[House Report 112-261]
[From the U.S. Government Publishing Office]


112th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    112-261

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   PROVIDING FOR CONSIDERATION OF THE BILL (H.R. 2576) TO AMEND THE 
  INTERNAL REVENUE CODE OF 1986 TO MODIFY THE CALCULATION OF MODIFIED 
   ADJUSTED GROSS INCOME FOR PURPOSES OF DETERMINING ELIGIBILITY FOR 
CERTAIN HEALTHCARE-RELATED PROGRAMS, AND PROVIDING FOR CONSIDERATION OF 
   THE BILL (H.R. 674) TO AMEND THE INTERNAL REVENUE CODE OF 1986 TO 
REPEAL THE IMPOSITION OF 3 PERCENT WITHHOLDING ON CERTAIN PAYMENTS MADE 
                   TO VENDORS BY GOVERNMENT ENTITIES

                                _______
                                

  October 25, 2011.--Referred to the House Calendar and ordered to be 
                                printed

                                _______
                                

       Mr. Scott of South Carolina, from the Committee on Rules, 
                        submitted the following

                              R E P O R T

                       [To accompany H. Res. 448]

    The Committee on Rules, having had under consideration 
House Resolution 448, by a record vote of 8 to 2, report the 
same to the House with the recommendation that the resolution 
be adopted.

                SUMMARY OF PROVISIONS OF THE RESOLUTION

     The resolution provides for consideration of the bill 
(H.R. 2576) to amend the Internal Revenue Code of 1986 to 
modify the calculation of modified adjusted gross income for 
purposes of determining eligibility for certain healthcare-
related programs, under a closed rule. The resolution provides 
one hour of debate on H.R. 2576, equally divided and controlled 
by the chair and ranking minority member of the Committee on 
Ways and Means. The resolution waives all points of order 
against consideration of the bill, and provides that it shall 
be considered as read. The resolution waives all points of 
order against provisions in the bill. The resolution provides 
one motion to recommit H.R. 2576.
    The resolution further provides for consideration of the 
bill (H.R. 674) to amend the Internal Revenue Code of 1986 to 
repeal the imposition of 3 percent withholding on certain 
payments made to vendors by government entities, under a closed 
rule. The resolution provides one hour of debate on H.R. 674 
equally divided and controlled by the chair and ranking 
minority member of the Committee on Ways and Means. The 
resolution waives all points of order against consideration of 
the bill. The resolution provides that the amendment to H.R. 
674 printed in this report shall be considered as adopted and 
that the bill, as amended, shall be considered as read. The 
resolution waives all points of order against provisions in the 
bill, as amended. The resolution provides one motion to 
recommit H.R. 674 with or without instructions.
    The resolution directs the Clerk to, in the engrossment of 
H.R. 674, add the text of H.R. 2576, as passed by the House, as 
new matter at the end of H.R. 674. The resolution also directs 
the Clerk to make conforming modifications in the engrossment. 
Finally, the resolution provides that upon the addition of the 
text of H.R. 2576, as passed by the House, to the engrossment 
of H.R. 674, H.R. 2576 shall be laid on the table.

                         EXPLANATION OF WAIVERS

    Although the rule waives all points of order against 
consideration of H.R. 2576, the Committee is not aware of any 
points of order against the bill. The waiver is prophylactic in 
nature.
    Although the rule waives all points of order against 
provisions in H.R. 2576, the Committee is not aware of any 
points of order against the provisions in the bill. The waiver 
is prophylactic in nature.
    The waiver of all points of order against consideration of 
H.R. 674 includes a waiver of section 303(a) of the 
Congressional Budget Act, which prohibits the consideration of 
legislation providing new budget authority, change in revenues, 
change in public debt, new entitlement authority, or new credit 
authority for a fiscal year until the budget resolution for 
that fiscal year has been agreed to. The bill is in violation 
because the first revenue change made by the bill takes effect 
in 2013 and a budget for fiscal year 2013 has yet to be 
adopted.
    The waiver of all points of order against consideration of 
H.R. 674 includes a waiver of section 311(a) of the 
Congressional Budget Act, which prohibits consideration of 
legislation or an amendment that would cause the total level of 
new budget authority or outlays in the most recent budget 
resolution to be exceeded, or would cause revenues to be less. 
The bill would cause a decrease in revenues as assumed in the 
most recent budget resolution and is therefore in violation of 
section 311(a).
    Although the rule waives all points of order against 
provisions in H.R. 674, as amended, the Committee is not aware 
of any points of order against the provisions in the bill, as 
amended. The waiver is prophylactic in nature.

                            COMMITTEE VOTES

    The results of each record vote on an amendment or motion 
to report, together with the names of those voting for and 
against, are printed below:

Rules Committee record vote No. 142

    Motion by Mr. McGovern to report open rules for both H.R. 
2576 and H.R. 674. Defeated: 2-8.


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                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Mr. Sessions....................................          Nay   Mr. McGovern......................          Yea
Ms. Foxx........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Bishop of Utah..............................          Nay
Mr. Woodall.....................................          Nay
Mr. Nugent......................................          Nay
Mr. Scott of South Carolina.....................          Nay
Mr. Webster.....................................          Nay
Mr. Dreier, Chairman............................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 143

    Motion by Mr. McGovern to amend the rule to make in order 
and provide the necessary waivers for Amendment #2 to H.R. 2576 
offered by Mr. Levin (D-MI), which would strike the text of the 
underlying bill, repeal the 3 percent withholding requirement 
in section 3402 of the Internal Revenue Code, and repeal the 
section 199 manufacturing deduction for major integrated oil 
and gas companies. Defeated: 2-8.


----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Mr. Sessions....................................          Nay   Mr. McGovern......................          Yea
Ms. Foxx........................................          Nay   Mr. Hastings of Florida...........          Yea
Mr. Bishop of Utah..............................          Nay
Mr. Woodall.....................................          Nay
Mr. Nugent......................................          Nay
Mr. Scott of South Carolina.....................          Nay
Mr. Webster.....................................          Nay
Mr. Dreier, Chairman............................          Nay
----------------------------------------------------------------------------------------------------------------

Rules Committee record vote No. 144

    Motion by Mr. Sessions to report the rule. Adopted: 8-2.


----------------------------------------------------------------------------------------------------------------
                Majority Members                      Vote               Minority Members               Vote
----------------------------------------------------------------------------------------------------------------
Mr. Sessions....................................          Yea   Mr. McGovern......................          Nay
Ms. Foxx........................................          Yea   Mr. Hastings of Florida...........          Nay
Mr. Bishop of Utah..............................          Yea
Mr. Woodall.....................................          Yea
Mr. Nugent......................................          Yea
Mr. Scott of South Carolina.....................          Yea
Mr. Webster.....................................          Yea
Mr. Dreier, Chairman............................          Yea
----------------------------------------------------------------------------------------------------------------

         SUMMARY OF AMENDMENT TO H.R. 674 CONSIDERED AS ADOPTED

    Camp (MI): Would add, as a new section 1, a short title to 
the bill--the ``3% Withholding Repeal and Job Creation Act''--
and would re-designate section 1 as section 2.

          TEXT OF AMENDMENT TO H.R. 674 CONSIDERED AS ADOPTED

  Page 3, after line 2, insert the following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``3% Withholding Repeal and Job 
Creation Act''.

  Page 3, line 3, strike ``section 1.'' and insert ``sec. 2.''.