Budget Background

Senate Budget Committee Republican staff, in consultation with the Committee’s Democratic staff, have identified at least four budget points of order that lie against Sen. Jack Reed’s amendment #2631 to S. 1845 (the Emergency Unemployment Compensation Extension Act) for violating the FY 2014 deemed spending levels in the Ryan-Murray package. The points of order, which all require 60 votes to waive, are as follows:

  • Senate PAYGO (sec. 201(a), S. Con. Res. 21, the FY 2008 budget resolution, 110th Congress)
    • $18.4 billion increase in the on-budget deficit over the 5-year period FY 2014–2018.
    • $18.3 billion increase in the on-budget deficit over the 10-year period FY 2014–2023.
  • Short-term deficits in excess of $10 billion without a 10-year offset (sec. 404(a), S. Con. Res. 13, the FY 2010 budget resolution, 111th Congress)
    • $16.8 billion increase in the on-budget deficit in 2014 that is not offset over the FY 2014–2023 budget window.
  • Spending in excess of the Finance Committee’s allocation (sec. 302(f), Congressional Budget Act of 1974):
    • $16.8 billion increase in on-budget direct spending in FY 2014.
    • $18.7 billion increase in on-budget direct spending for the 5-year period FY 2014–2018.
    • $18.7 billion increase in on-budget outlays for the 10-year period FY 2014–2023.
  • Budget Committee jurisdiction (sec. 306, Congressional Budget Act of 1974):
    • Section 8 would amend the Balanced Budget and Emergency Deficit Control Act to extend the mandatory sequester to FY 2024.
    • Section 9 would prevent the $18 billion increase in the on-budget deficit from being entered on the Statutory PAYGO scorecard and the Senate PAYGO scorecard.

Although the Reed amendment includes a provision that would extend the mandatory Budget Control Act sequester by one year, to FY 2024, those savings occur outside the 10-year budget window. Therefore, the provision does not qualify as an offset for purposes of enforcing the Ryan-Murray spending agreement. CBO has confirmed that the amendment increases the on-budget deficit by more than $18 billion during the budget window.

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