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115th Congress     }                                {          Report
                        HOUSE OF REPRESENTATIVES                 
 2d Session        }                                {           115-816                        
_______________________________________________________________________

                                     


                         CONCURRENT RESOLUTION
                            ON THE BUDGET--
                            FISCAL YEAR 2019

                               ----------                              

                              R E P O R T

                                 of the

                        COMMITTEE ON THE BUDGET
                        HOUSE OF REPRESENTATIVES

                              to accompany

                            H. Con. Res. 128

  ESTABLISHING THE BUDGET FOR THE UNITED STATES GOVERNMENT FOR FISCAL 
  YEAR 2019 AND SETTING FORTH APPROPRIATE BUDGETARY LEVELS FOR FISCAL 
                        YEARS 2020 THROUGH 2028

                             together with

                             MINORITY VIEWS
                             
                             
                             
                             
                             

 [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]







 July 13, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed








         

115th Congress     }                                {          Report
                        HOUSE OF REPRESENTATIVES                 
 2d Session        }                                {           115-816                        
_______________________________________________________________________

                                     


                         CONCURRENT RESOLUTION

                            ON THE BUDGET--

                            FISCAL YEAR 2019

                               __________

                              R E P O R T

                                 of the

                        COMMITTEE ON THE BUDGET

                        HOUSE OF REPRESENTATIVES

                              to accompany

                            H. Con. Res. 128

  ESTABLISHING THE BUDGET FOR THE UNITED STATES GOVERNMENT FOR FISCAL 
  YEAR 2019 AND SETTING FORTH APPROPRIATE BUDGETARY LEVELS FOR FISCAL 
                        YEARS 2020 THROUGH 2028

                             together with

                             MINORITY VIEWS





[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]




 July 13, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed
              
              
                                     ______

                         U.S. GOVERNMENT PUBLISHING OFFICE 

30-739                         WASHINGTON : 2018
            
              
              
              
              
              
              
                        COMMITTEE ON THE BUDGET

                    STEVE WOMACK, Arkansas, Chairman
TODD ROKITA, Indiana, Vice Chairman  JOHN A. YARMUTH, Kentucky,
DIANE BLACK, Tennessee                 Ranking Minority Member
MARIO DIAZ-BALART, Florida           BARBARA LEE, California
TOM COLE, Oklahoma                   MICHELLE LUJAN GRISHAM, New Mexico
TOM McCLINTOCK, California           SETH MOULTON, Massachusetts
ROB WOODALL, Georgia                 HAKEEM S. JEFFRIES, New York
MARK SANFORD, South Carolina         BRIAN HIGGINS, New York
DAVE BRAT, Virginia                  SUZAN K. DelBENE, Washington
GLENN GROTHMAN, Wisconsin            DEBBIE WASSERMAN SCHULTZ, Florida
GARY J. PALMER, Alabama              BRENDAN F. BOYLE, Pennsylvania
BRUCE WESTERMAN, Arkansas            RO KHANNA, California
JAMES B. RENACCI, Ohio               PRAMILA JAYAPAL, Washington,
BILL JOHNSON, Ohio                     Vice Ranking Minority Member
JASON SMITH, Missouri                SALUD CARBAJAL, California
JASON LEWIS, Minnesota               SHEILA JACKSON LEE, Texas
JACK BERGMAN, Michigan               JANICE D. SCHAKOWSKY, Illinois
JOHN J. FASO, New York
LLOYD SMUCKER, Pennsylvania
MATT GAETZ, Florida
JODEY C. ARRINGTON, Texas
A. DREW FERGUSON IV, Georgia

                           Professional Staff

                       Dan Keniry, Staff Director
                  Ellen Balis, Minority Staff Director
                            C O N T E N T S

                                                                   Page
Introduction.....................................................     3
    Table 1. Fiscal Year 2019 Budget Resolution Total Spending 
      and Revenue................................................     5
    Table 2. Fiscal Year 2019 Budget Resolution Discretionary 
      Spending...................................................     8
    Table 3. Fiscal Year 2019 Budget Resolution Mandatory 
      Spending...................................................    11
Long-Term Budget Outlook.........................................    15
Mandatory Spending Trends and Reforms............................    17
    Table 4. Projected Means-Tested and Non Means-Tested 
      Mandatory Spending.........................................    20
    Table 5. Historical Means-Tested and Non Means-Tested 
      Mandatory Spending.........................................    22
The Economy and Economic Assumptions.............................    25
    Table 6. Economic Projections: Administration, CBO, and 
      Private Forecasters........................................    28
    Table 7. Economic Assumptions of the Fiscal Year 2019 Budget 
      Resolution.................................................    29
Macroeconomic Feedback Effects of Pro-Growth Policies............    31
    Function-By-Function Presentation............................    33
    Function 050: National Defense...............................    33
    Function 150: International Affairs..........................    37
    Function 250: General Science, Space, and Technology.........    41
    Function 270: Energy.........................................    43
    Function 300: Natural Resources and Environment..............    45
    Function 350: Agriculture....................................    49
    Function 370: Commerce and Housing Credit....................    51
    Function 400: Transportation.................................    55
    Function 450: Community and Regional Development.............    57
    Function 500: Education, Training, Employment, and Social 
      Services...................................................    59
    Function 550: Medicaid and Other Health......................    65
    Function 570: Medicare.......................................    75
    Function 600: Income Security................................    83
    Function 650: Social Security................................    87
    Function 700: Veterans Benefits and Services.................    89
    Function 750: Administration of Justice......................    93
    Function 800: General Government.............................    95
    Function 900: Net Interest...................................    99
    Function 920: Allowances.....................................   101
    Function 930: Government-Wide Savings........................   103
    Function 950: Undistributed Offsetting Receipts..............   105
    Function 970: Overseas Contingency Operations/Global War on 
      Terrorism..................................................   107
Revenue and Tax Reform...........................................   109
    Table 8. Tax expenditure Estimates by Budget Function, Fiscal 
      Years 2017-2021............................................   112
Addressing Improper Payments.....................................   121
The President's Budget: A Brief Summary..........................   125
    Table 9. Summary of Fiscal Year 2019 Budget Resolution.......   128
    Table 10. Fiscal Year 2019 Budget Resolution vs. the 
      President's Budget.........................................   129
Section-by-Section Description...................................   131
The Congressional Budget Process.................................   143
    Table 11. Allocation of Spending Authority to House Committee 
      on Appropriations..........................................   144
    Table 12. Resolution by Authorizing Committee (On-budget 
      Amounts)...................................................   145
Reconciliation...................................................   149
Enforcing Budgetary Levels.......................................   151
Statutory Controls Over the Budget...............................   155
Accounts Identified for Advance Appropriations...................   161
Votes of the Committee...........................................   163
Amendments Considered by the Committee on the Budget.............   187
Other Matters Under the Rules of the House.......................   199
Minority Views...................................................   201
Legislative Text.................................................   203




                                                                       
115th Congress     }                                {          Report
                        HOUSE OF REPRESENTATIVES                 
 2d Session        }                                {          115-816                        

======================================================================



 
                 CONCURRENT RESOLUTION ON THE BUDGET--
                            FISCAL YEAR 2019

                                _______
                                

  ESTABLISHING THE BUDGET FOR THE UNITED STATES GOVERNMENT FOR FISCAL 
  YEAR 2019 AND SETTING FORTH APPROPRIATE BUDGETARY LEVELS FOR FISCAL 
                        YEARS 2020 THROUGH 2028

                                _______
                                

 July 13, 2018.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

 Mr. Womack, from the Committee on the Budget, submitted the following

                              R E P O R T

                             together with

                             MINORITY VIEWS

                    [To accompany H. Con. Res. 128]

                              INTRODUCTION

                              ----------                              


    The federal government's financial health is critical, and 
the nation is on the brink of a fiscal crisis. Spending is out 
of control, rising at unsustainable rates. Deficits continue to 
grow and are projected to exceed $1 trillion annually in just 
two years.\1\ The government's publicly held debt, already at 
historically high levels, is on course to reach the size of the 
entire economy within the decade. The trust funds of the two 
major social insurance programs on which millions of Americans 
depend--Social Security and Medicare--are approaching 
depletion, which will force deep and automatic cuts in 
benefits, as required by law.\2\
---------------------------------------------------------------------------
    \1\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 9, 2018, https://www.cbo.gov/publication/53651, 
Summary Table 2.
    \2\The Budget and Economic Outlook: 2018 to 2028, Appendix C.
---------------------------------------------------------------------------
    These increases in spending, particularly mandatory 
spending, deficits, and debt are unsustainable. House 
Republicans have long warned that Congress must act in response 
to the warning signs and create a sustainable path for the 
future. While the task is daunting and made worse by years of 
inattention, it is possible to change the current course and 
secure a brighter future for generations to come. However, in 
order to change course in the long-term, Congress must commit 
to and make tough decisions about the nation's finances in the 
short-term.
    This fiscal blueprint follows these guidelines:

   Balancing the Budget. The resolution draws a path 
toward a balanced budget within nine years, without raising 
taxes. The national debt is already an impediment to greater 
prosperity and a threat to the security of future generations. 
This committee's budget significantly reduces spending and 
reforms programs to put the government on a sustainable 
spending path.
   Promoting Economic Growth. This budget builds on the 
successes of the Tax Cuts and Jobs Act, further promoting 
economic growth and encouraging job creation. The pro-growth 
policies in this budget include deficit reduction, spending 
restraint, welfare reform, Affordable Care Act repeal-and-
replace legislation, and regulatory reform. All can promote 
more robust growth over the longer term.
   Ensuring a Strong National Defense. Defending 
America's security is the highest priority of the federal 
government. To that end, this budget supports robust funding of 
troop training, equipment, compensation, and improved 
readiness.
   Improving the Sustainability of Medicare. Retirees 
should be able to choose a health coverage plan best suited to 
their particular needs, rather than accept a set of benefits 
dictated by Washington. The Medicare program should ensure 
doctors and patients make health care decisions for themselves 
while promoting competition among insurers to expand choices of 
coverage and restrain costs. Reforms such as these will have 
the added benefit of improving Medicare's long-term financial 
condition, ensuring it will be there for future generations.
   Restoring the Proper Role of State and Local 
Governments. The budget encourages the innovation and 
creativity outside Washington. Under this budget, states and 
localities would reclaim their rightful authority to tailor 
programs in areas such as education, transportation, welfare, 
and environmental stewardship. They possess not only the 
ability but also the will to reform and modernize programs that 
serve their citizens. The laboratories of democracy, not the 
federal government, are where these reforms should happen.
   Reforming Government Programs while Improving 
Accountability. Every tax dollar collected by the federal 
government was generated by private-sector economic activity. 
Responsible stewardship of taxpayer dollars is a fundamental 
component of the budget resolution. At every opportunity 
possible, the budget reforms government programs and improves 
accountability while generating better outcomes for Americans.


                                                             TABLE 1.--FISCAL YEAR 2019 BUDGET RESOLUTION TOTAL SPENDING AND REVENUE
                                                                                    [in millions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                   Fiscal Year                       2019        2020        2021        2022        2023        2024        2025        2026        2027        2028      2019-2023   2019-2028
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                             SUMMARY
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Total Spending:
    BA..........................................   4,397,738   4,471,914   4,614,675   4,793,311   4,983,642   5,134,363   5,260,959   5,448,523   5,629,406   5,760,730  23,261,280  50,495,262
    OT..........................................   4,292,575   4,435,607   4,590,374   4,790,658   4,955,040   5,087,746   5,224,407   5,418,108   5,593,121   5,757,798  23,064,255  50,145,436
On-Budget:
    BA..........................................   3,478,974   3,488,774   3,563,231   3,669,991   3,783,347   3,856,688   3,899,811   4,005,410   4,094,293   4,125,676  17,984,316  37,966,194
    OT..........................................   3,379,438   3,458,307   3,545,070   3,673,780   3,761,485   3,817,215   3,870,702   3,982,738   4,066,253   4,131,191  17,818,080  37,686,179
Off-Budget:
    BA..........................................     918,764     983,140   1,051,444   1,123,320   1,200,296   1,277,674   1,361,149   1,443,113   1,535,113   1,635,054   5,276,964  12,529,067
    OT..........................................     913,137     977,301   1,045,304   1,116,878   1,193,555   1,270,531   1,353,706   1,435,370   1,526,868   1,626,607   5,246,175  12,459,257
Revenues:
    Total.......................................   3,489,690   3,677,652   3,826,597   4,012,070   4,227,744   4,444,106   4,662,760   5,001,622   5,299,271   5,520,231  19,233,753  44,161,743
    On-Budget...................................   2,590,496   2,736,347   2,845,396   2,990,130   3,164,364   3,338,062   3,513,201   3,807,248   4,058,110   4,229,859  14,326,733  33,273,213
    Off-Budget..................................     899,194     941,305     981,201   1,021,940   1,063,380   1,106,044   1,149,559   1,194,374   1,241,161   1,290,372   4,907,020  10,888,530
Recommended Change in Revenues (vs. CBO
 Baseline):
    Total.......................................           0           0           0           0           0           0           0           0           0           0           0           0
    On-Budget...................................           0           0           0           0           0           0           0           0           0           0           0           0
    Off-Budget..................................           0           0           0           0           0           0           0           0           0           0           0           0
Surplus/Deficit(-):
    Total.......................................    -792,885    -737,955    -713,777    -698,588    -597,296    -463,640    -331,647    -146,486      26,150     142,433  -3,540,502  -4,313,693
    Macroeconomic Impact on the Deficit.........      10,000      20,000      50,000      80,000     130,000     180,000     230,000     270,000     320,000     380,000     290,000   1,670,000
    On-Budget...................................    -788,942    -721,960    -699,674    -683,650    -597,121    -479,153    -357,501    -175,490      -8,143      98,668  -3,491,347  -4,412,966
    Off-Budget..................................     -13,943     -35,996     -64,103     -94,938    -130,175    -164,487    -204,147    -240,996    -285,707    -336,235    -339,155  -1,570,727
Debt Held by the Public (end of year)...........  16,568,177  17,363,858  18,125,630  18,869,457  19,512,838  20,026,824  20,412,479  20,614,633  20,645,322  20,560,545
Debt Subject to Limit (end of year).............  22,356,469  23,216,315  24,010,615  24,735,181  25,350,001  25,832,181  26,124,404  26,275,988  26,109,909  25,750,525
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                           BY FUNCTION
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
National Defense (050):
    BA..........................................     656,500     689,121     723,190     726,804     730,442     734,111     737,806     741,523     745,277     748,489   3,526,057   7,233,263
    OT..........................................     633,352     655,961     689,135     709,118     711,516     713,215     722,903     726,681     730,451     739,313   3,399,082   7,031,645
International Affairs (150):
    BA..........................................      47,895      49,063      49,178      47,379      48,479      49,711      50,843      52,031      53,207      54,401     241,994     502,187
    OT..........................................      43,551      44,417      45,351      45,574      46,321      47,044      47,790      48,809      49,880      51,019     225,214     469,756
General Science, Space and Technology (250):
    BA..........................................      29,497      30,175      30,901      31,630      32,361      33,151      33,910      34,674      35,474      36,278     154,564     328,051
    OT..........................................      31,478      30,856      30,914      31,267      31,751      32,457      33,169      33,923      34,688      35,484     156,266     325,987
Energy (270):
    BA..........................................      -2,562       2,737     -11,118       1,118         790       1,116         808         618         625       3,314      -9,035      -2,554
    OT..........................................       4,224       3,644     -10,770         978         158         339          35        -147          70       2,764      -1,766       1,295
Natural Resources & Environment (300):
    BA..........................................      52,244      54,086      54,651      54,507      56,796      57,821      58,540      60,592      62,269      63,955     272,284     575,461
    OT..........................................      37,591      37,858      38,560      38,500      40,777      41,991      43,300      45,923      48,204      50,499     193,286     423,203
Agriculture (350):
    BA..........................................      23,466      21,993      23,323      21,182      21,744      22,245      22,777      23,544      23,708      24,423     111,708     228,405
    OT..........................................      22,546      21,811      22,940      20,551      21,051      21,537      22,032      22,826      22,979      23,668     108,899     221,941
Commerce & Housing Credit (370):
    On-Budget:..................................
        BA......................................      -4,325     -10,200      -7,681      -8,337      -8,456      -6,951      -5,095      -5,225      -5,211      -5,714     -38,999     -67,195
        OT......................................      -9,672     -16,540     -15,519     -17,403     -17,850     -16,399     -15,392     -15,083     -15,850     -15,759     -76,984    -155,467
    Off-Budget:.................................
        BA......................................      -1,804      -2,034      -1,071        -133        -195      -2,192      -2,179      -2,155      -2,141      -2,109      -5,237     -16,013
        OT......................................      -1,805      -2,034      -1,071        -134        -195      -2,193      -2,180      -2,156      -2,142      -2,110      -5,239     -16,020
Transportation (400):
    BA..........................................      95,233      88,996      70,979      71,617      72,400      73,241      73,995      74,919      75,995      76,947     399,225     774,322
    OT..........................................      92,465      93,556      91,134      82,757      79,100      77,767      76,819      76,375      76,730      77,208     439,012     823,911
Community & Regional Development (450):
    BA..........................................      74,678      76,515      78,061      79,707      81,455      83,389      85,269      87,176      89,092      90,978     390,416     826,320
    OT..........................................      44,532      49,572      51,887      56,856      58,222      63,143      68,023      72,584      76,130      79,533     261,069     620,482
Education, Training, Employment, and Social
 Services (500):
    BA..........................................      89,643      98,245      99,900      98,956      97,736      97,412      98,529      99,359     100,277     102,041     484,480     982,098
    OT..........................................     105,795      98,277      99,773      99,596      98,801      98,190      99,054      99,997     100,930     102,520     502,242   1,002,933
Health (550):
    BA..........................................     577,947     535,605     493,983     539,822     562,960     574,422     598,546     624,915     634,591     656,144   2,710,317   5,798,935
    OT..........................................     529,709     513,181     484,274     526,335     547,080     567,644     591,133     615,878     633,703     652,492   2,600,579   5,661,429
 
Medicare (570):
    BA..........................................     648,039     675,326     727,232     813,149     831,639     829,127     904,939     962,152   1,023,360   1,150,826   3,695,385   8,565,789
    OT..........................................     647,663     674,993     726,856     812,779     831,271     828,754     904,559     961,762   1,022,973   1,150,437   3,693,562   8,562,047
Income Security (600):
    BA..........................................     489,346     484,668     494,922     508,298     518,765     504,105     513,490     523,311     518,373     526,827   2,495,999   5,082,105
    OT..........................................     479,169     475,993     486,381     506,383     511,705     492,173     502,427     517,955     509,731     523,951   2,459,631   5,005,868
Social Security (650):
    On-Budget:..................................
        BA......................................      35,977      39,035      42,028      45,053      48,312      51,893      55,894      66,328      72,886      78,066     210,405     535,472
        OT......................................      35,977      39,035      42,028      45,053      48,312      51,893      55,894      66,328      72,886      78,066     210,405     535,472
    Off-Budget:.................................
        BA......................................   1,019,106   1,082,736   1,150,046   1,220,549   1,295,042   1,372,170   1,453,201   1,531,637   1,618,644   1,711,501   5,767,479  13,454,632
        OT......................................   1,013,480   1,076,897   1,143,906   1,214,108   1,288,301   1,365,028   1,445,759   1,523,895   1,610,400   1,703,055   5,736,692  13,384,829
Veterans Benefits and Services (700):
    BA..........................................     196,374     202,515     208,785     215,491     221,047     227,178     234,772     241,792     249,111     258,125   1,044,212   2,255,190
    OT..........................................     194,161     200,642     207,057     222,548     219,458     215,929     232,629     239,579     246,815     266,787   1,043,866   2,245,605
Administration of Justice (750):
    BA..........................................      58,262      64,972      65,478      67,095      69,050      70,873      72,651      74,212      76,027      77,902     324,857     696,522
    OT..........................................      62,957      64,940      68,896      68,372      69,095      70,270      72,125      73,672      75,406      77,190     334,261     702,923
General Government (800):
    BA..........................................      23,291      24,354      24,268      25,155      24,792      28,409      29,010      29,009      29,276      29,539     121,860     267,103
    OT..........................................      22,963      23,926      23,741      24,737      24,375      27,797      28,575      28,564      28,819      29,076     119,742     262,573
Net Interest (900):
    On-Budget:..................................
        BA......................................     468,919     557,681     634,898     693,003     731,591     747,462     756,694     768,371     778,354     784,714   3,086,091   6,921,686
        OT......................................     468,919     557,681     634,898     693,003     731,591     747,462     756,694     768,371     778,354     784,714   3,086,091   6,921,686
    Off-Budget:.................................
        BA......................................     -80,721     -79,101     -78,406     -77,319     -74,125     -71,219     -68,119     -63,932     -58,256     -50,487    -389,672    -701,685
        OT......................................     -80,721     -79,101     -78,406     -77,319     -74,125     -71,219     -68,119     -63,932     -58,256     -50,487    -389,672    -701,685
Allowances (920):
    BA..........................................     -17,572     -94,357     -98,283    -102,752    -106,018    -110,314    -113,655    -116,726    -120,207    -118,070    -418,982    -997,954
    OT..........................................      -9,243     -54,296     -80,340     -93,350     -99,424    -105,251    -108,861    -112,133    -115,437    -116,294    -336,653    -894,629
Government-Wide Savings (930):
    BA..........................................     -57,938     -77,022     -95,693    -193,392    -172,195    -122,509    -209,017    -227,777    -234,560    -385,389    -596,240  -1,775,492
    OT..........................................     -14,621     -21,022     -46,793    -140,888    -119,359     -72,158    -161,896    -184,208    -198,851    -333,720    -342,682  -1,293,515
Undistributed Offsetting Receipts (950):
    On-Budget:..................................
        BA......................................     -82,940     -84,734     -88,771     -91,494     -92,343    -101,204    -112,895    -109,388    -113,631    -128,120    -440,282  -1,005,520
        OT......................................     -82,940     -84,734     -88,771     -91,494     -92,343    -101,204    -112,895    -109,388    -113,631    -128,120    -440,282  -1,005,520
 
    Off-Budget:.................................
        BA......................................     -17,817     -18,461     -19,125     -19,777     -20,426     -21,085     -21,754     -22,437     -23,134     -23,851     -95,606    -207,867
        OT......................................     -17,817     -18,461     -19,125     -19,777     -20,426     -21,085     -21,754     -22,437     -23,134     -23,851     -95,606    -207,867
Overseas Contingency Operations/ Global War on
 Terrorism (970):
    BA..........................................      77,000      60,000      43,000      26,000      12,000      12,000      12,000           0           0           0     218,000     242,000
    OT..........................................      38,862      48,555      43,438      32,507      19,877      14,622      12,585       4,470       1,274         363     183,239     216,553
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Notes:
 
1. Only on-budget amounts for fiscal years 2019-2028 are entered into the budget resolution legislative text. Off-budget amounts are shown for display purposes only.
2. The Office of Management and Budget and the Congressional Budget Office do not separately track outlays for Overseas Contingency Operations/Global War on Terrorism (GWOT) once funds have
  been appropriated. The budget, therefore, shows in function 970 OCO/GWOT outlays that result from new budget authority occurring in fiscal years 2019-2028 only. Outlays resulting from OCO/
  GWOT activity prior to fiscal year 2018 are included in budget functions 050 and 150.


                                                               TABLE 2.--FISCAL YEAR 2019 BUDGET RESOLUTION DISCRETIONARY SPENDING
                                                                                    [In millions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                   Fiscal Year                       2019        2020        2021        2022        2023        2024        2025        2026        2027        2028      2019-2023   2019-2028
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                             SUMMARY
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Total Spending:
    BA..........................................   1,321,570   1,282,005   1,311,463   1,297,978   1,287,493   1,291,010   1,294,526   1,286,041   1,289,558   1,291,575   6,500,509  12,953,219
    OT..........................................   1,336,104   1,344,189   1,353,840   1,350,740   1,331,814   1,323,564   1,329,637   1,323,723   1,323,253   1,329,576   6,716,686  13,346,439
Base Defense (050):
    BA..........................................     647,000     679,350     713,318     716,818     720,318     723,818     727,318     730,818     734,318     736,318   3,476,804   7,129,394
    OT..........................................     623,968     646,334     679,245     698,966     701,183     702,684     712,214     715,814     719,380     727,091   3,349,696   6,926,879
Base Non Defense:
    BA..........................................     597,000     542,071     554,546     554,546     554,546     554,546     554,546     554,546     554,546     554,546   2,802,709   5,575,439
    OT..........................................     673,172     648,966     630,628     618,683     610,150     605,639     604,203     602,789     601,932     601,439   3,181,598   6,197,600
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                           BY FUNCTION
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
National Defense (050):
    BA..........................................     647,000     679,350     713,318     716,818     720,318     723,818     727,318     730,818     734,318     736,318   3,476,804   7,129,394
    OT..........................................     623,968     646,334     679,245     698,966     701,183     702,684     712,214     715,814     719,380     727,091   3,349,696   6,926,879
International Affairs (150):
    BA..........................................      44,167      45,252      46,319      47,371      48,450      49,654      50,773      51,908      53,077      54,264     231,559     491,235
    OT..........................................      47,332      46,466      46,768      46,886      47,587      48,227      48,969      49,962      51,074      52,245     235,039     485,516
General Science, Space and Technology (250):
    BA..........................................      29,355      30,028      30,760      31,489      32,220      33,010      33,769      34,533      35,333      36,137     153,852     326,634
    OT..........................................      31,353      30,722      30,778      31,129      31,611      32,317      33,029      33,783      34,548      35,344     155,593     324,614
Energy (270):
    BA..........................................      -1,314       3,477       3,448       3,457       3,505       3,869       3,645       3,729       3,817       3,905      12,573      31,538
    OT..........................................       6,354       5,359       4,512       3,935       3,601       3,810       3,580       3,668       3,751       3,834      23,761      42,404
Natural Resources & Environment (300):
    BA..........................................      52,630      54,059      55,586      57,120      58,683      60,338      61,937      63,571      65,288      66,995     278,078     596,207
    OT..........................................      37,270      38,283      39,707      41,347      42,865      44,627      46,767      48,942      51,200      53,489     199,472     444,497
Agriculture (350):
    BA..........................................       9,122       9,381       9,658       9,938      10,217      10,512      10,800      11,090      11,399      11,704      48,316     103,821
    OT..........................................       8,910       9,305       9,573       9,807      10,064      10,354      10,630      10,918      11,223      11,521      47,659     102,305
Commerce & Housing Credit (370):
    On-Budget:..................................
        BA......................................      -9,927     -15,826     -13,414     -11,894     -10,620      -8,894      -7,852      -7,260      -7,154      -7,041     -61,681     -99,882
        OT......................................      -9,557     -15,779     -13,610     -12,103     -10,749      -9,021      -8,011      -7,420      -7,307      -7,215     -61,798    -100,772
    Off-Budget:.................................
        BA......................................         271         281         292         303         314         326         337         349         362         374       1,461       3,209
        OT......................................         270         281         292         302         314         325         336         348         361         373       1,459       3,202
Transportation (400):
    BA..........................................      34,614      35,179      35,566      36,080      36,682      37,316      37,944      38,755      39,598      38,734     178,121     370,468
    OT..........................................      91,392      93,170      91,393      83,659      80,543      79,771      79,430      79,610      80,486      79,903     440,157     839,357
Community & Regional Development (450):
    BA..........................................      74,766      76,258      77,977      79,679      81,415      83,295      85,081      86,893      88,763      90,652     390,095     824,779
    OT..........................................      43,903      49,861      52,164      57,062      58,439      63,390      68,337      72,934      76,512      79,845     261,429     622,447
Education, Training, Employment, and Social
 Services (500):
    BA..........................................      92,974     101,868     103,203     104,488     106,284     108,394     110,695     112,904     115,258     117,708     508,817   1,073,776
    OT..........................................     100,670     100,401     102,198     103,192     104,810     106,620     108,779     110,948     113,220     115,565     511,271   1,066,403
Health (550):
    BA..........................................      71,108      72,355      73,468      74,433      75,283      76,252      77,206      78,206      79,322      80,460     366,647     758,093
    OT..........................................      69,729      70,628      71,692      72,517      73,228      73,977      74,782      75,757      76,792      77,892     357,794     736,994
Medicare (570):
    BA..........................................       7,649       8,060       8,494       8,949       9,425       9,909      10,419      10,924      11,443      11,962      42,577      97,234
    OT..........................................       7,554       7,981       8,409       8,860       9,333       9,814      10,319      10,825      11,342      11,861      42,137      96,298
 
Income Security (600):
    BA..........................................      75,604      77,598      80,009      82,323      84,287      86,377      88,366      90,332      92,341      94,320     399,821     851,557
    OT..........................................      73,552      76,347      78,960      81,418      83,297      85,235      87,211      89,062      91,190      93,098     393,574     839,370
Social Security (650):
    On-Budget:..................................
        BA......................................           0           0           0           0           0           0           0           0           0           0           0           0
        OT......................................           0           0           0           0           0           0           0           0           0           0           0           0
    Off-Budget:.................................
        BA......................................       6,226       6,429       6,642       6,858       7,072       7,296       7,521       7,747       7,985       8,228      33,227      72,004
        OT......................................       6,200       6,390       6,602       6,817       7,031       7,254       7,479       7,705       7,941       8,182      33,040      71,601
Veterans Benefits and Services (700):
    BA..........................................      86,845      89,535      92,397      95,260      98,120     101,105     104,097     107,119     110,271     113,499     462,157     998,248
    OT..........................................      83,159      87,714      90,826      93,667      96,403      99,270     102,225     105,204     108,297     111,471     451,769     978,236
Administration of Justice (750):
    BA..........................................      59,589      61,411      63,680      65,553      67,804      69,944      72,089      74,264      76,533      78,860     318,037     689,727
    OT..........................................      59,695      61,597      64,369      65,827      67,610      69,383      71,512      73,686      75,934      78,250     319,099     687,863
General Government (800):
    BA..........................................      16,432      17,339      17,342      17,561      17,771      21,345      21,573      21,796      22,031      22,267      86,445     195,457
    OT..........................................      16,204      16,961      16,897      17,181      17,371      20,749      21,169      21,388      21,612      21,842      84,614     191,374
Allowances (920):
    BA..........................................     -17,572     -90,121     -96,762    -100,962    -104,365    -108,496    -111,847    -114,927    -118,365    -119,889    -409,782    -983,306
    OT..........................................      -9,243     -52,559     -79,612     -91,823     -98,054    -103,817    -107,462    -110,720    -114,001    -116,357    -331,291    -883,648
Government-Wide Savings (930):
    BA..........................................     -34,969     -39,908     -39,520     -52,846     -67,372     -86,360    -101,345    -116,710    -132,062    -147,882    -234,615    -818,974
    OT..........................................       8,527      16,172       9,238        -414     -14,551     -36,027     -54,243     -73,161     -91,575    -109,021      18,973    -345,054
Overseas Contingency Operations/ Global War on
 Terrorism (970):
    BA..........................................      77,000      60,000      43,000      26,000      12,000      12,000      12,000           0           0           0     218,000     242,000
    OT..........................................      38,862      48,555      43,438      32,507      19,877      14,622      12,585       4,470       1,274         363     183,239     216,553
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


                                                                 TABLE 3.--FISCAL YEAR 2019 BUDGET RESOLUTION MANDATORY SPENDING
                                                                                    [In millions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                   Fiscal Year                       2019        2020        2021        2022        2023        2024        2025        2026        2027        2028      2019-2023   2019-2028
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                             SUMMARY
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Total Spending:
    BA..........................................   3,076,168   3,189,909   3,303,212   3,495,333   3,696,149   3,843,353   3,966,433   4,162,482   4,339,848   4,469,155  16,760,771  37,542,043
    OT..........................................   2,956,471   3,091,418   3,236,535   3,439,918   3,623,226   3,764,183   3,894,770   4,094,385   4,269,868   4,428,222  16,347,568  36,798,997
On-Budget::
    BA..........................................   2,163,901   2,213,479   2,258,702   2,379,174   2,503,240   2,573,300   2,613,143   2,727,465   2,813,082   2,842,703  11,518,495  25,088,188
    OT..........................................   2,049,804   2,120,788   2,198,125   2,330,159   2,437,017   2,501,230   2,548,880   2,667,068   2,751,302   2,810,170  11,135,892  24,414,542
Off-Budget::
    BA..........................................     912,267     976,430   1,044,510   1,116,159   1,192,910   1,270,052   1,353,291   1,435,017   1,526,766   1,626,452   5,242,276  12,453,854
    OT..........................................     906,667     970,630   1,038,410   1,109,759   1,186,210   1,262,952   1,345,891   1,427,317   1,518,566   1,618,052   5,211,676  12,384,454
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                           BY FUNCTION
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
National Defense (050):
    BA..........................................       9,500       9,771       9,872       9,986      10,124      10,293      10,488      10,705      10,959      12,171      49,253     103,869
    OT..........................................       9,384       9,627       9,890      10,152      10,333      10,531      10,689      10,867      11,071      12,222      49,386     104,766
International Affairs (150):
    BA..........................................       3,728       3,811       2,859           8          29          57          70         123         130         137      10,435      10,952
    OT..........................................      -3,781      -2,049      -1,417      -1,312      -1,266      -1,183      -1,179      -1,153      -1,194      -1,226      -9,825     -15,760
General Science, Space and Technology (250):
    BA..........................................         142         147         141         141         141         141         141         141         141         141         712       1,417
    OT..........................................         125         134         136         138         140         140         140         140         140         140         673       1,373
Energy (270):
    BA..........................................      -1,248        -740     -14,566      -2,339      -2,715      -2,753      -2,837      -3,111      -3,192        -591     -21,608     -34,092
    OT..........................................      -2,130      -1,715     -15,282      -2,957      -3,443      -3,471      -3,545      -3,815      -3,681      -1,070     -25,527     -41,109
Natural Resources & Environment (300):
    BA..........................................        -386          27        -935      -2,613      -1,887      -2,517      -3,397      -2,979      -3,019      -3,040      -5,794     -20,746
    OT..........................................         321        -425      -1,147      -2,847      -2,088      -2,636      -3,467      -3,019      -2,996      -2,990      -6,186     -21,294
Agriculture (350):
    BA..........................................      14,344      12,612      13,665      11,244      11,527      11,733      11,977      12,454      12,309      12,719      63,392     124,584
    OT..........................................      13,636      12,506      13,367      10,744      10,987      11,183      11,402      11,908      11,756      12,147      61,240     119,636
 
Commerce & Housing Credit (370):
    On-Budget:..................................
        BA......................................       5,602       5,626       5,733       3,557       2,164       1,943       2,757       2,035       1,943       1,327      22,682      32,687
        OT......................................        -115        -761      -1,909      -5,300      -7,101      -7,378      -7,381      -7,663      -8,543      -8,544     -15,186     -54,695
    Off-Budget:.................................
    BA..........................................      -2,075      -2,315      -1,363        -436        -509      -2,518      -2,516      -2,504      -2,503      -2,483      -6,698     -19,222
    OT..........................................      -2,075      -2,315      -1,363        -436        -509      -2,518      -2,516      -2,504      -2,503      -2,483      -6,698     -19,222
Transportation (400):
    BA..........................................      60,619      53,817      35,413      35,537      35,718      35,925      36,051      36,164      36,397      38,213     221,104     403,854
    OT..........................................       1,073         386        -259        -902      -1,443      -2,004      -2,611      -3,235      -3,756      -2,695      -1,145     -15,446
Community & Regional Development (450):
    BA..........................................         -88         257          84          28          40          94         188         283         329         326         321       1,541
    OT..........................................         629        -289        -277        -206        -217        -247        -314        -350        -382        -312        -360      -1,965
Education, Training, Employment, and Social
 Services (500):
    BA..........................................      -3,331      -3,623      -3,303      -5,532      -8,548     -10,982     -12,166     -13,545     -14,981     -15,667     -24,337     -91,678
    OT..........................................       5,125      -2,124      -2,425      -3,596      -6,009      -8,430      -9,725     -10,951     -12,290     -13,045      -9,029     -63,470
Health (550):
    BA..........................................     506,839     463,250     420,515     465,389     487,677     498,170     521,340     546,709     555,269     575,684   2,343,670   5,040,842
    OT..........................................     459,980     442,553     412,582     453,818     473,852     493,667     516,351     540,121     556,911     574,600   2,242,785   4,924,435
Medicare (570):
    BA..........................................     640,390     667,266     718,738     804,200     822,214     819,218     894,520     951,228   1,011,917   1,138,864   3,652,808   8,468,555
    OT..........................................     640,109     667,012     718,447     803,919     821,938     818,940     894,240     950,937   1,011,631   1,138,576   3,651,425   8,465,749
Income Security (600):
    BA..........................................     413,742     407,070     414,913     425,975     434,478     417,728     425,124     432,979     426,032     432,507   2,096,178   4,230,548
    OT..........................................     405,617     399,646     407,421     424,965     428,408     406,938     415,216     428,893     418,541     430,853   2,066,057   4,166,498
Social Security (650):
    On-Budget:..................................
        BA......................................      35,977      39,035      42,028      45,053      48,312      51,893      55,894      66,328      72,886      78,066     210,405     535,472
        OT......................................      35,977      39,035      42,028      45,053      48,312      51,893      55,894      66,328      72,886      78,066     210,405     535,472
    Off-Budget:.................................
        BA......................................   1,012,880   1,076,307   1,143,404   1,213,691   1,287,970   1,364,874   1,445,680   1,523,890   1,610,659   1,703,273   5,734,252  13,382,628
        OT......................................   1,007,280   1,070,507   1,137,304   1,207,291   1,281,270   1,357,774   1,438,280   1,516,190   1,602,459   1,694,873   5,703,652  13,313,228
 
Veterans Benefits and Services (700):
    BA..........................................     109,529     112,980     116,388     120,231     122,927     126,073     130,675     134,673     138,840     144,626     582,055   1,256,942
    OT..........................................     111,002     112,928     116,231     128,881     123,055     116,659     130,404     134,375     138,518     155,316     592,097   1,267,369
Administration of Justice (750):
    BA..........................................      -1,327       3,561       1,798       1,542       1,246         929         562         -52        -506        -958       6,820       6,795
    OT..........................................       3,262       3,343       4,527       2,545       1,485         887         613         -14        -528      -1,060      15,162      15,060
General Government (800):
    BA..........................................       6,859       7,015       6,926       7,594       7,021       7,064       7,437       7,213       7,245       7,272      35,415      71,646
    OT..........................................       6,759       6,965       6,844       7,556       7,004       7,048       7,406       7,176       7,207       7,234      35,128      71,199
Net Interest (900):
    On-Budget:..................................
        BA......................................     468,919     557,681     634,898     693,003     731,591     747,462     756,694     768,371     778,354     784,714   3,086,091   6,921,686
        OT......................................     468,919     557,681     634,898     693,003     731,591     747,462     756,694     768,371     778,354     784,714   3,086,091   6,921,686
    Off-Budget:.................................
        BA......................................     -80,721     -79,101     -78,406     -77,319     -74,125     -71,219     -68,119     -63,932     -58,256     -50,487    -389,672    -701,685
        OT......................................     -80,721     -79,101     -78,406     -77,319     -74,125     -71,219     -68,119     -63,932     -58,256     -50,487    -389,672    -701,685
Allowances (920):
    BA..........................................           0      -4,236      -1,521      -1,790      -1,653      -1,818      -1,808      -1,799      -1,842       1,819      -9,200     -14,648
    OT..........................................           0      -1,737        -728      -1,527      -1,370      -1,434      -1,399      -1,413      -1,436          63      -5,362     -10,981
Government-Wide Savings (930):
    BA..........................................     -22,969     -37,114     -56,173    -140,546    -104,823     -36,149    -107,672    -111,067    -102,498    -237,507    -361,625    -956,518
    OT..........................................     -23,148     -37,194     -56,031    -140,474    -104,808     -36,131    -107,653    -111,047    -107,276    -224,699    -361,655    -948,461
Undistributed Offsetting Receipts (950):
    On-Budget:..................................
        BA......................................     -82,940     -84,734     -88,771     -91,494     -92,343    -101,204    -112,895    -109,388    -113,631    -128,120    -440,282  -1,005,520
        OT......................................     -82,940     -84,734     -88,771     -91,494     -92,343    -101,204    -112,895    -109,388    -113,631    -128,120    -440,282  -1,005,520
    Off-Budget:.................................
        BA......................................     -17,817     -18,461     -19,125     -19,777     -20,426     -21,085     -21,754     -22,437     -23,134     -23,851     -95,606    -207,867
        OT......................................     -17,817     -18,461     -19,125     -19,777     -20,426     -21,085     -21,754     -22,437     -23,134     -23,851     -95,606    -207,867
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


                      THE LONG-TERM BUDGET OUTLOOK

                              ----------                              


    The U.S. faces a perilous long-term fiscal trajectory. 
Publicly held debt as a share of the economy is at 78 percent 
this year and will rise to a whopping 96 percent of the economy 
over the next 10 years, according to Congressional Budget 
Office (CBO).\1\ That debt share would be the highest since 
just after World War II in 1946 and would be more than twice 
the average level over the past 50 years. Under most long-term 
fiscal projections of current law, this debt share of gross 
domestic product (GDP) will rise even higher in subsequent 
decades as a result of out-of-control entitlement spending, 
particularly in the Medicare program. This large increasing 
debt is unsustainable because its growth exceeds that of the 
overall economy. As a result, debt service costs will absorb an 
increasing share of national income and the country will have 
to increase borrowing each year, likely in the face of higher 
interest rates, in order to fund ongoing services and support 
previous debt commitments.
---------------------------------------------------------------------------
    \1\The 2018 Long-Term Budget Outlook, Congressional Budget Office, 
June 2018, https://www.cbo.gov/system/files/115th-congress-2017-2018/
reports/53919-2018ltbo.pdf.
---------------------------------------------------------------------------
    Currently, interest costs on the debt are relatively 
modest. However, they are set to explode in future years. As 
interest rates increase from historically low levels and the 
country's stock of debt continues to rise, CBO predicts that 
net interest costs will nearly triple from $316 billion in 
fiscal year 2019 to $915 billion by the end of the 10-year 
budget window. In fact, annual interest payments on the 
national debt are poised to exceed annual defense spending by 
2023.
    Increased public debt tends to soak up private domestic 
savings and, therefore, ``crowds out'' private investment that 
would otherwise help to grow the economy. Elevated debt levels 
also tend to lead to higher government borrowing rates as 
investors become more cautious about the country's fiscal 
situation and its ability to repay debt commitments. A sharp 
rise in interest rates would immediately ripple throughout the 
economy. It would increase the economy-wide cost of credit 
because nearly all consumer-borrowing rates are linked in some 
respect to longer-term Treasury rates. As Treasury rates 
increase, rates on mortgages, credit cards, and car loans would 
soon follow. Higher interest rates and a crowding out of 
private investment would ultimately have a severe, negative 
impact on growth and jobs and would lead to a reduced standard 
of living for future generations.
    The main driver of long-term deficits and debt is ever-
growing mandatory government spending, such as in Medicare and 
Medicaid. It is imperative that policy makers in Congress work 
to reform such programs and lower mandatory spending over time 
in order to keep the promise of future prosperity for all 
Americans.

                 MANDATORY SPENDING TRENDS AND REFORMS

                              ----------                              


                               Background

    Mandatory spending remains the fastest growing part of the 
spending-driven sovereign debt crisis the nation faces.
    The Congressional Budget Office (CBO) reports that total 
non-interest mandatory spending in fiscal year 2017 was $2.52 
trillion. By fiscal year 2028, CBO expects mandatory spending 
will surge to $4.52 trillion. This reflects an average annual 
growth rate of 5.5 percent--faster than both CBO's projection 
of 2018 nominal economic growth of 5.2 percent and CBO's 
longer-term projection of 3.9-percent economic growth. Within 
overall non-interest mandatory spending, the two major social 
insurance programs are projected to continue growing faster 
than the economy as a whole; Social Security (both Old-Age and 
Survivors Insurance and Disability Insurance) is expected to 
increase from $939 billion in fiscal year 2017 to $1.8 trillion 
in fiscal year 2028 and Medicare from $591 billion in fiscal 
year 2017 to $1.3 trillion in fiscal year 2028.\1\
---------------------------------------------------------------------------
    \1\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 9, 2018, https://www.cbo.gov/publication/53651.
---------------------------------------------------------------------------
    Over the past 10 years, major means-tested automatic 
spending programs have grown from $430 billion in fiscal year 
2008 to a projected $742 billion in fiscal year 2018. In the 
next decade, these programs are expected to grow by 4.4 percent 
per year--from $785 billion in fiscal year 2019 to $1.1 
trillion in fiscal year 2028.\2\
---------------------------------------------------------------------------
    \2\Federal Mandatory Spending for Means-Tested Programs, 2008 to 
2028, Congressional Budget Office, June 1, 2018, https://www.cbo.gov/
publication/53922.
---------------------------------------------------------------------------
    A number of factors contribute to these increases. The 2008 
recession caused significant increases in spending on low-
income programs. Spending is projected to remain at elevated 
levels for several programs--most notably, the Supplemental 
Nutrition Assistance Program, or SNAP (formerly known as food 
stamps). Over the past 10 years, SNAP grew at 5.8 percent 
annually, increasing from $39 billion in fiscal year 2008 to a 
projected $69 billion in fiscal year 2018. While this amount is 
projected to plateau over the next 10 years, it remains 
elevated compared to prerecession levels.\3\
---------------------------------------------------------------------------
    \3\Federal Mandatory Spending for Means-Tested Programs, 2008 to 
2028.
---------------------------------------------------------------------------
    Other programs have also seen large increases. Supplemental 
Security Income (SSI) was created as a needs-based program that 
provides cash benefits to aged, blind, or disabled persons with 
limited income and assets. When the program began, the majority 
of payments went toward the aged. As it matured, however, a 
much greater percentage of beneficiaries were under the age of 
18 or between the ages of 18 to 64. Over the past decade, 
spending on SSI has grown by 2.3 percent per year.\4\
---------------------------------------------------------------------------
    \4\Federal Mandatory Spending for Means-Tested Programs, 2008 to 
2028.
---------------------------------------------------------------------------
    The largest means-tested program in the federal budget is 
Medicaid, the federal-state low-income health program. Medicaid 
spending, including spending for its related State Children's 
Health Insurance Program (SCHIP), almost doubled from $208 
billion in fiscal year 2008 to a projected $399 billion in 
fiscal year 2018. Going forward on its current path, CBO 
projects federal Medicaid and SCHIP spending will reach $671 
billion in fiscal year 2028. Absent structural reform, Medicaid 
will not be able to deliver on its promise to provide a sturdy 
health care safety net for society's most vulnerable. Because 
of the flawed incentives in this program, Medicaid grew by 6.6 
percent per year over the past 10 years, and it is projected to 
average 5.5 percent growth annually over the next 10 years. 
This level of growth is clearly unsustainable.\5\
---------------------------------------------------------------------------
    \5\Federal Mandatory Spending for Means-Tested Programs, 2008 to 
2028.
---------------------------------------------------------------------------

                      The Fiscal Year 2019 Budget

    The fiscal year 2019 budget addresses both non-means-tested 
and means-tested mandatory spending. Importantly, it tackles 
one of the primary drivers of debt and deficits: the 
government's health programs. For Medicare, this budget 
advances policies to put seniors, not the federal government, 
in control of their health care decisions. This budget provides 
future retirees with the freedom to choose a health plan best 
suited for them and guarantees health security throughout their 
retirement years. Under this program, traditional Medicare and 
private plans--providing the same level of health coverage--
compete for seniors' choices, just as Medicare Advantage does 
today. This improved Medicare program would also adopt the 
competitive structure of Part D, the prescription drug benefit 
program, providing beneficiaries with a defined contribution to 
purchase coverage and, through competition, deliver savings for 
seniors in the form of lower monthly premium costs. Allowing 
seniors to choose the best plan for themselves promotes 
competition among health insurers on price and quality. This 
means the program works better for patients and can be 
sustained for future generations of seniors.
    For Medicaid, this budget converts the federal share of 
Medicaid spending into per capita allotments, a reform advanced 
in the American Health Care Act.\6\ This structure gives states 
the flexibility to tailor their programs in ways that meet the 
unique needs of their most vulnerable populations. The strategy 
would end the misguided one-size-fits-all approach that ties 
the hands of state governments trying to make their Medicaid 
programs as effective as possible. This would also put Medicaid 
on a budget for the first time since its creation. In addition, 
the budget proposes to advance a work requirement for all able-
bodied, non-elderly adults without dependents who are enrolled 
in Medicaid. Work not only provides a source of income and 
self-sufficiency, but it also has been demonstrated as a 
valuable source of self-worth and dignity for individuals.
---------------------------------------------------------------------------
    \6\American Health Care Act, H.R. 1628, 115th Cong. (2017).
---------------------------------------------------------------------------
    Additionally, in keeping with a recommendation from the 
National Commission on Fiscal Responsibility and Reform, the 
budget recommends federal employees--including Members of 
Congress and their staffs--make greater contributions toward 
their own retirement.
    This budget is premised on the belief that the prospect of 
upward mobility should be within the reach of every American, 
and that priority must be given to maximizing the effectiveness 
of anti-poverty programs across federal, state, and local 
governments. Congress should remove barriers and obstacles 
preventing the most vulnerable Americans from taking advantage 
of economic and educational opportunities. Wherever possible, 
government programs should help these individuals climb the 
ladder of self-sufficiency and join the middle class. By 
balancing the budget and reforming means-tested entitlement 
programs, this resolution is designed to accomplish exactly 
these goals.

                                         TABLE 4.--PROJECTED MEANS-TESTED AND NON MEAN-TESTED MANDATORY SPENDING
                                                                  [Billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                Average
                                                                                                                                                 Annual
                                 2018      2019      2020      2021      2022      2023      2024      2025      2026      2027       2028       Growth
                                                                                                                                               (Percent)
                                                                                                                                               2019-2028
--------------------------------------------------------------------------------------------------------------------------------------------------------
Means-Tested Programs:
    Health care programs:....
        Medicaid.............       383       401       417       437       465       493       524       554       587       620         655        5.5
        Health insurance             47        52        55        62        69        71        72        74        73        75          78        5.2
         subsidiesa,b........
        Medicare Part D low-         28        31        33        36        42        42        42        49        53        57          65        9.0
         income subsidies....
        Children's Health            16        16        14        13        13        13        14        14        15        15          16          *
         Insurance Program...
                              --------------------------------------------------------------------------------------------------------------------------
            Subtotal.........       473       500       520       547       589       620       652       692       727       767         813        5.6
    Income security programs:
        Earned income and            80        92        93        93        94        95        96        97        98        84          85        0.6
         child tax creditsb,c
        SNAP.................        69        66        65        65        65        65        65        66        67        69          70        0.2
        Supplemental Security        51        57        58        60        67        64        60        68        70        72          81        4.6
         Income..............
        Family support and           32        32        32        33        33        33        34        34        34        34          34        0.7
         foster cared........
        Child nutritione.....        23        24        25        27        28        29        30        32        33        35          36        4.5
                              --------------------------------------------------------------------------------------------------------------------------
            Subtotal.........       256       272       274       277       286       286       286       297       303       294         307        1.8
    Veterans' pensions.......         5         6         6         6         6         6         6         6         6         7           8        4.7
    Pell grantsf.............         7         8         8         8         8         8         8         8         8         8           8        1.3
                              --------------------------------------------------------------------------------------------------------------------------
        Subtotal, Means-            742       785       807       838       889       920       952     1,002     1,044     1,076       1,136        4.4
         Tested Programs.....
    Non-Means-Tested              2,053     2,191     2,325     2,480     2,683     2,791     2,897     3,119     3,311     3,502       3,789        6.3
     Programsg...............
                              --------------------------------------------------------------------------------------------------------------------------
        Total Mandatory           2,794     2,976     3,132     3,318     3,572     3,712     3,849     4,122     4,355     4,578       4,925        5.8
         Outlaysg............
                              ==========================================================================================================================
Memorandum:
    Pell Grants                      22        25        29        24        24        25        25        26        26        27          27        2.0
     (Discretionary)h........
    Means-Tested Programs,...
        Adjusted to Exclude         749       785       807       838       880       920       961     1,002     1,044     1,076       1,125        4.2
         Timing Shifts.......
    Non-Means-Tested
     Programs,...............
        Adjusted to Exclude       2,086     2,191     2,325     2,480     2,634     2,787     2,950     3,119     3,311     3,502       3,717        5.9
         Timing Shifts.......
--------------------------------------------------------------------------------------------------------------------------------------------------------
Sources: Congressional Budget Office; staff of the Joint Committee on Taxation.These projections are generally the same as those reported in
  Congressional Budget Office, The Budget and Economic Outlook: 2018 to 2028
(April 2018), www.cbo.gov/publication/53651. Since then, CBO has made a number of small changes to its baseline budget projections, including those for
  health insurance subsidies. For more details, see Congressional Budget Office, An Analysis of the President's 2019 Budget (May 2018), p. 11,
  www.cbo.gov/publication/53884.
The average annual growth rate over the 2019-2028 period encompasses growth in outlays from the amount estimated for 2018 through the amount projected
  for 2028.
Projections of spending for benefit programs exclude administrative costs that are classified as discretionary but generally include administrative
  costs that are classified as mandatory.
Because October 1, 2017 (the first day of fiscal year 2018), fell on a weekend, certain federal payments that were due on that date were instead made at
  the end of September 2017 and thus were recorded in the previous fiscal year. October 1 will fall on a weekend again in 2028, and the same shift in
  certain federal payments will occur. If not for those shifts, spending for Medicare Part D low-income subsidies would have increased at an average
  annual rate of 7.4 percent, and spending for both Supplemental Security Income and veterans' pensions would have increased by an average of 3.0
  percent per year over the 2019-2028 period in CBO's baseline projections.
SNAP = Supplemental Nutrition Assistance Program; * = between -0.05 percent and zero.
a. Differs from the amounts reported for 2017 through 2028 in the line ''Health insurance subsidies and related spending'' in Table 2-2 of The Budget
  and Economic Outlook: 2018 to 2028 in that it reflects some relatively small changes CBO has made to its projections since that report was published.
  In addition, the amounts shown exclude payments to health insurance plans for risk adjustment (amounts paid to plans that attract less healthy
  enrollees) and reinsurance (amounts paid to plans that enroll people with high health care costs). Spending for grants to states to establish health
  insurance marketplaces also is excluded.
b. Does not include amounts that reduce tax receipts.
c. Differs from the amounts reported for 2017 through 2028 in the line ''Earned income, child, and other tax credits'' in Table 2-2 of The Budget and
  Economic Outlook: 2018 to 2028 in that it excludes other tax credits that were included in that table.
d. Includes Temporary Assistance for Needy Families, the Child Support Enforcement program, the Child Care Entitlement program, and other programs that
  benefit children.
e. Differs from the amounts reported for 2017 through 2028 in the line ''Child nutrition'' in Table 2-2 of The Budget and Economic Outlook: 2018 to 2028
  in that it excludes outlays related to the Funds for Strengthening Markets program (also known as Section 32) and to the Commodity Assistance Program.
f. Includes mandatory spending designed to reduce the discretionary budget authority needed to support the maximum award amount set in the appropriation
  act plus mandatory spending that, by formula, increases the total maximum award above the amount set in the appropriation act.
g. Does not include offsetting receipts and outlays associated with federal interest payments.
h. The discretionary baseline does not represent a projection of expected costs for the discretionary portion of the Federal Pell Grant Program. As with
  all other discretionary programs, the budget authority is calculated by inflating the budget authority appropriated for fiscal year 2018. Outlays for
  future years are based on those amounts of budget authority and also reflect a temporary surplus of budget authority provided in 2018.


                                        TABLE 5.--HISTORICAL MEANS-TESTED AND NON MEANS-TESTED MANDATORY SPENDING
                                                                  [Billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                Average
                                                                                                                                                 Annual
                                   2008      2009      2010      2011      2012      2013      2014      2015      2016      2017      Est.,     Growth
                                                                                                                                       2018    (Percent)
                                                                                                                                               2009-2018
--------------------------------------------------------------------------------------------------------------------------------------------------------
Means-Tested Programs:
    Health care programs:......
        Medicaid...............       201       251       273       275       251       265       301       350       368       375       383        6.6
        Health insurance                0         0         0         0         0         0        13        27        31        39        47       n.a.
         subsidiesa,b..........
        Medicare Part D low-           17        19        21        24        20        22        22        24        29        29        28        5.1
         income subsidies......
        Children's Health               7         8         8         9         9         9         9         9        14        16        16        8.6
         Insurance Program.....
                                ------------------------------------------------------------------------------------------------------------------------
            Subtotal...........       225       277       302       308       279       297       346       411       443       459       473        7.7
    Income security programs:..
        Earned income and child        75        67        77        78        77        79        82        81        81        79        80        0.7
         tax creditsb,c........
        SNAP...................        39        56        70        77        80        83        76        76        73        70        69        5.8
        Supplemental Security          41        45        47        53        47        53        54        55        59        55        51        2.3
         Income................
        Family support and             32        33        35        33        30        32        31        31        31        31        32          *
         foster cared..........
        Child nutritione.......        14        15        16        17        18        19        19        21        22        22        23        5.2
                                ------------------------------------------------------------------------------------------------------------------------
            Subtotal...........       201       216       246       259       253       265       262       263       266       258       256        2.4
    Veterans' pensions.........         4         4         4         5         5         5         6         5         6         6         5        3.0
    Pell grantsf...............         1         2         4        14        12        16         8        10         6         6         7       29.3
                                ------------------------------------------------------------------------------------------------------------------------
        Subtotal, Means-Tested        430       500       556       586       549       583       622       689       720       728       742        5.6
         Programs..............
    Non-Means-Tested Programsg.     1,350     1,788     1,554     1,649     1,710     1,753     1,754     1,866     1,945     2,044     2,053        4.3
                                ------------------------------------------------------------------------------------------------------------------------
        Total Mandatory             1,780     2,288     2,110     2,235     2,259     2,336     2,376     2,555     2,665     2,772     2,794        4.6
         Outlaysg..............
                                ========================================================================================================================
Memorandum:
    Pell Grants (Discretionary)        15        13        20        21        21        17        23        20        22        21        22        4.3
    Means-Tested Programs:.....
        Adjusted to Exclude           430       500       556       580       555       583       622       689       714       728       749        5.7
         Timing Shifts.........
    Non-Means-Tested Programs,.
        Adjusted to Exclude         1,350     1,788     1,554     1,627     1,731     1,753     1,754     1,866     1,915     2,041     2,086        4.4
         Timing Shifts.........
--------------------------------------------------------------------------------------------------------------------------------------------------------
Sources: Congressional Budget Office; staff of the Joint Committee on Taxation.
The average annual growth rate over the 2009-2018 period encompasses growth in outlays from the amount recorded in 2008 through the amount estimated for
  2018.
Data on spending for benefit programs exclude administrative costs that are classified as discretionary but generally include administrative costs that
  are classified as mandatory.
Because October 1, 2017 (the first day of fiscal year 2018), fell on a weekend, certain federal payments that were due on that date were instead made at
  the end of September 2017 and thus were recorded in the previous fiscal year. If not for those shifts, spending for Medicare Part D low- income
  subsidies would have increased at an average annual rate of 5.9 percent, spending for Supplemental Security Income would have increased by 3.1 percent
  per year, and spending for veterans' pensions would have increased by 3.9 percent annually over the 2009-2018 period.
SNAP = Supplemental Nutrition Assistance Program; * = between zero and 0.05 percent; n.a. = not applicable.
Footnotes for this table appear on page 6.
a. Differs from the amounts reported for 2017 through 2028 in the line ''Health insurance subsidies and related spending'' in Table 2-2 of The Budget
  and Economic Outlook: 2018 to 2028 in that it reflects some relatively small changes CBO has made to its projections since that report was published.
  In addition, the amounts shown exclude payments to health insurance plans for risk adjustment (amounts paid to plans that attract less healthy
  enrollees) and reinsurance (amounts paid to plans that enroll people with high health care costs). Spending for grants to states to establish health
  insurance marketplaces also is excluded.
b. Does not include amounts that reduce tax receipts.
c. Differs from the amounts reported for 2017 through 2028 in the line ''Earned income, child, and other tax credits'' in Table 2-2 of The Budget and
  Economic Outlook: 2018 to 2028 in that it excludes other tax credits that were included in that table.
d. Includes Temporary Assistance for Needy Families, the Child Support Enforcement program, the Child Care Entitlement program, and other programs that
  benefit children.
e. Differs from the amounts reported for 2017 through 2028 in the line ''Child nutrition'' in Table 2-2 of The Budget and Economic Outlook: 2018 to 2028
  in that it excludes outlays related to the Funds for Strengthening Markets program (also known as Section 32) and to the Commodity Assistance Program.
f. Includes mandatory spending designed to reduce the discretionary budget authority needed to support the maximum award amount set in the appropriation
  act plus mandatory spending that, by formula, increases the total maximum award above the amount set in the appropriation act.
g. Does not include offsetting receipts and outlays associated with federal interest payments.
h. The discretionary baseline does not represent a projection of expected costs for the discretionary portion of the Federal Pell Grant Program. As with
  all other discretionary programs, the budget authority is calculated by inflating the budget authority appropriated for fiscal year 2018. Outlays for
  future years are based on those amounts of budget authority and also reflect a temporary surplus of budget authority provided in 2018.


                  THE ECONOMY AND ECONOMIC ASSUMPTIONS

                              ----------                              


                   The Current Economic Situation\1\
---------------------------------------------------------------------------

    \1\All data from CBO in this chapter are sourced from: The Budget 
and Economic Outlook: 2018 to 2028, Congressional Budget Office, April 
9, 2018, https://www.cbo.gov/publication/53651, Table D-1. All data 
from the Blue Chip Consensus in this chapter are sourced from: Blue 
Chip Economic Indicators: Top Analysts' Forecasts of the U.S. Economic 
Outlook for the Year Ahead, Blue Chip Consensus, vol. 43, no. 3, March 
10, 2018, 14. All data from the Trump Administration in this chapter 
are sourced from: Office of Management and Budget,``Economic 
Assumptions and Interactions with the Budget,'' Analytical Perspectives 
for the President's Fiscal Year 2019 Budget, the White House, https://
www.whitehouse.gov/wp-content/uploads/2018/02/ap-2-assumptions-
fy2019.pdf, Table 2-3.
---------------------------------------------------------------------------
    The rate of economic growth is closely linked to the state 
of the federal budget. When Gross Domestic Product (GDP) growth 
is strong, revenues are higher than they would otherwise be, 
while spending (on welfare and safety net programs, for 
example) is lower. According to the Congressional Budget Office 
(CBO), if productivity growth, which is closely correlated with 
overall GDP growth, is just 0.1 percentage point higher per 
year, the budget deficit would be lower by $228 billion over 10 
years.\2\
---------------------------------------------------------------------------
    \2\How Changes in Economic Conditions Might Affect the Federal 
Budget, Congressional Budget Office, June 2018, https://www.cbo.gov/
system/files/115th-congress-2017-2018/reports/54052-cbos-rules-
thumb.pdf, Table 2.
---------------------------------------------------------------------------
    Real GDP grew by 2.0 percent in the first quarter of 
2018.\3\ That was below the strong trend of the final three 
quarters of 2017.\4\ During that period, real GDP grew by an 
average of 3.0 percent, the fastest clip since 2014.\5\ Still, 
most private-sector forecasters are predicting GDP growth of 
between 2.5 and 3.0 percent this year.\6\
---------------------------------------------------------------------------
    \3\Bureau of Economic Analysis, Department of Commerce, ``National 
Income and Product Accounts,'' data release no. BEA 18-31, June 28, 
2018, https://www.bea.gov/newsreleases/national/gdp/gdpnewsrelease.htm.
    \4\Bureau of Economic Analysis.
    \5\Bureau of Economic Analysis.
    \6\The Honorable Jerome H. Powell, Chairman, Federal Reserve 
``Economic Projections of Federal Reserve Board Members and Federal 
Reserve Bank Presidents under Their Individual Assessments of Projected 
Appropriate Monetary Policy,'' Presentation to the Federal Open Market 
Committee, Federal Reserve, June 13, 2018, https://
www.federalreserve.gov/monetarypolicy/files/fomcprojtabl20180613.pdf.
---------------------------------------------------------------------------
    Overall business investment grew by a healthy 10.4 percent 
at an annual rate in the first quarter of this year.\7\ 
Consumer spending, which accounts for roughly two-thirds of 
overall growth, grew by a tepid 0.9 percent in the first 
quarter, which held back the topline GDP number.\8\ Most 
analysts, however, expect consumer spending to rebound during 
the remainder of the year.
---------------------------------------------------------------------------
    \7\Bureau of Economic Analysis.
    \8\Bureau of Economic Analysis.
---------------------------------------------------------------------------
    Monthly job growth has been encouraging so far in 2018, 
averaging a solid 207,000 created jobs, while last year's 
average monthly gain was about 180,000.\9\ Meanwhile, the 
unemployment rate has dipped below 4.0 percent (currently at 
3.8 percent), the lowest level since the year 2000.\10\
---------------------------------------------------------------------------
    \9\Bureau of Labor Statistics, U.S. Department of Labor, 
``Employment Situation Summary--May 2018,'' data release no. USDL-18-
0916, June 1, 2018, https://www.bls.gov/news.release/empsit.nr0.htm.
    \10\Bureau of Labor Statistics.
---------------------------------------------------------------------------
    The labor force participation rate stands at 62.7 percent 
and remains near its lowest level since the late 1970s.\11\ 
Wage gains remain moderate. Over the last twelve months, 
average hourly earnings are up about 2.7 percent.\12\ For 
comparison, prior to the Great Recession, average hourly 
earnings were tracking closer to 3.5 percent.
---------------------------------------------------------------------------
    \11\Bureau of Labor Statistics.
    \12\Bureau of Labor Statistics.
---------------------------------------------------------------------------
    Crude oil prices have advanced sharply since last fall, 
rising 45 percent, and are currently trading just over $70 per 
barrel.\13\ The recent increase in price has been attributed to 
strong demand for oil, caused by synchronized global growth, as 
well as reduced supply and geopolitical tensions in the Middle 
East.
---------------------------------------------------------------------------
    \13\Myra P. Saefong and Rachel Koning Beals, ``Oil Prices Climb, 
with U.S. Benchmark Holding at Highest since 2014,'' MarketWatch, June 
28, 2018, https://www.marketwatch.com/story/oil-prices-diverge-but-us-
benchmark-holds-near-highest-since-2014-2018-06-28.
---------------------------------------------------------------------------
    The rate of inflation has been firming in recent months. 
Over the past twelve months, the price index for personal 
consumption expenditures (PCE) has increased by 2.3 percent, 
the strongest gain in a year. The so-called ``core'' PCE index, 
which excludes energy and food prices and serves as the Federal 
Reserve's preferred inflation gauge has increased 2.0 percent 
over the past year.\14\ These levels of inflation are now more 
in line with the Federal Reserve's 2-percent objective for 
inflation over the longer run.\15\
---------------------------------------------------------------------------
    \14\Bureau of Economic Analysis.
    \15\Board of Governors of the Federal Reserve System, Monetary 
Policy Report, report to Congress, February 23, 2018, https://
www.federalreserve.gov/monetarypolicy/files/20180223-mprfullreport.pdf.
---------------------------------------------------------------------------
    The Federal Reserve increased interest rates for the second 
time this year in June. That marked the seventh rate hike since 
late 2015. Prior to that time, the Federal Reserve had been 
holding interest rates near zero since the depths of the 
financial crisis in 2008. Looking ahead, the Federal Reserve 
has signaled that it will continue to increase interest rates 
at a measured pace, thereby normalizing monetary policy.
    The yield on the 10-year Treasury note has increased 
sharply since last fall. The 10-year Treasury note has hovered 
around the 3.0 percent level in recent weeks.\16\ That is up a 
considerable 70 basis points since last October; the +3.0 
percent yields reached in May marked the highest levels since 
2014.
---------------------------------------------------------------------------
    \16\U.S. Department of Treasury, ``Daily Treasury Yield Curve 
Rates,'' accessed June 29, 2018, https://www.treasury.gov/resource-
center/data-chart-center/interest-rates/Pages/
TextView.aspx?data=yieldYear&year=2018.
---------------------------------------------------------------------------
    U.S. stock markets have been optimistic so far in 2018; the 
Standard & Poor's 500 is still up a large 20 percent since the 
beginning of 2017.

                          The Economic Outlook

    Attempting to forecast the year-by-year trajectory of the 
economy over the next 10 years is an inherently difficult and 
imprecise exercise. Not surprisingly, forecasters also differ 
sharply in their views on the longer-term path of the U.S. 
economy.
    CBO projects that real GDP growth will average a strong 3.0 
percent in 2018 and 2019; it sees that growth rate falling back 
to 1.5 percent by the middle of the decade, before flat lining 
at 1.8 percent at the very end of the decade. Overall, CBO 
expects it to average just 1.8 percent over the 10-year budget 
window.
    The Blue Chip consensus of private-sector forecasters is 
different from CBO, but not by much. The Blue Chip sees real 
GDP growth averaging about 2.7 percent in 2018 and 2019, but 
then falling back to 2.1 percent by mid-decade and then flat 
lining at 2.0 percent over the longer-term. Overall, the Blue 
Chip sees an average of 2.1 percent real GDP growth over the 
10-year budget window, slightly above CBO projections.
    The Trump Administration is the most optimistic among the 
three forecasting groups as it assumes the full enactment of 
the proposed policies in its budget.
    The Administration sees real GDP growth averaging 3.0 
percent growth throughout the 10-year window. While this is 
well above CBO and the Blue Chip consensus, it is in line with 
the long-term average for annual U.S. real GDP growth.
    All three forecasters see the unemployment falling over the 
next few years before rising back to a more stable longer-term 
level. CBO expects the unemployment rate to fall to an 
extremely low 3.3 percent in 2019, and then to rise back up to 
just under 5.0 percent by the end of the decade. The Blue Chip 
consensus predicts that the unemployment rate will decline to 
3.6 percent in 2019 and then rise back up to 4.5 percent over 
the longer-term. The Administration expects a similar 
trajectory. They predict the unemployment rate will decline to 
3.7 percent in 2019 and then rise to a long-term level of 4.8 
percent.
    Price inflation is expected to firm a bit in the near term 
from very low levels in recent years, but it will remain low by 
historical standards. CBO expects that the consumer price index 
(CPI) will drift up from 2.1 percent in 2017 to 2.5 percent 
mid-decade. It sees inflation stabilizing at 2.4 percent in the 
long term. Similarly, the Blue Chip consensus sees the rate of 
inflation flat lining at 2.3 percent in the latter half of the 
decade. The Administration also expects inflation to stabilize 
at just 2.3 percent, despite its expectation of stronger GDP 
growth.
    Interest rates have risen sharply over the past six months, 
and the three forecasters all expect that rates will continue 
to rise at a measured pace over the budget window. CBO expects 
that the 10-year Treasury rate will increase to 3.7 percent 
over the long term. Similarly, the Blue Chip consensus expects 
interest rates to plateau around 3.8 percent by the end of the 
decade. The Administration sees a slightly more moderate 
increase, plateauing at 3.6 percent for the latter half of the 
decade.

             Economic Assumptions of the Budget Resolution

    CBO projects real GDP to grow at an annual average rate of 
just 1.8 percent over the next 10 years. That is more than a 
full percentage point below the 3.0 percent average of the past 
50 years. This may partly be due to the fact that CBO assumes 
laws in place today will remain in place throughout the 10-year 
budget window and therefore, that major program spending, as 
well as government regulation, will unfold as called for in 
existing law. CBO's projection also assumes the continuation of 
current regulatory regimes. This current-law framework 
contributes to CBO's moderate economic forecast.
    Customarily, the House budget resolution employs CBO's 
economic assumptions as its foundation, but this is not a 
requirement. The House Committee on the Budget may use a 
different set of projections if it chooses. The Committee has 
made that choice in this case. The budget calls for significant 
policy changes--including substantial reductions in deficits 
and debt, the Trump Administration's planned regulatory 
reforms, and Obamacare repeal and replace legislation--that are 
expected to lead to improved economic outcomes. The budget 
assumes the enactment of such policies and the economic 
benefits they would generate. In turn, the effects of improved 
economic performance are expected to ``feed back'' into 
components of the budget, producing improved fiscal outcomes. 
Put another way, the resolution rests on an economic forecast 
that incorporates the effects of the budget's overall pro-
growth strategy. It is the same approach that presidents' 
budgets have used for decades and is more fully explained in 
the next section, ``Macroeconomic Feedback Effects of Pro-
Growth Policies.''
    Under this budget's perspective, real GDP growth is 
expected to average 2.6 percent over the budget window. This 
projected level of real economic growth is higher than CBO (1.8 
percent) and the Blue Chip consensus (2.1 percent), but it is 
lower than the Administration's growth assumption (3.0 
percent). Essentially, the budget resolution's growth 
expectation of 2.6 percent lies at the mid-point between CBO, 
Blue Chip, and the Administration.

                                      TABLE 6.--ECONOMIC PROJECTIONS: ADMINISTRATION, CBO, AND PRIVATE FORECASTERS
                                                                    [Calendar years]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                     Estimated
                                                                        2017    2018  2019  2020   2021   2022   2023   2024   2025   2026   2027   2028
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                              Year to Year, Percent Change
--------------------------------------------------------------------------------------------------------------------------------------------------------
Real GDP:
    Administration Budget (Feb. 2018)..............................        2.2   3.0   3.2   3.1    3.0    3.0    3.0    3.0    2.9    2.8    2.8    2.8
    CBO (April 2018)...............................................        2.3   3.0   2.9   2.0    1.5    1.5    1.6    1.7    1.8    1.7    1.8    1.8
    Blue Chip (March 2018).........................................        2.3   2.8   2.5   1.9    1.9    2.1    2.1    2.1    2.0    2.0    2.0    2.0
Consumer Price Index:
    Administration Budget (Feb. 2018)..............................        2.1   2.1   2.0   2.3    2.3    2.3    2.3    2.3    2.3    2.3    2.3    2.3
    CBO (April 2018)...............................................        2.1   2.2   2.2   2.4    2.5    2.5    2.4    2.4    2.4    2.4    2.4    2.4
    Blue Chip (March 2018).........................................        2.1   2.4   2.2   2.3    2.3    2.3    2.3    2.3    2.3    2.3    2.3    2.3
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                 Annual Average, Percent
--------------------------------------------------------------------------------------------------------------------------------------------------------
Unemployment Rate:
    Administration Budget (Feb. 2018)..............................        4.4   3.9   3.7   3.8    3.9    4.1    4.2    4.4    4.5    4.8    4.8    4.8
    CBO (April 2018)...............................................        4.4   3.8   3.3   3.6    4.1    4.6    4.7    4.8    4.8    4.9    4.8    4.8
    Blue Chip (March 2018).........................................        4.4   3.9   3.6   4.0    4.2    4.3    4.4    4.4    4.5    4.5    4.5    4.5
3-Month Treasury Bill:
    Administration Budget (Feb. 2018)..............................        0.9   1.5   2.3   2.9    3.0    3.0    2.9    2.9    2.9    2.9    2.9    2.9
    CBO (April 2018)...............................................        0.9   1.9   2.9   3.6    3.8    3.6    3.1    2.8    2.7    2.7    2.7    2.8
    Blue Chip (March 2018).........................................        0.9   1.9   2.6   2.7    2.8    2.9    2.9    2.9    3.0    3.0    3.0    3.0
10-Year Treasury Note:
    Administration Budget (Feb. 2018)..............................        2.3   2.6   3.1   3.4    3.6    3.7    3.7    3.6    3.6    3.6    3.6    3.6
    CBO (April 2018)...............................................        2.3   3.0   3.7   4.1    4.2    4.0    3.8    3.7    3.7    3.7    3.7    3.7
    Blue Chip (March 2018).........................................        2.3   2.9   3.4   3.5    3.6    3.7    3.7    3.7    3.8    3.8    3.8    3.8
--------------------------------------------------------------------------------------------------------------------------------------------------------
Sources: Congressional Budget Office, Office of Management and Budget, and Blue Chip Economic Indicators


                    TABLE 7.--ECONOMIC ASSUMPTIONS OF THE FISCAL YEAR 2019 BUDGET RESOLUTION
                                                [Calendar years]
----------------------------------------------------------------------------------------------------------------
                                    2018     2019   2020   2021   2022   2023   2024   2025   2026   2027   2028
----------------------------------------------------------------------------------------------------------------
                                          Year to Year, Percent Change
----------------------------------------------------------------------------------------------------------------
Real GDP:
    HBC (May 2018)..............       3.0    3.2    2.4    2.3    2.4    2.6    2.8    2.9    2.4    2.6    2.6
Consumer Price Index:
    HBC (May 2018)..............       2.2    2.2    2.4    2.5    2.5    2.4    2.4    2.4    2.4    2.4    2.4
----------------------------------------------------------------------------------------------------------------
                                             Annual Average, Percent
----------------------------------------------------------------------------------------------------------------
Unemployment Rate:
    HBC (May 2018)..............       3.8    3.3    3.6    4.1    4.6    4.7    4.8    4.8    4.9    4.8    4.8
3-Month Treasury Bill:
    HBC (May 2018)..............       1.9    2.9    3.7    3.9    3.8    3.5    3.2    3.2    3.3    3.3    3.4
10-Year Treasury Note:
    HBC (May 2018)..............       3.0    3.7    4.2    4.4    4.3    4.1    4.1    4.2    4.3    4.3    4.4
----------------------------------------------------------------------------------------------------------------


         MACROECONOMIC FEEDBACK EFFECTS OF PRO-GROWTH POLICIES

                              ----------                              


    Economic growth is one of the major determinants of revenue 
and spending levels--and therefore, the size of budget 
deficits--over a given period. For instance, a higher rate of 
gross domestic product (GDP) growth can lead to lower projected 
spending if it translates into reduced burdens on government 
safety net programs. It can also generate higher revenue due to 
increases in taxable incomes. Naturally, such a pattern would 
cause a reduction in federal deficits and debt relative to 
current estimates. Conversely, lower rates of growth can cause 
the opposite outcomes: higher rates of spending increases and 
lower revenue growth.
    Federal policies themselves--including tax policy, 
regulations, and rising deficits and debt--can affect the 
economy's potential to grow. They can generate changes in 
economic performance that ``feed back'' into budgetary 
outcomes. Consequently, fiscally responsible policies that 
improve the economy's long-term growth prospects can help 
reduce the size of budget deficits over a given period.
    As noted in the previous section, this resolution is based 
on an economic forecast that incorporates all of the pro-growth 
policies advanced in this budget, including regulation reform, 
welfare reform, increased domestic energy production, and lower 
deficits and debt. These initiatives are all a departure from 
the policies embedded in current law.
    Meanwhile, the Congressional Budget Office (CBO) is 
obligated to produce an economic forecast that assumes an 
indefinite extension of current law, including the explosion of 
deficit and debt levels over the next decade. This is partly 
why CBO is forecasting average real GDP growth of just 1.8 
percent over the next 10 years, which is well below the long-
term average growth rate of 3.0 percent in the U.S.\1\
---------------------------------------------------------------------------
    \1\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 9, 2018, https://www.cbo.gov/publication/53651.
---------------------------------------------------------------------------
    The Committee believes that if all the pro-growth policies 
in the budget resolution are enacted, real GDP growth would 
average 2.6 percent over the next 10 years. That would lead to 
much higher revenue levels and reduce deficits by a total of 
roughly $1.7 trillion over the budget window, relative to CBO's 
baseline.

                   FUNCTION-BY-FUNCTION PRESENTATION

                              ----------                              


                     FUNCTION 050: NATIONAL DEFENSE

                            Function Summary

    The National Defense budget function (Function 050) 
includes funds to compensate, train, maintain, and equip the 
military forces of the United States. The majority of National 
Defense programs are discretionary; they are funded through the 
annual appropriations process. These programs include all 
military activities of the Department of Defense (DOD) in 
addition to activities of the National Nuclear Security 
Administration, such as environmental clean-up of weapons 
production, research sites at the Department of Energy (DOE), 
and other defense-related activities (primarily in connection 
with counterterrorism). Mandatory spending within this function 
primarily funds benefits for military retirees.
    Funding for defense activities in support of the Global War 
on Terrorism is reflected in Function 970: Overseas Contingency 
Operations/Global War on Terrorism, rather than in this 
account.

                Summary of Committee-Reported Resolution

    The resolution calls for $656.5 billion in budget authority 
and $633.4 billion in outlays in fiscal year 2019. Of that 
total, discretionary spending in fiscal year 2019 is $647.0 
billion in budget authority and $624.0 billion in outlays. 
Mandatory spending in fiscal year 2019 is $9.5 billion in 
budget authority and $9.4 billion in outlays. The 10-year 
totals for budget authority and outlays are $7.2 trillion and 
$7.0 trillion, respectively. The discretionary levels for 
fiscal year 2019 are consistent with the Bipartisan Budget Act 
of 2018,\1\ the Trump Administration's fiscal year 2019 budget 
request, and the recently House-passed National Defense 
Authorization Act of 2019.\2\
---------------------------------------------------------------------------
    \1\Bipartisan Budget Act of 2018, Pub. L. No. 115-123, 132 Stat. 64 
(2018).
    \2\National Defense Authorization Act for Fiscal Year 2019, H.R. 
5515, 115th Cong. (2018).
---------------------------------------------------------------------------

                      Illustrative Policy Options

    The House committees of jurisdiction--the Committee on 
Armed Services and the Committee on Appropriations Subcommittee 
on Defense--should continue effective oversight of the 
Department of Defense to ensure resources are used efficiently 
to achieve desired results. The Budget Committee's authority 
applies solely to the budgetary parameters for each committee 
of jurisdiction. Some illustrative options the committees of 
jurisdiction might consider include the following.

                         DISCRETIONARY SPENDING

    Providing for the Common Defense. This budget preserves 
critical defense spending to protect vital national interests 
today and to modernize the military so that it can tackle 
tomorrow's challenges, including the ever-evolving threats in 
the Middle East and around the globe. For fiscal year 2019, 
this budget resolution provides $647 billion in base defense 
discretionary funding. From fiscal year 2019 to fiscal year 
2021, the Budget for a Brighter American Future calls for a 
five percent annual increase to the base defense budget. For 
the remainder of the budget window, this budget's defense 
spending continues to grow, ultimately reaching $736 billion in 
fiscal year 2028. This level is critical to providing the 
Department of Defense with the resources it needs to address a 
readiness shortfall. This funding will also ensure the United 
States can continue to overmatch both current and future, 
traditional and non-traditional adversaries in lethality and 
overall competitive advantage.
    Defense Industrial Base and Sustainment. A robust 
industrial base is vital to military readiness and, therefore, 
the national security of the United States. The sustainment 
industrial base is comprised of both private sector and 
military facilities, each serving a unique and vital role in 
the maintenance, repair, and overhaul of weapons, weapons 
systems, components, subcomponents, parts, and equipment. 
Military facilities and the private sector should focus on the 
areas in which each excels and enter into public-private 
partnerships, as appropriate, to save taxpayer dollars and 
increase military readiness.
    Workload should be one of the key drivers when managing 
depots, arsenals, and ammunition plants to ensure the lowest 
possible cost to the taxpayer. These key provisions in existing 
law, when vigorously enforced, will ensure that the vital 
security interests of the United States military are met 
through the maintenance of a healthy defense industrial base.
    Improving Defense Efficiency. Like all government agencies, 
the Department of Defense has a responsibility to the taxpayer 
to carefully manage its resources. The 2010 National Defense 
Authorization Act required the Department of Defense to be 
audit-ready by the end of fiscal year 2017.\3\ While progress 
has been made, DOD is still not fully auditable today. 
According to DOD Comptroller David Norquist, ``the Department 
will continue its plan to achieve full auditability of all its 
operations, improving its financial processes, systems, and 
tool to understand, manage, and improve cost.''\4\ The 
Comptroller announced DOD will issue a report to Congress, 
including audit findings and remediation status, by June 
2019.\5\
---------------------------------------------------------------------------
    \3\National Defense Authorization Act for Fiscal Year 2010, Pub. L. 
No. 111-84, 123 Stat. 2190 (2009).
    \4\Department of Defense Audit and Business Operations Reform at 
the Pentagon, Before the Senate Comm. On the Budget, 115th Cong. (March 
7, 2018) (statement of the Honorable David Norquist, Under Secretary of 
Defense (Comptroller) and Chief Financial Officer of the Department of 
Defense), https://www.budget.senate.gov/imo/media/doc/
NORQUIST.FINAL%202018-03-07%20SBC%20Norquist%20Statement_.pdf
    \5\Norquist Testimony.
---------------------------------------------------------------------------
    This budget commends Secretary of Defense James Mattis and 
Comptroller Norquist for their efforts to execute the first 
department-wide audit to examine every aspect of DOD from 
personnel and real property to weapons, supplies, and bases. 
The Budget Committee also commends the House Armed Services 
Committee for its work in this area and encourages further 
oversight hearings to ensure the Department of Defense 
maximizes the value of every taxpayer dollar.

                  FUNCTION 150: INTERNATIONAL AFFAIRS

                              ----------                              


                            Function Summary

    Function 150 includes spending for international 
development and related programs, such as food security, 
humanitarian assistance, and international security assistance. 
It also includes foreign affairs, foreign information and 
exchange activities, and international financial programs. The 
primary departments and agencies responsible for executing 
these programs are the U.S. Department of Agriculture, U.S. 
Department of State, U.S. Department of the Treasury, the U.S. 
Agency for International Development (USAID), and the 
Millennium Challenge Corporation. The bulk of discretionary 
spending within Function 150 is comprised of basic operations 
at the State Department and foreign aid.
    Funding for the State Department and USAID's non-enduring 
civilian activities in support of the Global War on Terrorism 
is reflected in Function 970: Overseas Contingency Operations/
Global War on Terrorism.

                Summary of Committee-Reported Resolution

    The budget calls for $47.9 billion in budget authority and 
$43.6 billion in outlays in fiscal year 2019. Of that total, 
discretionary spending totals $44.2 billion in budget authority 
and $47.3 billion in outlays. Mandatory spending, which totals 
$3.7 billion in budget authority and -$3.8 billion in outlays 
for fiscal year 2019, includes loan guarantee programs, 
payments to the Foreign Service Retirement and Disability Fund, 
and foreign-military sales programs. The negative figures 
reflect receipts from foreign-military sales and financing 
programs. The 10-year totals for budget authority and outlays 
are $502.2 billion and $469.8 billion, respectively.

                      Illustrative Policy Options

    The House committees of jurisdiction include the Committee 
on Foreign Affairs and the Committee on Appropriations 
Subcommittee on State, Foreign Operations, and Related 
Programs. To ensure resources are used efficiently, this budget 
recommends continuing effective oversight of the State 
Department and related foreign operations. Some illustrative 
options the committees might consider include the following.

                         DISCRETIONARY SPENDING

    Reform International Food Aid. Food aid is a critical tool 
in advancing American ``security, economic, and humanitarian 
interests throughout the international community.''\1\ However, 
due to outdated program purchase and shipping requirements, the 
current international food aid program is inefficient and often 
ineffective. According to the Committee on Foreign Affairs, 
U.S. food aid is ``too expensive, takes too long to arrive, and 
at times does more long-term damage than short-term good.''\2\ 
In early 2018, the Committee on Foreign Affairs introduced the 
Food for Peace Modernization Act and the Global Food Security 
Reauthorization Act of 2018.\3\,\4\, Both bills are intended to 
reform facilitation of aid in order to improve program outcomes 
and use of taxpayer dollars.
---------------------------------------------------------------------------
    \1\Letter from the Honorable Edward R. Royce, Chairman, House Comm. 
on Foreign Affairs, Fiscal Year 2019 Views and Estimates, to the 
Honorable Steve Womack, Chairman, House Comm. on the Budget (March 2, 
2018) (on file with the House Comm. on the Budget).
    \2\Comm. on Foreign Affairs, Views and Estimates.
    \3\Food for Peace Modernization Act of 2018, H.R. 5276, 115th Cong. 
(2018).
    \4\Global Food Security Reauthorization Act of 2018, H.R. 5129, 
115th Cong. (2018).
---------------------------------------------------------------------------
    The ultimate goal should be for countries to become self-
sustaining and less reliant on aid from the United States. With 
that goal in mind, this budget recommends program reforms to 
maximize the benefit of every dollar spent on international 
food aid. Suggested solutions include eliminating 
inefficiencies, increasing purchasing power and shipping 
flexibility, and providing assistance to developing countries. 
For example, the Food for Peace Modernization Act reduces the 
current U.S. purchase requirement from 93 percent to a 25 
percent minimum.\5\ Shifting to this policy would result in 
program savings and ultimately lead to more aid targeted toward 
people in need.
---------------------------------------------------------------------------
    \5\Global Food Security Reauthorization Act of 2018.
---------------------------------------------------------------------------
    Build Upon Broadcasting Board of Governors Reforms. In the 
National Defense Authorization Act for Fiscal Year 2017 (NDAA), 
several significant reforms were made to the management 
structure of the Broadcasting Board of Governors (BBG).\6\ BBG 
is a networked global media agency vital to national interests; 
it informs, engages, and connects people around the world in 
support of freedom and democracy. Under the new BBG structure, 
a chief executive officer ``would serve as the agency head, 
assuming all leadership, management, and operational 
authorities, including the key duty of acting as the firewall 
against political interference in the networks' journalism, 
ensuring the independence and integrity of BBG 
broadcasters.''\7\ The authorization also created a new 
``Presidentially-appointed, five member, bipartisan Advisory 
Board, which includes the Secretary of State that would replace 
the existing Board.''\8\ These reforms streamlined BBG's action 
plan on strategy, content, and modernization of its five 
networks--Voice of America, the Office of Cuba Broadcasting, 
Radio Free Europe/Radio Liberty, Radio Free Asia, and the 
Middle East Broadcasting Networks--to counter near- and long-
term propaganda threats against the U.S.
---------------------------------------------------------------------------
    \6\National Defense Authorization Act for Fiscal Year 2017, Pub. L. 
No. 114-328, 130 Stat. 2000 (2017).
    \7\Pub. L. No. 114-328.
    \8\Pub. L. No. 114-328.
---------------------------------------------------------------------------
    It is critical that U.S. international broadcasting 
programs are structured to respond properly to propaganda 
threatening American interests abroad. Particular attention 
should be paid to disinformation launched and spread by 
America's adversaries--including Russia, Al-Qaeda, and the 
Islamic State. This budget encourages the Committee on Foreign 
Affairs to continue making strides in this area.
    Eliminate Funding for Peripheral Foreign Affairs 
Institutions. The United States currently funds multiple 
independent agencies and quasi-private institutions, including 
the Inter-American Foundation and the East-West Center. These 
institutions engage in activities that overlap with the State 
Department and USAID. For example, the East-West Center was 
established in 1960 to promote a better understanding between 
the U.S. and nations of the Asia Pacific region. Over the past 
57 years, a number of factors--including the development of the 
Internet, increased trade, and cultural diversity--have led to 
the creation of private institutions that serve similar 
purposes.\9\
---------------------------------------------------------------------------
    \9\Comm. on Foreign Affairs, Views and Estimates.
---------------------------------------------------------------------------
    Consolidating and eliminating funding for institutions with 
similar missions and tasks will make U.S. international 
engagement more efficient and cost-effective. In fact, some of 
these organizations already receive private funding and could 
continue successfully without federal funding.
    Reduce Contributions to International Organizations and 
Programs. The United States makes voluntary contributions to 
more than 40 multilateral organizations and programs, including 
the United Nations Population Fund and the United Nations 
Development Program. These funding streams are often 
duplicative. The U.S. simultaneously funds these UN programs 
indirectly through the Contributions to International 
Organizations and Programs account, which makes payments to 
organizations pursuant to treaties and conventions signed by 
the United States. This budget continues funding support of 
treaty-bound organizations but reduces voluntary funding made 
in the International Organizations and Programs account.

          FUNCTION 250: GENERAL SCIENCE, SPACE, AND TECHNOLOGY

                              ----------                              


                            Function Summary

    The largest component of Function 250--comprising about 
half of its total spending--is the space-flight, research, and 
supporting activities of the National Aeronautics and Space 
Administration (NASA). This function also contains general 
science funding, including the budgets for the National Science 
Foundation (NSF) and the Department of Energy's (DOE) Office of 
Science.

                Summary of Committee-Reported Resolution

    The budget calls for $29.5 billion in budget authority and 
$31.5 billion in outlays in fiscal year 2019. Of that total, 
discretionary spending totals $29.4 billion in budget authority 
and $31.4 billion in outlays, and mandatory spending totals 
$142 million in budget authority and $125 million in outlays. 
The 10-year totals for budget authority and outlays are $328.1 
billion and $326.0 billion, respectively.

                      Illustrative Policy Options

    The principal authorizing committee in this category is the 
House Committee on Science, Space, and Technology. Funding is 
provided by the Committee on Appropriations Subcommittees on 
Commerce, Justice, Science, and Related Agencies. Below are 
recommended options the committees of jurisdiction may wish to 
consider when making final policy and funding decisions.

                         DISCRETIONARY SPENDING

    Restore Core Government Responsibilities. Spending on 
research and development within NSF, DOE's Office of Science, 
and NASA's Earth Science Division should be more transparent 
and should clearly illustrate how each agency serves the 
national interest. In response, this budget prioritizes 
resources for basic scientific research. It recommends 
responsibly paring back applied and commercial research and 
development and addressing areas of wasteful spending that do 
not provide a high return on taxpayer investment.
    Reduce Expenses for the Department of Homeland Security's 
Directorate of Science and Technology. Much of the research 
done within this office is duplicative of work conducted by 
other agencies. This budget recommends reductions in management 
and administrative expenses for the Department of Homeland 
Security's Directorate of Science and Technology, while 
shifting funding to frontline missions and capabilities.

                          FUNCTION 270: ENERGY

                              ----------                              


                            Function Summary

    Discretionary spending in Function 270 includes many of the 
civilian energy and environmental programs within the 
Department of Energy (DOE). It also includes funding for the 
operations of the Nuclear Regulatory Commission (NRC). The 
majority of DOE's discretionary budget is allocated to applied 
research and development (R&D), commercialization, and 
deployment of energy technologies in renewable energy, energy 
efficiency, fossil energy, nuclear energy, electricity 
delivery, and energy reliability. Mandatory spending in this 
category includes the remaining civilian energy and 
environmental programs at DOE. It also includes the Rural 
Utilities Service of the Department of Agriculture, the 
Tennessee Valley Authority, and the Federal Energy Regulatory 
Commission.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for -$2.6 billion in 
budget authority and $4.2 billion in outlays. Of that total, 
discretionary spending totals -$1.3 billion in budget authority 
and $6.4 billion in outlays, and mandatory spending totals -
$1.2 billion in budget authority and -$2.1 billion in outlays. 
The 10-year totals for budget authority and outlays are -$2.6 
billion and $1.3 billion, respectively. The negative balances 
reflect the incoming repayment of loans and receipts from the 
sale of electricity produced by federal entities, which are 
accounted for as ``negative spending,'' as well as rescissions 
of unobligated balances in green energy loan programs.

                      Illustrative Policy Options

    The authorizing House committees for programs within 
Function 270 include: the Committee on Energy and Commerce, the 
Committee on Natural Resources, and the Committee on Science, 
Space, and Technology. Funding is provided by the Committee on 
Appropriations Subcommittee on Energy and Water Development, 
and Related Agencies. Below are options the committees of 
jurisdiction may wish to consider when making final policy and 
funding decisions.

                         DISCRETIONARY SPENDING

    Reduce Funding for Commercial Research and Development. The 
budget supports maintaining current funding levels for basic 
R&D activities within DOE, while significantly reducing funding 
for applied R&D. Focusing on basic R&D allows DOE to zero in on 
cutting-edge discoveries in the physical sciences and leaves 
the application, commercialization, and deployment of new 
technologies to the private sector.
    Rescind Unobligated Balances from the Title XVII Loan 
Guarantee Program. The budget recommends rescinding unobligated 
balances in DOE's Title XVII, Section 1703 loan guarantee 
program. This Obama Administration, stimulus-era program 
provides broad authority for DOE to issue loans for commercial 
and advanced technology projects. Only three loan guarantees 
have been closed since the start of the program, all related to 
an $8 billion fossil energy project to reduce greenhouse gas 
emissions. The government should continue to manage the 
existing portfolio of loan guarantees, but it should not put 
additional tax dollars at risk by issuing new loan guarantees. 
The federal government should reclaim the remaining spending 
authority that DOE has not yet obligated to ensure that 
taxpayers are not exposed to further financial risk.
    Rescind Unobligated Balances from the ATVM Direct Loan 
Program. The budget recommends rescinding unobligated balances 
in DOE's Section 136 Advanced Technology Vehicles Manufacturing 
(ATVM) direct loan program. ATVM was created in 2007--and 
bolstered during the 2009 stimulus--to provide incentives to 
car manufacturers to produce more fuel-efficient vehicles. This 
stimulus-era program is no longer a productive or critical use 
of taxpayer funding. Only five loans have been closed under 
this authority, and since 2011, no new loans have closed. While 
DOE should continue to provide responsible management and 
oversight for the existing loan portfolio, the federal 
government should rescind the remaining loan authority and 
protect the taxpayer from future losses.

                           MANDATORY SPENDING

    Rescind Unobligated Balances from DOE's Green Energy 
Programs. Since implementation of the American Recovery and 
Reinvestment Act of 2009, commonly known as the stimulus, DOE's 
green energy loan programs have led to numerous failures. 
Examples include Solyndra and Abound Solar, which have wasted 
billions of taxpayer dollars. This budget would reclaim all of 
DOE's unobligated spending authority, ensuring taxpayers are 
not exposed to further risk for renewable energy projects that 
would not otherwise be market-viable.
    Repeal Stimulus-Driven Borrowing Authority Specifically for 
Green Transmission. This budget calls for repeal of the 
borrowing authority in the Western Area Power Administration's 
Transmission Infrastructure Program, which provides loans to 
develop new transmission systems aimed solely at integrating 
renewable energy. This authority was established in the 2009 
stimulus. The nation's investments in transmission assets are 
best carried out by the private sector, and this budget 
recommends the rescission of the program's unobligated funds.

            FUNCTION 300: NATURAL RESOURCES AND ENVIRONMENT

                              ----------                              


                            Function Summary

    The discretionary programs in Function 300 relate to the 
conservation of natural resources and the environment. The 
activities in this function include maintaining infrastructure, 
dams, coastland, and waterways; sustaining fish, birds, and 
other wildlife; managing national parks and forests; and 
providing daily weather forecasts.
    The major mandatory programs in this function are 
conservation programs authorized in the Farm Bill, outlays from 
programs supported by excise taxes, and Superfund activities. 
The departments and agencies under Function 300 are the 
Department of the Interior (DOI), the Environmental Protection 
Agency (EPA), the Army Corps of Engineers, the U.S. Forest 
Service and other conservation and land management activities 
within the Department of Agriculture (USDA), and the water 
resources and conservation activities of the National Oceanic 
and Atmospheric Administration (NOAA). Notable agencies within 
DOI include the Bureau of Land Management, the National Park 
Service, the Bureau of Indian Affairs, the U.S. Fish and 
Wildlife Service, and the Bureau of Reclamation.

                Summary of Committee-Reported Resolution

    The budget calls for $52.2 billion in budget authority and 
$37.6 billion in outlays in fiscal year 2019. Of that total, 
discretionary spending totals $52.6 billion in budget authority 
and $37.3 billion in outlays, and mandatory spending totals -
$386 million in budget authority and $321 million in outlays. 
The 10-year totals for budget authority and outlays are $575.5 
billion and $423.2 billion, respectively.

                      Illustrative Policy Options

    The principal House authorizing committees in this function 
are the Committee on Natural Resources, the Committee on 
Agriculture, and the Committee on Transportation and 
Infrastructure. Funding is provided primarily by the Committee 
on Appropriations Subcommittee on Interior, Environment, and 
Related Agencies, Subcommittee on Energy and Water Development, 
and Related Agencies, and Subcommittee on Agriculture, Rural 
Development, Food and Drug Administration, and Related 
Agencies. Below are options the committees of jurisdiction may 
wish to consider when making final policy and funding 
decisions.

                         DISCRETIONARY SPENDING

    Streamline Climate Change Activities Across Government. 
This budget recommends savings be achieved by changing 
duplicative or unproductive policies related to climate change 
activities and research. It calls for better coordination of 
programming and funding to eliminate unnecessary spending. Many 
of the programs addressed are funded within NOAA, as well as 
EPA and the National Aeronautics and Space Administration.
    Eliminate the National Sea Grant College and Fellowship 
Programs. Since 1966, NOAA has provided federal funds to 
universities and academic research organizations in 33 states 
to sponsor a variety of marine research, outreach, and 
education projects. NOAA also funds a National Sea Grant 
Office, which offers fellowships for graduate students. While 
these sorts of programs can provide valuable learning 
opportunities, this budget suggests that facilitation of 
education-based grants and fellowships is a role better suited 
for either the Department of Education or state and local 
governments.
    Reduce and Refocus Environmental Protection Agency Funding. 
The Obama Administration used EPA and its budget to implement 
top-down regulatory policies to the detriment of states, 
localities, small businesses, and energy consumers. This budget 
calls for reducing annual funding levels in order to return EPA 
to its core mission of simply enforcing laws passed by 
Congress-rather than continually attempting to re-write them 
through regulations.

                           MANDATORY SPENDING

    Maintain Existing Land Resources. The federal government 
already struggles with an $18 billion land maintenance backlog, 
with $11.6 billion of maintenance solely within the National 
Park Service. This budget keeps funding for land acquisition 
under congressional oversight and gives states and localities 
more control over their own land and resources. This budget 
also supports the permanent reauthorization of the Federal Land 
Transaction Facilitation Act,\1\ which was included in H.R. 
1625, the Consolidated Appropriations Act of 2018.\2\ The 
program facilitates strategic federal land sales by the Bureau 
of Land Management (BLM). It also helps consolidate the public-
private land checkerboard across the country and seeks to 
advance local community, conservation, and recreation needs.
---------------------------------------------------------------------------
    \1\Federal Land Transaction Facilitation Act, Title II of Pub. L. 
No. 106-248, 114 Stat. 598 (2000).
    \2\Consolidated Appropriations Act, 2018, Pub. L. No. 115-141, 132 
Stat. 348 (2018).
---------------------------------------------------------------------------
    Expand Access to Federal Land for Timber Harvest. Timber 
harvest rates on federal land have declined for nearly 30 
years. However, states and localities depend on their share of 
these harvest receipts to pay for schools and other local 
priorities. As a result of harvest decline, receipts have 
increasingly fallen short of expectation and need. This budget 
recommends expanding timber harvests in order to generate 
economic growth in localities throughout the country and 
increase federal, state, and local receipts.
    Active Federal Forest and Land Management. This budget 
supports the work of the House Committee on Natural Resources 
and the enactment of H.R. 2936, the Resilient Federal Forests 
Act of 2018.\3\ This legislation improves the ability of the 
U.S. Forest Service (USFS) and other DOI agencies to actively 
manage federal lands and decrease the threat of wildfires and 
other devastating catastrophes that affect communities and 
recreational areas nationwide. H.R. 1625 allocates dedicated 
USFS and DOI emergency funding in order to provide immediate 
access to additional reserves in the event of disastrous fire 
seasons and end the costly practice of withholding resources 
from active forest and land management in anticipation of 
wildland firefighting costs expected later in the fiscal year. 
Ending this practice, known as ``fire borrowing,'' frees up 
resources that should be prioritized toward investment in the 
active management of federal lands.
---------------------------------------------------------------------------
    \3\Resilient Federal Forests Act of 2017, H.R. 2936, 115th Cong. 
(2017).
---------------------------------------------------------------------------
    Expand Onshore and Offshore Natural Resource Production. 
Unlocking domestic energy supplies in a safe, environmentally-
responsible manner will increase receipts from bonus bids, 
rental payments, royalties, and fees. This budget supports the 
work of DOI, BLM, the Bureau of Ocean Energy Management, and 
other federal agencies that have stemmed the tide of 
overbearing federal regulation to allow for a twenty-first 
century domestic energy renaissance.

                       FUNCTION 350: AGRICULTURE

                              ----------                              


                            Function Summary

    Discretionary funding in Function 350 supports agricultural 
research, education, and economics; marketing and information 
services; and animal and plant health inspection services. 
Function 350 is the primary source of funding for the U.S. 
Department of Agriculture (USDA), which includes the Farm 
Service Agency, the Foreign Agricultural Service, the Risk 
Management Agency, and a variety of related programs and 
activities.
    The House Committee on Agriculture has complete authority 
to determine mandatory spending policies under its jurisdiction 
and nothing in this report is intended to predetermine those 
specific choices. The Committee on the Budget will work with 
the Committee on Agriculture to ensure it has adequate 
flexibility to confront the significant challenges faced by 
America's farmers and ranchers, including an estimated 
reduction in net farm income and an uncertain trade environment 
that is increasingly dominated by foreign subsidies, tariffs, 
and non-tariff trade barriers.
    The resolution supports the policies within H.R. 2, the 
Agriculture and Nutrition Act of 2018, which passed the House 
on June 21, 2018.\1\ The Committee on Agriculture's legislation 
promotes fiscally-responsible initiatives that put the nation's 
farmers and ranchers first. Moreover, H.R. 2 reinforces the 
importance of rural communities, provides hardworking Americans 
with healthy and nutritious foods for their families, protects 
the country's forests and natural resources, and strengthens 
America's status as a major player in international trade.
---------------------------------------------------------------------------
    \1\Agriculture and Nutrition Act of 2018, H.R. 2, 115th Cong. 
(2018).
---------------------------------------------------------------------------

                Summary of Committee-Reported Resolution

    The resolution calls for $23.5 billion in budget authority 
and $22.5 billion in outlays in fiscal year 2019. Of that 
total, discretionary spending in fiscal year 2019 totals $9.1 
billion in budget authority and $8.9 billion in outlays. 
Mandatory spending in 2019 is $14.3 billion in budget authority 
and $13.6 billion in outlays. The ten-year totals for budget 
authority and outlays are $228.4 billion and $221.9 billion, 
respectively.

                      Illustrative Policy Options

                         DISCRETIONARY SPENDING

    Funding for discretionary agriculture programs and 
activities will be determined by the House Committee on 
Appropriations Subcommittee on Agriculture, Rural Development, 
Food and Drug Administration, and Related Agencies. This budget 
supports competitive grant-based research in an effort to spur 
agricultural study and place the United States at a competitive 
level internationally. Additionally, this budget recommends 
that continued attention be given to streamlining and, where 
possible, consolidating operations and activities across USDA 
agencies, including in its large network of county field 
offices.

                           MANDATORY SPENDING

    Among the options the Committee on Agriculture may wish to 
consider is the following:
    Continued Reform of Agricultural Programs. While a number 
of reforms have been made to agricultural programs, the 
Committee on Agriculture is encouraged to continue identifying 
solutions and improvements. Any additional savings would be 
coupled with significant benefits realized from other functions 
in this budget, including regulatory relief and stronger 
economic growth as the burden of federal deficits is lifted.

               FUNCTION 370: COMMERCE AND HOUSING CREDIT

                              ----------                              


                            Function Summary

    Function 370, the Commerce and Housing Credit function, 
consists of programs that support commercial activities, 
including housing credit, deposit insurance, financial 
services, and the advancement of commerce. Specific departments 
and agencies that are funded within Function 370 are the U.S. 
Department of Commerce, the Federal Housing Administration 
(FHA), some activities and programs of the Department of 
Housing and Urban Development (HUD), the U.S. Patent and 
Trademark Office, the Securities and Exchange Commission (SEC), 
and the Consumer Financial Protection Bureau (CFPB). Budget 
Function 370 also includes an off-budget category which is 
comprised of the U.S. Postal Service (USPS). The largest 
discretionary programs in Function 370 are the Federal Housing 
Administration's mortgage insurance program, securitization of 
Government National Mortgage Association (GNMA, or Ginnie Mae) 
loans, the Census Bureau, and the National Institute of 
Standards and Technology. The major mandatory programs in this 
function are deposit insurance, the U.S. Postal Service (USPS), 
the Universal Service Fund (USF), and the Consumer Financial 
Protection Bureau (CFPB).

                Summary of Committee-Reported Resolution

    The budget calls for a total of -$6.1 billion in budget 
authority and -$11.5 billion in outlays in fiscal year 2019. Of 
that total, discretionary spending totals -$9.7 billion in 
budget authority and -$9.3 billion in outlays, and mandatory 
spending totals $3.5 billion in budget authority and -$2.2 
billion in outlays. The 10-year totals for budget authority and 
outlays are -$83.2 billion and -$171.5 billion, respectively.
    On-budget totals for fiscal year 2019 are -$4.3 billion in 
budget authority and -$9.7 billion in outlays. Of these 
amounts, discretionary budget authority is -$9.9 billion, with 
outlays of -$9.6 billion. Mandatory on-budget spending for 
fiscal year 2019 is $5.6 billion in budget authority and -$115 
million in outlays. Over 10 years, the on-budget totals are -
$67.2 billion in budget authority and -$155.5 billion in 
outlays.
    Negative discretionary totals for budget authority and 
outlays mainly reflect the negative subsidy rates applied to 
certain loan and loan-guarantee programs scored under the 
guidelines of the Federal Credit Reform Act, such as FHA and 
Ginnie Mae programs. It should be noted that FHA loans are 
scored using a different accounting method than the fair-value 
estimates that CBO applies to Fannie Mae and Freddie Mac, 
resulting in budget disparities.
    Off-budget totals for fiscal year 2019 are -$1.8 billion in 
budget authority and -$1.8 billion in outlays. Of these 
amounts, discretionary totals are $271 million in budget 
authority and $270 million in outlays. Over 10 years, the 
discretionary off-budget totals are $3.2 billion in budget 
authority and $3.2 billion in outlays. Mandatory off-budget 
spending for fiscal year 2019 is -$2.1 billion in budget 
authority and -$2.1 billion in outlays. Over 10 years, the 
mandatory off-budget totals are -$19.2 billion in budget 
authority and -$19.2 billion in outlays.

                      Illustrative Policy Options

    The House authorizing committees of jurisdiction for 
Function 370 programs include the Committee on Financial 
Services, Committee on Small Business, Committee on Energy and 
Commerce, and the Committee on Oversight and Government Reform. 
Funding is provided primarily by the Committee on 
Appropriations Subcommittee on Commerce, Justice, Science, and 
Related Agencies and Subcommittee on Financial Services and 
General Government. Below are options these committees may wish 
to consider when making final policy and funding decisions.

                         DISCRETIONARY SPENDING

    Tighten the Belts of Government Agencies. Duplication, 
hidden subsidies, and large bureaucracies are symptomatic of 
many agencies within Function 370. For example, the Securities 
and Exchange Commission now has more than 4,000 employees. The 
SEC's current budget authority represents an increase of 
roughly 50 percent since the passage of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act (Dodd-Frank) in 
2010.\1\ From a decade ago, budget authority is today 100 
percent higher. Since 2000, the SEC's budget authority has 
increased roughly 400 percent. Despite these large increases, 
the SEC has consistently requested additional funding. The 
premise that more funding for the SEC means better, smarter 
regulation is highly questionable. The agency should be 
reformed so it can perform its duties more efficiently.
---------------------------------------------------------------------------
    \1\Dodd-Frank Wall Street Reform and Consumer Protection Act, Pub. 
L. 111-203, 124 Stat. 1376 (2010).
---------------------------------------------------------------------------
    Congress should assess the ever-growing spending of federal 
agencies, determining what levels are necessary to effectively 
and efficiently execute their missions, and adjusting funding 
accordingly.

                           MANDATORY SPENDING

    Reform the Universal Service Fund. The Universal Service 
Fund (USF) provides subsidized telecommunications services 
through four main programs: High-Cost Support, Schools and 
Libraries (E-rate), the Lifeline Program, and Rural Health 
Care. The USF is funded through mandatory contributions by 
carriers, who pass these costs on to consumers as fees on 
subscribers' telephone bills. Rather than maintaining assets in 
the U.S. Treasury, the Federal Communications Commission (FCC) 
maintains the USF's roughly $9 billion in net assets in a 
private bank account, where they are not subject to the 
management and safeguards as other federal programs.\2\ This 
budget resolution aims to reform burdensome USF programs and 
has identified Lifeline as a key example.
---------------------------------------------------------------------------
    \2\Government Accountability Office, Additional Action Needed to 
Address Significant Risks in FCC's Lifeline Program, report no. GAO-17-
538, May 30, 2017. The $9 billion figure is as of September 2016.
---------------------------------------------------------------------------
    Lifeline provides subsidies to about 12.3 million low-
income Americans for telephone, wireless, and broadband 
service, at a cost of about $1.5 billion per year.\3\ To be 
eligible, a household must have an income at or below the 
federal poverty line or must participate in one of several 
safety net programs, such as Medicaid or the Supplemental 
Nutrition Assistance Program (SNAP). Yet, due to a loosely 
monitored oversight arrangement, Lifeline is highly susceptible 
to waste, fraud, and abuse. According to a recently released 
GAO report, Lifeline has ``limited abilities to detect and 
prevent ineligible subscribers from enrolling.''\4\ This is 
because its structure relies on more than 2,000 Eligible 
Telecommunication Carriers with the dual duties of receiving 
subsidies from the federal government and verifying subscriber 
eligibility for each subsidy. Therefore, these carriers have a 
financial incentive to sign up as many subscribers as 
possible--regardless of program eligibility. Moreover, about 96 
percent of low-income households already have phone service.\5\
---------------------------------------------------------------------------
    \3\GAO, GAO-17-538. The program was created in the mid-1980s to 
promote telephone service for low-income households. Wireless service 
came to be included in the mid-2000s, and broadband in 2016.
    \4\GAO, GAO-17-538.
    \5\GAO, GAO-17-538.
---------------------------------------------------------------------------
    While the FCC has taken steps to rectify some of Lifeline's 
internal controls, the agency's most significant reform plans--
creation of a third-party national eligibility verifier and an 
independent third party tasked with evaluating the Lifeline 
program's design, function, and administration--will not 
materialize until 2019 and 2020, respectively. Reforming this 
program would significantly reduce the burden on taxpayers.
    Repeal the Orderly Liquidation Authority. Through the 
Orderly Liquidation Fund (OLF), the Federal Deposit Insurance 
Corporation (FDIC) now has the authority to access taxpayer 
dollars to bail out the creditors of large, ``systemically 
significant'' financial institutions. This increases moral 
hazard on Wall Street by explicitly guaranteeing future 
bailouts. The budget resolution calls for repeal of this 
authority and the associated fund.
    Appropriate all Federal Financial Regulators. With the 
exception of the SEC, all federal financial regulators are 
mandatory programs and not subject to congressional oversight 
through appropriations. This budget recommends that these 
financial regulators have their budgets moved to the 
discretionary side of the ledger and set by Congress through 
the annual appropriations process.
    Eliminate the Consumer Financial Protection Bureau. Dodd-
Frank gave this new Bureau off-budget financing and complete, 
unfettered autonomy. Currently, the Federal Reserve returns its 
excess earnings from monetary operations to the U.S. Treasury 
to reduce the deficit. Now, instead of directing these funds to 
reduce the deficit, Dodd-Frank requires diverting a portion of 
them to pay for a new bureaucracy with the authority to write 
far-reaching rules on financial products and restrict credit to 
the very customers it seeks to ``protect.'' The budget 
resolution calls for the elimination of the CFPB.

                     OFF-BUDGET MANDATORY SPENDING

    Reform the U.S. Postal Service. The USPS boasts an iconic 
brand name, universal service, and certain competitive 
advantages regarding market-dominant products. In recent 
decades, however, USPS has faced financial instability stemming 
largely from reduced demand for its services and ever-growing 
unfunded pension and health care liabilities. Mail volume and 
revenue continue to decrease, but liabilities continue to 
increase, creating a net loss for USPS for the eleventh 
consecutive year. In fiscal year 2017, USPS saw a 3.1 percent 
decline in mail volume and a 2.6 percent decline in revenue 
over the previous year. Although the pension and health care 
issues were addressed over a decade ago by requiring USPS to 
prefund these retirement obligations, USPS has not set aside 
sufficient funds to cover these ever-expanding obligations. The 
financial condition at USPS is so dire that GAO regularly 
places USPS on its ``High Risk List.''\6\
---------------------------------------------------------------------------
    \6\Government Accountability Office, High-Risk Series: Progress on 
Many High-Risk Areas, while Substantial Efforts Needed on Others, 
report no. GAO-17-317, February 15, 2017, https://www.gao.gov/products/
GAO-17-317.
---------------------------------------------------------------------------
    The budget supports the continued work of the House 
Committee on Oversight and Government Reform and their broad-
based restructuring of USPS and its finances. By providing USPS 
with the flexibility that any business needs to create a viable 
and sustainable business model, these reforms should allow the 
USPS to compete in a twenty-first century economy and to 
respond to changing market conditions, including declining mail 
volume. Examples of flexibilities that should be considered 
have been included in several reform proposals approved by the 
House Committee on Oversight and Government Reform, including 
calls to modify both the frequency and type of mail delivery. 
Granting the U.S. Postal Service the authority to expand the 
products and services it provides would aid in creating 
additional revenue. This budget also recognizes the need to 
reform compensation of postal employees, who currently pay a 
smaller share of the costs of their health and life insurance 
premiums than do all other federal employees, and to address 
the prefunding schedule for postal retiree health and 
retirement benefits established in the Postal Accountability 
and Enhancement Act of 2006.\7\
---------------------------------------------------------------------------
    \7\Postal Accountability and Enhancement Act, Pub. L. No. 109-435, 
120 Stat. 3198 (2006).

                      FUNCTION 400: TRANSPORTATION

                              ----------                              


                            Function Summary

    Function 400 is comprised of the nation's land, air, water, 
and other transportation funding, consisting of both 
discretionary and mandatory programs. The budget proposes 
initiatives to provide the country with a more competent, well-
rounded, and innovative transportation system that strengthens 
efficiency and bolsters development at the state and local 
levels. The departments and agencies under this function 
include: the Department of Transportation, the Federal Aviation 
Administration, the Federal Highway Administration, and the 
highway, motor-carrier safety, and rail components of the 
Federal Transit Administration.

                Summary of Committee-Reported Resolution

    The budget calls for $95.2 billion in budget authority and 
$92.5 billion in outlays in fiscal year 2019. Of that total, 
discretionary spending totals $34.6 billion in budget authority 
and $91.4 billion in outlays, and mandatory spending totals 
$60.6 billion in budget authority and $1.1 billion in outlays. 
The 10-year totals for budget authority and outlays are $774.3 
billion and $823.9 billion, respectively.

                      Illustrative Policy Options

    The primary House authorizing committee for Function 400 is 
the Committee on Transportation and Infrastructure. Funding is 
determined by the Committee on Appropriations Subcommittee on 
Transportation, Housing and Urban Development, and Related 
Agencies. Below are options committees of jurisdiction may wish 
to consider when making final policy and funding decisions for 
future legislation.

                         DISCRETIONARY SPENDING

    Reduce Federal Subsidies for the National Railroad 
Passenger Corporation (Amtrak). Consistent with President 
Trump's fiscal year 2019 budget request, the budget assumes a 
reduction in federal subsidies for Amtrak operations. Federal 
subsidies have disabled Amtrak from becoming a self-sufficient 
entity. This behavior has unfairly committed taxpayers to 
continually financing business and recreational trips for a 
small fraction of the population. The budget proposes policies 
that would allow Amtrak's management to make prudent business 
decisions in a competitive operating environment with reduced 
federal subsidies.
    Phase Out Future Capital Investment Program Grants. Often 
referred to as New Starts, Capital Investment Program Grants 
are designed to fund communal transit projects, which include 
developments ranging from heavy rail to local streetcars. Due 
to the federal government's involvement with administering 
these grants, projects can be dissuaded from local interests 
and priorities. The budget supports fulfilling current 
obligations and then phasing out new grants; this phase-out 
would give states and cities time to plan their future 
transportation priorities and budgets accordingly. Doing so 
will allow communities to tailor projects in a way that best 
reflects local interests.
    Encourage Improved Performance and Safety at Washington 
Metropolitan Area Transit Authority (WMATA). Commonly called 
``Metro,'' the WMATA is a local transit authority that operates 
rail, bus, and paratransit services throughout the nation's 
capital and other neighboring communities. In addition to fare 
and advertising revenue, it receives federal aid through the 
annual appropriations process. The District of Columbia, 
Maryland, and Virginia also raise matching funds through 
dedicated funding sources to pay for Metro's services. However, 
the transit agency has been fraught with systemic poor 
performance in several areas: low on-time performance, weekly 
service disruptions, maintenance backlogs, smoky rail tunnels, 
and high operating costs. This budget resolution supports 
legislative reforms that encourage Metro to contain costs, 
provide better services, and operate more like a business, 
rather than continue to reward a poorly-operated system with 
greater taxpayer-funded subsidies. Metro customers would 
benefit from safer, more reliable service.

                           MANDATORY SPENDING

    Ensure Long-Term Solvency of the Highway Trust Fund. The 
budget proposes sensible, necessary reforms to place the 
Highway Trust Fund (HTF) back on strong financial footing. It 
does not propose any General Fund bailouts or adding to the 
deficit as solutions. This budget calls for adopting 
commonsense improvements to avert the impending bankruptcy of 
the HTF--which CBO projects in fiscal year 2021--and aligning 
revenues with spending.

            FUNCTION 450: COMMUNITY AND REGIONAL DEVELOPMENT

                              ----------                              


                            Function Summary

    Function 450, the Community and Regional Development 
function, includes programs to improve community economic 
conditions and promote rural development. Programs in this 
function also assist in natural disaster response and 
preparation. The largest discretionary programs in Function 450 
are disaster assistance and relief activities at the Federal 
Emergency Management Agency (FEMA) and the Community 
Development Block Grant program (CDBG). The major mandatory 
programs in this function are the National Flood Insurance 
Program (NFIP), the Gulf Coast Restoration Trust Fund, and 
Rural Economic Development Loan and Grant Program.

                Summary of Committee-Reported Resolution

    The budget calls for $74.7 billion in budget authority and 
$44.5 billion in outlays in fiscal year 2019. Of that total, 
discretionary spending totals $74.8 billion in budget authority 
and $43.9 billion in outlays, and mandatory spending totals -
$88 million in budget authority and $629 million in outlays. 
The 10-year totals for budget authority and outlays are $826.3 
billion and $620.5 billion, respectively.

                      Illustrative Policy Options

    The House authorizing committees in this function are the 
Committee on Agriculture, the Committee on Transportation and 
Infrastructure, the Committee on Financial Services, and the 
Committee on Energy and Commerce. Funding is provided by the 
Appropriations Subcommittee on Homeland Security, Subcommittee 
on Energy and Water Development, and Related Agencies, and the 
Subcommittee on Transportation, Housing and Urban Development, 
and Related Agencies. Below are options the committees of 
jurisdiction may wish to consider when making final policy and 
funding decisions.

                         DISCRETIONARY SPENDING

    Eliminate Non-Core Programs. At a time when reducing 
spending is imperative for the nation's long-term fiscal 
health, this budget recommends taking a hard look at community 
and regional programs. It suggests scrutinizing programs that 
deliver funds for non-core federal government functions and 
consolidating and streamlining programs wherever possible to 
reduce duplication.
    Reform the Federal Emergency Management Agency. This budget 
supports implementation of reforms at FEMA, as enacted by H.R. 
2266, the Additional Supplemental Appropriations for Disaster 
Relief Requirement Act, 2017. The relevant reforms improve 
service delivery and efficacy in disaster assistance. At the 
same time, this budget proposes additional steps to eliminate 
overlap and inefficiencies. It also acknowledges the need to 
consider reforms for disaster-relief assistance to ensure state 
and local governments in the most need are receiving 
assistance.

                           MANDATORY SPENDING

    Reform and Reauthorize the National Flood Insurance 
Program. The National Flood Insurance Program was created in 
1968 to help protect property owners in at-risk communities by 
offering a government-administered insurance supplement to 
disaster assistance.
    For many years, NFIP's cost was covered by a combination of 
premiums and occasional short-term borrowing from the U.S. 
Treasury. Since 2004, NFIP has relied on long-term Treasury 
borrowing that it cannot repay. To date, NFIP has incurred over 
$36.5 billion in debt. While the recent enactment of H.R. 2266 
forgave $16 billion of NFIP's debt, major reforms are still 
needed to restore the program's solvency.
    Currently, insurance premiums paid to NFIP do not cover the 
increasing annual claims that the program pays out, causing 
average yearly deficits of $1.4 billion. With the program set 
to expire on July 31, 2018, it is critical that Congress and 
the Trump Administration enact the necessary reforms to make 
NFIP financially sustainable and to prevent continued taxpayer-
funded bailouts of the flood insurance program.
    This budget supports the continued work of the House 
Committee on Financial Services. It includes recent 
reauthorization efforts to substantially reform how NFIP works, 
address the financial solvency of the program, provide 
policyholders with non-government alternatives to the NFIP, and 
bring flood insurance premiums closer to parity with private 
market rates.

   FUNCTION 500: EDUCATION, TRAINING, EMPLOYMENT, AND SOCIAL SERVICES

                              ----------                              


                            Function Summary

    It is a national goal and focus of federal policymakers to 
ensure that all Americans have access to high-quality 
education. A robust economy relies on having a well-trained and 
educated workforce. Function 500 consists of programs that 
receive both mandatory and discretionary funds, and the 
activities funded within it fund developmental services to low-
income children, help fund programs for disadvantaged and other 
elementary- and secondary-school students, make grants and 
loans to post-secondary students, and fund job training and 
employment services for people of all ages. The principal 
agencies that administer these programs are the U.S. Department 
of Education and the U.S. Department of Labor.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for $89.6 billion in 
budget authority and $105.8 billion in outlays. Of that total, 
discretionary spending totals $93.0 billion in budget authority 
and $100.7 billion in outlays, and mandatory spending is -$3.3 
billion in budget authority and $5.1 billion in outlays. The 
10-year totals for budget authority and outlays are $982.1 
billion and $1.0 trillion, respectively.

                      Illustrative Policy Options

    The principal authorizing committee for Function 500 is the 
House Committee on Education and the Workforce. Funding is 
provided by the Committee on Appropriations Subcommittee on 
Labor, Health and Human Services, Education, and Related 
Agencies.

                         DISCRETIONARY SPENDING

    Reform Job-Training Programs. The Bureau of Labor 
Statistics reports that 6.1 million Americans are unemployed. 
Yet, it also reports 6.6 million job openings.\1\ This gap is 
due in part to the failure of the nation's workforce-
development programs to successfully match workers' skills with 
employers' needs. In 2014 the Workforce Innovation and 
Opportunity Act (WIOA)\2\ made important reforms to consolidate 
duplicative training programs. This budget builds off the 
success of WIOA by calling for further consolidation of 
duplicative federal job training programs. A streamlined 
approach with increased oversight and accountability will not 
only provide administrative savings, but will improve access, 
choice, and flexibility, enabling workers and job seekers to 
respond quickly and effectively to whatever career-specific 
challenges they face.
---------------------------------------------------------------------------
    \1\Bureau of Labor Statistics, Department of Labor, ``The 
Employment Situation-- May 2018,'' May 2018, https://www.bls.gov/
news.release/pdf/empsit.pdf.
    \2\Workforce Innovation and Opportunity Act, Pub. L. No. 113-128, 
128 Stat. 1425 (2014).
---------------------------------------------------------------------------
    Make the Pell Grant Program Sustainable. The Pell Grant 
program is the foundation of federal student aid and serves as 
a portable grant aimed at making college more affordable for 
low-income students. However, the future of the program is at 
risk for those who need it most due to the maximum award 
level's continued increase without the enactment of necessary 
structural reforms. Between fiscal years 2006 and 2017, the 
cost of the Pell Grant program has risen from $12.8 billion to 
$23.4 billion.\3\ During this period, the program experienced 
fluctuating discretionary funding and several shortfalls. In 
fiscal years 2011 and 2012, for example, Congress provided 
$36.5 billion each year to sustain the program. Instead of 
making necessary reforms, lawmakers have instead relied on 
mandatory funds to support discretionary funding deficiencies. 
The budget envisions responsible reforms so that Pell Grants 
will continue to remain available for future students. These 
include the following:
---------------------------------------------------------------------------
    \3\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 2018, Pell Grant Program Supplementary Tables, 
https://www.cbo.gov/sites/default/files/recurringdata/51304-2018-04-
pellgrant.pdf.

   Eliminate administrative fees paid to participating 
institutions. The government pays participating schools $5 per 
grant to administer and distribute Pell awards. Schools already 
benefit from the Pell Grant program, because the aid makes 
attendance at those schools more affordable.
   Consider setting a maximum-income cap. Currently, 
there is no fixed upper-income limit for a student to qualify 
for a Pell Grant. The higher the income level of the student 
and the student's family (and therefore, expected family 
contribution to the student's education), the smaller the grant 
he or she receives.
   Eliminate eligibility for less-than-half-time 
students. Some students eligible for Pell Grants may be 
balancing a job and college courses, along with other 
responsibilities. Timely completion of required course credits 
remains important, and the budget supports reserving funding 
for students who are enrolled on at least a half-time basis.
   Consider reforms to Return of Title IV Funds 
regulations. Simple changes to this policy, such as increasing 
the amount of time a student must attend class to withdraw 
without debt owed for back assistance, will increase the 
likelihood of students completing their courses and reduce 
incentives for fraud. It will also motivate institutions of 
higher education to focus more on student completion.
   Adopt a sustainable maximum-award level. To make 
Pell Grant program funding more stable and sustainable, the 
budget recommends maintaining the maximum award for the 2018-
2019 award year, of $6,095, in each year of the budget window. 
Discretionary appropriations would fund this award.

    Encourage Innovation in Higher Education. In addition to 
focusing on financial aid, federal higher-education policy 
should also focus on policies that maximize innovation and 
ensure a robust menu of institutional options for students and 
their families. Such policies should include ensuring students 
have the necessary information to assist them in making 
decisions about where to go to college and how to pay for it. 
Additionally, the federal government should remove regulatory 
barriers in higher education that act to restrict flexibility 
and innovation in teaching, particularly as it relates to 
contemporary models, such as online coursework.
    Ensure Federal Early Childhood Programs Work for Children 
and Families. The budget supports future reforms by the 
committees of jurisdiction to programs that do not improve 
outcomes for children and parents. Much like the Every Student 
Succeeds Act,\4\ this budget better targets resources to 
deliver efficient programs and gives states and localities the 
opportunity to innovate and pursue programs that have proven 
successful. A study released in 2010 by the U.S. Department of 
Health and Human Services (HHS) found the Head Start program 
that serves children across the country was not providing 
lasting improvements in participating children's math, 
language, and literacy skills. Nor was it improving parenting 
practices.\5\ The budget supports the committees of 
jurisdiction adopting reforms to ensure that bureaucracy and 
regulation do not bog down programs, such as Head Start, and 
that they work as intended for children and parents.
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    \4\Every Student Succeeds Act, Pub. L. No. 114-95, 129 Stat. 1802 
(2015).
    \5\Department of Health and Human Services, Head Start Impact 
Study, January 15, 2010, http://www.acf.hhs.gov/sites/default/files/
opre/executive_summary_final.pdf.
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    Encourage Private Funding for Cultural Agencies. It should 
not be the responsibility of the federal government to provide 
subsidies for cultural agencies, such as the Corporation for 
Public Broadcasting, the National Endowment for the Arts, and 
the National Endowment for the Humanities. This budget 
recommends federal cultural agencies generate financial support 
from private-sector patrons.
    Make Way for Increased State, Local, and Private Financial 
Support for Museums and Libraries. The federal government 
currently provides funding for museums and libraries across the 
nation. State and local governments are best positioned to 
manage and invest in these museums and libraries. Charitable 
contributions from private-sector businesses, organizations, 
and individuals in civil society can also augment this funding.
    Encourage More Private Support for the Smithsonian 
Institution. The Smithsonian Institution consists of 19 museums 
and galleries, a zoological park, and research and supporting 
facilities. More than 30 million visitors enjoyed the 
Smithsonian complex in person in fiscal year 2017, and the 
Institution has the ability to connect with millions through 
its website, podcasts, and social media channels.\6\ In fiscal 
year 2017, the Smithsonian raised $234 million in private 
funds.\7\ The budget supports continued efforts by the 
Smithsonian to generate non-federal revenue. Given the current 
federal fiscal environment, increased private funding can 
better enable the Smithsonian to expand its collections, 
improve existing facilities, and make better business 
decisions.
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    \6\Smithsonian Institution, Fiscal Year 2019 Budget Justification 
to Congress, submitted to the Committee on Appropriations, February 
2018, https://www.si.edu/sites/default/files/about/fy2019-
budgetrequestcongress.pdf, 2.
    \7\Smithsonian Institution, 2.
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    Eliminate the Corporation for National and Community 
Service. Programs administered by this agency provide funding 
to students and others who work in certain areas of public 
service. Participation in these programs is not need-based. The 
United States has a long history of robust volunteerism and 
other efforts that provide services to communities and 
individuals. Americans' generosity in contributing their time 
and money to these efforts is extraordinary and should be 
encouraged rather than be compensated for with federal dollars.

                           MANDATORY SPENDING

    Eliminate In-School Interest Subsidies for Undergraduate 
Students. The federal government provides aid to students based 
on family income, offers a number of loan repayment plans and 
protections, and in some cases, forgives certain loan amounts 
after graduation. There is no evidence that in-school interest 
subsidies are critical to individual matriculation. Ending 
subsidies for future undergraduates creates parity with 
graduate student loans, which the government ceased to 
subsidize with the enactment of the bipartisan Budget Control 
Act of 2011.\8\
---------------------------------------------------------------------------
    \8\Budget Control Act of 2011, Pub. L. No. 112-25, 125 Stat. 240 
(2011).
---------------------------------------------------------------------------
    Simplify and Streamline Existing Higher Education Programs. 
The current federal aid system is unduly complicated and is 
comprised of six different loan programs, nine repayment plans, 
eight loan forgiveness programs, and 32 options for loan 
deferment and forbearance.\9\ The budget supports streamlining 
student loan repayment plans and loan forgiveness, so that 
students and parents are better able to navigate the student 
loan space. The committees of jurisdiction may consider several 
options, including ending the Public Services Loan Forgiveness 
(PSLF) program and the Teacher Loan Forgiveness program or 
limiting forgiveness under either program. Borrowers who 
qualify for PSLF and the Teacher Loan Forgiveness program would 
also qualify for loan forgiveness in other loan repayment 
plans. According to a U.S. Department of Education report on 
the costs of income-driven repayment, borrowers from fiscal 
year 2015 will pay back $11.5 billion less to the government 
than they borrowed.\10\ These programs have become overly 
complex for borrowers and costly for taxpayers, and this budget 
encourages reforms to repayment and loan forgiveness to reverse 
this trend. President Trump's fiscal year 2019 budget also 
proposed ending PSLF and simplifying student loan repayment 
plans.
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    \9\House Comm. on Education and the Workforce, Improving Federal 
Student Aid to Better Meet the Needs of Students, opening statement by 
Rep. Brett Guthrie, May 21, 2017, http://edworkforce.house.gov/news/
documentsingle.aspx?DocumentID=401468.
    \10\Department of Education, The Department's Communication 
Regarding the Costs of Income-Driven Repayment Plans and Loan 
Forgiveness Plans, January 31, 2018, https://www2.ed.gov/about/offices/
list/oig/auditreports/fy2018/a09q0003.pdf.
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    Phase out Underused TEACH Grants. The Teacher Education 
Assistance for College and Higher Education Grant Program 
(TEACH) provides funding to undergraduate and graduate students 
who agree to teach for four years at schools that serve low-
income students. Undergraduate students can receive up to 
$16,000, and graduate students can receive up to $8,000. If the 
obligation is broken, the grants become a Direct Unsubsidized 
Loan. The Government Accountability Office has reported several 
troubling findings about TEACH grants: one-third of the grants 
have been converted to loans--some erroneously; the program has 
only a 19-percent utilization rate among eligible students; and 
the Department of Education does not yet adequately evaluate 
the program's effectiveness.\11\ This budget recommends phasing 
out the TEACH grant program.
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    \11\Government Accountability Office, Better Management of Federal 
Grant and Loan Forgiveness Programs for Teachers Needed to Improve 
Participant Outcomes, report no. GAO-15-314, March 26, 2015, https://
www.gao.gov/assets/670/668634.pdf.
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    Eliminate the Duplicative Social Services Block Grant. The 
Social Services Block Grant is a payment sent to states to 
create a flexible program that helps provide services such as 
childcare, health care, and other employment services. States 
are allowed wide discretion in determining how to spend this 
money and are not required to demonstrate outcomes. Further, 
numerous other federal programs provide the same services as 
the Social Services Block Grant. For these reasons, the budget 
recommends eliminating funding for this program.

                FUNCTION 550: MEDICAID AND OTHER HEALTH

                              ----------                              


                            Function Summary

    Function 550 includes all discretionary health programs, 
the health insurance marketplace, and Medicaid. This function 
is broken into three subfunctions: health care services, health 
research and training, and consumer and occupational health and 
safety.
    Health care services comprise the vast majority of Function 
550 spending. This covers most direct health care service 
programs run by the federal government, with the exception of 
Medicare and veterans' health care. The primary component of 
Function 550 in terms of spending levels is Medicaid, but this 
category also includes the State Children's Health Insurance 
Program (SCHIP), federal employees' health benefits, spending 
related to the Patient Protection and Affordable Care Act 
(ACA), most programs run by the Centers for Disease Control and 
Prevention (CDC), the Indian Health Service, and others. Most 
of this spending is mandatory in nature.
    Health research and training includes activities such as 
National Institutes of Health (NIH) research and some CDC 
activities. Consumer and occupational health and safety 
includes funding for the Food and Drug Administration (FDA), 
the Occupational Safety and Health Administration (OSHA), the 
Consumer Product Safety Commission, and others. Most of the 
funding streams for health research and training and consumer 
and occupational health and safety are discretionary in nature.
    The center of all health care policy assumed in this budget 
resolution is the patient. Particularly on the mandatory 
spending side, this requires placing the emphasis on real 
Americans' health needs. Health care in America is complex and 
dynamic. It represents about one-fifth of the economy.\1\
---------------------------------------------------------------------------
    \1\Centers for Medicare and Medicaid Services, National Health 
Expenditures 2015 Highlights, https://www.cms.gov/research-statistics-
data-and-systems/statistics-trends-and-reports/
nationalhealthexpenddata/downloads/highlights.pdf.
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                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for $577.9 billion in 
budget authority and $529.7 billion in outlays. Of that total, 
discretionary spending totals $71.1 billion in budget authority 
and $69.7 billion in outlays, and mandatory spending is $506.8 
billion in budget authority and $460.0 billion in outlays. The 
10-year totals for budget authority and outlays are $5.8 
trillion and $5.7 trillion, respectively.

                      Illustrative Policy Options

    The principal House authorizing committees in this category 
are the Committee on Energy and Commerce, the Committee on Ways 
and Means, and the Committee on Oversight and Government 
Reform. Funding is provided in the House by the Committee on 
Appropriations Subcommittee on Labor, Health and Human 
Services, Education, and Related Agencies, Subcommittee on 
Agriculture, Rural Development, Food and Drug Administration, 
and Related Agencies, and Subcommittee on the Legislative 
Branch. Below are options committees of jurisdiction may wish 
to consider when making final policy and funding decisions.

                         DISCRETIONARY SPENDING

    Foster Medical Research, Innovation, and Development. For 
decades, the United States has been the biomedical innovation 
capital of the world. This stems from the nation's commitment 
to the discovery, development, and delivery of new treatments 
and cures. America should maintain its global leadership in 
medical science by encouraging competitive forces to work 
through the marketplace in delivering cures and therapies to 
patients. Federal policies should foster innovation in health 
care and promote medical ingenuity, not stifle it.
    Medical breakthroughs and discoveries are made every day, 
and the pace of medical innovation will continue to quicken due 
to advancements in groundbreaking fields such as genomics, 
molecular medicine, and biomedical research. The NIH and the 
CDC foster fundamental creative discoveries, cures, and 
therapies. Laboratories housed within the U.S. Department of 
Health and Human Services, including NIH and CDC, rank first in 
the 2017 list of the world's most innovative research 
institutions.\2\ The budget resolution supports a level of 
funding for these agencies that enables them to continue their 
critical work.
---------------------------------------------------------------------------
    \2\David Ewalt, ``The World's Most Innovative Research 
Institutions,'' Reuters, March 1, 2017, http://www.reuters.com/article/
innovative-institutions-ranking-idUSL2N1GC1NG.
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    The budget also encourages the continuation of work started 
under the 21st Century Cures Act, which provided funds through 
the NIH and the Cures Innovation Fund for biomedical research, 
particularly early-stage, ``high-risk, high-reward'' 
research.\3\ Patients should not be left to suffer the true 
costs of delaying life-saving innovation, and to this end, the 
budget encourages the work of the authorizing committees in 
examining the FDA approval process. The Trump Administration 
has signaled its intention to expedite review of potentially 
life-saving medicines and devices, and this budget supports 
those efforts.
---------------------------------------------------------------------------
    \3\21st Century Cures Act, H.R. 6, 114th Cong. (2015).
---------------------------------------------------------------------------
    Combat the Opioid Epidemic. The budget recognizes that the 
United States is in the midst of a deadly battle with opioid 
and heroin abuse and addiction. According to the CDC, an 
average of 115 Americans die each day from an opioid 
overdose.\4\ In the state of Tennessee, there are more opioid 
prescriptions than people. In 2015, Tennessee health care 
professionals wrote nearly 8 million prescriptions for 
opioids--equating to 1.18 opioid prescriptions per 
Tennessean.\5\ Nearly 5 percent of Tennesseans suffer from 
opioid abuse.\6\ This exemplifies the larger challenge faced by 
Americans nationwide.
---------------------------------------------------------------------------
    \4\Centers for Disease Control and Prevention, ``Opioid Basics: 
Understanding the Epidemic,'' August 30, 2017, https://www.cdc.gov/
drugoverdose/epidemic/index.html.
    \5\Holly Fletcher, ``There Are More Opioid Prescriptions than 
People in Tennessee,'' The Tennessean, September 19, 2016, http://
www.tennessean.com/story/news/health/2016/09/19/there-more-opioid-
prescriptions-than-people-tennessee/90358404/.
    \6\Jake Lowary, ``Tennessee Lawmakers Still Wrangling with Opioid 
Epidemic,'' The Tennessean, March 26, 2017, http://www.tennessean.com/
story/news/politics/2017/03/26/tennessee-lawmakers-still-wrangling-
opioid-epidemic/98487640/.
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    The Committee on Energy and Commerce has led an ongoing 
oversight effort to ascertain which federal programs have been 
effective in combatting opioid abuse and which have not.\7\ The 
budget resolution supports a continuation of these efforts. It 
calls for a complete examination of the federal response to the 
crisis. This year, both the Committee on Energy and Commerce 
and the Committee on Ways and Means have advanced legislative 
packages addressing the opioid crisis. The budget resolution 
supports these endeavors. The government should implement 
prevention activities and evaluate them to identify effective 
strategies for preventing substance abuse. The budget 
resolution includes a policy statement that describes in detail 
the contours of how the federal government should respond to 
the ongoing substance abuse crisis.
---------------------------------------------------------------------------
    \7\Press Release, House Comm. on Energy and Commerce, March 29, 
2017, https://energycommerce.house.gov/news-center/press-releases/ec-
leaders-comment-president-trump-s-executive-action-address-opioid.
---------------------------------------------------------------------------
    Defend against Bioterrorism. The Constitution requires the 
federal government to provide for the common defense--a 
function that has implications for health care in a global 
environment fraught with chemical, biological, radiological, 
and nuclear (CBRN) weapons. In following this commitment, the 
budget supports funding to guard against bioterrorism.
    The federal government operates a pathway for the 
development and procurement of medical countermeasures (MCM) to 
bioterrorism events. When the Department of Homeland Security, 
in collaboration with the U.S. intelligence community, 
identifies a CBRN threat, it begins the MCM development and 
stockpiling process. The linchpin of the process is Project 
BioShield.\8\ Project BioShield uses the Special Reserve Fund 
to procure and stockpile MCMs that are approved only for 
emergency use, following their research and development by NIH 
and the Biomedical Advanced Research and Development Authority 
(BARDA). Once MCMs received Food and Drug Administration (FDA) 
approval, they are shifted to the CDC-funded Strategic National 
Stockpile. This budget recognizes the collaborative effort in 
developing MCMs is vital to safeguarding Americans against a 
bioterrorism attack. As such, it supports adequate, consistent, 
and, to the extent possible, advance funding for these 
activities.
---------------------------------------------------------------------------
    \8\Frank Gottron, The Project BioShield Act: Issues for the 113th 
Congress, Congressional Research Service, Report No. R43607, June 18, 
2014.
---------------------------------------------------------------------------
    At the time of this report's writing, the Trump 
Administration is preparing a comprehensive National Biodefense 
Strategy. The strategy should incorporate and unify the work of 
the 15 departments, eight independent agencies, and one 
independent institution currently conducting biodefense 
activities.\9\ The budget supports a coordinated, crosscutting 
approach to prevention, preparedness, and response to a 
biological threat. Success of this effort requires a 
comprehensive accounting of biodefense spending across the 
federal government. The budget supports requests for the Office 
of Management and Budget to undertake this holistic budgeting 
approach in the development of the President's National 
Biodefense Strategy.\10\
---------------------------------------------------------------------------
    \9\Blue Ribbon Study Panel on Biodefense, Budget Reform for 
Biodefense: Integrated Budget Needed to Increase Return on Investment, 
(Washington, DC, February 2018), page 7.
    \10\Letter from the Honorable Tom Cole, Chairman of the 
Appropriations Subcommittee on Labor, Health and Human Services, 
Education and Related Agencies, House of Representatives, to the 
Honorable Mick Mulvaney, Director, Office of Management and Budget, May 
9, 2018.
---------------------------------------------------------------------------
    Target Resources, Improve Outcomes. The budget supports 
better targeting of federal spending to achieve the country's 
health care goals. For example, the budget calls for 
eliminating duplicative programs at the U.S. Department of 
Health and Human Services (HHS). The budget supports the Trump 
Administration's proposal to absorb the Agency for Healthcare 
Research and Quality (AHRQ) into existing HHS agencies. The 
AHRQ's mission and areas of research exist within other HHS 
agencies and are, therefore, duplicative and unnecessary.
    The budget also supports prudent investments to improve 
mental health care and awareness. In 2015, according to NIH, 
nearly 10 million adults in the U.S. lived with severe mental 
illness,\11\ and it is important that the federal government 
give priority to treatment of the sickest and most vulnerable 
patients. The Government Accountability Office (GAO) recently 
conducted a study that identified more than 100 distinct 
programs supporting individuals with serious mental illness and 
found interagency coordination for programs severely 
lacking.\12\ Federal programs should be reoriented to advance 
treatment for those facing serious mental illness.
---------------------------------------------------------------------------
    \11\National Institute of Mental Health, ``Director's Blog: Mental 
Health Awareness Month: By the Numbers,'' May 15, 2015, http://
www.nimh.nih.gov/about/director/2015/mental-health-awareness-month-by-
the-numbers.shtml.
    \12\Government Accountability Office, HHS Leadership Needed to 
Coordinate Federal Efforts Related to Serious Mental Illness, report to 
the Energy and Commerce Subcommittee on Oversight and Investigations, 
December 2014, http://energycommerce.house.gov/sites/
republicans.energycommerce.house.gov/files/114/Analysis/
20150205GAOReport.pdf.
---------------------------------------------------------------------------
    This budget supports initiatives aimed at modernizing the 
health care system, such as advancing telemedicine. This 
practice utilizes technology that allows providers to interact 
with patients from a distance. It can offer access to care for 
patients who may otherwise not receive regular care, 
particularly those in rural areas. It also gives patients 
greater control over their own health care while reducing 
costs.\13\ At the same time, this budget recognizes the 
government must not leave behind patients who rely on more 
traditional medical practices. Patient-centered care requires 
the budget to look forward as it fosters private-sector 
innovation, without abandoning currently available care models 
that patients require.
---------------------------------------------------------------------------
    \13\Bill Frist, ``Telemedicine: A Solution to Address the Problems 
of Cost, Access, and Quality,'' Health Affairs, July 23, 2015, http://
healthaffairs.org/blog/2015/07/23/telemedicine-a-solution-to-address-
the-problems-of-cost-access-and-quality/.
---------------------------------------------------------------------------

                           MANDATORY SPENDING

    Support Patient-Centered Health Care Reform. The House of 
Representatives passed the American Health Care Act (AHCA) in a 
critical first step toward returning health decisions to 
patients.\14\ The Patient Protection and Affordable Care Act 
has increased insurance premiums and deductibles, limited 
consumers' choices of doctors and health plans, deprived 
millions of the coverage they had, and imposed taxes aimed at 
compelling people to purchase health coverage they do not 
want.\15\ To complicate the problem, the ACA has caused massive 
distress in the insurance market it purported to help. In 
contrast, the American Health Care Act, as passed by the House, 
would unravel the ACA and infuse the insurance market with 
flexibility, competition, and greater stability.
---------------------------------------------------------------------------
    \14\American Health Care Act of 2017, H.R. 1628, 115th Cong. 
(2017).
    \15\The Affordable Care Act consists of the two related measures 
enacted in March 2010 that constituted the health care legislation: the 
Patient Protection and Affordable Care Act and the Health Care and 
Education Reconciliation Act of 2010. Patient Protection and Affordable 
Care Act, Pub. L. No. 111-148, 124 Stat. 119, (2010). Health Care and 
Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat 
1029 (2010).
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    This budget supports the bold reforms of the AHCA, which 
would lead to greater patient choice and higher quality care. 
The budget also encourages the Trump Administration's efforts 
to implement significant regulatory reform to alleviate the 
burdens of the ACA until the law's full repeal and replacement.
    Put Medicaid on a Budget. The budget resolution supports 
the AHCA's model for transforming Medicaid from an open-ended 
benefit to a quality safety net for the nation's most 
vulnerable. States would have the option of choosing one of two 
possible designs: a per capita cap allotment or a block grant.
    The AHCA strengthens and secures Medicaid by instituting a 
per capita cap, which converts the open-ended federal share of 
Medicaid spending into a finite per-person allowance is given 
to a state for every Medicaid enrollee and grows with medical 
inflation. The allotment is paired with reforms that allow 
states to design programs for their Medicaid enrollees, such as 
the ability to define the essential health benefits Medicaid 
must cover. Governors and state legislatures are closer to 
patients in their states and know better than Washington 
bureaucrats where there are unmet needs, as well as 
opportunities to cut down on waste, fraud, and abuse.
    Even with the limited flexibility of Medicaid's current 
waiver program, states have developed innovative reforms that 
produce cost savings and quality improvements. For example, the 
Healthy Indiana Plan (implemented prior to the ACA) provided 
the state's residents who did not qualify for Medicaid access 
to health benefits, such as physician services, prescription 
drugs, inpatient and outpatient hospital care, and disease 
management--all without additional funding. Other states could 
alter eligibility requirements, for example, or move able-
bodied adults off the Medicaid rolls. The savings generated 
could then be redirected toward additional protections for the 
most vulnerable populations or to other state health care 
priorities.
    All states should have the flexibility to adapt their 
Medicaid programs--to design their benefit packages in a way 
that best meets the needs of their state populations; to 
promote personal responsibility and healthy behaviors; and to 
encourage a more holistic approach to care that considers not 
only Medicaid beneficiaries' health conditions, but also their 
economic, social, and family concerns.
    The per capita cap program design ensures protections for 
the most vulnerable by providing states with designated funding 
for those persons who are truly in need of care and support. 
Based on the four main eligibility categories as currently 
defined by the federal government in the Medicaid Program--the 
elderly, the blind and disabled, nondisabled adults, and 
children--a per-person payment amount would account for the 
average cost of care, per enrollee, in each of these four 
principal categories and would be indexed to a predetermined 
growth rate. The federal government would then provide Medicaid 
funds to the states based on the total number of enrollees in 
category. This accounts for the variation in spending among the 
four different categories, helping target funds to the most 
vulnerable. Further, federal law would provide the basic 
template for the program to provide accountability for the 
funds and help root out waste, fraud, and abuse.\16\
---------------------------------------------------------------------------
    \16\Committee on Oversight and Government Reform, Uncovering Waste, 
Fraud, and Abuse in the Medicaid Program, staff report, April 25, 2012, 
https://oversight.house.gov/wp-content/uploads/2012/04/Uncovering-
Waste-Fraud-and-Abuse-in-the-Medicaid-Program-Final-3.pdf.
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    Apply a Work Requirement to Medicaid. The budget seeks to 
promote self-sufficiency through a work requirement for able-
bodied adults without dependents enrolled in Medicaid. Such a 
proposal would aim to reinforce and strengthen the policy of 
the American Health Care Act.
    Under the policy, where applicable, able-bodied, working-
age adults would remain enrolled in Medicaid only if they were 
actively seeking employment, participating in an education or 
training program, or doing community service. The policy would 
support Americans who are trying to get back on their feet 
while preserving resources for those who need help most.
    The Trump Administration has encouraged states to move 
forward with work requirements for Medicaid enrollees for their 
populations. On 11 January 2018, the Centers for Medicare and 
Medicaid Services (CMS) sent a letter to state Medicaid 
Directors providing new guidance related to allowing states to 
implement their own work requirements within Medicaid.\17\ 
States can accomplish this by submitting a Section 1115 waiver 
to the CMS. Multiple states, such as Arkansas and Kentucky, 
have already begin this process.\18\
---------------------------------------------------------------------------
    \17\Brian Neale, Letter to State Medicaid Directors, Centers for 
Medicare and Medicaid Services, January 11, 2018, https://
www.medicaid.gov/federal-policy-guidance/downloads/smd18002 .pdf.
    \18\Centers for Medicare and Medicaid, Medicaid.gov Section 1115 
Demonstration State Waivers List Database (accessed May 21, 2018), 
https://www.medicaid.gov/medicaid/section-1115-demo/demonstration-and-
waiver-list/index.html.
---------------------------------------------------------------------------
    Work provides a source of income and self-sufficiency. It 
also has been demonstrated as a valuable source of self-worth 
and dignity for individuals. In fact, employment and self-
esteem are so closely tied together that a Gallup-Healthways 
Well-Being Index found: ``Unemployed adults and those not 
working as much as they would like are about twice as likely as 
Americans who are employed full time to be depressed.''\19\ 
Applying a work requirement to Medicaid would assist more 
people in transitioning out of poverty while also enhancing 
their self-respect, their self-reliance, and their courage and 
determination--much like what occurred with the highly 
successful Temporary Assistance for Needy Families Program as 
established in 1996.
---------------------------------------------------------------------------
    \19\Alyssa Brown and Kyley McGeeney, ``In U.S., Employment Most 
Linked to Being Depression-Free,'' Gallup, August 23, 2013, http://
www.gallup.com/poll/164090/employment-linked-depression-free.aspx.
---------------------------------------------------------------------------
    Under this option, the policy would apply to Medicaid 
beneficiaries who are able-bodied, non-elderly adults without 
dependents. For children in foster care or living with 
relatives, the policy would treat non-parent custodians as 
parents in determining dependent status. The policy also would 
exclude pregnant women from the requirement--and provide a 
postpartum exemption period of at least 62 days (nine weeks) to 
cover mothers who suffer a miscarriage, whose infant dies 
during or shortly after birth, or who place their child with an 
adoptive or foster family.
    Under such a policy, enrollees could be expected to work 30 
hours per week, with 20 of the 30 hours attributable to ``core 
work activities.'' Core activities would be defined as: 
private- or public-sector employment; work experience; on-the-
job training; job-search or job-readiness assistance program 
participation; community service; or vocational training and 
education. Non-core activities that might be counted as the 
remaining 10 hours would be defined as: job-skills training, 
job-related education, or satisfactory attendance at high 
school or in an equivalent course.
    This policy would promote state flexibility by allowing 
states to define the criteria for qualifying community service, 
job-search and training programs, and unpaid work experience. 
It also would encourage states to perform case checks as they 
saw fit. States would have the authority to make determinations 
on hardship exemptions.
    At the same time, because Medicaid is partly a federally 
funded program, the federal government has a responsibility to 
ensure taxpayer dollars are appropriately spent. Enrollees not 
meeting work requirements for more than 63 days would be 
ineligible for benefits, barring an exemption. The budget 
recommends a two-year roll-out period for states to acclimate 
to the new standards. To prevent fraud and abuse, states would 
conduct checks every six months, and the Government 
Accountability Office or the HHS Inspector General would 
conduct annual audits of state programs to ensure proper 
reporting.
    These requirements would help target resources toward the 
most vulnerable populations, while at the same time making 
Medicaid available for those on the precipice of poverty who 
are transitioning into economic stability.
    Limit the Medicaid Provider Tax. The budget proposes to 
address the problem of Medicaid provider taxes. Currently, 49 
states finance a portion of their Medicaid spending through 
provider taxes\20\--a gimmick used to garner greater financial 
assistance from the federal government and boost state Medicaid 
budgets. States impose taxes on the very same health care 
providers who are paid by the Medicaid Program, increase 
payments to those providers by the same amount, and then use 
that additional spending to boost the amount of funding matched 
by the federal government. In short, provider taxes decrease 
transparency by distorting Medicaid funding, and dramatically 
increase federal spending.\21\ The maximum amount a state can 
tax a provider is 6 percent. The budget recommends lowering 
this number to 4 percent immediately, 3 percent within the 10-
year budget window, and then begin completely phasing out the 
practice over a longer period.
---------------------------------------------------------------------------
    \20\Alaska is the only state that does not have at least one 
provider tax, but the state is evaluating the feasibility of such a 
tax. ``States and Medicaid Provider Taxes or Fees,'' Kaiser Family 
Foundation, June 27, 2017, https://www.kff.org/medicaid/fact-sheet/
states-and-medicaid-provider-taxes-or-fees/.
    \21\Government Accountability Office, Medicaid Financing: States' 
Increased Reliance on Funds from Health Care Providers and Local 
Governments Warrants Improved CMS Data Collection, report no. GAO-14-
627, July 29, 2014, https://www.gao.gov/assets/670/665077.pdf, 4: In 
fiscal year 2012, for example, 41 of the 47 States with provider taxes 
reported revenue of $18.8 billion. Also see Brian C. Blase, Medicaid 
Provider Taxes: The Gimmick That Exposes Flaws with Medicaid's 
Financing (Arlington, VA: Mercatus Center at George Mason University, 
February 16, 2016), https://www.mercatus.org/system/files/Blase-
Medicaid-Provider-Taxes-v2.pdf.
---------------------------------------------------------------------------
    Stop Giving DC Special Treatment. Medicaid's current 
funding structure is based in statute. The federal government 
and states share the cost of Medicaid, with the share of each 
derived from a formula known as the Federal Medical Assistance 
Percentage (FMAP).\22\ The FMAP formula provides for a higher 
reimbursement rate to states with a lower per capita income and 
a lower reimbursement rate for states with a higher per capita 
income.\23\ To achieve this, a state's per capita income is 
compared to the national per capita income. As such, the 
federal share of spending varies from state to state.\24\ The 
FMAP is constrained by a statutory limit: the federal 
contribution must range between 50 percent and 83 percent. 
Actual FMAP rates range from a floor of 50 percent to a high of 
76.39 percent for fiscal year 2019.\25\ The federal government, 
on average, pays for 63 percent of the country's Medicaid 
costs, while states only support the inverse 37 percent of this 
spending.\26\ Unlike all 50 states, which follow the income-
based formula, Washington, DC, receives special Medicaid FMAP 
treatment. If Washington followed the formula, it would receive 
a 50 percent federal match, with the District covering the 
remaining 50 percent of Medicaid costs for its residents. 
Washington, DC, however, automatically gets a 70 percent FMAP. 
The budget proposes to remove this unfair advantage and stop DC 
from giving itself preferential treatment.
---------------------------------------------------------------------------
    \22\Section 1905(b) of the Social Security Act establishes this 
cost-sharing scheme.
    \23\The statutory formula is as follows: FMAPState = 1 - 
((Per Capita IncomeState)2 / (Per Capita 
IncomeU.S.)2 * 0.45).
    \24\The FMAP discussed in this section refers to the traditional, 
or base, FMAP. For many populations, the FMAP rate is higher (for 
example, due to the ACA expansion or enhanced FMAP additions for select 
groups such as CHIP enrollees or prisoners).
    \25\Alison Mitchell, Medicaid's Federal Medical Assistance 
Percentage (FMAP), Congressional Research Service, Report No. R43847, 
April 25, 2018.
    \26\Mitchell, Medicaid's Federal Medical Assistance Percentage 
(FMAP).
---------------------------------------------------------------------------
    Defend Life and Promote Access to Health Care. This budget 
supports the long-standing policy to ban federal taxpayer 
dollars from funding elective abortions and calls for a 10-year 
cessation of federal funding for Planned Parenthood. Last year, 
President Trump signed into law H. J. Res. 43 under the 
authority of the Congressional Review Act.\27\ This legislation 
overturned a December 2016 Obama Administration rule that 
forced states to provide Title X family planning grants to 
abortion providers. The federal government should not force 
states to provide funding to clinics such as Planned Parenthood 
that perform elective abortions. Similarly, the government 
should not force taxpayers to fund those clinics. The budget 
continues this protection by proposing to eliminate all federal 
funding from Planned Parenthood and similar organizations.
---------------------------------------------------------------------------
    \27\Providing for congressional disapproval under chapter 8 of 
title 5, United States Code, of the final rule submitted by Secretary 
of Health and Human Services relating to compliance with title X 
requirements by project recipients in selecting subrecipients, Pub. L. 
No. 115-23, 131 Stat. 23 (2017).
---------------------------------------------------------------------------
    The resolution promotes reinvesting the Planned Parenthood 
funding in community health centers (CHCs) to promote greater 
access to care for women, men, children, and the unborn. CHCs 
are nonprofit, community-based clinics that provide 
comprehensive care. There are 9,000 community health centers, 
which--unlike Planned Parenthood clinics--are required to be 
situated in underserved areas with high levels of poverty and 
infant mortality.\28\
---------------------------------------------------------------------------
    \28\Elayne J. Heisler and Victoria L. Elliot, Factors Relating to 
the Use of Planned Parenthood Affiliated Health Centers (PPAHCs) and 
Federally Qualified Health Centers (FHQCs), Congressional Research 
Service, Report No. R44295, May 18, 2017.
---------------------------------------------------------------------------
    This budget supports enhanced access to women's health 
care, while protecting taxpayers from funding abortion. For 
example, although Planned Parenthood advocates regularly claim 
that women receive mammograms at its facilities, none of the 
organization's 650 facilities actually offers mammograms. In 
contrast, CHCs are major providers of mammograms and other 
preventive services, particularly to women of color, Medicaid 
recipients, and the uninsured.
    In 2015, CHCs provided health services to more than 20 
million Americans, nearly 60 percent of whom were female. In 
contrast, Planned Parenthood served fewer than 3 million 
Americans the same year.\29\ This budget makes efforts to 
ensure that taxpayer dollars do not go to the nation's largest 
provider of abortions, but rather support the health centers 
that truly provide care to millions of women.
---------------------------------------------------------------------------
    \29\Heisler and Elliot.
---------------------------------------------------------------------------
    Eliminate Waste, Fraud, and Abuse in Medicaid. The budget 
also advances several reforms to help root out waste, fraud, 
and abuse in the Medicaid Program. The budget recognizes 
several options that can be implemented in the short term to 
strengthen and preserve the Medicaid Program. The first is to 
reform the 1115 waiver process. One potential improvement would 
be requiring that waivers be budget-neutral in actual costs to 
ensure that any new spending does not duplicate other federal 
programs. Another would be allowing states to adopt previously 
approved waivers without having to go through the approval 
process again. Additionally, the budget encourages efforts 
recently initiated by CMS to streamline the waiver application 
process and assist states in creating programs that will be 
successful.
    Furthermore, the budget supports implementation of 
recommendations from the Government Accountability Office to 
improve how the program functions and reduce fraud. GAO has 
designated Medicaid as high-risk since 2003, largely due to 
``concerns about the adequacy of fiscal oversight.''\30\ 
According to GAO, state management of programs complicates 
oversight of payments and patient access to care, as the 
federal government must rely on state-provided data. Medicaid 
experiences dramatic swings in enrollment and funding 
requirements based on economic upturns and downturns. These 
periods of higher enrollment lead to higher costs and less 
state revenue stability, which in turn contribute to greater 
risk for improper payments and poor access to services. Adding 
to this, CMS receives insufficient data on Medicaid programs 
from states. GAO describes the lack of accurate, timely data as 
an ``overarching challenge'' for oversight of the Medicaid 
program.\31\ Often, available data is three years behind.
---------------------------------------------------------------------------
    \30\Government Accountability Office, High-Risk Series: Progress on 
Many High-Risk Areas, While Substantial Efforts Needed on Others, 
report no. GAO-17-317, February 15, 2017, http://www.gao.gov/assets/
690/682765.pdf, 560.
    \31\GAO, 563.
---------------------------------------------------------------------------
    In its report on high risk programs, GAO provides five 
areas of Medicaid in need of improved oversight: financing and 
provider payment transparency and oversight, managed care 
payments and utilization oversight, growing expenditures for 
and oversight of large Medicaid demonstrations, monitoring and 
measurement of access to quality care, and growing expenditures 
for long-term care services.
    This budget supports GAO's recommendations for reducing 
risk in the Medicaid sphere. Among them, GAO and this budget 
encourage a systematic review of federal determinations of 
Medicaid eligibility. GAO and this budget also support 
improving the process for reviewing and approving Medicaid 
demonstrations, and making transparent the basis for spending 
limits approved by HHS for the demonstrations. Finally, based 
on testimony by Comptroller General Gene L. Dodaro, this budget 
proposes requiring greater reporting by states on Medicaid 
payments for uncompensated care, along with greater 
coordination between CMS and state auditors.\32\
---------------------------------------------------------------------------
    \32\Failures of Fiscal Management: A View from the Comptroller 
General, Before the House Comm. on the Budget, 115th Cong. (May 3, 
2017) (statement of the Honorable Gene L. Dodaro, Comptroller General 
of the United States), https://budget.house.gov/hearing/failures-
fiscal-management-view-comptroller-general/.
---------------------------------------------------------------------------
    Reform the Federal Employee Health Benefit Program. 
Currently, federal contributions to the Federal Employees 
Health Benefits Program grow by the average weighted rate of 
change in these programs. This budget supports restricting the 
growth in these plans to inflation for retirees.\33\ The budget 
also proposes basing federal employee retirees' health benefits 
on length of service. This option would reduce premium 
subsidies for retirees who had relatively short federal 
careers. Together, these two reforms would bring health 
benefits for federal retirees more in line with those offered 
in the private sector.
---------------------------------------------------------------------------
    \33\The budget also restricts growth of the Federal Employees 
Health Benefits Program for current Members of Congress and their 
staffs. The cost savings from this proposal are reflected in the 
discretionary spending section of Function 550.

                         FUNCTION 570: MEDICARE

                              ----------                              


                            Function Summary

    Function 570 singularly consists of the Medicare health 
insurance program. Medicare provides comprehensive health care 
coverage for nearly 60 million people who are age 65 or older, 
who have a disability that prevents them from working, or who 
have end-stage renal disease. Medicare's budget is almost 
entirely mandatory spending, which consists of payments to 
health care service providers and private insurers. Medicare's 
discretionary budget funds the administration of the Medicare 
program through the Centers for Medicare and Medicaid Services 
(CMS) and other agencies.
    With the creation of Medicare in 1965, the United States 
made a commitment to help fund the medical care of elderly 
Americans. In urging the creation of Medicare, President 
Kennedy said that such a program was chiefly needed to protect 
not the poor, but people who had worked for years and suddenly 
found all their savings gone because of a costly health 
problem.
    Medicare spending has grown quickly in recent decades and 
has reached unsustainable rates-in part because of rising 
enrollment and in part because of rising health care costs per 
enrollee. Between 1970 and 2017, gross federal spending for 
Medicare rose from 0.7 percent of GDP to 3.7 percent. The 
Medicare Board of Trustees' 2018 Annual Report projected 
mandatory spending on Medicare will reach 5.9 percent of GDP by 
2042 and 6.2 percent of GDP by 2092.\1\ Both the Congressional 
Budget Office (CBO) and the Medicare Board of Trustees expect 
that Medicare's Hospital Insurance (HI) Trust Fund will be 
insolvent by 2026.\2\
---------------------------------------------------------------------------
    \1\Board of Trustees of the Federal Hospital Insurance and Federal 
Supplementary Medical Insurance Trust Funds (hereafter ``Medicare Board 
of Trustees''), 2018 Annual Report, June 5, 2018, https://www.cms.gov/
Research-Statistics-Data-and-Systems/Statistics-Trends-and-Reports/
ReportsTrustFunds/Downloads/TR2018.pdf, 6.
    \2\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 9, 2018, https://www.cbo.gov/publication/53651, 
137. Medicare Board of Trustees, 7.
---------------------------------------------------------------------------
    Medicare's imbalance threatens beneficiaries' access to 
quality, affordable care. The program's fundamentally flawed 
structure is driving up health-care costs, which are, in turn, 
threatening to bankrupt the system-and ultimately the nation. 
Without reform, the program will cause exactly what it was 
created to avoid: millions of America's seniors without 
adequate health security and a younger working generation 
saddled with enormous debts to pay for unsustainable spending.
    It is unacceptable to allow the government to break its 
promises to current seniors and future generations. The reforms 
outlined in this budget protect and preserve Medicare for those 
in or near retirement, while saving and strengthening the 
program so future generations can count on it when they retire.
    Medicare program spending appears in Function 570 of the 
budget resolution. The function reflects the Medicare Part A 
Hospital Insurance Program, Part B Supplementary Medical 
Insurance Program, Part C Medicare Advantage Program, and Part 
D Prescription Drug Benefit, as well as premiums paid by 
qualified aged and disabled beneficiaries.The various parts of 
the program are financed in different ways. Part A benefits are 
financed primarily by a payroll tax, the revenues from which 
are credited to the HI Trust Fund. For Part B, premiums paid by 
beneficiaries cover about one-quarter of outlays, and the 
Treasury General Fund covers the rest. Payments to private 
insurance plans under Part C are financed by a blend of funds 
from Parts A and B. Enrollees' premiums under Part D are set to 
cover about 13 percent of the cost of the basic prescription-
drug benefit, though many low-income enrollees receive larger 
subsidies; general funds cover most of the remaining cost.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for $648.0 billion in 
budget authority and $647.7 billion in outlays. Of that total, 
discretionary spending totals $7.6 billion in budget authority 
and $7.6 billion in outlays, and mandatory spending is $640.4 
billion in budget authority and $640.1 billion in outlays. The 
10-year totals for budget authority and outlays are $8.6 
trillion and $8.6 trillion, respectively.

                      Illustrative Policy Options

    The House authorizing committees in this function are the 
Committee on Ways and Means and the Committee on Energy and 
Commerce. Discretionary funding is provided by the Committee on 
Appropriations Subcommittee on Labor, Health and Human 
Services, Education, and Related Agencies. Below are options 
committees of jurisdiction may wish to consider when making 
final policy and funding decisions.

                           MANDATORY SPENDING

    Enhance Quality and Choice in Medicare. Throughout 
Medicare's history, Washington has been slow to innovate and 
respond to transformations in health care delivery. Meanwhile, 
controlling costs in Medicare's open-ended fee-for-service 
system has proven impossible without limiting access or 
sacrificing quality. This is because existing policies have 
artificially controlled prices or payments, not costs; in the 
absence of real structural reform, costs will continue to be 
driven higher. Today, as costs continue to grow, seniors 
continue to lose access to quality care and the program remains 
on the path to bankruptcy. Inaction will not protect Medicare; 
it will only hasten the program's demise.
    Reform aimed at empowering patients--combined with a 
strengthened safety net for the poor and the sick--will not 
only ensure the fiscal sustainability of this program, the 
federal budget, and the nation's economy, but will also 
guarantee that Medicare can fulfill the promise of health 
security for America's seniors. Hence, this budget supports a 
patient-centered policy option that enhances quality and choice 
in Medicare.
    Under this option, traditional Medicare--which would always 
be a choice available to beneficiaries--and private plans 
providing the same level of health coverage would compete for 
seniors' business, just as Medicare Advantage does today. By 
adopting this competitive structure, the program would also 
deliver savings for seniors in the form of lower monthly 
premium costs.
    This improved program assumes a simplified benefit 
structure that provides comprehensive coverage for all 
beneficiaries, rather than the complex and fragmented structure 
in place today. Currently, beneficiaries must enroll in three 
separate programs to get the same comprehensive coverage: Part 
A for hospitalization, Part B for physician services, and Part 
D for prescription medications. No option, however, offers 
financial protections for seniors, such as annual or lifetime 
limits, and many must sign up for an additional supplemental 
insurance policy called MediGap to obtain a fully comprehensive 
coverage package.
    Today, only Medicare Advantage offers seniors the 
opportunity to choose from a selection of comprehensive 
coverage plans. Unsurprisingly, Medicare Advantage enrollment 
has tripled in the past decade and currently serves almost 18 
million seniors.\3\ Medicare Advantage also has higher senior 
satisfaction rates compared to traditional Medicare. 
Beneficiaries are especially satisfied with the overall cost of 
Medicare Advantage plans and the simplified process.\4\
---------------------------------------------------------------------------
    \3\``Medicare Advantage,'' The Kaiser Family Foundation, October 
11, 2017, http:// http://kff.org/medicare/fact-sheet/medicare-
advantage.
    \4\Meghan McCarthy, ``Seniors Love Their Medicare (Advantage),'' 
Morning Consult, March 30, 2015, http://morningconsult.com/2015/03/
seniors-love-their-medicare-advantage/.
---------------------------------------------------------------------------
    The Medicare improvements envisioned in this budget would 
adopt the popular, simplified coverage structure of Medicare 
Advantage and allow seniors greater plan choices while reducing 
costs. It would resemble the private insurance market, in which 
the majority of Americans select a single health care plan to 
cover all their medical needs.
    The enhanced program would continue to offer a robust 
financial benefit to all beneficiaries. In many ways, the 
provided benefit would mirror the Federal Employees Health 
Benefits (FEHB) Program for federal employees, retirees, and 
their families. FEHB boasts the widest selection of health 
plans in the country, from which its 8 million members may 
choose. Plans offered under the FEHB Program may charge 
different premium amounts, competing for individuals' choices, 
and the government pays a certain percentage--or a defined 
contribution--to help offset the cost of coverage. Similarly, a 
Medicare recipient would choose from an array of guaranteed-
coverage options, including traditional Medicare, for a health 
plan that best suits his or her needs.
    The federal government's contribution would go directly to 
the plan provider, following the current model for both the 
FEHB Program and Medicare Advantage. This plan adjusts the 
federal payment so the sick would receive more financial 
assistance if their conditions worsened, and lower-income 
seniors would receive additional support to help cover premiums 
and out-of-pocket costs. Wealthier seniors would assume 
responsibility for a greater share of their premiums.
    Additionally, this enhanced Medicare program would ensure 
affordability by letting market competition work as a real 
check on widespread waste and skyrocketing health care costs; 
this tactic was successfully demonstrated through the 
competitive structure adopted by Medicare Part D. More than 70 
percent of Medicare beneficiaries are currently enrolled in the 
prescription drug benefit, which rates highly in satisfaction 
among seniors.\5\ In 2016, nearly 90 percent reported 
satisfaction with their coverage, and 80 percent considered the 
coverage to be a good value.\6\ Similarly, this option's 
personalized arrangement puts patients in charge of how their 
health care dollars are spent, requiring providers to compete 
against one another on price and quality.
---------------------------------------------------------------------------
    \5\``The Medicare Part D Prescription Drug Benefit,'' The Kaiser 
Family Foundation online, last modified on October 2, 2017, http://
kff.org/medicare/fact-sheet/the-medicare-prescription-drug-benefit-
fact-sheet/#endnote_link_165022-4.
    \6\``National Tracking Poll,'' Morning Consult, accessed May 8, 
2018, http:// http://medicaretoday.org/wp-content/uploads/2016/07/2016-
Senior-Satisfaction-Survey-Fact-Sheet.pdf.
---------------------------------------------------------------------------
    This budget's improvements to Medicare are derived from a 
long history of bipartisan reform plans based on the defined 
contribution model, known as premium support, with a 
competitive bidding structure to lower costs. The 1999 Breaux-
Thomas Commission, the 2010 Domenici-Rivlin Report, and the 
2011 Wyden-Ryan plan all put forward this model as a way to 
ensure security and affordability for seniors now and into the 
future.\7\\8\\9\ All three recognized two fundamental truths: 
the current path of Medicare is unsustainable, and it is 
unacceptable for Washington to allow the program to fail 
current or future beneficiaries. Each proposal further 
developed the policy with the intent of preserving Medicare 
over the long term without reducing health care access or 
quality.
---------------------------------------------------------------------------
    \7\``Building a Better Medicare for Today and Tomorrow,'' National 
Bipartisan Commission on the Future of Medicare, March 16, 1999.
    \8\Pete Domenici and Alice Rivlin, Restoring America's Future, 
(Washington, DC: Bipartisan Policy Center, November 2010), http://
bipartisanpolicy.org/wp-content/uploads/sites/default/files/
BPC%20FINAL%20REPORT%20FOR%20PRINTER%2002%2028%2011.pdf.
    \9\Ron Wyden and Paul Ryan, ``Guaranteed Choices to Strengthen 
Medicare and Health Security for All: Bipartisan Options for the 
Future,'' December 15, 2011, http://budget.house.gov/uploadedfiles/
wydenryan.pdf.
---------------------------------------------------------------------------
    Increasing choice in Medicare continues to garner 
bipartisan support today. Even then-President Obama's fiscal 
year 2017 budget proposal included a similar reform. However, 
his proposal failed to offer the benefits of more choice and 
lower costs achieved by applying the competitive bidding 
structure to all beneficiaries.
    This resolution envisions giving seniors the freedom to 
choose plans best suited for them, guaranteeing health security 
throughout their retirement years. Further, it resolves the 
concerns regarding Medicare's long-term sustainability, while 
lowering costs for beneficiaries. With the adoption of patient-
centered improvements, this program would preserve the positive 
aspects of traditional Medicare, while modernizing the program 
to reflect the changes to health care delivery in the twenty-
first century.
    Implement a Unified Deductible and Reform Supplemental 
Insurance. This resolution supports strengthening the Medicare 
Program through the adoption of another bipartisan proposal: 
unifying the separate parts of the program by streamlining the 
outdated and fragmented fee-for-service arrangement into a 
single benefit.\10\\11\ This single benefit would provide 
coverage for both hospital and physician services. 
Additionally, the reform would provide commonsense financial 
protections for America's seniors and reform supplemental 
insurance policies. This proposal would allow the Medicare 
benefit to operate more like private health insurance coverage.
---------------------------------------------------------------------------
    \10\``Building a Better Medicare for Today and Tomorrow,'' National 
Bipartisan Commission on the Future of Medicare, March 16, 1999.
    \11\``The Moment of Truth,'' The National Commission on Fiscal 
Responsibility and Reform, December 2010, http://
momentoftruthproject.org/sites/default/files/
TheMomentofTruth12_1_2010.pdf.
---------------------------------------------------------------------------
    With this reform, Medicare would have a single, annual 
deductible for medical costs and include a catastrophic cap on 
annual out-of-pocket expenses--an important aspect of the 
private health insurance market to safeguard the sickest and 
poorest beneficiaries that is currently absent from Medicare.
    Equalize the Retirement Age with Social Security. One of 
the nation's greatest achievements of the 20th Century was the 
dramatic increase in the average life expectancy. As Americans' 
health improves and lifespans are extended, many enjoy the 
benefits of employment later in life. To further ensure 
Medicare's long-term sustainability, this resolution recommends 
a gradual increase of the Medicare retirement age to correspond 
with that of Social Security.
    Streamline Support for Graduate Medical Education. All 
Americans benefit from a strong physician workforce. Since the 
creation of the federal health care programs, federal funds 
have supported physician training. The congressional report 
from the Social Security Amendments of 1965 comments on the 
need for federal funds to support hospitals in the education 
and training of physicians, nurses, and other medical 
personnel, ``until the community undertakes to bear such 
education costs in some other way . . .''\12\ Instead, the 
level of federal support has grown over time, and the 
complexity of the payment formulas linked to a hospital's 
Medicare inpatient volume has made accountability and oversight 
next to impossible. The financing structure also props up an 
antiquated system that fails to recognize the rapidly changing 
care delivery model and demographic shifts within the 
population--meaning the number of physicians is insufficient 
and cannot meet the nation's needs either in terms of specialty 
or geography. Distributing funds directly to hospitals favors 
traditional acute care institutions and discourages physician 
training in various clinical or lower cost settings of care, 
including children's hospitals, safety net hospitals, 
ambulatory surgical centers, and so on.\13\ There is a clear 
need for reform to enhance accountability, transparency, and 
flexibility in graduate medical education.\14\\15\\16\ This 
budget recommends that support for medical education should 
accurately reflect the costs of training future physicians and 
be streamlined into a single payment, providing greater freedom 
and flexibility to encourage teaching institutions and states 
to develop innovative approaches to medical education.
---------------------------------------------------------------------------
    \12\House Comm. on Ways and Means, Social Security Amendments of 
1965, H.R. Rep. No. 89-213 (1965).
    \13\Jill Eden, Donald Berwick, and Gail Wilensky, eds., Graduate 
Medical Education that Meets the Nation's Health Needs, Institute of 
Medicine of the National Academies, (Washington, DC: The National 
Academies Press, 2014).
    \14\Barbara Wynn, Robert Smalley, and Kristina Cordasco, ``Does it 
Cost More to Train Residents or to Replace Them?,'' RAND Corporation 
and Medicare Payment Advisory Commission, September 2013, https://
www.rand.org/pubs/research_reports/RR324.html.
    \15\John O'Shea, ``Reforming Graduate Medical Education in the 
U.S.,'' The Heritage Foundation, December 29, 2014, http://
www.heritage.org/research/reports/2014/12/reforming-graduate-medical-
education-in-the-us.
    \16\``Improving Health and Health Care: An Agenda for Reform,'' 
American Enterprise Institute, December 2015, https://www.aei.org/wp-
content/uploads/2015/12/Improving-Health-and-Health-Care-online.pdf.
---------------------------------------------------------------------------
    Reform Medical Liability Insurance. This resolution also 
advances the commonsense curbs on abusive and frivolous 
lawsuits contained in the Protecting Access to Care Act of 
2017, as passed by the House.\17\ Medical lawsuits and 
excessive verdicts increase health care costs, result in 
reduced access to care, and contribute to the practice of 
defensive medicine. When mistakes happen, patients have a right 
to fair representation and fair compensation. The current tort 
litigation system, however, too often serves the interests of 
lawyers while driving up costs due to expenses associated with 
the practice of defensive medicine. The costs of defensive 
medicine are often overlooked, but they add a considerable 
burden to overall health care spending. According to a study 
published in 2010--the most comprehensive available--more than 
30 percent of health care costs, or approximately $650 billion 
annually, were attributable to defensive medicine.\18\ Even if 
the costs are only a fraction of this projection, such expenses 
are unnecessary and unsustainable for the Medicare Program and 
America's seniors.
---------------------------------------------------------------------------
    \17\Protecting Access to Care Act of 2017, H.R. 1215, 115th Cong. 
(2017). The savings associated with this policy option are carried in 
Function 930, as they are cross-functional.
    \18\``Physician Study: Quantifying the Cost of Defensive 
Medicine,'' Jackson Healthcare, 2010, https://jacksonhealthcare.com/
media-room/surveys/defensive-medicine-study-2010/.
---------------------------------------------------------------------------
    Assess True Out-of-Pocket Costs Accurately. Following the 
Trump Administration's proposal, the budget supports an 
accurate calculation of Medicare Part D beneficiaries' true 
out-of-pocket (TrOOP) costs. TrOOP costs are the expenses that 
count toward a beneficiary's out-of-pocket payment threshold, 
which determines when catastrophic coverage begins. Under the 
existing structure imposed by the Obama Administration, 
discounts of brand-name drugs that pharmaceutical manufacturers 
provide to plans count towards the calculation of the 
beneficiary's true out-of-pocket expenses.
    The budget supports the Trump Administration's proposal to 
exclude manufacturer rebates under the drug discount program 
from TrOOP calculations, since beneficiaries never pay those 
costs. If the Administration were able to do this, TrOOP 
calculations would be realigned with beneficiaries' real out-
of-pocket costs. This change would help equate the treatment of 
brand name and generic drugs, bringing more drug competition to 
the Part D program, and eventually lowering overall drug costs.
    Improve Program Integrity. The Government Accountability 
Office has designated Medicare as a ``high-risk'' program since 
1990 due to its size, complexity, and susceptibility to 
mismanagement and improper payments.\19\ In 2017, Medicare was 
projected to spend $702 billion and provide health care 
coverage to approximately 58 million beneficiaries.\20\ Over 
one billion claims are paid by Medicare every year to more than 
one million health care providers, contractors, and suppliers--
including private health plans, physicians, hospitals, skilled 
nursing facilities, durable medical equipment suppliers, and 
ambulance providers.\21\ Even small changes in program 
integrity can have large effects on overall Medicare spending. 
It is critical that Medicare be closely monitored to ensure 
that accurate payments are made for services.
---------------------------------------------------------------------------
    \19\Government Accountability Office, High-Risk Series: Progress on 
Many High-Risk Areas, While Substantial Efforts Needed on Others, 
report no. GAO-17-317, February 15, 2017, http://www.gao.gov/products/
GAO-17-317.
    \20\The 2017 Long-Term Budget Outlook, Congressional Budget Office, 
March 30, 2017, https://www.cbo.gov/publication/52480.
    \21\GAO, GAO-17-317.

                     FUNCTION 600: INCOME SECURITY

                              ----------                              


                            Function Summary

    Most of the federal government's income-support programs 
are reflected in the mandatory spending components of Function 
600 Income Security. These include federal employee retirement 
and disability benefits, including military retirees; general 
retirement and disability insurance, mainly through the Pension 
Benefit Guaranty Corporation and benefits to railroad retirees 
but excluding Social Security; unemployment compensation; food 
and nutrition assistance, including food stamps and school 
lunch subsidies; and other income-security programs.
    Other income-security programs include: Temporary 
Assistance for Needy Families (TANF), the government's 
principal cash welfare program; Supplemental Security Income 
(SSI); and spending for the refundable portion of the Earned 
Income Tax Credit (EITC). Agencies administering these and 
other programs in Function 600 include the U.S. Department of 
Agriculture (USDA), the U.S. Department of Health and Human 
Services (HHS), the U.S. Department of Housing and Urban 
Development (HUD), the Social Security Administration (SSA), 
and the Office of Personnel Management.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for $489.3 billion in 
budget authority and $479.2 billion in outlays. Of that total, 
discretionary spending totals $75.6 billion in budget authority 
and $73.6 billion in outlays, and mandatory spending is $413.7 
billion in budget authority and $405.6 billion in outlays. The 
10-year totals for budget authority and outlays are $5.1 
trillion and $5.0 trillion, respectively.

                      Illustrative Policy Options

    The main House authorizing committees responsible for 
funding programs under Function 600 are the Committee on Ways 
and Means, the Committee on Agriculture, the Committee on 
Oversight and Government Reform, and the Committee on Education 
and the Workforce. Discretionary funding is provided by the 
House Committee on Appropriations across multiple 
subcommittees. Below are options committees of jurisdiction may 
wish to consider when making final policy and funding 
decisions.

                         DISCRETIONARY SPENDING

    Reform Supplemental Nutrition Assistance Program Outreach 
Funding. This budget assumes that outreach funding for the 
Supplemental Nutrition Assistance Program (SNAP), formerly 
known as the food stamp program, is reduced, and funds are 
shifted toward programs that facilitate upward mobility, such 
as properly reformed job-training programs.
    Enforce Eligibility Requirements For WIC Program. The 
Women, Infants, and Children (WIC) Program is intended to serve 
individuals with incomes below 185 percent of the Federal 
Poverty Level (FPL). Adjunctive eligibility allows individuals 
to demonstrate eligibility for the program if they are enrolled 
in Medicaid. Since Medicaid serves families with incomes above 
185 percent of FPL, adjunctive eligibility not only simplifies 
program administration, but also expands eligibility. The 
budget would limit WIC eligibility to individuals with incomes 
below 185 percent of FPL.

                           MANDATORY SPENDING

    Strengthen Welfare Work Requirements. Welfare reforms in 
the 1990s led to substantial declines in poverty, increases in 
work, and decreases in government dependency. The TANF program 
was a central feature of these reforms. This budget calls for 
reforms to strengthen TANF work requirements so states will 
engage more recipients in activities leading to self-
sufficiency. This should include ending states' abilities to 
reduce work targets by spending more than required, as well as 
enforcing penalties against states that fail to meet work 
targets. This budget also calls for TANF reforms to provide 
states with more options to help people prepare to leave 
welfare for work and to hold states accountable for 
successfully getting people off welfare and into jobs.
    Reform Supplemental Security Income. Welfare programs 
typically pay benefits on a sliding scale. Supplemental 
Security Income (SSI) is different, paying an average of $690 
for each and every child in a household who receives benefits. 
This reform would create a sliding scale for children on SSI. 
Advocates for individuals with disabilities have expressed 
support in the past for such a step. In 1995, Jonathan M. 
Stein--the lead advocate attorney in the landmark 1990 Supreme 
Court Case expanding SSI eligibility for children and witness 
at a October 27, 2011 Ways and Means Subcommittee hearing on 
SSI--said the following about this proposal: ``[W]e have a long 
list of reforms that we do not have time to get into, but we 
would say for very large families there should be some sort of 
family cap or graduated sliding scale of benefits.''\1\ 
Additionally, Congress should review mental health categories 
in the children's SSI program, which have been the fastest 
growing categories of eligibility. This budget proposes 
adopting a Government Accountability Office (GAO) 
recommendation that Continuing Disability Reviews be conducted 
every three years for children on the program who are deemed 
likely to improve upon initially receiving benefits. 
Additionally, benefits should be linked to school attendance, 
except where SSA finds medical cause.
---------------------------------------------------------------------------
    \1\Contract with America: Welfare Reform, Part 2, Before the House 
Comm. on Ways and Means, 104th Cong. 44 (1995).
---------------------------------------------------------------------------
    Better Target Child Nutrition Resources. The Healthy, 
Hunger-Free Kids Act of 2010, which reauthorized child 
nutrition programs, allows schools with 40 percent qualifying 
students to provide meals free of charge to all students 
regardless of income.\2\ While this provision, known as the 
Community Eligibility Provision, simplifies program 
administration, a higher threshold would better target program 
resources to lower-income households.
---------------------------------------------------------------------------
    \2\Health, Hunger-Free Kids Act of 2010, Pub. L. No. 111-296, 124 
Stat. 3183 (2010).
---------------------------------------------------------------------------
    Reform the Supplemental Nutrition Assistance Program. 
Pairing reformed work requirements with consistent enforcement 
will lead to more sustainable, self-sufficient outcomes for 
SNAP recipients. H.R. 2, the Agriculture and Nutrition Act of 
2018, offers a model for ensuring that the SNAP program helps 
individuals transition to independence.\3\ Like H.R. 2, the 
budget also reforms Broad-Based Categorical Eligibility to end 
the practice of making individuals eligible for SNAP simply by 
receiving a TANF-funded brochure or being referred to a social 
service telephone number. SNAP program integrity can be 
improved by limiting SNAP account balances to reasonable levels 
and eliminating state abuse of the Low Income Home Energy 
Assistance Program for non-elderly, non-disabled households. 
The detection and prevention of duplicative benefit 
disbursements across state lines is also necessary to uphold 
the integrity of the program and hold states accountable for 
timely processing of eligibility determinations and case 
closures. Finally, the budget encourages the committee of 
jurisdiction to focus on reforms that will restore overall SNAP 
funding to sustainable levels while still providing states the 
flexibility to tailor the program to best meet the needs of 
their SNAP-eligible populations.
---------------------------------------------------------------------------
    \3\Agriculture and Nutrition Act of 2018, H.R. 2, 115th Cong. 
(2018).
---------------------------------------------------------------------------
    Expand State Flexibility for the Foster Care Program. The 
Family First Prevention Services Act provided state flexibility 
in designing programs and interventions meant to better prevent 
child abuse and neglect. This law will result in fewer children 
being removed from their homes, allowing more funds to be 
directed toward prevention efforts, as well as reducing the 
cost of the nation's foster care system. The budget proposes to 
continue implementation of the Family First Prevention Services 
Act, and expand state flexibility for the foster care program.
    Modernize Child Support Enforcement. Enacted in 1975, the 
Child Support Enforcement (CSE) program was created to secure 
child support payments from non-custodial parents for families 
who relied on both the federal and state governments for 
welfare benefits. The CSE program was designed to reimburse the 
government for those welfare benefits, as well as assist 
families in attaining self-sufficiency. The budget would better 
align financial incentives for states by modifying the federal 
matching rate and the criteria for states receiving incentive 
payments to ensure they are truly rewarding innovation and 
effectiveness.
    Reform Civil Service Pensions. This budget adopts a policy 
proposed by former President Obama's National Commission on 
Fiscal Responsibility. The policy calls for federal employees, 
including members of Congress and staff, to make greater 
contributions toward their own defined benefit retirement 
plans. It would also end the ``special retirement supplement,'' 
which pays federal employees the equivalent of their Social 
Security benefit at an earlier age. It recognizes the need for 
new federal employees to transition to a defined contribution 
retirement system, due to the cost of the program. 
Additionally, it creates parity with private sector retirement 
plans, which are often defined contribution plans. These plans 
put the ownership, flexibility, and portfolio risk on the 
employee as opposed to the employer. Similarly, federal 
employees would have more control over their own retirement 
security under this option.

                     FUNCTION 650: SOCIAL SECURITY

                              ----------                              


                            Function Summary

    Function 650 consists of the Social Security program, 
including Old Age and Survivors Insurance (OASI) benefits and 
Disability Insurance (DI) benefits. Social Security is the 
largest program in terms of dollars in the federal government's 
budget and is almost entirely mandatory spending.
    OASI provides retirement benefits to more than 51 million 
older Americans or their surviving spouses and children. 
Benefits are funded primarily through payroll taxes paid during 
a worker's lifetime, and the size of the benefit is based on 
the beneficiary's earning history. The Congressional Budget 
Office (CBO) projects the OASI Trust Fund will be insolvent in 
2031, at which time the Fund will only be able to cover 70 
percent of its scheduled benefits.\1\
---------------------------------------------------------------------------
    \1\CBO's 2017 Long-Term Projections for Social Security: Additional 
Information, Congressional Budget Office, October 27, 2017, https://
www.cbo.gov/publication/53245.
---------------------------------------------------------------------------
    DI provides essential income support for more than 10 
million persons with disabilities and their families who have 
not yet reached retirement age. Similar to OASI, DI is funded 
primarily through payroll tax revenues. CBO projects the DI 
Trust Fund will be insolvent in 2025, at which time the Fund 
will only be able to cover 88 percent of its scheduled 
benefits.\2\
---------------------------------------------------------------------------
    \2\The 2018 Long-Term Budget Outlook, 51.
---------------------------------------------------------------------------
    Both trust funds are moving quickly toward insolvency as a 
result of our aging population. This budget calls on action to 
solve this pressing problem by requiring the President, in 
conjunction with the Social Security Board of Trustees, to put 
forward specific proposals to reform Social Security to ensure 
long-term program sustainability. The budget also calls for 
Congress to offer legislation to ensure the sustainability and 
solvency of this critical program. For further details, see 
Sec. 508. Policy Statement on Social Security.

                Summary of Committee-Reported Resolution

    Social Security contains both on-budget and off-budget 
spending-the latter consisting of benefit payments for the OASI 
and DI programs. On-budget spending fiscal year 2019 is $36.0 
billion in budget authority and $36.0 billion in outlays. Over 
10 years, the on-budget totals are $535.5 billion in budget 
authority and $535.5 billion in outlays.
    For off-budget spending, the budget calls for $1.0 trillion 
in budget authority and $1.0 trillion in outlays for fiscal 
year 2019. Over 10 years, the off-budget totals are $13.5 
trillion in budget authority and $13.4 trillion in outlays.

                      Illustrative Policy Options

    The House authorizing committee of jurisdiction for 
Function 650 is the Committee on Ways and Means. Discretionary 
funding is provided by the Committee on Appropriations 
Subcommittee on Labor, Health and Human Services, Education, 
and Related Agencies.
    Below is an option that committees of jurisdiction may wish 
to consider when making final policy and funding decisions.
    Eliminate the Ability to Receive Both Unemployment 
Insurance and Disability Insurance. This option would eliminate 
concurrent receipt of unemployment and disability insurance, a 
clear example of duplication in the federal budget. The 
proposal would give the Social Security Administration the 
authority to identify fraud and prevent individuals from 
obtaining benefits from both programs. It is consistent with a 
similar policy proposal President Trump and former President 
Obama made in their budget requests. This budget takes the 
first step in preventing across-the-board benefit reductions to 
the Social Security program. This policy option could save up 
to $4.0 billion over the next 10 years.

              FUNCTION 700: VETERANS BENEFITS AND SERVICES

                              ----------                              


                            Function Summary

    Function 700 includes discretionary and mandatory spending 
for veterans' benefits and services. Discretionary accounts 
fund medical care, medical research, construction programs, 
information technology, and general operating expenses, among 
other activities. Mandatory spending funds disability 
compensation, pensions, vocational rehabilitation and 
employment, education, life insurance, housing, and burial 
benefits, among other benefits and services.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for $196.4 billion in 
budget authority and $194.2 billion in outlays. Of that total, 
discretionary spending totals $86.8 billion in budget authority 
and $83.2 billion in outlays, and mandatory spending is $109.5 
billion in budget authority and $111.0 billion in outlays. The 
10-year totals for budget authority and outlays are $2.3 
trillion and $2.2 trillion, respectively.
    The budget also accommodates up to $75.6 billion for fiscal 
year 2020 in advance appropriations for medical care and income 
security, consistent with the Veterans Health Care Budget and 
Reform Transparency Act of 2009 and the Consolidated and 
Further Continuing Appropriations Act of 2015.\1\
---------------------------------------------------------------------------
    \1\Veterans Health Care Budget and Reform Transparency Act, Pub. L. 
No. 111-81, 123 Stat. 2137 (2009). Consolidated and Further Continuing 
Appropriations Act, 2015, Pub. L. No. 113-235, 128 Stat. 2130 (2014).
---------------------------------------------------------------------------

                      Illustrative Policy Options

    The primary House committees of jurisdiction for this 
function include the Committee on Veterans' Affairs and the 
Committee on Appropriations Subcommittee on Military 
Construction, Veterans Affairs, and Related Agencies. The 
Budget Committee's authority applies solely to the budgetary 
parameters for each committee of jurisdiction. Some 
illustrative options the committees might consider include the 
following.

                         DISCRETIONARY SPENDING

    Veterans are a top priority in this budget. The budget 
calls for $86.8 billion in discretionary funding for veterans' 
benefits and services in fiscal year 2019. This level is 
consistent with the Congressional Budget Office's (CBO) most 
recent baseline and represents a 5.8 percent increase from 
fiscal year 2018 enacted levels. The budget provides the 
necessary resources to the Department of Veterans Affairs (VA); 
however, the VA needs to manage appropriated resources better 
to provide timely and high-quality benefits and services to 
veterans. This is particularly the case for VA health care 
services. In 2015, VA health care was placed on the Government 
Accountability Office (GAO) ``High Risk List'' for its 
inability to ensure allocated resources are being used ``cost-
effectively and efficiently to improve veterans'' health care 
access, safety, and quality.\2\ VA health care remains on the 
list today. In addition, GAO reports that the VA continues to 
have challenges ``regarding the reliability, transparency, and 
consistency of its budget estimates for medical services, as 
well as weaknesses in tracking obligations for medical services 
and estimating budgetary needs for future years.''\3\
---------------------------------------------------------------------------
    \2\Government Accountability Office, Managing Risks and Improving 
VA Health Care, report no. GAO-17-317, February 15, 2017, https://
www.gao.gov/products/GAO-17-317.
    \3\GAO, GAO-17-317.
---------------------------------------------------------------------------
    This budget calls for the VA to implement GAO's 
recommendations to update and improve the VA's health care 
system to provide timely access to quality health care for our 
nation's veterans.

                           MANDATORY SPENDING

    Reform the VA's Individual Unemployability Benefits. The VA 
provides monthly disability compensation, based on a disability 
rating ranging from 0 to 100 percent. If a disabled veteran is 
unable to maintain substantially gainful employment, the VA 
provides supplemental compensation under the Individual 
Unemployability program (IU). The IU program supplemental 
increases an eligible veteran's disability rating to 100 
percent. Since 2013, older beneficiaries (aged 65 and older) 
represented the majority of the IU population with the majority 
of the beneficiaries receiving the benefit for the first 
time.\4\
---------------------------------------------------------------------------
    \4\Government Accountability Office, Veterans' Disability Benefits: 
VA Can Better Ensure Unemployability Decisions Are Well Supported, 
report no. GAO-15-464, June 2, 2015, https://www.gao.gov/assets/680/
670592.pdf.
---------------------------------------------------------------------------
    The budget recommends the following reforms: 1) institute 
an application restriction to veterans age 68 and older from 
applying for the first time to the VA's IU benefit program (the 
age is higher than Social Security full retirement age); 2) 
institute a means-test for a person with a net worth of 
$127,748 to mirror the VA's proposed net worth rule for the 
pension program; and 3) codify the IU program into law to 
ensure it functions appropriately through congressional 
oversight.\5\ These budget recommendations would only apply to 
new applicants and assume beneficiaries who were enrolled 
before enactment would not be impacted by the policy change.
---------------------------------------------------------------------------
    \5\Social Security Administration, ``Benefits Planner: 
Retirement,'' accessed June 4, 2018, https://www.ssa.gov/planners/
retire/retirechart.html.
---------------------------------------------------------------------------
    Slow the Growth of Education Tuition Increases. Veterans' 
education benefits became significantly more generous following 
the 2008 passage of the Post-9/11 G.I. Bill. The Post-9/11 G.I. 
Bill covers veterans' tuition, fees, and textbook costs, in 
addition to providing a monthly living stipend. Over the past 
decade, tuition rates have increased at an average annual rate 
that is considerably higher than inflation.\6\ In 2011, the 
House and Senate Veterans' Affairs Committees sent a letter to 
the Joint Select Committee on Deficit Reduction (JSCDR) 
recommending a policy proposal to cap the annual increase in 
tuition support.\7\ This budget, in line with the JSCDR 
proposal, would fund growth in tuition rates up to a 3 percent 
inflationary cap. This budget also assumes beneficiaries who 
were enrolled before enactment would not be impacted by the 
policy change.
---------------------------------------------------------------------------
    \6\Tom Lindsay, ``College Tuition Inflation: An Overblown 
Crisis?,'' Forbes, December 13, 2017, https://www.forbes.com/sites/
tomlindsay/2017/12/13/college-tuition-inflation-an-overblown-crisis/
#2a887637589e.
    \7\The Honorable Jeff Miller, Chairman, House Comm. on Veterans' 
Affairs, the Honorable Bob Filner, Ranking Member, House Comm. on 
Veterans' Affairs, the Honorable Patty Murray, Chairman, Senate Comm. 
on Veterans' Affairs, and the Honorable Richard Burr, Ranking Member, 
Senate Comm. on Veterans' Affairs, letter to the Joint Select Comm. on 
Deficit Reduction, October 14, 2019, https://veterans.house.gov/news/
documentsingle.aspx?DocumentID=801.
---------------------------------------------------------------------------
    Reform VA Home Loan Guaranty Funding Fee Rates. Under 
current law, the VA may guarantee a home loan for eligible 
service members, veterans (with both service-connected and non-
service-connected injuries), reservists, and certain unmarried 
surviving spouses to purchase houses, condominiums, and 
manufactured homes. A funding fee for the program was first 
established in the Omnibus Budget Reconciliation Act of 
1982.\8\ The funding fee is paid as a percentage of the home 
loan. The funding fee rate is based on factors including 
whether the beneficiary is a first-time homebuyer or whether or 
not the beneficiary is making a down payment.\9\ Veterans with 
service-connected disabilities are exempt from the funding fee.
---------------------------------------------------------------------------
    \8\Omnibus Budget Reconciliation Act of 1982, Pub. L. No. 97-253, 
96 Stat. 763 (1982).
    \9\Veterans Access, Choice, and Accountability Act of 2014, Pub. L. 
No. 113-146, 128 Stat. 1754 (2014).
---------------------------------------------------------------------------
    Current VA funding fees are lower than other federal 
housing programs, such as the Federal Housing Administration. 
This budget option calls for VA Loan Guaranty funding fee rates 
for non-service-connected veterans to be reformed at a 
reasonable rate, while ensuring the integrity and 
sustainability of the program remains intact.
    Reinstate the Round Down of Annual Cost-of-Living 
Adjustment. This option would require the VA to round down 
increases in the monthly compensation rate resulting from an 
annual cost-of-living adjustment (COLA) to the next lower whole 
dollar. The VA would apply this round down to both disability 
compensation and dependency and indemnity compensation 
payments. A similar requirement expired at the end of 2013, and 
this budget option recommends a reinstatement of this policy. 
This policy recommendation was also included in past President 
Obama budget requests and President Trump's fiscal year 2018 
and fiscal year 2019 budget requests.
    Reform Post-9/11 G.I. Bill, Monthly Housing Allowance Rate. 
Under current law, the Post-9/11 G.I. Bill monthly housing 
allowance (MHA) is based on the Department of Defense basic 
allowance for housing (BAH) rate for a service member in pay 
grade E-5 with dependents.\10\ All veterans receive this MHA 
rate regardless of whether or not they have a dependent. This 
budget option would align the Post-9/11 G.I. Bill with other 
federal programs by requiring beneficiaries to verify their 
dependent in order to collect MHA at the E-5 with dependent pay 
rate. Should the beneficiary be unable to verify a dependent, 
they will be paid at the E-5 without dependent pay rate. This 
budget assumes beneficiaries who were enrolled before enactment 
would not be impacted by the policy change.
---------------------------------------------------------------------------
    \10\Post-9/11 Veterans' Educational Assistance Act of 2008, Title V 
of the Supplemental Appropriations Act, 2008, 38 U.S.C. Sec.  3313 
(2008).
---------------------------------------------------------------------------
    Reform the VA's Rating Schedule for Disability 
Compensation. The Department of Veterans Affairs administers 
one of the largest federal disability compensation benefit 
programs, based on the loss of earning potential as a result of 
service-connected disability.\11\ Under section 1155 of Title 
38, the VA is required to ``adopt and apply a schedule of 
ratings of reductions in earning capacity from specific 
injuries or combination of injuries'' to determine the 
veteran's disability compensation amount.\12\ In fiscal year 
2016 (the most recent figures available by the Department), the 
VA provided $64.7 billion in disability compensation payments 
to 4.3 million veterans with service-connected 
disabilities.\13\ Currently, the VA uses the ``1945 Rating 
Schedule and its medical criteria with some revisions to 
evaluate veterans for disability compensation.''\14\ In 2003, 
GAO designated the VA's disability compensation rating program 
as ``high-risk'' due in part to the VA's relying on outdated 
criteria to determine whether recipients should qualify for 
disability compensation benefits in relation to advances in 
``medicine, technology, or changes in the modern work 
environment.''\15\ The program remains on the high-risk list 
today.
---------------------------------------------------------------------------
    \11\Government Accountability Office, VA Disability Compensation: 
Actions Needed to Address Hurdles Facing Program Modernization, GAO-12-
846, September 2012, http://www.gao.gov/assets/650/647877.pdf.
    \12\An Act to consolidate into one Act all of the laws administered 
by the Veterans' Administration, and for other purposes, as amended, 38 
U.S.C. Sec.  1155.
    \13\Department of Veterans Affairs, Veterans Benefits 
Administration Annual Benefits Report: Fiscal Year 2016, February 2017, 
https://www.benefits.va.gov/REPORTS/abr/ABR-
All_Sections_FY16_06292017.pdf.
    \14\Michael McGeary, Morgan A. Ford, Susan R. McCutchen, and David 
K. Barnes, eds., A 21st Century System for Evaluating Veterans for 
Disability Benefits, Institute of Medicine, (Washington, DC: The 
National Academies Press, 2007), 102.
    \15\Government Accountability Office, ``Improving and Modernizing 
Federal Disability Programs,'' in High-Risk Series: Progress on Many 
High-Risk Areas, While Substantial Efforts Needed on Others, GAO-17-
317, February 15, 2017, https://www.gao.gov/assets/690/682765.pdf.
---------------------------------------------------------------------------
    The rating schedule needs a systematic overhaul to align 
with present-day accepted medical principles and medical 
standards, and to address whether disabilities lower than 30 
percent constitute material impairment of earning capacity.\16\ 
This budget calls for reforming the VA disability compensation 
rating schedule.
---------------------------------------------------------------------------
    \16\GAO, GAO-17-317.

                FUNCTION 750: ADMINISTRATION OF JUSTICE

                              ----------                              


                            Function Summary

    The principal activities in Function 750 include federal 
law enforcement programs, litigation and judicial activities, 
correctional operations, and border security. The function 
includes most of the U.S. Department of Justice (DOJ) and 
several components of the U.S. Department of Homeland Security 
(DHS). Within DOJ, agencies funded include: the Federal Bureau 
of Investigation (FBI), the Drug Enforcement Administration, 
the Bureau of Alcohol, Tobacco, Firearms and Explosives, the 
United States Attorneys, DOJ legal divisions, the Legal 
Services Corporation, the Federal Judiciary, and the Federal 
Bureau of Prisons. The small amount of mandatory spending in 
the category funds certain immigration activities, the Crime 
Victims Fund, the Assets Forfeiture Fund, and the Treasury 
Forfeiture Fund.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for $58.3 billion in 
budget authority and $63.0 billion in outlays. Of that total, 
discretionary spending totals $59.6 billion in budget authority 
and $59.7 billion in outlays, and mandatory spending totals -
$1.3 billion in budget authority and $3.3 billion in outlays. 
The 10-year totals for budget authority and outlays are $696.5 
billion and $702.9 billion, respectively. The negative figure 
reflects the collection of user fees and rescissions from the 
Crime Victims Fund balance.

                      Illustrative Policy Options

    The House Committees of jurisdiction for this function 
include the Committees on Judiciary and Homeland Security and 
the Committee on Appropriations Subcommittees on Commerce, 
Justice, Science and Related Activities, and Homeland Security. 
Below are options committees of jurisdiction may wish to 
consider when making final policy and funding decisions.

                         DISCRETIONARY SPENDING

    Consolidate Justice Grants. DOJ awards over $2 billion 
annually in grants to conduct research, provide training 
assistance, and support state and local criminal justice 
systems. The majority of these grants fall within the 
jurisdiction of state and local governments, and the federal 
government should limit itself to funding programs that these 
localities cannot support themselves.
    Eliminate the Legal Services Corporation. The Legal 
Services Corporation is an independent, nonprofit organization 
that provides federal funding for legal aid to low income 
individuals. It is the duty of state and local governments to 
provide legal services to those individuals unable to provide 
it for themselves. Local jurisdictions are more aware of their 
citizens' needs and can provide more responsive service than 
the federal government.

                           MANDATORY SPENDING

    Permanently Extend Customs User Fees. The Consolidated 
Omnibus Reconciliation Act of 1985 authorized U.S. Customs and 
Border Protection to collect user fees for various services.\1\ 
These include processing fees for air and sea passengers, 
commercial trucks, rail cars, and other commercial vessels. The 
budget assumes this agency, housed within the U.S. Department 
of Homeland Security, will continue to collect customs user 
fees through fiscal year 2028, the last year of the budget 
window. This budget assumes making these customs user fees 
permanent.
---------------------------------------------------------------------------
    \1\Consolidated Omnibus Reconciliation Act of 1985, Pub. L. No. 99-
272, 100 Stat. 82 (1985).

                    FUNCTION 800: GENERAL GOVERNMENT

                              ----------                              


                            Function Summary

    Function 800, the General Government function, includes the 
activities of the White House and the Executive Office of the 
President (EOP), the legislative branch, and programs designed 
to carry out the legislative and administrative 
responsibilities of the federal government, including fiscal 
operations, personnel management, and real estate and other 
property management activities. Other major departments and 
agencies that comprise Function 800 include the U.S. Department 
of the Treasury, the General Services Administration (GSA), the 
Internal Revenue Service (IRS), the Federal Election 
Commission, the Library of Congress, the Government 
Accountability Office (GAO), and certain funding for the 
District of Columbia.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the resolution calls for $23.3 billion 
in budget authority and $23.0 billion in outlays. Of that 
total, discretionary spending totals $16.4 billion in budget 
authority and $16.2 billion in outlays, and mandatory spending 
is $6.9 billion in budget authority and $6.8 billion in 
outlays. The 10-year totals for budget authority and outlays 
are $267.1 billion and $262.6 billion, respectively.

                      Illustrative Policy Options

    The House authorizing committees of jurisdiction for 
Function 800 programs include the Committee on Oversight and 
Government Reform, Committee on Natural Resources, and the 
Committee on House Administration. Funding is provided 
primarily by the Committee on Appropriations Subcommittee on 
Legislative Branch, Subcommittee on Financial Services and 
General Government, and the Subcommittee on Interior, 
Environment, and Related Agencies. Below are options committees 
of jurisdiction may wish to consider when making final policy 
and funding decisions.

                         DISCRETIONARY SPENDING

    Terminate the Election Assistance Commission. This 
independent agency was created in 2002 as part of the Help 
America Vote Act to provide grants to states to modernize 
voting equipment.\1\Its mission has been fulfilled. The 
National Association of Secretaries of State, the association 
of state officials responsible for administering elections, has 
passed resolutions stating the Election Assistance Commission 
(EAC) has served its purpose and funding is no longer 
necessary. The EAC should be eliminated and any valuable 
residual functions should be transferred to the Federal 
Election Commission.
---------------------------------------------------------------------------
    \1\Help America Vote Act, Pub. L. No. 107-252, 116 Stat. 1666 
(2002).
---------------------------------------------------------------------------
    Right-Size the Internal Revenue Service. The Internal 
Revenue Service (IRS) has nearly 75,000 employees and spends in 
excess of $12 billion annually.\2\The investigation related to 
the IRS targeting American citizens demonstrates that its 
massive budget has not resulted in better service to taxpayers; 
rather, it has created a bureaucracy filled with inefficiency 
and abuse. A simplified tax code, ushered in by the Tax Cut and 
Jobs Act, will have the dual benefits of reducing both the time 
taxpayers devote to complying with an overly complex code and 
the taxpayer dollars needed to administer and enforce it.
---------------------------------------------------------------------------
    \2\Internal Revenue Service, 2017 Internal Revenue Service Data 
Book, U.S. Department of the Treasury, publication no. 55B, March 2018, 
https://www.irs.gov/statistics/irs-budget-and-workforce.
---------------------------------------------------------------------------
    Make More Efficient Use of Legislative and Executive Branch 
Resources. This budget aims to scale back government wherever 
it has expanded needlessly or beyond its proper role. That 
includes within government operations and offices themselves. 
It also could include reforms such as reducing pensions of 
former U.S. presidents--recognizing their ability to support 
themselves primarily through other means of employment--while 
providing for security and pensions for any surviving spouses. 
The budget recommends treating the Legislative and Executive 
Branch appropriations the same as other federal agencies and 
programs and paring costs where possible. As taxpayers are 
required, at times, to do more with less, so too must Congress 
and the Executive Branch. The budget supports cost-cutting 
efforts and reforms that require better priority-setting for 
Legislative and Executive Branch funds.
    Further Consolidate Federal Data Centers. By increasing 
efficiencies and continued efforts to incorporate cloud 
computing technologies, the federal government can 
significantly decrease taxpayer spending on underused 
infrastructure. Notably, GAO has reported on and the Office of 
Management and Budget (OMB) has established government-wide 
cost savings goals resulting from data center consolidation 
pursuant to the Federal Information Technology Acquisition 
Reform Act (FITARA).\3\For example, GAO reported in August 
2017, federal agencies are expected to reduce annual costs 
government-wide by reducing physical data centers by 25 percent 
with an expected savings of $2.7 billion by the end of fiscal 
year 2018.\4\
---------------------------------------------------------------------------
    \3\Carl Levin and Howard P. ``Buck'' McKeon National Defense 
Authorization Act for Fiscal Year 2015, Pub. L. No. 113-291, 128 Stat. 
3292 (2014), Title VIII, Subtitle D.
    \4\Government Accountability Office, Data Center Optimization: 
Agencies Need to Address Challenges and Improve Progress to Achieve 
Cost Savings Goal, GAO-17-448, August 2017, https://www.gao.gov/assets/
690/686574.pdf, 11.
---------------------------------------------------------------------------
    Modernize Federal Information Technology. For the last few 
years, the government spent more than $90 billion annually on 
information technology (IT) purchases and maintenance, with 
over 75 percent of this spending on operations and maintenance 
of existing or legacy IT systems. For fiscal year 2019, federal 
agencies plan to spend over 80 percent of IT budgets to keep 
aging legacy systems running; a 5 percent increase over last 
year. By contrast, agencies are planning on spending only 20 
percent on IT modernization in fiscal year 2019. Total non-
defense, unclassified IT spending amounted to $45.5 billion in 
fiscal year 2018, up from $44.9 billion the previous year. The 
Modernizing Government Technology Act, which was enacted in 
December 2017, authorizes a central Technology Modernization 
Fund (TMF) to be overseen by a board chaired by OMB and 
administered by GSA.\5\ The President's Fiscal Year 2019 budget 
request includes $210 million for the TMF. The proposed TMF 
funding has been described as seed money that will be 
subsequently replenished by agency repayments for the initial 
funds transferred to agencies to complete the work. Continued 
agency implementation of FITARA empowers agency chief 
information officers to manage IT, and is driving effective 
management of agency IT portfolios. This budget supports the 
active oversight and reform efforts pursued by the House 
Committee on Oversight and Government Reform. With increased 
agency attention on FITARA implementation, further 
modernization and implementation of innovative technology 
solutions will allow the federal government to realize savings.
---------------------------------------------------------------------------
    \5\National Defense Authorization Act for Fiscal Year 2018, Pub. L. 
No. 115-91, 131 Stat. 1283 (2017), Title X, Subtitle G.
---------------------------------------------------------------------------

                           MANDATORY SPENDING

    Federal Real-Property Management Reform. The federal 
government continues to maintain too much excess and 
underutilized property. Since 2003, federal real property 
management has appeared on the GAO ''High Risk List'' due to 
concerns about the reliability of real property data, the 
deteriorating conditions of facilities, the quantity of excess 
and underutilized properties, an overreliance on leasing, and 
building security. The federal government is the largest single 
holder of real property in the United States, with more than 
900,000 assets in its inventory, including 267,000 buildings. 
Additionally, agency leases cost taxpayers over $7 billion 
annually. The federal government could realize hundreds of 
millions of dollars in savings by disposing of unneeded or 
underutilized property, as well as consolidating and co-
locating properties to realize cost efficiencies and improve 
shared resources. This budget supports the work of the House 
Committee on Oversight and Government Reform and recently 
enacted legislation focused on addressing the federal 
government's real estate issues: the Federal Assets Sale and 
Transfer Act (FASTA) of 2016 and the Federal Real Property 
Management Reform Act of 2016.\6\\7\ FASTA created a Public 
Buildings Reform Board for disposing, consolidating, and 
otherwise realigning the government's real property portfolio. 
FASTA also incentivized additional reduction and savings 
efforts by allowing agency retention of sales proceeds for 
specific disposal related purposes. One of GSA's foremost goals 
should be to work with the administration to reform the 
government's real property portfolio by reducing the federal 
building footprint.
---------------------------------------------------------------------------
    \6\Federal Assets Sale and Transfer Act of 2016, Pub. L. No. 114-
287, 114 Stat. 1463 (2016).
    \7\Federal Real Property Management Reform Act of 2016, Pub. L. No. 
114-318, 130 Stat. 1608 (2016).

                       FUNCTION 900: NET INTEREST

                              ----------                              


                            Function Summary

    As the government runs chronic deficits and adds to its 
debt, it continues running up interest costs. These payments 
provide no benefits and finance no government service or 
operations. They are simply excess costs resulting from a 
history of spending beyond the government's means. According to 
the Congressional Budget Office (CBO), if government programs 
are not reformed, net interest payments are projected to nearly 
triple over the next decade, rising from $316 billion in fiscal 
year 2018 to $915 billion in fiscal year 2028.\1\ During this 
time, the federal government will reach a point at which it 
spends more on interest payments than it does on national 
defense, Medicaid, education, and infrastructure, among other 
programs. In fiscal year 2023, CBO projects interest on the 
debt will become the government's third largest budget line 
item, following only Social Security and Medicare.\2\
---------------------------------------------------------------------------
    \1\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 9, 2018, https://www.cbo.gov/publication/53651, 
Table 2-1.
    \2\The Budget and Economic Outlook: 2018 to 2028, Table 2-1.
---------------------------------------------------------------------------
    These costs are reflected in Function 900, which presents 
the interest paid for the federal government's borrowing minus 
the interest received by the federal government from trust fund 
investments and loans to the public. It is a mandatory payment, 
in the truest sense of the word, with no policy options and no 
discretionary components.
    Reducing interest costs will require sustained spending 
restraint. This budget provides such restraint, and it reduces 
net interest by $675 billion over 10 years compared to the CBO 
baseline.

                Summary of Committee-Reported Resolution

    The budget calls for $388.2 billion of mandatory spending 
for net interest payments in fiscal year 2019. Over 10 years, 
interest payments are expected to total $6.2 trillion.
    On-budget mandatory spending--or net interest payments 
unrelated to Social Security--sum to $468.9 billion in fiscal 
year 2019 and $6.9 trillion over the decade. The on-budget 
figure is larger than the budget Function 900 total because the 
former is offset by off-budget interest payments to the Social 
Security Trust Fund. These off-budget payments are presented as 
negative numbers, as they reflect money coming into, rather 
than flowing out of, the U.S. Treasury. Off-budget mandatory 
spending is -$80.7 billion in fiscal year 2019 and -$701.7 
billion over 10 years.

                        FUNCTION 920: ALLOWANCES

                              ----------                              


                            Function Summary

    The Budget Control Act of 2011 (BCA) enacted significant 
spending reductions enforced by statutory spending caps and an 
automatic enforcement procedure.\1\ The BCA did not specify a 
distribution of spending reductions in specific budget 
functions other than for National Defense (Function 050) and 
Medicare (Function 570), even though the law requires 
reductions in non-defense and non-Medicare areas of the budget. 
To account for the unspecified function-by-function reductions 
under the BCA, the Congressional Budget Office has assigned the 
non-defense and non-Medicare reductions to Function 920.
---------------------------------------------------------------------------
    \1\Budget Control Act of 2011, Pub. L. No. 112-25, 125 Stat. 240 
(2011).
---------------------------------------------------------------------------

                Summary of Committee-Reported Resolution

    The budget calls for -$17.6 billion in budget authority and 
-$9.2 billion in outlays in fiscal year 2019. The 10-year 
totals for budget authority and outlays are -$998.0 billion and 
-$894.6 billion, respectively.

                 FUNCTION 930: GOVERNMENT-WIDE SAVINGS

                              ----------                              


                            Function Summary

    A number of policies assumed in the budget cut across 
multiple agencies or functional categories, and have 
government-wide effects. These are reflected in Function 930 
and include changes in the federal civilian workforce or 
reductions in the government's improper payments. For ease of 
understanding, the budget employs this category, Government-
Wide Savings, to describe these assumptions.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for -$57.9 billion in 
budget authority and -$14.6 billion in outlays. Of that total, 
discretionary spending totals -$35.0 billion in budget 
authority and $8.5 billion in outlays, and mandatory spending 
in 2019 is -$23.0 billion in budget authority and -$23.1 
billion in outlays. The 10-year totals for budget authority and 
outlays are -$1.8 trillion and -$1.3 trillion, respectively.

                      Illustrative Policy Options

    Below are options House committees of jurisdiction may wish 
to consider when making final policy and funding decisions.

                         DISCRETIONARY SPENDING

    Reduce the Federal Civilian Workforce Through Attrition. 
The budget assumes discretionary savings through a 10-percent 
reduction in certain agencies of the federal civilian workforce 
through attrition. Under the assumed strategy, the 
administration would be permitted to hire one employee for 
every three who leave government service. National security 
positions would be exempt.

                           MANDATORY SPENDING

    Assume Savings in Budget Control Act Continue. The Budget 
Control Act (BCA) established an automatic enforcement 
mechanism--commonly known as a sequester--to ensure a promised 
level of savings from that law would be actually realized.\1\ 
These savings were first implemented in 2013 and are scheduled 
to continue through 2027. The resolution proposes to extend the 
savings created by the BCA through 2028.
---------------------------------------------------------------------------
    \1\Budget Control Act of 2011, Pub. L. No. 112-25, 125 Stat. 240 
(2011).
---------------------------------------------------------------------------
    Align the G-Fund Investment Return with an Appropriate Risk 
Profile. The budget assumes savings by correctly aligning the 
rate of return on U.S. Treasury securities within the Federal 
Employee Retirement System's Thrift Savings Plan with its 
investment risk profile. Securities within the G-Fund are not 
subject to risk of default. Payment of principal and interest 
is guaranteed by the U.S. Government. Yet, the interest rate 
paid is equivalent to a long-term security. As a result, those 
who participate in the G-Fund are rewarded with a long-term 
rate on what is essentially a short-term security.
    Reduce Government-Wide Improper Payments by 50 Percent. 
Government-wide improper payments summed to an astounding $141 
billion in 2017 and are projected to continue rising in the 
future. The budget proposes the establishment of an independent 
commission by the end of the year to find tangible solutions to 
reduce government-wide improper payments. This new commission 
would be charged with finding ways to reduce improper payments 
by 50 percent within the next five years. The commission would 
also be required to develop a tighter system of agency 
oversight to ensure agencies comply with commission 
recommendations and are successfully meeting the reduction goal 
over time.

            FUNCTION 950: UNDISTRIBUTED OFFSETTING RECEIPTS

                              ----------                              


                            Function Summary

    Offsetting receipts to the Treasury are recorded in 
Function 950 as negative budget authority and outlays. Receipts 
appearing here are either intra-budgetary (a payment from one 
federal agency to another, such as agency payments to the 
retirement trust funds) or proprietary (a payment from the 
public for some kind of business transaction with the 
government). The main types of receipts presented are the 
payments federal agencies make to employee retirement and 
health care funds; payments made by companies for the right to 
explore and produce oil and gas on the Outer Continental Shelf 
(OCS); and payments by those who bid for the right to buy or 
use public property or resources, such as the electromagnetic 
spectrum. The category also contains an off-budget component 
that reflects the federal government's share of Social Security 
contributions for federal employees.

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the budget calls for -$100.8 billion 
in budget authority and -$100.8 billion in outlays. The 10-year 
totals for budget authority and outlays are -$1.2 trillion and 
-$1.2 trillion, respectively.
    On-budget totals for fiscal year 2019 are -$82.9 billion in 
budget authority and -$82.9 billion in outlays. Over 10 years, 
the on-budget totals are -$1.0 trillion in budget authority and 
-$1.0 trillion in outlays.
    Off-budget totals for fiscal year 2019 are -$17.8 billion 
in budget authority and -$17.8 billion in outlays. Over 10 
years, the off-budget totals are -$207.9 billion in budget 
authority and -$207.9 billion in outlays.

                      Illustrative Policy Options

    Below are options House committees of jurisdiction may wish 
to consider when making final policy and funding decisions.

                           MANDATORY SPENDING

    Federal Land. Currently, the federal government owns nearly 
650 million acres of land--almost 30 percent of the land area 
of the United States. In addition to federal real-property 
reform, this budget supports examining federal lands, in 
consultation with state and local communities, to identify 
where certain lands may be more efficiently managed by states 
and localities, thus reducing the burden on the federal 
government. Excluded from this policy are National Parks, 
wilderness areas, wildlife refuges, and wild and scenic rivers.
    Reduce Strategic Petroleum Reserve (SPR) Through Asset 
Sales. The SPR was created following the energy crisis of 1973 
when Organization of the Petroleum Exporting Countries (OPEC) 
members proclaimed an oil embargo. Since then, the U.S. has 
significantly reduced its dependence on overseas oil. 
Furthermore, the recent significant expansion of U.S. oil 
supplies allows the federal government to safely draw down the 
number of barrels it holds in reserve. This budget assumes the 
sale of 100 million barrels of SPR, expecting that increased 
domestic energy production will allow the U.S. to maintain 
compliance with international agreements.
    Active Management of Electromagnetic Spectrum. Since 1994, 
the Federal Communications Commission (FCC) has conducted 
auctions of licenses for electromagnetic spectrum. In 
consultation with the House Committee on Energy and Commerce, 
and in accordance with previously enacted legislation from 
Congress, the FCC has continued to make available to the public 
and private sectors, specific bandwidths and frequencies while 
encouraging federal consumers--various agencies and 
departments--to better consolidate their spectrum usage and 
right-size their spectrum footprints. This budget supports the 
continued work of both the FCC and the House Committee on 
Energy and Commerce in identifying specific bandwidths and 
making these frequencies available to the public and private 
market. As communication technology continues to improve, and 
wireless carriers evolve into the realm of fifth generation 
systems (5G), the federal government must continue to provide 
proactive stewardship of the radio spectrum without becoming a 
barrier to invention and innovation.

 FUNCTION 970: OVERSEAS CONTINGENCY OPERATIONS/GLOBAL WAR ON TERRORISM

                              ----------                              


                            Function Summary

    Function 970 reflects non-enduring funding for the 
execution of the Overseas Contingency Operations (OCO)/Global 
War on Terrorism (GWOT) programs and other closely related 
activities. It provides funding for Department of Defense 
Operation Freedom's Sentinel in Afghanistan and Operation 
Inherent Resolve in Iraq and Syria.\1\ OCO/GWOT also provides 
funding for civilian activities led by Department of State 
(DOS) and the U.S. Agency for International Development 
(USAID). OCO/GWOT funding is not subject to the statutory 
discretionary spending limits established by the Budget Control 
Act of 2011.\2\
---------------------------------------------------------------------------
    \1\Lynn M. Williams and Susan B. Epstein, Overseas Contingency 
Operations Funding: Background and Status, Congressional Research 
Service, report no. R44519, February 7, 2017.
    \2\Budget Control Act of 2011, Pub. L. No. 112-25, 125 Stat. 240 
(2011).
---------------------------------------------------------------------------

                Summary of Committee-Reported Resolution

    In fiscal year 2019, the resolution calls for $77.0 billion 
in budget authority and $38.9 billion in outlays for OCO/GWOT 
(shown in function 970 in the summary tables). This function 
accommodates all funding requested by the Department of Defense 
for fiscal year 2019 and is consistent with the level provided 
for in the Bipartisan Budget Act of 2018.\3\ Of that total, 
defense-military related activities totals $69.0 billion in 
budget authority in fiscal year 2019. The remaining budget 
authority in fiscal year 2019 totals $8.0 billion and funds 
civilian activities in the region.
---------------------------------------------------------------------------
    \3\Bipartisan Budget Act of 2018, Pub. L. No. 115-123 (2018).
---------------------------------------------------------------------------
    While this budget fully supports OCO/GWOT efforts and 
sufficient funding to execute contingency missions, funding 
provided in the OCO/GWOT budget will take place 18 years after 
the 9/11 terrorist attacks on the United States, which 
triggered wars in Afghanistan and Iraq. If these activities are 
to be ongoing--which may well be the case in the twenty-first 
century security environment--Congress should assume them as 
part of the nation's overall defense strategy and budget 
accordingly.

                         REVENUE AND TAX REFORM

                              ----------                              


                     Summary of Revenue Projections

    For the purpose of the budget resolution, revenues refers 
to all collected tax monies, fees and fines, and customs 
duties. The budget assumes the Congressional Budget Office's 
projections for revenue levels and integrates the positive 
economic impact of the recently-enacted Tax Cuts and Jobs Act 
of 2017 (also referred to as the 2017 tax reform).\1\ These 
projections incorporate the work of the Joint Committee on 
Taxation (JCT).
---------------------------------------------------------------------------
    \1\Tax Cuts and Jobs Act of 2017, Pub. L. No. 115-97, 131 Stat. 
2239 (2017).
---------------------------------------------------------------------------
    The budget assumes $3.49 trillion in revenues in fiscal 
year 2019. Of that total, individual income tax-generated 
revenues account for $1.74 trillion, payroll tax-generated 
revenues account for $1.23 trillion, and corporate income tax-
generated revenues account for $276 billion. Other revenues, 
including excise taxes, account for $238 billion. The 10-year 
total projection for revenues is $44.16 trillion.

                         Tax Cuts and Jobs Act

    The Tax Cuts and Jobs Act made sweeping changes to the way 
tax law impacts Americans. The goal of tax reform was to 
advance a bold, pro-growth overhaul of the nation's tax code 
for the first time in over three decades. In reality, the Tax 
Cuts and Jobs Act accomplished that and much more: the 
Congressional Budget Office (CBO) projects the law will lead to 
more jobs, higher productivity, bigger paychecks for American 
families, and a stronger economy in the immediate term.
    On the individual income side, the 2017 tax reform lowered 
individual taxes and set rates at new brackets of: 0 percent, 
10 percent, 12 percent, 22 percent, 24 percent, 32 percent, 35 
percent, and 37 percent. Arguably, the most impactful change is 
that the law roughly doubled the standard deduction from $6,500 
and $13,000 to $12,000 and $24,000 for individuals and married 
couples, respectively. These two changes will enable Americans 
to keep more of their hard-earned paychecks. For example, a 
typical American family earning the median family income 
(approximately $73,000) will see a tax cut of $2,059.\2\ This 
is more than $2,000 back in the pockets of Americans--money 
they can spend on their children, on education, on easing the 
strain of daily home budgeting, on hard-earned vacations, and 
on consumer purchases that will reinvigorate the economy.
---------------------------------------------------------------------------
    \2\House Comm. on Ways and Means and Senate Comm. on Finance, ``Tax 
Cuts & Jobs Act: Taxpayer Examples,'' House and Senate Conference 
Committee Resources, accessed May 25, 2018, https://
waysandmeans.house.gov/wp-content/uploads/2017/12/
TCJA_TaxpayerExamples121817.pdf.
---------------------------------------------------------------------------
    The Tax Cuts and Jobs Act focuses on helping families in 
other ways, as well. It doubles the Child Tax Credit to $2,000 
to help parents raising children and expands the use of 529 
accounts to support those saving for education. The reform 
package preserves important aspects of existing law, as well: 
it maintains the mortgage interest deduction, the Child and 
Dependent Care Tax Credit, and the Adoption Tax Credit. 
Additionally, it provides targeted relief from high health 
costs by expanding the medical expense deduction and 
eliminating the Obamacare individual mandate penalty.
    On the business side, the Tax Cuts and Jobs Act lowered the 
corporate tax rate to 21 percent, down from 35 percent. This is 
the largest reduction in U.S. history. It enables businesses to 
grow and expand by allowing them to write off immediately the 
full cost of new equipment and offering a 20 percent deduction 
on the first $315,000 of joint income earned. The Tax Cuts and 
Jobs Act eliminated the Corporate Alternative Minimum Tax and 
modernized the international tax structure. Taken together, 
these and other corporate tax reforms have already and will 
continue to provide widespread relief for job creators, helping 
expand the American economy--and expand opportunity in the 
process.
    According to the Congressional Budget Office and the Joint 
Committee on Taxation, the United States is already reaping the 
benefits of the 2017 tax reform legislation.\3\
---------------------------------------------------------------------------
    \3\The Budget and Economic Outlook: 2018 to 2028, Congressional 
Budget Office, April 9, 2018, https://www.cbo.gov/publication/53651.
---------------------------------------------------------------------------

                        TANGIBLE ECONOMIC RELIEF

    Direct Results. CBO reports that the tax law ``will 
encourage workers to work more hours and businesses to increase 
investment in productive capital, thereby raising employment, 
income, and potential output. In addition, the increase in 
after-tax income will boost spending in the near term, boosting 
actual output . . .''\4\ In simple terms, tax reform will boost 
the economy and provide relief to all Americans.
---------------------------------------------------------------------------
    \4\The Budget and Economic Outlook: 2018 to 2028, 11.
---------------------------------------------------------------------------
    Supporting American Workers. Tax relief enables businesses 
to grow, expand their operations, and invest in their workers 
through higher wages and more benefits. In fact, at the time of 
this report's writing, over 500 businesses have already 
announced that they are raising wages, providing more benefits, 
and offering bonuses to their employees as a direct result of 
the Tax Cuts and Jobs Act.\5\ This number grows daily.
---------------------------------------------------------------------------
    \5\John Kartch, ``List of Tax Reform Good News,'' Americans for Tax 
Reform, May 23, 2018, https://www.atr.org/list.
---------------------------------------------------------------------------
    Encouraging Work. A flourishing economy will subsequently 
generate greater demand for labor and consequently higher wages 
for American workers. CBO projects the tax law to raise nonfarm 
employment, on average, by 0.6 percent over the 10-year budget 
period.\6\ This translates to approximately 1 million new jobs 
directly attributable to the Tax Cuts and Jobs Act over the 
next 11 years.\7\
---------------------------------------------------------------------------
    \6\The Budget and Economic Outlook: 2018 to 2028, 13 with 
supplemental correction issued April 17, 2018.
    \7\The Budget and Economic Outlook: 2018 to 2028, 13 with 
supplemental correction issued April 17, 2018.
---------------------------------------------------------------------------

                     REVENUE TRENDS FROM TAX REFORM

    Returns on Investment. Heightened economic activity 
directly results from the policies advanced in the 2017 tax 
reform. CBO predicts that total business fixed investment is 
higher in every year within the budget window than it otherwise 
would have been without tax reform.\8\
---------------------------------------------------------------------------
    \8\The Budget and Economic Outlook: 2018 to 2028, 121.
---------------------------------------------------------------------------
    Increased Growth. The Tax Cuts and Jobs Act will provide a 
powerful boost to the economy by encouraging the building 
blocks of growth--savings, investment, and work. In direct 
relation to tax reform, real gross domestic product (GDP) will 
jump 0.3 percent in fiscal year 2018 and 0.6 percent in fiscal 
year 2019.\9\ This spikes to a full 1.0 percent in fiscal year 
2022, as the full effects of the law materialize.\10\ Over the 
decade, this translates to a 0.7 percent addition to GDP, on 
average.\11\ According to CBO, ``domestic income that derives 
from the production of goods and services . . . is projected to 
rise with GDP.''\12\
---------------------------------------------------------------------------
    \9\The Budget and Economic Outlook: 2018 to 2028, Table B-2.
    \10\The Budget and Economic Outlook: 2018 to 2028, Table B-2.
    \11\The Budget and Economic Outlook: 2018 to 2028, Table B-2.
    \12\The Budget and Economic Outlook: 2018 to 2028, 126.
---------------------------------------------------------------------------
    Higher Wages Translate to Higher Revenues. When Americans 
make more income and keep more of their own money, they inject 
more of that money back into the marketplace, stimulating 
economic growth. When they earn higher wages, they move into 
higher tax brackets, and the nation's pockets grow heavier. 
Thus, tax reform provides relief to both individuals and 
businesses, Americans earn and keep more money, and those 
earnings both help the market and feed the government through 
increased revenues over time.
    Trending Upward. CBO and JCT expect revenues to trend 
upward over the budget window, in sync with the growing 
economy. Every year through the decade, revenues derived from 
individual taxes increase. This happens even while tax rates 
decrease and Americans benefit from tax cuts. Such a trend is 
possible because of the economic growth, greater opportunity, 
and explosion in the labor market. As Americans work more and 
earn more, they move into higher tax brackets. In relation to 
the nation's fiscal health, higher taxable earnings lead to a 
steady increase in revenues as a percentage of GDP. Revenues 
are a greater percentage of GDP every year over the 10-year 
window, culminating at 18.5 percent by fiscal year 2028.\13\ 
This demonstrates that the success of every American after tax 
reform becomes the success of the entire nation.
---------------------------------------------------------------------------
    \13\The Budget and Economic Outlook: 2018 to 2028, Table 3-1.

                                                                                               TABLE 8.--TAX EXPENDITURE ESTIMATES BY BUDGET FUNCTION, FISCAL YEARS 2017-2021 [1]
                                                                                                                              [Billions of dollars]
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                           Corporations                                  Individuals
                          Function                           -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                     2017                2018               2019               2020               2021               2017               2018               2019               2020               2021              2017-21
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
National Defense:
    Deduction for overnight travel expenses of national       ..................  .................  .................  .................  .................           0.1                0.1                0.1                0.1                0.1                  0.4
     guard and reserve members..............................
    Exclusion of military disability benefits...............  ..................  .................  .................  .................  .................           0.3                0.2                0.2                0.2                0.2                  1.2
    Exclusion of combat pay.................................  ..................  .................  .................  .................  .................           1.3                1.2                1.2                1.2                1.3                  6.3
    Exclusion of benefits and allowances to armed forces      ..................  .................  .................  .................  .................           6.2                5.5                5.7                5.8                6.1                 29.4
     personnel..............................................
International Affairs:
    Base erosion and anti abuse tax*........................  ..................          -2.9              -12.0              -15.2              -15.7       .................  .................  .................  .................  .................           -45.9
    Deduction for foreign taxes instead of a credit.........            0.3                0.2                0.2                0.2                0.2       .................  .................  .................  .................  .................             1.0
    Deduction for foreign derived intangible income derived   ..................           9.6               15.4               19.3               23.1       .................  .................  .................  .................  .................            67.3
     from trade or business within the United States........
    Reduced tax rate on active income of controlled foreign           105.4               73.9               68.0               76.3               80.6       .................  .................  .................  .................  .................           404.2
     corporations...........................................
    Inventory property sales source rule exception..........            1.8                0.5       .................  .................  .................  .................  .................  .................  .................  .................             2.2
    Exclusion of foreign earned income:.....................
        Salary..............................................  ..................  .................  .................  .................  .................           7.2                7.2                7.5                8.0                8.5                 38.3
        Housing.............................................  ..................  .................  .................  .................  .................           1.2                1.2                1.2                1.3                1.3                  6.1
    Exclusion of certain allowances for Federal employees     ..................  .................  .................  .................  .................           1.4                1.4                1.5                1.5                1.6                  7.3
     abroad.................................................
    Deferral of active financing income.....................            9.0                3.7                1.7                1.8                2.5       .................  .................  .................  .................  .................            18.6
    Special rules for interest charge domestic international            0.6                0.6                0.7                0.7                0.7       .................  .................  .................  .................  .................             3.3
     sales corporations.....................................
    Tonnage tax.............................................            0.1                0.1                0.1                0.1                0.1       .................  .................  .................  .................  .................             0.5
General Science, Space, and Technology:
    Credit for increasing research activities (Code section             8.3                8.9                9.6               10.6               11.6                0.9                1.0                1.0                1.2                1.3                 54.5
     41)....................................................
    Therapeutic research credit.............................            0.1       .................  .................  .................  .................           0.1       .................  .................  .................  .................             0.3
    Expensing of research and experimental expenditures.....            3.2                2.0                1.3                1.3                1.3                [2]                [2]                [2]                [2]                [2]                  9.1
Energy:
    Credit for energy efficient improvements to existing      ..................  .................  .................  .................  .................           0.5                0.1       .................  .................  .................             0.7
     homes..................................................
    Residential energy efficient property credit............  ..................  .................  .................  .................  .................           1.7                1.8                1.9                1.7                1.5                  8.6
    Credits for alternative technology vehicles:............
        Other alternative fuel vehicles.....................            [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.1
    Credit for plug in electric vehicles....................            0.4                0.6                0.7                0.8                0.8                0.4                0.6                0.8                0.9                0.9                  6.9
    Credits for electricity production from renewable                   4.3                4.8                5.0                5.0                4.9                0.2                0.3                0.3                0.3                0.3                 25.3
     resources (section 45).................................
        Wind................................................            4.0                4.5                4.7                4.7                4.6                0.2                0.2                0.2                0.2                0.2                 23.7
        Closed loop biomass.................................  ..................  .................  .................  .................  .................  .................  .................  .................  .................  .................  ...................
        Geothermal..........................................            0.1                0.1                0.1                0.2                0.2                [2]                [2]                [2]                [2]                [2]                  0.8
        Qualified hydropower................................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
        Small irrigation power..............................  ..................  .................  .................  .................  .................  .................  .................  .................  .................  .................  ...................
        Municipal solid waste...............................            0.1                0.1                0.1                0.1                0.1                [2]                [2]                [2]                [2]                [2]                  0.3
        Open loop biomass...................................            0.1                0.1                0.1                0.1                0.1                [2]                [2]                [2]                [2]                [2]                  0.5
    Coal production credits:................................
    Refined coal............................................            [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.1
    Indian coal.............................................            [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.1
    Credit for carbon oxide sequestration...................            [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.1
    Energy credit (section 48)..............................            1.7                2.5                2.4                2.4                2.4                0.2                0.3                0.3                0.3                0.3                 12.7
        Solar...............................................            1.6                2.3                2.2                2.2                2.2                0.2                0.3                0.2                0.2                0.2                 11.8
        Geothermal..........................................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  [2]
        Fuel Cells..........................................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
        Microturbines.......................................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  [2]
        Combined heat and power.............................            [2]                0.1                0.1                0.2                0.2                [2]                [2]                [2]                [2]                [2]                  0.6
        Small wind..........................................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  [2]
        Geothermal heat pump systems........................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  [2]
    Credits for investments in clean coal facilities........            0.2                0.2                0.2                0.2                0.2       .................  .................  .................  .................  .................             1.0
    Credit for investment in advanced energy property.......            0.2                0.1                [2]                [2]                [2]                0.1                [2]                [2]                [2]                [2]                  0.4
    Credit for holders of clean renewable energy bonds (Code            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.4
     sections 54 and 54C) [3][4]............................
    Credit for holders of qualified energy conservation       ..................  .................  .................  .................  .................           [2]                [2]                [2]                [2]                [2]                  0.2
     bonds [3][4]...........................................
    Exclusion of energy conservation subsidies provided by    ..................  .................  .................  .................  .................           [2]                [2]                [2]                [2]                [2]                  0.1
     public utilities.......................................
    Exclusion of interest on State and local government                 [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
     qualified private activity bonds for energy production
     facilities.............................................
    Amortization of geological and geophysical expenditures             0.1                0.1                0.1                0.1                0.1                [2]                [2]                [2]                [2]                [2]                  0.4
     associated with oil and gas exploration................
Depreciation recovery periods for energy specific items:
        Five year MACRS for certain energy property (solar,             [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.6
         wind, etc.)........................................
        10-year MACRS for smart electric distribution                   [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.2
         property...........................................
        15-year MACRS for certain electric transmission                 [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.2
         property...........................................
        15-year MACRS for natural gas distribution line.....            0.1                0.1                0.1                0.1                0.1       .................  .................  .................  .................  .................             0.4
    Amortization of air pollution control facilities........            0.8                0.6                0.4                0.4                0.4       .................  .................  .................  .................  .................             2.6
    Special rule to implement electric transmission                    -0.2               -0.2               -0.2               -0.2               -0.2       .................  .................  .................  .................  .................            -1.0
     restructuring*.........................................
Excess of percentage over cost depletion:
        Oil and gas.........................................            0.8                0.5                0.4                0.4                0.6                [2]                [2]                [2]                [2]                [2]                  2.6
        Other fuels.........................................            0.1                0.1                0.1                0.1                0.1                [2]                [2]                [2]                [2]                [2]                  0.7
Expensing of exploration and development costs:
        Oil and gas.........................................            1.2                0.7                0.4                0.4                0.4                0.4                0.2                0.1                0.1                0.1                  4.1
        Other fuels.........................................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.3
    Exceptions for publicly traded partnership with           ..................  .................  .................  .................  .................           0.5                0.2                0.2                0.4                0.4                  1.8
     qualified income derived from certain energy related
     activities.............................................
Natural Resources and Environment:
    Expensing of timber growing costs.......................            0.3                0.3                0.3                0.3                0.3                [2]                [2]                [2]                [2]                [2]                  1.5
    Special depreciation allowance for certain reuse and                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
     recycling property.....................................
    Amortization and expensing of reforestation expenditures            0.1                0.1                0.1                0.1                0.1                0.1                0.1                0.1                0.2                0.2                  1.3
    Special rules for mining reclamation reserves...........            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
    Special tax rate for nuclear decommissioning reserve                0.3                0.1                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.5
     funds..................................................
    Exclusion of earnings of certain environmental                      [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.1
     settlement funds.......................................
    Excess of percentage over cost depletion, nonfuel                   [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.3
     minerals...............................................
    Expensing of exploration and development costs, nonfuel             [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.3
     minerals...............................................
    Treatment of income from exploration and mining of        ..................  .................  .................  .................  .................           0.1                [2]                [2]                [2]                [2]                  0.2
     natural resources as qualifying income under the
     publicly traded partnership rules......................
Agriculture:
    Exclusion of cancellation of indebtedness income of       ..................  .................  .................  .................  .................           0.1                0.1                0.1                0.1                0.1                  0.5
     farmers................................................
    Exclusion of cost sharing payments......................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
    Two year carryback period for net operating losses                  [2]                [2]                [2]                [2]                [2]                0.1                [2]                [2]                0.1                0.1                  0.3
     attributable to farming................................
    Expensing of soil and water conservation expenditures...            [2]                [2]                [2]                [2]                [2]                0.1                0.1                0.1                0.1                0.1                  0.6
    Expensing by farmers for fertilizer and soil conditioner            [2]                [2]                [2]                [2]                0.1                0.1                0.1                0.1                0.1                0.2                  0.9
     costs..................................................
    Cash accounting for agriculture.........................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
    Income averaging for farmers and fishermen..............  ..................  .................  .................  .................  .................           0.2                0.2                0.2                0.2                0.2                  0.9
Commerce and Housing Credit:
    Reduced rates of tax on dividends and long-term capital   ..................  .................  .................  .................  .................         130.7              128.7              127.0              129.3              133.1                648.9
     gains..................................................
    Reduced rates on first $10,000,000 of corporate taxable             3.1                0.8       .................  .................  .................  .................  .................  .................  .................  .................             3.9
     income.................................................
    Credit for low-income housing...........................            8.1                8.5                8.9                9.4               10.0                0.3                0.4                0.4                0.4                0.4                 46.9
    Credit for employer-paid FICA taxes on tips.............            0.5                0.5                0.6                0.6                0.6                0.8                0.9                0.9                0.9                1.0                  7.4
    Credit for rehabilitation of historic structures........            0.7                0.7                0.6                0.4                0.4                0.2                0.2                0.1                0.1                0.1                  3.4
    Credit for rehabilitation of structures, other than                 [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
     historic structures....................................
    Net alternative minimum tax attributable to net                    -0.4               -0.1       .................  .................  .................  .................  .................  .................  .................  .................            -0.4
     operating loss limitation*.............................
    Exclusion of income attributable to the discharge of      ..................  .................  .................  .................  .................           2.4                0.6       .................  .................  .................             3.0
     principal residence acquisition indebtedness...........
    Exclusion of capital gains on sales of principal          ..................  .................  .................  .................  .................          32.9               34.4               36.3               38.3               40.7                182.6
     residences.............................................
    Exclusion of interest on State and local government                 0.3                0.2                0.2                0.2                0.2                0.7                0.7                0.7                0.7                0.7                  4.6
     qualified private activity bonds for rental housing....
    Exclusion of interest on State and local qualified                  [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  [2]
     private activity bonds for green buildings and
     sustainable design projects............................
    Exclusion of interest on State and local government                 0.3                0.3                0.2                0.2                0.2                0.9                0.9                0.9                0.9                0.9                  5.8
     qualified private activity bonds for owner-occupied
     housing [5]............................................
    Exclusion of interest on State and local government                 0.1                0.1                0.1                0.1                0.1                0.3                0.3                0.3                0.3                0.3                  1.8
     small-issue qualified private activity bonds...........
    Limitation on deduction for FDIC premiums*..............  ..................          -0.7               -1.5               -1.5               -1.5       .................  .................  .................  .................  .................            -5.2
    Deduction for mortgage interest on owner-occupied         ..................  .................  .................  .................  .................          66.4               40.7               33.9               36.9               38.7                216.6
     residences.............................................
    Deduction for premiums for qualified mortgage insurance.  ..................  .................  .................  .................  .................           1.1                0.8       .................  .................  .................             1.9
    Limitation on net interest deduction to 30 percent of     ..................          -8.8              -12.4               -9.6              -11.2       .................          -0.9               -1.2               -1.0               -1.4                -46.5
     adjusted taxable income*...............................
    Depreciation of equipment in excess of the alternative             25.2               44.4               44.7               39.5               34.9               10.3               18.2               18.3               16.2               14.3                266.1
     depreciation system [6]................................
    Depreciation of rental housing in excess of alternative             0.6                0.6                0.5                0.3                0.3                3.8                3.7                3.6                3.4                3.3                 20.2
     depreciation system....................................
    Depreciation of buildings other than rental housing in              0.3                0.3                0.3                0.2                0.2                0.2                0.2                0.2                0.2                0.2                  2.3
     excess of alternative depreciation system..............
    Limit NOL deduction*....................................           -2.1               -1.3               -0.9               -1.0               -1.0               -0.2               -0.1               -0.1               -0.1               -0.1                 -6.9
    Insurance companies two year NOL carryback..............  ..................           2.0                3.2                3.2                3.1       .................           0.2                0.4                0.4                0.3                 12.9
    Expensing under section 179 of depreciable business                 7.2                6.6                5.0                4.0                3.2               10.7                9.9                7.4                5.9                4.9                 64.8
     property...............................................
    Expensing of magazine circulation expenditures..........            0.2                [2]                [2]                [2]                [2]                0.1                [2]                [2]                [2]                [2]                  0.3
    Amortization of business startup costs..................            0.1                0.1                0.1                0.1                0.1                0.1                0.1                0.1                0.1                0.2                  1.1
    Expensing of costs to remove architectural and                      [2]                [2]       .................  .................  .................           [2]                [2]       .................  .................  .................             [2]
     transportation barriers to the handicapped and elderly.
    Deduction for income attributable to domestic production           13.5                3.3       .................  .................  .................           5.1                1.2       .................  .................  .................            23.2
     activities.............................................
    20-percent deduction for qualified business income......  ..................  .................  .................  .................  .................  .................          34.8               50.2               57.6               60.1                202.8
    Distributions in redemption of stock to pay various       ..................  .................  .................  .................  .................           0.1                0.1                0.1                0.1                0.1                  0.3
     taxes imposed at death.................................
    Cash accounting, other than agriculture.................            0.3                1.3                1.5                0.9                0.7                1.9                5.0                4.5                2.9                2.5                 21.5
    Deferral of gain on non-dealer installment sales........            6.7                4.7                4.0                4.0                4.1                1.4                1.2                1.2                1.2                1.2                 29.7
    Special rules for magazine, paperback book, and record              [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
     returns................................................
    Completed contract rules................................            0.9                0.8                0.8                0.7                0.7                0.1                0.4                0.6                0.3                0.1                  5.5
    Limitation on active passthrough losses in excess of      ..................  .................  .................  .................  .................         -11.0              -14.9              -15.7              -16.4              -17.1                -75.1
     $500,000/$250,000*.....................................
Inventory methods and valuation:
    Last in first out.......................................            1.2                0.8                0.7                0.7                0.8                0.2                0.2                0.2                0.2                0.2                  5.1
    Lower of cost or market.................................            0.1                0.1                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.3
    Specific identification for homogeneous products........            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
    Exemption of credit union income........................            2.6                1.7                1.8                1.9                2.1       .................  .................  .................  .................  .................            10.1
    Exclusion from UBTI of certain payments to controlling              [2]                [2]                [2]                [2]                [2]       .................  .................  .................  .................  .................             0.1
     exempt organizations...................................
    Exclusion of gain or loss on sale or exchange of                   10.0               10.0               10.0               10.0               10.0       .................  .................  .................  .................  .................            50.0
     brownfield property....................................
    Special treatment of life insurance company reserves....            3.3                2.0                2.0                2.1                2.1       .................  .................  .................  .................  .................            11.5
    Tax-exempt status and election to be taxed only on                  0.1                0.1                0.1                0.1                0.1       .................  .................  .................  .................  .................             0.4
     investment income for certain small property and
     casualty insurance companies...........................
    Proration for property and casualty insurance companies.            0.4                0.2                0.2                0.2                0.2       .................  .................  .................  .................  .................             1.2
    Special deduction for Blue Cross and Blue Shield                    0.4                0.3                0.4                0.4                0.4       .................  .................  .................  .................  .................             1.9
     companies..............................................
    Interest rate and discounting period assumptions for                2.4                1.6                1.6                1.6                1.6       .................  .................  .................  .................  .................             8.8
     reserves of property and casualty insurance companies..
    Exclusion of capital gains at death.....................  ..................  .................  .................  .................  .................          31.4               32.6               34.0               35.5               37.5                171.0
    Carryover basis of capital gains on gifts...............  ..................  .................  .................  .................  .................           1.1                1.8                2.7                3.4                4.1                 13.2
    Deferral of gain on like-kind exchanges.................           12.2                1.7                2.0                2.3                2.4                6.5                5.4                5.4                5.6                5.8                 49.3
    Exclusion of gain from certain small business stock.....  ..................  .................  .................  .................  .................           1.2                1.3                1.3                1.3                1.4                  6.5
    Income recognition rule for gain or loss from section               [2]                [2]                [2]                [2]                [2]                1.0                1.0                1.1                1.1                1.1                  5.5
     1256 contracts.........................................
    Exemptions from imputed interest rules..................            [2]                [2]                [2]                [2]                [2]                0.7                0.7                0.7                0.8                0.8                  3.7
    Surtax on net investment income*........................  ..................  .................  .................  .................  .................         -29.0              -30.1              -30.6              -31.7              -33.0               -154.5
    Credit for the cost of carrying tax-paid distilled                  [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
     spirits in wholesale inventories.......................
Transportation:
    Provide a 50 percent tax credit for certain expenditures            0.2                0.1       .................  .................  .................  .................  .................  .................  .................  .................             0.3
     for maintaining railroad tracks........................
    Treatment of employer-paid transportation benefits        ..................          -1.5               -2.1               -2.1               -2.2                6.2                6.2                6.3                6.5                6.6                 23.8
     (parking, van pools, and transit passes, black car
     services)..............................................
    Exclusion of interest on State and local government                 0.2                0.2                0.2                0.2                0.2                0.7                0.6                0.6                0.6                0.7                  4.1
     qualified private activity bonds for private airports,
     docks, and mass-commuting facilities...................
    Exclusion of interest on State and local government                 [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  [2]
     qualified private activity bonds for high-speed
     intercity rail facilities..............................
    Exclusion of interest on State and local government                 [2]                [2]                [2]                [2]                [2]                0.1                0.1                0.1                0.1                0.1                  0.6
     qualified private activity bonds for highway projects
     and rail-truck transfer facilities.....................
    Deferral of tax on capital construction funds of                    0.1                0.1                0.1                0.1                0.1       .................  .................  .................  .................  .................             0.4
     shipping companies.....................................
Community and Regional Development:
    Credit for Indian reservation employment................            [2]                [2]       .................  .................  .................           [2]                [2]       .................  .................  .................             0.1
    New markets tax credit..................................            1.2                1.3                1.3                1.2                1.2                [2]                [2]                [2]                [2]                [2]                  6.3
    Exclusion of interest on State and local government                 0.1                0.1                0.1                0.1                0.1                0.3                0.3                0.3                0.3                0.3                  2.1
     qualified private activity bonds for sewage, water, and
     hazardous waste facilities.............................
    Empowerment zone tax incentives.........................            0.2                [2]                [2]                [2]                [2]                0.1                [2]                [2]                [2]                [2]                  0.3
    District of Columbia tax incentives.....................            [2]       .................  .................  .................  .................           [2]       .................  .................  .................  .................             [2]
    Recovery zone economic development bonds [3][4].........            [2]                [2]                [2]                [2]                [2]                0.1                0.1                0.1                0.1                0.1                  0.7
    Qualified opportunity zones.............................  ..................           1.0                1.3                1.3                1.4       .................           0.3                0.4                0.4                0.5                  6.7
                        National disaster relief .............................................................................................................                    Estimate Contained in Other Provisions
Education, Training, Employment, and Social Services:
Education and training:
    Credits for tuition for post-secondary education [4]....  ..................  .................  .................  .................  .................          19.4               19.3               19.1               19.2               19.3                 96.4
    Credit for holders of qualified zone academy bonds                  0.2                0.2                0.2                0.2                0.2                0.1                0.1                0.1                0.1                0.1                  1.4
     [3][4].................................................
    Qualified school construction bonds [3][4]..............            [2]                [2]                [2]                [2]                [2]                1.1                1.1                1.1                1.1                1.1                  5.5
    Deduction for teacher classroom expenses................  ..................  .................  .................  .................  .................           0.2                0.2                0.2                0.2                0.2                  1.1
    Exclusion of income attributable to the discharge of      ..................  .................  .................  .................  .................           0.2                0.2                0.2                0.2                0.2                  0.9
     certain student loan debt and NHSC and certain State
     educational loan repayments............................
    Exclusion of scholarship and fellowship income..........  ..................  .................  .................  .................  .................           2.8                3.0                3.2                3.4                3.6                 15.9
    Exclusion of employer-provided tuition reduction          ..................  .................  .................  .................  .................           0.3                0.3                0.3                0.3                0.3                  1.7
     benefits...............................................
    Exclusion of employer-provided education assistance       ..................  .................  .................  .................  .................           1.0                1.1                1.1                1.1                1.1                  5.5
     benefits...............................................
    Exclusion of interest on State and local government                 0.9                0.7                0.7                0.7                0.7                2.6                2.4                2.4                2.5                2.6                 16.2
     qualified private activity bonds for private nonprofit
     and qualified public educational facilities............
    Exclusion of interest on State and local government                 0.1                0.1                0.1                0.1                0.1                0.4                0.4                0.4                0.4                0.4                  2.5
     qualified private activity bonds for student loans.....
    Parental personal exemption for students aged 19 to 23..  ..................  .................  .................  .................  .................           3.3                1.1       .................  .................  .................             4.3
    Deduction for charitable contributions to educational               0.9                0.9                1.0                1.0                1.0                9.6                9.2                7.3                7.5                7.7                 46.2
     institutions...........................................
    Deduction for interest on student loans.................  ..................  .................  .................  .................  .................           2.3                2.1                2.1                2.2                2.3                 11.2
    Deduction for higher education expenses.................  ..................  .................  .................  .................  .................           0.4                0.1       .................  .................  .................             0.4
Exclusion tax on earnings of qualified tuition programs:
    Prepaid tuition programs................................  ..................  .................  .................  .................  .................           [2]                [2]                [2]                0.1                0.1                  0.1
    Savings account programs................................  ..................  .................  .................  .................  .................           0.6                0.9                1.1                1.3                1.5                  5.4
    Exclusion of earnings of Coverdell education savings      ..................  .................  .................  .................  .................           0.1                0.1                0.1                0.1                0.1                  0.4
     accounts...............................................
Employment:
    Credit for family and medical leave.....................  ..................           0.7                1.5                1.1                0.5       .................  .................  .................  .................  .................             3.8
    Work opportunity tax credit.............................            1.6                1.7                1.8                0.7                0.1                0.4                0.4                0.4                0.2                [2]                  7.3
    Exclusion of employee awards............................  ..................  .................  .................  .................  .................           0.4                0.4                0.4                0.4                0.4                  1.9
    Exclusion of housing allowances for ministers...........  ..................  .................  .................  .................  .................           0.8                0.7                0.7                0.7                0.7                  3.5
    Treatment of meals and lodging (other than military)....  ..................          -0.6               -0.8               -0.8               -0.8                3.1                2.9                2.8                2.7                2.8                 11.4
    Exclusion of benefits provided under cafeteria plans [7]  ..................  .................  .................  .................  .................          33.1               34.3               35.0               36.3               37.1                175.8
    Exclusion of miscellaneous fringe benefits..............  ..................  .................  .................  .................  .................           7.9                7.8                8.0                8.2                8.4                 40.3
    Treatment of employee moving expenses*..................  ..................  .................  .................  .................  .................  .................          -0.9               -1.3               -1.3               -1.4                 -4.9
    Exclusion of employer-provided (on-site) gyms...........  ..................  .................  .................  .................  .................           1.6                1.5                1.5                1.4                1.5                  7.5
    Limits on deductible compensation [8]*..................           -0.8               -1.0               -1.7               -1.7               -1.7                [2]                0.2                0.2                0.2                0.2                 -6.0
    Treatment of meals and entertainment....................           -2.0               -2.8               -3.1               -3.1               -3.2                3.6                3.4                3.2                3.3                3.3                  2.5
    Disallowance of deduction for excess parachute payments            -0.3               -0.2               -0.1               -0.2               -0.2       .................  .................  .................  .................  .................            -0.9
     (applicable if payments to a disqualified individual
     are contingent on a change of control of a corporation
     and are equal to or greater than three times the
     individual's annualized includible compensation) [8]*..
    Special tax provisions for employee stock ownership                 2.2                1.7                1.6                1.7                1.8                2.0                2.1                2.2                2.4                2.5                 20.2
     plans (ESOPs)..........................................
    Deferral of taxation on spread on acquisition of stock             -1.2               -0.7               -0.7               -0.7               -0.8                0.3                0.3                0.3                0.3                0.4                 -2.5
     under incentive stock option plans*....................
    Deferral of taxation on spread on employee stock                   -0.2               -0.1               -0.1               -0.1               -0.1                [2]                [2]                [2]                0.1                0.1                 -0.3
     purchase plans*........................................
    Exclusion of income earned by voluntary employees'        ..................  .................  .................  .................  .................           1.9                1.7                1.6                1.7                1.7                  8.6
     beneficiary associations...............................
Social services:
    Credit for child and dependent care and exclusion of      ..................  .................  .................  .................  .................           4.6                4.3                4.3                4.3                4.5                 21.9
     employer-provided child care [4][9]....................
    Adoption credit and employee adoption benefits exclusion  ..................  .................  .................  .................  .................           0.4                0.4                0.4                0.4                0.4                  2.0
    Credit for children and other dependents [4]............  ..................  .................  .................  .................  .................          54.1              104.2              121.7              122.4              123.8                526.2
    Credit for disabled access expenditures.................            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
    Credit for employer-provided dependent care.............            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
    Exclusion of certain foster care payments...............  ..................  .................  .................  .................  .................           0.4                0.4                0.5                0.5                0.5                  2.4
    Deduction for charitable contributions, other than for              2.0                2.0                2.1                2.1                2.2               42.9               40.8               31.3               31.9               32.9                190.3
     education and health [10]..............................
Health:
    Credit for purchase of health insurance by certain        ..................  .................  .................  .................  .................           [2]                [2]                [2]                [2]       .................             0.2
     displaced persons [4]..................................
    Subsidies for insurance purchased through health benefit  ..................  .................  .................  .................  .................          37.6               48.5               51.3               49.7               44.3                231.4
     exchanges [4]..........................................
    Credit for orphan drug research.........................            1.7                1.2                1.2                1.4                1.7                [2]                [2]                [2]                [2]                [2]                  7.4
    Tax credit for small businesses purchasing employer                 0.1                0.1                0.1                0.1                0.1                0.6                0.6                0.7                0.8                0.8                  4.0
     insurance [4]..........................................
    Exclusion of workers' compensation benefits (medical      ..................  .................  .................  .................  .................           5.2                4.6                4.7                4.8                4.8                 24.0
     benefits)..............................................
    Exclusion of employer contributions for health care,      ..................  .................  .................  .................  .................         150.6              157.2              172.8              182.5              191.0                854.1
     health insurance premiums, and long-term care insurance
     premiums [11]..........................................
    Exclusion of medical care and TRICARE medical insurance   ..................  .................  .................  .................  .................           4.5                4.3                4.5                4.8                5.2                 23.3
     for military dependents, retirees, and retiree
     dependents not enrolled in Medicare....................
    Exclusion of health insurance benefits for military       ..................  .................  .................  .................  .................           1.3                1.3                1.3                1.5                1.6                  7.1
     retirees and retiree dependents enrolled in Medicare...
    Exclusion of interest on State and local government                 0.6                0.5                0.5                0.5                0.5                1.8                1.6                1.7                1.7                1.8                 11.1
     qualified private activity bonds for private nonprofit
     hospital facilities....................................
    Deduction for health insurance premiums and long-term     ..................  .................  .................  .................  .................           5.9                5.1                4.9                5.3                5.5                 26.7
     care insurance premiums by the self-employed...........
    Deduction for charitable contributions to health                    1.1                1.1                1.1                1.2                1.2                4.5                4.3                3.3                3.3                3.5                 24.6
     organizations..........................................
    Deduction for medical expenses and long-term care         ..................  .................  .................  .................  .................          13.8               10.5                8.4                8.9                9.9                 51.6
     expenses...............................................
    Health savings accounts.................................  ..................  .................  .................  .................  .................           4.0                3.8                3.9                4.0                4.2                 19.8
Income Security:
    Credit for certain individuals for elective deferrals     ..................  .................  .................  .................  .................           1.4                1.2                1.1                1.1                1.1                  5.9
     and IRA contributions..................................
    Earned income credit [4]................................  ..................  .................  .................  .................  .................          70.6               71.6               72.6               73.6               74.8                363.2
    Phase out of the personal exemption for the regular       ..................  .................  .................  .................  .................         -17.2               -5.1               -1.0               -1.1               -1.2                -25.6
     income tax, and disallowance of the personal exemption
     and the standard deduction against the alternative
     minimum tax*...........................................
    Additional standard deduction for the blind and the       ..................  .................  .................  .................  .................           3.2                4.4                5.1                5.4                5.7                 23.8
     elderly................................................
Exclusion of other employee benefits:
    Premiums on group term life insurance...................  ..................  .................  .................  .................  .................           4.0                3.7                3.7                3.8                3.9                 19.1
    Premiums on accident and disability insurance...........  ..................  .................  .................  .................  .................           4.4                4.2                4.3                4.5                4.8                 22.0
    Exclusion of amounts received under life insurance                  2.3                1.7                1.7                1.7                1.8               22.8               21.3               21.9               22.4               22.9                120.5
     contracts..............................................
    Exclusion of survivor annuities paid to families of       ..................  .................  .................  .................  .................           [2]                [2]                [2]                [2]                [2]                  0.1
     public safety officers killed in the line of duty......
    Exclusion of workers' compensation benefits (disability   ..................  .................  .................  .................  .................           3.1                2.8                2.7                2.8                2.8                 14.1
     and survivors payments)................................
    Exclusion of special benefits for disabled coal miners..  ..................  .................  .................  .................  .................           [2]                [2]                [2]                [2]                [2]                  0.1
    Exclusion of damages on account of personal physical      ..................  .................  .................  .................  .................           1.7                1.7                1.8                1.8                1.8                  8.8
     injuries or physical sickness..........................
    Exclusion of disaster mitigation payments...............            [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.1
    Deduction for casualty and theft losses.................  ..................  .................  .................  .................  .................           0.4                0.2                0.2                0.2                0.2                  1.1
Net exclusion of pension contributions and earnings:
    Plans covering partners and sole proprietors (sometimes   ..................  .................  .................  .................  .................           7.7               12.1               14.7               16.1               17.2                 67.8
     referred to as ``Keogh plans'')........................
    Defined benefit plans...................................  ..................  .................  .................  .................  .................          77.4               87.9               90.7              100.1              113.5                469.6
    Defined contribution plans..............................  ..................  .................  .................  .................  .................         117.0              125.5              121.5              125.7              134.4                624.1
Individual retirement arrangements:
    Traditional IRAs........................................  ..................  .................  .................  .................  .................          18.0               16.9               17.2               18.3               19.4                 89.8
    Roth IRAs...............................................  ..................  .................  .................  .................  .................           7.5                7.3                7.7                8.4                9.2                 40.1
    ABLE accounts [12]......................................  ..................  .................  .................  .................  .................           [2]                [2]                [2]                0.1                0.1                  0.2
Social Security and Railroad Retirement:
    Exclusion of untaxed Social Security and railroad         ..................  .................  .................  .................  .................          39.8               36.5               37.0               39.3               41.8                194.3
     retirement benefits....................................
Veterans' Benefits and Services:
    Exclusion of veterans' disability compensation..........  ..................  .................  .................  .................  .................           8.9                8.3                8.2                8.4                8.6                 42.4
    Exclusion of interest on State and local government                 [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                [2]                  0.2
     qualified private activity bonds for veterans' housing.
    Exclusion of veterans' pensions.........................  ..................  .................  .................  .................  .................           0.2                0.1                0.1                0.1                0.1                  0.7
    Exclusion of veterans' readjustment benefits............  ..................  .................  .................  .................  .................           1.7                1.6                1.6                1.7                1.8                  8.3
    General Government......................................
    Build America bonds [3][4]..............................  ..................  .................  .................  .................  .................           3.2                3.2                3.2                3.2                3.2                 16.0
    Exclusion of interest on public purpose State and local             9.4                7.4                6.7                6.6                6.5               26.0               24.5               24.5               25.1               26.5                163.2
     government bonds.......................................
    Deduction of nonbusiness State and local government       ..................  .................  .................  .................  .................         100.9               36.6               21.2               24.4               25.2                208.3
     taxes..................................................
    Eliminate requirement that financial institutions                   0.5                0.4                0.4                0.4                0.4       .................  .................  .................  .................  .................             2.1
     allocate interest expense attributable to tax-exempt
     interest...............................................
Interest:
    Deferral of interest on savings bonds...................  ..................  .................  .................  .................  .................           1.3                1.2                1.1                1.0                0.9                  5.4
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Joint Committee on Taxation
 
NOTE: Details may not add to totals due to rounding. An ``*'' indicates a negative tax expenditure for the 2017-2021 period.
 
[1] Reflects legislation enacted by February 9, 2018. Significant changes in certain tax expenditures are the result of tax reform enacted in P.L. 115-97. [2] Positive tax expenditure of less than $50 million.
[3] Estimate includes an outlay to State and local governments. For the purposes of this table outlays are attributed to individuals.
[2] Positive tax expenditure of less than $50 million.
[4] Estimate includes refundability associated with the following outlay effects:


 
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                    Corporations                       Individuals                           Total
                                                    ----------------------------------------------------------------------------------------------------
                                                       2017     2018     2019     2020     2021     2017     2018     2019     2020     2021    2017-21
--------------------------------------------------------------------------------------------------------------------------------------------------------
Credit for holders of clean renewable energy bonds.  .......  .......  .......  .......  .......      [2]      [2]      [2]      [2]      [2]        0.2
Credit for holders of qualified energy conservation  .......  .......  .......  .......  .......      [2]      [2]      [2]      [2]      [2]        0.2
 bonds.............................................
Recovery zone economic development bonds...........  .......  .......  .......  .......  .......      0.1      0.1      0.1      0.1      0.1        0.6
Credit for holders of qualified zone academy bonds.  .......  .......  .......  .......  .......      0.1      0.1      0.1      0.1      0.1        0.3
Credits for tuition for post-secondary education...  .......  .......  .......  .......  .......      6.4      6.6      6.7      6.8      6.8       33.4
Qualified school construction bonds................  .......  .......  .......  .......  .......      1.1      1.1      1.1      1.1      1.1        5.4
Credit for children and other dependents...........  .......  .......  .......  .......  .......     31.3     44.1     48.5     48.3     48.7      221.1
Credit for child and dependent care and exclusion    .......  .......  .......  .......  .......      0.8      0.8      0.8      0.8      0.8        4.1
 of employer-provided child care...................
Credit for purchase of health insurance by certain   .......  .......  .......  .......  .......      [2]      [2]      [2]      [2]  .......        0.1
 displaced persons.................................
Tax credit for small businesses purchasing employer      0.1      0.1      0.1      0.1      0.1  .......  .......  .......  .......  .......        0.3
 insurance.........................................
Subsidies for insurance purchased through health     .......  .......  .......  .......  .......     33.1     43.0     45.1     43.6     38.9      203.7
 benefit exchanges.................................
Earned income credit...............................  .......  .......  .......  .......  .......     61.9     63.3     64.2     64.9     65.7      320.0
Build America bonds................................  .......  .......  .......  .......  .......      3.2      3.2      3.2      3.2      3.2       16.0
 
--------------------------------------------------------------------------------------------------------------------------------------------------------
[5] Estimate includes effect of credit for interest on certain home mortgages (Section 25). [6] Includes bonus depreciation and general acceleration
  under MACRS.
[7] Estimate includes amounts of employer-provided health insurance purchased through cafeteria plans and employer-provided child care purchased through
  dependent care flexible spending accounts. These amounts are also included in other line items in this table.
[8] Estimate does not include effects of changes made by the Emergency Economic Stabilization Act of 2008.
[9] Estimate includes employer-provided child care purchased through dependent care flexible spending accounts.
[10] In addition to the general charitable deduction, the tax expenditure accounts for the higher percentage limitation for public charities, the fair
  market value deduction for related-use tangible personal property, the enhanced deduction for inventory, the fair market value deduction for publicly
  traded stock and exceptions to the partial interest rules.
[11] Estimate includes employer-provided health insurance purchased through cafeteria plans and TRICARE medical insurance, which are also included in
  other line items on this table.
[12] Estimate does not include outlays due to Medicaid.


                      ADDRESSING IMPROPER PAYMENTS

                              ----------                              


    It is no secret that waste and mismanagement are all too 
common throughout the government, at both the state and federal 
level. The extent of government-wide payment errors is higher 
than most think. These ``improper payments'' are defined as any 
government payment made in an incorrect amount (mostly 
overpayments) for the wrong reason or to the wrong individual 
or entity. According to the Government Accountability Office 
(GAO), these payments totaled $141 billion in 2017, up from 
$107 billion in 2012.\1\ Worse, this figure likely understates 
the full extent of the problem; 18 government programs deemed 
susceptible to improper payments did not even submit error 
estimates in 2016, according to GAO. Thus, the estimated total 
may very well represent a floor rather than a ceiling.
---------------------------------------------------------------------------
    \1\Government Accountability Office, briefing to the House Budget 
Committee, March 29, 2017.
---------------------------------------------------------------------------
    GAO reports payment errors occur in 112 government programs 
across 22 agencies.\2\ Nearly 75 percent of errors, however, 
are found within three large programs: Medicare, Medicaid, and 
the Earned Income Tax Credit (EITC).
---------------------------------------------------------------------------
    \2\House Comm. on Oversight and Government Reform, The Improper 
Payments Elimination and Recovery Act: An Analysis of Five Years of 
Data, staff report, October 2016, https://oversight.house.gov/report/
improper-payments-elimination-recovery-act-analysis-five-years-data/.
---------------------------------------------------------------------------
    Congress has passed legislation over the years to try to 
address the problem of improper payments. The Improper Payment 
Information Act (IPIA) was enacted in 2002, requiring agencies 
to report a formal estimate of improper payments throughout 
their programs and how those payments might be prevented.\3\ 
Subsequently, however, the data showed annual payment error 
numbers continued to rise. In 2010, Congress expanded upon IPIA 
by passing the Improper Payments Elimination and Recovery Act 
(IPERA), which tried to make agency reviews of this problem 
more thorough and comprehensive.\4\ For instance, IPERA sought 
to improve agency methodologies for estimating improper 
payments. It also required agencies to identify specific causes 
of improper payments, as well as actions they were taking to 
reduce and recover improper payments. The Inspector General of 
each agency is charged with reviewing the agency's actions to 
determine compliance with IPERA requirements annually.
---------------------------------------------------------------------------
    \3\Improper Payments Information Act of 2002, Pub. L. No. 107-300, 
116 Stat. 2350 (2002).
    \4\Improper Payments Elimination and Recovery Act of 2010, Pub. L. 
No. 111-204, 124 Stat. 2224 (2010).
---------------------------------------------------------------------------
    The results have not been encouraging. The Chief Financial 
Officers Act of 1990 was intended to improve financial 
management among 24 federal departments and agencies.\5\ GAO 
has found that 15 of the 24 Chief Financial Officers Act 
agencies failed to comply with the criteria in IPERA in 2015. 
According to the House Oversight and Government Reform 
Committee, nine federal agencies have never complied with the 
requirements in IPERA.\6\
---------------------------------------------------------------------------
    \5\Chief Financial Officers Act of 1990, Pub. L. No. 101-576, 104 
Stat. 2838 (1990).
    \6\House Comm. on Oversight and Government Reform, staff report.
---------------------------------------------------------------------------
    In December 2012, Congress passed the Improper Payments 
Elimination and Recovery Improvement Act (IPERIA),\7\ which 
further built upon the structure established by previous 
legislation. IPERIA requires the Office of Management and 
Budget (OMB) to identify ``high priority'' government programs 
that are particularly susceptible to improper payments for 
greater oversight. Agencies with such programs must submit 
annual reports on the steps they are taking to prevent or 
recover improper payments.\8\ This legislation also created the 
so-called ``Do Not Pay'' initiative, a centralized, data-
matching service for agencies to use to help verify an 
individual's program eligibility before a payment is made.\9\ 
This web-based system comprises six databases, including the 
Social Security Death Master File and the Treasury's Debt Check 
Database.\10\ Although this was an important first step, 
experts agree that Do Not Pay should be expanded to include 
other data sources beyond those listed in the statute, such as 
the National Directory of New Hires.\11\ This directory is a 
national database established in 1996 that contains 
comprehensive information on all newly hired employees. It 
would be useful in helping agencies verify program eligibility 
and correctly determine program benefits.
---------------------------------------------------------------------------
    \7\Improper Payments Elimination and Recovery Improvement Act of 
2012, Pub. L. No. 112-248, 126 Stat. 2390 (2012).
    \8\Garrett Hatch, Improper Payments Legislation: Key Provisions, 
Implementation, and Selected Proposals in the 114th Congress, 
Congressional Research Service, report no. R44702, December 7, 2016.
    \9\Government Accountability Office, Addressing Improper Payments 
and the Tax Gap Would Improve the Government's Fiscal Position, report 
no. GAO-16-92T, October 1, 2015.
    \10\Hatch.
    \11\House Comm. on Oversight and Government Reform, staff report.
---------------------------------------------------------------------------
    Despite these legislative efforts, tangible progress on 
reducing improper payments remains elusive. Many agencies seem 
to still follow a ``pay-and-chase'' model for addressing 
improper payments. The agencies focus on ``getting the checks 
out the door,'' only to determine after the fact that many were 
improper. This determination sparks a laborious and sometimes 
costly process to recoup such payments. GAO believes one key to 
curbing improper payments is to prevent them from being made in 
the first place. In GAO's words: ``[S]trong preventive controls 
can serve as the frontline defense against improper 
payments.''\12\ One such control is ``up-front eligibility 
validation through data sharing.''\13\ Agencies need access to 
the broadest, most accurate databases available, and they need 
to systematically leverage this information to ensure their 
payments are accurate and going to the correct persons or 
entities. GAO has also provided agencies with numerous program-
specific recommendations over the years for bolstering internal 
controls to reduce improper payments. Nevertheless, agencies 
are not obligated to act on these recommendations. GAO has made 
nearly 130 recommendations over the past five years that the 
various agencies have not fully acted upon.
---------------------------------------------------------------------------
    \12\Government Accountability Office, GAO-16-92T, 28.
    \13\Government Accountability Office, GAO-16-92T, 28.
---------------------------------------------------------------------------

           Reducing Improper Payments: `50 Percent within 5'

    As discussed above, the legislative initiatives in recent 
years have produced little progress in reducing improper 
payments; the majority of government agencies are not even in 
compliance with the requirements of current law. Similarly, GAO 
has produced a plethora of good, program-specific 
recommendations to promote more efficient financial management. 
However, many agencies have failed to institute them in their 
operations.
    To make agencies become better stewards of taxpayer 
dollars, this budget resolution proposes the establishment of 
an independent commission by year end to find tangible 
solutions to reduce government-wide improper payments. This new 
commission would be charged with finding ways to tangibly 
reduce government-wide improper payments by 50 percent within 
the next five years. This timeframe recognizes that this 
problem is complex and there is not one silver-bullet solution 
that could be implemented overnight. Rather, the commission 
should methodically solicit input from experts within 
government, such as GAO, and the private sector to determine 
the best ways to tackle improper payments. In testimony last 
year before the House Budget Committee, OMB Director Mulvaney 
affirmed this level of improper payment reduction was 
attainable. Speaking about reducing government-wide improper 
payments, Director Mulvaney said it was ``reasonable . . . to 
go as high as 40 or 50 percent in that. I think that's a goal 
that you should shoot for.''\14\
---------------------------------------------------------------------------
    \14\The President's Fiscal Year 2018 Budget, before the House Comm. 
on the Budget, 115th Cong. (2017) (statement of the Honorable Mick 
Mulvaney, Director, Office of Management and Budget).
---------------------------------------------------------------------------
    No matter how useful the solutions, it will be incumbent 
upon the agencies to implement them. Additionally, the 
commission should be required to develop a tighter system of 
agency oversight to ensure agencies comply with commission 
recommendations and are achieving the reduction goal over time. 
This could include penalties and funding reductions for 
agencies that fail to meet the established target.
    Reducing government-wide improper payments is no easy task. 
It will take innovative and comprehensive solutions and an 
incentive structure to make sure agencies act upon them. 
Nevertheless, even reducing improper payments by half would 
save the government, and taxpayers, hundreds of billions of 
dollars over the budget window.

                THE PRESIDENT'S BUDGET: A BRIEF SUMMARY

                              ----------                              


SUMMARY AND MAJOR COMPONENTS OF THE PRESIDENT'S FISCAL YEAR 2019 BUDGET 
                               REQUEST\1\
---------------------------------------------------------------------------

    \1\Office of Management and Budget, the White House, Efficient, 
Effective, Accountable: An American Budget, President's Fiscal Year 
2019 Budget Request to Congress, February 2018, https://
www.whitehouse.gov/wp-content/uploads/2018/02/budget-fy2019.pdf.
---------------------------------------------------------------------------
    Positive Fiscal Trajectory. President Trump's budget does 
not balance within the 10-year period. In 2028, the deficit is 
lowered to $363 billion, or 1.1 percent of gross domestic 
product (GDP). Debt held by the public is reduced from 78.8 
percent of GDP this year to 72.6 percent of GDP by the end of 
the decade.
    Defense and Non-Defense Discretionary. The President's 
budget calls for funding base defense discretionary spending at 
$647 billion in fiscal year 2019, which is equivalent to the 
cap in the Bipartisan Budget Act of 2018. The request for non-
defense discretionary spending is $540 billion, which is $57 
billion below the $597 billion cap set in the Bipartisan Budget 
Act of 2018.\2\ Defense grows to $790 billion in fiscal year 
2028, while non-defense discretionary declines to $370 billion 
that fiscal year. For the Global War on Terrorism (GWOT) 
(``overseas contingency operations'' in the Administration's 
terms), the President's budget calls for a total of $69 billion 
(all for defense) in fiscal year 2019. The request proposes to 
phase down GWOT to $12 billion by fiscal year 2028.
---------------------------------------------------------------------------
    \2\Bipartisan Budget Act of 2018, Pub. L. No. 115-123, 132 Stat. 64 
(2018).
---------------------------------------------------------------------------
    Mandatory Savings. The Administration's request achieves a 
net of $1.8 trillion in 10-year savings from mandatory spending 
proposals, including major program reforms summarized below.
    Major Program Reforms. Key program reforms and their 10-
year budget effects include the following:

   Assumes repeal and replace of Obamacare with a two-
step process based on enactment of Graham-Cassidy\3\ (savings 
of $675 billion).
---------------------------------------------------------------------------
    \3\S. Amdt. 1030 to American Health Care Act of 2017, H.R. 1628, 
115th Cong. (2017).
---------------------------------------------------------------------------
   Proposes structural reform to Medicaid, greater 
state flexibility, and an emphasis on rooting out waste, fraud, 
and abuse (savings of $1.44 trillion).
   Responds to the opioid crisis by dedicating 
approximately $20 billion over the next two fiscal years 
through targeted initiatives at the U.S. Department of Health 
and Human Services.
   Reforms the medical liability system (savings of $52 
billion).
   Proposes new strategies to address high drug prices 
by making changes to the payment structures of Medicare Parts B 
and D, including adjusting true out-of-pocket (TrOOP) 
calculations to properly account for Part D rebates (savings of 
$5 billion).
   Reforms the Medicare payment structure, consolidates 
the Graduate Medical Education (GME) programs, and adopts other 
reductions for programs with distortionary payment incentives 
(savings of $266 billion).
   Addresses fraud and abuse in the Medicare program by 
improving: prescription drug reporting, payment accuracy, the 
provider enrollment process, and Medicare's authority to remove 
fraudulent and abusive providers from the program (savings of 
$915 million).
   Reforms the welfare system (savings of $263 
billion).
   Reforms federal student loans (savings of $203 
billion).
   Reforms disability programs (savings of $72 
billion).
   Reforms entitlement benefits for federal employees 
(savings of $152 billion).
   Limits Farm Bill subsidies and makes other 
agricultural reforms (savings of $58 billon).
   Reduces improper payments government-wide (savings 
of $151 billion).
   Provides $200 billion in new federal transportation 
and infrastructure spending to spur a total of $1.5 trillion-
worth of public and private sector infrastructure investments.

    Revenues. The President's budget, as part of its baseline, 
assumes that individual and estate tax provisions of the 
recently enacted Tax Cuts and Jobs Act are permanently extended 
rather than allowed to expire after tax year 2025, as scheduled 
under the new law. The Office of Management and Budget (OMB) 
estimates that this extension of expiring tax provisions 
assumption increases deficits by $109 billion in fiscal year 
2026, $224 billion in fiscal year 2027, and $236 billion in 
fiscal year 2028 for a total deficit increase of $569 billion 
over 10 years.
    Economic Assumptions. Over the fiscal year 2019-2028 
period, the Trump Administration projects real GDP growth to 
average 3.0 percent annually, based mainly on the recently-
enacted tax reform plan as well as the President's proposed 
regulatory reforms and infrastructure spending plan. That is 
consistent with the long-term historical growth rate of the 
U.S., which averages slightly above 3.0 percent per year. By 
comparison, the Congressional Budget Office's (CBO) last 
economic forecast from April projected annual average GDP 
growth of just 1.8 percent. The Administration projects real 
GDP to rise, on a year-over-year basis, by 3.0 percent in 2018, 
3.2 percent in 2019 and 3.1 percent in 2020.
        The Administration expects economic growth to remain at 
        3.0 percent for much of the medium-term years before 
        ratcheting back to 2.8 percent growth by the end of the 
        budget window. CBO's economic forecast from April ended 
        the budget window with real GDP growth at just 1.8 
        percent. Other economic assumptions in the 
        Administration's budget include:

   The unemployment rate declines to 3.9 percent in 
2018 and reaches a low of 3.7 percent in 2019. Subsequently, 
the unemployment rate rises back up to 4.8 percent by the end 
of the budget window.
   Inflation, as measured by the consumer price index 
(CPI), remains moderate over the budget window. Growth in the 
CPI falls from 2.1 percent in 2018 to 2.0 percent in 2019. 
Thereafter, the rate of inflation rises slightly to 2.3 percent 
for the rest of the 10-year period.
   Interest rates on 10-year Treasury notes increase 
from 2.6 percent in 2018 to 3.7 percent in the medium-term 
years, before ticking back down to 3.6 percent in the later 
years of the budget window.

    Macroeconomic Feedback. The President's budget assumes $813 
billion in deficit reduction over 10 years from the boost to 
economic growth resulting from the recently-enacted tax cuts 
and the Administration's proposals on regulatory reform and 
infrastructure spending.
    Interest Savings. The budget assumes $319 billion in 
savings on net interest over 10 years.

                                                                     TABLE 9.--SUMMARY OF FISCAL YEAR 2019 BUDGET RESOLUTION
                                                                                    [As a percentage of GDP]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                                                       Average
                                                       2019         2020         2021         2022         2023         2024         2025         2026         2027         2028      2019--2028
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Deficit(+)/Surplus(-):
    Committee Recommendation.....................        +3.7%        +3.3%        +3.1%        +2.9%        +2.4%        +1.7%        +1.2%        +0.5%        -0.1%        -0.4%        +1.8%
    CBO..........................................        +4.6%        +4.6%        +4.9%        +5.4%        +5.2%        +4.9%        +5.1%        +4.8%        +4.6%        +5.1%        +4.9%
    President's Budget...........................        +4.7%        +4.5%        +3.9%        +3.5%        +3.0%        +2.5%        +2.1%        +1.7%        +1.4%        +1.1%        +2.8%
Debt Held by the Public:
    Committee Recommendation.....................        78.2%        78.4%        78.3%        78.0%        76.9%        75.2%        72.9%        70.3%        67.3%        64.0%          n.a
    CBO..........................................        79.3%        80.9%        83.0%        85.6%        87.8%        89.6%        91.5%        93.1%        94.5%        96.2%          n.a
    President's Budget...........................        80.3%        81.3%        81.7%        81.9%        81.3%        79.9%        78.4%        76.6%        74.6%        72.6%          n.a
Outlays:
    Committee Recommendation.....................        20.3%        20.0%        19.8%        19.8%        19.5%        19.1%        18.7%        18.5%        18.2%        17.9%        19.2%
    CBO..........................................        21.1%        21.3%        21.6%        22.3%        22.4%        22.2%        22.6%        22.9%        23.1%        23.7%        22.3%
    President's Budget...........................        21.0%        20.8%        20.5%        20.3%        20.2%        19.9%        19.6%        19.4%        19.2%        19.0%        20.0%
Revenues:
    Committee Recommendation.....................        16.5%        16.6%        16.5%        16.6%        16.7%        16.7%        16.7%        17.1%        17.3%        17.2%        16.8%
    CBO..........................................        16.5%        16.7%        16.7%        16.9%        17.2%        17.4%        17.5%        18.1%        18.5%        18.5%        17.4%
    President's Budget...........................        16.3%        16.4%        16.5%        16.8%        17.1%        17.4%        17.5%        17.6%        17.7%        17.8%        17.1%
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


                                                            TABLE 10.--FISCAL YEAR 2019 BUDGET RESOLUTION VS. THE PRESIDENT'S BUDGET
                                                                                    [In millions of dollars]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                     2019        2020        2021        2022        2023        2024        2025        2026        2027        2028      2019-2023   2019-2028
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                               FISCAL YEAR 2019 BUDGET RESOLUTION
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Total Spending:
    BA..........................................   4,397,738   4,471,914   4,614,675   4,793,311   4,983,642   5,134,363   5,260,959   5,448,523   5,629,406   5,760,730  23,261,280  50,495,262
    OT..........................................   4,292,575   4,435,607   4,590,374   4,790,658   4,955,040   5,087,746   5,224,407   5,418,108   5,593,121   5,757,798  23,064,255  50,145,436
On-Budget:
    BA..........................................   3,478,974   3,488,774   3,563,231   3,669,991   3,783,347   3,856,688   3,899,811   4,005,410   4,094,293   4,125,676  17,984,316  37,966,194
    OT..........................................   3,379,438   3,458,307   3,545,070   3,673,780   3,761,485   3,817,215   3,870,702   3,982,738   4,066,253   4,131,191  17,818,080  37,686,179
Off-Budget:
    BA..........................................     918,764     983,140   1,051,444   1,123,320   1,200,296   1,277,674   1,361,149   1,443,113   1,535,113   1,635,054   5,276,964  12,529,067
    OT..........................................     913,137     977,301   1,045,304   1,116,878   1,193,555   1,270,531   1,353,706   1,435,370   1,526,868   1,626,607   5,246,175  12,459,257
Revenues:
    Total.......................................   3,489,690   3,677,652   3,826,597   4,012,070   4,227,744   4,444,106   4,662,760   5,001,622   5,299,271   5,520,231  19,233,753  44,161,743
    On-Budget...................................   2,590,496   2,736,347   2,845,396   2,990,130   3,164,364   3,338,062   3,513,201   3,807,248   4,058,110   4,229,859  14,326,733  33,273,213
    Off-Budget..................................     899,194     941,305     981,201   1,021,940   1,063,380   1,106,044   1,149,559   1,194,374   1,241,161   1,290,372   4,907,020  10,888,530
Surplus/Deficit(-):
    Total.......................................    -792,885    -737,955    -713,777    -698,588    -597,296    -463,640    -331,647    -146,486      26,150     142,433  -3,540,502  -4,313,693
        Macroeconomic Fiscal Impact.............      10,000      20,000      50,000      80,000     130,000     180,000     230,000     270,000     320,000     380,000     290,000   1,670,000
        On-Budget...............................    -788,942    -721,960    -699,674    -683,650    -597,121    -479,153    -357,501    -175,490      -8,143      98,668  -3,491,347  -4,412,966
        Off-Budget..............................     -13,943     -35,996     -64,103     -94,938    -130,175    -164,487    -204,147    -240,996    -285,707    -336,235    -339,155  -1,570,727
Debt Held by the Public (end of year)...........  16,568,177  17,363,858  18,125,630  18,869,457  19,512,838  20,026,824  20,412,479  20,614,633  20,645,322  20,560,545         n.a         n.a
Debt Subject to Limit (end of year).............  22,356,469  23,216,315  24,010,615  24,735,181  25,350,001  25,832,181  26,124,404  26,275,988  26,109,909  25,750,525         n.a         n.a
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                             PRESIDENT'S FY2019 BUDGET AS SUBMITTED
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Total Spending:
    BA..........................................   4,571,219   4,577,602   4,753,250   4,955,566   5,203,588   5,385,021   5,578,252   5,813,695   6,033,414   6,246,217  24,061,225  53,117,824
    OT..........................................   4,406,696   4,595,882   4,754,116   4,940,801   5,160,205   5,347,590   5,525,506   5,748,498   5,955,292   6,180,896  23,857,700  52,615,482
On-Budget:
    BA..........................................   3,651,453   3,598,951   3,712,088   3,845,597   4,021,984   4,127,302   4,242,803   4,404,459   4,543,690   4,667,522  18,830,073  40,815,849
    OT..........................................   3,494,104   3,623,395   3,718,725   3,837,582   3,985,470   4,096,927   4,197,082   4,345,643   4,472,561   4,609,451  18,659,276  40,380,940
Off-Budget:
    BA..........................................     919,766     978,651   1,041,162   1,109,969   1,181,604   1,257,719   1,335,449   1,409,236   1,489,724   1,578,695   5,231,152  12,301,975
    OT..........................................     912,592     972,487   1,035,391   1,103,219   1,174,735   1,250,663   1,328,424   1,402,855   1,482,731   1,571,445   5,198,424  12,234,542
Revenues:
    Total.......................................   3,422,301   3,608,933   3,838,197   4,088,682   4,386,112   4,675,469   4,946,304   5,231,122   5,505,604   5,817,523  19,344,225  45,520,247
    On-Budget...................................   2,517,119   2,667,564   2,843,773   3,039,832   3,283,554   3,511,386   3,720,242   3,935,346   4,144,666   4,375,785  14,351,842  34,039,267
    Off-Budget..................................     905,182     941,369     994,424   1,048,850   1,102,558   1,164,083   1,226,062   1,295,776   1,360,938   1,441,738   4,992,383  11,480,980
Surplus/Deficit(-):
    Total.......................................    -984,395    -986,949    -915,919    -852,119    -774,093    -672,121    -579,202    -517,376    -449,688    -363,373  -4,513,475  -7,095,235
    On-Budget...................................    -976,985    -955,831    -874,952    -797,750    -701,916    -585,541    -476,840    -410,297    -327,895    -233,666  -4,307,434  -6,341,673
    Off-Budget..................................      -7,410     -31,118     -40,967     -54,369     -72,177     -86,580    -102,362    -107,079    -121,793    -129,707    -206,041    -753,562
Debt Held by the Public (end of year)...........  16,871,686  17,946,769  18,950,464  19,946,264  20,808,624  21,495,297  22,136,999  22,703,266  23,193,983  23,683,606         n.a         n.a
Debt Subject to Limit (end of year).............  22,709,436  23,910,316  25,031,614  26,094,376  27,047,571  27,855,876  28,554,999  29,175,337  29,613,244  29,966,293         n.a         n.a
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                           DIFFERENCE
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Total Spending:
    BA..........................................    -173,481    -105,688    -138,575    -162,255    -219,946    -250,659    -317,293    -365,172    -404,008    -485,487    -799,945  -2,622,563
    OT..........................................    -114,121    -160,275    -163,742    -150,143    -205,165    -259,844    -301,099    -330,390    -362,171    -423,098    -793,445  -2,470,047
On-Budget:
    BA..........................................    -172,479    -110,177    -148,857    -175,606    -238,637    -270,614    -342,992    -399,049    -449,397    -541,846    -845,756  -2,849,655
    OT..........................................    -114,666    -165,088    -173,655    -163,802    -223,984    -279,712    -326,380    -362,905    -406,308    -478,260    -841,196  -2,694,762
Off-Budget:
    BA..........................................      -1,002       4,489      10,282      13,351      18,692      19,955      25,700      33,877      45,389      56,359      45,812     227,092
    OT..........................................         545       4,814       9,913      13,659      18,820      19,868      25,282      32,515      44,137      55,162      47,751     224,715
Revenues:
    Total.......................................      67,389      68,719     -11,600     -76,612    -158,368    -231,363    -283,544    -229,500    -206,333    -297,292    -110,472  -1,358,504
    On-Budget...................................      73,377      68,783       1,623     -49,702    -119,190    -173,324    -207,041    -128,098     -86,556    -145,926     -25,109    -766,054
    Off-Budget..................................      -5,988         -64     -13,223     -26,910     -39,178     -58,039     -76,503    -101,402    -119,777    -151,366     -85,363    -592,450
Surplus/Deficit(-):
    Total.......................................     191,510     248,994     202,142     153,531     176,797     208,481     247,555     370,890     475,838     505,806     972,973   2,781,543
        Macroeconomic Fiscal Impact.............      10,000      20,000      50,000      80,000     130,000     180,000     230,000     270,000     320,000     380,000     290,000   1,670,000
        On-Budget...............................     188,043     233,871     175,278     114,100     104,794     106,388     119,339     234,807     319,752     332,335     816,087   1,928,708
        Off-Budget..............................      -6,533      -4,878     -23,136     -40,569     -57,998     -77,907    -101,785    -133,917    -163,914    -206,528    -133,114    -817,165
Debt Held by the Public (end of year)...........    -303,509    -582,911    -824,834  -1,076,808  -1,295,786  -1,468,473  -1,724,519  -2,088,633  -2,548,661  -3,123,061         n.a         n.a
Debt Subject to Limit (end of year).............    -352,967    -694,001  -1,020,999  -1,359,195  -1,697,570  -2,023,695  -2,430,595  -2,899,350  -3,503,335  -4,215,768         n.a         n.a
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------


                     SECTION-BY-SECTION DESCRIPTION

                              ----------                              


    The concurrent resolution on the budget for fiscal year 
2019 establishes an overall budgetary framework. As required 
under the Congressional Budget Act of 1974 (the Budget Act), 
this framework includes aggregate levels of new budget 
authority, outlays, revenues, the amount by which revenues 
should be changed, the surplus or deficit, new budget authority 
and outlays for each major functional category, debt held by 
the public, and debt subject to the statutory limit. This 
resolution also sets appropriate budgetary levels for fiscal 
years 2020 through 2028.
    This resolution provides reconciliation instructions to 11 
authorizing committees to achieve specified amounts of deficit 
reduction. It is envisioned that the reconciliation process 
will be used to reduce the deficit by $302 billion over 10 
years. It includes rulemaking provisions necessary to enforce 
the budget resolution, procedures for adjusting the budget 
resolution, provisions to accommodate legislation not assumed 
in the budget resolution, and certain policy assumptions 
underlying the budget resolution.
Section 1. Concurrent Resolution on the Budget for Fiscal Year 2019.
    Subsection (a) establishes the budgetary levels for fiscal 
year 2019 and each of the nine ensuing fiscal years, 2020 
through 2028. Section 301(a) of the Budget Act stipulates that 
the budget resolution establish budgetary levels for the fiscal 
year for which such resolution is adopted and for at least each 
of the four ensuing fiscal years.
    The report also provides an allocation of discretionary 
budget authority and outlays, as required under section 302(a) 
of the Budget Act, to the Committee on Appropriations. The 
Committee on Appropriations, in turn, suballocates this 
allocation among its 12 subcommittees, known as the 302(b) 
suballocations. These 302(b) suballocations serve as limits on 
the amount that can be appropriated for various programs, 
projects, and activities within the jurisdiction of each 
subcommittee.
    This report also provides allocations of mandatory spending 
(also referred to as direct spending) to each of the 
authorizing committees with jurisdiction over entitlements and 
other forms of mandatory spending. In addition to an allocation 
for fiscal year 2019, the authorizing committees receive a 
spending allocation over the 10-fiscal-year period. Under 
section 302(f) of the Budget Act, authorizing committees may 
not spend more than the allocation for the budget year or over 
the 10-fiscal-year period.
    Subsection (b) sets out the table of contents of the 
resolution.

                TITLE I--RECOMMENDED LEVELS AND AMOUNTS

Section 101. Recommended Levels and Amounts.
    Section 101, as required by section 301 of the Budget Act, 
establishes the recommended levels for revenue, the amount by 
which revenue should be changed, total new budget authority, 
total budget outlays, surpluses or deficits, debt subject to 
the statutory limit (the budget resolution does not change the 
actual debt limit), and debt held by the public.
    While the revenue level operates as a floor against which 
all revenue legislation is measured, the recommended levels of 
new budget authority and budget outlays serve as a ceiling for 
spending legislation. The surplus or deficit levels include 
only on-budget outlays and revenue and do not include most 
outlays and receipts related to the Social Security program and 
United States Postal Service (both of these accounts are 
statutorily off-budget).
    Debt subject to the statutory limit generally refers to 
gross Federal debt issued by the Treasury Department to the 
public or another government fund or account. Debt held by the 
public is the amount of debt issued and held by entities or 
individuals other than the U.S. Government.
Section 102. Major Functional Categories.
    Section 102, as required by section 301(a) of the Budget 
Act, establishes the budgetary levels for each major functional 
category for fiscal year 2019 and establishes these levels for 
each of fiscal years 2020 through 2028.
    These major functional categories are the following:

    050 National Defense
    150 International Affairs
    250 General Science, Space, and Technology
    270 Energy
    300 Natural Resources and Environment
    350 Agriculture
    370 Commerce and Housing Credit
    400 Transportation
    450 Community and Regional Development
    500 Education, Training, Employment, and Social Services
    550 Health
    570 Medicare
    600 Income Security
    650 Social Security
    700 Veterans Benefits and Services
    750 Administration of Justice
    800 General Government
    900 Net Interest
    920 Allowances
    930 Government-Wide Savings
    950 Undistributed Offsetting Receipts
    970 Overseas Contingency Operations/Global War on Terrorism

              TITLE II--RECONCILIATION AND RELATED MATTERS

Section 201. Reconciliation in the House of Representatives.
    Section 201 sets forth reconciliation instructions to 11 
authorizing committees in the House of Representatives. These 
instructions are optional under section 301(b) of the Budget 
Act.
    Subsection (a) specifies a deadline of September 14, 2018, 
for the instructed authorizing committees to submit 
reconciliation legislation to the Committee on the Budget.
    Subsection (b) sets forth reconciliation instructions to 11 
authorizing committees, pursuant to section 310 of the Budget 
Act, to achieve specified amounts of net deficit reduction. The 
instructed committees have jurisdiction over direct spending or 
mandatory programs for which savings are assumed in the budget 
resolution. The instructed committees and the amount of 
reconciled savings are as follows:

Committee on Agriculture
     $1,000,000,000
Committee on Armed Services
     $1,000,000,000
Committee on Education and the Workforce
     $20,000,000,000
Committee on Energy and Commerce
    $20,000,000,000
Committee on Financial Services
     $24,000,000,000
Committee on Homeland Security
     $3,000,000,000
Committee on the Judiciary
    . $45,000,000,000
Committee on Natural Resources
    . $5,000,000,000
Committee on Oversight and Government Reform
     $32,000,000,000
Committee on Veterans' Affairs
     $1,000,000,000
Committee on Ways and Means
     $150,000,000,000

    This budget resolution follows the convention of not 
reconciling Senate committees and assumes that the instructions 
to Senate authorizing committees will also be incorporated in 
any final budget agreement.
    The reconciled amounts act as a floor, not a ceiling, on 
the required savings for each committee. The targets are for 
the total of the 10-fiscal-year period of fiscal years 2019 
through 2028.
    A central tenet of the reconciliation process is that the 
authorizing committees determine their own policies as long as 
they meet their reconciliation target. As such, the reconciled 
amounts may be based on policy assumptions in the budget 
resolution, but the authorizing committees can meet them with 
any combination of policies within their jurisdiction that 
achieve the required level of deficit reduction.
    All reconciled committees are required to markup 
legislation that meets its reconciliation target and submit 
legislation to the Committee on the Budget.
    Other than submitting their legislation to the Committee on 
the Budget, the authorizing committees are expected to follow 
regular order in complying with House and Committee rules 
related to markup procedures and reporting requirements.
    The Committee on the Budget will then combine all of the 
submissions and report the combined bill to the House without 
substantive revision.

     TITLE III--BUDGET ENFORCEMENT IN THE HOUSE OF REPRESENTATIVES

Section 301. Point of Order Against Increasing Long-Term Direct 
        Spending.
    Subsection (a) establishes a point of order against the 
consideration of any measure other than an appropriation 
measure, or amendment thereto or conference report thereon, 
that increases net direct spending by $5 billion over the long-
term.
    Subsection (b) requires the Congressional Budget Office 
(CBO), to the extent practicable, to prepare an estimate of 
whether a measure would cause a net increase in direct spending 
in excess of $5 billion over the long-term. The applicable 
periods for this section are any of the four consecutive 10-
fiscal year periods beginning with the first fiscal year that 
is 10 fiscal years after the current fiscal year.
    Subsection (c) states that application of this section in 
the House shall not apply to any measure for which the Chair of 
the Committee on the Budget adjusts the allocations, 
aggregates, or other budgetary levels in this concurrent 
resolution.Subsection (d) affirms the authority of the Chair of 
the Committee on the Budget to determine the estimates that are 
used to enforce this section. As a practical matter, the 
Committee on the Budget uses the estimates provided by CBO.
Section 302. Allocation for Overseas Contingency Operations/Global War 
        on Terrorism.
    Subsection (a) provides the Committee on Appropriations 
with a separate allocation for the purposes of Overseas 
Contingency Operations (OCO)/Global War on Terrorism (GWOT) 
under section 302(a) of the Budget Act, which is included in 
the 302(a) allocation tables in this report. It exempts the 
OCO/GWOT allocation from certain display requirements that 
apply to the overall 302(a) allocation to the Committee on 
Appropriations.
    Subsection (b) stipulates that this separate 302(a) 
allocation is the exclusive allocation for OCO/GWOT under 
section 302(b) of the Budget Act and permits the Committee on 
Appropriations to provide suballocations to its subcommittees 
as it does for its overall 302(a) allocation under section 
302(b) of the Budget Act.
    Subsection (c) stipulates that, for purposes of enforcing 
this separate allocation under section 302(f) of the Budget 
Act, the ``first fiscal year'' and the ``total of fiscal 
years'' refer to fiscal year 2019 only. It also effectively 
exempts the OCO/GWOT allocation from the requirement that the 
Committee on Appropriations must suballocate this separate 
allocation among its relevant subcommittees.
    Subsection (d) provides that only appropriations designated 
for OCO/GWOT under the statutory spending limits will be 
counted against the separate OCO/GWOT 302(a) allocation.
    Subsection (e) ensures that the budget resolution levels 
are not inadvertently adjusted for any OCO/GWOT appropriations, 
because these appropriations are already accommodated in the 
separate 302(a) allocation for OCO/GWOT. It specifically 
provides that no adjustment will be made under section 314(a) 
of the Budget Act if an adjustment would be made under section 
251(b)(2)(A)(ii) of the Balanced Budget and Emergency Deficit 
Control Act of 1985 (Deficit Control Act of 1985).
    Subsection (f) authorizes the Chair of the Committee on the 
Budget to adjust the appropriate budgetary levels related to 
OCO/GWOT in this budget resolution or the Committee on 
Appropriations' 302(a) allocation set forth in this report as 
necessary.
Section 303. Limitation on Changes in Certain Mandatory Programs.
    Section 303 reinforces the enforcement of the Committee on 
Appropriations' 302(a) and (b) allocations by limiting the 
amount Congress can use illusory savings to meet the overall 
limit on the discretionary spending.
    Subsection (a) defines the term ``change in mandatory 
programs'' as a provision that: (1) would have been estimated 
as affecting direct spending or receipts under section 252 of 
the Deficit Control Act of 1985 (as in effect prior to 
September 30, 2002) if such provision were included in 
legislation other than appropriations acts; and (2) results in 
a net decrease in budget authority in the budget year but does 
not result in a net decrease in outlays over the period of the 
current year, budget year, and all fiscal years covered under 
the most recently agreed to budget resolution.
    Subsection (b) establishes a point of order against any 
provision in a bill or joint resolution, or amendment thereto 
or conference report thereon, making appropriations for a full 
fiscal year that proposes a change in mandatory programs that, 
if enacted, would cause the absolute value of all such changes 
in mandatory programs enacted in relation to a full fiscal year 
to be more than the amount specified under this section. The 
amounts under this subsection are as follows:

      Fiscal Year 2019: $17,000,000,000
      Fiscal Year 2020: $15,000,000,000

    Subsection (c) stipulates that, for purposes of this 
section, budgetary levels shall be determined on the basis of 
estimates provided by the Chair of the Committee on the Budget.
Section 304. Limitation on Advance Appropriations.
    Section 304 establishes a limit on advance appropriations, 
defined as budget authority that first becomes effective in 
fiscal year 2020.Subsection (a) establishes a general rule that 
prohibits the consideration of any general appropriation bill 
or bill or joint resolution continuing appropriations, or 
amendment thereto or conference report thereon, from making 
advance appropriations unless included on a list of exceptions 
in the report or joint statement of managers, as applicable, 
accompanying the budget resolution.
    Subsection (b) provides exceptions to the general rule for 
two separate lists of accounts included in this report, one for 
miscellaneous accounts identified under the heading ``Accounts 
Identified for Advance Appropriations'' and one for veterans 
accounts under the heading ``Veterans Accounts Identified for 
Advance Appropriations.''
    Subsection (c) sets an overall limit on miscellaneous 
accounts of $29,014,001,000 and a limit on veterans accounts of 
$75,550,600,000 on allowable advance appropriations.
    Subsection (d) defines an ``advance appropriation'' as any 
new discretionary budget authority provided in a general 
appropriation bill or bill or joint resolution continuing 
appropriations for fiscal year 2019, or any amendment thereto 
or conference report thereon, that first becomes available for 
the first fiscal year following fiscal year 2019.
Section 305. Estimates of Debt Service Costs.
    Section 305 authorizes the Chair of the Committee on the 
Budget to direct the Congressional Budget Office (CBO) to 
include an estimate of debt service costs (if any) resulting 
from carrying out legislation in any estimate prepared pursuant 
to section 402 of the Budget Act. These estimates are advisory; 
they will not be used to determine whether a measure complies 
with the limits established in the budget resolution and other 
budget rules. This requirement is not intended to apply to 
authorizations of discretionary programs or to appropriation 
bills but is intended to apply to changes in the authorization 
level of appropriated entitlements.
    The Chair intends to request such estimates for measures 
with a significant budgetary impact that would have a 
noticeable effect on debt service costs.
Section 306. Fair-Value Credit Estimates.
    Subsection (a) directs CBO to include a supplemental fair-
value estimate in its cost estimate for any legislation 
modifying or establishing a loan or loan guarantee program.
    Subsection (b) requires CBO to include estimates of loan 
and loan guarantee programs on a fair-value and credit reform 
basis in its Budget and Economic Outlook to the extent 
practicable.
    Subsection (c) permits the Chair of the Committee on the 
Budget to use the supplemental fair-value estimates provided 
pursuant to subsection (a) in determining whether legislation 
complies with the Budget Act and other budget rules.
Section 307. Adjustments for Improved Control of Budgetary Resources.
    Section 307 is intended to provide an incentive to subject 
existing mandatory programs to annual appropriations. It would 
effectively hold the Committee on Appropriations harmless for 
any such conversion and prevent the applicable authorizing 
committee from using savings that could otherwise be used to 
offset other increases in mandatory spending.
    Subsection (a) permits the Chair of the Committee on the 
Budget to adjust the budget resolution to accommodate 
legislation that subjects an existing mandatory program to 
annual appropriations. The Chair would increase the 302(a) 
allocation to the Committee on Appropriations by the amount of 
the new discretionary program and reduce the 302(a) allocation 
of the authorizing committee that reported the legislation. 
These adjustments would be made upon enactment of the 
legislation.
    Subsection (b) authorizes the Chair to make the adjustments 
under subsection (a) and affirms the Chair's authority to 
determine the estimates used to execute this section.
Section 308. Limitation on Transfers from the General Fund of the 
        Treasury to the Highway Trust Fund.
    Section 308 stipulates that legislation that transfers 
funds from the general fund of the Treasury to the Highway 
Trust Fund will count as new budget authority and outlays for 
purposes of budget enforcement.
Section 309. Prohibition on Use of Guarantee Fees as an Offset.
    Section 309 changes the scoring of certain fees imposed by 
government-sponsored enterprises from counting as budgetary 
savings for purposes of budget enforcement. The rule applies to 
both the Federal National Mortgage Association (Fannie Mae) and 
the Federal Home Loan Mortgage Corporation (Freddie Mac). Under 
the rule, a committee may not offset spending and revenue 
legislation in the same or separate legislation with fee 
increases or extensions of such increases.
Section 310. Budgetary Treatment of Administrative Expenses.
    Subsection (a) provides that the administrative expenses of 
the Social Security Administration and the United States Postal 
Service are reflected in the allocation to the Committee on 
Appropriations even though both are technically off-budget. 
This language is necessary to ensure the Committee on 
Appropriations retains control over administrative expenses for 
these agencies through the annual appropriations process. This 
budgetary treatment of administrative expenses for these 
entities is based on the long-term practice of the House and 
Senate Committees on the Budget.
    Subsection (b) requires administrative expenses to be 
included in the cost estimates for the relevant appropriation 
measure, which are used to determine if a measure exceeds the 
spending limits in the budget resolution.
Section 311. Application and Effect of Changes in Allocations and 
        Aggregates.
    Subsection (a) specifies the procedure for making 
adjustments to the levels established by the budget resolution 
under five reserve funds and other special procedures in this 
resolution. It provides that the adjustments apply while the 
legislation is under consideration and take effect upon 
enactment of the legislation. The Chair of the Committee on the 
Budget must submit any adjustments to the budget resolution for 
printing in the Congressional Record.
    Subsection (b) clarifies that the adjusted levels in the 
budget are fully enforceable under the Budget Act and other 
budget rules.
    Subsection (c) stipulates that the Chair of the Committee 
on the Budget is the ultimate arbiter of the cost estimates for 
legislation used to enforce the budget resolution and budget 
rules.
    Subsection (d) clarifies that legislation for which an 
adjustment to the budget resolution is made, such as those in 
the reserve funds in Title IV, are not subject to the points of 
order set forth in clause 10 of rule XXI of the Rules of the 
House Representatives, commonly referred to as the House Cut-
As-You-Go rule, or section 301 of this concurrent resolution.
    Subsection (e) permits the Chair of the Committee on the 
Budget to adjust the appropriate levels in this concurrent 
resolution to accommodate the disposition of pending 
reconciliation legislation.
Section 312. Adjustments to Reflect Changes in Concepts and 
        Definitions.
    Section 312 authorizes the Chair of the Committee on the 
Budget to adjust the appropriate aggregates, allocations, and 
other budgetary levels of this resolution for any change in 
budgetary concepts and definitions in accordance with section 
251(b)(1) of the Deficit Control Act of 1985.
Section 313. Adjustment for Changes in the Baseline.
    Section 313 authorizes the Chair of the Committee on the 
Budget to adjust the budgetary levels in this concurrent 
resolution to reflect changes from CBO's update to its baseline 
for fiscal years 2019 to 2028.
Section 314. Exercise of Rulemaking Powers.
    Section 314 affirms the adoption of this budget resolution 
is an exercise of the rulemaking power of the House and that 
the House has the constitutional right to change these rules.

        TITLE IV--RESERVE FUNDS IN THE HOUSE OF REPRESENTATIVES

    Title IV establishes five reserve funds. Reserve funds are 
special procedures that provide the committee reporting 
specific legislation flexibility as to the timing and 
composition of offsets in a measure.
Section 401. Deficit Neutral Reserve Fund for Investments in National 
        Infrastructure.
    Section 401 permits the Chair of the Committee on the 
Budget to adjust the allocations, aggregates, and other 
appropriate levels in the budget resolution for legislation 
that invests in national infrastructure if such measure would 
not increase the deficit for the period of fiscal years 2019 
through 2028.
Section 402. Deficit Neutral Reserve Fund for Amendments to the 
        Internal Revenue Code of 1986.
    Section 402 permits the Chair of the Committee on the 
Budget to adjust the allocations, aggregates, and other 
appropriate levels in the budget resolution for legislation 
that amends the Internal Revenue Code of 1986 if such measure 
would not increase the deficit for the period of fiscal years 
2019 through 2028.
Section 403. Reserve Fund for Extending Pro-Growth Tax Policies.
    Section 403 permits the Chair of the Committee on the 
Budget to adjust the allocations, aggregates, and other 
appropriate levels in the budget resolution for legislation 
that extends the pro-growth tax policies of the Tax Cuts and 
Jobs Act (Public Law 115-97).
Section 404. Reserve Fund for the Repeal or Replacement of President 
        Obama's Health Care Laws.
    Section 404 permits the Chair of the Committee on the 
Budget to adjust the allocations, aggregates, and other 
appropriate levels in the budget resolution for legislation 
that repeals or replaces any provision of the Patient 
Protection and Affordable Care Act (Public Law 111-148) or the 
health care-related provisions of the Health Care and Education 
Reconciliation Act of 2010 (Public Law 111-152). Adjustments 
may be made for bills, joint resolutions, conference reports, 
and amendments. The amount of the adjustment is equal to the 
amount the measure increases budget authority and outlays or 
reduces revenue. The measure need not be deficit neutral to 
qualify for an adjustment under this section.
Section 405. Deficit Neutral Reserve Fund for the Clarification of 
        Presumptions of Service Connection for Veterans Who Served 
        Offshore of the Republic of Vietnam and Korea.
    Section 405 permits the Chair of the Committee on the 
Budget to adjust the allocations, aggregates, and other 
appropriate levels in the budget resolution for legislation 
that clarifies presumptions of service connection for veterans 
who served offshore of the Republic of Vietnam or Korea if such 
measure would not increase the deficit for the period of fiscal 
years 2019 through 2028.

       TITLE V--POLICY STATEMENTS IN THE HOUSE OF REPRESENTATIVES

Section 501. Policy Statement on Unauthorized Appropriations.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that the House should enact legislation establishing 
a schedule for reauthorizing all Federal programs on a 
staggered, five-year basis. Congress would be prohibited from 
funding programs above specified levels. These limits would be 
gradually reduced the longer a program remained unauthorized. 
The policy further states that this new rule would be strictly 
enforced unlike current rules relating to unauthorized 
appropriations.
Section 502. Policy Statement on Improper Payments.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that Congress should enact legislation aiming to 
reduce improper payments by half within the next five years and 
that an independent commission should be authorized to develop 
a more stringent system of agency oversight to achieve this 
goal.
Section 503. Policy Statement on Expenditures from Agency Fees and 
        Spending.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that Congress should subject all fees paid by the 
public to Federal agencies to annual appropriations or 
authorizing legislation, with a share of these proceeds 
reserved for deficit reduction.
Section 504. Policy Statement on Combating the Opioid Epidemic.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that Congress should support, using available 
budgetary resources, essential activities, including 
rehabilitation, to reduce and prevent substance abuse.
Section 505. Policy Statement on Medical Discovery, Development, 
        Delivery, and Innovation.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that the House should support the work of medical 
innovators through continued funding for the agencies that 
engage in life-saving research and development and unleash the 
power of innovation by removing obstacles that impede the 
adoption of medical technologies.
Section 506. Policy Statement on Medicaid Work Requirements.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that the House should pass legislation that: (1) 
encourages a work or service requirement for able-bodied, non-
elderly, non-pregnant adults without dependents to receive 
Medicaid; and (2) gives States flexibility to determine the 
parameters of such a requirement and perform regular case 
checks. The Government Accountability Office or Department of 
Health and Human Services Inspector General should also conduct 
annual audits of State Medicaid programs.
Section 507. Policy Statement on Medicare.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution to preserve Medicare for those in or near retirement 
and strengthen the program for future beneficiaries.
    Subsection (c) sets forth the assumptions of this 
concurrent resolution for an improved Medicare program.
Section 508. Policy Statement on Social Security.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution to ensure sustainable solvency of Social Security.
    Subsection (c) states that it is the policy of this 
concurrent resolution to reform the Disability Insurance 
program and work to address its looming insolvency before in 
occurs in 2025.
    Subsection (d) states that any legislation improving the 
solvency of the Disability Insurance Trust Fund must also 
improve the long-term solvency of the combined Old Age and 
Survivors Disability Insurance Trust Funds.
Section 509. Policy Statement on Higher Education and Workforce 
        Development Opportunity.
    Subsection (a) sets out findings on higher education.
    Subsection (b) states it is the policy of this concurrent 
resolution to promote affordability of higher education by 
targeting Federal financial aid, streamlining aid programs, and 
removing regulatory barriers.
    Subsection (c) sets out findings on workforce development.
    Subsection (d) states it is the policy of this concurrent 
resolution to improve workforce development by building upon 
the Workforce Innovation and Opportunity Act (Public Law 113-
128) by streamlining job training programs and allowing States 
to tailor programs to their constituencies.
Section 510. Policy Statement on the Judgment Fund.
    Subsection (a) sets out findings.
    Subsection (b) states it is the policy of this concurrent 
resolution that Congress should enact legislation reclaiming 
its power of the purse over the Judgment Fund.

                    THE CONGRESSIONAL BUDGET PROCESS

                              ----------                              


    The spending and revenue levels established in the budget 
resolution are implemented through two parallel but separate 
mechanisms: (1) allocations to the appropriations and 
authorizing committees and (2) when necessary, reconciliation 
instructions to authorizing committees to achieve a specified 
change in direct spending or revenue (see the section of this 
report titled: ``Reconciliation'').
    As required under Section 302(a) of the Congressional 
Budget and Impoundment Control Act of 1974 (Budget Act), the 
budget resolution's discretionary spending levels are allocated 
to the Committee on Appropriations of each chamber of Congress 
and the direct spending levels in the budget resolution are 
allocated to each House and Senate authorizing committee.\1\ 
These allocations are included in the report (or joint 
statement of managers for a conference report) accompanying the 
concurrent resolution on the budget. They are enforced through 
points of order (see the section of this report titled: 
``Enforcing Budgetary Levels'').
---------------------------------------------------------------------------
    \1\Congressional Budget and Impoundment Act of 1974, Pub. L. No. 
93-344, 88 Stat. 297 (1974).
---------------------------------------------------------------------------
    The Committee on Appropriations receives an allocation for 
the budget year only. For the authorizing committees, Section 
302 of the Budget Act requires allocations of budget authority 
be provided in the report accompanying a budget resolution for 
the fiscal year for which it is adopted and at least the four 
ensuing fiscal years. This budget resolution provides 
allocations of budget authority and outlays for fiscal year 
2019 and each of the nine ensuing fiscal years, 2020 through 
2028.

       Committee on Appropriations--302(a) and 302(b) Allocations

    302(a) Allocation. The Committee on Appropriations receives 
a lump sum of discretionary budget authority and corresponding 
outlays. It is usually included in the report accompanying a 
concurrent resolution on the budget, or joint statement of 
managers for a conference report, for the fiscal year for which 
the budget resolution is adopted. This allocation operates as a 
ceiling on the amount of discretionary budget authority that 
can be appropriated for that fiscal year. This budget 
resolution provides a 302(a) allocation to the Committee on 
Appropriations for fiscal year 2019, which commences on October 
1, 2018.
    302(b) Allocations. Once a 302(a) allocation is provided, 
the Committee on Appropriations is then required, in full 
committee, to divide the allocation among its 12 subcommittees. 
The amount each subcommittee receives constitutes its 
suballocation under Section 302(b) of the Budget Act. Each 
subcommittee's regular appropriations bill is capped at the 
level of its 302(b) suballocation, and the bill is subject to a 
point of order if it exceeds this amount. Under Section 302(c) 
of the Budget Act, appropriations acts may not be considered on 
the floor of the House of Representatives before the 302(b) 
suballocations are made.

               Authorizing Committees--302(a) Allocations

    The report accompanying the concurrent resolution on the 
budget, or the joint statement of managers for a conference 
report, allocates to each authorizing committee an amount of 
new budget authority along with the attendant outlays required 
to accommodate the direct spending within each authorizing 
committee's jurisdiction. If the budget resolution assumes 
increases in direct spending for new or expanded programs with 
no offsetting reductions in direct spending, authorizing 
committees may be allocated additional budget authority. 
Conversely, the allocation may reflect negative budget 
authority (relative to the projected current law baseline) if 
the budget resolution assumes the enactment of legislation 
reducing direct spending.
    Because the spending authority for these direct spending 
programs is multi-year or permanent, the allocations to the 
authorizing committees cover both the budget year and the 
entire period of the budget resolution. This budget resolution 
provides allocations for authorizing committees for fiscal year 
2019, commencing on October 1, 2018, and fiscal years 2020 
through 2028.
    Each authorizing committee is provided a single allocation 
of new budget authority reflective of the fiscal effects of 
expected policy action relative to current law. These 
committees are not required to file 302(b) suballocations. 
Bills first effective in fiscal year 2019 are measured against 
the level for that year included in the fiscal year 2019 budget 
resolution and also the 10-year period of fiscal years 2019 
through 2028.


    TABLE 11.--ALLOCATION OF SPENDING AUTHORITY TO HOUSE COMMITTEE ON
                             APPROPRIATIONS
                        [In millions of dollars]
------------------------------------------------------------------------
                                                                  2019
------------------------------------------------------------------------
Base Discretionary Action:
    BA.......................................................  1,244,000
    OT.......................................................  1,297,140
Global War on Terrorism:
    BA.......................................................     77,000
    OT.......................................................     38,862
Current Law Mandatory:
    BA.......................................................    955,283
    OT.......................................................    949,351
------------------------------------------------------------------------


             TABLE 12.--RESOLUTION BY AUTHORIZING COMMITTEE
               [On-budget amounts in millions of dollars]
------------------------------------------------------------------------
                                                    2019      2019-2028
------------------------------------------------------------------------
Agriculture:
  Current Law:
    BA........................................       79,138      798,019
    OT........................................       75,363      789,258
  Resolution Change:
    BA........................................       -2,296     -212,328
    OT........................................       -1,881     -210,049
                                               -------------------------
    Total:....................................
    BA........................................       76,842      585,691
    OT........................................       73,482      579,209
Armed Services:
  Current Law:
    BA........................................      168,445    1,726,658
    OT........................................      168,196    1,731,206
  Resolution Change:
    BA........................................            0            0
    OT........................................            0            0
                                               -------------------------
    Total:....................................
    BA........................................      168,445    1,726,658
    OT........................................      168,196    1,731,206
Financial Services:
  Current Law:
    BA........................................       10,945       93,416
    OT........................................        1,309      -15,600
  Resolution Change:
    BA........................................       -9,948      -97,385
    OT........................................       -9,923      -97,212
                                               -------------------------
    Total:....................................
    BA........................................          997       -3,969
    OT........................................       -8,614     -112,812
Education & Workforce:
  Current Law:
    BA........................................        5,533      101,151
    OT........................................       -1,272       60,439
  Resolution Change:
    BA........................................      -17,074     -372,332
    OT........................................       -7,601     -339,803
                                               -------------------------
    Total:....................................
    BA........................................      -11,541     -271,181
    OT........................................       -8,873     -279,364
Energy & Commerce:
  Current Law:
    BA........................................      503,196    6,933,428
    OT........................................      491,423    6,843,460
  Resolution Change:
    BA........................................      -24,572   -1,580,037
    OT........................................      -55,163   -1,579,737
                                               -------------------------
    Total:....................................
    BA........................................      478,624    5,353,391
    OT........................................      436,260    5,263,723
Foreign Affairs:
  Current Law:
    BA........................................       43,383      380,040
    OT........................................       36,211      362,848
  Resolution Change:
    BA........................................            0            0
    OT........................................            0            0
                                               -------------------------
    Total:....................................
    BA........................................       43,383      380,040
    OT........................................       36,211      362,848
Oversight & Government Reform:
  Current Law:
    BA........................................      123,611    1,424,908
    OT........................................      121,472    1,386,092
  Resolution Change:
    BA........................................      -11,600     -295,030
    OT........................................      -11,572     -294,715
                                               -------------------------
    Total:....................................
    BA........................................      112,011    1,129,878
    OT........................................      109,900    1,091,377
Homeland Security:
  Current Law:
    BA........................................        2,325       26,861
    OT........................................        2,404       27,608
  Resolution Change:
    BA........................................         -450      -31,280
    OT........................................         -213      -30,699
                                               -------------------------
    Total:....................................
    BA........................................        1,875       -4,419
    OT........................................        2,191       -3,091
House Administration:
  Current Law:
    BA........................................           23          170
    OT........................................           -4          -41
  Resolution Change:
    BA........................................            0            0
    OT........................................            0            0
                                               -------------------------
    Total:....................................
    BA........................................           23          170
    OT........................................           -4          -41
Natural Resources:
  Current Law:
    BA........................................        7,149       68,932
    OT........................................        6,286       67,606
  Resolution Change:
    BA........................................       -5,312      -61,835
    OT........................................       -3,318      -60,424
                                               -------------------------
    Total:....................................
    BA........................................        1,837        7,097
    OT........................................        2,968        7,182
Judiciary:
  Current Law:
    BA........................................       23,739      149,941
    OT........................................       16,123      160,588
  Resolution Change:
    BA........................................      -14,683      -57,439
    OT........................................       -1,972      -57,439
                                               -------------------------
    Total:....................................
    BA........................................        9,056       92,502
    OT........................................       14,151      103,149
Transportation & Infrastructure:
  Current Law:
    BA........................................       77,689      731,235
    OT........................................       17,366      180,979
  Resolution Change:
    BA........................................         -166     -125,926
    OT........................................         -112       -2,509
                                               -------------------------
    Total:....................................
    BA........................................       77,523      605,309
    OT........................................       17,254      178,470
Science, Space & Technology:
  Current Law:
    BA........................................          143        1,427
    OT........................................          126        1,383
  Resolution Change:
    BA........................................            0            0
    OT........................................            0            0
                                               -------------------------
    Total:....................................
    BA........................................          143        1,427
    OT........................................          126        1,383
Small Business:
  Current Law:
    BA........................................            0            0
    OT........................................            0            0
  Resolution Change:
    BA........................................            0            0
    OT........................................            0            0
                                               -------------------------
    Total:....................................
    BA........................................            0            0
    OT........................................            0            0
Veterans Affairs:
  Current Law:
    BA........................................        3,986      153,542
    OT........................................        5,681      156,605
  Resolution Change:
    BA........................................         -462      -58,917
    OT........................................         -462      -58,917
                                               -------------------------
    Total:....................................
    BA........................................        3,524       94,625
    OT........................................        5,219       97,688
Ways & Means:
  Current Law:
    BA........................................    1,192,661   16,896,406
    OT........................................    1,191,147   16,891,082
  Resolution Change:
    BA........................................      -41,591   -1,020,980
    OT........................................      -40,746   -1,019,702
                                               -------------------------
    Total:....................................
    BA........................................    1,151,070   15,875,426
    OT........................................    1,150,401   15,871,380
------------------------------------------------------------------------


                             RECONCILIATION

                              ----------                              


    Section 310 of the Congressional Budget Act of 1974 (Budget 
Act) sets out a special procedure for making changes in direct 
spending, revenue, or the debt limit.\1\ Under the procedure, 
called reconciliation, a concurrent resolution on the budget 
may direct one or more authorizing committee to produce 
legislation making changes in any of these three categories to 
bring their levels into compliance with the resolution's 
assumptions. To be valid, reconciliation directives must be 
included in a concurrent resolution on the budget adopted by 
both the House and the Senate.
---------------------------------------------------------------------------
    \1\Congressional Budget and Impoundment Act of 1974, Pub. L. No. 
93-344, 88 Stat. 297 (1974).
---------------------------------------------------------------------------
    In general, reconciliation directives include the budgetary 
target to be met, the time period over which such budgetary 
change should be measured, and a deadline by which the 
authorizing committee(s) must report legislation. When more 
than one authorizing committee in the House receives 
reconciliation directives, each committee considers legislation 
to comply with these directives as it would any other bill. 
However, legislative text and other materials are submitted to 
the Committee on the Budget instead of being reported directly 
to the House. The Committee on the Budget then combines the 
submissions, without substantive revision, into a single 
measure and reports it to the House. If only one authorizing 
committee receives reconciliation directives, that committee 
reports its legislation directly to the House.
    The Budget Committee's authority in this procedure is 
solely over the budgetary change each committee is to achieve. 
Nothing in the instructions predetermines, promotes, or assumes 
any specific policy change to be made under such instructions. 
The committees of jurisdiction determine what policies they 
develop to achieve their budgetary targets.
    In the House, the Committee on Rules reports a special rule 
governing the consideration of a reconciliation bill. 
Typically, the rule allows for two or three hours of general 
debate equally divided between the Majority and the Minority. 
The Committee on the Budget determines whether an authorizing 
committee has complied with its reconciliation directives and 
relies solely on the Congressional Budget Office's estimates 
when determining compliance. Under Section 310 of the Budget 
Act, authorizing committees must comply with reconciliation 
directives. If an authorizing committee fails to comply with 
its directives, the Committee on Rules may make in order 
amendments that achieve the required budgetary changes pursuant 
to Section 311(d)(5) of the Budget Act.
    A reconciliation bill is a privileged measure in the 
Senate. Distinct from most Senate bills, debate is limited to 
20 hours and requires only a simple majority to pass (51 votes) 
rather than the 60 votes otherwise required for cloture.
    In the Senate, the ``Byrd Rule'' (Section 313 of the Budget 
Act) limits the content of a reconciliation bill. Under the 
Byrd Rule, provisions that are considered ``extraneous'' can be 
stricken from the bill if a point of order is raised. The 
provision may remain, however, if 60 Senators vote to waive the 
Byrd Rule. If a point of order is raised and the rule is not 
waived, a provision found to violate the Byrd Rule is removed 
from the bill or conference report and the measure is sent back 
to the House. The House may then pass the amended bill or 
conference report, amend it and send it back to the Senate, or 
decline to consider it.
    This Concurrent Resolution on the Budget for Fiscal Year 
2019, as reported by the Committee on the Budget, provides for 
such reconciliation legislation. It instructs 11 authorizing 
committees to submit changes in law necessary to achieve a 
minimum of $302 billion in net deficit reduction over the 
period of fiscal years 2019 through 2028. Each authorizing 
committee must submit legislative text and associated material 
to the Committee on the Budget no later than September 14, 
2018.
    The specific committees receiving instructions in this 
resolution, and their minimum required net savings amounts, are 
the following:

 
------------------------------------------------------------------------
                                                     Minimum Deficit
             Authorizing Committee                 Reduction 2019-2028
------------------------------------------------------------------------
Committee on Agriculture.......................               $1 billion
Committee on Armed Services....................               $1 billion
Committee on Education and the Workforce.......              $20 billion
Committee on Energy and Commerce...............              $20 billion
Committee on Financial Services................              $24 billion
Committee on Homeland Security.................               $3 billion
Committee on the Judiciary.....................              $45 billion
Committee on Natural Resources.................               $5 billion
Committee on Oversight and Government Reform...              $32 billion
Committee on Veterans' Affairs.................               $1 billion
Committee on Ways and Means....................             $150 billion
------------------------------------------------------------------------


                       ENFORCING BUDGETARY LEVELS

                              ----------                              


    The congressional budget process contains various 
mechanisms for enforcing the concurrent resolution on the 
budget. These include provisions of the budget resolution, the 
Congressional Budget and Impoundment Control Act of 1974 
(Budget Act) (Public Law 93-344), and the Rules and Separate 
Orders of the House of Representatives.

                The Concurrent Resolution on the Budget

    The concurrent resolution on the budget establishes overall 
limits on spending and revenue. The report accompanying the 
budget resolution (or the joint statement of managers for a 
conference report) contains allocations to congressional 
committees that are binding on Congress when it considers 
subsequent spending and tax legislation. Legislation that 
breaches the levels set forth in the budget resolution is 
subject to points of order on the floor of the House of 
Representatives. The concurrent resolution on the budget is 
established pursuant to the Budget Act, which includes various 
requirements concerning its content and enforcement. In 
addition to setting targets for spending, revenue, deficits and 
debt, the budget resolution may include special procedures to 
execute and enforce congressional budgetary decisions.
    The levels established in the budget resolution are not 
self-enforcing. Members of the House must raise points of order 
against legislation that breaches the allocations and aggregate 
spending levels established in the budget resolution. If a 
point of order is sustained, the House is precluded from 
further consideration of the measure.

               Provisions of the Congressional Budget Act

    Section 302(f). Section 302(f) of the Budget Act prohibits 
the consideration of legislation that exceeds a committee's 
allocation of budget authority. For authorizing committees, 
this section applies to the first fiscal year and the period of 
fiscal years covered by the budget resolution in force. For 
appropriations bills, however, it applies only to the first 
fiscal year.
    Section 303. Section 303 prohibits the consideration of 
spending and revenue legislation before the House has passed a 
concurrent resolution on the budget for a particular fiscal 
year. Legislation that changes revenue or increases budget 
authority in the fiscal year for which a budget resolution has 
not been agreed to violates Section 303(a). Section 303(a) does 
not apply to budget authority and revenue provisions first 
effective in a year following the first fiscal year to which a 
budget resolution would apply or to appropriations bills after 
May 15.
    Section 311. Section 311 prohibits the consideration of 
legislation that would exceed the overall limits on budget 
authority and outlays or cause revenue levels to fall below the 
revenue floor established by the budget resolution. If 
legislation would cause the aggregate spending levels of budget 
authority or outlays to exceed the ceiling established for the 
first fiscal year of a budget resolution, then the legislation 
violates Section 311. Legislation also violates Section 311 if 
it would cause revenue to be lower than the revenue floor in 
the first fiscal year or the period of fiscal years covered by 
the most recently agreed to budget resolution. Section 311 does 
not apply to measures that provide budget authority but do not 
exceed a committee's 302(a) allocation.
    Section 314(f) . Section 314(f) prohibits the consideration 
of any bill, joint resolution, amendment, or conference report 
that would cause the statutory spending category limits 
established in Section 251(c) of the Balanced Budget and 
Emergency Deficit Control Act of 1985 (Public Law 99-177) (as 
adjusted by procedures set out in Section 251A of that Act) to 
be exceeded.

              Budget-Related Provisions Under House Rules

    Rule XIII, Clause 8. Rule XIII, Clause 8 requires the 
Congressional Budget Office and Joint Committee on Taxation to 
incorporate the macroeconomic effects of major legislation into 
official cost estimates used for budget enforcement and other 
rules of the House.
    Rule XXI, Clause 7. Rule XXI, Clause 7 prohibits the 
consideration of a concurrent resolution on the budget 
containing reconciliation directives (pursuant to Section 310 
of the Budget Act) that would cause a net increase in direct 
spending.
    Rule XXI, Clause 10. Rule XXI, Clause 10 prohibits the 
consideration of legislation that increases direct spending 
over the applicable six-year period or 11-year period. If such 
spending is increased in either of these periods, then it must 
be offset by corresponding reductions in direct spending. If an 
amendment offered to a measure increases direct spending in 
either of these periods, then the amendment must also reduce 
net direct spending by at least the same amount. This rule is 
commonly referred to as Cut-As-You-Go.
    Rule XXIX, Clause 4. Rule XXIX, Clause 4 specifies that the 
Chairman of the Committee on the Budget is responsible for 
providing authoritative guidance concerning the impact of a 
legislative proposition related to the levels of new budget 
authority, outlays, direct spending, and new entitlement 
authority.
    Section 3 of the Separate Orders of House Resolution 5 of 
the 115th Congress. House Resolution 5 adopted the rules from 
the 114th Congress as the Rules of the House of Representatives 
for the 115th Congress and incorporated additional provisions 
related to the budget process.
    Section 3(e) maintains the requirement, from the 112th 
,113th , and 114th Congresses, that each general appropriations 
bill include a ``spending reduction account.'' This account 
provides a recitation of the amount by which, through the 
amendment process, the House has reduced spending in other 
portions of the bill and indicates that those savings be 
counted toward spending reduction. It also provides that any 
amendment increasing spending relative to the underlying bill 
must include an offset of an equal or greater amount.
    Section 3(h) requires that the Congressional Budget Office, 
to the extent practicable, prepare an estimate of whether a 
measure would cause a net increase in direct spending in excess 
of $5 billion in any of the four consecutive 10-fiscal-year 
periods beginning with the first fiscal year occurring 10 
fiscal years after the current fiscal year. It also establishes 
a point of order against consideration of any bill or joint 
resolution reported by a committee, or any amendment or 
conference report, that causes a net increase in direct 
spending in excess of $5 billion in any of the four consecutive 
10-fiscal-year periods described above. For purposes of Section 
3(h), the levels of any net increase in direct spending shall 
be determined on the basis of estimates provided by the 
Chairman of the Committee on the Budget. This point of order 
does not apply to any bill or joint resolution, or any 
amendment or conference report, that repeals the Patient 
Protection and Affordable Care Act and Title I and Subtitle B 
of Title II of the Health Care and Education Affordability 
Reconciliation Act of 2010; reforms the Patient Protection and 
Affordable Care Act and the Health Care and Education 
Affordability Reconciliation Act of 2010; or for which the 
Chairman of the Committee on the Budget adjusts the 
allocations, levels, or limits contained in the most recently 
adopted concurrent resolution on the budget.
    Section 3(o) prohibits the consideration of any legislation 
that reduces the actuarial balance of the Federal Old-Age and 
Survivors Insurance Trust Fund unless such legislation improves 
the overall financial health of the combined Social Security 
Trust Funds.

                   STATUTORY CONTROLS OVER THE BUDGET

                              ----------                              


    Since 1985, numerous statutory budget controls have been 
superimposed over the congressional budget process through the 
enactment of, and subsequent amendments to, the Balanced Budget 
and Emergency Deficit Control Act of 1985 (Deficit Control Act) 
(Public Law 99-177). This law has been amended several times 
and generally serves as the primary vehicle for statutory 
controls over the budget.

     The Balanced Budget and Emergency Deficit Control Act of 1985

    The Deficit Control Act initially was intended to reduce 
deficits by establishing annual maximum deficit limits. These 
limits were enforced through sequestration, which entailed 
automatic spending reductions in non-exempt discretionary 
programs and a relatively small number of direct spending 
programs. If the deficit targets were exceeded, a presidential 
sequestration order would be triggered within 15 days after the 
end of a session of Congress. The sequestration process 
remained in force for laws enacted through the end of fiscal 
year 2002.

                   The Budget Enforcement Act of 1990

    The Budget Enforcement Act of 1990 (BEA 1990) (Public Law 
101-508) effectively replaced the maximum deficit limits 
originally established by the Deficit Control Act with annual 
limits on discretionary spending and controls over increases in 
the deficit. The deficit increases were calculated by adding 
together, for each fiscal year, increases in direct spending 
and reductions in revenues, and the controlling mechanism was 
termed pay-as-you-go.
    For discretionary appropriations, BEA 1990 established 
limits for three separate categories of spending: defense, 
international affairs, and domestic. These spending limits 
applied through fiscal year 1993, and then were combined into a 
single limit on all appropriations for fiscal years 1994 and 
1995.
    Under pay-as-you-go requirements, a sequester would be 
triggered if the cumulative effect of all newly enacted direct 
spending or revenue laws increased the deficit. As with the 
maximum deficit amounts before it, most spending defined as 
mandatory was exempt from any reductions. Other spending 
programs had limitations on the reductions. For example, 
spending reductions in the Medicare Program, under pay-as-you-
go, were limited to 4 percent of the program costs. (The Budget 
Control Act of 2011, discussed below, changed this limit to 2 
percent for most Medicare costs.)

             The Omnibus Budget Reconciliation Act of 1993

    The Omnibus Budget Reconciliation Act of 1993 (OBRA 1993) 
(Public Law 103-66) extended a single limit on discretionary 
spending through fiscal year 1998. Any breach of the limit 
would cause a sequestration (again, an across-the-board cut in 
all nonexempt discretionary programs). Programs under these 
spending limits were held harmless for changes in inflation, 
emergencies, estimating differences between the Office of 
Management and Budget (OMB) and the Congressional Budget Office 
(CBO), and changes in concepts and definitions. OBRA 1993 also 
extended the pay-as-you-go enforcement procedures for 
legislation enacted through fiscal year 1998.

                    The Balanced Budget Act of 1997

    As amended by OBRA 1993, the statutory limits on 
discretionary spending would have expired at the end of fiscal 
year 1998. The Balanced Budget Act of 1997 (BBA 1997) (Public 
Law 105-33) modified these limits for fiscal year 1998 and 
extended them through fiscal year 2002. Similarly, the pay-as-
you-go requirements were extended for legislation enacted 
through the end of fiscal year 2002. Although sequestration 
remained in effect through fiscal year 2002, it was turned off 
by Public Law 107-312, a bill ``to reduce preexisting PAYGO 
balances,'' enacted December 2, 2002.
    BBA 1997 also made numerous technical changes in both the 
congressional budget process and sequestration procedures that 
enforce the discretionary spending limits and pay-as-you-go 
requirements.BBA 1997 established separate limits on defense 
and non-defense discretionary spending for fiscal years 1998 
and 1999. These limits were combined into a single limit on 
discretionary spending in fiscal years 2000, 2001, and 2002. 
The separate discretionary spending limits were designed to 
prevent Congress and the President from shifting resources from 
one category to another.
    BBA 1997 repealed automatic adjustments in the spending 
limits for changes in inflation and estimating differences 
between OMB and CBO on budget outlays. It retained adjustments 
for emergencies, estimating differences in budget authority, 
and continuing disability reviews; it added adjustments for the 
International Monetary Fund, international arrearages, and an 
Earned Income Tax Credit compliance initiative. The adjustments 
are made in the President's final sequestration report issued 
15 days after the end of a session of Congress. Separate limits 
were subsequently enacted for certain transportation and 
conservation spending programs. While the transportation 
spending limit was ostensibly a limit on funding, it was 
primarily used to calculate the levels of spending that flowed 
from the Highway Trust Fund.

                The Statutory Pay-As-You-Go Act of 2010

    No further legislation was enacted to reestablish statutory 
controls on spending and revenue until 2010, when on February 
10 of that year, the Statutory Pay-As-You-Go Act of 2010 was 
signed as part of Public Law 111-139. This law permanently 
reinstated pay-as-you-go requirements. It also increased the 
statutory limit on the public debt and amended the base of 
programs subject to sequestration. It did not, however, re-
impose the limits on discretionary spending.

                     The Budget Control Act of 2011

    The main impetus for the Budget Control Act of 2011 (BCA 
2011) (Public Law 112-25), enacted on August 2, 2011, was to 
authorize an increase in the public debt limit before it was 
breached. The measure avoided a breach in the public debt 
limit, set statutory controls on spending, and created a Joint 
Select Committee on Deficit Reduction to recommend policies 
achieving $1.5 trillion in deficit reduction through fiscal 
year 2021. As a fallback, the measure provided for an 
offsetting sequester to be achieved through the reestablishment 
of discretionary spending limits and a parallel mechanism for 
triggering a sequestration of direct spending programs.
    The discretionary spending limits were reestablished for 
fiscal years 2012 through 2021. For the first two years of the 
legislation (fiscal years 2012 and 2013), these limits were 
divided into security and non-security categories.\1\ For the 
remaining years, the limits were set as a single general 
discretionary category.
---------------------------------------------------------------------------
    \1\Section 102 of the act defines the ``security'' category as 
comprising discretionary appropriations for the Department of Defense, 
the Department of Homeland Security, the Department of Veterans 
Affairs, the National Nuclear Security Administration, the intelligence 
community management account, and all budget accounts in Function 150, 
International Affairs. All other discretionary appropriations were 
grouped together in the non-security category. These were replaced with 
``revised'' security and non-security limits on spending for programs, 
which fall inside Function 050, Defense, and outside that function.
---------------------------------------------------------------------------
    BCA 2011 included additional procedures that had the effect 
of altering the discretionary spending limits under Section 
251(c) of the Deficit Control Act, mainly by extending the 
security and non-security categories through the end of the 
period. CBO estimated that the discretionary spending limits 
under BCA 2011 would reduce the deficit, including savings from 
debt service, by $917 billion over the 10-fiscal-year period of 
2012 through 2021.
    The legislation reported by the Joint Select Committee was 
to be considered under procedures limiting amendment and 
debate. Under BCA 2011, a sequester was established to offset 
any portion of $1.2 trillion in deficit reduction that was not 
achieved through the enactment of legislation reported by the 
Joint Committee. The Joint Committee failed to report proposals 
reducing the deficit by any amount, and no legislation to that 
purpose was enacted by the required deadline of January 15, 
2012. As a result, the Joint Committee ceased to exist and the 
automatic spending reduction process was triggered.
    The automatic spending reduction process prompted new 
discretionary spending based on the aforementioned ``security'' 
and ``non-security'' categories. A formula was used to 
calculate the sequestration order and was based on a number of 
factors, including reduced cost of debt service, the number of 
remaining fiscal years, and direct and discretionary spending; 
in fiscal year 2013, both direct and discretionary spending 
were affected.

                The American Taxpayer Relief Act of 2012

    As part of an agreement to make permanent most tax policies 
first enacted in 2001 and 2003 but scheduled to expire at the 
end of 2012,\2\ the American Taxpayer Relief Act of 2012 (ATRA) 
(Public Law 112-240) was enacted. It included certain budget 
process provisions. ATRA reduced the BCA 2011 fiscal year 2013 
sequester by $24 billion--from $109.33 billion to $85.33 
billion for that fiscal year. It postponed the BCA 2011 
sequester (under section 251(a) of the Deficit Control Act) by 
two months, from January 2, 2013 to March 1, 2013. It also 
postponed, until March 17, 2017, the Deficit Control Act 
sequester (a separate sequestration under Section 251(a) that 
normally occurs 15 days after the end of a session of 
Congress). Rather than require a sequester of a nominal amount 
for fiscal year 2013, as dictated by BCA 2011, the sequester 
triggered by the Deficit Control Act enforced spending limit 
categories and applied regardless of spending level relative to 
spending limits. It also reduced the defense and non-defense 
limits for fiscal years 2013 and 2014 by $4 billion and $8 
billion, respectively. As required by ATRA, President Obama 
ordered the fiscal year 2013 BCA sequester on March 1, 2013.
---------------------------------------------------------------------------
    \2\These tax policies were temporary because they were enacted 
under the budget reconciliation process. Section 313 of the Budget 
Act--known as the ``Byrd Rule''--prohibits spending and tax legislation 
enacted in reconciliation from increasing the projected deficit outside 
the 10-year budget window compared to what it would have been without 
those tax policies. Consequently, those tax relief policies were 
required to expire.
---------------------------------------------------------------------------

                   The Bipartisan Budget Act of 2013

    As a result of the budget negotiations between House Budget 
Committee Chairman Ryan and Senate Budget Committee Chairman 
Murray, the Bipartisan Budget Act of 2013 (BBA 2013) (Public 
Law 113-67) increased the discretionary spending limits for 
fiscal years 2014 and 2015. The agreement provided $63 billion 
in sequester relief over two years, split evenly between 
defense and non-defense programs. BBA 2013 reset the fiscal 
year 2014 defense discretionary limit at $520.5 billion and 
non-defense discretionary spending at $491.8 billion. For 
fiscal year 2015, defense and non-defense limits were reset at 
$521.3 billion and $492.4 billion, respectively.
    The sequester relief was fully offset by numerous direct 
spending reductions and non-tax revenues totaling $85 billion. 
These savings included: counting $28 billion in reductions 
stemming from a provision requiring the President to sequester 
the same percentage of mandatory budgetary resources in 2022 
and 2023 as will be sequestered in 2021 under current law; 
amending the Mineral Leasing Act to deposit two-percent of 
certain payments made to States under the Act to the Treasury; 
restructuring aviation security service fees; increasing 
Pension Benefit Guaranty Corporation premium rates; and 
rescinding and permanently cancelling $693 million from the 
Department of Justice's Asset Forfeiture Fund, among other 
provisions.

                   The Bipartisan Budget Act of 2015

    The Bipartisan Budget Act of 2015 (BBA 2015) (Public Law 
114-67) again increased the near-term discretionary spending 
limits and offset the increase through reductions in direct 
spending. BBA 2015 specifically increased the combined 
discretionary limits by $50 billion in fiscal year 2016 and $30 
billion in fiscal year 2017, equally divided between defense 
and non-defense spending each year. These increases in the 
discretionary spending limits were offset through reductions in 
direct spending spread over a 10-year period. The savings 
included: establishing an overall rate of return for insurance 
providers under the Standard Reinsurance Agreement; authorizing 
the sale of 58 million barrels of oil from the Strategic 
Petroleum Reserve; raising premium rates for single employer 
pension plans; accelerating the due date for pension premiums; 
maintaining the 2016 Medicare Part B premium; and rescinding 
and permanently cancelling $746 million from the Department of 
Justice's Asset Forfeiture Fund, among other provisions. The 
measure also reduced spending by $14 billion in fiscal year 
2025 by requiring the President to sequester the same 
percentage of direct spending in 2025 as will be sequestered in 
2021.
    Additionally, BBA 2015 increased the adjustments in the 
non-defense limits for appropriations for Social Security 
continuing disability reviews by $484 million through fiscal 
year 2021. The Act temporarily suspended the debt limit through 
March 15, 2017 and, for the Senate only, established the budget 
aggregates, 302 allocations, and other budgetary limits that 
normally would have been set as part of the fiscal year 2017 
concurrent resolution on the budget.

                   The Bipartisan Budget Act of 2018

    The Bipartisan Budget Act of 2018 (BBA 2018) (Public Law 
115-123) increased the discretionary spending limits for fiscal 
years 2018 and 2019. For fiscal year 2018, it provided $700 
billion total in defense funding and $591 billion in non-
defense funding. For fiscal year 2019, it provided $716 billion 
total in defense funding and $605 billion in non-defense 
funding. These increases in the discretionary spending limits 
were offset by reductions in direct spending over the 10-year 
period.
    These offsets included: extending custom user fees and TSA 
fees through 2027, extending L-1 and H-1B visa fees through 
fiscal year 2027, authorizing the sale of 100 million barrels 
of crude oil from the Strategic Petroleum Reserve over the 
period of fiscal years 2022 through 2027, and extending the 
collection of visa waiver fees through fiscal year 2027 among 
others.
    BBA 2018 extended the public debt limit until March 1, 
2019. It also established the Joint Select Committee on Budget 
and Appropriations Process Reform tasked with providing 
Congress legislative recommendations to ``significantly reform 
the budget and appropriations process''. Additionally, BBA 2018 
reset the balances on the Statutory Pay-As-You-Go Act 
scorecards. BBA 2018 also amended the Deficit Control Act by 
establishing an adjustment to the discretionary spending limits 
for reemployment services and eligibility assessments.

                 Consolidated Appropriations Act, 2018

    The Consolidated Appropriations Act, 2018 (Public Law 115-
141) amended the Deficit Control Act by establishing an 
adjustment to the discretionary spending limits for wildfire 
suppression funding. It also amended the current law 
calculation for the disaster funding adjustment.

             ACCOUNTS IDENTIFIED FOR ADVANCE APPROPRIATIONS

                              ----------                              


    Accounts Identified for Advance Appropriations for Fiscal Year 2020

            (SUBJECT TO A GENERAL LIMIT OF $29,014,001,000)

Labor, Health and Human Services, and Education
                Employment and Training Administration
                Education for the Disadvantaged
                School Improvement
                Career, Technical, and Adult Education
                Special Education
Transportation, Housing and Urban Development
                Tenant-Based Rental Assistance
                Project-Based Rental Assistance

 Veterans Discretionary Accounts Identified for Advance Appropriations 
                          for Fiscal Year 2020

            (SUBJECT TO A SEPARATE LIMIT OF $75,550,600,000)

Military Construction, Veterans Affairs
                Veterans Medical Services
                Veterans Medical Support and Compliance
                Veterans Medical Facilities
                Veterans Medical Community Care

                         VOTES OF THE COMMITTEE

                              ----------                              


    Clause 3(b) of House Rule XIII requires each committee 
report to accompany any bill or resolution of a public 
character, ordered to include the total number of votes cast 
for and against on each roll call vote, on a motion to report 
and any amendments offered to the measure or matter, together 
with the names of those voting for and against. Listed below 
are the votes taken in the Committee on the Budget on the 
Concurrent Resolution on the Budget for Fiscal Year 2019.
    Vote #1: An amendment offered by Representatives DelBene, 
Yarmuth, Lee, Lujan Grisham, Wasserman Schultz, Boyle, Khanna, 
Jayapal, Carbajal, Jackson Lee, and Schakowsky to increase 
budget authority and outlays in Function 600 (Income Security) 
relating to nutrition assistance.
    The amendment would increase both budget authority and 
outlays for Function 600 each by the following amounts: $1.5 
billion for fiscal year 2019, $1.5 billion for fiscal year 
2020, $2.0 billion for fiscal year 2021, $2.0 billion for 
fiscal year 2022, $25.0 billion for fiscal year 2023, $25.0 
billion for fiscal year 2024, $25.0 billion for fiscal year 
2025, $25.0 billion for fiscal year 2026, $25.0 billion for 
fiscal year 2027, and $25.0 billion for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 9 
ayes and 16 noes.

                                              ROLL CALL VOTE NO. 1
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......  ......  .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......  ......  .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......  ......  .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............  ......  ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..  ......  ......  .......
Mr. Brat.............................  ......  ......  .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............  ......  ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......  ......  .......  Mr. Carbajal...........  ......  ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Carbajal, Khanna, and Wasserman Schultz 
asked unanimous consent, after the closing of the vote, that 
the record reflect they would have voted aye on roll call vote 
no. 1. Representatives Brat, Cole, Rokita, and Westerman asked 
unanimous consent, after the closing of the vote, that the 
record reflect they would have voted no on roll call vote no. 
1. There was no objection to these unanimous consent requests.
    Vote #2: An amendment offered by Representatives Lujan 
Grisham, Yarmuth, Lee, Moulton, Jeffries, Higgins, DelBene, 
Wasserman Schultz, Boyle, Khanna, Jayapal, Carbajal, Jackson 
Lee, and Schakowsky to insert a policy statement on border 
policy and immigration reform.
    The amendment was not agreed to by a roll call vote of 9 
ayes and 16 noes.

                                              ROLL CALL VOTE NO. 2
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......  ......  .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......  ......  .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......  ......  .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............  ......  ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..  ......  ......  .......
Mr. Brat.............................  ......  ......  .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............  ......  ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......  ......  .......  Mr. Carbajal...........  ......  ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Carbajal, Khanna, and Wasserman Schultz 
asked unanimous consent, after the closing of the vote, that 
the record reflect they would have voted aye on roll call vote 
no. 2. Representatives Brat, Cole, Rokita, and Westerman asked 
unanimous consent, after the closing of the vote, that the 
record reflect they would have voted no on roll call vote no. 
2. There was no objection to these unanimous consent requests.
    Vote #3: An amendment offered by Representatives Jeffries, 
Yarmuth, Lee, Higgins, DelBene, Wasserman Schultz, Boyle, 
Khanna, Jayapal, Carbajal, Jackson Lee, and Schakowsky to 
insert a deficit neutral reserve fund to repeal the state and 
local tax deduction cap.
    The amendment was not agreed to by a roll call vote of 11 
ayes to 14 noes.

                                              ROLL CALL VOTE NO. 3
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......  ......  .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......  ......  .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......  ......  .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................      X   ......  .......  Mr. Higgins............  ......  ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..  ......  ......  .......
Mr. Brat.............................  ......  ......  .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............  ......  ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........  ......  ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......  ......  .......  .......................
Mr. Faso.............................      X   ......  .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Carbajal, Khanna, and Wasserman Schultz 
asked unanimous consent, after the closing of the vote, that 
the record reflect they would have voted aye on roll call vote 
no. 3. Representatives Brat, Cole, Rokita, and Westerman asked 
unanimous consent, after the closing of the vote, that the 
record reflect they would have voted no on roll call vote no. 
3. There was no objection to these unanimous consent requests.
    Vote #4: An amendment offered by Representatives Boyle, 
Yarmuth, Lee, Lujan Grisham, Jeffries, Higgins, DelBene, 
Wasserman Schultz, Khanna, Jayapal, Carbajal, Jackson Lee, and 
Schakowsky to strike section 507 of the Chairman's mark and 
insert a policy statement on Medicare.
    The amendment was not agreed to by a roll call vote of 12 
ayes and 20 noes.

                                              ROLL CALL VOTE NO. 4
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......  ......  .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representative Jayapal asked unanimous consent, after the 
closing of the vote, that the record reflect she would have 
voted aye on roll call vote no. 4. Representative Sanford asked 
unanimous consent, after the closing of the vote, that the 
record reflect he would have voted no on roll call vote no. 4. 
There was no objection to these unanimous consent requests.
    Vote #5: An amendment offered by Representatives 
Schakowsky, Yarmuth, Lee, Lujan Grisham, Moulton, Higgins, 
DelBene, Wasserman Schultz, Boyle, Khanna, Jayapal, and Jackson 
Lee to reject the ``American Health Care Act.''
    The amendment would increase budget authority and outlays 
for Function 550 (Health) each by the following amounts: $5.0 
billion for fiscal year 2019, $28.0 billion for fiscal year 
2020, $21.0 billion for fiscal year 2021, $86.0 billion for 
fiscal year 2022, $142.0 billion for fiscal year 2023, $164.0 
billion for fiscal year 2024, $187.0 billion for fiscal year 
2025, $206.0 billion for fiscal year 2026, $223.0 billion for 
fiscal year 2027, and $238.0 billion for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 12 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 5
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representative Jayapal asked unanimous consent, after the 
closing of the vote, that the record reflect she would have 
voted aye on roll call vote no. 5. There was no objection to 
the unanimous consent request.
    Vote #6: An amendment offered by Representatives Jayapal, 
Yarmuth, Lee, Lujan Grisham, Moulton, DelBene, Wasserman 
Schultz, Boyle, Khanna, Carbajal, Jackson Lee, and Schakowsky 
relating to immigration reform.
    The amendment would increase the aggregate levels of 
revenue by the following amounts to account for increased 
economic growth resulting from adoption of the ``Border 
Security, Economic Opportunity, and Immigration Modernization 
Act'', as introduced in the House in the 113th Congress: $2.1 
billion for fiscal year 2019, $11.5 billion for fiscal year 
2020, $28.0 billion for fiscal year 2021, $39.1 billion for 
fiscal year 2022, $45.0 billion for fiscal year 2023, $47.7 
billion for fiscal year 2024, $55.3 billion for fiscal year 
2025, $65.0 billion for fiscal year 2026, $77.7 billion for 
fiscal year 2027, and $87.6 billion for fiscal year 2028.
    The amendment would also increase both budget authority and 
outlays for Function 920 (Allowances) each by the following 
amounts to reflect adoption of the ``Border Security, Economic 
Opportunity, and Immigration Modernization Act'', as introduced 
in the House in the 113th Congress: $4.6 billion for fiscal 
year 2019, $6.8 billion for fiscal year 2020, $14.0 billion for 
fiscal year 2021, $19.8 billion for fiscal year 2022, $24.6 
billion for fiscal year 2023, $26.6 billion for fiscal year 
2024, $32.2 billion for fiscal year 2025, $37.4 billion for 
fiscal year 2026, $44.4 billion for fiscal year 2027, and $51.4 
billion for fiscal year 2028.
    The amendment also adds a policy statement calling for a 
vote on comprehensive immigration reform.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 6
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #7: An amendment offered by Representatives Jackson 
Lee, Yarmuth, Lee, Lujan Grisham, Higgins, DelBene, Wasserman 
Schultz, Boyle, Khanna, Jayapal, and Schakowsky to increase 
Medicaid spending and increase revenue by an equal amount.
    The amendment would increase both budget authority and 
outlays for Function 550 (Health) each by the following 
amounts: $14.0 billion for fiscal year 2019, $30.0 billion for 
fiscal year 2020, $44.0 billion for fiscal year 2021, $90.0 
billion for fiscal year 2022, $118.0 billion for fiscal year 
2023, $137.0 billion for fiscal year 2024, $151.0 billion for 
fiscal year 2025, $165.0 billion for fiscal year 2026, $177.0 
billion for fiscal year 2027, and $190.0 billion for fiscal 
year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 7
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #8: An amendment offered by Representatives Lee, 
Yarmuth, Lujan Grisham, DelBene, Wasserman Schultz, Boyle, 
Khanna, Jayapal, Jackson Lee, and Schakowsky to increase budget 
authority and outlays for Function 500 (Education, Training, 
Employment, and Social Services) and Function 600 (Income 
Security) and increase revenue by an equal amount.
    The amendment would increase budget authority for Function 
500 by the following amounts: $17.649 billion for fiscal year 
2019, $21.413 billion for fiscal year 2020, $22.322 billion for 
fiscal year 2021, $23.721 billion for fiscal year 2022, $25.186 
billion for fiscal year 2023, $26.802 billion for fiscal year 
2024, $28.464 billion for fiscal year 2025, $30.196 billion for 
fiscal year 2026, $31.753 billion for fiscal year 2027, and 
$32.920 billion for fiscal year 2028.
    Outlays for Function 500 would increase by the following 
amounts: $7.957 billion for fiscal year 2019, $18.981 billion 
for fiscal year 2020, $21.009 billion for fiscal year 2021, 
$21.939 billion for fiscal year 2022, $23.233 billion for 
fiscal year 2023, $24.613 billion for fiscal year 2024, $25.980 
billion for fiscal year 2025, $27.607 billion for fiscal year 
2026, $29.073 billion for fiscal year 2027, and $30.249 billion 
for fiscal year 2028.
    The amendment would also increase budget authority for 
Function 600 by the following amounts: $45.749 billion for 
fiscal year 2019, $62.062 billion for fiscal year 2020, $68.366 
billion for fiscal year 2021, $77.768 billion for fiscal year 
2022, $77.884 billion for fiscal year 2023, $102.123 billion 
for fiscal year 2024, $112.959 billion for fiscal year 2025, 
$118.618 billion for fiscal year 2026, $124.515 billion for 
fiscal year 2027, and $137.044 billion for fiscal year 2028.
    Outlays for Function 600 would increase by the following 
amounts: $45.152 billion for fiscal year 2019, $60.670 billion 
for fiscal year 2020, $67.924 billion for fiscal year 2021, 
$77.382 billion for fiscal year 2022, $77.713 billion for 
fiscal year 2023, $101.839 billion for fiscal year 2024, 
$112.618 billion for fiscal year 2025, $118.476 billion for 
fiscal year 2026, $124.377 billion for fiscal year 2027, and 
$136.862 billion for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 8
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #9: An amendment offered by Representatives Wasserman 
Schultz, Yarmuth, Lee, Lujan Grisham, Higgins, DelBene, Boyle, 
Khanna, Jayapal, Carbajal, Jackson Lee, and Schakowsky to 
insert a policy statement opposing any reduction in Social 
Security benefits.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 9
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #10: An amendment offered by Representatives Yarmuth, 
Wasserman Schultz, Boyle, Khanna, and Schakowsky related to 
carried interest.
    The amendment would adjust the aggregate levels of revenue 
to change the tax treatment of certain earnings as carried 
interest by the following amounts: $1.5 billion for fiscal year 
2019, $2.0 billion for fiscal year 2020, $2.0 billion for 
fiscal year 2021, $2.0 billion for fiscal year 2022, $2.0 
billion for fiscal year 2023, $2.0 billion for fiscal year 
2024, $2.0 billion for fiscal year 2025, $2.0 billion for 
fiscal year 2026, $2.0 billion for fiscal year 2027, and $2.0 
billion for fiscal year 2028.
    The amendment was not agreed to by a roll call vote of 16 
ayes and 18 noes.

                                              ROLL CALL VOTE NO. 10
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................      X   ......  .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................      X   ......  .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................      X   ......  .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #11: An amendment offered by Representatives Moulton, 
Yarmuth, Lee, Lujan Grisham, DelBene, Wasserman Schultz, Boyle, 
Khanna, Jayapal, Carbajal, Jackson Lee, and Schakowsky to 
increase budget authority and outlays for Function 750 
(Administration of Justice) and revenue by an equal amount.
    The amendment would increase budget authority for Function 
750 by $75 million for fiscal year 2019. Outlays for Function 
750 would increase by the following amounts: $38 million for 
fiscal year 2019, $23 million for fiscal year 2020, $8 million 
for fiscal year 2021, and $1 million for fiscal year 2023.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 10 
ayes and 18 noes.

                                              ROLL CALL VOTE NO. 11
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......  ......  .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......  ......  .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........  ......  ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......  ......  .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Carbajal, Jackson Lee, and Jayapal asked 
unanimous consent, after the closing of the vote, that the 
record reflect they would have voted aye on roll call vote no. 
11. Representative Sanford asked unanimous consent, after the 
closing of the vote, that the record reflect he would have 
voted no on roll call vote no. 11. There was no objection to 
these unanimous consent requests.
    Vote #12: An amendment offered by Representatives Khanna, 
Yarmuth, Lee, DelBene, Wasserman Schultz, Boyle, Jayapal, 
Jackson Lee, and Schakowsky to insert a deficit neutral reserve 
fund for the Earned Income Tax Credit.
    The amendment was not agreed to by a roll call vote of 11 
ayes to 17 noes.

                                              ROLL CALL VOTE NO. 12
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......  ......  .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......  ......  .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......  ......  .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......  ......  .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Jackson Lee and Jayapal asked unanimous 
consent, after the closing of the vote, that the record reflect 
they would have voted aye on roll call vote no. 12. 
Representative Sanford asked unanimous consent, after the 
closing of the vote, that the record reflect he would have 
voted no on roll call vote no. 12. There was no objection to 
these unanimous consent requests.
    Vote #13: An amendment offered by Representatives Higgins, 
Yarmuth, Lee, Lujan Grisham, Moulton, DelBene, Wasserman 
Schultz, Boyle, Khanna, Jayapal, Carbajal, Jackson Lee, and 
Schakowsky to increase infrastructure spending and revenue by 
an equal amount.
    The amendment would increase budget authority for Function 
920 (Allowances) by the following amounts: $100.0 billion for 
fiscal year 2019, $150.0 billion for fiscal year 2020, $250.0 
billion for fiscal year 2021, $250.0 billion for fiscal year 
2022, and $250.0 billion for fiscal year 2023.
    Outlays for Function 920 would increase by the following 
amounts: $20.0 billion for fiscal year 2019, $65.0 billion for 
fiscal year 2020, $132.5 billion for fiscal year 2021, $192.5 
billion for fiscal year 2022, $232.5 billion for fiscal year 
2023, $195.0 billion for fiscal year 2024, $112.5 billion for 
fiscal year 2025, $37.5 billion for fiscal year 2026, and $12.5 
billion for fiscal year 2027.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 11 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 13
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Jackson Lee and Jayapal asked unanimous 
consent, after the closing of the vote, that the record reflect 
they would have voted aye on roll call vote no. 13. There was 
no objection to these unanimous consent requests.
    Vote #14: An amendment offered by Representatives Carbajal, 
Yarmuth, Lee, DelBene, Wasserman Schultz, Boyle, Khanna, 
Jayapal, Jackson Lee, and Schakowsky to increase budget 
authority and outlays for Function 400 (Transportation) and 
increase revenue by an equal amount.
    The amendment would increase budget authority for Function 
400 by the following amounts: $7.520 billion for fiscal year 
2021, $7.660 billion for fiscal year 2022, $7.900 billion for 
fiscal year 2023, $8.140 billion for fiscal year 2024, $8.370 
billion for fiscal year 2025, $8.610 billion for fiscal year 
2026, $8.820 billion for fiscal year 2027, and $8.990 billion 
for fiscal year 2028.
    Outlays for Function 400 would increase by the following 
amounts: $2.340 billion for fiscal year 2021, $8.580 billion 
for fiscal year 2022, $12.070 billion for fiscal year 2023, 
$14.400 billion for fiscal year 2024, $16.720 billion for 
fiscal year 2025, $18.800 billion for fiscal year 2026, $20.530 
billion for fiscal year 2027, and $22.140 billion for fiscal 
year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 11 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 14
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Jackson Lee and Jayapal asked unanimous 
consent, after the closing of the vote, that the record reflect 
they would have voted aye on roll call vote no. 14. There was 
no objection to these unanimous consent requests.
    Vote #15: An amendment offered by Representatives Yarmuth, 
Lee, DelBene, Wasserman Schultz, Khanna, Jayapal, Jackson Lee, 
and Schakowsky to increase budget authority and outlays for 
Function 600 (Income Security) and increase revenue by an equal 
amount.
    The amendment would increase both budget authority and 
outlays each by the following amounts: $400 million for fiscal 
year 2019, $500 million for fiscal year 2020, $500 million for 
fiscal year 2021, $500 million for fiscal year 2022, $500 
million for fiscal year 2023, $500 million for fiscal year 
2024, $600 million for fiscal year 2025, $600 million for 
fiscal year 2026, $600 million for fiscal year 2027, and $600 
million for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 14 
ayes and 18 noes.

                                              ROLL CALL VOTE NO. 15
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................      X   ......  .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................      X   ......  .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................      X   ......  .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Jackson Lee and Jayapal asked unanimous 
consent, after the closing of the vote, that the record reflect 
they would have voted aye on roll call vote no. 15. There was 
no objection to these unanimous consent requests.
    Vote #16: An amendment offered by Representatives Lee, 
Yarmuth, DelBene, Wasserman Schultz, Khanna, Jayapal, Jackson 
Lee, and Schakowsky related to funding for Function 970 
(Overseas Contingency Operations/Global War on Terrorism).
    The amendment was not agreed to by a roll call vote of 15 
ayes and 17 noes.

                                              ROLL CALL VOTE NO. 16
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................      X   ......  .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................      X   ......  .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................      X   ......  .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................      X   ......  .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Jackson Lee and Jayapal asked unanimous 
consent, after the closing of the vote, that the record reflect 
they would have voted aye on roll call vote no. 16. There was 
no objection to these unanimous consent requests.
    Vote #17 An amendment offered by Representatives Lujan 
Grisham, Yarmuth, Lee, Higgins, DelBene, Wasserman Schultz, 
Boyle, Khanna, Jayapal, Carbajal, Jackson Lee, and Schakowsky 
to increase budget authority and outlays for Function 300 
(Natural Resources) and Function 450 (Community and Regional 
Development) and increase revenue by an equal amount.
    The amendment would increase both budget authority and 
outlays each for Function 300 by the following amounts: $750 
million for fiscal year 2019, $750 million for fiscal year 
2020, $750 million for fiscal year 2021, $750 million for 
fiscal year 2022, $750 million for fiscal year 2023, $750 
million for fiscal year 2024, $750 million for fiscal year 
2025, $750 million for fiscal year 2026, $750 million for 
fiscal year 2027, and $750 million for fiscal year 2028.
    The amendment would also increase both budget authority and 
outlays each for Function 450 by the following amounts: $250 
million for fiscal year 2019, $250 million for fiscal year 
2020, $250 million for fiscal year 2021, $250 million for 
fiscal year 2022, $250 million for fiscal year 2023, $250 
million for fiscal year 2024, $250 million for fiscal year 
2025, $250 million for fiscal year 2026, $250 million for 
fiscal year 2027, and $250 million for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 11 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 17
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice        ......  ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........  ......  ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representatives Jackson Lee and Jayapal asked unanimous 
consent, after the closing of the vote, that the record reflect 
they would have voted aye on roll call vote no. 17. There was 
no objection to these unanimous consent requests.
    Vote #18: An amendment offered by Representatives Moulton, 
Yarmuth, Lee, Lujan Grisham, Jeffries, Higgins, DelBene, 
Wasserman Schultz, Boyle, Khanna, Jayapal, Jackson Lee, and 
Schakowsky to increase budget authority and outlays for 
Function 500 (Education, Training and Employment, and Social 
Services) and revenue by an equal amount.
    The amendment would increase budget authority for Function 
500 by $25 million for fiscal year 2019. Outlays for Function 
500 would increase by the following amounts: $14 million for 
fiscal year 2019, $7 million for fiscal year 2020, $2 million 
for fiscal year 2021, $1 million for fiscal year 2022, and $1 
million for fiscal year 2023.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.The amendment was not 
agreed to by a roll call vote of 13 ayes and 20 noes.

                                              ROLL CALL VOTE NO. 18
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......  ......  .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representative Grothman asked unanimous consent, after the 
closing of the vote, that the record reflect he would have 
voted no on roll call vote no. 18. There was no objection to 
the unanimous consent request.
    Vote #19: An amendment offered by Representatives DelBene, 
Yarmuth, Lee, Lujan Grisham, Moulton, Higgins, Wasserman 
Schultz, Boyle, Khanna, Jayapal, Carbajal, Jackson Lee, and 
Schakowsky to insert a deficit neutral reserve fund to improve 
the economy and create jobs in under-served areas.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 19
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #20: An amendment offered by Representatives Boyle, 
Yarmuth, Lee, Lujan Grisham, Higgins, DelBene, Wasserman 
Schultz, Khanna, Jayapal, Carbajal, Jackson Lee, and Schakowsky 
to increase budget authority and outlays for Function 500 
(Education, Training, Employment, and Social Services) for Pell 
Grants and increase revenue by an equal amount.
    The amendment would increase budget authority for Function 
500 by the following amounts: $17.873 billion for fiscal year 
2019, $22.618 billion for fiscal year 2020, $24.585 billion for 
fiscal year 2021, $27.136 billion for fiscal year 2022, $29.770 
billion for fiscal year 2023, $32.616 billion for fiscal year 
2024, $35.609 billion for fiscal year 2025, $38.760 billion for 
fiscal year 2026, $41.822 billion for fiscal year 2027, and 
$44.486 billion for fiscal year 2028.
    Outlays for Function 500 would increase by the following 
amounts: $8.017 billion for fiscal year 2019, $19.467 billion 
for fiscal year 2020, $22.490 billion for fiscal year 2021, 
$24.503 billion for fiscal year 2022, $26.952 billion for 
fiscal year 2023, $29.517 billion for fiscal year 2024, $32.141 
billion for fiscal year 2025, $35.122 billion for fiscal year 
2026, $38.029 billion for fiscal year 2027, and $40.707 billion 
for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 20
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #21: An amendment offered by Representatives Wasserman 
Schultz, Yarmuth, Lee, Lujan Grisham, Moulton, Higgins, 
DelBene, Boyle, Khanna, Jayapal, Carbajal, Jackson Lee, and 
Schakowsky to insert a policy statement on climate change.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 21
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #22: An amendment offered by Representatives Khanna, 
Yarmuth, Lee, Moulton, Higgins, DelBene, Wasserman Schultz, 
Boyle, Jayapal, Jackson Lee, and Schakowsky to insert a policy 
statement on diplomatic and foreign aid operations.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 22
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #23: An amendment offered by Representatives Carbajal, 
Yarmuth, Lee, Higgins, DelBene, Wasserman Schultz, Boyle, 
Khanna, Jayapal, Jackson Lee, and Schakowsky to increase budget 
authority and outlays for Function 700 (Veterans Benefits and 
Services) and revenue by an equal amount.
    The amendment would increase both budget authority and 
outlays for Function 700 each by the following amounts: $462 
million for fiscal year 2019, $1.715 billion for fiscal year 
2020, $2.972 billion for fiscal year 2021, $4.489 billion for 
fiscal year 2022, $5.691 billion for fiscal year 2023, $6.652 
billion for fiscal year 2024, $7.631 billion for fiscal year 
2025, $8.635 billion for fiscal year 2026, $9.629 billion for 
fiscal year 2027, and $11.041 billion for fiscal year 2028.
    The amendment would adjust the aggregate levels of revenue 
by amounts equal to the aforementioned changes in outlays by 
partially reversing the 2017 tax reform law (Public Law 115-
97), which may include raising the corporate tax rate, raising 
the individual income tax on the top bracket, or adjusting the 
estate and gift tax exemption levels.
    The amendment would also insert a policy statement on 
veterans' health care.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 23
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #24: An amendment offered by Representatives Jackson 
Lee, Yarmuth, Lee, Moulton, Higgins, DelBene, Wasserman 
Schultz, Boyle, Khanna, Jayapal, and Schakowsky to insert a 
policy statement ensuring adequate funding for the Special 
Counsel investigation of Russian interference in the 2016 U.S. 
presidential election. This amendment requests additional 
funding for the Department of Justice.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 24
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #25: An amendment offered by Representatives 
Schakowsky, Yarmuth, Lee, Lujan Grisham, Jeffries, Higgins, 
DelBene, Wasserman Schultz, Khanna, Jayapal, Carbajal, and 
Jackson Lee to insert a policy statement on reducing 
prescription drug costs.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 25
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #26: An amendment offered by Representatives Jayapal, 
Yarmuth, Lee, Lujan Grisham, Higgins, DelBene, Wasserman 
Schultz, Khanna, Carbajal, Jackson Lee, and Schakowsky to 
insert a policy statement to ensure an accurate decennial 
census count.
    The amendment was not agreed to by a roll call vote of 13 
ayes and 21 noes.

                                              ROLL CALL VOTE NO. 26
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................  ......      X   .......  Mr. Yarmuth (Ranking)..      X   ......  .......
Mr. Rokita (Vice Chairman)...........  ......      X   .......  Ms. Lee................      X   ......  .......
Ms. Black............................  ......      X   .......  Ms. Lujan Grisham......      X   ......  .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............      X   ......  .......
Mr. Cole.............................  ......      X   .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................  ......      X   .......  Mr. Higgins............      X   ......  .......
Mr. Woodall..........................  ......      X   .......  Ms. DelBene............      X   ......  .......
Mr. Sanford..........................  ......      X   .......  Ms. Wasserman Schultz..      X   ......  .......
Mr. Brat.............................  ......      X   .......  Mr. Boyle..............      X   ......  .......
Mr. Grothman.........................  ......      X   .......  Mr. Khanna.............      X   ......  .......
Mr. Palmer...........................  ......      X   .......  Ms. Jayapal (Vice            X   ......  .......
                                                                 Ranking).
Mr. Westerman........................  ......      X   .......  Mr. Carbajal...........      X   ......  .......
Mr. Renacci..........................  ......      X   .......  Ms. Jackson Lee........      X   ......  .......
Mr. Johnson..........................  ......      X   .......  Ms. Schakowsky.........      X   ......  .......
Mr. Smith............................  ......      X   .......  .......................
Mr. Lewis............................  ......      X   .......  .......................
Mr. Bergman..........................  ......      X   .......  .......................
Mr. Faso.............................  ......      X   .......  .......................
Mr. Smucker..........................  ......      X   .......  .......................
Mr. Gaetz............................  ......      X   .......  .......................
Mr. Arrington........................  ......      X   .......  .......................
Mr. Ferguson.........................  ......      X   .......  .......................
----------------------------------------------------------------------------------------------------------------

    Vote #27: An amendment offered by Representative McClintock 
to amend section 201 of the Chairman's Mark. The amendment was 
not agreed to by voice vote.
    Vote #28: Representative Rokita made a motion that the 
Committee adopt the aggregates, functional categories, and 
other appropriate matter. The motion offered by Representative 
Rokita was agreed to by voice vote.
    Chairman Womack called up the Concurrent Resolution on the 
Budget for Fiscal Year 2019 incorporating the aggregates, 
function totals, and other appropriate matters as previously 
agreed.
    Vote #29: Representative Rokita made a motion that the 
Committee order the Concurrent Resolution reported with a 
favorable recommendation and that the Concurrent Resolution do 
pass.
    The motion offered by Representative Rokita was agreed to 
by a roll call vote of 21 ayes to 13 noes.

                                              ROLL CALL VOTE NO. 29
----------------------------------------------------------------------------------------------------------------
            Representative               Aye     No    Present       Representative        Aye     No    Present
----------------------------------------------------------------------------------------------------------------
Mr. Womack (Chairman)................      X   ......  .......  Mr. Yarmuth (Ranking)..  ......      X   .......
Mr. Rokita (Vice Chairman)...........      X   ......  .......  Ms. Lee................  ......      X   .......
Ms. Black............................      X   ......  .......  Ms. Lujan Grisham......  ......      X   .......
Mr. Diaz-Balart......................  ......  ......  .......  Mr. Moulton............  ......      X   .......
Mr. Cole.............................      X   ......  .......  Mr. Jeffries...........  ......  ......  .......
Mr. McClintock.......................      X   ......  .......  Mr. Higgins............  ......      X   .......
Mr. Woodall..........................      X   ......  .......  Ms. DelBene............  ......      X   .......
Mr. Sanford..........................      X   ......  .......  Ms. Wasserman Schultz..  ......      X   .......
Mr. Brat.............................      X   ......  .......  Mr. Boyle..............  ......      X   .......
Mr. Grothman.........................      X   ......  .......  Mr. Khanna.............  ......      X   .......
Mr. Palmer...........................      X   ......  .......  Ms. Jayapal (Vice        ......      X   .......
                                                                 Ranking).
Mr. Westerman........................      X   ......  .......  Mr. Carbajal...........  ......      X   .......
Mr. Renacci..........................      X   ......  .......  Ms. Jackson Lee........  ......      X   .......
Mr. Johnson..........................      X   ......  .......  Ms. Schakowsky.........  ......      X   .......
Mr. Smith............................      X   ......  .......  .......................
Mr. Lewis............................      X   ......  .......  .......................
Mr. Bergman..........................      X   ......  .......  .......................
Mr. Faso.............................      X   ......  .......  .......................
Mr. Smucker..........................      X   ......  .......  .......................
Mr. Gaetz............................      X   ......  .......  .......................
Mr. Arrington........................      X   ......  .......  .......................
Mr. Ferguson.........................      X   ......  .......  .......................
----------------------------------------------------------------------------------------------------------------

    Representative Rokita asked for unanimous consent that the 
Chairman be authorized to offer such motions in the House as 
may be necessary to go to conference pursuant to clause 1 of 
House Rule XXII, the staff be authorized to make any necessary 
technical and conforming corrections in the resolution, and 
calculate any remaining elements required in the resolution, 
prior to filing the resolution.
    There was no objection to the unanimous consent requests.

          AMENDMENTS CONSIDERED BY THE COMMITTEE ON THE BUDGET

                              ----------                              


    During consideration of the budget resolution, the 
Committee considered 26 amendments. Fourteen of those 
amendments proposed to increase revenues (taxes) and increase 
spending. Frequently, the same assumptions were made with 
respect to the revenue increases, namely reversing the 2017 tax 
reform law (Public Law 115-97), which may include raising the 
corporate tax rate, raising the individual income tax on the 
top bracket, or adjusting the estate and gift tax exemption 
levels. The amendments the Committee defeated would have the 
effect of hampering one or more of the following goals in the 
resolution: reducing spending, balancing the budget, reforming 
and strengthening federal programs, and promoting economic 
growth. The rationale for rejecting some of these amendments 
follows.

          AN AMENDMENT TO REJECT THE AMERICAN HEALTH CARE ACT

    Representative Janice Schakowsky (D-IL) offered an 
amendment that would have removed the budget's assumption of 
the American Health Care Act and any associated health care 
policy changes associated with it, effectively restoring the 
Patient Protection and Affordable Care Act in the budget. The 
amendment would have increased budget authority and outlays for 
Function 550 by $1.3 trillion over the budget window. Added 
spending was intended to be offset by partially reversing the 
Tax Cuts and Jobs Act; this may have included adjusting the 
corporate tax rate, the individual income tax on the top 
bracket, or the estate and gift tax exemption levels.
    The Committee defeated this amendment by a vote of 12 to 
21. The current position of the House of Representatives is 
supportive of both the American Health Care Act and of the Tax 
Cuts and Jobs Act. During the budget markup, Committee Members 
asserted that due to skyrocketing premiums and deductibles, the 
Affordable Care Act is not ``affordable care'' and does not 
provide Americans with access to care. Contrary to the 
amendment sponsor's statement, Committee Members noted that the 
American Health Care Act does in fact cover those with pre-
existing conditions. Furthermore, the amendment would roll back 
portions of the Tax Cuts and Jobs Act to offset the increased 
spending, which would be counterproductive and detrimental to 
the nation's workforce and economy. The Tax Cuts and Jobs Act 
is working and should be allowed to continue delivering 
benefits to the American people. For these reasons, the 
Committee did not agree to the amendment.

                    AN AMENDMENT RELATED TO MEDICAID

    Representative Sheila Jackson Lee (D-TX) offered an 
amendment that would have removed the Medicaid reforms 
recommended in the budget resolution, including the per capita 
cap structure of the American Health Care Act and the new work 
requirements. The amendment would have added language to the 
committee report that reinforces the existing, open-ended 
structure of Medicaid and rejects any changes to the program. 
Within Function 550, the amendment would have increased 
mandatory budget authority and outlays by $1.116 trillion over 
the budget window. Added spending was intended to be offset by 
partially reversing the Tax Cuts and Jobs Act; this may have 
included adjusting the corporate tax rate, the individual 
income tax on the top bracket, or the estate and gift tax 
exemption levels.
    The Committee defeated the amendment by a vote of 13 to 21. 
Members of the Committee concurred that Medicaid is a vital 
safety net program for America's most vulnerable. During 
debate, Committee Members reinforced the budget's priority to 
focus limited resources on those truly in need--including low-
income children, the blind, the disabled, and the elderly. A 
number of Committee Members also acknowledged the long wait 
times, high level of improper payments, and poor access to care 
associated with the current structure of the Medicaid program. 
The funding of this amendment would be offset by reversing 
policies within the 2017 tax reform bill, which would be 
counterproductive and detrimental to the nation's workforce and 
economy. The Tax Cuts and Jobs Act is working and should be 
allowed to continue delivering benefits to the American people. 
For these reasons, the Committee did not agree to the 
amendment.

              AN AMENDMENT RELATED TO NUTRITION ASSISTANCE

    Representative Suzan DelBene (D-WA) offered an amendment to 
the budget resolution that would increase budget authority and 
outlays for Function 600 Income Security by $157 billion in 
rejection to Supplemental Nutrition Assistance Program (SNAP) 
reforms. It would roll back portions of the Tax Cuts and Jobs 
Act to offset the increased spending and ensure SNAP remains in 
its current structure, essentially reversing all of the reform 
policies proposed in the budget.
    The Committee defeated this amendment by a vote of 9 to 16. 
Since 2002, spending on SNAP has increased from $21 billion to 
$70 billion in 2017. However, states currently have little 
incentive to responsibly steward taxpayer dollars dedicated to 
SNAP. The federal government pays 100 percent of the benefits, 
while the states simply act as program administrators. The 
budget calls for policies to make SNAP work more efficiently 
and effectively for states and their recipients. In contrast, 
this amendment would continue the status quo of prohibiting 
state policymakers from adopting improvements to the SNAP 
program. Instead of chasing higher spending with even higher 
taxes, policymakers need to reconsider the current approach to 
fighting poverty. The goal of anti-poverty programs should be 
to lift Americans out of poverty, not create a cycle of 
dependency on the federal government. Furthermore, the 
amendment would roll back portions of the Tax Cuts and Jobs Act 
to offset the increased spending, which would be 
counterproductive and detrimental to the nation's workforce and 
economy. The Tax Cuts and Jobs Act is working and should be 
allowed to continue delivering benefits to the American people. 
For these reasons, the Committee did not agree to the 
amendment.

     AN AMENDMENT RELATED TO IMMIGRATION REFORM AND DACA RECIPIENTS

    Representative Pramila Jayapal (D-WA) offered an amendment 
that would increase revenue and budget authority to reflect the 
adoption of H.R. 15, the Border Security, Economic Opportunity, 
and Immigration Modernization Act. It would also add a policy 
statement calling for enactment of H.R. 3440, the Dream Act.
    The Committee defeated the amendment by a vote of 13 to 21. 
Chairman Womack argued that while the amendment raised an 
important dialogue about immigration policy in our country, 
changes to existing policy should be considered in the 
Committees on the Judiciary and Homeland Security. Chairman 
Womack stated, ``While I know our Democratic colleagues are 
sincere in their efforts to change these policies, I do not 
believe the budget resolution, nor the Budget Committee, are 
the appropriate venues for doing so.'' Chairman Womack further 
explained that adoption of the amendment would distract from 
the critical overall objective of the budget resolution to 
address the long-term drivers of America's debt and deficits. 
For these reasons, the Committee did not agree to the 
amendment.

       AN AMENDMENT RELATED TO FUNDING FOR ANTI-POVERTY PROGRAMS

    Representative Barbara Lee (D-CA) offered an amendment that 
would increase spending for anti-poverty programs. The increase 
in spending is offset by partially reversing the 2017 tax 
reform law.
    The Committee defeated this amendment by a vote of 13 to 
21. The budget assumes several policies that would ensure 
Americans graduate from welfare, such as work requirements for 
able-bodied adults and outcome-based programs. The surest way 
to break the cycle of dependency is to encourage individuals to 
work and to help them stay employed. The amendment continued 
the poor practice of measuring success by the number of dollars 
spent rather than the number of people lifted out of poverty. 
Lastly, the funding of this amendment would be offset by 
reversing policies within the 2017 tax reform bill, which would 
be counterproductive and detrimental to the nation's workforce 
and economy. The Tax Cuts and Jobs Act is working and should be 
allowed to continue delivering benefits to the American people. 
For these reasons, the Committee did not agree to the 
amendment.

                    AN AMENDMENT RELATED TO MEDICARE

    Representative Brendan Boyle (D-PA) offered an amendment 
that would replace the Medicare policy statement in the 
Chairman's Mark with a new policy statement stating that 
Congress should not turn Medicare into a voucher program, 
should not increase costs for seniors, and should not ``weaken 
the traditional Medicare program.''
    The Committee defeated this amendment by a vote of 12 to 
20. Because of rising health care costs and demographic 
changes, CBO projects that the Medicare program will be 
insolvent by 2026. Inaction is not an option; it will only 
hasten the insolvency of Medicare which will result in a 
reduction in scheduled benefits. The Medicare reforms called 
for in the budget save and strengthen Medicare by putting the 
program on a fiscally sustainable path. Seniors would choose 
from a list of Medicare-approved private plans competing with 
the fee-for-service program so seniors have a range of coverage 
options, regardless of health status or pre-existing 
conditions. Furthermore, government payments would be adjusted 
so beneficiaries most in need would receive more financial 
assistance as conditions worsened, and lower-income seniors 
would receive additional support to help cover premiums and 
out-of-pocket costs. The traditional Medicare program would 
permanently remain an option--for all seniors, current and 
future--in the budget. Those in and near retirement will have 
the same program as they have today, with no changes to the 
current benefit structure. The real threat to the Medicare 
guarantee is the status quo. For these reasons, the Committee 
did not agree to the amendment.

            AN AMENDMENT RELATED TO SOCIAL SECURITY BENEFITS

    Representative Debbie Wasserman Schultz (D-FL) offered an 
amendment that would add a policy statement to the budget 
resolution on Social Security to protect the program from any 
reduction in benefits.
    The Committee defeated this amendment by a vote of 13 to 
21. Committee Members argued that the amendment is unnecessary 
because the budget resolution already has a policy statement on 
Social Security to protect the program for current and future 
retirees. Because of an aging population, CBO projects that 
Social Security is on track to become insolvent in 2031. At 
this time, projections show that only 70 percent of the 
program's scheduled benefits could be covered. This amendment 
does nothing to solve the long-term financial and structural 
challenges facing Social Security. The budget resolution as 
drafted contains language that highlights the long-term 
structural and fiscal challenges within the trust fund--
challenges that must be addressed in a bipartisan way to 
protect beneficiaries from imminent reductions in benefits. For 
these reasons, the Committee did not agree to the amendment.

                AN AMENDMENT RELATED TO CARRIED INTEREST

    Representative John Yarmuth (D-KY) offered an amendment 
that would have changed the tax treatment of certain earnings 
as carried interest. Currently, the tax code allows certain 
private equity asset managers to pay taxes on their 
compensation as carried interest at the capital gains rate of 
20 percent, rather than as regular income at a rate based on 
the income brackets. The amendment would increase revenues by 
$19.5 billion over 10 years to account for this.
    The Committee defeated this amendment by a vote of 16 to 
18. During markup, Members of the Committee asserted that the 
Tax Cuts and Jobs Act is working and should be allowed to 
continue delivering benefits to the American people, rather 
than implementing a $19.5 billion tax increase. The Tax Cuts 
and Jobs Act addressed carried interest by extending the 
minimum holding period for capital gains treatment from one 
year to three years. For these reasons, the Committee did not 
agree to the amendment.

                  AN AMENDMENT RELATED TO GUN VIOLENCE

    Representative Seth Moulton (D-MA) offered an amendment 
that would increase mandatory spending by $75 million for the 
National Instant Criminal Background Check System (NICS). The 
amendment would offset the proposed mandatory spending increase 
with revenue increases by repealing portions of the Tax Cuts 
and Jobs Act.
    The Committee defeated the amendment by a vote of 10 to 18. 
Operated by the Federal Bureau of Investigation (FBI), NICS is 
a discretionary program funded through the annual 
appropriations process. This budget provides a 302(a) 
discretionary spending allocation to the Appropriations 
Committee, which through its Subcommittee on Commerce, Justice, 
Science, and Related Agencies, determines funding levels for 
Department of Justice activities, including NICS. The budget 
does not recommend any policy options that would impact NICS 
and assumes full funding for the FBI every year. Committee 
Members opposed the amendment's call for new mandatory spending 
for a discretionary program and the proposed use of tax 
increases as an offset. For these reasons, the Committee did 
not agree to the amendment.

         AN AMENDMENT RELATING TO THE EARNED INCOME TAX CREDIT

    Representative Ro Khanna (D-CA) offered an amendment that 
would have added a deficit-neutral reserve fund to improve or 
increase the Earned Income Tax Credit and pay for it by 
partially reversing the tax cuts in the 2017 tax reform law for 
both corporations and individuals.
    The Committee defeated the amendment by a vote of 11 to 17. 
During the debate, Members argued that the Earned Income Tax 
Credit program requires substantive reform before consideration 
of a credit increase. There is considerable fraud and abuse 
within the program, in addition to a high improper payment 
rate, according to a report by the Treasury Inspector General 
for Tax Administration. Members suggested the promotion of work 
and the removal of the marriage penalty as further possible 
reforms to the program. Without reforms to the program, 
Committee Members argued that expansion of the EITC would be 
irresponsible. For these reasons, the Committee did not agree 
to the amendment.

             AN AMENDMENT RELATED TO INFRASTRUCTURE FUNDING

    Representative Brian Higgins (D-NY) offered an amendment 
that would increase Function 920 Allowances budget authority by 
$1 trillion and outlays by $1 trillion over the 10-year budget 
window to invest in an infrastructure package. The amendment 
would also reverse policies within the 2017 tax reform 
legislation to fully offset this cost. Such offsets could 
include raising the corporate tax rate and restoring the top 
individual income tax rate up to the pre-tax reform level.
    The Committee defeated the amendment by a vote of 11 to 21. 
During the debate, Committee Members argued that the budget 
resolution already contains a deficit neutral reserve fund to 
accommodate for an infrastructure package, making any increase 
in budget authority or outlays unnecessary. Furthermore, the 
Budget Committee remains confident that the efforts between 
relevant congressional committees and the Executive Branch will 
produce a fiscally responsible legislative solution for the 
country's crumbling infrastructure. Lastly, the funding of this 
amendment would be offset by reversing policies within the 2017 
tax reform bill, which would be counterproductive and 
detrimental to the nation's workforce and economy. The Tax Cuts 
and Jobs Act is working and should be allowed to continue 
delivering benefits to the American people. For these reasons, 
the Committee did not agree to the amendment.

   AN AMENDMENT RELATED TO TRANSPORTATION AND INFRASTRUCTURE SPENDING

    Representative Salud Carbajal (D-CA) offered an amendment 
that would increase Function 400 Transportation budget 
authority by $66 billion and outlays by $115.5 billion over the 
10-year budget window. Added spending for this initiative is 
offset by partially reversing the 2017 tax reform law.
    The Committee defeated the amendment by a vote of 11 to 21. 
The budget contains a deficit neutral reserve fund in 
anticipation of an infrastructure package, making any spending 
increase to Function 400 unnecessary. Moreover, the Budget 
Committee remains confident that the efforts between both the 
Legislative Branch and the Executive Branch will produce a 
fiscally responsible solution to properly address the nation's 
surface transportation system. Lastly, the funding for this 
amendment would have been offset by partially reversing 
policies enacted in the 2017 tax reform law. The Tax Cuts and 
Jobs Act is working and should be allowed to continue 
delivering benefits to the American people. For these reasons, 
the Committee did not agree to the amendment.

       AN AMENDMENT RELATED TO S. 3036 KEEP FAMILIES TOGETHER ACT

    Representative Michelle Lujan Grisham (D-NM) offered an 
amendment that would add a policy statement to the budget 
resolution calling for Congress to pass S. 3036, Keep Families 
Together Act. S. 3036 prohibits the Department of Homeland 
Security, the Department of Justice, and the Department of 
Health and Human Services from removing a child who is under 
the age of 18 and has no permanent immigration status from his 
or her parent or legal guardian at the U.S. border.
    The Committee defeated the amendment by a vote of 9 to 16. 
Chairman Womack argued that while the amendment raised an 
important dialogue about immigration policy in our country, 
changes to existing policy should be considered in the 
Committees on the Judiciary and Homeland Security. Chairman 
Womack stated, ``While I know our Democratic colleagues are 
sincere in their efforts to change these policies, I do not 
believe the budget resolution, nor the Budget Committee, are 
the appropriate venues for doing so.'' Chairman Womack further 
explained that adoption of the amendment would distract from 
the critical overall objective of the budget resolution to 
address the long-term drivers of America's debt and deficits. 
For these reasons, the Committee did not agree to the 
amendment.

       AN AMENDMENT RELATED TO THE STATE AND LOCAL TAX DEDUCTION

    Representative Hakeem Jeffries (D-NY) offered an amendment 
that would have added a deficit-neutral reserve fund to 
eliminate the $10,000 cap for the state and local taxes (SALT) 
itemized deduction and pay for it by partially reversing the 
tax cuts in the 2017 tax reform law for both corporations and 
individuals.
    The Committee defeated the amendment by a vote of 11 to 14. 
During the debate, Committee Members offered evidence of the 
success of the Tax Cuts and Jobs Act, particularly with regard 
to the increase in the standard deduction for individual 
income. Committee Members entered into the record a study by 
the Tax Policy Center that estimates repealing the SALT 
deduction cap would result in 96 percent of benefits flowing to 
the top 20 percent of earners. Members also discussed the value 
of a Federalist system with respect to taxation and the 
popularity of states with lower tax rates for residency. For 
these reasons, the Committee did not agree to the amendment.

 AN AMENDMENT RELATED TO THE SURVIVOR BENEFIT PLAN AND DEPENDENCY AND 
                     INDEMNITY COMPENSATION BENEFIT

    Representative John Yarmuth (D-KY) offered an amendment 
that would increase mandatory spending to ensure all surviving 
military spouses receive full Survivor Benefit Plan (SBP) 
annuity payments without any reduction to offset the receipt of 
veterans Dependency and Indemnity Compensation (DIC).
    The Committee defeated this amendment by a vote of 14 to 
18. While the amendment raised an important dialogue and 
serious concerns about SBP and DIC repeal policy, actual 
changes to the policy must be made by the committee of 
jurisdiction. During the debate, Committee Members argued that 
the budget resolution is not the right vehicle to change a 
policy impacting military surviving spouses and that the issue 
should be left to the Committee on Armed Services, where the 
issue is currently being debated. For these reasons, the 
Committee did not agree to the amendment.

    AN AMENDMENT RELATED TO OVERSEAS CONTINGENCY OPERATIONS FUNDING

    Representative Barbara Lee (D-CA) offered an amendment that 
would amend the committee report to include a policy assumption 
eliminating the Overseas Contingency Operations (OCO)/Global 
War on Terrorism (GWOT) fund and raising the discretionary 
budgetary caps to fund contingency operations in the base 
budget.
    The Committee defeated the amendment by a vote of 15 to 17. 
The OCO/GWOT level in the budget resolution is consistent with 
the Bipartisan Budget Act of 2018, as well as the House-passed 
National Defense Authorization Act for Fiscal Year 2019. In 
addition, due to the uncertain nature of global conflicts, OCO/
GWOT funding provides flexibility for the U.S. military to 
adjust to unforeseen and evolving circumstances related to 
national security. For these reasons, the Committee did not 
agree to the amendment.

          AN AMENDMENT RELATED TO WATER INFRASTRUCTURE FUNDING

    Representative Michelle Lujan Grisham (D-NM) offered an 
amendment that would increase Function 300 Natural Resources 
and Environment budget authority and outlays by $7.5 billion 
and Function 450 Community and Regional Development budget 
authority and outlays by $2.5 billion over the budget window. 
The increased spending levels would go towards building and 
protecting the country's water infrastructure. Added spending 
for the amendment is offset by reversing portions of the 2017 
tax reform law.
    The Committee defeated the amendment by a vote of 11 to 21. 
During the debate, Committee Members argued the recently House-
passed Water Resources Development Act (WRDA) of 2018, an 
overwhelmingly bipartisan bill, addresses many of the concerns 
within the amendment's proposal. Additionally, the budget 
supports water infrastructure programs that are national in 
scope and federal in responsibility. Lastly, to offset the 
increased spending, this amendment would partially reversing 
policies within the 2017 tax law, which would be 
counterproductive and detrimental to the nation's workforce and 
economy. The Tax Cuts and Jobs Act is working and should be 
allowed to continue delivering benefits to the American people. 
For these reasons, the Committee did not agree to the 
amendment.

     AN AMENDMENT RELATED TO FUNDING WORKER EDUCATION AND TRAINING

    Representative Seth Moulton (D-MA) offered an amendment 
that would increase mandatory spending for workforce education 
and training. The increase in spending is offset by partially 
reversing the 2017 tax reform law.
    The Committee defeated the amendment by a vote of 13 to 20. 
The amendment would add to the web of duplicative workforce 
training programs. There are currently 42 training programs 
administered by the federal government, many of which are 
uncoordinated, inaccessible, and unaccountable. This amendment 
would further complicate the maze of programs and bureaucracy 
by creating yet another program funded with mandatory spending. 
The budget builds on the Workforce Innovation and Opportunity 
Act of 2014, which made important efforts to consolidate and 
streamline workforce training programs. Additionally, the 
budget appropriately empowers states with the flexibility to 
tailor funding and programs to specific needs of their 
workforce. Furthermore, the amendment would roll back portions 
of the Tax Cuts and Jobs Act to offset the increased spending, 
which would be counterproductive and detrimental to the 
nation's workforce and economy. The Tax Cuts and Jobs Act is 
working and should be allowed to continue delivering benefits 
to the American people. For these reasons, the Committee did 
not agree to the amendment.

              AN AMENDMENT RELATED TO ECONOMIC DEVELOPMENT

    Representative Suzan DelBene (D-WA) offered an amendment 
that would have added a deficit-neutral reserve fund to ensure 
economic growth and job creation in areas with high poverty, 
unemployment, food insecurity, homelessness and high 
foreclosure rates. The reserve fund would have been paid for by 
partially reversing provisions in the Tax Cuts and Jobs Act of 
2017.
    The Committee defeated the amendment by a vote of 13 to 21. 
Committee Members made the point that there are 92 different 
federal programs in a poorly coordinated effort to fight 
poverty. This approach is built on the premise that compassion 
is best measured by how much we spend, not by how many people 
we lift out of poverty. The government has spent trillions of 
dollars since the war on poverty began in the 1960s, but the 
overall poverty rate in the country has largely stayed the 
same. Members argued that the best anti-poverty program is a 
thriving economy with plenty of good jobs. As a result of the 
Tax Cuts and Jobs Act, the economy is in fact booming, and 
Americans are seeing real, tangible benefits. So far this year, 
the economy has created over 1 million new jobs and the 
unemployment rate has fallen to 3.8 percent, the lowest level 
in nearly 20 years. Rolling back the successes of the 2017 tax 
reform would be counterproductive and detrimental to the 
nation's workforce and economy. The Tax Cuts and Jobs Act is 
working and should be allowed to continue delivering benefits 
to the American people. For these reasons, the Committee did 
not agree to the amendment.

          AN AMENDMENT RELATED TO THE PARIS CLIMATE AGREEMENT

    Representative Debbie Wasserman Schultz (D-FL) offered an 
amendment to include a policy statement in the Chairman's Mark 
on climate change findings and the need for Congress to 
maintain commitments made in the Paris Climate Agreement.
    The Committee defeated the amendment by a vote of 13 to 21. 
According to the National Economic Research Associates, 
compliance with the terms of the Paris Accord and the onerous 
energy restrictions it placed on the United States would have 
cost America as many as 2.7 million lost jobs by 2025. This 
includes 440,000 fewer manufacturing jobs. The same study found 
that, by 2040, compliance with the Paris Climate Agreement 
would cut production for the following sectors: paper down 12 
percent; cement down 23 percent; iron and steel down 38 
percent; coal down 86 percent; and natural gas down 31 percent. 
The Committee agreed that the proposed amendment would have 
negative economic consequences-including close to $3 trillion 
in lost GDP, a loss of 6.5 million industrial jobs, and $7,000 
less in household income. For these reasons, the Committee did 
not agree to the amendment.

           AN AMENDMENT RELATED TO ACCESS TO HIGHER EDUCATION

    Representative Brendan Boyle (D-PA) offered an amendment 
that would increase spending for higher education programs. The 
increase in spending is offset by partially reversing the 2017 
tax reform law.
    The Committee defeated the amendment by a vote of 13 to 21. 
The Committee agrees that student debt is a growing problem. In 
fact, the budget contains a policy statement expressing its 
concern regarding the rapid rate of tuition growth. However, 
the best solution to this problem is to promote pro-growth 
policies that protect the student and taxpayer. The budget 
envisions a framework that uses federal aid more efficiently 
and invests in a sustainable higher education system that is 
good for students, institutions of higher education, and 
taxpayers. This amendment fails to address the underlying 
problems contributing to student debt and tuition inflation. 
Furthermore, the amendment would roll back portions of the Tax 
Cuts and Jobs Act to offset the increased spending, which would 
be counterproductive and detrimental to the nation's workforce 
and economy. The Tax Cuts and Jobs Act is working and should be 
allowed to continue delivering benefits to the American people. 
For these reasons, the Committee did not agree to the 
amendment.

     AN AMENDMENT RELATED TO DEPARTMENT OF STATE AND USAID FUNDING

    Representative Ro Khanna (D-CA) offered an amendment that 
would amend the committee report to include a policy statement 
to fully fund Function 150 International Affairs diplomatic and 
foreign aid operations.
    The Committee defeated the amendment by a vote of 13 to 21. 
The fiscal year 2019 budget already assumes full funding for 
core U.S. foreign policy priorities and does so in a 
responsible way. The budget assumes full funding for State 
Department operations, embassy security, international security 
assistance, along with international development operations, 
coupled with increased oversight, improved management, and 
better oversight of taxpayer dollars. For these reasons, the 
Committee did not agree to the amendment.

              AN AMENDMENT RELATED TO THE DECENNIAL CENSUS

    Representative Pramila Jayapal (D-WA) offered an amendment 
to include in the Chairman's Mark a policy statement that would 
prohibit the 2020 Census from asking households about 
citizenship and maintain adequate funding for the 2020 Census.
    The Committee defeated the amendment by a vote of 13 to 21. 
As recently as 2000 and throughout the twentieth century, 
versions of the Census have asked respondents whether they are 
U.S. citizens. That question has also been regularly posed on 
the annual American Community Survey since 2000. The very 
principle of ``one person, one vote'' should require that our 
government obtain an accurate count of all persons residing 
within congressional districts. Apportionment should require 
accurate representation of legal citizens. This budget provides 
a 302(a) discretionary spending allocation to the 
Appropriations Committee and assumes full funding for the U.S. 
Census Bureau and the 2020 Census. For these reasons, the 
Committee did not agree to the amendment.

    AN AMENDMENT RELATED TO DEPARTMENT OF VETERANS AFFAIRS SPENDING

    Representative Salud Carbajal (D-CA) offered an amendment 
that would increase veterans-related spending and offset the 
additional spending by partially reversing the Tax Cuts and 
Jobs Act.
    The Committee defeated the amendment by a vote of 13 to 21. 
The budget calls for $86.8 billion in discretionary funding for 
veterans benefits and services for fiscal year 2019, which is 
consistent with CBO's most recent baseline and also represents 
a 5.8 percent increase from fiscal year 2018 enacted levels. 
While the budget provides the resources necessary for the 
Department of Veterans Affairs (VA) to carry out its important 
mission, it also acknowledges that VA needs to better manage 
its resources to provide timely and high-quality care to 
veterans. Committee Members argued that the Tax Cuts and Jobs 
Act benefits veterans in a number of ways and that reversing 
those benefits would harm veterans. For these reasons, the 
Committee did not agree to the amendment.

   AN AMENDMENT RELATED TO FUNDING FOR THE INVESTIGATION OF RUSSIAN 
             INTERFERENCE IN THE 2016 PRESIDENTIAL ELECTION

    Representative Shelia Jackson Lee (D-TX) offered an 
amendment that would amend the committee report to support full 
funding for the Special Counsel investigation of Russian 
interference in the 2016 U.S. Presidential election.
    The Committee defeated the amendment by a vote of 13 to 21. 
During the debate, Committee Members argued the budget 
resolution does not recommend any policy options that would 
reduce funding for the Office of the Special Counsel at the 
Department of Justice. The Office of the Special Counsel is a 
discretionary program funded through the annual appropriations 
process. This budget provides a 302(a) discretionary spending 
allocation to the Appropriations Committee, which through its 
Subcommittee on Commerce, Justice, Science, and Related 
Agencies, determines funding levels for Department of Justice 
activities, including the Office of the Special Counsel, at 
levels they deem appropriate. For these reasons, the Committee 
did not agree to the amendment.

             AN AMENDMENT TO REDUCE PRESCRIPTION DRUG COSTS

    Representative Janice Schakowsky (D-IL) offered an 
amendment that would include a policy statement recognizing 
that the Affordable Care Act reduces prescription drug costs 
for Medicare beneficiaries and provides access to drug coverage 
for millions of Americans. Additionally, it states that 
prescriptions drug prices are on the rise due to abuses by 
private companies and consequently reduces access for patients.
    The Committee defeated the amendment by a vote of 13 to 21. 
During the debate, Committee Members argued that the budget 
fully supports patient access to prescription drugs--including 
a reduction in burdensome regulations that stymie innovation 
and reduce competition. The budget also supports a swifter 
process of review for new therapies by the Food and Drug 
Administration, as well as necessary funding to invest in 
biomedical research. For these reasons, the Committee did not 
agree to the amendment.

               OTHER MATTERS UNDER THE RULES OF THE HOUSE

                              ----------                              


     Committee on the Budget Oversight Findings and Recommendations

    Clause 3(c)(1) of Rule XIII of the Rules of the House of 
Representatives requires each committee report to contain 
oversight findings and recommendations pursuant to Clause 
2(b)(1) of Rule X. The Committee on the Budget has no findings 
to report at the present time.

   New Budget Authority, Entitlement Authority, and Tax Expenditures

    Clause 3(c)(2) of Rule XIII of the Rules of the House of 
Representatives provides that committee reports must contain 
the statement required by Section 308(a) of the Congressional 
Budget Act of 1974. This report does not contain such a 
statement because, as a concurrent resolution setting forth a 
blueprint for the congressional budget, the budget resolution 
does not provide new budget authority or new entitlement 
authority, and does not change revenues.

                General Performance Goals and Objectives

    Clause 3(c)(4) of Rule XIII of the Rules of the House of 
Representatives requires each committee report on a legislative 
measure to contain a statement of general performance goals and 
objectives, including outcome-related goals and objectives, for 
which the measure authorizes funding. The Committee on the 
Budget has no such goals and objectives to report at this time.

                       Views of Committee Members

    Clause 2(1) of Rule XI of the Rules of the House of 
Representatives requires each committee to afford members of 
the committee two days to file minority, additional, 
dissenting, or supplemental views on reported legislative 
measures, and to include the views in the report accompanying 
such legislation. The following views were submitted:

                             MINORITY VIEWS

                              ----------                              


               FY2019 Concurrent Resolution on the Budget

    Less than a year ago, Budget Committee Republicans laid the 
groundwork for enactment of a partisan tax bill that, despite 
passionate promises to the contrary from our Republican 
colleagues, is increasing our deficits and debt by trillions of 
dollars. Not a single Democrat voted for that plan--and for 
good reason. It was bad enough for our economy on its own, but 
we knew what would come next.
    The GOP's skyrocketing deficits are no accident. They are 
part of Congressional Republicans' three-step plan to dismantle 
much of what the American people need and want from their 
government. First, they passed deep tax cuts benefitting the 
wealthy with no plan or intention to pay for them. Then, they 
shed crocodile tears about the exploding deficits they 
themselves created. Finally, they demand extreme cuts to 
programs and priorities that are vital to American families, 
which is what this budget represents.
    This budget places the entire burden of deficit reduction 
on the middle class and struggling families. It does not call 
for even one penny of new revenue from closing tax loopholes 
for the wealthy or corporations. In contrast, it assumes a 
total of $5.8 trillion in spending cuts, at least $2.1 trillion 
from Medicare, Medicaid and other critical health care programs 
alone. It would end the Medicare guarantee and repeal the 
Affordable Care Act. It would cut more than $900 billion from 
programs that provide basic living standards for struggling 
families. Even Social Security and people with disabilities are 
not spared. The GOP Budget assumes a cut in the program's 
disability benefits, which it describes as ``a first step'' in 
Social Security reform.
    The resolution also significantly reduces federal 
investments in education, science, research, transportation, 
environmental protection and other priorities critical to 
expanding economic opportunity. While keeping non-defense 
discretionary (NDD) spending for next year at the recently 
agreed-upon level, it will dramatically cut these programs in 
the future. Funding will be slashed from $597 billion in 2019 
to $555 billion in 2028, a cut that is far deeper when 
inflation and population growth are factored in. This is not a 
tightening of the government's belt. These are radical, 
devastating cuts that will jeopardize the safety, health, and 
well-being of American families and communities while totally 
undermining our economic competitiveness.
    Committee Democrats offered many amendments that gave our 
colleagues the opportunity to fix these problems and make 
things right by our constituents. Because the American people 
want a government that works for them, they should at least 
have a Congress that can pass a budget that shares the public's 
priorities. Unfortunately, Committee Republicans rejected every 
one of these amendments.
    This resolution is a perfect example of how the 
Congressional budget process is broken. Like previous 
Republican budget resolutions, it is not a serious attempt at 
governing. It relies on fabricated numbers and fantasyland 
projections to achieve its claims of balance, completely 
ignoring the conclusions of experts and independent analysts. 
It provides for the extension of temporary tax provisions with 
no offsets, but somehow still counts the revenue from the 
expiration of these tax cuts they extend.
    This budget does not add up. It literally does not add up. 
But that makes sense, because it isn't about good governing and 
smart policy. It isn't about helping American families and 
making our country stronger. This budget is purely about 
messaging and political cover.
    That does not mean this budget should be dismissed out of 
hand. The American people need to see the priorities of 
Republicans in this Congress. They need to know that the GOP's 
single-minded focus on shrinking overall spending while cutting 
taxes for those at the top has effectively strangled any 
possibility of major new investments to address this country's 
significant and growing challenges, or to make meaningful 
improvements in the American people's lives.
    Republicans can ignore the real-world consequences of the 
policies assumed in the budget resolution, because for the most 
part they do not actually intend to push legislation this year 
that would translate this budget into reality. It is an 
opportunity for Republicans to cast a show vote, to pretend 
that they are fiscally responsible after enacting tax cuts for 
the rich that have dramatically increased deficits and debt.
    However, Republicans have managed to use the budget process 
to enact parts of their vision into law. Through reconciliation 
they enacted their tax scam, which also undermined a key 
component of the Affordable Care Act (ACA). Last year, they 
came close to destroying health care for millions of people, 
despite massive opposition from the American public. So we must 
take the Republican budget seriously, if not literally, to 
understand where Congressional Republicans want to take the 
country. It is not a place the American people want to go.

                                   John Yarmuth.
                                   Michelle Lujan Grisham.
                                   Hakeem S. Jeffries.
                                   Suzan K. DelBene.
                                   Brendan F. Boyle.
                                   Pramila Jayapal.
                                   Sheila Jackson Lee.
                                   Barbara Lee.
                                   Seth Moulton.
                                   Brian Higgins.
                                   Debbie Wasserman Schultz.
                                   Ro Khanna.
                                   Salud Carbajal.
                                   Janice D. Schakowsky.







115th CONGRESS
  2d Session
H. CON. RES. 128

Establishing the congressional budget for the United States 
Government for fiscal year 2019 and setting forth the 
appropriate budgetary levels for fiscal years 2020 through 
2028.

                         CONCURRENT RESOLUTION

Establishing the congressional budget for the United States 
Government for fiscal year 2019 and setting forth the 
appropriate budgetary levels for fiscal years 2020 through 
2028.
Resolved by the House of Representatives (the Senate 
concurring),

SECTION 1. CONCURRENT RESOLUTION ON THE BUDGET FOR FISCAL YEAR 2019.

  (a) Declaration.--The Congress determines and declares that 
prior concurrent resolutions on the budget are replaced as of 
fiscal year 2019 and that this concurrent resolution 
establishes the budget for fiscal year 2019 and sets forth the 
appropriate budgetary levels for fiscal years 2020 through 
2028.
  (b) TABLE OF CONTENTS.--The table of contents for this 
concurrent resolution is as follows:

Sec. 1. Concurrent resolution on the budget for fiscal year 
2019.

                TITLE I--RECOMMENDED LEVELS AND AMOUNTS

Sec. 101. Recommended levels and amounts.
Sec. 102. Major functional categories.

              TITLE II--RECONCILIATION AND RELATED MATTERS

Sec. 201. Reconciliation in the House of Representatives.

     TITLE III--BUDGET ENFORCEMENT IN THE HOUSE OF REPRESENTATIVES

Sec. 301. Point of order against increasing long-term direct 
spending.
Sec. 302. Allocation for Overseas Contingency Operations/Global 
War on Terrorism.
Sec. 303. Limitation on changes in certain mandatory programs.
Sec. 304. Limitation on advance appropriations.
Sec. 305. Estimates of debt service costs.
Sec. 306. Fair-value credit estimates.
Sec. 307. Adjustments for improved control of budgetary 
resources.
Sec. 308. Limitation on transfers from the general fund of the 
Treasury to the Highway Trust Fund.
Sec. 309. Prohibition on use of guarantee fees as an offset.
Sec. 310. Budgetary treatment of administrative expenses.
Sec. 311. Application and effect of changes in allocations and 
aggregates.
Sec. 312. Adjustments to reflect changes in concepts and 
definitions.
Sec. 313. Adjustment for changes in the baseline.
Sec. 314. Exercise of rulemaking powers.

        TITLE IV--RESERVE FUNDS IN THE HOUSE OF REPRESENTATIVES

Sec. 401. Deficit neutral reserve fund for investments in 
national infrastructure.
Sec. 402. Deficit neutral reserve fund for amendments to the 
Internal Revenue Code of 1986.
Sec. 403. Reserve fund for extending pro-growth tax policies.
Sec. 404. Reserve fund for the repeal or replacement of 
President Obama's health care laws.
Sec. 405. Deficit neutral reserve fund for the clarification of 
presumptions of service connection for veterans who served 
offshore of the Republic of Vietnam and Korea.

       TITLE V--POLICY STATEMENTS IN THE HOUSE OF REPRESENTATIVES

Sec. 501. Policy statement on unauthorized appropriations.
Sec. 502. Policy statement on improper payments.
Sec. 503. Policy statement on expenditures from agency fees and 
spending.
Sec. 504. Policy statement on combating the opioid epidemic.
Sec. 505. Policy statement on medical discovery, development, 
delivery, and innovation.
Sec. 506. Policy statement on Medicaid work requirements.
Sec. 507. Policy statement on Medicare.
Sec. 508. Policy statement on Social Security.
Sec. 509. Policy statement on higher education and workforce 
development opportunity.
Sec. 510. Policy statement on the Judgment Fund.

                TITLE I--RECOMMENDED LEVELS AND AMOUNTS

SEC. 101. RECOMMENDED LEVELS AND AMOUNTS.

  The following budgetary levels are appropriate for each of 
fiscal years 2019 through 2028:
  (1) Federal revenues.--For purposes of the enforcement of 
this concurrent resolution:
  (a) The recommended levels of Federal revenues are as 
follows:
    Fiscal year 2019: $2,590,496,000,000.
    Fiscal year 2020: $2,736,347,000,000.
    Fiscal year 2021: $2,845,396,000,000.
    Fiscal year 2022: $2,990,130,000,000.
    Fiscal year 2023: $3,164,364,000,000.
    Fiscal year 2024: $3,338,062,000,000.
    Fiscal year 2025: $3,513,201,000,000.
    Fiscal year 2026: $3,807,248,000,000.
    Fiscal year 2027: $4,058,110,000,000.
    Fiscal year 2028: $4,229,859,000,000.
  (b) The amounts by which the aggregate levels of Federal 
revenues should be changed are as follows:
    Fiscal year 2019: $0.
    Fiscal year 2020: $0.
    Fiscal year 2021: $0.
    Fiscal year 2022: $0.
    Fiscal year 2023: $0.
    Fiscal year 2024: $0.
    Fiscal year 2025: $0.
    Fiscal year 2026: $0.
    Fiscal year 2027: $0.
    Fiscal year 2028: $0.
  (2) New budget authority.--For purposes of the enforcement of 
this concurrent resolution, the appropriate levels of total new 
budget authority are as follows:
    Fiscal year 2019: $3,478,974,000,000.
    Fiscal year 2020: $3,488,774,000,000.
    Fiscal year 2021: $3,563,231,000,000.
    Fiscal year 2022: $3,669,991,000,000.
    Fiscal year 2023: $3,783,347,000,000.
    Fiscal year 2024: $3,856,688,000,000.
    Fiscal year 2025: $3,899,811,000,000.
    Fiscal year 2026: $4,005,410,000,000.
    Fiscal year 2027: $4,094,293,000,000.
    Fiscal year 2028: $4,125,676,000,000.
  (3) Budget Outlays.--For purposes of the enforcement of this 
concurrent resolution, the appropriate levels of total budget 
outlays are as follows:
    Fiscal year 2019: $3,379,438,000,000.
    Fiscal year 2020: $3,458,307,000,000.
    Fiscal year 2021: $3,545,070,000,000.
    Fiscal year 2022: $3,673,780,000,000.
    Fiscal year 2023: $3,761,485,000,000.
    Fiscal year 2024: $3,817,215,000,000.
    Fiscal year 2025: $3,870,702,000,000.
    Fiscal year 2026: $3,982,738,000,000.
    Fiscal year 2027: $4,066,253,000,000.
    Fiscal year 2028: $4,131,191,000,000.
  (4) Deficits (on-budget).--For purposes of the enforcement of 
this concurrent resolution, the amounts of the deficits (on-
budget) are as follows:
    Fiscal year 2019: $788,942,000,000.
    Fiscal year 2020: $721,960,000,000.
    Fiscal year 2021: $699,674,000,000.
    Fiscal year 2022: $683,650,000,000.
    Fiscal year 2023: $597,121,000,000.
    Fiscal year 2024: $479,153,000,000.
    Fiscal year 2025: $357,501,000,000.
    Fiscal year 2026: $175,490,000,000.
    Fiscal year 2027: $8,143,000,000.
    Fiscal year 2028: -$98,668,000,000.
  (5) Debt subject to limit.--The appropriate levels of debt 
subject to limit are as follows:
    Fiscal year 2019: $22,356,469,000,000.
    Fiscal year 2020: $23,216,315,000,000.
    Fiscal year 2021: $24,010,615,000,000.
    Fiscal year 2022: $24,735,181,000,000.
    Fiscal year 2023: $25,350,001,000,000.
    Fiscal year 2024: $25,832,181,000,000.
    Fiscal year 2025: $26,124,404,000,000.
    Fiscal year 2026: $26,275,988,000,000.
    Fiscal year 2027: $26,109,909,000,000.
    Fiscal year 2028: $25,750,525,000,000.
  (6) Debt held by the public.--The appropriate levels of debt 
held by the public are as follows:
    Fiscal year 2019: $16,568,177,000,000.
    Fiscal year 2020: $17,363,858,000,000.
    Fiscal year 2021: $18,125,630,000,000.
    Fiscal year 2022: $18,869,457,000,000.
    Fiscal year 2023: $19,512,838,000,000.
    Fiscal year 2024: $20,026,824,000,000.
    Fiscal year 2025: $20,412,479,000,000.
    Fiscal year 2026: $20,614,633,000,000.
    Fiscal year 2027: $20,645,322,000,000.
    Fiscal year 2028: $20,560,545,000,000.

SEC. 102. MAJOR FUNCTIONAL CATEGORIES.

  The Congress determines and declares that the appropriate 
levels of new budget authority and outlays for fiscal years 
2019 through 2028 for each major functional category are:
  (1) National Defense (050):
      Fiscal year 2019:
          (a) New budget authority,$656,500,000,000.
          (b) Outlays, $633,352,000,000.
      Fiscal year 2020:
          (a) New budget authority, $689,121,000,000.
          (b) Outlays, $655,961,000,000.
      Fiscal year 2021:
          (a) New budget authority, $723,190,000,000.
          (b) Outlays, $689,135,000,000.
      Fiscal year 2022:
          (a) New budget authority, $726,804,000,000.
          (b) Outlays, $709,118,000,000.
      Fiscal year 2023:
          (a) New budget authority, $730,442,000,000.
          (b) Outlays, $711,516,000,000.
      Fiscal year 2024:
          (a) New budget authority, $734,111,000,000.
          (b) Outlays, $713,215,000,000.
      Fiscal year 2025:
          (a) New budget authority, $737,806,000,000.
          (b) Outlays, $722,903,000,000.
      Fiscal year 2026:
          (a) New budget authority, $741,523,000,000.
          (b) Outlays, $726,681,000,000.
      Fiscal year 2027:
          (a) New budget authority, $745,277,000,000.
          (b) Outlays, $730,451,000,000.
      Fiscal year 2028:
          (a) New budget authority, $748,489,000,000.
          (b) Outlays, $739,313,000,000.
  (2) International Affairs (150):
      Fiscal year 2019:
          (a) New budget authority, $47,895,000,000.
          (b) Outlays, $43,551,000,000.
      Fiscal year 2020:
          (a) New budget authority, $49,063,000,000.
          (b) Outlays, $44,417,000,000.
      Fiscal year 2021:
          (a) New budget authority, $49,178,000,000.
          (b) Outlays, $45,351,000,000.
      Fiscal year 2022:
          (a) New budget authority, $47,379,000,000.
          (b) Outlays, $45,574,000,000.
      Fiscal year 2023:
          (a) New budget authority, $48,479,000,000.
          (b) Outlays, $46,321,000,000.
      Fiscal year 2024:
          (a) New budget authority, $49,711,000,000.
          (b) Outlays, $47,044,000,000.
      Fiscal year 2025:
          (a) New budget authority, $50,843,000,000.
          (b) Outlays, $47,790,000,000.
      Fiscal year 2026:
          (a) New budget authority, $52,031,000,000.
          (b) Outlays, $48,809,000,000.
      Fiscal year 2027:
          (a) New budget authority, $53,207,000,000.
          (b) Outlays, $49,880,000,000.
      Fiscal year 2028:
          (a) New budget authority, $54,401,000,000.
          (b) Outlays, $51,019,000,000.
  (3) General Science, Space, and Technology (250):
      Fiscal year 2019:
          (a) New budget authority, $29,497,000,000.
          (b) Outlays, $31,478,000,000.
      Fiscal year 2020:
          (a) New budget authority, $30,175,000,000.
          (b) Outlays, $30,856,000,000.
      Fiscal year 2021:
          (a) New budget authority, $30,901,000,000.
          (b) Outlays, $30,914,000,000.
      Fiscal year 2022:
          (a) New budget authority, $31,630,000,000.
          (b) Outlays, $31,267,000,000.
      Fiscal year 2023:
          (a) New budget authority, $32,361,000,000.
          (b) Outlays, $31,751,000,000.
      Fiscal year 2024:
          (a) New budget authority, $33,151,000,000.
          (b) Outlays, $32,457,000,000.
      Fiscal year 2025:
          (a) New budget authority, $33,910,000,000.
          (b) Outlays, $33,169,000,000.
      Fiscal year 2026: $34,674,000,000.
          (b) Outlays, $33,923,000,000.
      Fiscal year 2027:
          (a) New budget authority, $35,474,000,000.
          (b) Outlays, $34,688,000,000.
      Fiscal year 2028:
          (a) New budget authority, $36,278,000,000.
          (b) Outlays, $35,484,000,000.
  (4) Energy (270):
      Fiscal year 2019:
          (a) New budget authority, -$2,562,000,000.
          (b) Outlays, $4,224,000,000.
      Fiscal year 2020:
          (a) New budget authority, $2,737,000,000.
          (b) Outlays, $3,644,000,000.
      Fiscal year 2021:
          (a) New budget authority, -$11,118,000,000.
          (b) Outlays, -$10,770,000,000.
      Fiscal year 2022:
          (a) New budget authority, $1,118,000,000.
          (b) Outlays, $978,000,000.
      Fiscal year 2023:
          (a) New budget authority, $790,000,000.
          (b) Outlays, $158,000,000.
      Fiscal year 2024:
          (a) New budget authority, $1,116,000,000.
          (b) Outlays, $339,000,000.
      Fiscal year 2025:
          (a) New budget authority, $808,000,000.
          (b) Outlays, $35,000,000.
      Fiscal year 2026:
          (a) New budget authority, $618,000,000.
          (b) Outlays, -$147,000,000.
      Fiscal year 2027:
          (a) New budget authority, $625,000,000.
          (b) Outlays, $70,000,000.
      Fiscal year 2028:
          (a) New budget authority, $3,314,000,000.
          (b) Outlays, $2,764,000,000.
  (5) Natural Resources and Environment (300):
      Fiscal year 2019:
          (a) New budget authority, $52,244,000,000.
          (b) Outlays, $37,591,000,000.
      Fiscal year 2020:
          (a) New budget authority, $54,086,000,000.
          (b) Outlays, $37,858,000,000.
      Fiscal year 2021:
          (a) New budget authority, $54,651,000,000.
          (b) Outlays, $38,560,000,000.
      Fiscal year 2022:
          (a) New budget authority, $54,507,000,000.
          (b) Outlays, $38,500,000,000.
      Fiscal year 2023:
          (a) New budget authority, $56,796,000,000.
          (b) Outlays, $40,777,000,000.
      Fiscal year 2024:
          (a) New budget authority, $57,821,000,000.
          (b) Outlays, $41,991,000,000.
      Fiscal year 2025:
          (a) New budget authority, $58,540,000,000.
          (b) Outlays, $43,300,000,000.
      Fiscal year 2026:
          (a) New budget authority, $60,592,000,000.
          (b) Outlays, $45,923,000,000.
      Fiscal year 2027:
          (a) New budget authority, $62,269,000,000.
          (b) Outlays, $48,204,000,000.
      Fiscal year 2028:
          (a) New budget authority, $63,955,000,000.
          (b) Outlays, $50,499,000,000.
  (6) Agriculture (350):
      Fiscal year 2019:
          (a) New budget authority, $23,466,000,000.
          (b) Outlays, $22,546,000,000.
      Fiscal year 2020:
          (a) New budget authority, $21,993,000,000.
          (b) Outlays, $21,811,000,000.
      Fiscal year 2021:
          (a) New budget authority, $23,323,000,000.
          (b) Outlays, $22,940,000,000.
      Fiscal year 2022:
          (a) New budget authority, $21,182,000,000.
          (b) Outlays, $20,551,000,000.
      Fiscal year 2023:
          (a) New budget authority, $21,744,000,000.
          (b) Outlays, $21,051,000,000.
      Fiscal year 2024:
          (a) New budget authority, $22,245,000,000.
          (b) Outlays, $21,537,000,000.
      Fiscal year 2025:
          (a) New budget authority, $22,777,000,000.
          (b) Outlays, $22,032,000,000.
      Fiscal year 2026:
          (a) New budget authority, $23,544,000,000.
          (b) Outlays, $22,826,000,000.
      Fiscal year 2027:
          (a) New budget authority, $23,708,000,000.
          (b) Outlays, $22,979,000,000.
      Fiscal year 2028:
          (a) New budget authority, $24,423,000,000.
          (b) Outlays, $23,668,000,000.
  (7) Commerce and Housing Credit (370):
      Fiscal year 2019:
          (a) New budget authority, -$4,325,000,000.
          (b) Outlays, -$9,672,000,000.
      Fiscal year 2020:
          (a) New budget authority, -$10,200,000,000.
          (b) Outlays, -$16,540,000,000.
      Fiscal year 2021:
          (a) New budget authority, -$7,681,000,000.
          (b) Outlays, -$15,519,000,000.
      Fiscal year 2022:
          (a) New budget authority, -$8,337,000,000.
          (b) Outlays, -$17,403,000,000.
      Fiscal year 2023:
          (a) New budget authority, -$8,456,000,000.
          (b) Outlays, -$17,850,000,000.
      Fiscal year 2024:
          (a) New budget authority, -$6,951,000,000.
          (b) Outlays, -$16,399,000,000.
      Fiscal year 2025:
          (a) New budget authority, -$5,095,000,000.
          (b) Outlays, -$15,392,000,000.
      Fiscal year 2026:
          (a) New budget authority, -$5,225,000,000.
          (b) Outlays, -$15,083,000,000.
      Fiscal year 2027:
          (a) New budget authority, -$5,211,000,000.
          (b) Outlays, -$15,850,000,000.
      Fiscal year 2028:
          (a) New budget authority, -$5,714,000,000.
          (b) Outlays, -$15,759,000,000.
  (8) Transportation (400):
      Fiscal year 2019:
          (a) New budget authority, $95,233,000,000.
          (b) Outlays, $92,465,000,000.
      Fiscal year 2020:
          (a) New budget authority, $88,996,000,000.
          (b) Outlays, $93,556,000,000.
      Fiscal year 2021:
          (a) New budget authority, $70,979,000,000.
          (b) Outlays, $91,134,000,000.
      Fiscal year 2022:
          (a) New budget authority, $71,617,000,000.
          (b) Outlays, $82,757,000,000.
      Fiscal year 2023:
          (a) New budget authority, $72,400,000,000.
          (b) Outlays, $79,100,000,000.
      Fiscal year 2024:
          (a) New budget authority, $73,241,000,000.
          (b) Outlays, $77,767,000,000.
      Fiscal year 2025:
          (a) New budget authority, $73,995,000,000.
          (b) Outlays, $76,819,000,000.
      Fiscal year 2026:
          (a) New budget authority, $74,919,000,000.
          (b) Outlays, $76,375,000,000.
      Fiscal year 2027:
          (a) New budget authority, $75,995,000,000.
          (b) Outlays, $76,730,000,000.
      Fiscal year 2028:
          (a) New budget authority, $76,947,000,000.
          (b) Outlays, $77,208,000,000.
  (9) Community and Regional Development (450):
      Fiscal year 2019:
          (a) New budget authority, $74,678,000,000.
          (b) Outlays, $44,532,000,000.
      Fiscal year 2020:
          (a) New budget authority, $76,515,000,000.
          (b) Outlays, $49,572,000,000.
      Fiscal year 2021:
          (a) New budget authority, $78,061,000,000.
          (b) Outlays, $51,887,000,000.
      Fiscal year 2022:
          (a) New budget authority, $79,707,000,000.
          (b) Outlays, $56,856,000,000.
      Fiscal year 2023:
          (a) New budget authority, $81,455,000,000.
          (b) Outlays, $58,222,000,000.
      Fiscal year 2024:
          (a) New budget authority, $83,389,000,000.
          (b) Outlays, $63,143,000,000.
      Fiscal year 2025:
          (a) New budget authority, $85,269,000,000.
          (b) Outlays, $68,023,000,000.
      Fiscal year 2026:
          (a) New budget authority, $87,176,000,000.
          (b) Outlays, $72,584,000,000.
      Fiscal year 2027:
          (a) New budget authority, $89,092,000,000.
          (b) Outlays, $76,130,000,000.
      Fiscal year 2028:
          (a) New budget authority, $90,978,000,000.
          (b) Outlays, $79,533,000,000.
  (10) Education, Training, Employment, and Social Services 
(500):
      Fiscal year 2019:
          (a) New budget authority, $89,643,000,000.
          (b) Outlays, $105,795,000,000.
      Fiscal year 2020:
          (a) New budget authority, $98,245,000,000.
          (b) Outlays, $98,277,000,000.
      Fiscal year 2021:
          (a) New budget authority, $99,900,000,000.
          (b) Outlays, $99,773,000,000.
      Fiscal year 2022:
          (a) New budget authority, $98,956,000,000.
          (b) Outlays, $99,596,000,000.
      Fiscal year 2023:
          (a) New budget authority, $97,736,000,000.
          (b) Outlays, $98,801,000,000.
      Fiscal year 2024:
          (a) New budget authority, $97,412,000,000.
          (b) Outlays, $98,190,000,000.
      Fiscal year 2025:
          (a) New budget authority, $98,529,000,000.
          (b) Outlays, $99,054,000,000.
      Fiscal year 2026:
          (a) New budget authority, $99,359,000,000.
          (b) Outlays, $99,997,000,000.
      Fiscal year 2027:
          (a) New budget authority, $100,277,000,000.
          (b) Outlays, $100,930,000,000.
      Fiscal year 2028:
          (a) New budget authority, $102,041,000,000.
          (b) Outlays, $102,520,000,000.
  (11) Health (550):
      Fiscal year 2019:
          (a) New budget authority, $577,947,000,000.
          (b) Outlays, $529,709,000,000.
      Fiscal year 2020:
          (a) New budget authority, $535,605,000,000.
          (b) Outlays, $513,181,000,000.
      Fiscal year 2021:
          (a) New budget authority, $493,983,000,000.
          (b) Outlays, $484,274,000,000.
      Fiscal year 2022:
          (a) New budget authority, $539,822,000,000.
          (b) Outlays, $526,335,000,000.
      Fiscal year 2023:
          (a) New budget authority, $562,960,000,000.
          (b) Outlays, $547,080,000,000.
      Fiscal year 2024:
          (a) New budget authority, $574,422,000,000.
          (b) Outlays, $567,644,000,000.
      Fiscal year 2025:
          (a) New budget authority, $598,546,000,000.
          (b) Outlays, $591,133,000,000.
      Fiscal year 2026:
          (a) New budget authority, $624,915,000,000.
          (b) Outlays, $615,878,000,000.
      Fiscal year 2027:
          (a) New budget authority, $634,591,000,000.
          (b) Outlays, $633,703,000,000.
      Fiscal year 2028:
          (a) New budget authority, $656,144,000,000.
          (b) Outlays, $652,492,000,000.
  (12) Medicare (570):
      Fiscal year 2019:
          (a) New budget authority, $648,039,000,000.
          (b) Outlays, $647,663,000,000.
      Fiscal year 2020:
          (a) New budget authority, $675,326,000,000.
          (b) Outlays, $674,993,000,000.
      Fiscal year 2021:
          (a) New budget authority, $727,232,000,000.
          (b) Outlays, $726,856,000,000.
      Fiscal year 2022:
          (a) New budget authority, $813,149,000,000.
          (b) Outlays, $812,779,000,000.
      Fiscal year 2023:
          (a) New budget authority, $831,639,000,000.
          (b) Outlays, $831,271,000,000.
      Fiscal year 2024:
          (a) New budget authority, $829,127,000,000.
          (b) Outlays, $828,754,000,000.
      Fiscal year 2025:
          (a) New budget authority, $904,939,000,000.
          (b) Outlays, $904,559,000,000.
      Fiscal year 2026:
          (a) New budget authority, $962,152,000,000.
          (b) Outlays, $961,762,000,000.
      Fiscal year 2027:
          (a) New budget authority, $1,023,360,000,000.
          (b) Outlays, $1,022,973,000,000.
      Fiscal year 2028:
          (a) New budget authority, $1,150,826,000,000.
          (b) Outlays, $1,150,437,000,000.
  (13) Income Security (600):
      Fiscal year 2019:
          (a) New budget authority, $489,346,000,000.
          (b) Outlays, $479,169,000,000.
      Fiscal year 2020:
          (a) New budget authority, $484,668,000,000.
          (b) Outlays, $475,993,000,000.
      Fiscal year 2021:
          (a) New budget authority, $494,922,000,000.
          (b) Outlays, $486,381,000,000.
      Fiscal year 2022:
          (a) New budget authority, $508,298,000,000.
          (b) Outlays, $506,383,000,000.
      Fiscal year 2023:
          (a) New budget authority, $518,765,000,000.
          (b) Outlays, $511,705,000,000.
      Fiscal year 2024:
          (a) New budget authority, $504,105,000,000.
          (b) Outlays, $492,173,000,000.
      Fiscal year 2025:
          (a) New budget authority, $513,490,000,000.
          (b) Outlays, $502,427,000,000.
      Fiscal year 2026:
          (a) New budget authority, $523,311,000,000.
          (b) Outlays, $517,955,000,000.
      Fiscal year 2027:
          (a) New budget authority, $518,373,000,000.
          (b) Outlays, $509,731,000,000.
      Fiscal year 2028:
          (a) New budget authority, $526,827,000,000.
          (b) Outlays, $523,951,000,000.
  (14) Social Security (650):
      Fiscal year 2019:
          (a) New budget authority, $35,977,000,000.
          (b) Outlays, $35,977,000,000.
      Fiscal year 2020:
          (a) New budget authority, $39,035,000,000.
          (b) Outlays, $39,035,000,000.
      Fiscal year 2021:
          (a) New budget authority,$42,028,000,000.
          (b) Outlays, $42,028,000,000.
      Fiscal year 2022:
          (a) New budget authority, $45,053,000,000.
          (b) Outlays, $45,053,000,000.
      Fiscal year 2023:
          (a) New budget authority, $48,312,000,000.
          (b) Outlays, $48,312,000,000.
      Fiscal year 2024:
          (a) New budget authority, $51,893,000,000.
          (b) Outlays, $51,893,000,000.
      Fiscal year 2025:
          (a) New budget authority, $55,894,000,000.
          (b) Outlays, $55,894,000,000.
      Fiscal year 2026:
          (a) New budget authority, $66,328,000,000.
          (b) Outlays, $66,328,000,000.
      Fiscal year 2027:
          (a) New budget authority, $72,886,000,000.
          (b) Outlays, $72,886,000,000.
      Fiscal year 2028:
          (a) New budget authority, $78,066,000,000.
          (b) Outlays, $78,066,000,000.
  (15) Veterans Benefits and Services (700):
      Fiscal year 2019:
          (a) New budget authority, $196,374,000,000.
          (b) Outlays, $194,161,000,000.
      Fiscal year 2020:
          (a) New budget authority, $202,515,000,000.
          (b) Outlays, $200,642,000,000.
      Fiscal year 2021:
          (a) New budget authority, $208,785,000,000.
          (b) Outlays, $207,057,000,000.
      Fiscal year 2022:
          (a) New budget authority, $215,491,000,000.
          (b) Outlays, $222,548,000,000.
      Fiscal year 2023:
          (a) New budget authority, $221,047,000,000.
          (b) Outlays, $219,458,000,000.
      Fiscal year 2024:
          (a) New budget authority, $227,178,000,000.
          (b) Outlays, $215,929,000,000.
      Fiscal year 2025:
          (a) New budget authority, $234,772,000,000.
          (b) Outlays, $232,629,000,000.
      Fiscal year 2026:
          (a) New budget authority, $241,792,000,000.
          (b) Outlays, $239,579,000,000.
      Fiscal year 2027:
          (a) New budget authority, $249,111,000,000.
          (b) Outlays, $246,815,000,000.
      Fiscal year 2028:
          (a) New budget authority, $258,125,000,000.
          (b) Outlays, $266,787,000,000.
  (16) Administration of Justice (750):
      Fiscal year 2019:
          (a) New budget authority, $58,262,000,000.
          (b) Outlays, $62,957,000,000.
      Fiscal year 2020:
          (a) New budget authority, $64,972,000,000.
          (b) Outlays, $64,940,000,000.
      Fiscal year 2021:
          (a) New budget authority, $65,478,000,000.
          (b) Outlays, $68,896,000,000.
      Fiscal year 2022:
          (a) New budget authority, $67,095,000,000.
          (b) Outlays, $68,372,000,000.
      Fiscal year 2023:
          (a) New budget authority, $69,050,000,000.
          (b) Outlays, $69,095,000,000.
      Fiscal year 2024:
          (a) New budget authority, $70,873,000,000.
          (b) Outlays, $70,270,000,000.
      Fiscal year 2025:
          (a) New budget authority, $72,651,000,000.
          (b) Outlays, $72,125,000,000.
      Fiscal year 2026:
          (a) New budget authority, $74,212,000,000.
          (b) Outlays, $73,672,000,000.
      Fiscal year 2027:
          (a) New budget authority, $76,027,000,000.
          (b) Outlays, $75,406,000,000.
      Fiscal year 2028:
          (a) New budget authority, $77,902,000,000.
          (b) Outlays, $77,190,000,000.
  (17) General Government (800):
      Fiscal year 2019:
          (a) New budget authority, $23,291,000,000.
          (b) Outlays, $22,963,000,000.
      Fiscal year 2020:
          (a) New budget authority, $24,354,000,000.
          (b) Outlays, $23,926,000,000.
      Fiscal year 2021:
          (a) New budget authority, $24,268,000,000.
          (b) Outlays, $23,741,000,000.
      Fiscal year 2022:
          (a) New budget authority, $25,155,000,000.
          (b) Outlays, $24,737,000,000.
      Fiscal year 2023:
          (a) New budget authority, $24,792,000,000.
          (b) Outlays, $24,375,000,000.
      Fiscal year 2024:
          (a) New budget authority, $28,409,000,000.
          (b) Outlays, $27,797,000,000.
      Fiscal year 2025:
          (a) New budget authority, $29,010,000,000.
          (b) Outlays, $28,575,000,000.
      Fiscal year 2026:
          (a) New budget authority, $29,009,000,000.
          (b) Outlays, $28,564,000,000.
      Fiscal year 2027:
          (a) New budget authority, $29,276,000,000.
          (b) Outlays, $28,819,000,000.
      Fiscal year 2028:
          (a) New budget authority, $29,539,000,000.
          (b) Outlays, $29,076,000,000.
  (18) Net Interest (900):
      Fiscal year 2019:
          (a) New budget authority, $468,919,000,000.
          (b) Outlays, $468,919,000,000.
      Fiscal year 2020:
          (a) New budget authority, $557,681,000,000.
          (b) Outlays, $557,681,000,000.
      Fiscal year 2021:
          (a) New budget authority, $634,898,000,000.
          (b) Outlays, $634,898,000,000.
      Fiscal year 2022:
          (a) New budget authority, $693,003,000,000.
          (b) Outlays, $693,003,000,000.
      Fiscal year 2023:
          (a) New budget authority, $731,591,000,000.
          (b) Outlays, $731,591,000,000.
      Fiscal year 2024:
          (a) New budget authority, $747,462,000,000.
          (b) Outlays, $747,462,000,000.
      Fiscal year 2025:
          (a) New budget authority, $756,694,000,000.
          (b) Outlays, $756,694,000,000.
      Fiscal year 2026:
          (a) New budget authority, $768,371,000,000.
          (b) Outlays, $768,371,000,000.
      Fiscal year 2027:
          (a) New budget authority, $778,354,000,000.
          (b) Outlays, $778,354,000,000.
      Fiscal year 2028:
          (a) New budget authority, $784,714,000,000.
          (b) Outlays, $784,714,000,000.
  (19) Allowances (920):
      Fiscal year 2019:
          (a) New budget authority, -$17,572,000,000.
          (b) Outlays, -$9,243,000,000.
      Fiscal year 2020:
          (a) New budget authority, -$94,357,000,000.
          (b) Outlays, -$54,296,000,000.
      Fiscal year 2021:
          (a) New budget authority, -$98,283,000,000.
          (b) Outlays, -$80,340,000,000.
      Fiscal year 2022:
          (a) New budget authority, -$102,752,000,000.
          (b) Outlays, -$93,350,000,000.
      Fiscal year 2023:
          (a) New budget authority, -$106,018,000,000.
          (b) Outlays, -$99,424,000,000.
      Fiscal year 2024:
          (a) New budget authority, -$110,314,000,000.
          (b) Outlays, -$105,251,000,000.
      Fiscal year 2025:
          (a) New budget authority, -$113,655,000,000.
          (b) Outlays, -$108,861,000,000.
      Fiscal year 2026:
          (a) New budget authority, -$116,726,000,000.
          (b) Outlays, -$112,133,000,000.
      Fiscal year 2027:
          (a) New budget authority, -$120,207,000,000.
          (b) Outlays, -$115,437,000,000.
      Fiscal year 2028:
          (a) New budget authority, -$118,070,000,000.
          (b) Outlays, -$116,294,000,000.
  (20) Government-wide savings and adjustments (930):
      Fiscal year 2019:
          (a) New budget authority,-$57,938,000,000.
          (b) Outlays, -$14,621,000,000.
      Fiscal year 2020:
          (a) New budget authority, -$77,022,000,000.
          (b) Outlays, -$21,022,000,000.
      Fiscal year 2021:
          (a) New budget authority, -$95,693,000,000.
          (b) Outlays, -$46,793,000,000.
      Fiscal year 2022:
          (a) New budget authority, -$193,392,000,000.
          (b) Outlays, -$140,888,000,000.
      Fiscal year 2023:
          (a) New budget authority, -$172,195,000,000.
          (b) Outlays, -$119,359,000,000.
      Fiscal year 2024:
          (a) New budget authority, -$122,509,000,000.
          (b) Outlays, -$72,158,000,000.
      Fiscal year 2025:
          (a) New budget authority, -$209,017,000,000.
          (b) Outlays, -$161,896,000,000.
      Fiscal year 2026:
          (a) New budget authority, -$227,777,000,000.
          (b) Outlays, -$184,208,000,000.
      Fiscal year 2027:
          (a) New budget authority, -$234,560,000,000.
          (b) Outlays, -$198,851,000,000.
      Fiscal year 2028:
          (a) New budget authority, -$385,389,000,000.
          (b) Outlays, -$333,720,000,000.
  (21) Undistributed Offsetting Receipts (950):
      Fiscal year 2019:
          (a) New budget authority, -$82,940,000,000.
          (b) Outlays, -$82,940,000,000.
      Fiscal year 2020:
          (a) New budget authority, -$84,734,000,000.
          (b) Outlays, -$84,734,000,000.
      Fiscal year 2021:
          (a) New budget authority, -$88,771,000,000.
          (b) Outlays, -$88,771,000,000.
      Fiscal year 2022:
          (a) New budget authority, -$91,494,000,000.
          (b) Outlays, -$91,494,000,000.
      Fiscal year 2023:
          (a) New budget authority, -$92,343,000,000.
          (b) Outlays, -$92,343,000,000.
      Fiscal year 2024:
          (a) New budget authority, -$101,204,000,000.
          (b) Outlays, -$101,204,000,000.
      Fiscal year 2025:
          (a) New budget authority, -$112,895,000,000.
          (b) Outlays, -$112,895,000,000.
      Fiscal year 2026:
          (a) New budget authority, -$109,388,000,000.
          (b) Outlays, -$109,388,000,000.
      Fiscal year 2027:
          (a) New budget authority, -$113,631,000,000.
          (b) Outlays, -$113,631,000,000.
      Fiscal year 2028:
          (a) New budget authority, -$128,120,000,000.
          (b) Outlays, -$128,120,000,000.
  (22) Overseas Contingency Operations/Global War on Terrorism 
(970):
      Fiscal year 2019:
          (a) New budget authority, $77,000,000,000.
          (b) Outlays, $38,862,000,000.
      Fiscal year 2020:
          (a) New budget authority, $60,000,000,000.
          (b) Outlays, $48,555,000,000.
      Fiscal year 2021:
          (a) New budget authority, $43,000,000,000.
          (b) Outlays, $43,438,000,000.
      Fiscal year 2022:
          (a) New budget authority, $26,000,000,000.
          (b) Outlays, $32,507,000,000.
      Fiscal year 2023:
          (a) New budget authority, $12,000,000,000.
          (b) Outlays, $19,877,000,000.
      Fiscal year 2024:
          (a) New budget authority, $12,000,000,000.
          (b) Outlays, $14,622,000,000.
      Fiscal year 2025:
          (a) New budget authority, $12,000,000,000.
          (b) Outlays, $12,585,000,000.
      Fiscal year 2026:
          (a) New budget authority, $0.
          (b) Outlays, $4,470,000,000.
      Fiscal year 2027:
          (a) New budget authority, $0.
          (b) Outlays, $1,274,000,000.
      Fiscal year 2028:
          (a) New budget authority, $0.
          (b) Outlays, $363,000,000.

              TITLE II--RECONCILIATION AND RELATED MATTERS

SEC. 201. RECONCILIATION IN THE HOUSE OF REPRESENTATIVES.

  (a) Sumissions Providing For Reconciliation.--Not later than 
September 14, 2018, the committees named in subsection (b) 
shall submit recommendations on changes in laws within their 
jurisdictions to the Committee on the Budget of the House of 
Representatives that would achieve the specified reduction in 
the deficit for the period of fiscal years 2019 through 2028.
  (b) Instructions.
          (1) Committee on agriculture.--The Committee on 
        Agriculture shall submit changes in laws within its 
        jurisdiction sufficient to reduce the deficit by 
        $1,000,000,000 for the period of fiscal years 2019 
        through 2028.
          (2) Committee on armed services.--The Committee on 
        Armed Services shall submit changes in laws within its 
        jurisdiction sufficient to reduce the deficit by 
        $1,000,000,000 for the period of fiscal years 2019 
        through 2028.
          (3) Committee on education and the workforce.--The 
        Committee on Education and the Workforce shall submit 
        changes in laws within its jurisdiction sufficient to 
        reduce the deficit by $20,000,000,000 for the period of 
        fiscal years 2019 through 2028.
          (4) Committee on energy and commerce.--The Committee 
        on Energy and Commerce shall submit changes in laws 
        within its jurisdiction sufficient to reduce the 
        deficit by $20,000,000,000 for the period of fiscal 
        years 2019 through 2028.
          (5) Committee on financial services.--The Committee 
        on Financial Services shall submit changes in laws 
        within its jurisdiction sufficient to reduce the 
        deficit by $24,000,000,000 for the period of fiscal 
        years 2019 through 2028.
          (6) Committee on homeland security.--The Committee on 
        Homeland Security shall submit changes in laws within 
        its jurisdiction sufficient to reduce the deficit by 
        $3,000,000,000 for the period of fiscal years 2019 
        through 2028.
          (7) Committee on the judiciary.--The Committee on the 
        Judiciary shall submit changes in laws within its 
        jurisdiction sufficient to reduce the deficit by 
        $45,000,000,000 for the period of fiscal years 2019 
        through 2028.
          (8) Committee on Natural Resources.--The Committee on 
        Natural Resources shall submit changes in laws within 
        its jurisdiction sufficient to reduce the deficit by 
        $5,000,000,000 for the period of fiscal years 2019 
        through 2028.
          (9) Committee on oversight and government reform.--
        The Committee on Oversight and Government Reform shall 
        submit changes in laws within its jurisdiction 
        sufficient to reduce the deficit by $32,000,000,000 for 
        the period of fiscal years 2019 through 2028.
          (10) Committee on veterans' affairs.--The Committee 
        on Veterans' Affairs shall submit changes in laws 
        within its jurisdiction sufficient to reduce the 
        deficit by $1,000,000,000 for the period of fiscal 
        years 2019 through 2028.
          (11) Committee on ways and means.--The Committee on 
        Ways and Means shall submit changes in laws within its 
        jurisdiction sufficient to reduce the deficit by 
        $150,000,000,000 for the period of fiscal years 2019 
        through 2028.

     TITLE III--BUDGET ENFORCEMENT IN THE HOUSE OF REPRESENTATIVES

SEC. 301. POINT OF ORDER AGAINST INCREASING LONGTERM DIRECT SPENDING.

  (a) Point Of Order.--It shall not be in order in the House of 
Representatives to consider any bill or joint resolution, or 
amendment thereto or conference report thereon, that would 
cause a net increase in direct spending in excess of 
$5,000,000,000 in any of the 4 consecutive 10-fiscal year 
periods described in subsection (b).
  (b) Congressional Budget Office Analysis of Proposals.--The 
Director of the Congressional Budget Office shall, to the 
extent practicable, prepare an estimate of whether a bill or 
joint resolution reported by a committee (other than the 
Committee on Appropriations), or amendment thereto or 
conference report thereon, would cause, relative to current 
law, a net increase in direct spending in the House of 
Representatives, in excess of $5,000,000,000 in any of the 4 
consecutive 10-fiscal year periods beginning with the first 
fiscal year that is 10 fiscal years after the current fiscal 
year.
  (c) Limitation.--In the House of Representatives, the 
provisions of this section shall not apply to any bills or 
joint resolutions, or amendments thereto or conference reports 
thereon, for which the chair of the Committee on the Budget has 
made adjustments to the allocations, aggregates, or other 
budgetary levels in this concurrent resolution.
  (d) Determinations of Budget Levels.--For purposes of this 
section, the levels of net increases in direct spending shall 
be determined on the basis of estimates provided by the chair 
of the Committee on the Budget of the House of Representatives.

SEC. 302. ALLOCATION FOR OVERSEAS CONTINGENCY OPERATIONS/GLOBAL WAR ON 
                    TERRORISM.

  (a) Separate Allocation For Overseas Contingency Operations/
Global War on Terrorism.--In the House of Representatives, 
there shall be a separate allocation of new budget authority 
and outlays provided to the Committee on Appropriations for the 
purposes of Overseas Contingency Operations/Global War on 
Terrorism, which shall be deemed to be an allocation under 
section 302(a) of the Congressional Budget Act of 1974. Section 
302(a)(3) of such Act shall not apply to such separate 
allocation.
  (b) Section 302 Allocations.--The separate allocation 
referred to in subsection (a) shall be the exclusive allocation 
for Overseas Contingency Operations/Global War on Terrorism 
under section 302(b) of the Congressional Budget Act of 1974. 
The Committee on Appropriations of the House of Representatives 
may provide suballocations of such separate allocation under 
such section 4 302(b).
  (c) Application.--For purposes of enforcing the separate 
allocation referred to in subsection (a) under section 302(f) 
of the Congressional Budget Act of 1974, the ``first fiscal 
year'' and the ``total of fiscal years'' shall be deemed to 
refer to fiscal year 2019. Section 302(c) of such Act shall not 
apply to such separate allocation.
  (d) Designations.--New budget authority or outlays shall only 
be counted toward the allocation referred to in subsection (a) 
if designated pursuant to section 251(b)(2)(A)(ii) of the 
Balanced Budget and Emergency Deficit Control Act of 1985.
  (e) Adjustments.--For purposes of subsection (a) for fiscal 
year 2019, no adjustment shall be made under section 314(a) of 
the Congressional Budget Act of 1974 if any adjustment would be 
made under section 251(b)(2)(A)(ii) of the Balanced Budget and 
Emergency Deficit Control Act of 1985.
  (f) Adjustments to Fund Overseas Contingency Operations/
Global War on Terrorism.--In the House of Representatives, the 
chair of the Committee on the Budget may adjust the 
allocations, aggregates, and other appropriate budgetary levels 
related to Overseas Contingency Operations/Global War on 
Terrorism or the allocation under section 302(a) of the 
Congressional Budget Act of 1974 to the Committee on 
Appropriations set forth in the report or joint explanatory 
statement of managers, as applicable, accompanying this 
concurrent resolution as necessary.

SEC. 303. LIMITATION ON CHANGES IN CERTAIN MANDATORY PROGRAMS.

  (a) Definition.--In this section, the term ``change in 
mandatory programs'' means a provision that (1) would have been 
estimated as affecting direct spending or receipts under 
section 252 of the Balanced Budget and Emergency Deficit 
Control Act of 1985 (as in effect prior to September 30, 2002) 
if the provision were included in legislation other than 
appropriation Acts; and
          (2) results in a net decrease in budget authority in 
        the budget year, but does not result in a net decrease 
        in outlays over the total of the current year, the 
        budget year, and all fiscal years covered under the 
        most recently agreed to concurrent resolution on the 
        budget.
  (b) Point of Order in The House of Representatives.
          (1) In general.--In the House of Representatives, it 
        shall not be in order to consider a bill or joint 
        resolution making appropriations for a full fiscal year 
        that includes a provision that proposes a change in 
        mandatory programs, or amendment thereto or conference 
        report thereon, that, if enacted, would cause the 
        absolute value of the total budget authority of all 
        such changes in mandatory programs enacted in relation 
        to a full fiscal year to be more than the amount 
        specified in paragraph (2).
          (2) Amount.--The amount specified in this paragraph 
        is (a) for fiscal year 2019, $17,000,000,000; and
  (b) for fiscal year 2020, $15,000,000,000.
  (c) Determination.--For purposes of this section, budgetary 
levels shall be determined on the basis of estimates provided 
by the chair of the Committee on the Budget of the House of 
Representatives.

SEC. 304. LIMITATION ON ADVANCE APPROPRIATIONS.

  (a) In General.--In the House of Representatives, except as 
provided for in subsection (b), it shall not be in order to 
consider any general appropriation bill or bill or joint 
resolution continuing appropriations, or amendment thereto or 
conference report thereon, that provides advance 
appropriations.
  (b) Exceptions.--An advance appropriation may be provided for 
programs, projects, activities, or accounts identified in the 
report or the joint explanatory statement of managers, as 
applicable, accompanying this concurrent resolution under the 
following headings:
          (1) General.--``Accounts Identified for Advance 
        Appropriations''.
          (2) Veterans.--``Veterans Accounts Identified for 
        Advance Appropriations''.
  (c) Limitations.--The aggregate level of advance 
appropriations shall not exceed the following:
          (1) General.--$29,014,001,000 in new budget authority 
        for all programs identified pursuant to subsection 
        (b)(1).
          (2) Veterans.--$75,550,600,000 in new budget 
        authority for programs in the Department of Veterans 
        Affairs identified pursuant to subsection (b)(2).
  (d) Definition.--The term ``advance appropriation'' means any 
new discretionary budget authority provided in a general 
appropriation bill or bill or joint resolution continuing 
appropriations for fiscal year 2019, or any amendment thereto 
or conference report thereon, that first 1 becomes available 
for the first fiscal year following fiscal 2 year 2019.

SEC. 305. ESTIMATES OF DEBT SERVICE COSTS.

    In the House of Representatives, the chair of the Committee 
on the Budget may direct the Congressional Budget Office to 
include, in any estimate of a bill or joint resolution prepared 
under section 402 of the Congressional Budget Act of 1974, an 
estimate of any change in debt service costs resulting from 
carrying out such bill or resolution. Any estimate of debt 
service costs provided under this section shall be advisory and 
shall not be used for purposes of enforcement of such Act, the 
rules of the House of Representatives, or this concurrent 
resolution. This section shall not apply to authorizations of 
programs funded by discretionary spending or to appropriation 
bills or joint resolutions, but shall apply to changes in the 
authorization level of appropriated entitlements.

SEC. 306. FAIR-VALUE CREDIT ESTIMATES.

  (a) Fair-Value Estimates.--Upon the request of chair of the 
Committee on the Budget of the House of Representatives, any 
estimate prepared by the Director of the Congressional Budget 
Office for a measure that establishes or modifies any program 
providing loans or loan guarantees shall, as a supplement to 
such estimate and to the extent practicable, provide a fair-
value estimate of such loan or loan guarantee program.
  (b) Baseline Estimates.--The Congressional Budget Office 
shall include estimates of loan and loan guarantee programs, on 
a fair-value and credit reform basis, as practicable, in its 
The Budget and Economic Outlook.
  (c) Enforcement in The House of Representatives.--If the 
Director of the Congressional Budget Office provides an 
estimate pursuant to subsection (a), the chair of the Committee 
on the Budget of the House of Representatives may use such 
estimate to determine compliance with the Congressional Budget 
Act of 1974 and other budget enforcement requirements.

SEC. 307. ADJUSTMENTS FOR IMPROVED CONTROL OF BUDGETARY RESOURCES.

  (a) Adjustments of Discretionary and Direct Spending 
Levels.--In the House of Representatives, if a committee (other 
than the Committee on Appropriations) reports a bill or joint 
resolution, or an amendment thereto is offered or conference 
report thereon is submitted, providing for a decrease in direct 
spending (budget authority and outlays flowing therefrom) for 
any fiscal year and also provides for an authorization of 
appropriations for the same purpose, upon the enactment of such 
measure, the chair of the Committee on the Budget may decrease 
the allocation to the applicable authorizing committee that 
reports such measure and increase the allocation of 
discretionary spending (budget authority and outlays flowing 
therefrom) to the Committee on Appropriations for fiscal year 
2019 by an amount equal to the new budget authority (and 
outlays flowing therefrom) provided for in a bill or joint 
resolution making appropriations for the same purpose.
  (b) Determinations.--In the House of Representatives, for 
purposes of enforcing this concurrent resolution, the 
allocations and aggregate levels of new budget authority, 
outlays, direct spending, revenues, deficits, and surpluses for 
fiscal year 2019 and the total of fiscal years 2019 through 
2028 shall be determined on the basis of estimates made by the 
chair of the Committee on the Budget and such chair may adjust 
the applicable levels in this concurrent resolution.

SEC. 308. LIMITATION ON TRANSFERS FROM THE GENERAL FUND OF THE TREASURY 
                    TO THE HIGHWAY TRUST FUND.

    In the House of Representatives, for purposes of the 
Congressional Budget Act of 1974, the Balanced Budget and 
Emergency Deficit Control Act of 1985, and the rules or orders 
of the House of Representatives, a bill or joint resolution, or 
an amendment thereto or conference report thereon, that 
transfers funds from the general fund of the Treasury to the 
Highway Trust Fund shall be counted as new budget authority and 
outlays equal to the amount of the transfer in the fiscal year 
the transfer occurs.

SEC. 309. PROHIBITION ON USE OF GUARANTEE FEES AS AN OFFSET.

    In the House of Representatives, any provision of a bill or 
joint resolution, or amendment thereto or conference report 
thereon, that increases, or extends the increase of, any 
guarantee fees of the Federal National Mortgage Association 
(Fannie Mae) or the Federal Home Loan Mortgage Corporation 
(Freddie Mac) shall not be counted for purposes of enforcing 
the Congressional Budget Act of 1974, this concurrent 
resolution, or clause 10 of rule XXI of the rules of the House 
of Representatives.

SEC. 310. BUDGETARY TREATMENT OF ADMINISTRATIVE EXPENSES.

  (a) In General.--In the House of Representatives, 
notwithstanding section 302(a)(1) of the Congressional Budget 
Act of 1974, section 13301 of the Budget Enforcement Act of 
1990, and section 2009a of title 39, United States Code, the 
report or the joint explanatory statement, as applicable, 
accompanying this concurrent resolution shall include in its 
allocation to the Committee on Appropriations under section 
302(a) of the Congressional Budget Act of 1974 amounts for the 
discretionary administrative expenses of the Social Security 
Administration and the United States Postal Service.
  (b) Special Rule.--In the House of Representatives, for 
purposes of enforcing section 302(f) of the Congressional 
Budget Act of 1974, estimates of the levels of total new budget 
authority and total outlays provided by a measure shall include 
any discretionary amounts described in subsection (a).

SEC. 311. APPLICATION AND EFFECT OF CHANGES IN ALLOCATIONS AND 
                    AGGREGATES.

  (a) Application.--In the House of Representatives, any 
adjustments of the allocations, aggregates, and other budgetary 
levels made pursuant to this concurrent 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 the allocations and aggregates contained 
in this concurrent resolution.
  (c) Budget Committee Determinations.--For purposes of this 
concurrent resolution, the budgetary levels for a fiscal year 
or period of fiscal years shall be determined on the basis of 
estimates made by the chair of the Committee on the Budget of 
the House of Representatives.
  (d) Aggregates, Allocations And Application.--In the House of 
Representatives, for purposes of this concurrent resolution and 
budget enforcement, the consideration of any bill or joint 
resolution, or amendment thereto or conference report thereon, 
for which the chair of the Committee on the Budget makes 
adjustments or revisions in the allocations, aggregates, and 
other budgetary levels of this concurrent resolution shall not 
be subject to the points of order set forth in clause 10 of 
rule XXI of the rules of the House of Representatives or 
section 301 of this concurrent resolution.
  (e) Other Adjustments.--The chair of the Committee on the 
Budget of the House of Representatives may adjust other 
appropriate levels in this concurrent resolution depending on 
congressional action on pending reconciliation legislation.

SEC. 312. ADJUSTMENTS TO REFLECT CHANGES IN CONCEPTS AND DEFINITIONS.

    In the House of Representatives, the chair of the Committee 
on the Budget may adjust the appropriate aggregates, 
allocations, and other budgetary levels in this concurrent 
resolution for any change in budgetary concepts and definitions 
consistent with section 251(b)(1) of the Balanced Budget and 
Emergency Deficit Control Act 9 of 1985.

SEC. 313. ADJUSTMENT FOR CHANGES IN THE BASELINE.

    In the House of Representatives, the chair of the Committee 
on the Budget may adjust the allocations, aggregates, 
reconciliation targets, and other appropriate budgetary levels 
in this concurrent resolution to reflect changes resulting from 
the Congressional Budget Office's update to its baseline for 
fiscal years 2019 through 2028.

SEC. 314. EXERCISE OF RULEMAKING POWERS.

    The House of Representatives adopts the provisions of this 
title and title II--
          (1) as an exercise of the rulemaking power of the 
        House of Representatives, and as such they shall be 
        considered as part of the rules of the House of 
        Representatives, and such rules shall supersede other 
        rules only to the extent that they are inconsistent 
        with such other rules; and
          (2) with full recognition of the constitutional right 
        of the House of Representatives to change those rules 
        at any time, in the same manner, and to the same extent 
        as is the case of any other rule of the House of 
        Representatives.

        TITLE IV--RESERVE FUNDS IN THE HOUSE OF REPRESENTATIVES

SEC. 401. DEFICIT NEUTRAL RESERVE FUND FOR INVESTMENTS IN NATIONAL 
                    INFRASTRUCTURE.

    In the House of Representatives, the chair of the Committee 
on the Budget may adjust the allocations, aggregates, and other 
appropriate levels in this concurrent resolution for any bill 
or joint resolution, or amendment thereto or conference report 
thereon, that invests in national infrastructure if such 
measure would not increase the deficit for the period of fiscal 
years 2019 through 18 2028.

SEC. 402. DEFICIT NEUTRAL RESERVE FUND FOR AMENDMENTS TO THE INTERNAL 
                    REVENUE CODE OF 1986.

    In the House of Representatives, if the Committee on Ways 
and Means reports a bill or joint resolution that amends the 
Internal Revenue Code of 1986, the chair of the Committee on 
the Budget may adjust the allocations, aggregates, and other 
appropriate budgetary levels in this concurrent resolution for 
the budgetary effects of any such bill or joint resolution, or 
amendment thereto or conference report thereon, if such measure 
would not increase the deficit for the period of fiscal years 
2019 through 6 2028.

SEC. 403. RESERVE FUND FOR EXTENDING PRO-GROWTH TAX POLICIES.

    In the House of Representatives, if the Committee on Ways 
and Means reports a bill or joint resolution that extends the 
pro-growth tax policies of Public Law 11597, the chair of the 
Committee on the Budget may adjust the allocations, aggregates, 
and other appropriate budgetary levels in this concurrent 
resolution for the budgetary effects of any such bill or joint 
resolution, or amendment thereto or conference report thereon.

SEC. 404. RESERVE FUND FOR THE REPEAL OR REPLACEMENT OF PRESIDENT 
                    OBAMA'S HEALTH CARE LAWS.

    In the House of Representatives, the chair of the Committee 
on the Budget may revise the allocations, aggregates, and other 
appropriate budgetary levels in this concurrent resolution for 
the budgetary effects of any bill or joint resolution, or 
amendment thereto or conference report thereon, that repeals or 
replaces any provision of the Patient Protection and Affordable 
Care Act or title I or subtitle B of title II of the Health 
Care and Education Reconciliation Act of 2010 by the amount of 
budget authority and outlays flowing therefrom provided by such 
measure for such purpose.

SEC. 405. DEFICIT NEUTRAL RESERVE FUND FOR THE CLARIFICATION OF 
                    PRESUMPTIONS OF SERVICE CONNECTION FOR VETERANS WHO 
                    SERVED OFFSHORE OF THE REPUBLIC OF VIETNAM AND 
                    KOREA.

    In the House of Representatives, if the Committee on 
Veterans' Affairs reports a bill or joint resolution that 
clarifies the presumptions of service connection for veterans 
who served offshore of the Republic of Vietnam or Korea, the 
chair of the Committee on the Budget may adjust the 
allocations, aggregates, and other appropriate budgetary levels 
in this concurrent resolution for the budgetary effects of any 
such bill or joint resolution, or amendment thereto or 
conference report thereon, if such measure would not increase 
the deficit for the period of fiscal years 21 2019 through 
2028.

       TITLE V--POLICY STATEMENTS IN THE HOUSE OF REPRESENTATIVES

SEC. 501. POLICY STATEMENT ON UNAUTHORIZED APPROPRIATIONS.

  (a) Findings.--The House finds the following:
          (1) Article I of the Constitution vests all 
        legislative power in Congress.
          (2) Central to the legislative powers of Congress is 
        the authorization of appropriations necessary to 
        execute the laws that establish agencies and programs 
        and impose obligations.
          (3) Clause 2 of rule XXI of the Rules of the House of 
        Representatives prohibits the consideration of 
        appropriations measures that provide appropriations for 
        unauthorized programs.
          (4) As of January 2018, more than $713 billion has 
        been appropriated for unauthorized programs, spanning 
        30 separate laws that include 189 explicit 
        authorizations of appropriations set to expire on or 
        before the end of fiscal year 2018.
          (5) Agencies such as the Department of State have not 
        been authorized for nearly two decades.
          (6) In the 115th Congress, the House adopted as part 
        of H. Res. 5 a requirement for each standing committee 
        of the House to adopt an authorization and oversight 
        plan that enumerates all unauthorized programs and 
        agencies within its jurisdiction that received funding 
        in the prior fiscal year, among other oversight 
        requirements.
  (b) Policy on Unauthorized Appropriations.In the House, it is 
the policy of this concurrent resolution that legislation 
should be enacted that--
          (1) establishes a schedule for reauthorizing all 
        Federal programs on a staggered five-year basis 
        together with declining spending targets for each year 
        a program is not reauthorized according to such 
        schedule;
          (2) prohibits the consideration of appropriations 
        measures in the House that provide appropriations in 
        excess of spending targets specified for such measures 
        and ensures that such rule should be strictly enforced; 
        and
          (3) limits funding for non-defense or non-security-
        related Federal programs that are not reauthorized 
        according to the schedule described in paragraph (1).

SEC. 502. POLICY STATEMENT ON IMPROPER PAYMENTS.

  (a) Findings.--The House finds the following:
  (1) The Government Accountability Office defines improper 
payments as any reported payment that should not have been made 
or was made in an incorrect amount.
          (2) Improper payments totaled roughly $1.3 trillion 
        between fiscal years 2003 and 2017.
          (3) Improper payments increased from $107 billion in 
        2012 to $141 billion in 2017.
          (4) The Earned Income Tax Credit, Medicare, and 
        Medicaid account for 74 percent of total improper 
        payments.
          (5) Eight agencies did not report payment estimates 
        for 18 programs that the Comptroller General deems 
        susceptible to significant improper payments.
  (b) Policy on Improper Payments.--It is the policy of this 
concurrent resolution that an independent commission should be 
established with the goal of finding tangible solutions to 
reduce total improper payments by 50 percent within the next 5 
years. The commission should also develop a more stringent 
system of agency oversight to achieve this goal.

SEC. 503. POLICY STATEMENT ON EXPENDITURES FROM AGENCY FEES AND 
                    SPENDING.

  (a) Findings.--The House finds the following:
  (1) Many Federal departments and agencies have permanent 
authority to collect and spend fees and other offsetting 
collections.
          (2) The Office of Management and Budget estimates the 
        total amount of offsetting fees and collections to be 
        $542 billion in fiscal year 2018.
          (3) Agency budget justifications are, in some cases, 
        not fully transparent about the amount of program 
        activity funded through offsetting collections or fees. 
        This lack of transparency prevents effective and 
        accountable Government.
  (b) Policy on Expenditures From Agency Fees and Spending.--It 
is the policy of this concurrent resolution that the House 
should reassert its constitutional prerogative to control 
Federal spending and exercise rigorous oversight over Federal 
agencies. Congress should subject all fees paid by the public 
to Federal agencies to annual appropriations or authorizing 
legislation and a share of these proceeds should be reserved 
for taxpayers in the form of deficit reduction.

SEC. 504. POLICY STATEMENT ON COMBATING THE OPIOID EPIDEMIC.

  (a) Findings.--The House finds the following:
  (1) According to the Centers for Disease Control and 
Prevention (CDC), on average, 115 Americans die each day from 
an opioid overdose.
          (2) Forty percent of deaths from an opioid overdose 
        are attributable to overdose from prescription opioids.
          (3) Opioid overdose deaths involving a prescription 
        opioid were five times higher in 2016 than in 1999.
          (4) Since 1999, the number of prescription opioids 
        sold in the U.S. has nearly quadrupled.
          (5) Since 1999, the number of deaths from 
        prescription opioids has more than quadrupled.
          (6) The CDC asserts that improving opioid prescribing 
        practices will reduce exposure to opioids, prevent 
        abuse, and stop addiction.
          (7) The CDC has found that individuals in rural 
        counties are almost twice as likely to overdose on 
        prescription painkillers as those in urban areas.
          (8) According to the CDC, nearly 7,000 people are 
        treated in emergency rooms every day for using opioids 
        in a non-approved manner.
          (9) The 21st Century Cures Act and the Comprehensive 
        Addiction and Recovery Act were signed into law in the 
        114th Congress in an overwhelmingdisplay of 
        congressional and executive branch support in the fight 
        against the opioid epidemic.
          (10) The Committee on Energy and Commerce and the 
        Committee on Ways and Means have considered dozens of 
        opioid epidemic-related bills during the 115th 
        Congress.
          (11) Bipartisan efforts to eliminate opioid abuse and 
        provide relief from addiction for all Americans should 
        continue.
  (b) Policy on Opioid Abuse.--It is the policy of this 
concurrent resolution that (1) combating opioid abuse using 
available budgetary resources remains a high priority;
          (2) the House, in a bipartisan manner, should 
        continue to examine the Federal response to the opioid 
        abuse epidemic and support essential activities to 
        reduce and prevent substance abuse;
          (3) the House should continue to support initiatives 
        included in the 21st Century Cures Act and the 
        Comprehensive Addiction and Recovery Act;
          (4) the House should continue its oversight efforts, 
        particularly ongoing investigations conducted by the 
        House Committee on Energy and Commerce, to ensure that 
        taxpayer dollars intended to combat opioid abuse are 
        spent appropriately and efficiently; and
          (5) the House should collaborate with State, local, 
        and tribal entities to develop a comprehensive strategy 
        for addressing the opioid addiction crisis.

SEC. 505. POLICY STATEMENT ON MEDICAL DISCOVERY, DEVELOPMENT, DELIVERY, 
                    AND INNOVATION.

  (a) Findings.--The House finds the following:
          (1) The Nation's commitment to the discovery, 
        development, and delivery of new treatments and cures 
        has made the United States the biomedical innovation 
        capital of the world for decades.
          (2) The history of scientific discovery and medical 
        breakthroughs in the United States is extensive, 
        including the creation of the polio vaccine, the first 
        genetic mapping, and the invention of the implantable 
        cardiac pacemaker.
          (3) Reuters ranked the United States Health and Human 
        Services Laboratories as first in the world for 
        innovation on its 2017 list of the Top 25 Global 
        Innovators.
          (4) The United States leads the world in the 
        production of medical devices, and the United 
        Statesmedical device market accounts for approximately 
        40 percent of the global market.
          (5) The United States remains a global leader in 
        pharmaceutical research and development investment, has 
        produced more than half of the world's new molecules in 
        the past decade, and represents the world's largest 
        pharmaceutical market, which is triple the size of the 
        nearest rival, China.
  (b) Policy on Medical Innovation.--It is the policy of this 
concurrent resolution that--
          (1) the Federal Government should foster investment 
        in health care innovation and maintain the Nation's 
        world leadership status in medical science by 
        encouraging competition;
          (2) the House should continue to support the critical 
        work of medical innovators throughout the country 
        through continued funding for agencies, including the 
        National Institutes of Health and the Centers for 
        Disease Control and Prevention, to conduct life-saving 
        research and development; and
          (3) the Federal Government should unleash the power 
        of private-sector medical innovation by removing 
        regulatory obstacles that impede the adoption of new 
        medical technology and pharmaceuticals.

SEC. 506. POLICY STATEMENT ON MEDICAID WORK REQUIREMENTS.

  (a) Findings.--The House finds the following:
          (1) Medicaid is a Federal-State program that provides 
        health care coverage for impoverished Americans.
          (2) Medicaid serves four major population categories: 
        the elderly, the blind and disabled, children, and 
        adults.
          (3) The Congressional Budget Office projects the 
        average monthly enrollment in Medicaid for fiscal year 
        2018 to be 76 million people.
          (4) Of this 76 million people, 27 million--more than 
        one third of the enrollees--are non-elderly, non-
        disabled adults.
          (5) Medicaid continues to grow at an unsustainable 
        rate, and will cost approximately one trillion dollars 
        per year within the decade, between Federal and State 
        spending.
          (6) Congress has a responsibility to preserve limited 
        Medicaid resources for America's most vulnerable--those 
        who cannot provide for themselves.
          (7) In 2016, the Foundation for Government 
        Accountability conducted a first-of-its-kind study on 
        the power of work. It analyzed data from the State of 
        Kansas, which demonstrates that work require ments have 
        led to greater employment, higher incomes, and less 
        poverty.
          (8) The State of Maine implemented work requirements 
        in 2014, and saw incomes rise for ablebodied welfare 
        recipients by an average of 114 percent within a year.
          (9) Work is a valuable source of human dignity, and 
        work requirements help lift Americans out of poverty by 
        incentivizing self-reliance.
  (b) Policy on Medicaid Work Requirements.--It is the policy 
of this concurrent resolution that--
          (1) Congress should enact legislation that encourages 
        able-bodied, non-elderly, non-pregnant adults without 
        dependents to work, actively seek work, participate in 
        a job-training program, or do community service, in 
        order to receive Medicaid;
          (2) Medicaid work requirements legislation could 
        include 30 hours per week of work, of which 20 of those 
        hours should be spent in the core activities of: public 
        or private sector employment, work experience, on-the-
        job training, job-search or job-readiness assistance 
        program participation, community service, or vocational 
        training and education;
          (3) States should be given flexibility to determine 
        the parameters of qualifying program participation and 
        word-equivalent experience;
          (4) States should perform regular case checks to 
        ensure taxpayer dollars are appropriately spent; and
          (5) the Government Accountability Office or the 
        Department of Health and Human Services Inspector 
        General should conduct annual audits of State Medicaid 
        programs to ensure proper reporting and prevent waste, 
        fraud, and abuse.

SEC. 507. POLICY STATEMENT ON MEDICARE.

  (a) Findings.--The House finds the following:
          (1) More than 58 million Americans depend on Medicare 
        for their health security.
          (2) The Medicare Trustees Report has repeatedly 
        recommended that Congress address Medicare's long-term 
        financial challenges. Each year without reform, the 
        financial condition of Medicare becomes more precarious 
        and the threat to those in or near retirement more 
        pronounced. The current challenges that Congress will 
        need to address include--
                  (A) the Hospital Insurance Trust Fund will be 
                exhausted in 2026 and unable to pay the full 
                scheduled benefits;
                  (B) Medicare enrollment is expected to 
                increase more than 50 percent in the next two 
                decades, as 10,000 baby boomers reach 
                retirement age each day;
                  (C) due to extended life spans, enrollees 
                remain in Medicare three times longer than at 
                the outset of the program five decades ago;
                  (D) notwithstanding the program's trust fund 
                arrangement, current workers' payroll tax 
                contributions pay for current Medicare 
                beneficiaries instead of being set aside for 
                their own future use;
                  (E) the number of workers supporting each 
                beneficiary continues to fall; in 1965, the 
                ratio was 4.5 workers per beneficiary, and by 
                2030, the ratio will be only 2.4 workers per 
                beneficiary;
                  (F) the average Medicare beneficiary receives 
                about three dollars in Medicare benefits for 
                every dollar paid into the program;
                  (G) Medicare is growing faster than the 
                economy, with an average projected growth rate 
                of 7 percent per year over the next 10 years; 
                and
                  (H) by 2028, Medicare spending will reach 
                more than $1.5 trillion, more than double the 
                2017 spending level of $702 billion.
          (3) Failing to address the impending insolvency of 
        Medicare will leave millions of American seniors 
        without adequate health security and younger 
        generations burdened with having to pay for these 
        unsustainable spending levels.
  (b) Policy on Medicare Reform.--It is the policy of this 
concurrent resolution to save Medicare for those in or near 
retirement and to strengthen the program's solvency for future 
beneficiaries.
  (c) ASSUMPTIONS.--This concurrent resolution assumes 
transition to an improved Medicare program that ensures (1) 
Medicare is preserved for current and future beneficiaries;
          (2) future Medicare beneficiaries may select from 
        competing guaranteed health coverage options for a 
        managed care plan that best suits their needs;
          (3) traditional fee-for-service Medicare remains a 
        plan option;
          (4) Medicare provides additional assistance for 
        lower-income beneficiaries and those with greater 
        health risks; and
          (5) Medicare spending is put on a sustainable path 
        and becomes solvent over the long term.

SEC. 508. POLICY STATEMENT ON SOCIAL SECURITY.

  (a) Findings.--The House finds the following:
          (1) More than 60 million retirees, individuals with 
        disabilities, and survivors depend on Social Security. 
        Since enactment, Social Security has served as a vital 
        leg of the ``three-legged stool'' of retirement 
        security, which includes employer provided pensions as 
        well as personal savings.
          (2) Social Security's progressive benefit design 
        provides lower lifetime earners with a Social Security 
        benefit that replaces a higher percentage of their pre-
        retirement earnings than is the case for higher 
        earners. Reforms should align with Social Security's 
        progressive nature.
          (3) The Social Security Trustees Report has 
        repeatedly recommended that Social Security's longterm 
        financial challenges be addressed soon.
          (4) The financial condition of Social Security and 
        the threat to seniors and those receiving Social 
        Security disability benefits becomes more pronounced 
        each year without reform. For example, according to the 
        Congressional Budget Office (CBO)
                  (A) in 2025, the Disability Insurance Trust 
                Fund will be exhausted and program revenues 
                will be unable to pay scheduled benefits; and
                  (B) with the exhaustion of the combined Old-
                Age and Survivors and Disability Insurance 
                Trust Funds in 2030, benefits will be cut by 28 
                percent across the board.
          (5) The recession and slow recovery exacerbated the 
        looming fiscal crisis facing Social Security. The most 
        recent CBO projections find that Social Security will 
        run a cumulative cash flow deficit of more than $1.5 
        trillion over the next 10 years.
          (6) The Disability Insurance program provides an 
        essential income safety net for those with disabilities 
        and their families. According to CBO, between 1970 and 
        2018 the number of disabled workers and their dependent 
        family members receiving disability benefits has 
        increased by about 280 percent from 2.7 million to 
        close to 10.3 million. This increase is not due 
        strictly to population growth or decreases in health. 
        CBO also attributes program growth to changes in 
        demographics and the composition of the labor force as 
        well as Federal policies.
          (7) In the past, Social Security has been reformed on 
        a bipartisan basis, most notably by the ``Greenspan 
        Commission'', which helped address Social Security 
        shortfalls for more than a generation.
          (8) Americans deserve action by the President and 
        Congress to preserve and strengthen Social Security to 
        ensure that Social Security remains a critical part of 
        the safety net.
  (b) Policy on Social Security.--It is the policy of this 
concurrent resolution that the House should work in a 
bipartisan manner to make Social Security solvent on a 
sustainable basis. This concurrent resolution assumes, under a 
reform trigger, that--
          (1) if in any year the Board of Trustees of the 
        Federal Old-Age and Survivors Insurance Trust Fund and 
        the Federal Disability Insurance Trust Fund annual 
        Trustees Report determines that the 75-year actuarial 
        balance of the Social Security Trust Funds is in 
        deficit, and the annual balance of the Social Security 
        Trust Funds in the 75th year is in deficit, the Board 
        of Trustees should, no later than September 30 of the 
        same calendar year, submit to the President 
        recommendations for statutory reforms necessary to 
        achieve a positive 75-year actuarial balance and a 
        positive annual balance in the 75th year, and any 
        recommendations provided to the President must be 
        agreed upon by both Public Trustees of the Board of 
        Trustees;
          (2) not later than December 1 of the same calendar 
        year in which the Board of Trustees submit its 
        recommendations, the President should promptly submit 
        implementing legislation to both Houses of Congress 
        including recommendations necessary to achieve a 
        positive 75-year actuarial balance and a positive 
        annual balance in the 75th year, and the majority 
        leader of the Senate and the majority leader of the 
        House should introduce the President's legislation upon 
        receipt;
          (3) within 60 days of the President submitting 
        legislation, the committees of jurisdiction should 
        report a bill, which the House or Senate should 
        consider under expedited procedures; and
          (4) legislation submitted by the President should--
                  (A) protect those in or near retirement;
                  (B) preserve the safety net for those who 
                count on Social Security the most, including 
                those with disabilities and survivors;
                  (C) improve fairness for participants;
                  (D) reduce the burden on and provide 
                certainty for future generations; and
                  (E) secure the future of the Disability 
                Insurance program while addressing the needs of 
                those with disabilities today and improving the 
                determination process.
  (c) Policy on Disability Insurance.--It is the policy of this 
concurrent resolution that the House should consider 
legislation on a bipartisan basis to reform the Disability 
Insurance program prior to the exhaustion of the Disability 
Insurance Trust Fund in 2025 and should not reallocate funds 
from the Social Security Old-Age and Survivors Insurance Trust 
Fund without reforms to the Disability Insurance system. This 
concurrent resolution assumes reform that--
          (1) promotes opportunity for those trying to return 
        to work;
          (2) ensures benefits continue to be paid to 
        individuals with disabilities and their family members 
        who rely on them;
          (3) prevents a 12 percent across-the-board benefit 
        cut; and
          (4) improves the Disability Insurance program.
  (d) Policy on Social Security Solvency.--It is the policy of 
this concurrent resolution that any legislation the House 
considers to improve the solvency of the Disability Insurance 
Trust Fund must also improve the longterm solvency of the 
combined Old Age and Survivors Disability Insurance Trust 
Funds.

SEC. 509. POLICY STATEMENT ON HIGHER EDUCATION AND WORKFORCE 
                    DEVELOPMENT OPPORTUNITY.

  (a) Findings on Higher Education.--The House finds the 
following:
          (1) A well-educated, high-skilled workforce is 
        critical to economic, job, and wage growth.
          (2) Average published tuition and fees have increased 
        consistently above the rate of inflation across all 
        types of colleges and universities.
          (3) With an outstanding student loan portfolio of 
        nearly $1.4 trillion, the Federal Government is the 
        largest education lender to undergraduate and graduate 
        students, parents, and other guarantors.
          (4) Students who do not complete their college degree 
        are at a greater risk of defaulting on their loans than 
        those who complete their degree.
          (5) Participation in Federal income-driven repayment 
        plans is rising, in terms of the percent of both 
        borrowers and loan dollars, according to the Government 
        Accountability Office. Because these plans offer loan 
        balance forgiveness after a repay ment period, this 
        increased use portends higher projected costs to 
        taxpayers.
  (b) Policy on Higher Education.--It is the policy of this 
concurrent resolution to promote college affordability, access, 
and success by--
          (1) reserving Federal financial aid for those most in 
        need and streamlining grant and loan aid programs to 
        help students and families more easily assess their 
        options for financing postsecondary education; and
          (2) removing regulatory barriers to reduce costs, 
        increase access, and allow for innovative teaching 
        models.
  (c) Findings on Workforce Development.--The House finds the 
following:
          (1) 6.1 million Americans are currently unemployed.
          (2) Despite billions of dollars in spending, those 
        looking for work are stymied by a broken workforce 
        development system that fails to connect workers with 
        assistance and employers with skilled personnel.
          (3) The House Committee on Education and the 
        Workforce successfully consolidated 15 workforce 
        development programs when Congress enacted the 
        Workforce Innovation and Opportunity Act in 2014.
  (d) Policy on Workforce Development.--It is the policy of 
this concurrent resolution to build on the success of the 
Workforce Innovation and Opportunity Act by--
          (1) further streamlining and consolidating Federal 
        workforce development programs; and
          (2) empowering States with the flexibility to tailor 
        funding and programs to the specific needs of their 
        workforce.

SEC. 510. POLICY STATEMENT ON THE JUDGMENT FUND.

  (a) Findings.--The House finds the following:
          (1) The Judgment Fund (Fund), established in 1956, 
        was created to pay judgments and settlements of 
        lawsuits against the Federal Government.
          (2) As a result of the Fund's design, it is ripe for 
        executive branch exploitation. The Obama Administration 
        used the Fund to make billions of dollars in payments 
        to Federal agencies and foreign entities. For example--
                  (A) on January 17, 2016, the State Department 
                announced the Federal Government agreed to pay 
                the Iranian government $1.7 billion to settle a 
                case related to the sale of military equipment 
                prior to the Iranian revolution, of which $1.3 
                billion was sourced through the Fund, without 
                prior congressional notification; the Obama 
                Administration's use of the Fund to make this 
                and other payments raises serious concerns by 
                sidestepping Congress; and
                  (B) in 2016, the Department of Health and 
                Human Services announced its intentions to use 
                the Fund for settlements with health insurers 
                who sued the Federal Government over the loss 
                of funds for risk corridors under the Patient 
                Protection and Affordable Care Act.
          (3) Failing to address the lack of oversight over the 
        Fund annually costs taxpayers billions of dollars, 
        payments exceeded $3.8 billion in 2017, $4.5 billion in 
        2016, and almost $29 billion in the preceding 10year 
        period.
  (b) Policy on Judgment Fund.--It is the policy of this 
concurrent resolution that the House should consider 
legislation that reclaims Congress's power of the purse over 
the Fund. Such legislation should--
          (1) prohibit interest payments paid from the Fund for 
        accounts or assets frozen by the Federal Government and 
        listed on--
                  (A) the Sanctions Programs list of the Office 
                of Foreign Asset Control of the Department of 
                Treasury; or
                  (B) Sponsors of Terrorism list of the 
                Department of State;
          (2) amend sections 2414 and 1304 of titles 28 and 31, 
        United States Code, respectively, to--
                  (A) provide a clear definition and 
                explanation of a ``foreign court or tribunal''; 
                and
                  (B) require congressional notification 
                whenever the Fund makes a settlement or court 
                ordered lump sum or aggregated payment 
                exceeding $500 million; and
          (3) require legislative action to approve payments 
        from the Fund in excess of a specified threshold, 
        increase transparency, and require Federal agencies to 
        reimburse the Fund over a fixed time period.

                                  [all]