but not limited to Tribal
    Special Fund (14-5265-0-2-452), Tribal Trust Fund (14-
    8030-0-7-452), White Earth Settlement (14-2204-0-1-452),
    and Indian Water Rights and Habitat Acquisition (14-
    5505-0-2-303).
    ``United Mine Workers of America 1992 Benefit Plan
    (95-8260-0-7-551).
    ``United Mine Workers of America 1993 Benefit Plan
    (95-8535-0-7-551).
    ``United Mine Workers of America Combined Benefit
    Fund (95-8295-0-7-551).
    ``United States Enrichment Corporation Fund (95-
    4054-0-3-271).
    ``Universal Service Fund (27-5183-0-2-376).
    ``Vaccine Injury Compensation (75-0320-0-1-551).
    ``Vaccine Injury Compensation Program Trust Fund
    (20-8175-0-7-551).
    ``(B) The following Federal retirement and disability
    accounts and activities shall be exempt from reduction under any
    order issued under this part:
    ``Black Lung Disability Trust Fund (20-8144-0-7-
    601).
    ``Central Intelligence Agency Retirement and
    Disability System Fund (56-3400-0-1-054).
    ``Civil Service Retirement and Disability Fund (24-
    8135-0-7-602).
    ``Comptrollers general retirement system (05-0107-0-
    1-801).
    ``Contributions to U.S. Park Police annuity
    benefits, Other Permanent Appropriations (14-9924-0-2-
    303).
    ``Court of Appeals for Veterans Claims Retirement
    Fund (95-8290-0-7-705).
    ``Department of Defense Medicare-Eligible Retiree
    Health Care Fund (97-5472-0-2-551).
    ``District of Columbia Federal Pension Fund (20-
    5511-0-2-601).
    ``District of Columbia Judicial Retirement and
    Survivors Annuity Fund (20-8212-0-7-602).
    ``Energy Employees Occupational Illness Compensation
    Fund (16-1523-0-1-053).
    ``Foreign National Employees Separation Pay (97-
    8165-0-7-051).
    ``Foreign Service National Defined Contributions
    Retirement Fund (19-5497-0-2-602).

    [[Page 27]]

    ``Foreign Service National Separation Liability
    Trust Fund (19-8340-0-7-602).
    ``Foreign Service Retirement and Disability Fund
    (19-8186-0-7-602).
    ``Government Payment for Annuitants, Employees
    Health Benefits (24-0206-0-1-551).
    ``Government Payment for Annuitants, Employee Life
    Insurance (24-0500-0-1-602).
    ``Judicial Officers' Retirement Fund (10-8122-0-7-
    602).
    ``Judicial Survivors' Annuities Fund (10-8110-0-7-
    602).
    ``Military Retirement Fund (97-8097-0-7-602).
    ``National Railroad Retirement Investment Trust (60-
    8118-0-7-601).
    ``National Oceanic and Atmospheric Administration
    retirement (13-1450-0-1-306).
    ``Pensions for former Presidents (47-0105-0-1-802).
    ``Postal Service Retiree Health Benefits Fund (24-
    5391-0-2-551).
    ``Public Safety Officer Benefits (15-0403-0-1-754).
    ``Rail Industry Pension Fund (60-8011-0-7-601).
    ``Retired Pay, Coast Guard (70-0602-0-1-403).
    ``Retirement Pay and Medical Benefits for
    Commissioned Officers, Public Health Service (75-0379-0-
    1-551).
    ``Special Benefits for Disabled Coal Miners (16-
    0169-0-1-601).
    ``Special Benefits, Federal Employees' Compensation
    Act (16-1521-0-1-600).
    ``Special Workers Compensation Expenses (16-9971-0-
    7-601).
    ``Tax Court Judges Survivors Annuity Fund (23-8115-
    0-7-602).
    ``United States Court of Federal Claims Judges'
    Retirement Fund (10-8124-0-7-602).
    ``United States Secret Service, DC Annuity (70-0400-
    0-1-751).
    ``Voluntary Separation Incentive Fund (97-8335-0-7-
    051).
    ``(2) Prior legal obligations of the Government in the
    following budget accounts and activities shall be exempt from
    any order issued under this part:
    ``Biomass Energy Development (20-0114-0-1-271).
    ``Check Forgery Insurance Fund (20-4109-0-3-803).
    ``Credit liquidating accounts.
    ``Credit reestimates.
    ``Employees Life Insurance Fund (24-8424-0-8-602).
    ``Federal Aviation Insurance Revolving Fund (69-
    4120-0-3-402).
    ``Federal Crop Insurance Corporation Fund (12-4085-
    0-3-351).
    ``Federal Emergency Management Agency, National
    Flood Insurance Fund (58-4236-0-3-453).
    ``Geothermal resources development fund (89-0206-0-
    1-271).
    ``Low-Rent Public Housing--Loans and Other Expenses
    (86-4098-0-3-604).

    [[Page 28]]

    ``Maritime Administration, War Risk Insurance
    Revolving Fund (69-4302-0-3-403).
    ``Natural Resource Damage Assessment Fund (14-1618-
    0-1-302).
    ``Overseas Private Investment Corporation, Noncredit
    Account (71-4184-0-3-151).
    ``Pension Benefit Guaranty Corporation Fund (16-
    4204-0-3-601).
    ``San Joaquin Restoration Fund (14-5537-0-2-301).
    ``Servicemembers' Group Life Insurance Fund (36-
    4009-0-3-701).
    ``Terrorism Insurance Program (20-0123-0-1-376).

    ``(h) Low-income Programs.--The following programs shall be exempt
    from reduction under any order issued under this part:
    ``Academic Competitiveness/Smart Grant Program (91-0205-0-1-
    502).
    ``Child Care Entitlement to States (75-1550-0-1-609).
    ``Child Enrollment Contingency Fund (75-5551-0-2-551).
    ``Child Nutrition Programs (with the exception of special
    milk programs) (12-3539-0-1-605).
    ``Children's Health Insurance Fund (75-0515-0-1-551).
    ``Commodity Supplemental Food Program (12-3507-0-1-605).
    ``Contingency Fund (75-1522-0-1-609).
    ``Family Support Programs (75-1501-0-1-609).
    ``Federal Pell Grants under section 401 Title IV of the
    Higher Education Act.
    ``Grants to States for Medicaid (75-0512-0-1-551).
    ``Payments for Foster Care and Permanency (75-1545-0-1-609).
    ``Supplemental Nutrition Assistance Program (12-3505-0-1-
    605).
    ``Supplemental Security Income Program (28-0406-0-1-609).
    ``Temporary Assistance for Needy Families (75-1552-0-1-
    609).''.

    (d) Additional Excluded Programs.--Section 255 of <> BBEDCA is amended by adding the following after subsection (h):

    ``(i) Economic Recovery Programs.--The following programs shall be
    exempt from reduction under any order issued under this part:
    ``GSE Preferred Stock Purchase Agreements (20-0125-0-1-371).
    ``Office of Financial Stability (20-0128-0-1-376).
    ``Special Inspector General for the Troubled Asset Relief
    Program (20-0133-0-1-376).

    ``(j) Split Treatment Programs.--Each of the following programs
    shall be exempt from any order under this part to the extent that the
    budgetary resources of such programs are subject to obligation
    limitations in appropriations bills:

    ``Federal-Aid Highways (69-8083-0-7-401).
    ``Highway Traffic Safety Grants (69-8020-0-7-401).
    ``Operations and Research NHTSA and National Driver Register (69-
    8016-0-7-401).
    ``Motor Carrier Safety Operations and Programs (69-8159-0-7-401).
    ``Motor Carrier Safety Grants (69-8158-0-7-401).

    [[Page 29]]

    ``Formula and Bus Grants (69-8350-0-7-401).
    ``Grants-In-Aid for Airports (69-8106-0-7-402).''.

    SEC. 12. <> DETERMINATIONS AND POINTS OF ORDER.

    Nothing in this title shall be construed as limiting the authority
    of the chairmen of the Committees on the Budget of the House and Senate
    under section 312 of the Congressional Budget Act of 1974. CBO may
    consult with the Chairmen of the House and Senate Budget Committees to
    resolve any ambiguities in this title.

    SEC. 13. <> LIMITATION ON CHANGES TO THE SOCIAL
    SECURITY ACT.

    (a) Limitation on Changes to the Social Security Act.--
    Notwithstanding any other provision of law, it shall not be in order in
    the Senate or the House of Representatives to consider any bill or
    resolution pursuant to any expedited procedure to consider the
    recommendations of a Task Force for Responsible Fiscal Action or other
    commission that contains recommendations with respect to the old-age,
    survivors, and disability insurance program established under title II
    of the Social Security Act, or the taxes received under subchapter A of
    chapter 9; the taxes imposed by subchapter E of chapter 1; and the taxes
    collected under section 86 of part II of subchapter B of chapter 1 of
    the Internal Revenue Code.
    (b) 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.
    (c) Appeals.--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.

    TITLE II--ELIMINATION OF DUPLICATIVE AND WASTEFUL SPENDING

    SEC. 21. <> IDENTIFICATION, CONSOLIDATION, AND
    ELIMINATION OF DUPLICATIVE GOVERNMENT PROGRAMS.

    <> The Comptroller
    General of the Government Accountability Office shall conduct routine
    investigations to identify programs, agencies, offices, and initiatives
    with duplicative goals and activities within Departments and
    governmentwide and report annually to Congress on the findings,
    including the cost of such duplication

    [[Page 30]]

    and with recommendations for consolidation and elimination to reduce
    duplication identifying specific rescissions.

    Approved February 12, 2010.

    LEGISLATIVE HISTORY--H.J. Res. 45:
    ---------------------------------------------------------------------------

    CONGRESSIONAL RECORD:
    Vol. 155 (2009):
    Apr. 29, considered and passed House
    pursuant to
    S. Con. Res. 13.
    Vol. 156 (2010):
    Jan. 20-22, 25, 26, 28, considered
    and passed Senate, amended.
    Feb. 4, House concurred in Senate
    amendment.