The "Budget Process Enhancement Act" aims to improve the federal budget process by modifying baseline calculations, holding congressional salaries in escrow if a budget resolution isn't reached, and ensuring timely submission of the President's budget by withholding pay from key OMB officials if deadlines are missed.
Andy Biggs
Representative
AZ-5
The "Budget Process Enhancement Act" modifies budget baseline calculations by excluding emergency funds and supplemental appropriations, and it stipulates that congressional members' salaries will be held in escrow if a budget resolution is not agreed upon by the House or Senate by the specified deadline. Additionally, the Act mandates the Inspector General of the Office of Personnel Management to ensure timely submission of the President's budget, with penalties for the Director, Deputy Director, and Deputy Director for Management of the Office of Management and Budget if the budget is submitted late.
Budget Overhaul Bill Could Dock Congressional Pay, Alters Spending Baseline: Takes Effect Immediately
The "Budget Process Enhancement Act" is making some immediate changes to how the federal budget is calculated and who's held accountable for getting it done on time. The bill, effective immediately, aims to tighten up the budget process with a few key moves.
Rewriting the Baseline Rules
This bill reshapes the way the government calculates its baseline budget. Essentially, it's changing the starting point for budget talks. The big change here is that spending on "emergency requirements" and anything covered by supplemental appropriation laws will no longer be included in the baseline calculations (Section 101(1)). Plus, the bill says there will be no adjustments for inflation or any other factors when figuring out this baseline (Section 101(3)). Think of it like this: if you usually budget based on a certain income, but suddenly exclude unexpected expenses from that calculation, your baseline shifts. This could make the budget appear smaller, but it might also mean less accurate long-term planning, especially when emergencies hit.
Congressional Pay on the Line
Starting next year, if Congress can't agree on a budget resolution by April 15, 2025, their paychecks get put on hold (Section 201). The money will be held in escrow, and they'll only get it once the House agrees on a budget resolution or when that session of Congress ends. For example, imagine if your paycheck was held back every time your team at work missed a major deadline – that's the kind of pressure this puts on lawmakers. While it sounds like a strong incentive, there's a real chance Congress could just rush through a bare-bones budget to avoid the pay hold, which isn't necessarily a win for thoughtful budgeting.
OMB in the Hot Seat
If the President's budget isn't submitted to Congress on time, the top dogs at the Office of Management and Budget (OMB) – the Director, Deputy Director, and Deputy Director for Management – won't get paid (Section 203). The Inspector General of the Office of Personnel Management is tasked with checking if the budget submission meets all the legal requirements and reporting to the Budget and Appropriations Committees in both houses of Congress (Section 202). This puts direct financial pressure on the OMB's leadership to get the budget in on schedule. It's like docking a delivery driver's pay for late deliveries – it definitely gets their attention, but it doesn't guarantee the package arrives in perfect condition.