To establish a deficit reduction account in the Treasury of the United States, and for other purposes.

October 15, 2003

Mr. TANCREDO introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committee on Rules, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

To establish a deficit reduction account in the Treasury of the United States, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Debt Reduction and Fiscal Responsibility Restoration Act of 2003'.

SEC. 2. ESTABLISHMENT OF DEFICIT REDUCTION ACCOUNT.

(a) IN GENERAL- Subchapter I of chapter 31 of title 31, United States Code, is amended by adding at the end the following new section:

`Sec. 3114. Deficit reduction account

`(a) There is established in the Treasury of the United States an account to be known as the Deficit Reduction Account (hereinafter in this section referred to as the `account').

`(b) The Secretary of the Treasury shall use amounts in the account to pay at maturity, or to redeem or buy before maturity, any obligation of the Government held by the public and included in the public debt. Any obligation which is paid, redeemed, or bought with amounts from the account shall be canceled and retired and may not be reissued. Amounts deposited in the account are appropriated and may only be expended to carry out this section.

`(c) The funds appropriated to this account shall remain available until expended.

`(d) Establishment of and appropriations to the account shall not affect trust fund transfers that may be authorized under any other provision of law.

`(e) The Secretary of the Treasury and the Director of the Office of Management and Budget shall each take such actions as may be necessary to promptly carry out this section in accordance with sound debt management policies.

`(f) Reducing the debt pursuant to this section shall not interfere with the debt management policies or goals of the Secretary of the Treasury.

`(g) The term `obligation of the Government held by the public' refers to the outstanding face amount of any debt obligation issued by the United States Government that is held by an outside investor, including any individual, corporation, State or local government, foreign government, or the Federal Reserve System.'.

(b) CONFORMING AMENDMENT- The chapter analysis for chapter 31 of title 31, United States Code, is amended by inserting after the item relating to section 3113 the following:

`3114. Public debt reduction payment account.'.

SEC. 3. REPORTS TO CONGRESS.

(a) ANNUAL REPORTS OF THE SECRETARY OF THE TREASURY- By November 1 of each calendar year and annually thereafter, the Secretary of the Treasury shall submit a report to each House of Congress setting forth the amounts and dates of deposits into the Deficit Reduction Account under section 3114 of title 31, United States Code, and debt redeemed by the Secretary under such section during the fiscal year ending on October 30 of the calendar year in which such report is submitted. Such report shall also include a description of the Secretary's plan for using the money in such account to reduce debt held by the public.

(b) ANNUAL REPORTS OF THE COMPTROLLER GENERAL OF THE UNITED STATES- By December 15 of each calendar year, the Comptroller General of the United States shall submit a report to each House of Congress verifying all of the information set forth in the most recent report submitted under subsection (a).

SEC. 4. DEFICIT REDUCTION AMENDMENTS TO APPROPRIATION BILLS.

Clause 2 of rule XXI of the Rules of the House of Representatives is amended by adding at the end the following new paragraph:

`(g) During the reading of an appropriation bill for amendment in the Committee of the Whole House on the state of the Union, it shall be in order to consider en bloc amendments proposing only to reduce appropriations among objects in the bill and appropriate an amount not greater than the amount so reduced to the Deficit Reduction Account under section 3114 of title 31, United States Code. When considered en bloc under this paragraph, such amendments may amend portions of the bill not yet read for amendment (following disposition of any points of order against such portions) and is not subject to a demand for division of the question in the House or in the Committee of the Whole.'.

END