TITLE I--TEN-YEAR DISCRETIONARY CAPS WITH SEQUESTER
SEC. 101. ENFORCING DISCRETIONARY SPENDING LIMITS.
Section 251 of the Balanced Budget and Emergency Deficit Control Act
of 1985 <<NOTE: 2 USC 901.>> is amended to read as follows:
``SEC. 251. ENFORCING DISCRETIONARY SPENDING LIMITS.
``(a) Enforcement.--
``(1) Sequestration.--Within <<NOTE: Deadline.>> 15 calendar
days after Congress adjourns to end a session there shall be a
sequestration to eliminate a budget-year breach, if any, within
any category.
``(2) Eliminating a breach.--Each non-exempt account within
a category shall be reduced by a dollar amount calculated by
multiplying the enacted level of sequestrable budgetary
resources in that account at that time by the uniform percentage
necessary to eliminate a breach within that category.
``(3) Military personnel.--If the President uses the
authority to exempt any personnel account from sequestration
under section 255(f), each account within subfunctional category
051 (other than those military personnel accounts for which the
authority provided under section 255(f) has been exercised)
shall be further reduced by a dollar amount calculated by
multiplying the enacted level of non-exempt budgetary resources
in that account at that time by the uniform percentage necessary
to offset the total dollar amount by which outlays are not
reduced in military personnel accounts by reason of the use of
such authority.
``(4) Part-year appropriations.--If, on the date specified
in paragraph (1), there is in effect an Act making or continuing
appropriations for part of a fiscal year for any budget account,
then the dollar sequestration calculated for that account under
paragraphs (2) and (3) shall be subtracted from--
``(A) the annualized amount otherwise available by
law in that account under that or a subsequent part-year
appropriation; and
``(B) when a full-year appropriation for that
account is enacted, from the amount otherwise provided
by the full-year appropriation for that account.
``(5) Look-back.--If, after June 30, an appropriation for
the fiscal year in progress is enacted that causes a breach
within a category for that year (after taking into account any
sequestration of amounts within that category), the
discretionary spending limits for that category for the next
fiscal year shall be reduced by the amount or amounts of that
breach.
``(6) Within-session sequestration.--
If <<NOTE: Deadline.>> an appropriation for a fiscal year in
progress is enacted (after Congress adjourns to end the session
for that budget year and before July 1 of that fiscal year) that
causes a breach within a category for that year (after taking
into account any prior sequestration of amounts within that
category), 15 days later there shall be a sequestration to
eliminate that breach within that category following the
procedures set forth in paragraphs (2) through (4).
``(7) Estimates.--
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``(A) CBO estimates.--As soon as practicable after
Congress completes action on any discretionary
appropriation, CBO, after consultation with the
Committees on the Budget of the House of Representatives
and the Senate, shall provide OMB with an estimate of
the amount of discretionary new budget authority and
outlays for the current year, if any, and the budget
year provided by that legislation.
``(B) OMB estimates and explanation of
differences.--Not <<NOTE: Deadline. Reports.>> later
than 7 calendar days (excluding Saturdays, Sundays, and
legal holidays) after the date of enactment of any
discretionary appropriation, OMB shall transmit a report
to the House of Representatives and to the Senate
containing the CBO estimate of that legislation, an OMB
estimate of the amount of discretionary new budget
authority and outlays for the current year, if any, and
the budget year provided by that legislation, and an
explanation of any difference between the 2 estimates.
If <<NOTE: Consultation.>> during the preparation of the
report OMB determines that there is a significant
difference between OMB and CBO, OMB shall consult with
the Committees on the Budget of the House of
Representatives and the Senate regarding that difference
and that consultation shall include, to the extent
practicable, written communication to those committees
that affords such committees the opportunity to comment
before the issuance of the report.
``(C) Assumptions and guidelines.--OMB estimates
under this paragraph shall be made using current
economic and technical assumptions. OMB shall use the
OMB estimates transmitted to the Congress under this
paragraph. OMB and CBO shall prepare estimates under
this paragraph in conformance with scorekeeping
guidelines determined after consultation among the
Committees on the Budget of the House of Representatives
and the Senate, CBO, and OMB.
``(D) Annual appropriations.--For purposes of this
paragraph, amounts provided by annual appropriations
shall include any discretionary appropriations for the
current year, if any, and the budget year in accounts
for which funding is provided in that legislation that
result from previously enacted legislation.