Inflation Prevention Act of 2023 This bill establishes a point of order that, when the annualized rate of inflation exceeds 4.5%, prohibits the House and Senate from considering legislation that provides new budget authority and is estimated to increase the Consumer Price Index for All Urban Consumers. The prohibition may be waived in the Senate by an affirmative vote of three-fifths of the Senate.
Impact
If enacted, the bill would fundamentally impact how Congress engages with budgetary provisions during periods of heightened inflation. It mandates that any proposed spending increases must be scrutinized for their potential inflationary effects, with the goal of ensuring economic stability. This measure seeks to promote fiscal discipline by requiring that spending measures align with current inflation rates, thereby possibly limiting the scope of government fiscal interventions during challenging economic climates.
Summary
House Bill 252, known as the Inflation Prevention Act of 2023, establishes a mechanism to regulate federal spending in relation to inflation levels. Specifically, the bill introduces a point of order that prohibits the consideration of any legislation that provides new budget authority and is expected to increase the Consumer Price Index for All Urban Consumers when the annualized rate of inflation surpasses 4.5%. This legislative approach aims to create a safeguard against fiscal policies that could exacerbate inflation and consequently economic instability.
Contention
Despite its objectives, the bill has raised concerns among various stakeholders. Critics argue that the 4.5% threshold for inflation might hamper necessary emergency spending or investments in key areas such as healthcare and infrastructure, particularly during times of economic downturn. Furthermore, there is apprehension regarding the implications of centralizing budgetary authority within the Congressional Budget Office's estimates, which could lead to potential delays in the legislative process and constrain timely governmental responses to urgent economic needs.
Reduce Exacerbated Inflation Negatively Impacting the Nation Act This bill requires the Office of Management and Budget and the Council of Economic Advisers to provide an inflation estimate for each executive order that is projected to cause an annual gross budgetary effect of at least $1 billion. The estimate must determine whether the executive order will have no significant impact on inflation, a quantifiable inflationary impact on the Consumer Price Index, or a significant impact on inflation that cannot be quantified at the time the estimate is prepared. The requirement does not apply to executive orders that (1) provide for emergency assistance or relief at the request of any state or local government or an official of the government, or (2) are necessary for national security or the ratification or implementation of international treaty obligations.
Stop Inflationary Spending Act This bill requires the Congressional Budget Office (CBO) to provide inflation projections for bills that Congress considers using the budget reconciliation process. Specifically, the CBO must estimate the impact on inflation that will occur from implementing each reconciliation bill, including the impact on inflation that will occur during each of the first five years after the enactment of the bill.
Protect Our Seniors ActThis bill establishes Senate budget enforcement procedures (known as points of order) against measures that (1) reduce Medicare or Social Security benefits, or (2) use revenue or savings from the Medicare program to offset the cost of provisions unrelated to carrying out Medicare.Points of order are prohibitions against certain categories of legislation or congressional action. A point of order raised on the grounds established under the bill may be waived or suspended only by an affirmative vote of two-thirds of the Senators.
Amends powers/duties of the office of the health insurance commissioner to increase total cost of care for services reimbursed under contracts after risk adjustment that exceeds the Consumer Price Index for all Urban Consumers percentage increase.
Amends powers/duties of the office of the health insurance commissioner to increase total cost of care for services reimbursed under contracts after risk adjustment that exceeds the Consumer Price Index for all Urban Consumers percentage increase.