| Committee | Budget |
| Date | April 2, 2009 (111th Congress, 1st Session) |
| Staff Contact | Andy Koenig |
On Wednesday, April 1, 2009, the House began four hours of general debate on H.Con.Res 85, the Concurrent Resolution on the Budget for Fiscal Year 2010. Under the rule for general debate, no further consideration of the resolution is in order following general debate until a subsequent rule is passed. H.Res. 316 provides for further consideration of H.Con.Res 85 on Thursday, April 2, 2009, under a structured rule. The rule makes in order four amendments, each in the nature of a substitute. Each amendment would be debatable for 40 minutes, equally divided by and controlled by a Member in favor of the amendment and a Member opposed.
For more information on H.Con.Res 85, please see the Legislative Digest for Wednesday, April 1, 2009.
Under the rule, the House will consider four substitute budget resolutions: the Progressive Caucus budget alternative, the Republican Study Committee (RSC) budget alternative, the Congressional Black Caucus (CBC) budget alternative, and the House Republican budget alternative, prepared by the Ranking Member of the Budget Committee, respectively. This Legislative Digest contains a summary of the spending levels of each alternative budget as well as a number of policy highlights contained within the substitutes.
(Note: The Republican alternative, the RSC alternative, and the Progressive Caucus alternative are ten-year budgets, while the Congressional Black Caucus alternative and the Democrat resolution are five-year budgets. Ten-year numbers are included when available and applicable.)
Spending Under the Democrat Budget Resolution: H.Con.Res. 85 would set the federal government's budget policies over a five-year period between Fiscal Years 2010 and 2014, with a total five-year cost of $18.258 trillion. Under the Democrat budget, the debt held by the public would reach $11.577 trillion in FY 2014, or 67 percent of gross domestic product (GDP). The Democrat budget also provides $3.95 trillion in deficits and increases taxes by $574 billion over five years, assuming the continuation of current tax relief that is set to expire and a "patch" for AMT.
Spending Under the Democrat Budget (in billions) | |||||||
| 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2010-2014 |
Outlays | 3,879 | 3,550 | 3,554 | 3,533 | 3,712 | 3,908 | 18,258 |
Revenues | 2,185 | 2,327 | 2,627 | 2,915 | 3,127 | 3,309 | 14,308 |
Deficit | -1,694 | -1,221 | -927 | -617 | -585 | -598 | -3,950 |
Public Debt | 7,730 | 8,768 | 9,684 | 10,344 | 10,934 | 11,577 |
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Spending Under Alternative Budget Resolutions:
Progressive Caucus Budget Alternative:
- Projects the federal government's budget policies over a ten-year window between Fiscal Years 2010 and 2019.
- Contains a total of $19.99 trillion in spending over five years.
- Provides $397 billion more in spending than the Democrats' budget in FY 2010, and $1.73 trillion more over five years.
- Projects a deficit of $1.4 trillion in FY 2010, which falls to $845 billion in FY 2014.
- Increases non-defense discretionary spending by $479 billion above the President's request.
- Provides $420 billion less than the Democrat budget for National Defense spending (Function 050) over five years.
- Imposes a .25 cent tax on all stock transactions.
- Increases revenues by $217 billion in FY 2010, and by $1.75 trillion over five years, assuming the continuation of current tax relief that is set to expire and a "patch" for AMT.
Progressive Caucus Budget Alternative (in billions) | |||||||
| 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2010-2014 |
Outlays |
| 3,947 | 3,822 | 3,849 | 4,073 | 4,299 | 19,990 |
Revenues |
| 2,541 | 2,907 | 3,256 | 3,334 | 3,453 | 15,491 |
Deficit |
| -1,405 | -914 | -592 | -738 | -845 | -4,498 |
Public Debt |
| 9,168 | 10,087 | 10,787 | 11,569 | 12,524 |
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Republican Study Committee Budget Alternative:
- Projects the federal government's budget policies over a ten-year window between Fiscal Years 2010 and 2019.
- Contains a total of $15.859 trillion in spending over five years.
- Provides $410 billion less in spending than the Democrats' budget in FY 2010, and $2.33 trillion less over five years.
- Projects a deficit of $837 billion in FY 2010, which falls to $218 billion in FY 2014. However, the budget reaches balance in 2019.
- Assumes savings from an earmark moratorium and includes the Kingston/Wolf/Wamp Earmark Reform Commission.
- Provides an extension of the 2001 and 2003 tax cuts set to expire.
- Provides $330 billion more than the Democrats' budget for National Defense spending (Function 050) over five years.
- Provides a "patch" for the Alternative Minimum Tax (AMT) that is not offset with new tax increases. (Throughout the ten-year window.)
- Provides a two-year suspension of the capital gains tax.
- Assumes the repeal of increased spending above FY 2008 levels in the FY 2009 omnibus and stimulus.
- Reduces revenues by $21 billion in FY 2010, and $19 billion over five years, assuming the continuation of current tax relief that is set to expire and a "patch" for AMT.
- Requires the Ways and Means Committee to report language to reduce revenues by $1.2 trillion over five years.
Republican Study Committee Budget Alternative (in billions) | |||||||
| 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2010-2014 |
Outlays | 3,564 | 3,140 | 3,067 | 3,128 | 3,220 | 3,304 | 15,859 |
Revenues | 2,151 | 2,303 | 2,580 | 2,794 | 2,952 | 3,086 | 13,715 |
Deficit | -1,381 | -837 | -487 | -334 | -269 | -218 | -2,145 |
Public Debt | 7,416 | 8,070 | 8,543 | 8,914 | 9,177 | 9,425 |
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Congressional Black Caucus Budget Alternative:
- Projects the federal government's budget policies over a five-year window between Fiscal Years 2010 and 2014.
- Contains a total of $18.314 trillion in spending over five years.
- Spends $13 billion more than the Democrats' budget in FY 2010, and $56 billion more over five years.
- Projects a deficit of $1.18 trillion in FY 2010, which falls to $586 billion in FY 2014.
- Provides the same amount of budget authority as the Democrats' budget for National Defense spending (Function 050) over five years.
- Increases revenues by immediately repealing many of the 2001 and 2003 tax cuts scheduled to expire after 2010.
- Imposes a .56 percent tax on adjusted gross income over $500,000.
- Increases revenues by $60 billion in 2010, and by $704 billion over five years, assuming the continuation of current tax relief that is set to expire and a "patch" for AMT.
Congressional Black Caucus Budget Alternative (in billions) | |||||||
| 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2010-2014 |
Outlays |
| 3,568 | 3,571 | 3,543 | 3,719 | 3,913 | 18,314 |
Revenues |
| 2,384 | 2,654 | 2,931 | 3,143 | 3,326 | 14,438 |
Deficit |
| -1,183 | -917 | -611 | -576 | -586 | -3,875 |
Public Debt |
| 8,730 | 9,638 | 10,294 | 10,876 | 11,510 |
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Republican Budget Alternative:
- Projects the federal government's budget policies over a ten-year window between Fiscal Years 2010 and 2019.
- Contains a total of $16.7 trillion in spending over five years and $36.91 trillion over ten years.
- Spends $270 billion less than the Democrats' budget in FY 2010, $1.5 trillion less over five years, and $4.8 trillion less over ten years.
- Provides $342 billion more than the Democrats' budget in authority for National Defense spending (Function 050) over five years.
- Provides a "patch" for the Alternative Minimum Tax (AMT) that is not offset with new tax increases.
- Provides an extension of the 2001 and 2003 tax cuts set to expire after 2010.
- Suspends capital gains taxes through 2010.
- Reduces the corporate tax rate from 35 percent to 25 percent to make U.S. companies more competitive.
- Reduces revenues by $37 billion in FY 2010, and by $143 billion over five years, assuming the continuation of current tax relief that is set to expire and a "patch" for AMT.
- Projects a deficit of $993 billion in FY 2010, which falls to $529 billion in FY 2014.
Republican Budget Alternative | |||||||
| 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2010-2014 |
Outlays | 3,878 | 3,280 | 3,256 | 3,246 | 3,397 | 3,570 | 16,749 |
Revenues | 2,151 | 2,287 | 2,561 | 2,810 | 2,893 | 3,041 | 13,591 |
Deficit | -1,727 | -993 | -696 | -437 | -504 | -529 | -3,158 |
Public Debt | 7,763 | 8,571 | 9,252 | 10,240 | 10,831 | 11,405 |
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For more information on the Republican alternative, click here.
Reconciliation: Under the reconciliation process, a budget resolution may require committees to report legislation that adjust mandatory spending and revenue levels to reduce deficits or reduce revenues by a set amount, as prescribed by the reconciliation instructions. The actual policy changes are not dictated to the committees, and each has the discretion as to what policies are incorporated so long as the targets are met. The reconciliation process offers protection in the Senate from the super-majority procedure hurdles that might otherwise thwart major policy initiatives.
Progressive Caucus Budget Alternative: The Progressive Caucus budget does not include reconciliation instructions.
RSC Budget: The RSC budget alternative includes a number of reconciliation instructions requiring committees to report legislation by July 13, 2009, to reduce mandatory spending and revenues. The reconciliation instructions are listed below.
• Agriculture: Requires the Committee to report language to reduce mandatory spending by $1.37 billion in 2010, and $10.18 billion over the 2010 through 2014 period.
• Education and Labor: Requires the Committee to report language to reduce mandatory spending by $1.1 billion in 2010, and $8.3 billion over the 2010 through 2014 period.
• Energy and Commerce: Requires the Committee to report language to reduce mandatory spending by $19.99 billion in 2010, and $241.9 billion over the 2010 through 2014 period.
• Oversight and Government Reform: Requires the Committee to report language to reduce mandatory spending by $92 million in 2010, and $1.7 billion over the 2010 through 2014 period.
• Natural Resources: Requires the Committee to report language to reduce mandatory spending by $250 million in 2010, and $4.93 billion over the 2010 through 2014 period.
• Ways and Means: Requires the Committee to report language to reduce mandatory spending by $7 billion in 2010, and $214.8 billion over the 2010 through 2014 period.
• Ways and Means: Requires the Committee to report language to reduce revenues by $31 billion in 2010, and $1.2 trillion over the 2010 through 2014 period.
• All House Committees: Requires all House Committees to identify savings equal to one percent of the total mandatory spending within its jurisdiction from wasteful or low-priority programs.
CBC Budget Alternative: The Congressional Black Caucus budget does not include reconciliation instructions.
Republican Budget Alternative: The Republican budget includes ten reconciliation instructions requiring committees to report legislation by July 29, 2009, to reduce mandatory spending. The reconciliation instructions are listed below.
• Agriculture: Requires the Committee to report language to reduce mandatory spending by $38.48 billion over the 2010 through 2019 period.
• Education and Labor: Requires the Committee to report language to reduce mandatory spending by $22.7 billion over the 2010 through 2019 period.
• Energy and Commerce: Requires the Committee to report language to reduce mandatory spending by $666.1 billion over the 2010 through 2019 period.
• Financial Services: Requires the Committee to report language to reduce mandatory spending by $28.4 billion over the 2010 through 2019 period.
• Foreign Affairs: Requires the Committee to report language to reduce mandatory spending by $1.83 billion over the 2010 through 2019 period.
• Judiciary: Requires the Committee to report language to reduce mandatory spending by $4.32 billion over the 2010 through 2019 period.
• Natural Resources: Requires the Committee to report language to reduce mandatory spending by $1.98 billion over the 2010 through 2019 period.
• Oversight and Government Reform: Requires the Committee to report language to reduce mandatory spending by $10.26 billion over the 2010 through 2019 period.
• Transportation and Infrastructure: Requires the Committee to report language to reduce mandatory spending by $1.66 billion over the 2010 through 2019 period.
• Ways and Means: Requires the Committee to report language to reduce mandatory spending by $605 billion over the 2010 through 2019 period.