CBA (Contents)

Congressional Budget Act of 1974

Section 314

TITLE III – CONGRESSIONAL BUDGET PROCESS
adjustments

Sec. 314. (a) Adjustments.—After the reporting of a bill or joint resolution or the offering of an amendment thereto or the submission of a conference report thereon, the chairman of the Committee on the Budget of the House of Representatives or the Senate may make appropriate budgetary adjustments of new budget authority and the outlays flowing therefrom in the same amount as required by section 251(b) of the Balanced Budget and Emergency Deficit Control Act of 1985.

(b) Application of Adjustments.—The adjustments made pursuant to subsection (a) for legislation shall—

(1) apply while that legislation is under consideration;

(2) take effect upon the enactment of that legislation; and

(3) be published in the Congressional Record as soon as practicable.

(c) Reporting Revised Suballocations.—Following any adjustment made under subsection (a), the Committees on Appropriations of the Senate and the House of Representatives may report appropriately revised suballocations under section 302(b)[1] to carry out this section.

(d) Emergencies in the House of Representatives.—(1) In the House of Representatives, if a reported bill or joint resolution, or amendment thereto or conference report thereon, contains a provision providing new budget authority and outlays or reducing revenue, and a designation of such provision as an emergency requirement pursuant to 251(b)(2)(A) of the Balanced Budget and Emergency Deficit Control Act of 1985,[2] the chair of the Committee on the Budget of the House of Representatives shall not count the budgetary effects of such provision for purposes of title III and title IV of the Congressional Budget Act of 1974 and the Rules of the House of Representatives.

(2)(A) In the House of Representatives, a proposal to strike a designation under paragraph (1) shall be excluded from an evaluation of budgetary effects for purposes of this title and title IV and the Rules of the House of Representatives.

(B) An amendment offered under subparagraph (A) that also proposes to reduce each amount appropriated or otherwise made available by the pending measure that is not required to be appropriated or otherwise made available shall be in order at any point in the reading of the pending measure.

(e) Senate Point of Order Against an Emergency Designation.—

(1) In general.—When the Senate is considering a bill, resolution, amendment, motion, amendment between the Houses, or conference report, if a point of order is made by a Senator against an emergency designation in that measure, that provision making such a designation shall be stricken from the measure and may not be offered as an amendment from the floor.

(2) Supermajority waiver and appeals.

(A) Waiver.—Paragraph (1) may be waived or suspended in the Senate only by an affirmative vote of three-fifths of the Members, duly chosen and sworn.

(B) Appeals.—Appeals in the Senate from the decisions of the Chair relating to any provision of this subsection shall be limited to 1 hour, to be equally divided between, and controlled by, the appellant and the manager of the bill or joint resolution, as the case may be. An affirmative vote of three-fifths of the Members of the Senate, duly chosen and sworn, shall be required to sustain an appeal of the ruling of the Chair on a point of order raised under this subsection.(3) Definition of an emergency designa­tion.—For purposes of paragraph (1), a provision shall be considered an emergency designation if it designates any item pursuant to section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985.[3]

(4) Form of the point of order.—A point of order under paragraph (1) may be raised by a Senator as provided in section 313(e) of the Congressional Budget Act of 1974.

(5) Conference reports.—When the Senate is considering a conference report on, or an amendment between the Houses in relation to, a bill, upon a point of order being made by any Senator pursuant to this section, and such point of order being sustained, such material contained in such conference report shall be deemed stricken, and the Senate shall proceed to consider the question of whether the Senate shall recede from its amendment and concur with a further amendment, or concur in the House amendment with a further amendment, as the case may be, which further amendment shall consist of only that portion of the conference report or House amendment, as the case may be, not so stricken. Any such motion in the Senate shall be debatable. In any case in which such point of order is sustained against a conference report (or Senate amendment derived from such conference report by operation of this subsection), no further amendment shall be in order.

(f) Enforcement of Discretionary Spending Caps.—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 that would cause the discretionary spending limits as set forth in section 251 of the Balanced Budget and Emergency Deficit Control Act to be exceeded.

(g) Adjustment for Reemployment Services and Eligibility Assessments.—

(1) In general.—

(A) Adjustments.—If the Committee on Appropriations of either House reports an appropriation measure for any of fiscal years 2022 through 2027 that provides budget authority for grants under section 306 of the Social Security Act [42 U.S.C. 506], or if a conference committee submits a conference report thereon, the chairman of the Committee on the Budget of the House of Representatives or the Senate shall make the adjustments referred to in subparagraph (B) to reflect the additional new budget authority provided for such grants in that measure or conference report and the outlays resulting therefrom, consistent with subparagraph (D).

(B) Types of adjustments.—The adjustments referred to in this subparagraph consist of adjustments to

(i) the discretionary spending limits for that fiscal year as set forth in the most recently adopted concurrent resolution on the budget;

(ii) the allocations to the Committees on Appropriations of the Senate and the House of Representatives for that fiscal year under section 302(a) of this title; and

(iii) the appropriate budget aggregates for that fiscal year in the most recently adopted concurrent resolution on the budget.

(C) Enforcement.—The adjusted discretionary spending limits, allocations, and aggregates under this paragraph shall be considered the appropriate limits, allocations, and aggregates for purposes of congressional enforcement of this Act and concurrent budget resolutions under this Act.

(D) Limitation.—No adjustment may be made under this subsection in excess of

(i) for fiscal year 2022, $133,000,000;

(ii) for fiscal year 2023, $258,000,000;

(iii) for fiscal year 2024, $433,000,000;

(iv) for fiscal year 2025, $533,000,000;

(v) for fiscal year 2026, $608,000,000; and

(vi) for fiscal year 2027, $633,000,000.

(E) Definition.—As used in this subsection, the term “additional new budget authority” means the amount provided for a fiscal year, in excess of $117,000,000, in an appropriation measure or conference report (as the case may be) and specified to pay for grants to States under section 306 of the Social Security Act [42 U.S.C. 506].

(2) Report on 302(b) level.—Following any adjustment made under paragraph (1), the Committees on Appropriations of the Senate and the House of Representatives may report appropriately revised suballocations pursuant to section 302(b)  to carry out this subsection.

 

 

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COUNSEL NOTES
Codification

This section is classified to the U.S. Code at 2 U.S.C. 645.

Endnotes

[1] See BCR entry for section 302(b) allocations for more information.

[2] The reference, missing the term “section” is in the original, is section 251(b)(2)(A) of BBEDCA. See §§103, 201, and 202, infra. It reads as follows:

“(A) Emergency Appropriations; Overseas Contingency Op­erations/Global War on Terrorism.—If, for any fiscal year, appropriations for discretionary accounts are enacted that—

“(i) the Congress designates as emergency requirements in statute on an account by account basis and the President subsequently so designates, or

“(ii) the Congress designates for Overseas Contingency Opera­tions/Global War on Terrorism in statute on an account by account basis and the President subsequently so designates, the adjustment shall be the total of such appropriations in discretionary accounts designated as emergency requirements or for Overseas Contingency Operations/Global War on Terrorism, as applicable.”

The designation under section 251(b)(2)(A) of BBEDCA is intended to apply to amounts provided in Appropriation acts. Section 314, however, does not confine the budgetary treatment to amounts of discretionary budget authority and outlays. It also extends the exemption from budgetary control to changes in revenue. Hence, designated direct spending and revenue are considered “emergency” if they are included in an appropriations Act.

Under clause 10 of rule XXI, an amount of direct spending may be exempt from the “Cutgo” point of order found in that clause, but otherwise direct spending, in particular for purposes of enforcing the Congressional Budget Act of 1974, does not have a separate emergency designation for it.

[3] Section 251(b)(2)(A)(i) of the Balanced Budget and Emergency Deficit Control Act of 1985 (BBEDCA) sets out the emergency designation. Section 250(c) of that Act sets forth a definition of the term. See at §201 and §202, infra. Section 3(11) defines the terms “unanticipated” and “emergency” (see §103, supra) by referring to section 250(c) of BBEDCA.

Explanatory Material

Section 314 – Adjustments (Changes in Existing Law Made by the  Bipartisan Budget Act of 2013)

Section 314 – Adjustments (Changes in Existing Law Made by the Temporary Tax Extension

Section 314 – Adjustments (Changes in Existing Law Made by the Budget Control Act of 2011

Section 314, as originally enacted by the Budget Enforcement Act of 1997. See also section Section 10114. Adjustments from the BEA 1997

Explanatory Statement of Managers of the Conference Committee
(H. Conf. Rept. 105-217)

15. Addition of a new section ‘314’ of the Congressional Budget Act.

House Bill (Section 11113)

Adds a new section 314 to the Budget Act containing some of the elements in the now-eliminated title VI. Most importantly, section 314 provides a procedure for adjusting the appropriate budget resolution levels for certain legislation for which similar adjustments are provided in the statutory discretionary spending levels under section 11203 of this title. The adjustments are for continuing disability reviews, the IMF, arrearages and emergencies.

In a change from current law, the appropriate spending levels are adjusted for legislation designating funding for emergencies instead of the previous practice of simply not counting such spending against the budget resolution’s levels.

In another change in allocation procedures for the House, the adjustments are made only for the consideration of the relevant legislation and do not become permanent until the legislation is actually enacted.

Senate Amendment (Section 1611)

The Senate amendment is the same as the House language with slight modifications.

Conference Agreement (Section 10114)

The Conference agreement reflects the House bill with modifications. The conference agreement provides for a process for the Budget Committee Chairman to make adjustments to levels set forth in or pursuant to a budget resolution for emergency legislation, continuing disability reviews, an IMF allowance, an allowance for international arrearages, and earned income tax credit compliance. The purpose of these adjustments is to ensure that budgetary limits, are only adjusted for the legislation that meets the specific criteria spelled out in this section. This section sets out a process regarding discretionary spending limits that is similar to the process in section 251 of GRH.

Subsection (a)(1) provides the general authority for the Budget Committee Chairman to make adjustments for legislation. Subsection (a)(2) provides the Chairman with the authority to revise the levels set forth by or pursuant to a budget resolution. Subsection (b) provides the criteria for legislation that qualified for the adjustments. A bill, resolution, amendment or conference report must meet the specific terms spelled out in one of these paragraphs before the Chairman can make any adjustments pursuant to this section. Subsection (c) provides that the adjustments only apply while the legislation is under consideration and only take final effect upon the legislation’s enactment. The conferees intend that the adjustments only apply while the legislation that meets the terms of one of the paragraphs of subsection (b) is under consideration. In subsection (c), the reference to ‘legislation’ means a bill, joint resolution, amendment, motion or conference report. It is the Chairman’s responsibility to ensure these adjustments are only available for legislation that meets the terms of subsection (b). This could necessitate that the Chairman reverse the adjustments, particularly the aggregates, after the pending legislation is disposed of.

[Joint Explanatory Statement on the Committee of Conference on the Balanced Budget Act of 1997; (Conference Report), Committee on the Budget, House of Representatives, 105th Congress, 1st Session, Washington D.C. 1997.]

Chapter 41. Budget Process of Deschler’s Precedents
Section 314

The Budget Enforcement Act of 1997 created a new section 314 of the Congressional Budget Act. [1] Section 314 mandated certain ‘‘adjustments’’ to applicable section 302(a) allocations in response to legislation providing new budget authority and outlays. Such legislation was limited to certain categories (such as emergency spending or continuing disability reviews), as defined in section 314(b). [2] The chairman of the Committee on the Budget was required to revise section 302(a) allocations to reflect these adjustments after the reporting of legislation meeting the requirements of section 314(b), and the adjustment took effect upon enactment of such legislation. Pursuant to section 314(d), the Committee on Appropriations was authorized to submit a revised section 302(b) report in order to subdivide any potential adjustment to its section 302(a) allocation among its subcommittees. [3] However, the Committee on Appropriations was not required to submit such a report, and in the absence of such a report, the underlying section 302(b) allocations remained as they were prior to the adjustment occasioned under section 314.

The Budget Control Act of 2011 [4] extensively revised section 314 of the Congressional Budget Act. The former ‘‘automatic’’ adjustments were replaced with discretionary authority for the chairman of the Committee on the Budget to make allocation adjustments in response to qualifying legislation. Such qualifying legislation was defined by reference to section 251(b) of [the Balanced Budget and Emergency Deficit Control Act of 1985].[5] A new section 314(d) rendered ‘‘invisible’’ for certain Budget Act purposes spending designated as emergency spending. Section 314(d)(2)(B) also provided that a proposal to strike an emergency designation shall be ‘‘excluded from an evaluation of budgetary effects’’ for purposes of titles III and IV of the Congressional Budget Act. Without this provision, such a proposal could violate section 302(f) of the Budget Act if the spending at issue (whose budgetary effects are now to be included by the proposal) exceeded the committee’s section 302 allocation.

[1] 2 USC § 645.

[2] Those categories are: (1) amounts designated as emergencies; (2) amounts for continued disability review; (3) certain amounts relating to the International Monetary Fund; (4) certain amounts for international organizations and multilateral development banks; (5) amounts for an earned income tax credit compliance initiative; and (6) certain amounts for adoption incentive payments.

[3] For an example of a section 302(f) point of order being sustained in the context of such an ‘‘un-adjusted’’ section 302(b) suballocation, see § 11.14, infra.

[4] Pub. L. No. 112–25.

[5] Pub. L. No. 99–177.

Deschler’s Precedents of the U.S. House of Representatives, Volume 18, Chapter 41, §11, pp. 165-166


LEGISLATIVE HISTORY NOTES
Public Laws

Pub. L. 105–33, title X, §10114(a), Aug. 5, 1997, 111 Stat. 688; H.R. 2015 (Budget Enforcement Act of 1997) added §314 to Pub. L. 93–344, title III (Congressional Budget and Impoundment Control Act of 1974).

Pub. L. 105–89, title II, §201(b)(2), Nov. 19, 1997, 111 Stat. 2125; H.R.867 (Adoption and Safe Families Act of 1997).

Pub. L. 112–25, title I, §105(a), Aug. 2, 2011, 125 Stat. 246; S. 365 (Budget Control Act of 2011).

Pub. L. 112–78, title V, §511, Dec. 23, 2011, 125 Stat. 1291; H.R.3765 (Temporary Payroll Tax Cut Continuation Act of 2011). This law extended payroll tax policy for two months. This Act added a Senate-only point of order against emergency designations. (BCR Link: Pub. L. 112-78, 125 Stat. 1291).

Pub. L. 113–67, div. A, title I, §122(10), Dec. 26, 2013, 127 Stat. 1176 (Bipartisan Budget Act of 2013). This Act made technical amendments and removed redundant language in subsection (d).

Pub. L. 115-123, div. C, title ii, §30206, 132 Stat. 64, 127 (Bipartsian Budget Act of 2018). This Act amended the section by adding a new adjustment in subsection (b) for state-based reemployment services and eligibility assessments.

 

Amendments
2018

Bipartsian Budget Act of 2018

Subsection (g).

Pub. L. 115-123 (BBA 2018). Section 30206 added a subsection (g) to section 314 (CBA) to provide

2013

Subsection (d)(2).

Pub. L. 113–67 (BBA2015) redesignated subparagraph (B) as (A) and substituted “under paragraph (1)” for “under subparagraph (A)”, redesignated subparagraph (C) as (B) and substituted “under subparagraph (A)” for “under subparagraph (B)”, and struck out former subparagraph (A) which was redundant to the other text of the section. The deleted language of the subparagraph read as follows:

In the House of Representatives, if a reported bill or joint resolution, or amendment thereto or conference report thereon, contains a provision providing new budget authority and outlays or reducing revenue, and a designation of such provision as an emergency pursuant to paragraph (1), the chair of the Committee on the Budget shall not count the budgetary effects of such provision for purposes of this subchapter and subchapter II and the Rules of the House of Representatives.

2011 

The Budget Control Act of 2011 (Pub. L. 112–25) significantly revised section 314. It removed adjustments to be made for specific programs, including Earned Income Tax Credit reviews, Continuing Disability Reviews, Special Drawing Rights, international arrearages, and Adoption Inventive Payments. It also revised the method by which emergency designated spending was considered. For specific changes, see Section 314 – Changes in Law Since 2000 above.

Subsection (a).

Pub. L. 112–25, §105(a)(1) (BCA 2011), added subsection (a) and struck out former Subsection (a) which related to general adjustment provisions and described the matters to be adjusted.

Subsection (b) to (d).

Pub. L. 112–25, §105(a)(2), (3) (BCA 2011), added subsection (d), redesignated former subsections (c) and (d) as (b) and (c), respectively, and struck out former subsection (b) which related to amounts of adjustments.

Subsection (e).

Pub. L. 112–78, §511(2) (TPTCCA 2011)[4], added Subsection (e). Former Subsection (e) redesignated (f).

Pub. L. 112–25, §105(a)(2) and (3) (BCA 2011), added subsection (e) and struck out former Subsection (e) which defined “continuing disability reviews” and “new budget authority” as used in former Subsection (b)(2).

Subsection (f).

Pub. L. 112–78, §511(1) (TPTCCA 2011)2, redesignated subsection (e) as (f).

1997 

Subsection (b)(6).

Pub. L. 105–89 (BCA 2011) added paragraph (6).[5]

Effective Date of 1997 Amendment

The amendment made by Pub. L. 105–89 (Adoption and Safe Families Act of 1997) became effective, under section 501 of that Act, “on the date of enactment” which was November 19, 1997.  Section 501(b) permitted a delay for certain section if State legislation was required. This is set out as a note under section 622 of Title 42, The Public Health and Welfare.


Legislative History Endnotes

[4] The Temporary Payroll Tax Cut Continuation Act of 2011

[5] Public Law 105-89, the Adoption and Safe Families Act of 1997, added paragraph (6) to subsection (b) before that subsection was repealed:

“(6) in the case of an amount for adoption incentive payments (as defined in section 251(b)(2)(G) of the Balanced Budget and Emergency Deficit Control Act of 1985) for fiscal year 1999, 2000, 2001, 2002, or 2003 for the Department of Health and Human Services, an amount not to exceed $20,000,000.”

 

 

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[BCR § 124]