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Congressional Budget Office
CBO’s Role in the Congressional Budget Process
Department of Commerce Resource Management Conference
May 19, 2017
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CONGRESSIONAL BUDGET OFFICE
CBOs Role in the Congressional Budget Process Department of - - PowerPoint PPT Presentation
CBOs Role in the Congressional Budget Process Department of - - PowerPoint PPT Presentation
Congressional Budget Office May 19, 2017 CBOs Role in the Congressional Budget Process Department of Commerce Resource Management Conference Megan Carroll Budget Analysis Division CBOs Role 1 CONGRESSIONAL BUDGET OFFICE CBO and the
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CBO and the Joint Committee on Taxation (JCT) provide estimates that the Congress can use to implement its rules and procedures related to budget enforcement.
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Those procedures and estimates recognize the fundamental distinction between the three primary components of the federal budget:
- Discretionary spending—Authority
provided in annual appropriation acts
- Mandatory (or direct) spending—
Spending controlled by laws other than annual appropriation acts
- Revenues
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How Cost Estimates Relate to Budget Enforcement Procedures
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Not all estimates are relevant to budget enforcement procedures. There are no budget enforcement procedures for bills that change authorizations of spending that is subject to future appropriation action.
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Changes in mandatory spending or revenues are subject to pay-as-you-go procedures. New budget authority in annual appropriation bills is subject to limits specified in law.
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Key Points About CBO’s Estimates and the Congressional Budget Process
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Estimates prepared by CBO and JCT are strictly advisory. The Budget Committees of the House and Senate determine the budgetary effects of legislation for purposes of rules and procedures related to budget enforcement.
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CBO and JCT estimate the budgetary effects of bills that provide spending authority or affect revenues relative to current law, using the perspective of the unified budget.
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CBO and JCT estimate the budgetary effects of bills that provide spending authority or affect revenues relative to current law, using the perspective of the unified budget.
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CBO and JCT estimate the budgetary effects of bills that provide spending authority or affect revenues relative to current law, using the perspective of the unified budget.
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CBO and JCT estimate the budgetary effects of bills that provide spending authority or affect revenues relative to current law, using the perspective of the unified budget.
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How Agencies Can Assist CBO
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CBO consults:
- Hill staff
- Stakeholders
- Agency staff (Budget, Legislative Affairs,
program offices)
- Counterparts in the Office of Management
and Budget
- Outside experts
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Open, transparent lines of communication are vital.
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The key to estimating costs of implementing proposed legislation is identifying changes in agency behavior:
- Are new activities required or would the
agency have discretion?
- Would legislation result in the agency
undertaking activities that it wouldn’t
- therwise pursue or in a way different
from what it would do under current law?
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