January 28, 2014
Effects on direct spending and revenues of the conference agreement on H.R. 2642, as reported on January 27, 2014.
CBO estimates that direct spending stemming from the programs authorized by the conference agreement would total $956 billion over the 2014-2023 period, of which $756 billion would be for nutrition programs. Relative to spending and revenues projected under CBO’s May 2013 baseline, CBO estimates that enacting the conference agreement would lower budget deficits by $16.6 billion over that 10-year period.
Further details of CBO’s estimate are displayed in the enclosed tables:
- Table 1 summarizes CBO’s estimate of changes in direct spending and revenues for each year over the next 10 years;
- Table 2 provides estimates of changes in direct spending and revenues for each title of the legislation;
- Table 3 shows CBO’s estimates of the direct spending that would result from each title;
- Table 4 displays estimates of changes in direct spending and revenues for specific provisions within the various titles of the conference agreement; and
- Table 5 compares the estimates for the Senate- and House-passed legislation with the estimate for the conference agreement.
Most spending under the legislation would stem from provisions regarding nutrition (title IV), crop insurance (title XI), commodity programs (title I), and conservation programs (title II). Details about such provisions are included in CBO’s previous cost estimates for earlier versions of this legislation.
This estimate does not include the additional discretionary spending for agricultural programs that would result from implementing the conference agreement; such spending would be subject to future appropriation actions. CBO also has not reviewed the conference agreement for intergovernmental or private-sector mandates.