Budget Points of Order

Spending Legislation | Revenue Legislation | Earmarks | Entitlement and Backdoor Spending | Federal Credit Reform | Social Security | Budget Process | Unfunded Mandates Reform Act | Consideration of the Budget Resolution | Consideration of Reconciliation Legislation

A “point of order” is a procedural objection that a Representative or Senator may raise against a bill, resolution, amendment, or conference report on the House or Senate Floor, respectively. In general, if the Presiding Office, advised by the Parliamentarian, sustains the point of order (i.e. finds it to be a valid objection) the offending bill, resolution, or amendment or conference report “falls” (i.e. it is removed from consideration by the House or Senate). (1)

In the following table: “Leg.” = bills, resolutions, motions, amendments and conference reports.

“BR” = Budget Resolution. “BA”= Budget Authority. “OT”=Outlays

An asterisk (*) in the Senate Waiver Requirement column means that the 60-vote supermajority waiver requirement in the Senate is due to expire in 2017, as provided for in the FY 2008 Budget Resolution. 

Note: Section numbers refer to sections of the Congressional Budget and Impoundment Control Act of 1974, as amended, unless otherwise noted.

The FY 2008 Budget Resolution, S. Con.Res. 21, was adopted on May 17, 2007 (H.Rpt. 110-153)

Section
Description
Applies to:
Sen. Waiver(2)
Senate House

Points of Order against Spending Legislation

302(c)

Prohibits consideration of appropriations bills until the 302(b) sub-allocations are made.

X

X

60 votes*

 

302(f)

EXCEEDING COMMITTEE ALLOCATIONS: Prohibits consideration of leg. that would cause a committee to exceed either its 302(a) committee allocation , ( or a 302(b) sub-allocation in the case of the Appropriations Committee ), in either the budget year or the total of (5 years) covered by the BR

Important Note: this point of order against breaching committee allocations applies to BA and Outlay allocations in the Senate, but just BA allocations in the House.

 

X (3)

 

X (4)

 

60 votes*

 

303(a)

Prohibits consideration of leg. that would make new spending effective for a fiscal year before a BR for that fiscal year has been adopted.

 

X

 

X (5)

 

60 votes*

 

303(c)

Prohibits consideration in the Senate of any appropriations measure until a BR has been agreed to and a 302(a) allocation has been made to the Appropriations Committee.

 

X

 

 

60 votes*

 

311(a)

EXCEEDING SPENDING AGGREGATES: Prohibits consideration of leg. that would cause the BR's aggregate spending levels for BA or OT to be exceeded for the first year covered by the BR (6)

 

X

 

X (7)

 

60 votes*

Sec. 206

of

FY'08 BR

LIMIT ON ADVANCE APPROPRIATIONS: Prohibits the consideration of advance appropriations , except for the FY 2009 and 2010 appropriations specified in the FY 2008 BR conference report.

 

X (8)

 

X

 

60 votes

Sec. 204

of

FY'08BR

LIMIT ON EMERGENCY DESIGNATIONS: Spending provisions designated as “emergencies” (9) are exempted from the sec. 302 and sec. 311 points of order described above. However, Senators can make a point of order to strike emergency designations from spending legislation unless supporters of the emergency designation can muster 60 votes to waive the point of order. (10)

 

X

 

 

60 votes

Sec. 207

of

FY'08 BR

DISCRETIONARY CAPS: Prohibits the consideration of leg. that would exceed any of the discretionary limits for FY'07 and FY'08 set forth in the BR. However, the limits can be adjusted upward for certain program integrity or tax enforcement expenditures.

 

X

 

(11)

 

60 votes

Sec. 201

of

FY'08 BR

SENATE PAYGO POINT OF ORDER: Prohibits consideration of direct spending (entitlement) legislation that would increase or cause a non-Social Security deficit in either of two budget periods: (1) the period of the current fiscal year, the budget year and the ensuing 4 fiscal years; or (2) the period of the current fiscal year, the budget year, and the ensuing 9 fiscal years.

 

X

 

 

60 votes*

 

Sec. 405 of

H.Res. 6,

110 th Congress

(1st Session)

HOUSE PAYGO POINT OF ORDER : Prohibits consideration of direct spending (entitlement) legislation that would increase the deficit or reduce the surplus for either of the same two budget periods noted above in the Senate's PAYGO rule

 

 

X

 

N/A

Sec. 203

of

FY'08 BR

LEGISLATION INCREASING LONG-TERM DEFICITS: Prohibits consideration of leg. that would cause a net increase in deficits in excess of $5 billion in any of the four 10-year periods beginning in 2018 through 2057.

 

X

 

 

60 votes*

Section
Description
Applies to:
Sen. Waiver
Senate House

Points of Order against Revenue Legislation

 

303(a)

Prohibits consideration of legislation that makes changes in revenues for a fiscal year before a budget resolution for that fiscal year has been adopted.

 

X

 

X

 

60 votes*

 

311(a)

Prohibits consideration of leg. that would cause the BR's revenue floors for the budget year, or the total for all years covered by the BR, to be breached. (12)

 

X

 

X

 

60 votes*

Sec. 201

of

FY'08 BR

SENATE PAYGO POINT OF ORDER: Prohibits consideration of tax cuts that would increase or cause a non-Social Security deficit in either of two budget periods: (1) the period of the current fiscal year, the budget year and the ensuing 4 fiscal years; or (2) the period of the current fiscal year, the budget year, and the ensuing 9 fiscal years.

 

X

 

 

60 votes*

 

Sec. 405 of

H.Res. 6,

110 th Congress

(1st Session)

HOUSE PAYGO POINT OF ORDER : Prohibits consideration of tax cuts that would increase the deficit or reduce the surplus for either of the same two budget periods noted above in the Senate's PAYGO rule

 

 

X

 

N/A

Section
Description
Applies to:
Sen. Waiver
Senate House

Restrictions on Earmarks

H.Res. 6
(110th Congress,1/4/07)

HOUSE: Requires disclosure of earmark sponsors, as well as justifications for earmarks, and written certification that earmarks will not benefit their House sponsor.

 

 

 

 

X

 

N/A

Section 521 of
S. 1
(P.L. 110-81,
10/14/07)
amended
Senate Rule 44

SENATE: An earmark is defined as “a congressionally directed spending item, limited tax benefit, and limited tariff benefit.” Rule 44 prohibits consideration of leg. unless the committee chair or majority leader certifies that all earmarks in legislative or report language have been identified by sponsor, and publicly available on the Internet for 48 hours. Senators must provide to the committee, the name and location of the earmark beneficiary, and must certify no financial interest. Prohibits “air dropping” new earmarks into conference reports.

 

 

 

 

X

 

 

 

 

 

 

60 votes

Section
Description
Applies to:
Sen. Waiver
Senate House

Limitations on Entitlement and other “Backdoor Spending”

 

401(a)

Subject to certain exceptions, prohibits consideration of leg. providing new authority to enter into contracts or to borrow funds or to lend funds unless limited to amounts provided in appropriations acts.

 

X

 

X

 

Majority

401(b)(1)

Prohibits consideration of entitlement leg. that is to become effective during the current fiscal year.

X

X

Majority

Sec. 209

of

FY'08 BR

NO “ChIMPS”: Would allow Senators to make a point of order against provisions in appropriations bills that constitute Changes in Mandatory Programs (ChIMPs). Provisions meeting the criteria would be stricken from the bill.

 

X

 

 

60 votes*

Section
Description
Applies to:
Sen. Waiver
Senate House

Federal Credit Reform

504(b)

Requires that new direct loan obligations may be incurred and new loan guarantee obligations may be made, only to the extent that new budget authority to cover their costs is provided in advance in an appropriations act. Does not apply to entitlements such as student loans or veterans home loans, or agriculture loans under the CCC.

 

X

 

X

 

Majority

Section
Description
Applies to:
Sen. Waiver
Senate House

Protections for Social Security

 

301(i)

Prohibits consideration of a BR that would decrease the Social Security surplus in any of the years covered by the Resolution.

 

X

 

 

60 votes*

 

310(g)

Prohibits consideration of Reconciliation bills, amendments, or conference reports that contain “recommendations with respect to OASDI.” (13)

 

X

 

X

 

60 votes*

 

311(a)(3)

Prohibits consideration of leg. that would cause a decrease in Social Security surpluses or an increase in Social Security deficits (except for tax changes having only an “incidental” Social Security effect)

 

X

 

 

60 votes*

13302(a) of

1990 BEA

Prohibits consideration of legislation that would provide for a net increase in Social Security benefits or decrease in Social Security taxes in excess of 0.02% of the present value of future taxable payroll for a 75-year period.

 

 

X

 

N/A

Section
Description
Applies to:
Sen. Waiver
Senate House

Protecting the Integrity of the Budget Process

301(g)

Prohibits consideration of a BR using more than one set of economic assumptions.

X

 

Majority

 

306

Prohibits consideration of leg. within the jurisdiction of the Budget Committee—such as directed scoring provisions—unless reported by the Budget Committee.

 

X

 

X

 

60 votes

309

Prohibits adjourning for the July 4 th recess until the House has approved all 11 regular appropriations bills

 

X

N/A

 

310(f)

Prohibits adjourning for the July 4 th recess until the House has completed action on the Reconciliation Bill (in years when the BR calls for Reconciliation legislation)

 

 

X

 

N/A

Section
Description
Applies to:
Sen. Waiver
Senate House

Unfunded Mandates Reform Act

425(a)(1)

Prohibits consideration of legislation reported by a committee unless the committee has published a CBO report on direct costs of Federal mandates in the legislation.

 

X

 

X

 

60 votes*

 

 

 

425(a)(2)

Prohibits consideration of legislation that would increase the cost of federal intergovernmental mandates (i.e. mandates on state or local governments) by more than $50 million (adjusted for inflation) in the first year of the bill's operation or any of the 4 ensuing years unless sufficient direct spending authority is provided in the bill or funds are authorized (and identified) to cover the costs.

 

 

 

X

 

 

 

X

 

 

 

60 votes*

426

Prohibits consideration of a “Rule” in the House that would waive section 425.

 

X

N/A

Section
Description
Applies to:
Sen. Waiver
Senate House

Procedures Relating to Consideration of the Budget Resolution

 

305(c)(4)

Prohibits consideration of nongermane amendments to “amendments in disagreement” between the House and Senate

 

X

 

 

60 votes

305(b)(2)

Prohibits consideration of nongermane amendments to BR

X

 

60 votes

305(d)

Prohibits a vote on a BR unless the figures contained the resolution are mathematically consistent

X

 

Majority

Section
Description
Applies to:
Sen. Waiver
Senate House

Procedures Relating to Consideration of Reconciliation Legislation

310(d)(2)

Prohibits amendments to Reconciliation Bills that would decrease spending cuts or reduce tax increases, unless made deficit neutral through offsetting provisions

X

 

60 votes

 

310(e)

Prohibits consideration of nongermane amendments to Reconciliation Bills or to “amendments in disagreement” between the House and Senate.

 

X

 

 

60 votes*

 

 

313

Byrd Rule: Prohibits consideration of “extraneous,” i.e. non-budgetary or outyear deficit-increasing legislation, in a Reconciliation Bill. Offending provisions are stripped out of the Reconciliation Bill if the point of order is sustained. See chapter 2-3 and Appendix P for more information on the Byrd Rule.

 

 

X

 

 

 

60 votes

Sec. 202

of

FY'08 BR

LIMITING RECONCILIATION LEG. TO DEFICIT REDUCTION. Prohibits consideration of Reconciliation legislation that would increase deficits or reduce surpluses in either of two budget periods: (1) the period of the current fiscal year, the budget year and the ensuing 4 fiscal years; or (2) the period of the current fiscal year, the budget year, and the ensuing 9 fiscal years.

 

X

 

 

60 votes

1: Under section 312(f) of the Congressional Budget Act, in the Senate, if the Presiding Officer sustains a point of order against a bill or resolution, it is automatically sent back to the committee of jurisdiction. Under section 312(d), a point of order cannot be raised in the Senate while an amendment that would remedy the problem is pending

2: There are no supermajority waiver requirements in the House of Representatives.

3: However, in the Senate, “reserve funds” permit allocations to be adjusted upward to accommodate new spending that is paid for.

4: Point of order does not apply in the House to legislation that is deficit neutral.

5: The point of order applies to budget authority, but not outlays, in the House. Also, the point of order does not apply to appropriations bills in the House after May 15—providing an escape valve in situations where a Budget Resolution is not adopted.

6: However, “reserve funds” may be included in the Budget Resolution that permit the BA or Outlay ceilings to be adjusted upward to accommodate additional spending which is paid for with revenue increases.

7: However, in the House: (1) the so-called “Fazio exception” allows appropriations measures to exceed the aggregate ceiling on new budget authority or outlays if they do not exceed the appropriate committee's 302(a) budget allocation.; and (2) this limit on total spending does not operate if a Declaration of War is in effect.

8: In the Senate, provisions violating this point of order can be stricken from a conference report.

9: Sec. 204 of the '08 Budget Resolution sets forth 5 criteria for determining if an emergency designation is warranted.

10: In recent years, war funding has been designated as emergency spending and thereby exempted from sec. 302 and sec. 311 points of order.

11: In the House, committee allocations are adjusted upward to accommodate specified program integrity and tax enforcement expenditures.

12: However, “reserve funds” may be included in the Budget Resolution that permit the revenue floor to be adjusted downward to accommodate tax cuts that are paid for with spending cuts.

13: This point of order would bring down the entire Reconciliation Bill; alternatively, in the Senate, the Byrd Rule could be used to strip out the offending provision.

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