HR1388-119

1. Short title This Act may be cited as the Fair-Value Accounting and Budget Act.

2. Fair-value credit estimates Part A of title IV of the Congressional Budget and Impoundment Control Act of 1974 is amended by adding at the end the following: Any estimate prepared by the Director of the Congressional Budget Office for a measure that establishes or modifies any program providing loans or loan guarantees shall provide a fair-value estimate of such loan or loan guarantee program. The Congressional Budget Office shall include estimates of loan and loan guarantee programs, on a fair-value and credit reform basis, as practicable, in the Office’s publication entitled The Budget and Economic Outlook (or any successor report). If the Director of the Congressional Budget Office provides an estimate pursuant to subsection (a), the chair of the Committee on the Budget of the House of Representatives or the Senate shall use such estimate to determine compliance with this Act and other budget enforcement requirements. In 2026 and each year thereafter, not later than 90 days after the date the President submits to Congress a budget under section 1105(a) of title 31, United States Code, the Director of the Office of Management and Budget shall submit a report, to the Committees on the Budget of the House of Representatives and the Senate, on fair-value estimates of the cost of Federal credit programs. In carrying out this section, the Director of the Congressional Budget Office and the Director of the Office of Management and Budget shall use the definition of fair-value as set forth in the publication of the Government Accounting Standards Board, issued in February 2015, entitled Fair Value Measurement and Application. The table of contents for the Congressional Budget and Impoundment Control Act of 1974 Act set forth in section 1(b) of such Act is amended by inserting after the item relating to section 406 the following new item: 407.Fair-value credit estimates (a)Fair-Value estimatesAny estimate prepared by the Director of the Congressional Budget Office for a measure that establishes or modifies any program providing loans or loan guarantees shall provide a fair-value estimate of such loan or loan guarantee program. (b)Baseline estimatesThe Congressional Budget Office shall include estimates of loan and loan guarantee programs, on a fair-value and credit reform basis, as practicable, in the Office’s publication entitled The Budget and Economic Outlook (or any successor report). (c)EnforcementIf the Director of the Congressional Budget Office provides an estimate pursuant to subsection (a), the chair of the Committee on the Budget of the House of Representatives or the Senate shall use such estimate to determine compliance with this Act and other budget enforcement requirements. (d)Annual reportIn 2026 and each year thereafter, not later than 90 days after the date the President submits to Congress a budget under section 1105(a) of title 31, United States Code, the Director of the Office of Management and Budget shall submit a report, to the Committees on the Budget of the House of Representatives and the Senate, on fair-value estimates of the cost of Federal credit programs. (e)Definition of fair-ValueIn carrying out this section, the Director of the Congressional Budget Office and the Director of the Office of Management and Budget shall use the definition of fair-value as set forth in the publication of the Government Accounting Standards Board, issued in February 2015, entitled Fair Value Measurement and Application.. Sec. 407. Fair-value credit estimates..

407. Fair-value credit estimates Any estimate prepared by the Director of the Congressional Budget Office for a measure that establishes or modifies any program providing loans or loan guarantees shall provide a fair-value estimate of such loan or loan guarantee program. The Congressional Budget Office shall include estimates of loan and loan guarantee programs, on a fair-value and credit reform basis, as practicable, in the Office’s publication entitled The Budget and Economic Outlook (or any successor report). If the Director of the Congressional Budget Office provides an estimate pursuant to subsection (a), the chair of the Committee on the Budget of the House of Representatives or the Senate shall use such estimate to determine compliance with this Act and other budget enforcement requirements. In 2026 and each year thereafter, not later than 90 days after the date the President submits to Congress a budget under section 1105(a) of title 31, United States Code, the Director of the Office of Management and Budget shall submit a report, to the Committees on the Budget of the House of Representatives and the Senate, on fair-value estimates of the cost of Federal credit programs. In carrying out this section, the Director of the Congressional Budget Office and the Director of the Office of Management and Budget shall use the definition of fair-value as set forth in the publication of the Government Accounting Standards Board, issued in February 2015, entitled Fair Value Measurement and Application.