§295.302 BCA Sec. 302. Enforcement of budget goal

BCA 2011 (Contents)

Budget Control Act of 2011

Section 302

Title III—Debt Ceiling disapproval process
SEC. 302. ENFORCEMENT OF BUDGET GOAL.

(a) In General.—The Balanced Budget and Emergency Deficit Control Act of 1985 is amended by inserting after section 251 the following new section:[1]

“sec. 251a. enforcement of budget goal.

“Unless a joint committee bill achieving an amount greater than $1,200,000,000,000 in deficit reduction as provided in section 401(b)(3)(B)(i)(II) of the Budget Control Act of 2011 is enacted by January 15, 2012, the discretionary spending limits listed in section 251(c) shall be revised, and discretionary appropriations and direct spending shall be reduced, as follows:

“(1) Revised security category; revised nonsecurity category.—(A) The term ‘revised security category’ means discretionary appropriations in budget function 050.

“(B) The term ‘revised nonsecurity category’ means discretionary appropriations other than in budget function 050.

“(2) Revised discretionary spending limits.—The discretionary spending limits for fiscal years 2013 through 2021 under section 251(c) shall be replaced with the following:

“(A) For fiscal year 2013—

“(i) for the security category, $546,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $501,000,000,000 in budget authority.

“(B) For fiscal year 2014—

“(i) for the security category, $556,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $510,000,000,000 in budget authority.

“(C) For fiscal year 2015—

“(i) for the security category, $566,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $520,000,000,000 in budget authority.

“(D) For fiscal year 2016—

“(i) for the security category, $577,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $530,000,000,000 in budget authority.

“(E) For fiscal year 2017—

“(i) for the security category, $590,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $541,000,000,000 in budget authority.

“(F) For fiscal year 2018—

“(i) for the security category, $603,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $553,000,000,000 in budget authority.

“(G) For fiscal year 2019—

“(i) for the security category, $616,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $566,000,000,000 in budget authority.

“(H) For fiscal year 2020—

“(i) for the security category, $630,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $578,000,000,000 in budget authority.

“(I) For fiscal year 2021—

“(i) for the security category, $644,000,000,000 in budget authority; and

“(ii) for the nonsecurity category, $590,000,000,000 in budget authority.

“(3) Calculation of total deficit reduction.—OMB shall calculate the amount of the deficit reduction required by this section for each of fiscal years 2013 through 2021 by—

“(A) starting with $1,200,000,000,000;

“(B) subtracting the amount of deficit reduction achieved by the enactment of a joint committee bill, as provided in section 401(b)(3)(B)(i)(II) of the Budget Control Act of 2011;

“(C) reducing the difference by 18 percent to account for debt service; and

“(D) dividing the result by 9.

“(4) Allocation to functions.—On January 2, 2013, for fiscal year 2013, and in its sequestration preview report for fiscal years 2014 through 2021 pursuant to section 254(c), OMB shall allocate half of the total reduction calculated pursuant to paragraph (3) for that year to discretionary appropriations and direct spending accounts within function 050 (defense function) and half to accounts in all other functions (nondefense functions).

“(5) Defense function reduction.—OMB shall calculate the reductions to discretionary appropriations and direct spending for each of fiscal years 2013 through 2021 for defense function spending as follows:

“(A) Discretionary.—OMB shall calculate the reduction to discretionary appropriations by—

“(i) taking the total reduction for the defense function allocated for that year under paragraph (4);

“(ii) multiplying by the discretionary spending limit for the revised security category for that year; and

“(iii) dividing by the sum of the discretionary spending limit for the security category and OMB’s baseline estimate of nonexempt outlays for direct spending programs within the defense function for that year.

“(B) Direct spending.—OMB shall calculate the reduction to direct spending by taking the total reduction for the defense function required for that year under paragraph (4) and subtracting the discretionary reduction calculated pursuant to subparagraph (A).

“(6) Nondefense function reduction.—OMB shall calculate the reduction to discretionary appropriations and to direct spending for each of fiscal years 2013 through 2021 for programs in nondefense functions as follows:

“(A) Discretionary.—OMB shall calculate the reduction to discretionary appropriations by—

“(i) taking the total reduction for nondefense functions allocated for that year under paragraph (4);

“(ii) multiplying by the discretionary spending limit for the revised nonsecurity category for that year; and

“(iii) dividing by the sum of the discretionary spending limit for the revised nonsecurity category and OMB’s baseline estimate of nonexempt outlays for direct spending programs in nondefense functions for that year.

“(B) Direct spending.—OMB shall calculate the reduction to direct spending programs by taking the total reduction for nondefense functions required for that year under paragraph (4) and subtracting the discretionary reduction calculated pursuant to subparagraph (A).

“(7) Implementing discretionary reductions.—

“(A) Fiscal year 2013.—On January 2, 2013, for fiscal year 2013, OMB shall calculate and the President shall order a sequestration, effective upon issuance and under the procedures set forth in section 253(f), to reduce each account within the security category or nonsecurity category by a dollar amount calculated by multiplying the baseline level of budgetary resources in that account at that time by a uniform percentage necessary to achieve—

“(i) for the revised security category, an amount equal to the defense function discretionary reduction calculated pursuant to paragraph (5); and

“(ii) for the revised nonsecurity category, an amount equal to the nondefense function discretionary reduction calculated pursuant to paragraph (6).

“(B) Fiscal years 2014–2021.—On the date of the submission of its sequestration preview report for fiscal years 2014 through 2021 pursuant to section 254(c) for each of fiscal years 2014 through 2021, OMB shall reduce the discretionary spending limit—

“(i) for the revised security category by the amount of the defense function discretionary reduction calculated pursuant to paragraph (5); and

“(ii) for the revised nonsecurity category by the amount of the nondefense function discretionary reduction calculated pursuant to paragraph (6).

“(8) Implementing direct spending reductions.—On the date specified in paragraph (4) during each applicable year, OMB shall prepare and the President shall order a sequestration, effective upon issuance, of nonexempt direct spending to achieve the direct spending reduction calculated pursuant to paragraphs (5) and (6). When implementing the sequestration of direct spending pursuant to this paragraph, OMB shall follow the procedures specified in section 6 of the Statutory PayAs-You-Go Act of 2010, the exemptions specified in section 255, and the special rules specified in section 256, except that the percentage reduction for the Medicare programs specified in section 256(d) shall not be more than 2 percent for a fiscal year.

“(9) Adjustment for medicare.—If the percentage reduction for the Medicare programs would exceed 2 percent for a fiscal year in the absence of paragraph (8), OMB shall increase the reduction for all other discretionary appropriations and direct spending under paragraph (6) by a uniform percentage to a level sufficient to achieve the reduction required by paragraph (6) in the non-defense function.

“(10) Implementation of reductions.—Any reductions imposed under this section shall be implemented in accordance with section 256(k).

“(11) Report.—On the dates specified in paragraph (4), OMB shall submit a report to Congress containing information about the calculations required under this section, the adjusted discretionary spending limits, a listing of the reductions required for each nonexempt direct spending account, and any other data and explanations that enhance public understanding of this title and actions taken under it.”.

(b) Conforming Amendment.—The table of contents set forth in section 250(a) of the Balanced Budget and Emergency Deficit Control Act of 1985 is amended by inserting after the item relating to section 251 the following:

“Sec. 251A. Enforcement of budget goal.”.

 

Previous:

Sec. 301 (BCA 2011)

Next:

Sec. 401 (BCA 2011)

COUNSEL NOTES

[1] This section added section 251A to BBEDCA, see §203, supra, and amended  by the Bipartisan Budget Act of 2013. See §296, supra.

Public Law

Budget Control Act of 2011, Pub. L. 112–25, 125 Stat. 240, Aug. 2, 2011, S. 365.

Classification to the U.S. Code

This section is not separately classified to the U.S. Code. 

References
Legislative History Notes
Public Laws

Pub. L. 112–25, §306, 125 Stat. 256. (Budget Control Act of 2011) 

Statutes at Large: Pub. L. 112–25, 125 Stat. 240, August. 2, 2011.

Previous:

Sec. 301 (BCA 2011)

Next:

Sec. 401 (BCA 2011)
[BCD § 295]