Fair-Value Accounting and Budget Act

Summary#

This bill adds a new section to the Congressional Budget and Impoundment Control Act. It requires the Congressional Budget Office (CBO) to produce "fair-value" cost estimates for any measure that creates or changes loan programs or loan guarantees. CBO must include fair-value and credit-reform estimates, as practicable, in its Budget and Economic Outlook. The chair of the House or Senate Budget Committee must use the CBO fair-value estimate for budget enforcement. The Office of Management and Budget (OMB) must send an annual report, starting in 2026 and within 90 days after the President's budget, on fair-value estimates of federal credit programs. The bill directs CBO and OMB to use the Government Accounting Standards Board definition of "fair-value" from the February 2015 publication "Fair Value Measurement and Application." It also adds the new section to the Act's table of contents.

What it means for you#

• For Members of Congress and budget staff: loan and loan-guarantee costs would be measured and counted using fair-value accounting for budget enforcement.
• For federal agencies: CBO and OMB will produce new or additional estimates and reports about credit programs.
• For the general public: No publicly available information about direct effects on individual benefits, taxes, or eligibility.

Expenses#

No publicly available information on estimated costs, savings, or budgetary impact. The bill requires additional estimates and an annual OMB report but does not list dollar amounts.

Proponents' View#

No publicly available information.

Opponents' View#

No publicly available information.