Number: RS20182
Title: Suspension of Budget Enforcement Procedures During Hostilities Abroad
Authors: Robert Keith, Government and Finance Division 
Abstract: Federal budget policies are enforced by two major statutes-the Congressional Budget Act of 1974 and the Balanced Budget and Emergency Deficit Control Act of 1985, as amended. The first act establishes the congressional budget process, centered around the annual adoption of a concurrent resolution on the budget; the second act establishes limits on discretionary spending and a "pay-as-you-go" (PAYGO) requirement for revenue and direct spending legislation, enforced by sequestration. Five enforcement mechanisms in these acts are suspended automatically if a declaration of war takes effect. Four involve points of order under the congressional budget process against legislation that violates: (1) the spending ceilings or revenue floors in the budget resolution; (2) committee allocations and subdivisions of spending made under the budget resolution; (3) a deficit-neutral requirement for amendments offered to reconciliation bills; and (4) in the Senate only, the discretionary spending limits established under statute. The operation of many other points of order established under the 1974 act are unaffected by a declaration of war. The final procedural mechanism suspended during a declaration of war is the sequestration process under the 1985 act, which enforces the discretionary spending limits and the PAYGO requirement.
Pages: 6
Date: Updated July 27, 2001