S. 2371 — Introduced in Senate

II 113th CONGRESS 2d Session S. 2371 IN THE SENATE OF THE UNITED STATES May 21, 2014 Mr. Portman (for himself, Mr. Graham, Mr. Kirk, Mr. Chambliss, Mr. Flake, Mr. Blunt, Mr. Johanns, Mr. Inhofe, Mr. Crapo, Mr. Rubio, Mr. Barrasso, Mr. Thune, Mr. Scott, Mr. Vitter, Ms. Ayotte, Mr. Lee, Mr. Burr, and Mrs. Fischer) introduced the following bill; which was read twice and referred to the Committee on the Budget A BILL To amend the Congressional Budget Act of 1974 to provide for macroeconomic analysis of the impact of major revenue legislation. 1. Short title This Act may be cited as the Accurate Budgeting Act. 2. Macroeconomic impact analyses for major revenue legislation (a) In general Part A of title IV of the Congressional Budget Act of 1974 is amended by adding at the end the following new section: 407. Macroeconomic impact analysis of major revenue legislation (a) Joint Committee on Taxation The Joint Committee on Taxation shall, to the extent practicable, prepare for each major revenue bill or resolution which is— (1) reported by the Committee on Ways and Means of the House of Representatives or the Committee on Finance of the Senate; or (2) considered on the floor of the House of Representatives or the Senate, as a supplement to estimates prepared under section 402, a macroeconomic impact analysis of the budgetary effects of such bill or resolution for the 10 fiscal-year period beginning with the first fiscal year for which an estimate was prepared under section 402 and each of the next three 10 fiscal-year periods. To the extent practicable, the Joint Committee on Taxation’s macroeconomic impact analysis shall be included in full as part of the Congressional Budget Office report accompanying such bill or resolution under section 402. If a macroeconomic impact analysis is not included as part of the Congressional Budget Office report relating to a major revenue bill or resolution, the Chairman of the Committee reporting the bill or resolution shall cause the analysis to be entered into the Congressional Record of the Senate and House of Representatives. (b) Definitions As used in this section: (1) Macroeconomic impact analysis The term macroeconomic impact analysis means— (A) an estimate of the changes in economic output, employment, interest rates, capital stock, and tax revenues expected to result from the revenue provisions in the proposal to which section 201(f) applies; (B) an estimate of revenue feedback expected to result from those revenue provisions; and (C) a statement identifying the critical assumptions and the source of data underlying that estimate, to the extent necessary to make the models comprehensible to academic and public policy analysts. (2) Major revenue bill or resolution The term major revenue bill or resolution means a bill, resolution, or conference report for which— (A) either— (i) the sum of the positive changes in revenues resulting from such measure (not including the impact of any timing shifts for the due date for estimated corporate income tax payments) for any fiscal year in the period for which an estimate is prepared under section 402; or (ii) the absolute value of the sum of the negative changes in revenues resulting from such measure (not including the impact of any timing shifts for the due date for estimated corporate income tax payments) for any fiscal year for which such an estimate is prepared, is greater than (B) 0.25 percent of the current projected gross domestic product of the United States (as determined by the Bureau of Economic Analysis of the Department of Commerce) for such fiscal year. (3) Revenue feedback The term revenue feedback means changes in revenue resulting from changes in economic growth as the result of the enactment of any major revenue bill or resolution. . (b) Conforming amendment The table of contents set forth in section 1(b) of the Congressional Budget and Impoundment Control Act of 1974 is amended by inserting after the item relating to section 406 the following new item: Sec. 407. Macroeconomic impact analysis of major revenue legislation. .