[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H. Con. Res. 109 Introduced in House (IH)]







110th CONGRESS
  1st Session
H. CON. RES. 109

Establishing the congressional budget for the United States Government 
for fiscal year 2008 and setting forth appropriate budgetary levels for 
                    fiscal years 2009 through 2012.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 29, 2007

 Mr. Ryan of Wisconsin submitted the following concurrent resolution; 
           which was referred to the Committee on the Budget

_______________________________________________________________________

                         CONCURRENT RESOLUTION


 
Establishing the congressional budget for the United States Government 
for fiscal year 2008 and setting forth appropriate budgetary levels for 
                    fiscal years 2009 through 2012.

    Resolved by the House of Representatives (the Senate concurring),

SECTION 1. CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL YEAR 2008.

    (a) Declaration.--The Congress declares that the concurrent 
resolution on the budget for fiscal year 2008 is hereby established and 
that the appropriate budgetary levels for fiscal years 2009 through 
2012 are set forth.
    (b) Table of Contents.--

Sec. 1. Concurrent resolution on the budget for fiscal year 2008.
                TITLE I--RECOMMENDED LEVELS AND AMOUNTS

               Subtitle A--Recommended Levels and Amounts

Sec. 101. Recommended levels and amounts.
                Subtitle B--Major Functional Categories

Sec. 111. Principle Federal activities.
Sec. 112. Domestic discretionary programs.
Sec. 113. Major domestic entitlements.
Sec. 114. Government and financial management.
                        TITLE II--RECONCILIATION

Sec. 201. Reconciliation in the House of Representatives.
                      TITLE III--POLICY STATEMENTS

Sec. 301. Policy of the United States Congress on taxation.
Sec. 302. Policy of the United States Congress on entitlement spending.
Sec. 303. Bonneville Power Marketing Administration.
                  TITLE IV--GENERAL BUDGET ENFORCEMENT

Sec. 401. Restrictions on advance appropriations.
Sec. 402. Contingency operations related to the global war on terrorism 
                            and for unanticipated defense needs.
Sec. 403. Application and effect of changes in allocations and 
                            aggregates.
Sec. 404. Adjustments to reflect changes in concepts and definitions.
Sec. 405. Compliance with section 13301 of the Budget Enforcement Act 
                            of 1990.
Sec. 406. Exercise of rulemaking powers.
Sec. 407. Adjustments for tax legislation.
Sec. 408. Repeal of the Gephardt rule.
Sec. 409. Budget compliance statements.
Sec. 410. Cost estimates for conference reports and unreported 
                            measures.
Sec. 411. Roll call votes for new spending.
Sec. 412. Budget process reform.
Sec. 413. Treasury Department study and report.
Sec. 414. Assistance by Federal agencies to standing committees of the 
                            Senate and the House of Representatives.
Sec. 415. Budgetary treatment of the National Flood Insurance Program.
                    TITLE V--EMERGENCY RESERVE FUND

Sec. 501. Nondefense reserve fund for emergencies.
Sec. 502. Emergency criteria.
Sec. 503. Development of guidelines for application of emergency 
                            definition.
Sec. 504. Committee notification of emergency legislation.
Sec. 505. Up-to-date tabulations.
             TITLE VI--LEGISLATIVE LINE ITEM VETO AUTHORITY

Sec. 601. Presidential recommendations.
Sec. 602. Procedures in United States Congress.
Sec. 603. Identification of targeted tax benefits.
Sec. 604. Additional matters.
Sec. 605. Expiration.
Sec. 606. Sense of Congress on deferral authority.
Sec. 607. Sense of Congress on abuse of proposed cancellations.
                    TITLE VII--EARMARK TRANSPARENCY

Sec. 701. Prohibition on obligation of funds for earmarks included only 
                            in congressional reports.
Sec. 702. Definitions.
                       TITLE VIII--PAY-AS-YOU-GO

Sec. 801. Pay-as-you-go point of order.
                TITLE IX--DISCRETIONARY SPENDING LIMITS

Sec. 901. Discretionary spending limits in the House.
                      TITLE X--SENSES OF CONGRESS

Sec. 1001. Sense of the House regarding the importance of child support 
                            enforcement.
Sec. 1002. Sense of the House on State veterans cemeteries.
Sec. 1003. Sense of Congress on health insurance reform.
Sec. 1004. Sense of the House on the Internal Revenue Code of 1986.

                TITLE I--RECOMMENDED LEVELS AND AMOUNTS

               Subtitle A--Recommended Levels and Amounts

SEC. 101. RECOMMENDED LEVELS AND AMOUNTS.

    The following budgetary levels are appropriate for each of fiscal 
years 2008 through 2012:
            (1) Federal revenues.--For purposes of the enforcement of 
        this resolution:
                    (A) The recommended levels of Federal revenues are 
                as follows:
            Fiscal year 2008: $2,002,088,000,000.
            Fiscal year 2009: $2,097,634,000,000.
            Fiscal year 2010: $2,148,718,000,000.
            Fiscal year 2011: $2,244,002,000,000.
            Fiscal year 2012: $2,374,337,000,000.
                    (B) The amounts by which the aggregate levels of 
                Federal revenues should be decreased are as follows:
            Fiscal year 2008: $48,912,000,000.
            Fiscal year 2009: $9,366,000,000.
            Fiscal year 2010: $15,282,000,000.
            Fiscal year 2011: $150,998,000,000.
            Fiscal year 2012: $222,663,000,000.
            (2) New budget authority.--For purposes of the enforcement 
        of this resolution, the appropriate levels of total new budget 
        authority are as follows:
            Fiscal year 2008: $2,452,253,000,000.
            Fiscal year 2009: $2,432,323,000,000.
            Fiscal year 2010: $2,464,843,000,000.
            Fiscal year 2011: $2,575,993,000,000.
            Fiscal year 2012: $2,613,919,000,000.
            (3) Budget outlays.--For purposes of the enforcement of 
        this resolution, the appropriate levels of total budget outlays 
        are as follows:
            Fiscal year 2008: $2,427,922,000,000.
            Fiscal year 2009: $2,484,251,000,000.
            Fiscal year 2010: $2,468,400,000,000.
            Fiscal year 2011: $2,529,608,000,000.
            Fiscal year 2012: $2,530,737,000,000.
            (4) Deficits (on-budget).--For purposes of the enforcement 
        of this resolution, the amounts of the deficits (on-budget) are 
        as follows:
            Fiscal year 2008: $425,834,000,000.
            Fiscal year 2009: $386,617,000,000.
            Fiscal year 2010: $319,682,000,000.
            Fiscal year 2011: $285,609,000,000.
            Fiscal year 2012: $156,400,000,000.
            (5) Debt subject to limit.--Pursuant to section 301(a)(5) 
        of the Congressional Budget Act of 1974, the appropriate levels 
        of the public debt are as follows:
            Fiscal year 2008: $9,476,349,000,000.
            Fiscal year 2009: $9,979,952,000,000.
            Fiscal year 2010: $10,418,522,000,000.
            Fiscal year 2011: $10,820,002,000,000.
            Fiscal year 2012: $11,105,786,000,000.
            (6) Debt held by the public.--The appropriate levels of 
        debt held by the public are as follows:
            Fiscal year 2008: $5,284,759,000,000.
            Fiscal year 2009: $5,467,610,000,000.
            Fiscal year 2010: $5,570,986,000,000.
            Fiscal year 2011: $5,624,371,000,000.
            Fiscal year 2012: $5,537,610,000,000.

                Subtitle B--Major Functional Categories

SEC. 111. PRINCIPLE FEDERAL ACTIVITIES.

    The Congress determines and declares that the appropriate levels of 
new discretionary and mandatory budget authority and outlays for the 
Federal Government's principle Federal activities for fiscal years 2008 
through 2012 are as follows:
            (1) National Defense (050):
                    Fiscal year 2008:
                            (A) New budget authority, $648,770,000,000.
                            (B) Outlays, $617,792,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $584,705,000,000.
                            (B) Outlays, $626,892,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $550,790,000,000.
                            (B) Outlays, $561,384,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $564,117,000,000.
                            (B) Outlays, $536,057,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $579,375,000,000.
                            (B) Outlays, $525,407,000,000.
            (2) International Affairs (150):
                    Fiscal year 2008:
                            (A) New budget authority, $31,989,000,000.
                            (B) Outlays, $31,637,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $32,387,000,000.
                            (B) Outlays, $30,263,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $32,199,000,000.
                            (B) Outlays, $29,873,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $32,268,000,000.
                            (B) Outlays, $29,679,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $32,336,000,000.
                            (B) Outlays, $29,774,000,000.
            (3) Veterans Benefits and Services (700):
                    Fiscal year 2008:
                            (A) New budget authority, $84,493,000,000.
                            (B) Outlays, $84,512,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $89,019,000,000.
                            (B) Outlays, $89,033,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $92,397,000,000.
                            (B) Outlays, $90,798,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $98,286,000,000.
                            (B) Outlays, $96,779,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $96,528,000,000.
                            (B) Outlays, $94,838,000,000.
            (4) Administration of Justice (750):
                    Fiscal year 2008:
                            (A) New budget authority, $45,765,000,000.
                            (B) Outlays, $46,432,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $45,471,000,000.
                            (B) Outlays, $46,631,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $45,742,000,000.
                            (B) Outlays, $46,466,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $45,995,000,000.
                            (B) Outlays, $46,323,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $46,198,000,000.
                            (B) Outlays, $46,166,000,000.

SEC. 112. DOMESTIC DISCRETIONARY PROGRAMS.

    (a) Declaration.--The Congress determines and declares that the 
following levels are the appropriate totals of new discretionary budget 
authority and outlays for federally supported domestic priorities for 
fiscal years 2008 through 2012:
            (1) New budget authority.--For purposes of this resolution, 
        the appropriate levels of new discretionary budget authority 
        for federally supported domestic priorities are as follows:
            Fiscal year 2008: $292,800,000,000.
            Fiscal year 2009: $295,564,000,000.
            Fiscal year 2010: $293,278,000,000.
            Fiscal year 2011: $293,002,000,000.
            Fiscal year 2012: $293,302,000,000.
            (2) Outlays.--For purposes of this resolution, the 
        appropriate levels of outlays for federally supported domestic 
        priorities are as follows:
            Fiscal year 2008: $369,548,000,000.
            Fiscal year 2009: $363,600,000,000.
            Fiscal year 2010: $358,033,000,000.
            Fiscal year 2011: $351,707,000,000.
            Fiscal year 2012: $347,325,000,000.
    (b) Subdivisions.--These aggregate amounts are to be subdivided by 
the Committee on Appropriations.

SEC. 113. MAJOR DOMESTIC ENTITLEMENTS.

    The Congress determines and declares that the following levels are 
the appropriate totals of new mandatory budget authority and outlays 
for the Federal Government's principle entitlement programs for fiscal 
years 2008 through 2012:
            (1) Medicare (570 mandatory):
                    Fiscal year 2008:
                            (A) New budget authority, $374,888,000,000.
                            (B) Outlays, $374,964,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $394,116,000,000.
                            (B) Outlays, $393,804,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $409,473,000,000.
                            (B) Outlays, $409,730,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $445,312,000,000.
                            (B) Outlays, $445,359,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $431,401,000,000.
                            (B) Outlays, $431,057,000,000.
            (2) Medicaid (550 mandatory):
                    Fiscal year 2008:
                            (A) New budget authority, $223,389,000,000.
                            (B) Outlays, $223,837,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $235,128,000,000.
                            (B) Outlays, $236,849,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $249,592,000,000.
                            (B) Outlays, $249,840,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $264,095,000,000.
                            (B) Outlays, $265,040,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $279,920,000,000.
                            (B) Outlays, $281,389,000,000.
            (3) Income Security (600 mandatory):
                    Fiscal year 2008:
                            (A) New budget authority, $327,076,000,000.
                            (B) Outlays, $325,432,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $333,545,000,000.
                            (B) Outlays, $329,632,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $341,943,000,000.
                            (B) Outlays, $338,354,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $355,686,000,000.
                            (B) Outlays, $352,150,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $354,709,000,000.
                            (B) Outlays, $351,228,000,000.
            (4) Agriculture (350 mandatory):
                    Fiscal year 2008:
                            (A) New budget authority, $14,563,000,000.
                            (B) Outlays, $13,624,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $14,416,000,000.
                            (B) Outlays, $13,652,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $14,221,000,000.
                            (B) Outlays, $13,390,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $13,735,000,000.
                            (B) Outlays, $13,147,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $13,332,000,000.
                            (B) Outlays, $12,916,000,000.
            (5) Student Loans (500 mandatory):
                    Fiscal year 2008:
                            (A) New budget authority, $8,008,000,000.
                            (B) Outlays, $5,251,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $10,664,000,000.
                            (B) Outlays, $9,120,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $11,592,000,000.
                            (B) Outlays, $9,761,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $10,526,000,000.
                            (B) Outlays, $9,897,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $10,186,000,000.
                            (B) Outlays, $8,590,000,000.
            (6) All Other Domestic Entitlements (multiple functions):
                    Fiscal year 2008:
                            (A) New budget authority, $61,736,000,000.
                            (B) Outlays, -$3,339,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $52,175,000,000.
                            (B) Outlays, -$4,671,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $51,657,000,000.
                            (B) Outlays, -$4,917,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $51,215,000,000.
                            (B) Outlays, -$5,257,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $51,223,000,000.
                            (B) Outlays, -$4,504,000,000.

SEC. 114. GOVERNMENT AND FINANCIAL MANAGEMENT.

    The Congress determines and declares that the following levels are 
the appropriate totals of new and discretionary mandatory budget 
authority and outlays for the Federal Government's operations and 
financial management activities for fiscal years 2008 through 2012:
            (1) General Government (800):
                    Fiscal year 2008:
                            (A) New budget authority, $17,873,000,000.
                            (B) Outlays, $18,353,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $17,844,000,000.
                            (B) Outlays, $18,013,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $20,270,000,000.
                            (B) Outlays, $20,262,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $17,801,000,000.
                            (B) Outlays, $17,649,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $18,264,000,000.
                            (B) Outlays, $18,230,000,000.
            (2) Net Interest (900):
                    Fiscal year 2008:
                            (A) New budget authority, $370,521,000,000.
                            (B) Outlays, $370,421,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, $388,836,000,000.
                            (B) Outlays, $387,436,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, $410,258,000,000.
                            (B) Outlays, $405,258,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, $431,411,000,000.
                            (B) Outlays, $421,411,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $450,561,000,000.
                            (B) Outlays, $434,561,000,000.
            (3) Allowances (920):
                    Fiscal year 2008:
                            (A) New budget authority, $6,439,000,000.
                            (B) Outlays, $5,544,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, -$11,795,000,000.
                            (B) Outlays, -$6,242,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, -$5,709,000,000.
                            (B) Outlays, -$6,972,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, -$150,000,000.
                            (B) Outlays, -$3,007,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, $4,167,000,000.
                            (B) Outlays, $1,286,000,000.
            (4) Offsetting Receipts (950):
                    Fiscal year 2008:
                            (A) New budget authority, -$71,009,000,000.
                            (B) Outlays, -$71,009,000,000.
                    Fiscal year 2009:
                            (A) New budget authority, -$66,578,000,000.
                            (B) Outlays, -$66,587,000,000.
                    Fiscal year 2010:
                            (A) New budget authority, -$71,869,000,000.
                            (B) Outlays, -$71,869,000,000.
                    Fiscal year 2011:
                            (A) New budget authority, -$69,623,000,000.
                            (B) Outlays, -$69,643,000,000.
                    Fiscal year 2012:
                            (A) New budget authority, -$72,789,000,000.
                            (B) Outlays, -$72,792,000,000.

                        TITLE II--RECONCILIATION

SEC. 201. RECONCILIATION IN THE HOUSE OF REPRESENTATIVES.

    (a) Submission to Provide for the Reform of Mandatory Spending.--
(1) Not later than June 8, 2007, the House committees named in 
paragraph (2) shall submit their recommendations to the House Committee 
on the Budget. After receiving those recommendations, the House 
Committee on the Budget shall report to the House a reconciliation bill 
carrying out all such recommendations without substantive revision.
    (2) Instructions.--
            (A) Committee on agriculture.--The House Committee on 
        Agriculture shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $452,000,000 for fiscal year 2008, $3,277,000,000 for fiscal 
        year 2012, and $9,849,000,000 for the period of fiscal years 
        2008 through 2012.
            (B) Committee on armed services.--The House Committee on 
        Armed Services shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $50,000,000 for fiscal year 2008, $100,000,000 for fiscal year 
        2012, and $410,000,000 for the period of fiscal years 2008 
        through 2012.
            (C) Committee on education and labor.--The House Committee 
        on Education and Labor shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $3,456,000,000 for fiscal year 2008, $400,000,000 for fiscal 
        year 2012, and $4,906,000,000 for the period of fiscal years 
        2008 through 2012.
            (D) Committee on energy and commerce.--The House Committee 
        on Energy and Commerce shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $8,344,000,000 or fiscal year 2008, $30,602,000,000 for fiscal 
        year 2012, and $97,359,000,000 for the period of fiscal years 
        2008 through 2012.
            (E) Committee on financial services.--The House Committee 
        on Financial Services shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by $0 for 
        fiscal year 2008, $140,000,000 for fiscal year 2012, and 
        $400,000,000 for the period of fiscal years 2008 through 2012.
            (F) Committee on foreign affairs.--The House Committee on 
        Foreign Affairs shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $20,000,000 for fiscal year 2008, $90,000,000 for fiscal year 
        2012, and $250,000,000 for the period of fiscal years 2008 
        through 2012.
            (G) Committee on the judiciary.--The House Committee on the 
        Judiciary shall report changes in laws within its jurisdiction 
        sufficient to reduce direct spending by $265,000,000 for fiscal 
        year 2008, $1,010,000,000 for fiscal year 2012, and 
        $3,515,000,000 for the period of fiscal years 2008 through 
        2012.
            (H) Committee on natural resources.--The House Committee on 
        Natural Resources shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $1,507,000,000 for fiscal year 2008, $535,000,000 for fiscal 
        year 2012, and $4,647,000,000 for the period of fiscal years 
        2008 through 2012.
            (I) Committee on transportation and infrastructure.--The 
        House Committee on Transportation and Infrastructure shall 
        report changes in laws within its jurisdiction sufficient to 
        reduce direct spending by $460,000,000 for fiscal year 2008, 
        $1,063,000,000 for fiscal year 2012, and $4,272,000,000 for the 
        period of fiscal years 2008 through 2012.
            (J) Committee on ways and means.--The House Committee on 
        Ways and Means shall report changes in laws within its 
        jurisdiction sufficient to reduce direct spending by 
        $10,109,000,000 for fiscal year 2008, $41,543,000,000 for 
        fiscal year 2012, and $153,122,000,000 for the period of fiscal 
        years 2008 through 2012, sufficient to reduce revenues by not 
        more than $48,912,000,000 for fiscal year 2008 and by not more 
        than $447,221,000,000 for the period of fiscal years 2008 
        through 2012.
    (b) Submission of Revised Allocations.--(1) Upon the submission to 
the Committee on the Budget of the House of a recommendation that has 
complied with its reconciliation instructions solely by virtue of 
section 310(c) of the Congressional Budget Act of 1974, the chairman of 
that committee may file with the House appropriately revised 
allocations under section 302(a) of such Act and revised functional 
levels and aggregates.
    (2) Upon the submission to the House of a conference report 
recommending a reconciliation bill or resolution in which a committee 
has complied with its reconciliation instructions solely by virtue of 
this section, the chairman of the Committee on the Budget of the House 
may file with the House appropriately revised allocations under section 
302(a) of such Act and revised functional levels and aggregates.
    (3) Allocations and aggregates revised pursuant to this subsection 
shall be considered to be allocations and aggregates established by the 
concurrent resolution on the budget pursuant to section 301 of such 
Act.

                      TITLE III--POLICY STATEMENTS

SEC. 301. POLICY OF THE UNITED STATES CONGRESS ON TAXATION.

    The United States Congress reaffirms the statement of principle 
that the Federal Government should not raise taxes on American families 
or reverse the policies that have led to strong growth in the United 
States economy, and instead should move towards balancing the budget by 
reigning in the Federal Government's spending; it is further the policy 
assumption underlying this resolution that the tax relief enacted in 
2001 and 2003 should be continued.

SEC. 302. POLICY OF THE UNITED STATES CONGRESS ON ENTITLEMENT SPENDING.

    (a) Findings.--
            (1) Entitlement growth is unsustainable. Entitlements are 
        currently growing at 6 percent per year significantly faster 
        than our entire economy, and more than twice the rate of 
        inflation.
            (2) Entitlements currently consume more than half of the 
        entire Federal budget. If simply left on ``auto-pilot'' 
        (assuming no new entitlement spending or benefits):
                    (A) By 2040 social security, medicare, and medicaid 
                alone will consume 20 percent of our economy.
                    (B) By 2040 Americans will have to pay twice the 
                current rate of taxes.
            (3) Entitlements must be reformed to survive with the 
        retirement of the baby boomers, the situation will only get 
        worse, making the necessary reforms more sudden and severe.
            (4) Entitlements aren't all that's at risk. If left 
        unreformed, these programs will also impose a crushing burden 
        on both the budget and the economy. Our now strong economy, 
        which has created millions of jobs and been the key factor in 
        reducing the deficit. Entitlements will eventually crowd out 
        all other priorities such as education, veterans, science, 
        agriculture, environment, even defense and homeland security.
            (5) The rising costs of government entitlements are a 
        ``fiscal cancer'' that threaten ``catastrophic consequences for 
        our country'' and could ``bankrupt America'' said America's 
        chief accountant, U.S. Comptroller General David Walker.
            (6) Without ``early and meaningful action'' to address the 
        rapid growth of entitlements, ``the U.S. economy could be 
        seriously weakened, with future generations bearing much of the 
        cost'' warned Fed Chairman Ben Bernanke.
            (7) Spending is the problem. Massive Tax Hikes are Not the 
        Solution. Even if taxes are raised to balance the budget in the 
        short term, entitlements would quickly drive the Federal 
        Government back into deficit.
            (8) The U.S. Comptroller General testified that the United 
        States Government ``cannot grow [its] way out of this problem; 
        eliminating earmarks will not solve the problem; wiping out 
        fraud, waste, and abuse will not solve the problem; ending the 
        war or cutting way back on defense will not solve the 
        problem''.
            (9) The budget must drive entitlement reform. Entitlement 
        programs are well-intended, and provide a critical safety net 
        for millions of Americans, but their costs are out of control, 
        and growing worse every year typically without regular reform 
        or congressional oversight. Congress must use the budget 
        process to promote reforms that will make these programs 
        better, more efficient, and more sustainable for the long term.
    (b) Policy on Entitlements.--It is the policy of this resolution 
that Congress must immediately address the out-of-control growth of 
entitlement spending that may do substantial harm to the United States 
economy and hurt the standard of living of future generations. 
Furthermore, Congress must also commit itself to consider during this 
fiscal year fundamental reform packages to secure the long-term 
solvency of medicare, medicaid and social security.

SEC. 303. BONNEVILLE POWER MARKETING ADMINISTRATION.

    It is the policy of this resolution that it does not specifically 
assume any savings from the President's proposal related to the 
Bonneville Power Marketing Administrations and the Energy and Commerce 
Committee will determine its own policies subject to the applicable 
numerical allocation limits and reconciliation directives.

                  TITLE IV--GENERAL BUDGET ENFORCEMENT

SEC. 401. RESTRICTIONS ON ADVANCE APPROPRIATIONS.

    (a) In General.--(1) In the House, except as provided in subsection 
(b), an advance appropriation may not be reported in a bill or joint 
resolution making a general appropriation or continuing appropriation, 
and may not be in order as an amendment thereto.
    (2) Managers on the part of the House may not agree to a Senate 
amendment that would violate paragraph (1) unless specific authority to 
agree to the amendment first is given by the House by a separate vote 
with respect thereto.
    (b) Advance Appropriation.--In the House, an advance appropriation 
may be provided for the fiscal years 2009 and 2010 for programs, 
projects, activities, or accounts identified in the joint explanatory 
statement of managers accompanying this resolution under the heading 
``Accounts Identified for Advance Appropriations'' in an aggregate 
amount not to exceed $23,565,000,000 in new budget authority in each 
year.
    (c) Definition.--In this section, the term ``advance 
appropriation'' means any new budget authority provided in a bill or 
joint resolution making general appropriations or any new budget 
authority provided in a bill or joint resolution making continuing 
appropriations for fiscal year 2008 that first becomes available for 
any fiscal year after 2008.

SEC. 402. CONTINGENCY OPERATIONS RELATED TO THE GLOBAL WAR ON TERRORISM 
              AND FOR UNANTICIPATED DEFENSE NEEDS.

    (a) Exemption of Contingency Operations Related to the Global War 
on Terrorism and for Unanticipated Defense Needs.--In the House, if any 
bill or joint resolution is reported, or an amendment is offered 
thereto or a conference report is filed thereon, that makes 
appropriations for fiscal year 2008 for contingency operations directly 
related to the global war on terrorism, and other unanticipated 
defense-related operations, then the new budget authority, new 
entitlement authority, outlays, or receipts resulting therefrom shall 
not count for purposes of titles III or IV of the Congressional Budget 
Act of 1974.
    (b) Current Level.--Amounts included in this resolution for the 
purpose set forth in this section shall be considered to be current law 
for purposes of the preparation of the current level of budget 
authority and outlays and the appropriate levels shall be adjusted upon 
the enactment of such bill.

SEC. 403. APPLICATION AND EFFECT OF CHANGES IN ALLOCATIONS AND 
              AGGREGATES.

    (a) Application.--Any adjustments of allocations and aggregates 
made pursuant to this resolution shall--
            (1) apply while that measure is under consideration;
            (2) take effect upon the enactment of that measure; and
            (3) be published in the Congressional Record as soon as 
        practicable.
    (b) Effect of Changed Allocations and Aggregates.--Revised 
allocations and aggregates resulting from these adjustments shall be 
considered for the purposes of the Congressional Budget Act of 1974 as 
allocations and aggregates contained in this resolution.
    (c) Budget Committee Determinations.--For purposes of this 
resolution--
            (1) the levels of new budget authority, outlays, direct 
        spending, new entitlement authority, revenues, deficits, and 
        surpluses for a fiscal year or period of fiscal years shall be 
        determined on the basis of estimates made by the appropriate 
        Committee on the Budget; and
            (2) such chairman may make any other necessary adjustments 
        to such levels to reflect the timing of responses to 
        reconciliation directives pursuant to section 201 of this 
        resolution.

SEC. 404. ADJUSTMENTS TO REFLECT CHANGES IN CONCEPTS AND DEFINITIONS.

    Upon the enactment of a bill or joint resolution providing for a 
change in concepts or definitions, the appropriate chairman of the 
Committee on the Budget shall make adjustments to the levels and 
allocations in this resolution in accordance with section 251(b) of the 
Balanced Budget and Emergency Deficit Control Act of 1985 (as in effect 
prior to September 30, 2002).

SEC. 405. COMPLIANCE WITH SECTION 13301 OF THE BUDGET ENFORCEMENT ACT 
              OF 1990.

    (a) In General.--In the House and the Senate, notwithstanding 
section 302(a)(1) of the Congressional Budget Act of 1974 and section 
13301 of the Budget Enforcement Act of 1990, the joint explanatory 
statement accompanying the conference report on any concurrent 
resolution on the budget shall include in its allocation under section 
302(a) of the Congressional Budget Act of 1974 to the Committee on 
Appropriations amounts for the discretionary administrative expenses of 
the Social Security Administration.
    (b) Special Rule.--In the House, for purposes of applying section 
302(f) of the Congressional Budget Act of 1974, estimates of the level 
of total new budget authority and total outlays provided by a measure 
shall include any discretionary amounts provided for the Social 
Security Administration.

SEC. 406. EXERCISE OF RULEMAKING POWERS.

    Congress adopts the provisions of this title--
            (1) as an exercise of the rulemaking power of the Senate 
        and the House, respectively, and as such they shall be 
        considered as part of the rules of each House, or of that House 
        to which they specifically apply, and such rules shall 
        supersede other rules only to the extent that they are 
        inconsistent therewith; and
            (2) with full recognition of the constitutional right of 
        either House to change those rules (so far as they relate to 
        that House) at any time, in the same manner, and to the same 
        extent as in the case of any other rule of that House.

SEC. 407. ADJUSTMENTS FOR TAX LEGISLATION.

    In the House, if the Committee on Ways and Means reports a bill or 
joint resolution, or an amendment is offered thereto or a conference 
report is submitted thereon, that amends the Internal Revenue Code of 
1986 by extending the expiration dates for Federal tax policies that 
expired during fiscal year 2008 or that expire during the period of 
fiscal years 2008 through 2012, then the chairman of the Committee on 
the Budget may make appropriate adjustments in the allocations and 
aggregates of budget authority, outlays, and revenue set forth in this 
resolution to reflect the budgetary effects of such legislation, but 
only to the extent the adjustments would not cause the level of revenue 
to be less than the level of revenue provided for in this resolution 
for the period of fiscal years 2008 through 2012 and would not cause 
the deficit to exceed the appropriate level of deficits provided for in 
this resolution for the period of fiscal years 2008 through 2012.

SEC. 408. REPEAL OF THE GEPHARDT RULE.

    With respect to the adoption by the Congress of a concurrent 
resolution on the budget for fiscal year 2008, the clerk of the House 
shall not prepare an engrossment of a joint resolution increasing or 
decreasing, as the case may be, the statutory limit on the public debt.

SEC. 409. BUDGET COMPLIANCE STATEMENTS.

    Each report of a committee on a public bill or public joint 
resolution shall contain a budget compliance statement prepared by the 
chairman of the Committee on the Budget, if timely submitted prior to 
the filing of the report, which shall include assessment by such 
chairman as to whether the bill or joint resolution complies with the 
requirements of sections 302, 303, 306, 311, and 401 of the 
Congressional Budget Act of 1974.

SEC. 410. COST ESTIMATES FOR CONFERENCE REPORTS AND UNREPORTED 
              MEASURES.

    It shall not be in order to consider a conference report or an 
unreported bill or joint resolution unless an estimate of costs as 
described in clause 3(d)(2) of Rule XIII has been printed in the 
Congressional Record at least one day before its consideration.

SEC. 411. ROLL CALL VOTES FOR NEW SPENDING.

    The yeas and nays shall be considered as ordered when the Speaker 
puts the question on passage of a bill or joint resolution, or on 
adoption of a conference report, for which the chairman of the Budget 
Committee has advised the Speaker that such bill, joint resolution or 
conference report authorizes or provides new budget authority of not 
less than $50,000,000. The Speaker may not entertain a unanimous 
consent request or motion to suspend this section.

SEC. 412. BUDGET PROCESS REFORM.

    Before September 30, 2007, the chairman or ranking minority member 
of the Committee on the Budget of the House of Representatives shall 
introduce, and the committee shall conduct hearings on, budget reform 
legislation that includes the following provisions:
            (1) Statutory discretionary spending limits.
            (2) Provisions to slow the growth of entitlement spending 
        by requiring offsets for new benefits, and examining programs 
        with annual increases higher than the rate of inflation.
            (3) Presidential legislative line item veto authority that 
        preserves Congress' constitutional power of the purse by 
        requiring an expedited up or down vote on the President's 
        proposals.
            (4) Enforcement tools that restrict the definition of 
        ``emergency'' so that emergency supplemental appropriation 
        bills include only needs that are sudden, urgent, unforeseen, 
        unpredictable, unanticipated, and temporary in nature.
            (5) Accrual accounting of the Government's long-term 
        obligations.
            (6) Periodic reporting from the Government Accountability 
        Office that examine the causes of long-term deficits and 
        present options to reduce these deficits.
            (7) Annual audit summaries from the Federal Accounting 
        Standards Advisory Board for all departments of the Government 
        that represent more than 20 percent of discretionary spending, 
        with recommendations on how to improve the quality of financial 
        information available to Congress.

SEC. 413. TREASURY DEPARTMENT STUDY AND REPORT.

    (a) Request.--Not later than June 1, 2007, the chairman or ranking 
member of the Committee on the Budget of the House of Representatives 
shall submit a request to the Secretary of the Treasury for a study of 
the impact of the current United States tort system on global 
competition and gross domestic product (GDP) growth.
    (b) Submission of Study.--The results of the study described in 
subsection (a) shall be submitted by the Secretary of the Treasury to 
the Committee on the Budget of the House of Representatives not later 
than September 30, 2007.

SEC. 414. ASSISTANCE BY FEDERAL AGENCIES TO STANDING COMMITTEES OF THE 
              SENATE AND THE HOUSE OF REPRESENTATIVES.

    (a) Information Regarding Agency Appropriations Requests.--To 
assist each standing committee of the House of Representatives and the 
Senate in carrying out its responsibilities, the chairman of each 
authorizing committee of the House and Senate shall request the head of 
each Federal agency which administers the laws or parts of laws under 
the jurisdiction of such committee, to provide to such committee such 
studies, information, analyses, reports, and assistance.
    (b) Information Regarding Agency Program Administration.--To assist 
each standing committee of the House of Representatives and the Senate 
in carrying out its responsibilities, the chairman of each authorizing 
committee of the House and Senate shall request of the head of any 
agency under his committee's jurisdiction, to furnish to such committee 
documentation, containing information received, compiled, or maintained 
by the agency as part of the operation or administration of a program, 
or specifically compiled pursuant to a request in support of a review 
of a program, as may be requested by the chairman and ranking minority 
member of such committee.
    (c) Summaries by Comptroller General.--Within thirty days after the 
receipt of a request from a chairman and ranking minority member of a 
standing committee having jurisdiction over a program being reviewed 
and studied by such committee under this section, the Comptroller 
General of the United States shall furnish to such committee summaries 
of any audits or reviews of such program which the Comptroller General 
has completed during the preceding six years.
    (d) Congressional Assistance.--Consistent with their duties and 
functions under law, the Comptroller General of the United States, the 
Director of the Congressional Budget Office, and the Director of the 
Congressional Research Service shall continue to furnish (consistent 
with established protocols) to each standing committee of the House of 
Representatives or the Senate such information, studies, analyses, and 
reports as the chairman and ranking minority member may request to 
assist the committee in conducting reviews and studies of programs 
under this section.

SEC. 415. BUDGETARY TREATMENT OF THE NATIONAL FLOOD INSURANCE PROGRAM.

    (a) Treatment.--For purposes of the allocations and aggregates in 
this resolution, the reconciliation directives established by this 
resolution, and for any other purpose under titles III and IV of the 
Congressional Budget Act of 1974, the budgetary effects of any bill or 
joint resolution, amendment thereto, or conference report thereon, or 
any recommendations submitted pursuant to section 201 that includes the 
reforms set forth in subsection (b) shall be scored without regard to 
the obligations resulting from the enactment of Public Law 109-208. 
Such estimate shall assume the liquidating of the National Flood 
Insurance Fund's remaining contractual obligations resulting from 
claims made as a result of floods that occurred in 2005.
    (b) Legislation.--The legislation referred to in subsection (a) 
shall--
            (1) establish more actuarially sound rates on policies 
        issued by the National Flood Insurance Program; and
            (2) end flood insurance subsidies on pre-FIRM structures 
        not used as primary residences.

                    TITLE V--EMERGENCY RESERVE FUND

SEC. 501. NONDEFENSE RESERVE FUND FOR EMERGENCIES.

    (a) Nondefense Set Aside.--
            (1) Discretionary set aside fund.--In the House and except 
        as provided by subsection (b), if a bill or joint resolution is 
        reported, or an amendment is offered thereto (or considered as 
        adopted) or a conference report is filed thereon, that provides 
        new discretionary budget authority (and outlays flowing 
        therefrom), and such provision is designated as an emergency 
        pursuant to this section, the chairman of the Committee on the 
        Budget shall make adjustments to the allocations and aggregates 
        set forth in this resolution up to the amount of such 
        provisions if the requirements set forth in section 504 are 
        met, but the sum of all adjustments made under this paragraph 
        shall not exceed $6,450,000,000 for fiscal year 2008.
            (2) Other adjustments.--In the House, if a bill or joint 
        resolution is reported or a conference report is filed thereon, 
        and a direct spending or receipt provision included therein is 
        designated as an emergency pursuant to this paragraph, the 
        chairman of the Committee on the Budget may make adjustments to 
        the allocations and aggregates set forth in this resolution.
    (b) Additional Adjustment Procedures.--In the House, before any 
adjustment is made pursuant to this section for any bill, joint 
resolution, or conference report that designates a provision an 
emergency, the enactment of which would cause the total amount of the 
set aside fund set forth in subsection (a)(1) for fiscal year 2008 to 
be exceeded:
            (1) The chairman of the Committee on the Budget shall 
        convene a meeting of that committee, where it shall be in 
        order, subject to the terms set forth in this section, for one 
        motion described in paragraph (2) to be made to authorize the 
        chairman to make adjustments above the maximum amount of 
        adjustments set forth in subsection (a). If the Chairman does 
        not call such a meeting within 24 hours of a committee 
        reporting such a measure, any member of the Committee may call 
        such a meeting.
            (2) The motion referred to in paragraph (1) shall be in the 
        following form: ``I move that the chairman of the Committee on 
        the Budget be authorized to adjust the allocations and 
        aggregates set forth in the concurrent resolution on the budget 
        for fiscal year 2008 by the following amount: $_____ for fiscal 
        year 2008.'', with the blank being filled in with amount 
        determined by the chairman of the Committee on the Budget. For 
        any measure referred to in subsection (a)(1), such amount shall 
        not exceed the total amount for fiscal year 2008 designated as 
        an emergency in excess of the applicable amount remaining in 
        the set aside fund.
            (3) The motion set forth in paragraph (2) shall be open for 
        debate and amendment, but any amendment offered thereto is only 
        in order if limited to changing an amount in the motion.
            (4) Except as provided by paragraph (5), the chairman of 
        the Committee on the Budget may not make any adjustments under 
        subsection (a) or subsection (b) unless or until the committee 
        filing a report or joint statement of managers on a conference 
        report on a measure including an emergency designation fulfills 
        the terms set forth in section 504.
            (5) The chairman of the Committee on the Budget shall make 
        any adjustments he deems necessary under this section if he 
        determines the enactment of the provision or provisions 
        designated as an emergency is essential to respond to an urgent 
        and imminent need, the chairman determines the exceptional 
        circumstances referred to in rule 3 of the rules of the 
        committee are met and the committee cannot convene to consider 
        the motion referred to in this section in a timely fashion.
    (c) Application of Adjustments.--The adjustments made pursuant to 
subsection (a) or (b) shall--
            (1) apply while that bill, joint resolution, conference 
        report or amendment is under consideration;
            (2) take effect upon the enactment of that legislation; and
            (3) be published in the Congressional Record as soon as 
        practicable.

SEC. 502. EMERGENCY CRITERIA.

    As used in this title:
            (1) The term ``emergency'' means a situation that--
                    (A) requires new budget authority and outlays (or 
                new budget authority and the outlays flowing therefrom) 
                for the prevention or mitigation of, or response to, 
                loss of life or property, or a threat to national 
                security; and
                    (B) is unanticipated.
            (2) The term ``unanticipated'' means that the underlying 
        situation is--
                    (A) sudden, which means quickly coming into being 
                or not building up over time;
                    (B) urgent, which means a pressing and compelling 
                need requiring immediate action;
                    (C) unforeseen, which means not predicted or 
                anticipated as an emerging need; and
                    (D) temporary, which means not of a permanent 
                duration.

SEC. 503. DEVELOPMENT OF GUIDELINES FOR APPLICATION OF EMERGENCY 
              DEFINITION.

    In the House, as soon as practicable after the adoption of this 
resolution, the chairman of the Committee on the Budget shall, after 
consultation with the chairmen of the applicable committees, the 
Ranking Member of the Committee on the Budget, and the Director of the 
Congressional Budget Office, prepare additional guidelines for 
application of the definition of an emergency and shall issue a 
committee print from the Committee on the Budget for this purpose.

SEC. 504. COMMITTEE NOTIFICATION OF EMERGENCY LEGISLATION.

    (a) Committee Notification.--Whenever a committee of the House 
(including a committee of conference) reports any bill or joint 
resolution that includes a provision designated as an emergency 
pursuant to this title, the report accompanying that bill or joint 
resolution (or the joint explanatory statement of managers in the case 
of a conference report on any such bill or joint resolution) shall 
identify all provisions that provide amounts designated as an emergency 
and shall provide an explanation of the manner in which the provision 
meets the criteria set forth in section 502.
    (b) Congressional Record.--If such a measure is to be considered by 
the House without being reported by the committee of jurisdiction, then 
the committee shall cause the explanation to be published in the 
Congressional Record as soon as practicable.

SEC. 505. UP-TO-DATE TABULATIONS.

    The Committee on the Budget of the House shall publish in the 
Congressional Record up-to-date tabulations of amounts remaining in the 
set aside fund set forth in section 501, or authorized in excess 
thereof, as soon as practicable after the enactment of such amounts 
designated as emergencies.

             TITLE VI--LEGISLATIVE LINE ITEM VETO AUTHORITY

SEC. 601. PRESIDENTIAL RECOMMENDATIONS.

    (a) Proposed Cancellations.--If, within 45 calendar days after the 
enactment of any bill or joint resolution providing any discretionary 
budget authority, item of direct spending, limited tariff benefit, or 
targeted tax benefit, the President proposes, in the manner provided in 
subsection (b), the cancellation of any dollar amount of such 
discretionary budget authority, item of direct spending, or targeted 
tax benefit, such recommendation shall be introduced as a freestanding 
measure consistent with the terms of this title and shall be eligible 
for the expedited procedures set forth herein. If the 45 calendar-day 
period expires during a period where either House of Congress stands 
adjourned sine die at the end of a Congress or for a period greater 
than 45 calendar days, the President may propose a cancellation under 
this section and transmit a special message under subsection (b) on the 
first calendar day of session following such a period of adjournment.
    (b) Transmittal of Special Message.--
            (1) Special message.--
                    (A) Contents of special message.--Each special 
                message shall specify, with respect to the 
                discretionary budget authority, items of direct 
                spending proposed, limited tariff benefits, or targeted 
                tax benefits to be canceled--
                            (i) the dollar amount of discretionary 
                        budget authority, the specific item of direct 
                        spending (that OMB, after consultation with 
                        CBO, estimates to increase budget authority or 
                        outlays as required by section 1017(9)), the 
                        limited tariff benefit, or the targeted tax 
                        benefit that the President proposes be 
                        canceled;
                            (ii) any account, department, or 
                        establishment of the Government to which such 
                        discretionary budget authority is available for 
                        obligation, and the specific project or 
                        governmental functions involved;
                            (iii) the reasons why such discretionary 
                        budget authority, item of direct spending, 
                        limited tariff benefit, or targeted tax benefit 
                        should be canceled;
                            (iv) to the maximum extent practicable, the 
                        estimated fiscal, economic, and budgetary 
                        effect (including the effect on outlays and 
                        receipts in each fiscal year) of the proposed 
                        cancellation;
                            (v) to the maximum extent practicable, all 
                        facts, circumstances, and considerations 
                        relating to or bearing upon the proposed 
                        cancellation and the decision to propose the 
                        cancellation, and the estimated effect of the 
                        proposed cancellation upon the objects, 
                        purposes, or programs for which the 
                        discretionary budget authority, item of direct 
                        spending, limited tariff benefit, or the 
                        targeted tax benefit is provided;
                            (vi) a numbered list of cancellations to be 
                        included in an approval bill that, if enacted, 
                        would cancel discretionary budget authority, 
                        items of direct spending, limited tariff 
                        benefit, or targeted tax benefits proposed in 
                        that special message; and
                            (vii) if the special message is transmitted 
                        subsequent to or at the same time as another 
                        special message, a detailed explanation why the 
                        proposed cancellations are not substantially 
                        similar to any other proposed cancellation in 
                        such other message.
                    (B) Duplicative proposals prohibited.--The 
                President may not propose to cancel the same or 
                substantially similar discretionary budget authority, 
                item of direct spending, limited tariff benefit, or 
                targeted tax benefit more than one time under this Act.
                    (C) Maximum number of special messages.--The 
                President may not transmit to the Congress more than 5 
                special messages under this subsection related to any 
                bill or joint resolution described in subsection (a), 
                but may transmit not more than 10 special messages for 
                any omnibus budget reconciliation or appropriation 
                measure.
            (2) Enactment of approval bill.--
                    (A) Deficit reduction.--Amounts of budget 
                authority, items of direct spending, limited tariff 
                benefit, or targeted tax benefits which are canceled 
                pursuant to enactment of a bill as provided under this 
                section shall be dedicated only to reducing the deficit 
                or increasing the surplus.
                    (B) Adjustment of levels in the concurrent 
                resolution on the budget.--Not later than 5 days after 
                the date of enactment of an approval bill as provided 
                under this section, the chairs of the Committees on the 
                Budget of the Senate and the House of Representatives 
                shall revise allocations and aggregates and other 
                appropriate levels under the appropriate concurrent 
                resolution on the budget to reflect the cancellation, 
                and the applicable committees shall report revised 
                suballocations pursuant to section 302(b), as 
                appropriate.
                    (C) Trust funds and special funds.--Notwithstanding 
                subparagraph (A), nothing in this title shall be 
                construed to require or allow the deposit of amounts 
                derived from a trust fund or special fund which are 
                canceled pursuant to enactment of a bill as provided 
                under this section to any other fund.

SEC. 602. PROCEDURES IN UNITED STATES CONGRESS.

    (a) Expedited Consideration.--
            (1) In general.--The majority leader or minority leader of 
        each House or his designee shall (by request) introduce an 
        approval bill as defined in section 1017 not later than the 
        third day of session of that House after the date of receipt of 
        a special message transmitted to the Congress under section 
        1011(b). If the bill is not introduced as provided in the 
        preceding sentence in either House, then, on the fourth day of 
        session of that House after the date of receipt of the special 
        message, any Member of that House may introduce the bill.
            (2) Consideration in the house of representatives.--
                    (A) Referral and reporting.--Any committee of the 
                House of Representatives to which an approval bill is 
                referred shall report it to the House without amendment 
                not later than the seventh legislative day after the 
                date of its introduction. If a committee fails to 
                report the bill within that period or the House has 
                adopted a concurrent resolution providing for 
                adjournment sine die at the end of a Congress, such 
                committee shall be automatically discharged from 
                further consideration of the bill and it shall be 
                placed on the appropriate calendar.
                    (B) Proceeding to consideration.--After an approval 
                bill is reported by or discharged from committee or the 
                House has adopted a concurrent resolution providing for 
                adjournment sine die at the end of a Congress, it shall 
                be in order to move to proceed to consider the approval 
                bill in the House. Such a motion shall be in order only 
                at a time designated by the Speaker in the legislative 
                schedule within two legislative days after the day on 
                which the proponent announces his intention to offer 
                the motion. Such a motion shall not be in order after 
                the House has disposed of a motion to proceed with 
                respect to that special message. The previous question 
                shall be considered as ordered on the motion to its 
                adoption without intervening motion. A motion to 
                reconsider the vote by which the motion is disposed of 
                shall not be in order.
                    (C) Consideration.--The approval bill shall be 
                considered as read. All points of order against an 
                approval bill and against its consideration are waived. 
                The previous question shall be considered as ordered on 
                an approval bill to its passage without intervening 
                motion except five hours of debate equally divided and 
                controlled by the proponent and an opponent and one 
                motion to limit debate on the bill. A motion to 
                reconsider the vote on passage of the bill shall not be 
                in order.
                    (D) Senate bill.--An approval bill received from 
                the Senate shall not be referred to committee.
            (3) Consideration in the senate.--
                    (A) Motion to proceed to consideration.--A motion 
                to proceed to the consideration of a bill under this 
                subsection in the Senate shall not be debatable. It 
                shall not be in order to move to reconsider the vote by 
                which the motion to proceed is agreed to or disagreed 
                to.
                    (B) Limits on debate.--Debate in the Senate on a 
                bill under this subsection, and all debatable motions 
                and appeals in connection therewith (including debate 
                pursuant to subparagraph (D)), shall not exceed 10 
                hours, equally divided and controlled in the usual 
                form.
                    (C) Appeals.--Debate in the Senate on any debatable 
                motion or appeal in connection with a bill under this 
                subsection shall be limited to not more than 1 hour, to 
                be equally divided and controlled in the usual form.
                    (D) Motion to limit debate.--A motion in the Senate 
                to further limit debate on a bill under this subsection 
                is not debatable.
                    (E) Motion to recommit.--A motion to recommit a 
                bill under this subsection is not in order.
                    (F) Consideration of the house bill.--
                            (i) In general.--If the Senate has received 
                        the House companion bill to the bill introduced 
                        in the Senate prior to the vote required under 
                        paragraph (1)(C), then the Senate may consider, 
                        and the vote under paragraph (1)(C) may occur 
                        on, the House companion bill.
                            (ii) Procedures after vote on senate 
                        bill.--If the Senate votes, pursuant to 
                        paragraph (1)(C), on the bill introduced in the 
                        Senate, then immediately following that vote, 
                        or upon receipt of the House companion bill, 
                        the House bill shall be deemed to be 
                        considered, read the third time, and the vote 
                        on passage of the Senate bill shall be 
                        considered to be the vote on the bill received 
                        from the House.
    (b) Amendments Prohibited.--No amendment to, or motion to strike a 
provision from, a bill considered under this section shall be in order 
in either the Senate or the House of Representatives.

SEC. 603. IDENTIFICATION OF TARGETED TAX BENEFITS.

    (a) Statement.--The chairman of the Committee on Ways and Means of 
the House of Representatives and the chairman of the Committee on 
Finance of the Senate acting jointly (hereafter in this subsection 
referred to as ``the chairmen'' shall review any revenue or 
reconciliation bill or joint resolution which includes any amendment to 
the Internal Revenue Code of 1986 that is being prepared for filing by 
a committee of conference of the two Houses, and shall identify whether 
such bill or joint resolution contains any targeted tax benefits. The 
chairmen shall provide to the committee of conference a statement 
identifying any such targeted tax benefits or declaring that the bill 
or joint resolution does not contain any targeted tax benefits. Any 
such statement shall be made available to any Member of Congress by the 
chairmen immediately upon request.
    (b) Statement Included in Legislation.--
            (1) In general.--Notwithstanding any other rule of the 
        House of Representatives or any rule or precedent of the 
        Senate, any revenue or reconciliation bill or joint resolution 
        which includes any amendment to the Internal Revenue Code of 
        1986 reported by a committee of conference of the two Houses 
        may include, as a separate section of such bill or joint 
        resolution, the information contained in the statement of the 
        chairmen, but only in the manner set forth in paragraph (2).
            (2) Applicability.--The separate section permitted under 
        subparagraph (A) shall read as follows: ``Section 1021 of the 
        Congressional Budget and Impoundment Control Act of 1974 shall 
        ______ apply to ______,______,000,000'', with the blank spaces 
        being filled in with--
                    (A) in any case in which the chairmen identify 
                targeted tax benefits in the statement required under 
                subsection (a), the word ``only'' in the first blank 
                space and a list of all of the specific provisions of 
                the bill or joint resolution in the second blank space; 
                or
                    (B) in any case in which the chairmen declare that 
                there are no targeted tax benefits in the statement 
                required under subsection (a), the word ``not'' in the 
                first blank space and the phrase ``any provision of 
                this Act'' in the second blank space.
    (c) Identification in Revenue Estimate.--With respect to any 
revenue or reconciliation bill or joint resolution with respect to 
which the chairmen provide a statement under subsection (a), the Joint 
Committee on Taxation shall--
            (1) in the case of a statement described in subsection 
        (b)(2)(A), list the targeted tax benefits in any revenue 
        estimate prepared by the Joint Committee on Taxation for any 
        conference report which accompanies such bill or joint 
        resolution, or
            (2) in the case of a statement described in section 
        13(b)(2)(B), indicate in such revenue estimate that no 
        provision in such bill or joint resolution has been identified 
        as a targeted tax benefit.
    (d) President's Authority.--If any revenue or reconciliation bill 
or joint resolution is signed into law--
            (1) with a separate section described in subsection (b)(2), 
        then the President may use the authority granted in this 
        section only with respect to any targeted tax benefit in that 
        law, if any, identified in such separate section; or
            (2) without a separate section described in subsection 
        (b)(2), then the President may use the authority granted in 
        this section with respect to any targeted tax benefit in that 
        law.

SEC. 604. ADDITIONAL MATTERS.

    (a) Definitions.--
            (1) Appropriation law.--The term ``appropriation law'' 
        means an Act referred to in section 105 of title I, United 
        States Code, including any general or special appropriation 
        Act, or any Act making supplemental, deficiency, or continuing 
        appropriations, that has been signed into law pursuant to 
        Article I, section 7, of the Constitution of the United States.
            (2) Approval bill.--The term ``approval bill'' means a bill 
        or joint resolution which only approves proposed cancellations 
        of dollar amounts of discretionary budget authority, items of 
        new direct spending, limited tariff benefits, or targeted tax 
        benefits in a special message transmitted by the President 
        under this part and--
                    (A) the title of which is as follows: ``A bill 
                approving the proposed cancellations transmitted by the 
                President on ____'', the blank space being filled in 
                with the date of transmission of the relevant special 
                message and the public law number to which the message 
                relates;
                    (B) which does not have a preamble; and
                    (C) which provides only the following after the 
                enacting clause: That the Congress approves of proposed 
                cancellations ____, the blank space being filled in 
                with a list of the cancellations contained in the 
                President's special message, as transmitted by the 
                President in a special message on ____, the blank space 
                being filled in with the appropriate date, regarding 
                ____, the blank space being filled in with the Public 
                Law number to which the special message relates;
                    (D) which only includes proposed cancellations that 
                are estimated by CBO to meet the definition of 
                discretionary budgetary authority or items of direct 
                spending, or limited tariff benefits, or that are 
                identified as targeted tax benefits pursuant to section 
                1014;
                    (E) if any proposed cancellation other than 
                discretionary budget authority or targeted tax benefits 
                is estimated by CBO to not meet the definition of item 
                of direct spending, then the approval bill shall 
                include at the end: The President shall cease the 
                suspension of the implementation of the following under 
                section 1013 of the Legislative Line Item Veto Act of 
                2006: ____, the blank space being filled in with the 
                list of such proposed cancellations; and
                    (F) if no CBO estimate is available, then the 
                entire list of legislative provisions proposed by the 
                President is inserted in the second blank space in 
                subparagraph (C).
            (3) Calendar day.--The term ``calendar day'' means a 
        standard 24-hour period beginning at midnight.
            (4) Cancel or cancellation.--The terms ``cancel'' or 
        ``cancellation'' means to prevent--
                    (A) budget authority from having legal force or 
                effect;
                    (B) in the case of entitlement authority, to 
                prevent the specific legal obligation of the United 
                States from having legal force or effect;
                    (C) in the case of the food stamp program, to 
                prevent the specific provision of law that provides 
                such benefit from having legal force or effect;
                    (D) a limited tariff benefit from having legal 
                force or effect, and to make any necessary, conforming 
                statutory change to ensure that such limited tariff 
                benefit is not implemented; or
                    (E) a targeted tax benefit from having legal force 
                or effect, and to make any necessary, conforming 
                statutory change to ensure that such targeted tax 
                benefit is not implemented and that any budgetary 
                resources are appropriately canceled.
            (5) CBO.--The term ``CBO'' means the Director of the 
        Congressional Budget Office.
            (6) Direct spending.--The term ``direct spending'' means--
                    (A) budget authority provided by law (other than an 
                appropriation law);
                    (B) entitlement authority; and
                    (C) the food stamp program.
            (7) Dollar amount of discretionary budget authority.--(A) 
        Except as provided in subparagraph (B), the term ``dollar 
        amount of discretionary budget authority'' means the entire 
        dollar amount of budget authority--
                    (i) specified in an appropriation law, or the 
                entire dollar amount of budget authority or obligation 
                limitation required to be allocated by a specific 
                proviso in an appropriation law for which a specific 
                dollar figure was not included;
                    (ii) represented separately in any table, chart, or 
                explanatory text included in the statement of managers 
                or the governing committee report accompanying such 
                law;
                    (iii) required to be allocated for a specific 
                program, project, or activity in a law (other than an 
                appropriation law) that mandates the expenditure of 
                budget authority from accounts, programs, projects, or 
                activities for which budget authority is provided in an 
                appropriation law;
                    (iv) represented by the product of the estimated 
                procurement cost and the total quantity of items 
                specified in an appropriation law or included in the 
                statement of managers or the governing committee report 
                accompanying such law; or
                    (v) represented by the product of the estimated 
                procurement cost and the total quantity of items 
                required to be provided in a law (other than an 
                appropriation law) that mandates the expenditure of 
                budget authority from accounts, programs, projects, or 
                activities for which budget authority is provided in an 
                appropriation law.
            (B) The term ``dollar amount of discretionary budget 
        authority'' does not include--
                    (i) direct spending;
                    (ii) budget authority in an appropriation law which 
                funds direct spending provided for in other law;
                    (iii) any existing budget authority canceled in an 
                appropriation law; or
                    (iv) any restriction, condition, or limitation in 
                an appropriation law or the accompanying statement of 
                managers or committee reports on the expenditure of 
                budget authority for an account, program, project, or 
                activity, or on activities involving such expenditure.
            (8) Item of direct spending.--The term ``item of direct 
        spending'' means any provision of law that results in an 
        increase in budget authority or outlays for direct spending 
        relative to the most recent levels calculated consistent with 
        the methodology used to calculate a baseline under section 257 
        of the Balanced Budget and Emergency Deficit Control Act of 
        1985 and included with a budget submission under section 
        1105(a) of title 31, United States Code, in the first year or 
        the 5-year period for which the item is effective. However, 
        such item does not include an extension or reauthorization of 
        existing direct spending, but instead only refers to provisions 
        of law that increase such direct spending.
            (9) Limited tariff benefit.--The term ``limited tariff 
        benefit'' means any provision of law that modifies the 
        Harmonized Tariff Schedule of the United States in a manner 
        that benefits 10 or fewer entities (as defined in paragraph 
        (12)(B)).
            (10) OMB.--The term ``OMB'' means the Director of the 
        Office of Management and Budget.
            (11) Omnibus reconciliation or appropriation measure.--The 
        term ``omnibus reconciliation'' or ``appropriation measure'' 
        means--
                    (A) in the case of a reconciliation bill, any such 
                bill that is reported to its House by the Committee on 
                the Budget; or
                    (B) in the case of an appropriation measure, any 
                such measure that provides appropriations for programs, 
                projects, or activities falling within 2 or more 
                section 302(b) suballocations.
            (12) Targeted tax benefit.--
                    (A) The ``term targeted tax benefit'' means any 
                revenue-losing provision that provides a Federal tax 
                deduction, credit, exclusion, or preference to ten or 
                fewer beneficiaries (determined with respect to either 
                present law or any provision of which the provision is 
                a part) under the Internal Revenue Code of 1986 in any 
                year for which the provision is in effect;
                    (B) For purposes of subparagraph (a).--
                            (i) all businesses and associations that 
                        are members of the same controlled group of 
                        corporations (as defined in section 1563(a) of 
                        the Internal Revenue Code of 1986) shall be 
                        treated as a single beneficiary;
                            (ii) all shareholders, partners, members, 
                        or beneficiaries of a corporation, partnership, 
                        association, or trust or estate, respectively, 
                        shall be treated as a single beneficiary;
                            (iii) all employees of an employer shall be 
                        treated as a single beneficiary;
                            (iv) all qualified plans of an employer 
                        shall be treated as a single beneficiary;
                            (v) all beneficiaries of a qualified plan 
                        shall be treated as a single beneficiary;
                            (vi) all contributors to a charitable 
                        organization shall be treated as a single 
                        beneficiary;
                            (vii) all holders of the same bond issue 
                        shall be treated as a single beneficiary; and
                            (viii) if a corporation, partnership, 
                        association, trust or estate is the beneficiary 
                        of a provision, the shareholders of the 
                        corporation, the partners of the partnership, 
                        the members of the association, or the 
                        beneficiaries of the trust or estate shall not 
                        also be treated as beneficiaries of such 
                        provision;
                    (C) For the purpose of this paragraph, the term 
                ``revenue-losing provision'' means any provision that 
                is estimated to result in a reduction in federal tax 
                revenues (determined with respect to either present law 
                or any provision of which the provision is a part) for 
                any one of the two following periods--
                            (i) the first fiscal year for which the 
                        provision is effective; or
                            (ii) the period of the 5 fiscal years 
                        beginning with the first fiscal year for which 
                        the provision is effective;
                    (D) the ``term targeted tax benefit'' does not 
                include any provision which applies uniformly to an 
                entire industry; and
                    (E) the terms used in this paragraph shall have the 
                same meaning as those terms have generally in the 
                Internal Revenue Code of 1986, unless otherwise 
                expressly provided.

SEC. 605. EXPIRATION.

    This title shall have no force or effect on or after October 1, 
2012.

SEC. 606. SENSE OF CONGRESS ON DEFERRAL AUTHORITY.

    It is the sense of Congress that legislation providing the 
authority to temporarily defer spending on proposed rescissions should 
be enacted.

SEC. 607. SENSE OF CONGRESS ON ABUSE OF PROPOSED CANCELLATIONS.

    It is the sense of Congress that no President or any executive 
branch official should condition the inclusion or exclusion or threaten 
to condition the inclusion or exclusion of any proposed cancellation in 
any special message under this title upon any vote cast or to be cast 
by any Member of either House of Congress.

                    TITLE VII--EARMARK TRANSPARENCY

SEC. 701. PROHIBITION ON OBLIGATION OF FUNDS FOR EARMARKS INCLUDED ONLY 
              IN CONGRESSIONAL REPORTS.

    (a) Requirement That Earmarks Must Be in Legislative Text.--
Notwithstanding any other rule of the House, in addition to the 
requirements set forth in clause 9 of rule XXI of the Rules of the 
House of Representatives, it shall not be in order to consider any 
bill, joint resolution, amendment thereto, or conference report 
thereon, unless the list of congressional earmarks, limited tax 
benefits, and limited tariff benefits, required by clause 9(a)of rule 
XXI are also set forth in the text of such measure.
    (b) Availability on the Internet.--Notwithstanding any other rule 
of the House, in addition to the requirements set forth in clause 9 of 
rule XXI of the Rules of the House of Representatives, it shall not be 
in order to consider any bill, joint resolution, or conference report 
thereon, unless the lists required by paragraphs (1), (2), and (4) of 
clause 9 of rule XXI are made available on the Internet in a searchable 
format to the general public for at least 48 hours before 
consideration.

SEC. 702. DEFINITIONS.

    (a) Congressional Earmark.--The term ``congressional earmark'' 
means a provision or report language included primarily at the request 
of a Member, Delegate, Resident Commissioner, or Senator providing, 
authorizing or recommending a specific amount of discretionary budget 
authority, credit authority, or other spending authority for a 
contract, loan, loan guarantee, grant, loan authority, or other 
expenditure with or to an entity, or targeted to a specific State, 
locality or Congressional district, other than through a statutory or 
administrative formula-driven or competitive award process.
    (b) Limited Benefits.--
            (1) Limited tariff benefit.--The term ``limited tariff 
        benefit'' means any provision of law that modifies the 
        Harmonized Tariff Schedule of the United States in a manner 
        that benefits 10 or fewer entities (as defined in paragraph 
        (12)(B)).
            (2) Limited tax benefit.--(A) The term ``limited tax 
        benefit'' means any revenue-losing provision that provides a 
        Federal tax deduction, credit, exclusion, or preference to ten 
        or fewer beneficiaries (determined with respect to either 
        present law or any provision of which the provision is a part) 
        under the Internal Revenue Code of 1986 in any year for which 
        the provision is in effect.
            (B) For purposes of subparagraph (A)--
                    (i) all businesses and associations that are 
                members of the same controlled group of corporations 
                (as defined in section 1563(a) of the Internal Revenue 
                Code of 1986) shall be treated as a single beneficiary;
                    (ii) all shareholders, partners, members, or 
                beneficiaries of a corporation, partnership, 
                association, or trust or estate, respectively, shall be 
                treated as a single beneficiary;
                    (iii) all employees of an employer shall be treated 
                as a single beneficiary;
                    (iv) all qualified plans of an employer shall be 
                treated as a single beneficiary;
                    (v) all beneficiaries of a qualified plan shall be 
                treated as a single beneficiary;
                    (vi) all contributors to a charitable organization 
                shall be treated as a single beneficiary;
                    (vii) all holders of the same bond issue shall be 
                treated as a single beneficiary; and
                    (viii) if a corporation, partnership, association, 
                trust or estate is the beneficiary of a provision, the 
                shareholders of the corporation, the partners of the 
                partnership, the members of the association, or the 
                beneficiaries of the trust or estate shall not also be 
                treated as beneficiaries of such provision;
            (C) For the purpose of this paragraph, the term ``revenue-
        losing provision'' means any provision that is estimated to 
        result in a reduction in federal tax revenues (determined with 
        respect to either present law or any provision of which the 
        provision is a part) for any one of the two following periods--
                    (i) the first fiscal year for which the provision 
                is effective; or
                    (ii) the period of the 5 fiscal years beginning 
                with the first fiscal year for which the provision is 
                effective;
            (D) the term ``limited tax benefit'' does not include any 
        provision which applies uniformly to an entire industry; and
            (E) the terms used in this paragraph shall have the same 
        meaning as those terms have generally in the Internal Revenue 
        Code of 1986, unless otherwise expressly provided.
    (c) Special Rule.--Notwithstanding any other provision of the Rules 
of the House, the definitions set forth in this section shall apply for 
congressional earmarks, limited tariff benefits, and limited tax 
benefits.

                       TITLE VIII--PAY-AS-YOU-GO.

SEC. 801. PAY-AS-YOU-GO POINT OF ORDER.

    (a) Point of Order.--
            (1) In general.--It shall not be in order in the House or 
        the Senate to consider any direct spending legislation, 
        excluding the impact of any revenue provisions, that would 
        increase the on-budget deficit or cause an on-budget deficit 
        for any 1 of 4 applicable time periods as measured in 
        paragraphs (5) and (6).
            (2) Applicable time periods.--For purposes of this 
        subsection, the term ``applicable time period'' means any 1 of 
        the 4 following periods:
                    (A) The current fiscal year.
                    (B) The budget year.
                    (C) The period of the 5 fiscal years following the 
                current fiscal year.
                    (D) The period of the 5 fiscal years following the 
                5 fiscal years referred to in subparagraph (C).
            (3) Direct spending legislation.--For purposes of this 
        subsection and except as provided in paragraph (4), the term 
        ``direct spending legislation'' means any bill, joint 
        resolution, amendment, motion, or conference report that 
        affects direct spending as that term is defined by, and 
        interpreted for purposes of, the Balanced Budget and Emergency 
        Deficit Control Act of 1985.
            (4) Baseline.--Estimates prepared pursuant to this 
        subsection shall--
                    (A) use the most recent baseline estimates supplied 
                by the Congressional Budget Office consistent with 
                section 257 of the Balanced Budget and Emergency 
                Deficit Control Act of 1985 used in considering a 
                concurrent resolution on the budget; or
                    (B) after the beginning of a new calendar year and 
                before consideration of a concurrent resolution on the 
                budget, the most recent baseline estimates supplied by 
                the Congressional Budget Office consistent with section 
                257 of the Balanced Budget and Emergency Deficit 
                Control Act of 1985.
            (5) Prior surplus.--If direct spending or revenue 
        legislation increases the on-budget deficit or causes an on-
        budget deficit when taken individually, it must also increase 
        the on-budget deficit or cause an on-budget deficit when taken 
        together with all direct spending and revenue legislation 
        enacted since the beginning of the calendar year not accounted 
        for in the baseline under paragraph (5)(A), except that direct 
        spending or revenue effects resulting in net deficit reduction 
        enacted in any bill pursuant to a reconciliation instruction 
        since the beginning of that same calendar year shall never be 
        made available on the pay-as-you-go ledger and shall be 
        dedicated only for deficit reduction.
    (b) Determination of Budget Levels.--For purposes of this section, 
the levels of new budget authority, outlays, and revenues for a fiscal 
year shall be determined on the basis of estimates made by the 
Committees on the Budget.
    (c) Point of Order Protection in the House.--In the House, it shall 
not be in order to consider a rule or order that waives the application 
of subsection (a). As disposition of a point of order under this 
paragraph, the Chair shall put the question of consideration with 
respect to the rule or order that waives the application of subsection 
(a). The question of consideration shall be debatable for 10 minutes by 
the Member initiating the point of order and for 10 minutes by an 
opponent, but shall otherwise be decided without intervening motion 
except one that the House adjourn.

                TITLE IX--DISCRETIONARY SPENDING LIMITS.

SEC. 901. DISCRETIONARY SPENDING LIMITS IN THE HOUSE.

    (a) Point of Order.--It shall not be in order in the House to 
consider any bill or joint resolution, or amendment thereto, that 
provides new budget authority that would cause the discretionary 
spending limits to be exceeded for any fiscal year.
    (b) Discretionary Spending Limits.--In the House and as used in 
this section, the term ``discretionary spending limit'' means--
            (1) with respect to fiscal year 2008, for the discretionary 
        category: $1,079,593,000,000 in new budget authority and 
        $1,127,623,000,000 in outlays;
            (2) with respect to fiscal year 2009, for the discretionary 
        category: $1,004,865,000,000 in new budget authority and 
        $1,121,730,000,000 in outlays;
            (3) with respect to fiscal year 2010, for the discretionary 
        category: $977,058,000,000 in new budget authority and 
        $1,050,106,000,000 in outlays;
as adjusted in conformance with subsection (c).
    (c) Adjustments.--
            (1) In general.--
                    (A) Chairman.--After the reporting of a bill or 
                joint resolution, the offering of an amendment thereto, 
                or the submission of a conference report thereon, the 
                chairman of the Committee on the Budget may make the 
                adjustments set forth in subparagraph (B) for the 
                amount of new budget authority in that measure (if that 
                measure meets the requirements set forth in paragraph 
                (2)) and the outlays flowing from that budget 
                authority. The chairman of the Committee on the Budget 
                may also make appropriate adjustments for the reserve 
                funds set forth in this resolution.
                    (B) Matters to be adjusted.--The adjustments 
                referred to in subparagraph (A) are to be made to--
                            (i) the discretionary spending limits, if 
                        any, set forth in the appropriate concurrent 
                        resolution on the budget;
                            (ii) the allocations made pursuant to the 
                        appropriate concurrent resolution on the budget 
                        pursuant to section 302(a) of the Congressional 
                        Budget Act of 1974; and
                            (iii) the budgetary aggregates as set forth 
                        in the appropriate concurrent resolution on the 
                        budget.
            (2) Amounts of adjustments.--The adjustment referred to in 
        paragraph (1) shall be an amount provided and designated as an 
        emergency requirement;
            (3) Application of adjustments.--The adjustments made for 
        legislation pursuant to paragraph (1) shall--
                    (A) apply while that legislation is under 
                consideration;
                    (B) take effect upon the enactment of that 
                legislation; and
                    (C) be published in the Congressional Record as 
                soon as practicable.
            (4) Application of this section.--The provisions of this 
        section shall apply to legislation providing new budget 
        authority for fiscal years 2008 through 2010.
    (d) Enforcement in the House of Representatives.--
            (1) Waiver protection.--It shall not be in order in the 
        House of Representatives to consider a rule or order that 
        waives the application of this section.
            (2) Consideration in the house.--
                    (A) This subsection shall apply only to the House 
                of Representatives.
                    (B) In order to be cognizable by the Chair, a point 
                of order under this section must specify the precise 
                language on which it is premised.
                    (C) As disposition of points of order under this 
                section, the Chair shall put the question of 
                consideration with respect to the proposition that is 
                the subject of the points of order.
                    (D) A question of consideration under this section 
                shall be debatable for 10 minutes by each Member 
                initiating a point of order and for 10 minutes by an 
                opponent on each point of order, but shall otherwise be 
                decided without intervening motion except one that the 
                House adjourn or that the Committee of the Whole rise, 
                as the case may be.
                    (E) The disposition of the question of 
                consideration under this subsection with respect to a 
                bill or joint resolution shall be considered also to 
                determine the question of consideration under this 
                subsection with respect to an amendment made in order 
                as original text.
            (3) Extension of spending limits.--It shall not be in order 
        in the House of Representatives to consider a concurrent 
        resolution on the budget as described in section 301 of the 
        Congressional Budget Act of 1974 unless such resolution 
        includes discretionary spending limits that are in the same 
        amounts or less than those included in this section.

                      TITLE X--SENSES OF CONGRESS

SEC. 1001. SENSE OF THE HOUSE REGARDING THE IMPORTANCE OF CHILD SUPPORT 
              ENFORCEMENT.

    It is the Sense of the House that additional legislative action is 
needed to ensure that states have the necessary resources to collect 
all child support that is owed to families and to allow them to pass 
100 percent of support on to families without financial penalty. It is 
further the Sense of the House that when 100 percent of child support 
payments are passed on to the child, rather than administrative 
expenses, program integrity is improved and child support participation 
increases.

SEC. 1002. SENSE OF THE HOUSE ON STATE VETERANS CEMETERIES.

    It is the sense of the House that the Federal Government should pay 
the plot allowance for the internment in a State veterans cemetery of 
any spouse or eligible child of a veteran, consistent with the pay-as-
you-go principle.

SEC. 1003. SENSE OF CONGRESS ON HEALTH INSURANCE REFORM.

    It is the sense of the Congress that legislation should be 
considered that does the following:
            (1) Amends the Internal Revenue Code to allow individual 
        taxpayers a refundable tax credit for health insurance costs 
        paid for the benefit of the taxpayer, the taxpayer's spouse, 
        and dependents.
            (2) Requires business taxpayers who receive payments for 
        certain employee health insurance coverage to file 
        informational returns.
            (3) Directs the Secretary of the Treasury to make advance 
        payments of health insurance tax credit amounts to health 
        insurance providers.
            (4) Limits the tax exclusion for employer-provided health 
        care coverage.

SEC. 1004. SENSE OF THE HOUSE ON THE INTERNAL REVENUE CODE OF 1986.

    (a) Sense of Congress on the Termination of the Internal Revenue 
Code of 1986.--No tax shall be imposed by the Internal Revenue Code of 
1986--
            (1) for any taxable year beginning after December 31, 2010; 
        and
            (2) in the case of any tax not imposed on the basis of a 
        taxable year, on any taxable event or for any period after 
        December 31, 2010.
    (b) Exception.--It is further the sense of the House of 
Representatives that legislation enacted pursuant to subsection (a) 
shall not apply to taxes imposed by--
            (1) chapter 2 of such Code (relating to tax on self-
        employment income);
            (2) chapter 21 of such Code (relating to Federal Insurance 
        Contributions Act); and
            (3) chapter 22 of such Code (relating to Railroad 
        Retirement Tax Act).
    (c) Structure of a New Federal Tax System.--Congress declares that 
any new Federal tax system should be a simple and fair system that--
            (1) applies a low rate to all Americans;
            (2) provides tax relief for working Americans;
            (3) protects the rights of taxpayers and reduces tax 
        collection abuses;
            (4) eliminates the bias against savings and investment;
            (5) promotes economic growth and job creation; and
            (6) does not penalize marriage or families.
    (d) Timing of Implementation.--In order to ensure an easy 
transition and effective implementation, the Congress hereby declares 
that any new Federal tax system should be approved by Congress in its 
final form no later than July 4, 2010.
                                 <all>