This bill proposes a constitutional amendment prohibiting total outlays for a fiscal year from exceeding total receipts for that fiscal year unless Congress authorizes the excess by a three-fifths roll call vote of each chamber.

The prohibition excludes

• outlays for repayment of debt principal,
• receipts derived from borrowing,
• receipts or outlays of the Social Security and Medicare trust funds, and
• outlays relating to a natural disaster if the act providing the funds explicitly exempts the funds from the requirement and is agreed to by a majority of each chamber of Congress.

The amendment requires the President to annually submit to Congress a budget in which total outlays do not exceed total receipts.

The amendment specifies exceptions to the requirements if a declaration of war is in effect, the United States is engaged in military conflict that causes an imminent and serious military threat to national security, economic growth is less than 0%, or the unemployment rate is more than 7%.

The amendment prohibits a court from enforcing the requirements by ordering reductions to Social Security or Medicare payments unless the funds available to the trust fund for a program are not sufficient to cover the outlays that would occur during the year if the fund were fully solvent.