HR3787119th CongressWALLET

Emergency Spending Accountability Act

Sponsored By: Representative Stutzman

Introduced

Summary

Mandatory sequestration to offset emergency spending. This bill would require automatic cuts so that, over five years, outlay savings equal 20 percent of any spending Congress labels as an emergency.

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  • The Director of the Office of Management and Budget (OMB) would issue sequestration orders on October 1 following the emergency and on each of the next four fiscal years. OMB must notify Congress in writing and list the accounts to be reduced.
  • Sequestration would apply only to discretionary accounts when the emergency spending is discretionary and only to direct spending accounts when the emergency spending is direct. Benefits under Social Security Title II, Railroad Retirement, budget function 050 (National Defense), Department of Veterans Affairs programs, and Medicare are expressly exempt.
  • Any measure that designates emergency spending would need a justification in the committee report or the Congressional Record explaining why the spending meets the Balanced Budget and Emergency Deficit Control Act definitions of emergency and unanticipated.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 1 benefits, 1 costs, 1 mixed.

Social Security, Medicare, VA shielded from cuts

If enacted, sequestration to offset emergencies would not cut Social Security, Medicare, Veterans Affairs programs, Railroad Retirement benefits, or defense accounts. This would lower the risk of reduced checks or services for retirees, people with disabilities, and veterans.

Five-year cuts after emergency spending

If enacted, OMB would cut spending to offset any emergency money. Starting on October 1 after the year the emergency funds were provided, and for four more years, OMB would order cuts. Each year would save one-fifth (20%) of that emergency amount. Cuts would only hit the same type of accounts (discretionary or direct), at a uniform rate, unless exempted. Any offsets already in the emergency law would reduce the cuts, and OMB would notify Congress with the affected accounts.

Proof and definitions for emergency spending

If enacted, any bill with emergency spending would need a detailed public justification. Committee reports or entries in the Congressional Record would have to explain why the spending is emergency and unanticipated under budget law. The bill would also set which legal designations count as “emergency spending” and tie key budget terms to existing statutes. These rules would take effect upon enactment.

Sponsors & CoSponsors

Sponsor

Stutzman

IN • R

Cosponsors

  • Gooden

    TX • R

    Sponsored 6/5/2025

  • Shreve

    IN • R

    Sponsored 6/5/2025

  • Grothman

    WI • R

    Sponsored 6/5/2025

  • Self

    TX • R

    Sponsored 6/5/2025

  • Norman

    SC • R

    Sponsored 6/5/2025

  • Biggs (SC)

    SC • R

    Sponsored 6/6/2025

  • Gosar

    AZ • R

    Sponsored 6/5/2025

  • Perry

    PA • R

    Sponsored 6/5/2025

Roll Call Votes

No roll call votes available for this bill.

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