2 U.S.C. § 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 joint resolutions. For each public bill or joint resolution reported by an authorization committee of either House, the Director of the Congressional Budget Office must give the committee a statement. (1) Contents. If the Director estimates that all Federal intergovernmental mandates in the measure will have direct costs of at least $50 million, adjusted yearly for inflation, in the first fiscal year in which a mandate or needed implementing regulation would take effect or in any of the next 4 fiscal years, the Director must say so, give the estimate, and briefly explain its basis. (2) Estimates. The statement must estimate and briefly explain: (A) the total direct cost of complying with those mandates; (B) if the measure authorizes appropriations under section 658d(a)(2)(B), the new budget authority needed for each fiscal year, for no more than 10 years after the effective date, to pay those costs; and (C) any increase in existing financial-assistance appropriations, or new financial assistance, that the measure provides and that State, local, or tribal governments may use for activities subject to the mandates. (3) Additional flexibility information. If the measure makes changes described in section 658(5)(B)(i)(II), the Director must say either: (A) if it gives no additional flexibility, whether and how States can offset the reduction under existing law; or (B) if it gives additional flexibility, whether the resulting savings would offset the program reductions assuming States fully use that flexibility. (4) Estimate not feasible. If a reasonable estimate required by paragraphs (1) and (2) is not feasible, the Director must not make it. The statement must say that it cannot be made and give the reasons. In that situation, a point of order under this part lies only under section 658d(a)(1), as though that section's requirement had not been met. (b) Federal private-sector mandates in reported bills and joint resolutions. For each public bill or joint resolution reported by an authorization committee of either House, the Director must give the committee a statement. (1) Contents. If all Federal private-sector mandates will have direct costs of at least $100 million, adjusted yearly for inflation, in the first effective fiscal year or any of the next 4 fiscal years, the Director must say so, give the estimate, and briefly explain its basis. (2) Estimates. The statement must estimate and briefly explain: (A) the total direct cost of complying with the mandates; and (B) any increase in existing financial-assistance appropriations, or new financial assistance, that the measure provides for private-sector activities subject to the mandates. (3) Estimate not feasible. If a reasonable estimate required by paragraphs (1) and (2) is not feasible, the Director must not make it, but must say so and give the reasons. (c) Legislation below direct-cost thresholds. If the Director estimates that a Federal mandate's direct costs will be below the thresholds in subsections (a) and (b), the Director must say so and briefly explain the estimate. (d) Amended bills, joint resolutions, and conference reports. If a measure passes in amended form, including as a substitute amendment for the other House's text, or a conference committee reports it in amended form, and the amendment adds a Federal mandate not previously considered by either House or increases the direct cost of a previously considered mandate, the conference committee must ensure, as far as practicable, that the Director prepares the statement or a supplemental statement required by this subsection for the amended measure.