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Congressional Budget Process

jamuna avatar
jamuna
17 diapositives · 392 Views · Jul 31, 2014

Congressional Budget Process. Enacted to bring order to decision making Establishes timetable for orderly decision-making Establishes rules and procedures for fiscal legislation Intended to give Congress a level playing field with the Executive Branch. Budget Process Simplified.

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Congressional Budget Process
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  1. Congressional Budget Process • Enacted to bring order to decision making • Establishes timetable for orderly decision-making • Establishes rules and procedures for fiscal legislation • Intended to give Congress a level playing field with the Executive Branch

  2. Budget Process Simplified • President submits a budget (1st Monday in February) • Congress considers Budget Resolution • Reconciliation instructions to Committees/Allocations of Funding • Reconciliation enacted • Appropriations enacted

  3. Tools Of The Trade • Congress adopts a “Budget Resolution” or a blueprint for spending and revenues for the year ahead. • Allocates Budget Authority to the Appropriations Committee/Reconciliation • Congress spends the rest of the year (and maybe more!) building the structure laid out.

  4. Income Side Revenues (income taxes, payroll taxes, etc.) Receipts (fees, asset sales, etc.)

  5. Spending Side Two principle ways of spending money: Discretionaryappropriations (defense, domestic, international . . . Salaries, grants, contracts Entitlements (Social Security, Medicare, Guaranteed Student Loans, CSRS/FERS)

  6. Managing The Balance Deficit = Revenues – Spending!

  7. Budget Terms • The BUDGET RESOLUTION is the blueprint by which all congressional spending and revenue decisions are made. It is enforced through House and Senate rules and procedures. The BUDGET RESOLUTION is a concurrent resolution between the House and Senate and does not go to the President for his signature.

  8. Budget Terms • In simple terms, the BUDGET RESOLUTION allocates funds to the Appropriations Committees to appropriate at their discretion (discretionary appropriations) and directs Authorizing Committees (all committees other than Appropriations) to recommend change in laws to bring legislation into line with the plan through a RECONCILIATION procedure.

  9. Budget Timetable ?* February 5 President submits Fiscal Year 2008 Budget L?J Mid-March Committees submit “views and estimates” on FY 2008 Budget

  10. FÀEBy April 15Congress completes action (conference report) on the Congressional BUDGET RESOLUTION for fiscal years 2008 through 2017, including, if necessary, RECONCILIATION instructions to committees of jurisdiction. (Only in 1976, 1977 and 1994 did Congress meet this deadline.)

  11. F"After April 15Congressional committees respond to RECONCILIATION instructions by recommending changes in laws within their jurisdictions which would achieve savings in entitlement/direct spending programs (federal retirement) or increase receipts through tax law changes. RECONCILIATION legislation enjoys special treatment for congressional action.

  12. F$E May 15 Appropriations bills may be considered in the House of Representatives even in the absence of agreement on a conference report on the BUDGET RESOLUTION for the upcoming fiscal year. F$ By June 10 House Appropriations Committee finished reporting all 13 regular appropriations bills for fiscal year 2008.

  13. F"ByJune 15Congress completes action on RECONCILIATION legislation, making changes in entitlement laws, direct spending programs, and tax laws in order to bring congressional action into line with the BUDGET RESOLUTION blueprint. (Congress has never completes RECONCILIATION legislation by this date; earliest was July 31, 1981.)

  14. F$ABy June 30House completes action on all 13 regular appropriations bills for fiscal year 2008.F$AJuly/AugustSenate completes action on appropriations bills. Conferences commence between the House and Senate to resolve differences in appropriations legislation.

  15. F$ÀSeptember 30House and Senate complete action on conference report on appropriations bills for fiscal year 2008 – send to the President.

  16. ?ÀFOctober 1Fiscal Year 2008 begins.

  17. Other Influences • The size of the deficit • The cost of the war • Katrina/Disaster Relief/Rebuilding • Tax cut politics • Committee Allocations • An election year?