[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2560 Placed on Calendar Senate (PCS)]
Calendar No. 106
112th CONGRESS
1st Session
H. R. 2560
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 20 (legislative day, July 19), 2011
Received; read twice and ordered placed on the calendar
_______________________________________________________________________
AN ACT
To 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.
Passed the House of Representatives July 19, 2011.
Attest:
KAREN L. HAAS,
Clerk.
Calendar No. 106
112th CONGRESS
1st Session
H. R. 2560
_______________________________________________________________________
AN ACT
To cut, cap, and balance the Federal budget.
_______________________________________________________________________
July 20 (legislative day, July 19), 2011
Received; read twice and ordered placed on the calendar