Notice2024-01706
Notice; 2023 Statutory Pay-As-You-Go Act Annual Report
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
January 29, 2024
Issuing agencies
Management and Budget Office
Abstract
This report is being published as required by the Statutory Pay-As-You-Go (PAYGO) Act of 2010. The Act requires that OMB issue an annual report and a sequestration order, if necessary.
Full Text
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<title>Federal Register, Volume 89 Issue 19 (Monday, January 29, 2024)</title>
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[Federal Register Volume 89, Number 19 (Monday, January 29, 2024)]
[Notices]
[Pages 5578-5580]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-01706]
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OFFICE OF MANAGEMENT AND BUDGET
Notice; 2023 Statutory Pay-As-You-Go Act Annual Report
AGENCY: Office of Management and Budget (OMB).
ACTION: Notice.
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SUMMARY: This report is being published as required by the Statutory
Pay-As-You-Go (PAYGO) Act of 2010. The Act requires that OMB issue an
annual report and a sequestration order, if necessary.
FOR FURTHER INFORMATION CONTACT: Erin O'Brien. 202-395-3106.
SUPPLEMENTARY INFORMATION: This report can be found at <a href="https://www.whitehouse.gov/omb/paygo/">https://www.whitehouse.gov/omb/paygo/</a>.
Authority: 2 U.S.C. 934.
Kelly A. Kinneen,
Assistant Director for Budget.
This Report is being published pursuant to section 5 of the
Statutory Pay-As-You-Go (PAYGO) Act of 2010, Public Law 111-139, 124
Stat. 8, 2 U.S.C. 934, which requires that OMB issue an annual PAYGO
report, including a sequestration order if necessary, no later than 14
working days after the end of a congressional session.
This Report describes the budgetary effects of all PAYGO
legislation enacted during the first session of the 118th Congress and
presents the 5-year and 10-year PAYGO scorecards maintained by OMB.\1\
Because neither the 5-year nor 10-year scorecard shows a debit for the
budget year, which for purposes of this Report is fiscal year 2024,\2\
a sequestration order under subsection 5(b) of the PAYGO Act, 2 U.S.C
934(b) is not required.
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\1\ This report encompasses laws enacted between January 3, 2023
at noon and January 3, 2024 at 11:55 a.m. (Pub. L. 117-329 through
Pub. L. 118-34).
\2\ References to years on the PAYGO scorecards are to fiscal
years.
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The budget year balance on each of the PAYGO scorecards is zero
because the Consolidated Appropriations Act, 2023 (Pub. L. 117-328)
shifted the debits on both scorecards from fiscal year 2024 to fiscal
year 2025. The change directed by Public Law 117-328 is discussed in
more detail in section IV of this report.
During the first session of the 118th Congress, no laws with PAYGO
effects were enacted with emergency requirements under section 4(g) of
the PAYGO Act, 2 U.S.C. 933(g), though as discussed later in this
report, one law was enacted that rescinded funding that received an
emergency designation
[[Page 5579]]
when it was enacted. Two laws had estimated budgetary effects on direct
spending and/or revenues that were excluded from the calculations of
the PAYGO scorecards due to provisions excluding part of the law from
section 4(d) of the PAYGO Act, 2 U.S.C. 933(d).
I. PAYGO Legislation With Budgetary Effects
PAYGO legislation is authorizing legislation that affects direct
spending or revenues, and appropriations legislation that affects
direct spending in the years after the budget year or affects revenues
in any year.\3\ For a more complete description of the Statutory PAYGO
Act, see Chapter 4, ``Budget Process,'' of the Analytical Perspectives
volume of the 2024 President's Budget, found on the website of the U.S.
Government Printing Office (<a href="https://www.govinfo.gov/app/collection/budget/2024/BUDGET-2024-PER">https://www.govinfo.gov/app/collection/budget/2024/BUDGET-2024-PER</a>).
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\3\ Provisions in appropriations acts that affect direct
spending in the years after the budget year (also known as
``outyears'') or affect revenues in any year are considered to be
budgetary effects for the purposes of the PAYGO scorecards except if
the provisions produce outlay changes that net to zero over the
current year, budget year, and the four subsequent years. As
specified in section 3 of the PAYGO Act, off-budget effects are not
counted as budgetary effects. Off-budget effects refer to effects on
the Social Security trust funds (Old-Age and Survivors Insurance and
Disability Insurance) and the Postal Service.
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The PAYGO Act's requirement of deficit neutrality is based on two
scorecards that tally the cumulative budgetary effects of PAYGO
legislation as averaged over rolling 5- and 10-year periods starting
with the budget year. The 5-year and 10-year PAYGO scorecards for each
congressional session begin with the balances of costs or savings
carried over from previous sessions and then tally the costs or savings
of PAYGO laws enacted in the most recent session.
The 5-year PAYGO scorecard for the first session of the 118th
Congress began with balances of $443,138 million in 2024, $1,256,908
million in 2025, $443,138 million in 2026, and $72,505 million in 2027.
The 10-year PAYGO scorecard for the first session of the 118th Congress
began with balances of $242,729 million in 2024, $672,477 million in
2025, $242,729 million per year for 2026-2031, and $55,709 million for
2032.
Laws enacted during the first session of the 118th Congress created
balances on the 5- and 10-year scorecards of -$1,188 million and -$891
million in each year, respectively. Public Law 117-328 shifted the
fiscal year 2024 debits on both scorecards to fiscal year 2025.
Therefore, the 2024 balance on both the 5- and 10-year scorecards is
zero. There are balances on the 5-year scorecard of $1,697,668 million
in 2025, $441,949 million in 2026, $71,317 million in 2027, and -$1,188
million in 2028. There are balances on the 10-year scorecard of
$913,423 million in 2025, $241,837 million in per year for 2026-2031,
$54,818 million in 2032, and -$891 million in 2033.
In the first session of the 118th Congress, 16 laws were enacted
that were determined to constitute PAYGO legislation. Of the 16 enacted
PAYGO laws, 5 laws were estimated to have PAYGO budgetary effects
(costs or savings) in excess of $500,000 over one or both of the 5-year
or 10-year PAYGO windows. These were:
<bullet> Public Law 117-333, Veterans Auto and Education
Improvement Act of 2022;
<bullet> Public Law 118-5, Fiscal Responsibility Act of 2023;
<bullet> Public Law 118-19, An Act to amend title 38, United States
Code, to extend and modify certain authorities and requirements
relating to the Department of Veterans Affairs, and for other purposes;
<bullet> Public Law 118-27, 5G Spectrum Authority Licensing
Enforcement Act; and
<bullet> Public Law 118-31, National Defense Authorization Act for
Fiscal Year 2024.
In addition to the laws identified above, 11 laws enacted in this
session were estimated to have negligible budgetary effects on the
PAYGO scorecards--costs or savings of less than $500,000 over both the
5-year and 10-year PAYGO windows.
II. Budgetary Effects Excluded From the Scorecard Balances
A. Emergency Designations
No laws were enacted in the first session of the 118th Congress
with an emergency designation under the Statutory PAYGO Act. However,
scorekeeping guidelines adopted by the Office of Management and Budget,
the Congressional Budget Office, and the Congressional budget
committees preclude scoring savings for the subsequent rescission of
funding that was designated as emergency spending when enacted.
Although the provisions rescinding the emergency funding are reported
on the PAYGO scorecards maintained by OMB, the savings associated with
the rescissions are not included in the balances on the scorecards that
are used to determine the need for a sequestration. One law was enacted
during the first session of the 118th Congress that rescinded funding
that was designated as emergency when it was enacted:
<bullet> Public Law 118-5, Fiscal Responsibility Act of 2023.
B. Statutory Provisions Excluding Legislation From the Scorecards
Two laws enacted in the first session of the 118th Congress had
estimated budgetary effects on direct spending and revenues that were
excluded from the calculations for the PAYGO scorecards due to
provisions in law excluding part of the law from section 4(d) of the
PAYGO Act.
Budgetary effects in two laws were excluded from the scorecards:
<bullet> Public Law 118-15, Continuing Appropriations Act, 2024 and
Other Extensions Act; and
<bullet> Public Law 118-22, Further Continuing Appropriations and
Other Extensions Act, 2024.
III. PAYGO Scorecards
Statutory Pay-As-You-Go Scorecards
[In millions of dollars; negative amounts portray decreases in deficits]
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2024 2025 2026 2027 2028
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First Session of the 118th Congress....... -1,188 -1,188 -1,188 -1,188 -1,188
Balances from Previous Sessions........... 443,138 1,256,908 443,138 72,505 0
Change in balances pursuant to Sec. -441,949 441,949 0 0 0
1001(d)(2) of Division O of Public Law
117-328..................................
5-year PAYGO Scorecard.................... 0 1,697,668 441,949 71,317 -1,188
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2024 2025 2026 2027 2028 2029 2030 2031 2032 2033
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First Session of the 118th Congress....... -891 -891 -891 -891 -891 -891 -891 -891 -891 -891
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Balances from Previous Sessions........... 242,729 672,477 242,729 242,729 242,729 242,729 242,729 242,729 55,709 0
Change in balances pursuant to Sec. -241,837 241,837 0 0 0 0 0 0 0 0
1001(d)(2) of Division O of Public Law
117-328..................................
10-year PAYGO Scorecard................... 0 913,423 241,837 241,837 241,837 241,837 241,837 241,837 54,818 -891
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IV. Legislative Revisions to the PAYGO Scorecards
Section 1001(d)(2) of division O of Public Law 117-328, the
Consolidated Omnibus Appropriations Act, 2023, states, ``For the
purposes of the annual report issued pursuant to section 5 of the
Statutory Pay-As-You-Go Act of 2010 (2 U.S.C. 934) after adjournment of
the first session of the 118th Congress, and for determining whether a
sequestration order is necessary under such section, the debit for the
budget year on the 5-year scorecard, if any, and the 10-year scorecard,
if any, shall be deducted from such scorecards in 2024 and added to
such scorecards in 2025.'' Accordingly, both the 5- and 10-year
scorecards deduct the debit from 2024 and add that debit to 2025.
V. Sequestration Order
As shown on the scorecards, the budgetary effects of PAYGO
legislation enacted in the first session of the 118th Congress,
combined with section 1001(d)(2) of division O of Public Law 117-328,
resulted in no costs on either the 5-year or the 10-year scorecard in
the budget year, which is 2024 for the purposes of this Report. Because
the costs for the budget year, as shown on the scorecards, were set to
zero for the budget year, there is no ``debit'' on either scorecard
under section 3 of the PAYGO Act, 2 U.S.C. 932, and a sequestration
order is not required.\4\
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\4\ Sequestration reductions pursuant to the Balanced Budget and
Deficit Control Act (BBEDCA) Section 251A for 2024 were calculated
and ordered in a separate report and are not affected by this
determination. See: <a href="https://www.whitehouse.gov/wp-content/uploads/2023/03/BBEDCA_Sequestration_Report_and_Letter_3-13-2024.pdf">https://www.whitehouse.gov/wp-content/uploads/2023/03/BBEDCA_Sequestration_Report_and_Letter_3-13-2024.pdf</a>.
[FR Doc. 2024-01706 Filed 1-26-24; 8:45 am]
BILLING CODE 3110-01-P
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</html>Indexed from Federal Register on January 29, 2024.
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