Parliamentary Outreach Program
Vol. 106, No. 13
July 26, 1999
David Dreier, Chairman
"The law governing the budget process resembles nothing so much as sediment."
- Budget Process Law Annotated, 1993 Edition

BUDGET ACT POINTS OF ORDER IN THE HOUSE OF REPRESENTATIVES

In the introduction to their annotated document on the budget process, the Senate Budget Committee described the relevant layers of law and precedent as similar to "sediment" due to the manner in which the legal tools, Congressional rules, and precedent have built up over time to form the framework of the Congressional budget process. One key element of these layers is budget enforcement, which in the House and the Senate is based upon a series of points of order, specified in the Congressional Budget and Impoundment Control Act of 1974 (Budget Act) and incorporated into the procedures of the House and Senate. Most points of order contained in the Budget Act prohibit or restrict certain Congressional action in order to enforce budgetary decisions such as the timing of House consideration of certain legislation and staying within certain budgetary limits when considering spending and revenue legislation. The parameters that are enforced using the points of order framework are established each year when Congress adopts its budget resolution. Points of order are not self-enforcing, but rather a Member must raise a point of order against a specific Congressional action prior to or during its consideration. At that time, the Chair will rule on whether to sustain the point of order. If sustained, the House is prevented from proceeding with the matter at hand. Points of order in the House can be waived with the adoption of a special rule by a majority vote of the full House. This document reviews only those points of order, other than unfunded mandates, that are contained in the Budget Act and applicable in the House of Representatives.

Points of Order Relating to Timing

Section 302(c): Suballocations before appropriation bills. Prohibits consideration of any measure within the jurisdiction of the Appropriations Committee that provides new budget authority for any fiscal year until the committee makes it required suballocations to its subcommittees.

Section 303(a): Adoption of Budget before consideration of Budget-related legislation. Prohibits consideration of legislation providing new budget authority, an increase or decrease in revenues or an increase or decrease in the public debt limit for a fiscal year until a concurrent resolution on the budget for that fiscal year has been agreed to. (Does not apply after May 15 to appropriations bills).

Section 309: Approval of regular Appropriation bills. Prohibits consideration of an adjournment resolution for more than three days during July until the House has approved all regular Appropriation bills for the upcoming fiscal year.

Section 310(f): Completion of Reconciliation process. Prohibits consideration of an adjournment resolution for more than three days during July unless the House has completed action on any required reconciliation legislation, if the budget resolution requires reconciliation.

Points of Order Relating to Spending and Revenue Levels

Section 302(f)(1): Spending must remain within allocated levels. Prohibits consideration of legislation providing new budget authority for any fiscal year that would cause the applicable allocation of new budget authority to be exceeded.

Section 311(a)(1): Budget-related legislation within appropriate levels. Prohibits consideration of legislation that would cause new budget authority or outlays to exceed or revenue to fall below the levels set forth in the budget resolution.

Point of Order Relating to Reconciliation

Section 310(d): Limitation on amendments to Reconciliation. Prohibits consideration of amendments to reconciliation that would increase the deficit or reduce the surplus either by increasing outlays or reducing revenues.

Points of Order Relating to Mandatory Spending

Section 401(a): Controls on budget-related legislation not subject to Appropriation. Prohibits consideration of legislation providing new contract authority, borrowing authority or credit authority not limited to amounts provided in Appropriation acts.

Section 401(b): Legislation providing new Entitlement Authority. Prohibits consideration of legislation providing new entitlement authority to become effective during the current fiscal year.

Points of Order Relating to Social Security

Section 310(g): Social Security and Reconciliation. Prohibits consideration of reconciliation legislation that contains recommendations (changes or amendments to) with respect to Social Security.

Section 13302(a) Budget Enforcement Act: Protection of Social Security Trust Funds. Prohibits consideration of legislation that would provide for a net increase in Social Security benefits or decrease in Social Security taxes in excess of .02 percent of the present value of future taxable payroll for a 75-year period or in excess of $250,000,000 for the first five-year period after it becomes effective.

Point of Order Relating to the Jurisdiction of the Budget Committee

Section 306: Budget legislation must be handled by Budget Committee. Prohibits consideration of matters within the jurisdiction of the Budget Committee if the matter has not been reported by that committee or if that committee has not been discharged from consideration of the matter.


Key Parliamentary Term

Budget Resolution- A concurrent resolution which outlines in broad parameters the levels of spending and revenues for the next fiscal year. The resolution, which is not signed by the President, contains allocations of spending authority for House and Senate committees which serve as constraints on their consideration of legislation. The Appropriations Committee gets an allocation for discretionary spending.