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Savings in Mandatory Outlays in Selected Reconciliation Acts (CRS Report for Congress)

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Release Date Revised Dec. 29, 2006
Report Number RS22277
Report Type Report
Authors Robert Keith, Government and Finance Division
Source Agency Congressional Research Service
Older Revisions
  • Premium   Sept. 22, 2005 (6 pages, $24.95) add
Summary:

During the past 25 years, Congress has sent the President 21 measures under budgetreconciliation procedures; 18 were signed into law and three were vetoed. In the 1980sand 1990s, such legislation often reflected Congress's most significant efforts to reducethe deficit through changes in revenue and mandatory spending laws. In recent years,however, reconciliation has been used mainly to reduce revenues. Most recently, in2006, Congress and the President enacted reconciliation legislation reducing bothmandatory spending and revenues, yielding a net increase in the deficit.Some Members have called for renewed deficit-reduction efforts in the 110thCongress using the reconciliation process. As background on past efforts in this regard,the role of savings in mandatory outlays in several major reconciliation acts enacted orvetoed in the 1990s and in 2006 is briefly summarized.Reductions in mandatory outlays were a significant element in changes made inselected reconciliation acts in recent years. According to the Congressional BudgetOffice, reconciliation acts reduced mandatory outlays over a five-year period by $75billion (in 1990), $77 billion (in 1993), $107 billion (in 1997), and $39 billion (in 2006);$249 billion in such reductions were proposed by Congress in 1995, but the legislationwas vetoed. Reductions in Medicare and Medicaid generally have accounted for thebulk of savings in mandatory outlays in the selected reconciliation acts.