Hi Bill, **Off subject **** I guess this is my night of civic endeavors. **
It is very confusing for me when I hear about a tax cut. A tax cut implies a tax revenue surplus. Yet, the more I look into the "surplus". The more I am confused. Is this surplus a tax revenue surplus or is it a social security withholding surplus??? It appears to be the latter. Do you have any links which examine this?
Here are some interesting rules related to any tax cut legislation:
Section 303 of the CBA prohibits revenue legislation from being
considered before a budget resolution has been adopted. In the House, this
rule may be waived by a "special rule" reported by the Rules Committee
and adopted by the House. Typically in the case of minor changes to the tax
system, revenue legislation may be considered under suspension of the rules
or unanimous consent. In the Senate, the rule may be waived by unanimous
consent or a majority vote.
When revenue legislation is considered, its content is restricted under the
rules of the congressional budget process. First, Section 311 of the CBA
prohibits consideration of revenue legislation that would cause revenues to
fall below the agreed upon levels for the first fiscal year or the total for all
fiscal years set forth in the budget resolution. A point of order may be
raised in either house against legislation that would violate this restriction. In
the House, the point of order may be waived by a "special rule" reported by
the Rules Committee and adopted by the House. In the Senate, the point of
order may be waived by a three-fifths vote of all Senators duly chosen and
sworn (60 votes if there are no vacancies).
Second, the pay-as-you-go (PAYGO) process established by the Budget
Enforcement Act of 1990 (Title XIII of P.L. 101-508) effectively requires
that any legislation decreasing revenues be offset by an equivalent increase
in other revenues or decrease in direct spending or some combination of the
two. PAYGO is enforced by the sequestration process, whereby any
violation of PAYGO will trigger an offsetting sequestration of nonexempt
direct spending programs after the legislative session. However, a point of
order may be raised in the Senate under a provision adopted in H.Con.Res.
67 (Section 202(b) of the FY1996 budget resolution) to enforce the
PAYGO requirements as well. It prohibits consideration of any revenue
legislation that would increase the deficit in the first fiscal year, the period of
the first five fiscal years, or the following five fiscal years, covered by the
most recently adopted budget resolution. This point of order can be waived
by a three-fifths vote.
Even with a budget "surplus", the PAYGO process is applicable to any legislation decreasing revenues.
Skeet |
