                          TITLE 2--THE CONGRESS
 
         CHAPTER 17A--CONGRESSIONAL BUDGET AND FISCAL OPERATIONS
 
                    SUBCHAPTER II--FISCAL PROCEDURES
 
                        Part B--Federal Mandates
 
Sec. 658c. Duties of Director; statements on bills and joint 
        resolutions other than appropriations bills and joint 
        resolutions
        

(a) Federal intergovernmental mandates in reported bills and resolutions

    For each bill or joint resolution of a public character reported by 
any committee of authorization of the Senate or the House of 
Representatives, the Director of the Congressional Budget Office shall 
prepare and submit to the committee a statement as follows:

                            (1) Contents

        If the Director estimates that the direct cost of all Federal 
    intergovernmental mandates in the bill or joint resolution will 
    equal or exceed $50,000,000 (adjusted annually for inflation) in the 
    fiscal year in which any Federal intergovernmental mandate in the 
    bill or joint resolution (or in any necessary implementing 
    regulation) would first be effective or in any of the 4 fiscal years 
    following such fiscal year, the Director shall so state, specify the 
    estimate, and briefly explain the basis of the estimate.

                            (2) Estimates

        Estimates required under paragraph (1) shall include estimates 
    (and brief explanations of the basis of the estimates) of--
            (A) the total amount of direct cost of complying with the 
        Federal intergovernmental mandates in the bill or joint 
        resolution;
            (B) if the bill or resolution contains an authorization of 
        appropriations under section 658d(a)(2)(B) of this title, the 
        amount of new budget authority for each fiscal year for a period 
        not to exceed 10 years beyond the effective date necessary for 
        the direct cost of the intergovernmental mandate; and
            (C) the amount, if any, of increase in authorization of 
        appropriations under existing Federal financial assistance 
        programs, or of authorization of appropriations for new Federal 
        financial assistance, provided by the bill or joint resolution 
        and usable by State, local, or tribal governments for activities 
        subject to the Federal intergovernmental mandates.

               (3) Additional flexibility information

        The Director shall include in the statement submitted under this 
    subsection, in the case of legislation that makes changes as 
    described in section 658(5)(B)(i)(II) of this title--
            (A) if no additional flexibility is provided in the 
        legislation, a description of whether and how the States can 
        offset the reduction under existing law; or
            (B) if additional flexibility is provided in the 
        legislation, whether the resulting savings would offset the 
        reductions in that program assuming the States fully implement 
        that additional flexibility.

                      (4) Estimate not feasible

        If the Director determines that it is not feasible to make a 
    reasonable estimate that would be required under paragraphs (1) and 
    (2), the Director shall not make the estimate, but shall report in 
    the statement that the reasonable estimate cannot be made and shall 
    include the reasons for that determination in the statement. If such 
    determination is made by the Director, a point of order under this 
    part shall lie only under section 658d(a)(1) of this title and as if 
    the requirement of section 658d(a)(1) of this title had not been 
    met.

(b) Federal private sector mandates in reported bills and joint 
        resolutions

    For each bill or joint resolution of a public character reported by 
any committee of authorization of the Senate or the House of 
Representatives, the Director of the Congressional Budget Office shall 
prepare and submit to the committee a statement as follows:

                            (1) Contents

        If the Director estimates that the direct cost of all Federal 
    private sector mandates in the bill or joint resolution will equal 
    or exceed $100,000,000 (adjusted annually for inflation) in the 
    fiscal year in which any Federal private sector mandate in the bill 
    or joint resolution (or in any necessary implementing regulation) 
    would first be effective or in any of the 4 fiscal years following 
    such fiscal year, the Director shall so state, specify the estimate, 
    and briefly explain the basis of the estimate.

                            (2) Estimates

        Estimates required under paragraph (1) shall include estimates 
    (and a brief explanation of the basis of the estimates) of--
            (A) the total amount of direct costs of complying with the 
        Federal private sector mandates in the bill or joint resolution; 
        and
            (B) the amount, if any, of increase in authorization of 
        appropriations under existing Federal financial assistance 
        programs, or of authorization of appropriations for new Federal 
        financial assistance, provided by the bill or joint resolution 
        usable by the private sector for the activities subject to the 
        Federal private sector mandates.

                      (3) Estimate not feasible

        If the Director determines that it is not feasible to make a 
    reasonable estimate that would be required under paragraphs (1) and 
    (2), the Director shall not make the estimate, but shall report in 
    the statement that the reasonable estimate cannot be made and shall 
    include the reasons for that determination in the statement.

(c) Legislation falling below direct costs thresholds

    If the Director estimates that the direct costs of a Federal mandate 
will not equal or exceed the thresholds specified in subsections (a) and 
(b) of this section, the Director shall so state and shall briefly 
explain the basis of the estimate.

(d) Amended bills and joint resolutions; conference reports

    If a bill or joint resolution is passed in an amended form 
(including if passed by one House as an amendment in the nature of a 
substitute for the text of a bill or joint resolution from the other 
House) or is reported by a committee of conference in amended form, and 
the amended form contains a Federal mandate not previously considered by 
either House or which contains an increase in the direct cost of a 
previously considered Federal mandate, then the committee of conference 
shall ensure, to the greatest extent practicable, that the Director 
shall prepare a statement as provided in this subsection or a 
supplemental statement for the bill or joint resolution in that amended 
form.

(Pub. L. 93-344, title IV, Sec. 424, as added Pub. L. 104-4, title I, 
Sec. 101(a)(2), Mar. 22, 1995, 109 Stat. 55; amended Pub. L. 106-141, 
Sec. 2(b), Dec. 7, 1999, 113 Stat. 1699.)


                               Amendments

    1999--Subsec. (a)(3), (4). Pub. L. 106-141 added par. (3) and 
redesignated former par. (3) as (4).

                  Section Referred to in Other Sections

    This section is referred to in sections 658b, 658d, 1515 of this 
title.
