S.Amdt. 4626

SA 4626. Mr. COONS submitted an amendment intended to be proposed to
amendment SA 3867 submitted by Mr. Reed and intended to be proposed to
the bill H.R. 4350, to authorize appropriations for fiscal year 2022
for military activities of the Department of Defense, for military
construction, and for defense activities of the Department of Energy,
to prescribe military personnel strengths for such fiscal year, and for
other purposes; which was ordered to lie on the table; as follows:
At the end of subtitle G of title XII, add the following:

SEC. 1283. BUDGETARY TREATMENT OF EQUITY INVESTMENTS BY
UNITED STATES INTERNATIONAL DEVELOPMENT FINANCE
CORPORATION.

(a) In General.--Section 1421(c) of the Better Utilization
of Investments Leading to Development Act of 2018 (22 U.S.C.
9621(c)) is amended by adding at the end the following:
``(7) Present value of equity account.--There is
established in the Treasury an account, to be known as the
`Present Value of Equity Account', to carry out this
subsection.
``(8) Budgetary treatment of equity investments.--
``(A) Calculation of costs of support.--Subject to
subparagraph (B), the cost of support provided under
paragraph (1) shall be estimated on a present value basis,
excluding administrative costs and any incidental effects on
governmental receipts or outlays.
``(B) Determination of cost.--
``(i) In general.--The cost of support provided under
paragraph (1) with respect to a project shall be the net
present value, at the time when funds are disbursed to
provide the support, of the following estimated cash flows:

``(I) The purchase price of the support.
``(II) Dividends, redemptions, and other shareholder
distributions during the term of the support.
``(III) Proceeds received upon a sale, redemption, or other
liquidation of the support.
``(IV) Foreign currency fluctuations, in the case of
support denominated in foreign currencies.
``(V) Any other relevant cash flow.

``(ii) Changes in terms included.--The estimated cash flows
described in subclauses (I) through (V) of clause (i) shall
include the effects of changes in terms resulting from the
exercise of options included in the agreement to provide the
support.

[[Page S8151]]

``(iii) Discount rate.--The discount rate shall be the
average interest rate on marketable Treasury securities of
similar maturity to support provided under paragraph (1).
``(C) Coordination.--The Director of the Office of
Management and Budget shall be responsible for coordinating
the cost estimates required by this paragraph.
``(D) Transfer.--Upon approval by the Director of the
Office of Management and Budget, and subject to the
availability of appropriations, an amount equal to the cost
of support determined under subparagraphs (A) and (B) shall
be transferred from the Corporate Capital Account to the
Present Value of Equity Account.
``(E) Differential amount.--
``(i) Appropriation.--For any fiscal year, upon the
transfer of an amount pursuant to subparagraph (D), and
contingent upon the enactment of a limitation establishing an
aggregate differential amount in an appropriations Act for
that fiscal year, an amount equal to the differential amount
shall be appropriated, out of any money in the Treasury not
otherwise appropriated, to the Present Value of Equity
Account.
``(ii) Treatment as direct spending.--An amount
appropriated pursuant to clause (i) shall be recorded as
direct spending (as defined by section 250(c)(8) of the
Balanced Budget and Emergency Deficit Control Act of 1985 (2
U.S.C. 900(c)(8)).
``(iii) Budgetary effects.--The following shall apply to
budget enforcement under the Congressional Budget Act of 1974
(2 U.S.C. 601 et seq.), the Balanced Budget and Emergency
Deficit Control Act of 1985 (2 U.S.C. 900 et seq.), and the
Statutory Pay-As-You-Go Act of 2010 (2 U.S.C. 931 et seq.):

``(I) Future appropriations.--Any amount appropriated
pursuant to clause (i) shall not be recorded as budget
authority or outlays for purposes of any estimate under the
Congressional Budget Act of 1974 or the Balanced Budget and
Emergency Deficit Control Act of 1985.
``(II) Statutory paygo scorecards.--The budgetary effects
of any amounts appropriated pursuant to clause (i) shall not
be entered on either PAYGO scorecard maintained pursuant to
section 4(d) of the Statutory Pay As-You-Go Act of 2010 (2
U.S.C. 933(d)).
``(III) Senate paygo scorecards.--The budgetary effects of
any amounts appropriated pursuant to clause (i) shall not be
entered on any PAYGO scorecard maintained for purposes of
section 4106 of H. Con. Res. 71 (115th Congress).
``(IV) Elimination of credit for cancellation or rescission
of differential.--If there is enacted into law an Act that
rescinds or reduces an amount appropriated pursuant to clause
(i), the amount of any such rescission or reduction shall not
be--

``(aa) estimated as a reduction in direct spending under
the Congressional Budget Act of 1974 or the Balanced Budget
and Emergency Deficit Control Act of 1985; or
``(bb) entered on either PAYGO scorecard maintained
pursuant to section 4(d) of the Statutory Pay As-You-Go Act
of 2010 or any PAYGO scorecard maintained for purposes of
section 4106 of H. Con. Res. 71 (115th Congress).
``(iv) Differential amount defined.--In this subparagraph,
the term `differential amount' means--

``(I) except as provided in subclause (II), the difference
between the cost of support provided under paragraph (1), as
determined under subparagraphs (A) and (B), and the purchase
price of the equity investment involved; or
``(II) if the cost of support is determined under
subparagraph (B) to be zero, the purchase price of the equity
investment involved.

``(F) Purchases of equity under this section.--Purchases of
equity products by the Corporation under this subsection
shall be made at the face value of the equity purchased, by
combining the cost, as defined in subparagraph (B) and the
differential amount (as defined in subparagraph (E)(iv)).
``(G) Limitation.--The budgetary treatment described in
this paragraph applies only with respect to purchases of
equity made pursuant to this subsection.
``(H) Implementation.--The Corporation shall submit to the
appropriate congressional committees a notice of the
effective date of this paragraph.
``(9) Miscellaneous receipts from dividends and sales of
equity purchases.--Any proceeds related to the purchase or
sale equity investments under this subsection shall be
deposited into the Treasury as miscellaneous receipts.''.
(b) Conforming Amendments.--Section 1434 of the Better
Utilization of Investments Leading to Development Act of 2018
(22 U.S.C. 9634) is amended--
(1) in subsection (b)(6), by inserting after ``guaranties''
the following: ``or any transactions and associated income
recorded using the budgetary treatment described in section
1421(c)(8)'';
(2) in subsection (d)(2), by inserting ``and excluding
investments equity and related income associated with
purchases using the budgetary treatment described in section
1421(c)(8),'' after ``guaranties,''; and
(3) in subsection (h), by striking ``earnings collected
related to equity investments,''.
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