CONGRESSIONAL RECORD — SENATE


September 14, 1979


Page 24709


THE SECOND BUDGET RESOLUTION


Mr. MUSKIE. Mr. President, 5 years ago, Congress made a historic and unprecedented compact with itself and the American people. By nearly unanimous votes, both Houses of Congress agreed to a new and daring experiment in budgeting called the congressional budget process. At the heart of that process are two budget resolutions a year and a reconciliation process to review and adjust spending and taxes before the fiscal year begins.


When the Budget Committee reported the second and binding budget resolution for 1980 last month, we advised the Senate that unless concrete action was taken promptly to reduce spending under already passed and enacted legislation, the deficit for 1980 would rise more than $2 billion higher than the deficit for 1979.


The Budget Committee recommended that reconciliation legislation be adopted pursuant to the budget act to reduce already enacted spending by $4 billion in savings to control the deficit.


There was nothing new among these savings. They were the same savings the Senate approved last spring when it adopted the first budget resolution for 1980, which set the spending targets for the year.


The reconciliation recommendation by the Budget Committee, although an explicit part of the Budget Act, had rarely been employed before. A number of committees and Senators had concerns and questions about the implications of our recommendation. Before the Senate debated that recommendation, it was appropriate for members of both parties to thoroughly understand what we had recommended and why we had done so, for the Senate alone can determine whether the Budget Committee's recommendation should be adopted.


I am pleased to report that, as a result of thorough consultation with members on both sides of the aisle, an agreement has been reached to go forward with debate on the budget resolution Monday.


We have further agreed to modify in an important but limited regard the provisions of the reconciliation instructions as that debate begins.


The principal modification will be to reduce the spending to be saved by the reconciliation instruction in the case of the Committee on Finance from $1.7 billion in outlays to $1.4 billion and, in the case of the Veterans Committee, from $200 million in outlays to $100 million.


These reductions symbolize that the social security and veterans income programs need not be reexamined or reduced as a result of this reconciliation process. The savings will need to be achieved from other programs.


The second modification is to set a ceiling for the Appropriations Committee into which all appropriations bills for 1980 must be fitted. In the event any bill will exceed that total ceiling, the Appropriations Committee will report a rescission of other spending to avoid a breach of the ceiling.


This change recognizes that the appropriations process has missed the deadline provided for it in the Budget Act. This ceiling replaces the immediate rescission called for in the budget resolution as it was reported to stay within the ceiling provided. That committee can enact all of its regular appropriations bills before determining where appropriations spending needs to be cut.


At the same time, the total allocated to the Appropriations Committee will be no greater than if spending were actually reduced now by that committee by the $2.5 billion in outlays proposed in the reconciliation instructions reported by the Budget Committee.


No similar problem in the Budget Act timetable exists for the authorizing committees involved in the budget reconciliation process. No need exists to vary the instructions proposed in the budget resolution for those committees except modifications I have mentioned to eliminate the need to look at the social security and veterans income programs for savings.


But recognizing the fact that reconciliation has not previously been undertaken by the Senate, the period of time after adoption of the conference report on the budget resolution to recommend changes in legislation to achieve these savings has been extended to 30 days in the modification upon which we will vote.


Mr. President, these 2 days of meetings have served a very important purpose. They have smoothed the way for Senate consideration of this budget resolution by helping many more Senators understand the difficult fiscal and procedural problems we must deal with in the budget resolution. These meetings, as well as consultations with the minority, have produced a reasonable modification of the reconciliation instructions. They have provided reaffirmation of the congressional commitment to the compact we entered 5 years ago to deal more rationally with the Federal budget.


During the debate next week, we shall hear expressions of doubt that the process can succeed. Some may criticize even the carefully thought out compromise I have described today.


But the Budget Act was born amid doubt that Congress would adhere to its timetable, would accept its discipline, or would keep the bargain we made with the American people to deal in a new way with the chaos of Federal budgeting which preceded the Budget Act.


The critics have been proved wrong until now. I am confident that the Senate will meet its responsibility under the Budget Act and prove the critics wrong once more.


We owe no less to ourselves and the American people.


I want to express my special gratitude for the patience of my fellow Senators during these difficult days and their support for the solution we have achieved. I want to acknowledge the special help and consideration of Senator HENRY BELLMON and the other members of the minority side of our committee, not only in formulating this budget resolution, but in accepting the modification which has been hammered out.


And I want especially to thank and congratulate the majority leader, whose patience and understanding has made this outcome possible, as well as Senator MAGNUSON, Senator LONG, and other committee chairmen for their understanding and cooperation.


For the benefit of all Senators in considering the forthcoming debate, I ask that a summary of the modifications in the budget resolution which have been hammered out and their details be printed at this point in the RECORD.


There being no objection, the summary was ordered to be printed in the RECORD, as follows:


EXPLANATION OF COMPROMISE


The proposed compromise meets the concerns expressed by the Appropriations Committee that all regular appropriations have not yet been completed and that the appropriations process can live within the totals assigned to it by this Resolution. The compromise also reduces the amounts required to be saved by the Finance Committee by .3 billion in outlays and by the Veterans Committee by .1 billion in outlays. These reductions eliminate the need to review Social Security or veterans income benefits to achieve savings.


The specific details of the changes in the Resolution to achieve this compromise are as follows:


(1) The Resolution will assign the overall spending ceilings to the Appropriations Committee within which all appropriations bills must be kept. If a subsequent appropriation would breach these ceilings, rescissions of prior appropriations would be required. The existing reconciliation instructions to the Appropriations Committee will be deleted.


(2) The instruction to the Finance Committee will be reduced by .3 in outlays.


(3) The existing instructions to the Veterans Committee would be decreased by .1 billion in outlays.


(4) The time limit for action by authorizing committees under the Resolution is extended by 30 days.


(A) New budget authority, —$100,000,000;

(B) Outlays, —$100,000,000.

Fiscal year 1981:

(A) New budget authority, —$100,000,000;

(B) Outlays, —$100,000,000.

Fiscal year 1982:

(A) New budget authority, $0;

(B) Outlays, $0.

(s) Undistributed Offsetting Receipts (950):

Fiscal year 1980:

(A) New budget authority, —$19,700,000,000;

(B) Outlays, —$19,700,000,000.

Fiscal year 1981:

(A) New budget authority, —$21,500,000,-000;

(B) Outlays, —$21,500,000,000.

Fiscal year 1982:

(A) New budget authority, —$23,900,000,-000;

(B) Outlays, —$23.900,000,000.


SEC. 3. The allocation pursuant to section 302(a) of the Budget Act to the Committee on Appropriations for all legislation within its jurisdiction shall not exceed $383.6 billion in budget authority and $338.4 billion in outlays as assumed in this budget resolution. If some rescission of appropriations proves necessary to prevent any regular or supplemental appropriation for FY 1980 exceeding the ceilings provided in this section, the Committee on Appropriations shall report legislation to rescind the necessary amounts.


SEC. 4. Pursuant to subsection 310(a) of the Congressional Budget Act of 1974, the Committees on Agriculture shall reduce spending for fiscal year 1980 in reported or enacted laws, bills, and resolutions by $100,000,000 in budget authority and $100,000,000 in outlays and are instructed to report promptly, in accordance with section 310 of such Act, their recommendations for changes in new budget authority for fiscal year 1980, budget authority initially provided for prior fiscal years. and new spending authority which is to become effective during fiscal year 1980 contained in reported or enacted laws, bills, and resolutions within the jurisdictions of those committees sufficient to accomplish the reduction by this section.


SEC. 5. Pursuant to subsection 310(a) of the Congressional Budget Act of 1974, the Committees on Armed Services shall reduce spending for fiscal year 1980 in reported or enacted laws, bills, and resolutions by $100,000,000 in budget authority and $100,000,000 in outlays and are instructed to report promptly, in accordance with section 310 of such Act, their recommendations for changes in new budget authority for fiscal year 1980, budget authority initially provided for prior fiscal years, and new spending authority which is to become effective during fiscal year 1980 contained in reported on enacted laws, bills, and resolutions within the jurisdictions of those committees sufficient to accomplish the reduction required by this section.


SEC. 6. Pursuant to subsection 310(a) of the Congressional Budget Act of 1974, the Senate Committee on Environment and Public Works and the House Committee on Public Works and Transportation shall reduce spending for fiscal year 1980 in reported or enacted laws, bills, and resolutions by $250,000,000 in budget authority and are instructed to report promptly, in accordance with section 310 of such Act, recommendations for changes in new budget authority for fiscal year 1980, budget authority initially provided for prior fiscal years, and new spending authority which is to become effective during fiscal year 1980 contained in reported or enacted laws, bills, and resolutions within the jurisdictions of those committees sufficient to accomplish the reduction required by this section.


SEC. 7. Pursuant to subsection 310(a) of the Congressional Budget Act of 1974, the Senate Committee on Finance and the House Committee on Ways and Means shall reduce spending for fiscal year 1980 in reported or enacted laws, bills, and resolutions by $300,000,000 in budget authority and $1,400,000,000 in outlays and are instructed to report promptly, in accordance with section 310 of such Act, recommendations for changes in new budget authority for fiscal year 1980, budget authority initially provided for prior fiscal years, and new spending authority which is to become effective during fiscal year 1980 contained in reported or enacted laws, bills, and resolutions within the jurisdictions of those committees sufficient to accomplish the reduction required by this section.


SEC. 8. Pursuant to subsection 310(a) of the Congressional Budget Act of 1974, the Senate Committee on Governmental Affairs and the House Committee on Government Operations shall reduce spending for fiscal year 1980 in reported or enacted laws, bills, and resolutions by $100,000,000 in outlays and are instructed to report promptly, in accordance with section 310 of such Act, recommendations for changes in new budget authority for fiscal year 1980, budget authority initially provided for prior fiscal years, and new spending authority which is to become effective during fiscal year 1980 contained in reported or enacted laws, bills, and resolutions within the jurisdictions of those committees sufficient to accomplish the reduction required by this section.


SEC. 9. Pursuant to subsection 310(a) of the Congressional Budget Act of 1974, the Committee on Veterans Affairs shall reduce spending for fiscal year 1980 in reported or enacted laws, bills, and resolutions by $100,000,000 in budget authority and $100,000,000 in outlays and are instructed to report promptly, in accordance with section 310 of such Act, recommendations for changes in new budget authority for fiscal year 1980, budget authority initially provided for prior fiscal years, and new spending authority which is to become effective during fiscal year 1980 contained in reported or enacted laws, bills, and resolutions within the jurisdictions of those committees sufficient to accomplish the reduction required by this section.


SEC. 10. Pursuant to sections 300 and 310 of the Congressional Budget Act of 1974, the committees specified in sections 4 to 9 herein shall report the recommendations required by this resolution within thirty days after Congress completes action on this resolution, but not later than November 1, 1979.