Reconciliation Recommendations of the House Committee on the Judiciary

Legislation Summary

H. Con. Res. 14, the Concurrent Resolution on the Budget for Fiscal Year 2025, instructed the House Committee on the Judiciary to recommend legislative changes that would increase deficits up to a specified amount over the 2025-2034 period. As part of the reconciliation process, the House Committee on the Judiciary approved legislation on April 30, 2025, with provisions that would increase deficits.

Estimated Federal Cost

The reconciliation recommendations of the House Committee on the Judiciary would increase deficits by $6.9 billion over the 2025-2034 period. The estimated budgetary effects of the legislation are shown in Table 1. The costs of the legislation fall within budget functions 150 (international affairs), 600 (income security), and 750 (administration of justice).

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Basis of Estimate

For this estimate, CBO assumes that the legislation will be enacted in summer 2025. CBO’s estimates are relative to its January 2025 baseline and cover the period from 2025 through 2034. Outlays of directly appropriated amounts were estimated using historical obligation and spending rates for similar programs. The estimates account for judicial decisions and administrative actions through April 10, 2025.

Subtitle A. Immigration Matters

Subtitle A would impose new or modify existing fees on aliens (non-U.S. nationals) seeking benefits under the Immigration and Nationality Act (INA). Under the legislation, a portion of those fees would remain available to certain agencies to spend without further appropriation; the remaining amounts would be deposited in the Treasury. Subtitle A also would directly appropriate $81.4 billion in total to the Department of Health and Human Services (HHS), Department of Homeland Security (DHS), and Department of Justice (DOJ) for increased immigration enforcement and other activities. CBO estimates that enacting subtitle A would increase direct spending outlays by $73.5 billion and increase revenues by $66.5 billion over the 2025-2034 period (see Table 2).

Part 1. Immigration Fees

The legislation would impose fees on aliens for undertaking various activities, including applying for or renewing certain travel or work authorization documents, and applying for other benefits under the INA. Under current law, the Department of State adjudicates requests for visas from aliens abroad; U.S. Citizenship and Immigration Services (USCIS) adjudicates requests for benefits under the INA for aliens who are physically present in the United States. Fees also can be assessed by Customs and Border Protection (CBP), for inspections of people at ports of entry, and by the Executive Office of Immigration Review (EOIR), which oversees removal proceedings and adjudicates requests from aliens in immigration court. Under current law, those agencies can charge fees to cover the costs of providing services. Any new fees collected under the legislation would be additional to collections under current law.

A portion of some fees under the legislation would be made available to the Department of State, CBP, EOIR, HHS, Immigration and Customs Enforcement (ICE), and USCIS; those amounts could be spent without further appropriation. Beginning in 2027, CBO estimates that some of that spending would be subject to sequestration.

The legislation specifies fee amounts for 2025. In subsequent years, some amounts would increase based on the consumer price index for all urban consumers. The legislation would prohibit any fees from being waived or reduced.

Indirect taxes and regulatory fees tend to reduce collections of income and payroll taxes. As a result, CBO expects that most of the new fee collections would be partially offset by decreases in tax receipts of about 25 percent of the gross fee collections each year.[1] Unless otherwise noted in the estimates below, that offset is applied to the estimated revenues for each fee.

CBO’s estimates of the number of people who would pay the fees are based on a January 2025 demographic and economic forecast.[2] Where applicable, those projections were adjusted to account for executive actions and judicial decisions undertaken as of April 10, 2025. Those include ending the use of various categorical parole programs; terminating parole for people who arrived under the Parole Process for Cubans, Haitians, Nicaraguans, and Venezuelans; and terminating the 2023 designation of Temporary Protected Status (TPS) for Venezuelan nationals physically present before October 3, 2023. CBO’s estimates also are based on historical trends in filing volume and recent trends in inflows of other foreign nationals since January 2025. Where applicable, CBO’s estimates also account for applicants’ and petitioners’ responses to the fees that would be imposed under the legislation.

Asylum Fee. Section 70002 would impose a $1,000 fee on aliens applying for asylum. CBO estimates that about 4 million people will apply for asylum over the 2025-2034 period, increasing revenues by $2.3 billion under this section for the same period. Some of those fees would be made available to EOIR and USCIS to retain and spend without further appropriation. CBO estimates that the provision would increase outlays by $1.5 billion over the 2025-2034 period. On net, CBO estimates that enacting this section would decrease the deficit by $784 million over the 2025-2034 period. (Under current law, aliens in removal proceedings can file defensive asylum applications with EOIR; others can file affirmative asylum applications with USCIS. Under this provision, 50 percent of the fees collected from defensive asylum applications would be made available to EOIR and 50 percent of the fees collected from affirmative asylum applications would be made available to USCIS.)

Employment Authorization Document Fees. Section 70003 would impose a $550 fee on certain aliens applying for initial work authorization. The fee would apply to asylum applicants, parolees, and people granted TPS. Of the fees collected from asylum applicants, 25 percent would be made available to USCIS to retain and spend without further appropriation.

CBO estimates that about 3 million asylum applicants, 225,000 parolees, and fewer than 1,000 TPS beneficiaries will apply for initial work authorization over the 2025-2034 period, increasing revenues under this provision by $1.4 billion over the same period. CBO also estimates that the provision would increase outlays by $413 million over the 2025‑2034 period. On net, CBO estimates that enacting the provision would decrease the deficit by $954 million over the same period.

Parole Fee. Section 70004 would impose a $1,000 fee on aliens paroled into the United States, with several exceptions. CBO estimates that about 44,000 people will be granted parole and would be subject to the fee over the 2025-2034 period, increasing revenues and decreasing the deficit by $49 million over the same period. CBO did not apply the offset for indirect taxes to this provision.

Special Immigrant Juvenile Fee. Section 70005 would impose a $500 fee on aliens applying for special immigrant juvenile status if reunification with a parent or guardian is viable. CBO expects that about 50,000 people will apply for that status and thus would be subject to the fee over the 2025-2034 period, increasing revenues and decreasing the deficit by $18 million over the same period.

Temporary Protected Status Fee. Section 70006 would impose a fee of $500 on aliens submitting an initial application or reregistering for TPS, with certain exceptions. At the end of calendar year 2024, 1.4 million people were registered for TPS. Using CBO’s baseline projections of emigration and mortality and our estimates of when people will need to reregister for TPS under current law, CBO expects that fees imposed under this section would increase revenues and decrease the deficit by $1.5 billion over the 2025-2034 period.

Unaccompanied Alien Child Sponsor Fee. Section 70007 would impose a fee of $3,500 for partial reimbursement to the federal government for the care of an unaccompanied alien child. The fee would be paid at the time the child is released to a sponsor. CBO expects that about 400,000 unaccompanied alien children will be released from HHS custody to sponsors over the 2025-2034 period. Given the amount of the fee, CBO expects that the agency would be able to collect fees only from about 50 percent of sponsors, increasing revenues by $513 million over the 2025-2034 period. Twenty-five percent of the fees collected under this section would be made available to HHS to spend for conducting background checks of potential sponsors of unaccompanied alien children. That would increase outlays by $163 million over the 2025-2034 period. On net, CBO estimates that enacting this section would decrease the deficit by $350 million over the same period.

Visa Integrity Fee. Section 70008 would impose a fee of $250 upon issuance of a nonimmigrant visa by the Department of State. That fee would be reimbursable after the expiration of the visa if the visa holder has complied with all conditions of the visa. CBO estimates that the Department of State will issue about 120 million nonimmigrant visas over the 2025-2034 period. Under current law, many nonimmigrant visas are valid for several years; therefore, a large number of nonimmigrants would not be eligible to seek reimbursement until several years after paying the fee. Thus, CBO expects that a small number of people would seek reimbursement. Additionally, CBO expects that the Department of State would need several years to implement a process for providing reimbursements. On that basis, CBO estimates that enacting the provision would increase revenues and decrease the deficit by $28.9 billion over the 2025‑2034 period. CBO did not apply the offset for indirect taxes to this provision.

Form I-94 Fee. Section 70009 would impose a fee of $24 on applications for Form I-94, the Arrival/Departure Record CBP uses to track arrivals and departures of nonimmigrants. Under current law and with certain exceptions, CBP imposes a $6 fee for nonimmigrants who enter the country by land. This provision would raise the total fee to $30 in 2025 with that amount adjusted annually for inflation. Such fees are classified in the budget as offsetting collections—that is, as reductions in direct spending. Using information about the volume of I-94 filings, CBO estimates that enacting the provision would increase collections by $13.4 billion over the 2025-2034 period, reducing direct spending by the same amount. Under the legislation, CBP would retain 20 percent of the collections; those amounts would be available without further appropriation, thus increasing direct spending by $2.6 billion over the 2025-2034 period. On net, CBO estimates that enacting this section would decrease the deficit by $10.8 billion over the same period. CBO did not apply the offset for indirect taxes to this provision.

Yearly Asylum Fee. Section 70010 would impose a fee of $100 for each year that a person’s asylum application is pending. At the end of calendar year 2024, almost 3.4 million asylum cases were pending. Using information from USCIS, CBO expects that the agency would need several years to implement a system to collect the fee. CBO has not reviewed this legislation for effects on spending subject to appropriation; any costs for USCIS to implement the section are not included in this estimate. Based on CBO’s assessment of the time it takes to adjudicate asylum applications and expectations for future asylum filings, we estimate that enacting the provision would increase revenues and decrease the deficit by $1.1 billion over the 2025-2034 period.

Fee for Continuances Granted in Immigration Court Proceedings. Section 70011 would impose a fee of $100 on any alien who requests and is granted a continuance by an immigration judge. Continuances are temporary court adjournments, which immigration judges can grant for good cause. Using information from EOIR about the annual number of continuances granted in recent years, CBO expects that over the 2025-2034 period continuances would be granted to about 5 million people who would thus be subject to the fee. On that basis, CBO estimates that enacting the section would increase revenues and decrease the deficit by $386 million over the same period.

Fee Relating to Renewal and Extension of Employment Authorization for Parolees. Section 70012 would impose a fee of $550 for parolees who apply to renew or extend their employment authorization. It also would change the period of validity for employment authorization for parolees to six months; under current law, parolees have valid work authorization for the length of their period of parole. CBO expects that most future grants of parole will be short and most parolees will not apply to renew or extend their employment authorization. Therefore, CBO estimates that fees collected under this section would reduce the deficit by an insignificant amount over the 2025-2034 period.

Fee Relating to Termination, Renewal, and Extension of Employment Authorization for Asylum Applicants. Section 70013 would impose a fee of $550 for asylum applicants who apply to renew or extend their employment authorization. The section also would change the period of validity for employment authorization for asylum applicants to six months; under current law, those authorizations are valid for five years. CBO expects that under this section, asylum applicants with a valid authorization would not seek to renew that authorization until their current authorization expires.

Using information about the time it takes to adjudicate asylum applications and estimates of future asylum filings, CBO expects that about 35 million renewals for employment authorization would be filed by asylum applicants over the 2025-2034 period. On that basis, CBO estimates that enacting this provision would increase revenues and decrease the deficit by $13.6 billion over the same period.

Fee Relating to Renewal and Extension of Employment Authorization for Aliens Granted Temporary Protected Status. Section 70014 would impose a fee of $550 for aliens granted TPS who apply to renew or extend their employment authorization. The section also would change the period of validity for employment authorization for those granted TPS to six months; under current law, such an authorization is valid for the length of the relevant TPS designation, which ranges from 6 to 18 months. CBO generally assumes that countries will be designated for TPS for 18 months at a time. We also assume that all current designations will continue to be extended, unless DHS moved to terminate a specific designation before April 10, 2025, and that there will be no new TPS designations.

CBO expects that over the 2025-2034 period, about 11 million renewals of employment authorization would be filed by aliens granted TPS. We estimate that enacting this provision would increase revenues and decrease the deficit by $4.4 billion over the same period.

Diversity Immigrant Visa Fees. Section 70015 would impose a fee of $400 on aliens submitting diversity immigrant visa applications and a fee of $250 on aliens registering for the diversity immigrant visa program. Using information from the Department of State, CBO expects that about 750,000 diversity visa applications will be filed over the 2025‑2034 period.

The diversity visa program is a lottery system in which aliens from countries with historically low immigration to the United States can register to enter the lottery for one of up to 55,000 such visas available each year. Under current law, there is no fee to register for the lottery; the program receives around 10 million registrations per year. CBO expects that if aliens had to pay a $250 registration fee, registrations would decline by about 75 percent and that there would subsequently be about 24 million registrations over the 2025-2034 period.

CBO estimates that fees received under this section would increase revenues by $6.9 billion over the 2025-2034 period. Ten percent of those fees would be made available to the Department of State for detecting and preventing fraud in the program and 10 percent would be made available to ICE for detention and immigration enforcement and removal operations. Based on historical spending patterns for those agencies, CBO estimates that the provision would increase outlays by $1.3 billion over the 2025-2034 period. On net, CBO estimates that enacting this section would decrease the deficit by $5.6 billion over the same period. CBO did not apply the offset for indirect taxes to the fee on aliens registering for the diversity visa lottery, but did apply the offset for the fee that would be paid by aliens submitting diversity visa applications.

EOIR Fees. Section 70016 would impose fees, designated portions of which would be available to EOIR to spend without further appropriation, for applications filed in or adjudicated by the immigration court system:

• $1,500 to file an application to adjust status to that of a lawful permanent resident—50 percent would be available to EOIR,
• $1,050 to file an application for waiver of grounds of inadmissibility—25 percent would be available to EOIR,
• $500 to file a TPS application—25 percent would be available to EOIR,
• $900 to file an appeal of a decision by an immigration judge—25 percent would be available to EOIR,
• $900 to file an appeal of a decision by an officer of DHS—25 percent would be available to EOIR,
• $1,325 to file an appeal of a decision by an adjudicating official in a practitioner disciplinary case—25 percent would be available to EOIR,
• $900 to file a motion to reopen or to reconsider, with certain exceptions—25 percent would be available to EOIR,
• $600 to file an application to suspend deportation—25 percent would be available to EOIR,
• $600 to file an application for cancellation of removal for certain permanent residents—25 percent would be available to EOIR, and
• $1,500 for certain nonpermanent residents to file an application for cancellation of removal and adjustment of status—25 percent would be available to EOIR.
• Using information from EOIR, CBO estimates that fees collected under this section would increase revenues by $977 million and increase outlays by $341 million over the 2025-2034 period. On net, CBO estimates that enacting this section would decrease the deficit by $636 million over the same period.

ESTA Fee. Section 70017 would modify fees for the Electronic System for Travel Authorization (ESTA). Under current law, certain nonimmigrants traveling to the United States temporarily for business or pleasure are required to submit information to the system in advance of their trip. Currently, the fee is $21. CBP retains and spends a portion of each fee; the other amounts are deposited in the Treasury or transferred to Brand USA and spent without further appropriation. The provision would increase the fee to $40, increase the amounts CBP can spend, and decrease the amounts Brand USA can spend. CBO estimates that enacting the provision would increase revenues by $3.8 billion, increase outlays by $716 million, and reduce the deficit by $3.1 billion over the 2025-2034 period. CBO did not apply the offset for indirect taxes to this provision.

Immigration User Fees. Section 70018 would modify immigration user fees. Under current law, most passengers arriving in the United States on commercial aircraft or commercial vessels pay a $7 fee. The fee for passengers arriving from Canada, Mexico, and certain other places is $3. The amounts collected are classified in the budget as direct spending. Currently, CBP and ICE split the collections equally and spend them without further appropriation.

Under this provision, the fee for all passengers initially would be set at $10; $1 from each fee would be deposited in the Treasury. Based on CBO’s estimates of future passengers subject to the fee, CBO estimates that enacting the provision would increase collections (and thus decrease direct spending) by $5.4 billion over the 2025-2034 period, and would increase outlays by CBP and ICE by $4.0 billion over the same period. On net, CBO estimate s, enacting the provision would reduce the deficit by $1.4 billion over that period. CBO did not apply the offset for indirect taxes to this provision.

EVUS Fee. Section 70019 would impose a $30 fee for each registration in the Electronic Visa Update System, which is operated by CBP to determine the eligibility of Chinese nationals with nonimmigrant visas to visit the United States temporarily for business or pleasure. Under the legislation, $5 of that amount would be deposited in the Treasury. CBP would retain the balance of the fee and could spend those amounts without further appropriation. Using data on U.S. visits by such applicants, CBO expects that about 5.3 million people will be subject to the fee over the 2025-2034 period. CBO estimates that enacting the provision would increase revenues by $178 million and outlays by $129 million over the 2025-2034 period, reducing the deficit by $49 million over the same period. CBO did not apply the offset for indirect taxes to this provision.

Fee for Sponsor of Unaccompanied Alien Child Who Fails to Appear in Immigration Court. Section 70020 would impose a fee of $5,000 before releasing an unaccompanied alien child to a sponsor. That fee would be returned to the sponsor at the conclusion of the child’s immigration court proceedings or at the end of the sponsorship if the sponsor can demonstrate that the child was not ordered removed in absentia. Using information about historical trends in sponsorship and outcomes for such children, CBO estimates that about 350,000 sponsors would pay the fee; about 90 percent ultimately would receive reimbursement. CBO estimates that enacting the provision would increase revenues by $380 million over the 2025-2034 period and decrease the deficit by the same amount.

Fee for Aliens Ordered Removed in Absentia. Section 70021 would impose a fee of $5,000 on aliens ordered to be removed in absentia and subsequently arrested by ICE. CBO expects that a small percentage of the people arrested by ICE would pay the fee. Based on recent and historical trends for in-absentia removal orders and ICE arrests, CBO expects that about 22,000 people over the 2025-2034 period would be subject to the fee. CBO estimates that the provision would increase revenues and decrease the deficit by $123 million over the same period. CBO did not apply the offset for indirect taxes to this provision.

Customs and Border Protection Inadmissible Alien Apprehension Fee. Section 70022 would impose a fee of $5,000 to be paid by any inadmissible alien who is apprehended by Border Patrol between ports of entry. CBO expects that only a small percentage of people who are so apprehended would pay the fee. Based on CBO’s projections of future encounters with Border Patrol, we expect that about 21,000 people would be subject to the fee over the 2025-2034 period. CBO estimates that enacting the provision would increase revenues and decrease the deficit by $86 million over the same period.

Part 2. Use of Funds

The legislation would directly appropriate $81.4 billion for 2025, mostly for DHS ($75 billion). The remainder would be for DOJ ($3.3 billion) and HHS ($3.1 billion). The funds would be available for obligation through 2029; under current law, no funds can be spent more than five years after their period of availability has expired. CBO estimates that outlays would total $81.2 billion over the 2025-2034 period and, other than for section 70115, would match the amounts appropriated:

• $1.25 billion under section 70100 for EOIR to hire new immigration judges and support staff and to expand courtroom capacity;
• $45 billion under section 70101 for ICE to increase detention capacity;
• $858 million under section 70102 for ICE for retention and signing bonuses;
• $8 billion under section 70103 for ICE to hire additional personnel;
• $600 million under section 70104 for ICE to facilitate recruitment, hiring, and employment of additional personnel;
• $14.4 billion under section 70105 for transportation and removal operations for ICE;
• $700 million under section 70106 for technology upgrades for ICE;
• $550 million under section 70107 for facility upgrades for ICE;
• $250 million under Section 70108 for ICE to purchase new vehicles;
• $20 million under section 70109 for ICE to detain certain aliens;
• $650 million for section 70110 for ICE agreements with state and local governments for immigration enforcement;
• $950 million under section 70111 for DOJ to reimburse state and local governments for the costs of detaining certain aliens;
• $1.32 billion under section 70112 for ICE to hire additional attorneys;
• $500 million under section 70113 for DHS to return certain aliens to a country that borders the United States while their asylum applications are pending;
• $787 million under section 70114 for ICE to combat human trafficking and other illicit activities;
• $3 billion under section 70115 for HHS to care for unaccompanied alien children, increasing outlays by $2.8 billion (based on patterns of referrals to HHS concerning unaccompanied children and the agency’s historical spending patterns, CBO does not expect that all the budget authority provided by the legislation would result in outlays over the 2025‑2034 period);
• $20 million under section 70116 for CBP to obtain criminal records for certain alien children;
• $20 million under section 70117 for HHS to conduct gang affiliation and background checks on unaccompanied alien children;
• $50 million under section 70118 for HHS to conduct background checks on sponsors of unaccompanied alien children;
• $100 million under section 70119 for DHS to return certain alien children to their country of origin;
• $1.17 billion under section 701120 for the operations of the Secret Service;
• $500 million under section 70121 for DOJ to combat trafficking in illicit drugs;
• $600 million under section 70122 for DOJ to investigate and prosecute immigration-related crimes, trafficking, and other illicit activities; and
• $75 million and $25 million, respectively, under sections 70123 and 70124 for DHS to remove certain aliens.

Subtitle B. Regulatory Matters

The Chairman of the House Committee on the Budget has directed CBO to exclude subtitle B from this estimate.

Subtitle C.Other Matters

CBO expects that enacting section 70300 would significantly affect direct spending and revenues over the 2025-2034 period. However, CBO has no basis on which to estimate the direction or magnitude of those effects. CBO estimates that enacting sections 70301 and 70302 would have no budgetary effect.

Limitation on Donations Made Pursuant to Settlement Agreements to Which the United States Is a Party

Section 70300 would prohibit federal agencies from entering into or enforcing any civil settlement agreement that requires the other party (such as a corporation) to make a donation to a third party. That prohibition would not include payments to provide restitution or other remedies associated with the harm caused by a responsible party. In recent settlements with federal agencies, large corporations have sometimes been required to donate funds to nonprofit institutions as a part of their restitution in lieu of paying those amounts to the government in the form of a penalty.

Based on information from DOJ, CBO expects that by precluding such donations in civil settlements, enacting section 70300 would reduce the number of civil settlements reached in the future and result in more litigation by federal agencies. Amounts collected from such settlements typically are recorded as revenues. Although most of those collections are deposited in the Treasury, some amounts are reserved for specific funds, such as the Assets Forfeiture Fund, from which they can be spent without appropriation.

CBO expects that enacting section 70300 would affect direct spending and revenues. However, we have no basis on which to estimate the direction or magnitude of those effects because we cannot predict the number or content of future settlements that would be precluded by the enactment of the section, decisions made by federal agencies (including about whether and how to prosecute individual cases), or the outcome of any litigation. CBO expects that, under the legislation, more cases would go to trial than would be settled out of court, but we cannot determine whether any penalties resulting from a trial would be larger or smaller, on average, than the amounts that would be agreed to under the settlements this section would preclude.

Solicitation of Orders Defined

Section 70301 would expand the scope of business activities exempted from state and local taxation to include activities that are independent of solely soliciting and fulfilling orders from out-of-state. The Interstate Income Act of 1959 limits states’ ability to impose a net income tax on out-of-state businesses when the only in-state activity of those businesses consists of soliciting orders for sales of tangible personal property that are fulfilled outside the state. By expanding the definition of such activity, CBO expects that enacting the provision would further limit states’ authorities to impose taxes on out-of-state businesses.

Although the change could affect individual states’ taxation of out-of-state businesses, CBO expects that, overall, state revenues would remain unchanged. As a result, enacting the provision would not change overall federal deductions for state and local taxes and would have no effect on the federal budget.

Uncertainty

Several sources of uncertainty involving population projections and other areas affect CBO’s estimates of the legislation’s budgetary effects.

Population Projections

CBO’s estimates of direct spending and revenues for part 1 of subtitle A are uncertain because they rely on underlying population projections that are themselves uncertain. In many cases, data are lacking about the number of people who would be required to pay fees or meet a stated exception to those fee collections. For example, there are no data available on the number of special immigrant juveniles who can be reunited with a parent or guardian and who would be required to pay fees under section 70005. If that number differs from CBO’s estimates, the resulting budgetary effect could be larger or smaller than estimated.

• Some aliens could be eligible for more than one form of relief under the INA, for example for employment authorization as parolees or as applicants for asylum. CBO’s estimates account for overlapping eligibility, but we cannot tell with certainty which forms of relief people would choose or how they would pursue those actions.
• Responses to fees under the legislation, including changes in demand for certain benefits under the INA or for admission to the United States, could differ from CBO’s expectations and result in larger or smaller budgetary effects than included in this estimate.

Finally, future administrative and judicial actions could affect people who already are present in the United States by affecting their current immigration status and their ability to pursue relief under the INA. Those actions also could affect whether people who are not physically present would enter the country in the future.

Other Factors Affecting Fees

Uncertainty surrounds other areas of CBO’s estimates of fees. Those factors include court capacity, the availability of detention space, and the number of DHS and DOJ personnel who would conduct immigration enforcement. For example, if the rate at which the government adjudicates asylum claims differs from CBO’s estimates, the revenue received from annual fees on asylum applicants could be larger or smaller than estimated.

CBO’s estimates of fees also are affected by how quickly agencies could implement the legislation’s provisions. For example, based on information from agencies, CBO expects that several years would be necessary for USCIS to assemble the systems to collect annual asylum fees. If the agency implemented that provision more quickly than CBO estimates, the fee collections would be larger than estimated.

Direct Appropriations

• Considerable uncertainty also surrounds estimates for part 2 of subtitle A. The legislation would provide funding to increase employment in DOJ and ICE: signing and retention bonuses and funds for marketing, recruitment, and screening of new employees. However, significant uncertainty exists about the likelihood of filling all of the positions. As a result, the pace of administrative spending over the 2025-2034 period could be faster or slower than CBO estimates.
• Additionally, the pace at which ICE would obligate funds and the total amount the agency could spend over the 2025-2034 period to expand detentions and removals is uncertain. The amounts appropriated in the legislation significantly exceed amounts previously provided for similar activities (the legislation would provide $59.4 billion for those activities: $45 billion for detentions and $14.4 billion for removals). In 2024, for example, ICE allocated $3.4 billion for detentions and $753 million for transportation and removals. Among other factors, the pace of spending would depend on the availability of contractors and how contracts are structured and therefore could be faster or slower than CBO estimates.

Pay-As-You-Go Considerations

The Statutory Pay-As-You-Go Act of 2010 establishes budget-reporting and enforcement procedures for legislation affecting direct spending or revenues. The net changes in outlays and revenues that are subject to those pay-as-you-go procedures are shown in Table 1.

Increase in Long-Term Net Direct Spending and Deficits

CBO estimates that enacting the legislation would increase net direct spending by more than $2.5 billion in all of the four consecutive 10-year periods beginning in 2035.

CBO estimates that enacting the legislation would not increase on‑budget deficits in any of the four consecutive 10-year periods beginning in 2035.

Mandates

The reconciliation recommendations of the House Committee on the Judiciary would impose private-sector and intergovernmental mandates as defined in the Unfunded Mandates Reform Act (UMRA). CBO estimates that the total cost of those mandates would exceed the thresholds established in UMRA for private-sector and intergovernmental mandates ($206 million and $103 million in 2025, respectively, adjusted annually for inflation).

Subtitle A would impose new or modify existing fees paid by aliens seeking benefits under the INA. Some of those fees would impose a private-sector mandate because the people subject to the fees are physically present in the United States. CBO estimates that the cost of those mandates would exceed $1.5 billion annually.

Subtitle C would impose an intergovernmental mandate by expanding the universe of transactions that would be exempt from state and local income taxation. The cost of the mandate would be the lost revenue that state and local governments would have received. Using data from the Government Accountability Office on sales tax revenue generated from out-of-state sellers and an analysis of state tax rates, CBO estimates that about $1 billion in revenues from business income taxes could be affected, which is above the threshold for intergovernmental mandates. As a result of the legislation, some states may modify their taxation policies to offset any anticipated revenue losses.

Estimate Prepared By

Federal Costs:

Jeremy Crimm (for immigration, Department of Homeland Security, and 
Department of Justice) 
Jada Ho (for Department of Health and Human Services)

Lucy Marret (for immigration)

David Rafferty (for immigration)

Delaney Smith (for immigration)
Jon Sperl (for the Judiciary)

Mandates:

Rachel Austin (for immigration)
Erich Dvorak (for nonimmigration matters)

Estimate Reviewed By

Elizabeth Cove Delisle
Chief, Income Security Cost Estimates Unit

Ann E. Futrell
Acting Chief, Natural and Physical Resources Cost Estimates Unit

Justin Humphrey
Chief, Finance, Housing, and Education Cost Estimates Unit

Joshua Shakin
Chief, Revenue Projections Unit

Kathleen FitzGerald 
Chief, Public and Private Mandates Unit

Christina Hawley Anthony
Deputy Director of Budget Analysis

H. Samuel Papenfuss 
Deputy Director of Budget Analysis

Chad Chirico 
Director of Budget Analysis

Estimate Approved By

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