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Rokita-Sponsored Budget Reforms Pass Budget Committee

Press Release

Location: Washington, DC

U.S. Rep. Todd Rokita, a member of the House Budget Committee, released the following statement after the committee passed bills to reform the budget process -- the Baseline Reform Act (H.R. 1871) and the Pro-Growth Budgeting Act (H.R. 1874). Rokita is a coauthor of both pieces of legislation.

"As we fight to eliminate the nation's $17 trillion in debt, Hoosiers have demanded transparent and common sense budgeting proposals from Congress. These bills accomplish this by reforming the typical pro-spending assumptions in budget calculations and requiring an honest assessment of the economic impact of major legislation. I look forward to continuing my work with my Budget Committee colleagues to reform the budget process and to offer solutions that will balance our budget and put us on a fiscally responsible course," said Rokita.

The Baseline Reform Act -- H.R. 1871

Under current law, the baseline assumes higher spending each year. Discretionary accounts are annually increased by inflation and a number of other factors. This legislation removes the pro-spending bias.

Major Provisions

- Removes the assumption that discretionary spending will increase by inflation in each year of the baseline. This assumption added approximately $1.2 trillion in outlays (over 10 years) to the discretionary baseline.
- Removes the exceptions to the general inflationary rule for expiring housing contracts, social-insurance administrative expenses, and annualization of federal-employee pay.
- Codifies the Congressional Budget Office's (CBO's) current practice of providing a long-term budget outlook no later than July 1 each year.
- Doesn't change the way the mandatory or revenue baselines are calculated.

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