Section 1 Short Title
This Act may be cited as the “Fiscal Responsibility Act of 2016”.
Fiscal Responsibility Act of 2016
A BILL
To provide that the rates of pay for Members of Congress shall be reduced following any fiscal year in which there is a Federal deficit.
Sec. 2 Definitions
For the purpose of this Act—
a “deficit” shall be considered to exist in a fiscal year if total budget outlays of the Government for such fiscal year exceed total revenues of the Government for such fiscal year (as determined under section 3(d)); and
the term Member of Congress or Member means an individual serving in a position referred to in section 601(a)(1) of the Legislative Reorganization Act of 1946 (2 U.S.C. 4501(1)).
Sec. 3 Effect of a deficit
In general— Notwithstanding any other provision of law, if there is a deficit in a fiscal year, then—
any pay adjustment for Members of Congress scheduled to take effect under section 601(a) of the Legislative Reorganization Act of 1946 (2 U.S.C. 4501) in the succeeding calendar year shall be null and void; and
effective as of the first day of the first pay period beginning in that succeeding calendar year, rates of basic pay for Members of Congress shall be reduced (from the rate in effect as of the day before the start of such succeeding calendar year) by the amount determined under subsection (b), but not below zero.
Reductions required— The reduction required under this subsection is as follows:
If the reduction is to take effect in a calendar year that does not immediately follow another calendar year in which a reduction under this section was made, the reduction amount shall be equal to 5 percent of the rate of basic pay last in effect before such reduction is made.
If the reduction is to take effect in a calendar year that immediately follows another calendar year in which a reduction under this section was made, the reduction amount shall be equal to 10 percent of the rate of basic pay last in effect before the most recent reduction under paragraph (1) was made.
Conditions for restoration— If, following one or more years in which Members’ pay is reduced under this Act, there occurs a fiscal year in which there is no deficit, then, effective as of the first day of the first pay period in the succeeding calendar year (and until another deficit triggering the preceding provisions of this section occurs)—
rates of basic pay for Members shall be restored to the highest rate that was at any time previously payable for the office involved; and
pay adjustments scheduled to take effect on or after such first day under the provision of law referred to in subsection (a)(1) shall be effective.
Determinations— Determinations of whether or not a deficit exists in any fiscal year shall, for purposes of this Act, be made by the Director of the Congressional Budget Office. In making any such determination, the Director shall exclude any budget outlays resulting from a formal declaration of war by Congress.
Sec. 4 Effective date
This Act shall take effect on the date of the enactment of this Act, except that no determination under section 3(d) shall be made with respect to any fiscal year before fiscal year 2016.