A Comparison of the House and Senate Trade Bills
The House is considering trade legislation (H.R. 1314, H.R. 1295, and H.R. 644) this week that would fast-track authority for a few major trade deals that are currently being negotiated, change some trade enforcement rules, and extend various other trade-related provisions. Just as the House's previous bills and the Senate's bills (S. 995, S. 1267, S. 1268, and S. 1269) did, the costs contained in the legislation are paid for over ten years with savings from across the budget. The main difference between the current House and Senate versions is the Senate's use of an increase in the 2024 Medicare sequester as an offset; by contrast, the House enacts and then repeals this increase in separate bills and replaces the savings with tax compliance policies. The budgetary effect of each chamber's trade bills are combined and shown in the table below.
| 2015-2025 Costs/Savings (-) in the House and Senate Trade Bills | ||
| House | Senate | |
| Extend Trade Adjustment Assistance Through 2022 | $2.7 billion | $2.7 billion |
| Extend Health Care Tax Credit Through 2019 | $0.2 billion | $0.2 billion |
| Extend Trade Preferences Through 2017/2025 | $5.9 billion | $5.9 billion |
| Increase Payments to Counteract Export Subsidies and Dumping | $0.2 billion | $0.2 billion |
| Increase Minimal Shipment Value Exempt from Customs Duties | $0.2 billion | $0.2 billion |
| Increase Funding for Trade Enforcement | N/A | $0.2 billion |
| Subtotal, Costs | $9.2 billion | $9.4 billion |
| Extend Customs Fees Through 2025 | -$3.9 billion | -$3.9 billion |
| Extend Merchandising Fees Through 2025 | -$3.9 billion | -$3.9 billion |
| Eliminate Foreign Exclusion and Child Tax Credit Overlap | -$0.3 billion | -$0.3 billion |
| Increase Medicare Sequester by 0.25% in 2024 | $0* | -$0.7 billion |
| Reduce Renal Dialysis Payments | -$0.3 billion | -$0.3 billion |
| Increase Reporting for Education Tax Benefits | -$0.6 billion | N/A |
| Deny/Revoke Passports of Seriously Delinquent Taxpayers | N/A | -$0.4 billion |
| Increases Penalty for Late Tax Return Filing | -$0.2 billion | N/A |
| Increase Penalties for Failing to File 1099s | -$0.1 billion | N/A |
| Expand Reporting for Unreported or Underreported Accounts | N/A | -$0.1 billion |
| Subtotal, Savings | -$9.3 billion | -$9.6 billion |
| Total | -$0.1 billion | -$0.2 billion |
Source: CBO
*One of the bills increases the Medicare sequester in 2024, and another bill repeals the increase.
