[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5747 Introduced in House (IH)]
<DOC>
114th CONGRESS
2d Session
H. R. 5747
To amend title II of the Social Security Act to improve solvency and
stability for future generations.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 13, 2016
Mr. Ribble (for himself, Mr. Cooper, Mr. Rigell, Mrs. Lummis, Mr.
Rokita, and Mr. Benishek) introduced the following bill; which was
referred to the Committee on Ways and Means, and in addition to the
Committees on Rules, and the Budget, 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
_______________________________________________________________________
A BILL
To amend title II of the Social Security Act to improve solvency and
stability for future generations.
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 ``S.O.S. Act of 2016''.
SEC. 2. INCREASE IN CONTRIBUTION AND BENEFIT BASE.
(a) In General.--Section 230 of the Social Security Act (42 U.S.C.
430) is amended--
(1) in subsection (a), by striking ``subsection (b) or
(c)'' and inserting ``this section'';
(2) in subsection (b), by inserting ``with respect to
remuneration paid (and taxable years beginning) in each
calendar year before 2017'' before ``shall (subject to
subsection (c))'';
(3) by redesignating subsection (d) as subsection (f); and
(4) by inserting after subsection (c) the following:
``(d)(1) The amount of such contribution and benefit base with
respect to remuneration paid (and taxable years beginning) in each
calendar year after 2016 shall (subject to subsection (e)) be
determined by the Commissioner (using projections made in advance of
such year by the Chief Actuary of the Social Security Administration
based on the most recent annual report of the Board of Trustees) such
that the percentage of the total earnings for all workers that are
taxable under sections 1401 or 3101 of the Internal Revenue Code of
1986 is equal to 90 percent for each such calendar year.
``(2) In making the determination under paragraph (1), the
Commissioner may enter into agreements with the Secretary of Labor and
the Commissioner of Internal Revenue to share any information necessary
to carry out such paragraph.
``(e) For purposes of this section, and for purposes of determining
wages and self-employment income under sections 209, 211, 213, and 215
of this Act and sections 1402, 3121, 3122, 3125, 6413, and 6654 of the
Internal Revenue Code of 1986, the `contribution and benefit base' with
respect to remuneration paid (and taxable years beginning)--
``(1) in 2017 shall be $156,550;
``(2) in 2018 shall be $194,600;
``(3) in 2019 shall be $232,650;
``(4) in 2020 shall be $270,700; and
``(5) in 2021 shall be $308,750.
For purposes of determining under subsection (b) the `contribution and
benefit base' with respect to remuneration paid (and taxable years
beginning) in 2022 and subsequent years, the dollar amounts specified
in the preceding sentence shall be considered to have resulted from the
application of such subsection (b) and to be the amount determined
(with respect to the years involved) under that subsection.''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply to determinations made with respect to the contribution and
benefit base for calendar years after 2016.
SEC. 3. MODIFICATION OF PRIMARY INSURANCE AMOUNT FORMULA; INCLUSION OF
SURPLUS EARNINGS.
(a) Inclusion of Surplus Average Indexed Monthly Earnings in
Determination of Primary Insurance Amounts.--
(1) In general.--Section 215(a)(1)(A) of the Social
Security Act (42 U.S.C. 415(a)(1)(A)) is amended--
(A) in clauses (i), (ii), and (iii), by inserting
``basic'' before ``average indexed monthly earnings''
each place it appears;
(B) in clause (ii), by striking ``and'' at the end;
(C) in clause (iii), by inserting ``and'' at the
end; and
(D) by inserting after clause (iii) the following:
``(iv) 2.5 percent of the individual's surplus average
indexed monthly earnings.''.
(b) Basic AIME and Surplus AIME.--
(1) Basic aime.--Section 215(b)(1) of such Act (42 U.S.C.
415(b)(1)) is amended--
(A) by inserting ``basic'' before ``average''; and
(B) in subparagraph (A), by striking ``paragraph
(3)'' and inserting ``paragraph (3)(A)'' and by
inserting before the comma the following: ``to the
extent such total does not exceed the amount
established for purposes of this clause by paragraph
(4)''.
(2) Surplus aime.--
(A) In general.--Section 215(b)(1) of such Act (as
amended by paragraph (1)) is amended--
(i) by redesignating subparagraphs (A) and
(B) as clauses (i) and (ii), respectively;
(ii) by inserting ``(A)'' after ``(b)(1)'';
and
(iii) by adding at the end the following
new subparagraph:
``(B)(i) An individual's surplus average indexed monthly earnings
shall be equal to the quotient obtained by dividing--
``(I) the total (after adjustment under paragraph (3)(B))
of such individual's surplus earnings (determined under clause
(ii)) for such individual's benefit computation years
(determined under paragraph (2)), by
``(II) the number of months in those years.
``(ii) For purposes of clause (i) and paragraph (3)(B), an
individual's surplus earnings for a benefit computation year are the
total of such individual's wages paid in and self-employment income
credited to such benefit computation year, to the extent such total
(before adjustment under paragraph (3)(B))--
``(I) exceeds the amount established for purposes of
subparagraph (A)(i) by paragraph (4), and
``(II) does not exceed the contribution and benefit base
for such year.''.
(B) Conforming amendment.--The heading for section
215(b) of such Act is amended by striking ``Average
Indexed Monthly Earnings'' and inserting ``Basic
Average Indexed Monthly Earnings; Surplus Average
Indexed Monthly Earnings''.
(3) Adjustment of surplus earnings for purposes of
determining surplus aime.--Section 215(b)(3) of such Act (42
U.S.C. 415(b)(3)) is amended--
(A) in subparagraph (A), by striking ``subparagraph
(B)'' and inserting ``subparagraph (C)'' and by
inserting ``and determination of basic average indexed
monthly income'' after ``paragraph (2)'';
(B) by redesignating subparagraph (B) as
subparagraph (C); and
(C) by inserting after subparagraph (A) the
following new subparagraph:
``(B) For purposes of determining under paragraph (1)(B) an
individual's surplus average indexed monthly earnings, the individual's
surplus earnings (described in paragraph (2)(B)(ii)) for a benefit
computation year shall be deemed to be equal to the product of--
``(i) the individual's surplus earnings for such year (as
determined without regard to this subparagraph), and
``(ii) the quotient described in subparagraph (A)(ii).''.
(4) Wage indexing in determination of surplus earnings.--
Section 215(b) of such Act (42 U.S.C. 415(b)) is amended--
(A) by redesignating paragraph (4) as paragraph
(5); and
(B) by inserting after paragraph (3) the following:
``(4) The amount established for purposes of paragraph (1)(A)(i)
shall be--
``(A) for individuals who initially become eligible for
old-age or disability insurance benefits, or who die (before
becoming so eligible), in calendar year 2017, $118,500, and
``(B) for individuals who initially become eligible for
old-age or disability insurance benefits, or who die (before
becoming so eligible), in any calendar year after 2017, the
product of $118,500 and the quotient obtained by dividing--
``(i) the national average wage index (as defined
in section 209(k)(1)) for the second calendar year
preceding the calendar year for which the determination
is made, by
``(ii) the national average wage index (as so
defined) for 2015.''.
(c) Reduction of Third Bend Point Factor.--
(1) In general.--Section 215(a)(1)(A)(iii) of the Social
Security Act (42 U.S.C. 415(a)(1)(A)(iii)) is amended by
striking ``15 percent'' and inserting ``5 percent''.
(2) Effective date; application rule.--The amendment made
by paragraph (1) shall apply with respect to computations or
recomputations of primary insurance amounts made on or after
January 1, 2017, except that section 215(a)(1)(A)(iii) of the
Social Security Act shall be applied by making the following
substitutions for ``5 percent'' for computations and
recomputations made in the following calendar years:
(A) for calendar year 2017, by substituting ``13
percent'';
(B) for calendar year 2018, by substituting ``11
percent'';
(C) for calendar year 2019, by substituting ``9
percent''; and
(D) for calendar year 2020, by substituting ``7
percent''.
(d) Effective Date.--The amendments made by this section shall
apply with respect to individuals who initially become eligible for
old-age or disability insurance benefits under title II of the Social
Security Act, or who die (before becoming eligible for such benefits),
in any calendar year after 2016.
SEC. 4. INCREASE IN RETIREMENT AGE.
(a) In General.--Section 216(l) of the Social Security Act (42
U.S.C. 416(l)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (D), by striking ``and'' at the
end;
(B) in subparagraph (E), by striking ``, 67 years
of age.'' and inserting ``and before January 1, 2023,
67 years of age;''; and
(C) by adding at the end the following:
``(F) with respect to an individual who attains early
retirement age after December 31, 2022, and before January 1,
2035, 67 years of age plus the number of months in the age
increase factor (as determined under paragraph (3)) for the
calendar year in which such individual attains early retirement
age;
``(G) with respect to an individual who attains early
retirement age in any calendar year after 2034, the longevity
indexed retirement age applicable for individuals who attain
early retirement age in such calendar year (as determined under
paragraph (4)).''; and
(2) in paragraph (3)--
(A) by striking ``subparagraph (B) or (D)'' and
inserting ``subparagraph (B), (D), or (F)''; and
(B) by adding at the end the following:
``(C) With respect to an individual who attains early
retirement age in the 12-year period consisting of the calendar
years 2023 through 2034, the age increase factor shall be equal
to two-twelfths of the number of months in the period beginning
with January 2023 and ending with December of the year in which
the individual attains early retirement age.'';
(3) by adding at the end the following:
``(4)(A) The longevity indexed retirement age applicable
for individuals who attain early retirement age in a calendar
year after 2034 is--
``(i) in the case of calendar years 2035 through
2044, 69 years of age plus one twenty-fourth of the
number of months in the period beginning with January
2035 and ending with December of the year in which the
individual attains early retirement age, rounded down
to the nearest month; and
``(ii) in the case of a calendar year after 2044,
the appropriate number of years of age (including any
fraction rounded to the nearest month) determined by
the Commissioner such that the ratio of--
``(I) the number of months by which the
average number of years (including any fraction
rounded to the nearest month) in life
expectancy for an individual attaining early
retirement age in such calendar year (as
determined under subparagraph (C)) exceeds such
appropriate number of years of age, to
``(II) the number of months by which such
appropriate number of years of age exceeds 20
years of age,
is equal to the baseline retirement-to-employment ratio
(described in subparagraph (B)).
``(B) For purposes of subparagraph (A), the baseline
retirement-to-employment ratio is equal to the ratio of--
``(i) the number of months by which the average
number of years (including any fraction rounded to the
nearest month) in life expectancy for an individual
attaining early retirement age in 2044 (as determined
under subparagraph (C)) exceeds 69 years of age and 5
months, to
``(ii) 49 years of age and 5 months.
``(C) At the beginning of each 10-year period beginning
with the 10-year period that begins on January 1, 2044, the
Commissioner of Social Security shall determine (using
generally accepted actuarial principles and based on the
intermediate assumptions in the most recent Trustees Report and
such other data as the Commissioner determines appropriate) and
publish in the Federal Register--
``(i) an estimate of the average number of years
(including any fraction rounded to the nearest month)
in life expectancy for an individual attaining early
retirement age in each year of such 10-year period; and
``(ii) the longevity indexed retirement age
applicable for individuals who attain early retirement
age in each year (after 2044) of such 10-year period
(as determined under subparagraph (A)).''.
(b) Extension of Maximum Age for Entitlement to Delayed Retirement
Credit.--Section 202(w)(2)(A) of such Act (42 U.S.C. 402(w)(2)(A)) is
amended--
(1) by striking ``prior to the month in which such
individual attained age 70, and'' and inserting ``prior to the
later of--''; and
(2) by adding at the end the following:
``(i) the month in which such individual would
attain age 70, or
``(ii) the month which ends 36 months after the end
of the month in which such individual attained
retirement age (as defined in section 216(l)), and''.
(c) Extension of Maximum Age for Voluntary Suspension of
Benefits.--Section 202(z)(1)(A)(ii) of such Act (42 U.S.C.
402(z)(1)(A)(ii)) is amended by striking ``the month in which the
individual attains the age of 70'' and inserting ``the later of the
month in which the individual attains the age of 70 or the month which
ends 36 months after the end of the month in which such individual
attained retirement age (as defined in section 216(l))''.
SEC. 5. COST-OF-LIVING ADJUSTMENTS.
(a) Change in Consumer Price Index.--
(1) Computation of cost-of-living adjustments.--Section
215(i)(1) of the Social Security Act (42 U.S.C. 415(i)(1)) is
amended--
(A) in subparagraph (G), by striking the period at
the end and inserting ``; and''; and
(B) by adding at the end the following new
subparagraph:
``(H) the term `Consumer Price Index' means the Chained
Consumer Price Index for all Urban Consumers (C-CPI-U,
published by the Bureau of Labor Statistics of the Department
of Labor).''.
(2) Conforming amendment.--Section 215(i)(4) of such Act
(42 U.S.C. 415(i)(4)) is amended by inserting ``and by section
4 of the S.O.S. Act of 2016'' after ``1986''.
(3) Application to pre-1979 law.--Section 215(i)(1) of the
Social Security Act, as in effect in December 1978 and as
applied in certain cases under the provisions of such Act as in
effect after December 1978, is amended--
(A) in subparagraph (B), by striking ``and'' at the
end;
(B) in subparagraph (C), by striking the period at
the end and inserting ``; and''; and
(C) by adding at the end the following new
subparagraph:
``(D) the term `Consumer Price Index' means the Chained
Consumer Price Index for all Urban Consumers (C-CPI-U,
published by the Bureau of Labor Statistics of the Department
of Labor).''.
(b) No Effect on Adjustments Under Other Laws.--Section 215(i) of
such Act (42 U.S.C. 415(i)), as amended by subsection (b), is further
amended by adding at the end the following new paragraph:
``(7) Any provision of law (other than in this title) which
provides for adjustment of an amount based on a change in benefit
amounts resulting from a determination made under this subsection shall
be applied and administered without regard to the amendments made by
section 4 of the S.O.S. Act of 2016.''.
(c) Effective Date.--The amendments made by this section shall
apply to determinations made with respect to cost-of-living computation
quarters ending on or after September 30, 2017.
SEC. 6. MINIMUM SOCIAL SECURITY BENEFIT.
(a) In General.--Section 215 of the Social Security Act (42 U.S.C.
415) is amended by adding at the end the following:
``Minimum Monthly Insurance Benefit
``(j)(1) Notwithstanding the preceding provisions of this section--
``(A) subject to paragraphs (4), (8), and (9), the primary
insurance amount of any individual who is credited with greater
than 10 years of coverage and who initially becomes eligible
for old-age or disability insurance benefits or dies (before
becoming eligible for such benefits) for a month beginning
after December 31, 2016 (in this subsection referred to as a
`qualified individual'), shall be equal to the greater of--
``(i) the primary insurance amount determined under
this section (without regard to this subsection), or
``(ii) the minimum monthly insurance benefit
determined under paragraph (2), and
``(B) any recomputation of the primary insurance amount of
a qualified individual shall not result in a primary insurance
amount less than the primary insurance amount as in effect
immediately prior to such recomputation.
``(2) For purposes of this subsection, the term `minimum monthly
insurance benefit' means \1/12\ of the applicable percentage of the
adjusted minimum benefit level (as defined in paragraph (6)).
``(3) For purposes of this subsection, subject to paragraph (4),
the applicable percentage shall be equal to--
``(A) for a qualified individual who has 20 years of
coverage or less, 100 percent reduced by 10 percentage points
for each year of coverage less than 20;
``(B) for a qualified individual who has more than 20 years
of coverage but less than 40 years of coverage, 125 percent
reduced by 1.25 percentage points for each year of coverage
less than 40; and
``(C) for a qualified individual who has 40 years of
coverage or greater, 125 percent.
``(4)(A) In the case of an individual who initially becomes
eligible for disability insurance benefits under section 223 before
attaining age 62, or who dies before attaining age 62, in a month
beginning after December 31, 2016, and who is credited with at least 5
years of coverage, the individual shall be treated as a qualified
individual and the applicable percentage shall be 125 reduced by the
number of percentage points determined under subparagraph (B) for each
year of coverage of the qualified individual less than the number as
determined under subparagraph (C).
``(B) The number of percentage points under this subparagraph shall
be determined by--
``(i) dividing the number of the qualifying individual's
elapsed years (as defined in subsection (b)(2)(B)(iii)) by 40;
``(ii) multiplying the result under clause (i) by 20; and
``(iii) dividing 125 by the result under clause (ii) and
rounding to the nearest one hundredth of 1 percentage point.
``(C) The number of years of coverage under this subparagraph shall
be determined by multiplying the ratio determined under subparagraph
(B)(i) by 30 and rounding to the next lower whole number.
``(5) For purposes of this subsection, a year of coverage is a
calendar year for which an individual is credited with 4 quarters of
coverage.
``(6) For purposes of this subsection--
``(A) for individuals who initially become eligible for
old-age or disability insurance benefits or die (before
becoming eligible for such benefits) in either 2017 or 2018,
the term `adjusted minimum benefit level' means the product
of--
``(i) the weighted average of the Federal poverty
threshold applicable to a family of 1 for the year
before such year (as determined by the Bureau of the
Census); and
``(ii) the applicable phase-in factor for such
calendar year (as determined under paragraph (7)); and
``(B) for individuals who initially become eligible for
old-age or disability insurance benefits or die (before
becoming eligible for such benefits) in a year after 2018, the
term `adjusted minimum benefit level' means the product of--
``(i) the amount determined under subparagraph (A)
for calendar year 2018, multiplied by the quotient
described in subsection (b)(3)(A)(ii), except that the
reference to `the computation base year for which the
determination is made' in such subsection shall be
deemed instead to be a reference to `2016'; and
``(ii) the applicable phase-in factor for such
calendar year (as determined under paragraph (7)).
``(7) For purposes of paragraph (6), the applicable phase-in factor
shall be equal to--
``(A) for calendar year 2017, 40 percent;
``(B) for each calendar year during the period between 2018
through 2022, the applicable phase-in factor under this
paragraph for the preceding year increased by 10 percentage
points; and
``(C) for calendar year 2023 and each succeeding year, 100
percent.
``(8) The amount of the minimum monthly insurance benefit of any
individual under this subsection shall be reduced (but not below zero)
by an amount equal to any periodic benefit payable to such individual
for such month under a pension, annuity, retirement, or similar fund or
system which is based upon such individual's earnings for any service
described in paragraphs (1) through (21) of section 210(a).
``(9) The provisions of this subsection shall not apply in the case
of an individual--
``(A) whose primary insurance amount would otherwise be
computed under subsection (a)(7); or
``(B) whose wife's insurance benefit or husband's insurance
benefit under subsection (b) or (c) of section 202 is
determined pursuant to subsection (b)(2)(A)(i)(II) or
(c)(2)(A)(i)(II) of such section.''.
(b) Conforming Amendment.--Section 202(a) of such Act (42 U.S.C.
402(a)) is amended in the last sentence by striking ``section 215(a)''
and inserting ``section 215''.
SEC. 7. ESTABLISHMENT OF AN INCREASED BENEFIT FOR BENEFICIARIES ON
ACCOUNT OF LONG-TERM ELIGIBILITY.
(a) In General.--Section 202 of the Social Security Act (42 U.S.C.
402) is amended by adding at the end the following:
``(z) Increase in Benefit Amounts on Account of Long-Term
Eligibility.--(1) In the case of an individual who is a qualified
beneficiary for a calendar year after 2016, the amount of any monthly
insurance benefit of such qualified beneficiary under this section or
section 223 for any month in such calendar year shall be increased in
accordance with paragraph (3).
``(2)(A) For purposes of this subsection, the term `qualified
beneficiary' for a calendar year means an individual in any case in
which such calendar year begins at least 20 years after the applicable
date of eligibility for such individual.
``(B) For purposes of this subsection, the applicable date of
eligibility for an individual is the date on which the individual
initially became eligible for monthly insurance benefits under
subsection (a) or section 223.
``(3)(A) The increase required under paragraph (1) with respect to
the monthly insurance benefit of an individual who is a qualified
beneficiary for a calendar year shall be equal to the applicable
percentage (specified for such benefit in subparagraph (B)) of the full
increase amount for such calendar year (determined under subparagraph
(C)).
``(B) The applicable percentage specified for a monthly insurance
benefit under this subparagraph for a calendar year is the percentage
specified, in connection with the number of years ending after the
applicable date of eligibility for such individual and before such
calendar year, in the following table:
``If the number of years is: The applicable percentage is:
20................................... 20 percent
21................................... 40 percent
22................................... 60 percent
23................................... 80 percent
24 or more........................... 100 percent.
``(C)(i) Except as provided in clauses (ii) and (iii), the full
increase amount determined under this subparagraph for a calendar year
in connection with the monthly insurance benefit of a qualified
beneficiary is a dollar amount equal to 5 percent of the amount of the
old-age insurance benefit that would apply to a hypothetical individual
if--
``(I) on January 1 of the calendar year in which occurred
the applicable eligibility date with respect to such
individual, such hypothetical individual were fully insured,
attained retirement age (as defined in section 216(l)(2)) and
were otherwise eligible for, and applied for, old-age insurance
benefits; and
``(II) such hypothetical individual had earnings equal to
the national average wage index (as described in section
209(k)(1)) for each year beginning with the year in which the
individual attained the age of 22 through the year in which the
individual attained the age of 62.
``(ii)(I) In the case of a monthly insurance benefit under
subsection (b) or (c), the full increase amount determined under this
subparagraph shall be one-half the amount determined under clause (i).
``(II) In the case of a monthly insurance benefit under subsection
(d), (g), or (h), the full increase amount determined under this
subparagraph shall be the percentage of the amount determined under
clause (i) equal to the ratio which the amount of such benefit bears to
the primary insurance amount (before the application of section 203(a))
of the individual on whose wages and self-employment income the monthly
insurance benefit is based.
``(4) In the case of a qualified beneficiary who is entitled to two
or more monthly insurance benefits under this title for the same
month--
``(A) the earliest applicable date of eligibility for such
beneficiary with respect to such benefits shall be treated as
the applicable date of eligibility for such beneficiary for the
purposes of this subsection; and
``(B) such beneficiary shall be entitled to an increase
with respect only to one such benefit.
``(5) This subsection shall be applied to monthly insurance
benefits after any increase under subsection (w) and any applicable
reductions and deductions under this title.
``(6) For purposes of this subsection, in the case of any
individual who would otherwise have attained the status of a qualified
beneficiary prior to January 1, 2017, such individual shall be treated
as having attained such status on such date.''.
(b) Effective Date.--The amendments made by this section shall
apply to benefits payable for months beginning after December 31, 2016.
SEC. 8. INCREASE IN BENEFIT COMPUTATION YEARS.
(a) In General.--Section 215(b)(2) of the Social Security Act (42
U.S.C. 415(b)(2)(A)(I)) is amended--
(1) in subparagraph (A)(i), by striking ``5 years'' and
inserting ``the applicable number of years specified in
subparagraph (C)(i)'';
(2) in subparagraph (A)(ii)--
(A) by striking ``one-fifth'' and inserting ``the
applicable fraction specified in subparagraph
(C)(ii)'';
(B) by striking ``5 years.'' and inserting ``the
applicable number of years specified in subparagraph
(C)(i).''; and
(3) by adding at the end of paragraph (2) the following new
subparagraph:
``(C)(i) For purposes of clauses (i) and (ii) of subparagraph (A),
the applicable number of years is the number of years set forth in the
following table:
``If the calendar year in which the The applicable number of years is:
individual becomes eligible
for the benefit involved,
or dies (before becoming
eligible for such benefit)
is:
Before 2017........................................ 5
2017............................................... 4
2018............................................... 3
After 2018......................................... 2.
``(ii) For purposes of clause (ii) of subparagraph (A), the
applicable fraction is the fraction set forth in the following table:
``If the calendar year in which the The applicable fraction is:
individual becomes eligible
for disability insurance
benefits is:
Before 2017........................................ 1/5
2017............................................... 1/6
2018............................................... 1/8
After 2018......................................... 1/12.''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply with respect to individuals who become eligible for monthly
insurance benefits (or who die before becoming so eligible) in any
calendar year after 2016.
SEC. 9. PROTECTION OF SOCIAL SECURITY TRUST FUNDS.
(a) Protection of Social Security.--Title III of the Congressional
Budget Act of 1974 is amended by adding at the end the following new
section:
``lock-box for social security
``Sec. 316. (a) Lock-Box for Social Security.--
``(1) Concurrent resolutions on the budget.--
``(A) In general.--It shall not be in order in the
House of Representatives or the Senate to consider any
concurrent resolution on the budget, or an amendment
thereto or conference report thereon, that would set
forth totals for any fiscal year with respect to the
Social Security Trust Funds that are less than the
totals of the Social Security Trust Funds for that
fiscal year as calculated in accordance with a current
services baseline.
``(B) Exception.--(i) Subparagraph (A) shall not
apply to the extent that a violation of such
subparagraph would result from an assumption in the
resolution, amendment, or conference report, as
applicable, of an increase in outlays or a decrease in
revenues and disbursements relative to the baseline
underlying that resolution for social security reform
legislation for any such fiscal year.
``(ii) If a concurrent resolution on the budget, or
an amendment thereto or conference report thereon,
would be in violation of subparagraph (A) because of an
assumption of an increase in outlays or a decrease in
revenue relative to the baseline underlying that
resolution for social security reform legislation for
any such fiscal year, then that resolution shall
include a statement identifying any such increase in
outlays or decrease in revenues and disbursements.
``(2) Spending and tax legislation.--
``(A) In general.--It shall not be in order in the
House of Representatives or the Senate to consider any
bill, joint resolution, amendment, motion, or
conference report if--
``(i) the enactment of that bill or
resolution, as reported;
``(ii) the adoption and enactment of that
amendment; or
``(iii) the enactment of that bill or
resolution in the form recommended in that
conference report,
would cause the totals for any fiscal year covered by
the most recently agreed to concurrent resolution on
the budget with respect to the Social Security Trust
Funds to be less than the totals of the Social Security
Trust Funds for that fiscal year as calculated in
accordance with the current services baseline.
``(B) Exception.--Subparagraph (A) shall not apply
to social security reform legislation.
``(b) Enforcement.--For purposes of enforcing any point of order
under subsection (a), the totals of the Social Security Trust Funds for
a fiscal year shall be the levels set forth in the later of the report
accompanying the concurrent resolution on the budget (or, in the
absence of such a report, placed in the Congressional Record prior to
the consideration of such resolution) or in the joint explanatory
statement of managers accompanying such resolution.
``(c) Additional Content of Reports Accompanying Budget Resolutions
and of Joint Explanatory Statements.--The report accompanying any
concurrent resolution on the budget and the joint explanatory statement
accompanying the conference report on each such resolution shall
include the levels of the totals in the budget for each fiscal year set
forth in such resolution and of the revenues and disbursements in the
Social Security Trust Funds.
``(d) Definitions.--As used in this section, the term `social
security reform legislation' means a bill or a joint resolution to save
social security that includes a provision stating the following: `For
purposes of section 316(a) of the Congressional Budget Act of 1974,
this Act constitutes social security reform legislation.'.
``(e) Waiver and Appeal.--Subsection (a) 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 in
the Senate to sustain an appeal of the ruling of the Chair on a point
of order raised under this section.
``(f) Effective Date.--This section shall cease to have any force
or effect upon the enactment of social security reform legislation.''.
(b) President's Budget.--
(1) Protection of social security.--If the budget of the
United States Government submitted by the President under
section 1105(a) of title 31, United States Code, recommends
totals for any fiscal year with respect to the Social Security
Trust Funds that are less than the totals of the Social
Security Trust Funds for that fiscal year as calculated in
accordance with current services baseline, then it shall
include a detailed proposal for social security reform
legislation.
(2) Effective date.--Subsection (a) shall cease to have any
force or effect upon the enactment of social security reform
legislation as defined by section 316(d) of the Congressional
Budget Act of 1974.
(c) Conforming Amendment.--The table of contents set forth in
section 1(b) of the Congressional Budget and Impoundment Control Act of
1974 is amended by adding after the item for section 315 the following:
``Sec. 316. Lock-box for social security.''.
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