# Plain Language Summary: Zero-Based Budgeting Bill

This bill would require federal government agencies to submit their budgets using a "zero-based" approach instead of the current system. Right now, most agencies start with what they spent last year and then request increases or decreases from that baseline. Zero-based budgeting flips this around completely—agencies would have to justify every single dollar they want to spend from scratch, as if they were starting with zero dollars and had to explain why each expense is necessary.

The practical effect is that every federal agency would need to thoroughly document and defend all of their spending, not just the new or changed portions. This means more paperwork and analysis for government workers who prepare budgets, and it could lead to significant changes in how money gets allocated across different programs and departments. Supporters argue this approach eliminates wasteful spending by forcing agencies to prove that every program deserves funding. Critics worry it could be extremely time-consuming and disruptive, potentially causing delays in government operations while agencies spend months justifying routine expenses they've been funding for years.

For everyday people, the impact would likely be indirect but potentially significant. If this system leads to cuts in programs you use or rely on—whether that's Medicare, Social Security, veterans benefits, or other services—you could feel the effects. On the flip side, if it successfully eliminates waste and inefficiency, it could theoretically free up money for other priorities or reduce the deficit. The real outcome would depend on how strictly agencies apply zero-based budgeting and which programs Congress ultimately decides to fund or cut.

A bill to require agencies submit zero-based budgets.

Risch, James E.

This bill requires federal agencies to submit zero-based budgets to the Office of Management and Budget and the congressional budget committees. A zero-based budget is a systematic budget analysis in which managers (1) examine current objectives, operations, and costs; (2) consider alternative ways of carrying out programs or activities; and (3) rank different programs or activities by order of importance. The bill also requires federal agencies to submit recommendations to reduce spending by at least 2% from the previous year's levels. The Department of Defense and the National Nuclear Security Administration are exempt from this requirement.