HR 2560
7-19-11,
House Passed Bill 234-190
112th
CONGRESS
1st Session
H. R. 2560To
cut, cap, and balance the Federal budget.
IN THE HOUSE
OF REPRESENTATIVESJuly 15, 2011
Mr.
CHAFFETZ (for himself, Mr. MULVANEY, Mr. RIBBLE, Mr. JORDAN, Mr. PENCE, Mr. GRAVES
of Georgia, Mr. RIGELL, Mrs. MCMORRIS RODGERS, Mr. HENSARLING, Mr. MCKINLEY, Mr.
STIVERS, Mr. BROOKS, Mr. ROSS of Florida, Mr. CULBERSON, Mr. HUIZENGA of Michigan,
Mr. HUNTER, Mr. LAMBORN, Mrs. MYRICK, Mr. PITTS, Mr. HULTGREN, Mr. BENISHEK, Mr.
WEST, Mr. HARPER, Mrs. BLACKBURN, Ms. JENKINS, Mr. ROKITA, Mr. GOWDY, Mr. WOMACK,
Mr. TIPTON, Mr. SCHWEIKERT, Mr. WALSH of Illinois, Mr. WALBERG, Mr. NUNNELEE,
Mr. STUTZMAN, Mr. FLORES, Mr. BUCSHON, Mr. GIBBS, Mr. FLAKE, Mr. SOUTHERLAND,
Mr. SCOTT of South Carolina, Mr. PRICE of Georgia, Mr. GOODLATTE, Mr. ROSKAM,
Mr. CAMP, Mr. AMASH, Mr. HUELSKAMP, Mrs. HARTZLER, Mr. ROONEY, Mr. REED, Mr. DAVIS
of Kentucky, Mr. RENACCI, Mr. MCCLINTOCK, Mr. BOUSTANY, Mr. WILSON of South Carolina,
Mrs. ELLMERS, Mr. GOSAR, Mr. AKIN, Mr. QUAYLE, Mr. WOODALL, Mr. WEBSTER, Mr. HARRIS,
Mr. LANDRY, Mr. LONG, Mr. NEUGEBAUER, Mr. BISHOP of Utah, Mr. HERGER, Mr. LUETKEMEYER,
Mr. MCCOTTER, Mr. SCHILLING, Ms. GRANGER, Mr. AUSTRIA, Mr. JOHNSON of Ohio, Mr.
BURTON of Indiana, Mr. AUSTIN SCOTT of Georgia, Mr. BACHUS, Mr. GINGREY of Georgia,
Mr. YODER, Mr. LATHAM, Mrs. ADAMS, Mr. FRANKS of Arizona, Mr. PALAZZO, Mr. ISSA,
Mr. NUGENT, Mr. POMPEO, Mrs. BLACK, Mr. GRIFFIN of Arkansas, Mr. GARRETT, and
Mr. KELLY) introduced the following bill; which was referred to the Committee
on the Budget, and in addition to the Committees on Rules and Ways and Means,
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
AN ACTTo cut, cap, and balance
the Federal budget.
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 `Cut, Cap, and Balance
Act of 2011'.
TITLE I--CUT
SEC.
101. MODIFICATION OF THE CONGRESSIONAL BUDGET ACT.
Title III of
the Congressional Budget Act of 1974 is amended by inserting at the end the following:
`SEC.
316. DISCRETIONARY SPENDING LIMITS.
`(a) In General- It shall
not be in order in the House of Representatives or the Senate to consider any
bill, joint resolution, amendment, or conference report that would cause the discretionary
spending limits as set forth in this section to be exceeded.
`(b)
Limits- In this section, the term `discretionary spending limits' means for fiscal
year 2012: for the discretionary category, $1,019,402,000,000 in new budget authority
and $1,224,568,000,000 in outlays.
`(c) Adjustments- After the
reporting of a bill or joint resolution relating to the global war on terrorism
described in subsection (d), or the offering of an amendment thereto or the submission
of a conference report thereon--
`(1) the chair of the House
or Senate Committee on the Budget may adjust the discretionary spending limits
provided in this section for purposes of congressional enforcement, the budgetary
aggregates in the concurrent resolution on the budget most recently adopted by
the Senate and the House of Representatives, 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
`(2) following any adjustment under paragraph (1), the House or 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.
`(d) Global War on Terrorism- If a bill or joint resolution is reported making
appropriations for fiscal year 2012 that provides funding for the global war on
terrorism, the allowable adjustments provided for in subsection (c) for fiscal
year 2012 shall not exceed $126,544,000,000 in budget authority and the outlays
flowing therefrom.
`SEC. 317. CERTAIN DIRECT SPENDING LIMITS.
`(a) In General- It shall not be in order in the House of Representatives or the
Senate to consider any bill, joint resolution, amendment, or conference report
that includes any provision that would cause total direct spending, except as
excluded in subsection (b), to exceed the limits specified in subsection (c).
`(b) Exempt From Direct Spending Limits- Direct spending for the following functions
is exempt from the limits specified in subsection (c):
`(1)
Social Security, function 650.
`(2) Medicare, function
570.
`(3) Veterans Benefits and Services, function 700.
`(4) Net Interest, function 900.
`(c) Limits on Other Direct
Spending- The total combined outlays for all direct spending not exempted in subsection
(b) for fiscal year 2012 shall not exceed $680,730,000,000.'.
SEC.
102. STATUTORY ENFORCEMENT OF SPENDING CAPS THROUGH SEQUESTRATION.
Title III of the Congressional Budget Act of 1974 is amended by inserting after
section 317 the following new section:
`SEC. 318. ENFORCEMENT OF
DISCRETIONARY AND DIRECT SPENDING CAPS.
`(a) Implementation- The
sequesters shall be implemented as follows:
`(1) DISCRETIONARY
SPENDING IMPLEMENTATION- For the discretionary limits in section 316 of the Congressional
Budget Act of 1974, pursuant to section 251(a) of the Balanced Budget and Emergency
Deficit Control Act of 1985 with each category sequestered separately.
`(2) DIRECT SPENDING IMPLEMENTATION- (A) The sequestration to enforce this section
for direct spending shall be implemented pursuant to section 254 of the Balanced
Budget and Emergency Deficit Control Act of 1985.
`(B)
Section 255 of the Balanced Budget and Control Act of 1985 shall not apply to
this section, except that payments for military personnel accounts (within subfunctional
category 051), TRICARE for Life, Medicare (functional category 570), military
retirement, Social Security (functional category 650), veterans (functional category
700), net interest (functional category 900), and discretionary appropriations
shall be exempt.
`(b) Modification of Presidential Order-
`(1) IN GENERAL- At any time after the Director of OMB issues a sequestration
report under subsection (a) and section 319(c) the provisions of section 258A
of the Balanced Budget and Emergency Deficit Control Act of 1985 shall apply to
the consideration in the House of Representatives and the Senate of a bill or
joint resolution to override the order if the bill or joint resolution, as enacted,
would achieve the same level of reductions in new budget authority and outlays
for the applicable fiscal year as set forth in the order.
`(2) POINT OF ORDER- In the House of Representatives or Senate, it shall not be
in order to consider a bill or joint resolution which waives, modifies, or in
any way alters a sequestration order unless the chair of the House or Senate Committee
on the Budget certifies that the measure achieves the same levels of reductions
in new budget authority and outlays for the applicable year as set forth in the
order.'.
TITLE II--CAP
SEC.
201. LIMIT ON TOTAL SPENDING.
(a) Definitions- Section 250(c)
of the Balanced Budget and Emergency Deficit Control Act of 1985 is amended by
striking paragraph (4), redesignating the succeeding paragraphs accordingly, and
adding the following new paragraph:
`(19) The term `GDP',
for any fiscal year, means the gross domestic product during such fiscal year
consistent with Department of Commerce definitions.'.
(b)
Caps- The Congressional Budget Act of 1974 is amended by inserting after section
318 the following new section:
`SEC. 319. ENFORCING GDP OUTLAY
LIMITS.
`(a) Enforcing GDP Outlay Limits- In this section, the
term `GDP outlay limit' means an amount, as estimated by OMB, equal to--
`(1) projected GDP for that fiscal year as estimated by OMB, multiplied by
`(2) 21.7 percent for fiscal year 2013; 20.8 percent for fiscal year 2014; 20.2
percent for fiscal year 2015; 20.1 percent for fiscal year 2016; 19.9 percent
for fiscal year 2017; 19.7 percent for fiscal year 2018; 19.9 percent for fiscal
year 2019; 19.9 percent for fiscal year 2020; and 19.9 percent for fiscal year
2021.
`(b) GDP Outlay Limit and Outlays-
`(1) DETERMINING THE GDP OUTLAY LIMIT- The Office of Management and Budget shall
establish in the President's budget the GDP outlay limit for the budget year.
`(2) TOTAL FEDERAL OUTLAYS- In this section, total Federal outlays shall include
all on-budget and off-budget outlays.
`(c) Sequestration-
The sequestration to enforce this section shall be implemented pursuant to section
254 of the Balanced Budget and Emergency Deficit Control Act of 1985.
`(d) Exempt Programs- Section 255 of the Balanced Budget and Control Act of 1985
shall not apply to this section, except that payments for military personnel accounts
(within subfunctional category 051), TRICARE for Life, Medicare (functional category
570), military retirement, Social Security (functional category 650), veterans
(functional category 700), and net interest (functional category 900) shall be
exempt.'.
SEC. 202. ENFORCEMENT PROCEDURES UNDER THE CONGRESSIONAL
BUDGET ACT OF 1974.
(a) Enforcement- Title III of the Congressional
Budget Act of 1974 is amended by adding after section 319 the following new section:
`SEC.
320. ENFORCEMENT PROCEDURES.
`It shall not be in order in the
House of Representatives or the Senate to consider any bill, joint resolution,
amendment, or conference report that would cause the most recently reported current
GDP outlay limits set forth in section 319 of the Congressional Budget Act of
1974 to be exceeded.'.
(b) Table of Contents- The table of contents
in section 1(b) of the Congressional Budget and Impoundment Control Act of 1974
is amended by inserting after the item relating to section 315 the following new
items:
`Sec. 316. Discretionary spending limits.
`Sec.
317. Certain direct spending limits.
`Sec. 318. Enforcement
of discretionary and direct spending caps.
`Sec. 319.
Enforcing GDP outlay limits.
`Sec. 320. Enforcement procedures.'.
TITLE
III--BALANCE
SEC. 301. REQUIREMENT THAT A BALANCED BUDGET
AMENDMENT BE SUBMITTED TO STATES.
(a) In General- The Secretary
of the Treasury shall not exercise the additional borrowing authority provided
under subsection (b) until the Archivist of the United States transmits to the
States H.J. Res. 1 in the form reported on June 23, 2011, S.J. Res. 10 in the
form introduced on March 31, 2011, or H.J. Res. 56 in the form introduced on April
7, 2011, a balanced budget amendment to the Constitution, or a similar amendment
if it requires that total outlays not exceed total receipts, that contains a spending
limitation as a percentage of GDP, and requires that tax increases be approved
by a two-thirds vote in both Houses of Congress for their ratification.
(b) Amendment to Title 31- Effective on the date the Archivist of the United States
transmits to the States H.J. Res 1 in the form reported, S.J. Res. 10 in the form
introduced, or H.J. Res. 56 in the form introduced, a balanced budget amendment
to the Constitution, or a similar amendment if it requires that total outlays
not exceed total receipts, contains a spending limitation as a percentage of GDP,
and requires tax increases be approved by a two-thirds vote in both Houses of
Congress for their ratification, section 3101(b) of title 31, United States Code,
is amended by striking the dollar limitation contained in such subsection and
inserting $16,700,000,000,000.
END
