The Commitment to American Prosperity Act, the “CAP Act,” S. 245, would, for the first time, set an across-the-board, binding cap on all federal spending. The fiscal straitjacket created by the CAP Act would  result in $5.1 trillion less in spending over the next 10 years based upon current spending levels or $7.3 trillion under an alternative assumption of future policy.

(1) Put in place a 10-year glide path to cap all spending – discretionary and mandatory – to a declining percentage of the country’s gross domestic product, eventually bringing spending down from the current level, 24.7 percent of GDP, to the 40-year historical level of 20.6 percent, and

(2) If Congress fails to meet the annual cap, require the Office of Management and Budget to make evenly distributed, simultaneous cuts throughout the federal budget to bring spending down to the pre-determined level. Only a two-thirds vote in both houses of Congress could override the binding cap, and

(3) For the first time, eliminate the deceptive “off-budget” distinction for Social Security – providing a complete and accurate assessment of all federal spending.

Senate sponsors of the CAP Act include Bob Corker (R-Tenn.), Claire McCaskill (D-Mo.), Lamar Alexander (R-Tenn.), Kelly Ayotte (R-N.H.), Richard Burr (R-N.C.), Saxby Chambliss (R-Ga.), Mike Crapo (R-Idaho), John Hoeven (R-N.D.), Jim Inhofe (R-Okla.), Johnny Isakson (R-Ga.), Ron Johnson (R-Wis.), Mark Kirk (R-Ill.), Jon Kyl (R-Ariz.), Joe Lieberman (ID-Conn.), Joe Manchin (D-W.V.) and John McCain (R-Ariz.).

Representatives Jim Cooper (D-TN-5) and Jimmy Duncan (R-TN-2) introduced a companion version of the bill in the House, which is cosponsored by Reps. Diane Black (R-TN-6), Marsha Blackburn (R-TN-7), Scott DesJarlais (R-TN-4), Stephen Fincher (R-TN-8), Chuck Fleischmann (R-TN-3), Jim Renacci (R-OH-16), and Phil Roe (R-TN-1).

Links to bill language and a one page summary of the CAP Act are below.