October 16, 2019 - Issue: Vol. 165, No. 163 — Daily Edition116th Congress (2019 - 2020) - 1st Session
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PRESIDENTIAL ALLOWANCE MODERNIZATION ACT OF 2019; Congressional Record Vol. 165, No. 163
(House of Representatives - October 16, 2019)
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[Pages H8167-H8169] From the Congressional Record Online through the Government Publishing Office [www.gpo.gov] PRESIDENTIAL ALLOWANCE MODERNIZATION ACT OF 2019 Mr. ROUDA. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 1496) to amend the Act of August 25, 1958, commonly known as the ``Former Presidents Act of 1958'', with respect to the monetary allowance payable to a former President, and for other purposes, as amended. The Clerk read the title of the bill. The text of the bill is as follows: H.R. 1496 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Presidential Allowance Modernization Act of 2019''. SEC. 2. AMENDMENTS. (a) In General.--The Act entitled ``An Act to provide retirement, clerical assistants, and free mailing privileges to former Presidents of the United States, and for other purposes'', approved August 25, 1958 (commonly known as the ``Former Presidents Act of 1958'') (3 U.S.C. 102 note), is amended-- (1) by striking ``That (a) each'' and inserting the following: ``SECTION 1. FORMER PRESIDENTS LEAVING OFFICE BEFORE PRESIDENTIAL ALLOWANCE MODERNIZATION ACT OF 2019. ``(a) Each''; (2) by redesignating subsection (g) as section 3 and adjusting the margin accordingly; and (3) by inserting after section 1, as so designated, the following: ``SEC. 2. FORMER PRESIDENTS LEAVING OFFICE AFTER PRESIDENTIAL ALLOWANCE MODERNIZATION ACT OF 2019. ``(a) Annuities and Allowances.-- ``(1) Annuity.--Each modern former President shall be entitled for the remainder of his or her life to receive from the United States an annuity at the rate of $200,000 per year, subject to subsections (b)(2) and (c), to be paid by the Secretary of the Treasury. ``(2) Allowance.--The Administrator of General Services is authorized to provide each modern former President a monetary allowance at the rate of $200,000 per year, subject to the availability of appropriations and subsections (b)(2), (c), and (d). ``(b) Duration; Frequency.-- ``(1) In general.--The annuity and allowance under subsection (a) shall each-- ``(A) commence on the day after the date on which an individual becomes a modern former President; ``(B) terminate on the date on which the modern former President dies; and ``(C) be payable on a monthly basis. ``(2) Appointive or elective positions.--The annuity and allowance under subsection (a) shall not be payable for any period during which a modern former President holds an appointive or elective position in or under the Federal Government to which is attached a rate of pay other than a nominal rate. ``(c) Cost-of-Living Increases.--Effective December 1 of each year, each annuity and allowance under subsection (a) that commenced before that date shall be increased by the same percentage by which benefit amounts under title II of the Social Security Act (42 U.S.C. 401 et seq.) are increased, effective as of that date, as a result of a determination under section 215(i) of that Act (42 U.S.C. 415(i)). ``(d) Limitation on Monetary Allowance.-- ``(1) In general.--Notwithstanding any other provision of this section, the monetary allowance payable under subsection (a)(2) to a modern former President for any 12-month period-- ``(A) except as provided in subparagraph (B), may not exceed the amount by which-- ``(i) the monetary allowance that (but for this subsection) would otherwise be so payable for such 12-month period, exceeds (if at all) ``(ii) the applicable reduction amount for such 12-month period; and ``(B) shall not be less than the amount determined under paragraph (4). ``(2) Definition.-- ``(A) In general.--For purposes of paragraph (1), the term `applicable reduction amount' means, with respect to any modern former President and in connection with any 12-month period, the amount by which-- ``(i) the sum of-- ``(I) the adjusted gross income (as defined in section 62 of the Internal Revenue Code of 1986) of the modern former President for the most recent taxable year for which a tax return is available; and [[Page H8168]] ``(II) any interest excluded from the gross income of the modern former President under section 103 of such Code for such taxable year, exceeds (if at all) ``(ii) $400,000, subject to subparagraph (C). ``(B) Joint returns.--In the case of a joint return, subclauses (I) and (II) of subparagraph (A)(i) shall be applied by taking into account both the amounts properly allocable to the modern former President and the amounts properly allocable to the spouse of the modern former President. ``(C) Cost-of-living increases.--The dollar amount specified in subparagraph (A)(ii) shall be adjusted at the same time that, and by the same percentage by which, the monetary allowance of the modern former President is increased under subsection (c) (disregarding this subsection). ``(3) Disclosure requirement.-- ``(A) Definitions.--In this paragraph-- ``(i) the terms `return' and `return information' have the meanings given those terms in section 6103(b) of the Internal Revenue Code of 1986; and ``(ii) the term `Secretary' means the Secretary of the Treasury or the Secretary of the Treasury's delegate. ``(B) Requirement.--A modern former President may not receive a monetary allowance under subsection (a)(2) unless the modern former President discloses to the Secretary, upon the request of the Secretary, any return or return information of the modern former President or spouse of the modern former President that the Secretary determines is necessary for purposes of calculating the applicable reduction amount under paragraph (2) of this subsection. ``(C) Confidentiality.--Except as provided in section 6103 of the Internal Revenue Code of 1986 and notwithstanding any other provision of law, the Secretary may not, with respect to a return or return information disclosed to the Secretary under subparagraph (B)-- ``(i) disclose the return or return information to any entity or person; or ``(ii) use the return or return information for any purpose other than to calculate the applicable reduction amount under paragraph (2). ``(4) Increased costs due to security needs.--With respect to the monetary allowance that would be payable to a modern former President under subsection (a)(2) for any 12-month period but for the limitation under paragraph (1)(A) of this subsection, the Administrator of General Services, in coordination with the Director of the United States Secret Service, shall determine the amount of the allowance that is needed to pay the increased cost of doing business that is attributable to the security needs of the modern former President. ``(e) Widows and Widowers.--The widow or widower of each modern former President shall be entitled to receive from the United States a monetary allowance at a rate of $100,000 per year (subject to paragraph (4)), payable monthly by the Secretary of the Treasury, if such widow or widower shall waive the right to each other annuity or pension to which she or he is entitled under any other Act of Congress. The monetary allowance of such widow or widower-- ``(1) commences on the day after the modern former President dies; ``(2) terminates on the last day of the month before such widow or widower dies; ``(3) is not payable for any period during which such widow or widower holds an appointive or elective office or position in or under the Federal Government to which is attached a rate of pay other than a nominal rate; and ``(4) shall, after its commencement date, be increased at the same time that, and by the same percentage by which, annuities of modern former Presidents are increased under subsection (c). ``(f) Definition.--In this section, the term `modern former President' means a person-- ``(1) who shall have held the office of President of the United States of America; ``(2) whose service in such office shall have terminated-- ``(A) other than by removal pursuant to section 4 of article II of the Constitution of the United States of America; and ``(B) after the date of enactment of the Presidential Allowance Modernization Act of 2019; and ``(3) who does not then currently hold such office.''. (b) Technical and Conforming Amendments.--The Former Presidents Act of 1958 is amended-- (1) in section 1(f)(2), as designated by this section-- (A) by striking ``terminated other than'' and inserting the following: ``terminated-- ``(A) other than''; and (B) by adding at the end the following: ``(B) on or before the date of enactment of the Presidential Allowance Modernization Act of 2019; and''; and (2) in section 3, as redesignated by this section-- (A) by inserting after the section enumerator the following: ``authorization of appropriations.''; and (B) by inserting ``or modern former President'' after ``former President'' each place that term appears. SEC. 3. RULE OF CONSTRUCTION. Nothing in this Act or an amendment made by this Act shall be construed to affect-- (1) any provision of law relating to the security or protection of a former President or modern former President, or a member of the family of a former President or modern former President; or (2) funding, under the Former Presidents Act of 1958 or any other law, to carry out any provision of law described in paragraph (1). SEC. 4. APPLICABILITY. Section 2 of the Former Presidents Act of 1958, as added by section 2(a)(3) of this Act, shall not apply to-- (1) any individual who is a former President on the date of enactment of this Act; or (2) the widow or widower of an individual described in paragraph (1). SEC. 5. DETERMINATION OF BUDGETARY EFFECTS. The budgetary effects of this Act, for the purpose of complying with the Statutory Pay-As-You-Go Act of 2010, shall be determined by reference to the latest statement titled ``Budgetary Effects of PAYGO Legislation'' for this Act, submitted for printing in the Congressional Record by the Chairman of the House Budget Committee, provided that such statement has been submitted prior to the vote on passage. The SPEAKER pro tempore. Pursuant to the rule, the gentleman from California (Mr. Rouda) and the gentleman from Arizona (Mr. Gosar) each will control 20 minutes. The Chair recognizes the gentleman from California. General Leave Mr. ROUDA. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days in which to revise and extend their remarks and include extraneous materials on this measure. The SPEAKER pro tempore. Is there objection to the request of the gentleman from California? There was no objection. Mr. ROUDA. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, H.R. 1496 would amend the former President's Act of 1958 to cap a former President's annual pension at $200,000, indexed to inflation. The bill also would provide an additional annual allowance for expenses that would start at $200,000. Under this bill, the annual allowance would be reduced dollar for dollar in instances in which a former President's adjusted gross income in a taxable year exceeds $400,000. Taxpayers should not have to pay for a former President's allowance if the former President is making a comfortable living earning millions of dollars a year, as many former Presidents do. This legislation would not affect any funding for the security and protection of former Presidents and their spouses. This legislation would update the pension amount for surviving spouses of former Presidents, which has been unchanged since 1958, by increasing it from $20,000 to $100,000. Mr. Speaker, I believe this bill makes fiscal sense and urge Members to support it, and I reserve the balance of my time. {time} 1500 Mr. GOSAR. Mr. Speaker, I yield 4 minutes to the gentleman from Georgia (Mr. Hice). Mr. HICE of Georgia. Mr. Speaker, I thank my friend from Arizona for yielding. I rise in support of H.R. 1496, the Presidential Allowance Modernization Act of 2019. As has already been mentioned, in 1958, Congress passed the Former Presidents Act, and that was at a time period where Presidents did not have the same financial opportunities that they have today. Recent former Presidents have earned millions of dollars after leaving office from speaking fees, book deals, and other endeavors. For example, President Clinton earned more than $100 million in speaking fees between 2001 and 2013. President George W. Bush received $10 million for a book deal. President Obama and the former First Lady reportedly signed a joint book deal worth over $65 million. It is just a fact of the modern Presidency that these financial opportunities are now available to former Presidents. Given these financial benefits, it is no longer necessary to provide the level of taxpayer-funded support that was envisioned back in 1958. So, H.R. 1496 is an important step to saving taxpayer dollars by amending the law to reflect the financial realities of the modern Presidency. This bill reforms the pension amount for former Presidents and surviving spouses. This bill also changes the amount and the way that additional benefits to former Presidents are allotted. Currently, former Presidents are [[Page H8169]] eligible for benefits paid through annual appropriations for things like office space and leases, furniture and supplies, staff salaries, and so forth. This bill would cut the allowance for those type of expenses to $200,000 to each former President. This allowance will further be reduced, dollar for dollar, based on the former President's income over $400,000. So, in this era of massive Federal deficits, I believe it is important that our former Presidents lead the Nation by example in cutting unnecessary spending. I want to, again, assure my colleagues that this bill does not affect security in any way. I want to thank Senator Ernst for a companion bill in the Senate and, also, Chairman Cummings and my colleagues on the other side for supporting this bill. Mr. GOSAR. Mr. Speaker, I yield back the balance of my time. Mr. ROUDA. Mr. Speaker, I yield back the balance of my time. The SPEAKER pro tempore. The question is on the motion offered by the gentleman from California (Mr. Rouda) that the House suspend the rules and pass the bill, H.R. 1496, as amended. The question was taken; and (two-thirds being in the affirmative) the rules were suspended and the bill, as amended, was passed. A motion to reconsider was laid on the table. ____________________
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