Debt Reduction and Control Act of 2000

Debt Reduction and Control Act of 2000 - Amends Federal law to require the Secretary of the Treasury, during FY 2002 and thereafter, to retire publicly-held obligations issued under provisions regarding the public debt as set forth in this Act.

Requires such obligations to be retired by an amount no less than $400 billion minus the estimated net interest on payments required to be paid during the fiscal year by the Government on debt obligations. Directs the Secretary to ensure that the retirement of such debt produces a net reduction in the face amount of obligations issued or guaranteed by the amount of obligations retired. Provides for, in FY 2003 and thereafter, increases in the amount of obligations retired by the percent by which the Consumer Price Index for the base quarter of the fiscal year exceeds the base index.

Provides for reductions in the net reduction in the debt otherwise required by the amount of any shortfall if the Secretary determines, by the close of a fiscal year, that the net reduction in debt cannot be met because: (1) appropriations designated as emergency requirements or any provision of direct spending or receipts legislation so designated under the Balanced Budget and Emergency Deficit Control Act of 1985 (Gramm-Rudman-Hollings Act) is enacted for the fiscal year in excess of offsets for such appropriations for such year; (2) mandatory spending during the fiscal year exceeded estimates of such spending set forth in the joint explanatory statement of managers accompanying the concurrent resolution on the budget for such year; or (3) projected Federal revenues during the fiscal year are less than the levels set forth in such resolution. Requires a report to Congress on such shortfall.

Provides that if the Secretary determines that the level of publicly-held debt obligations at the close of any fiscal year will be less than $300 billion, the Secretary is not required to make any further adjustments under this Act.

Prohibits retired obligations from being reissued.

Makes this section inapplicable for any fiscal year in which a declaration of war is in effect or the United States is engaged in military conflict that causes an imminent and serious threat to national security.

Provides that obligations shall not be required to be retired for any fiscal year to the extent that Congress determines, by law, that such obligations are necessary to cover deficit spending required to meet outlays under the Old-Age, Survivors, and Disability Insurance Program under title II of the Social Security Act and the Hospital Insurance Program under title XVIII (Medicare) of such Act as the result of a shortfall in payroll tax receipts.

Defines "publicly held obligation" as any obligation subject to the public debt limit except one issued directly to a Federal trust fund or Government account to which the Secretary has issued obligations in respect of public money, money otherwise required to be deposited in the Treasury, or amounts appropriated.

(Sec. 3) Requires the Director of the Office of Management and Budget (OMB) to change functional category 900 (net interest) to functional category 900 (net interest; debt reduction and control) to clearly display net interest and the net debt reduction required by this Act for each fiscal year.

(Sec. 4) Amends the Congressional Budget Act of 1974 to require the report accompanying the budget resolution and the joint explanatory statement accompanying a conference report on the budget resolution to include an estimate of the debt obligations required to be retired under the Debt Reduction and Control Act of 2000, indicating the amount the required retirement to be retired through on- budget direct spending and any amount of such retirement expected to be retired through the projected off-budget surplus for the relevant fiscal year. Requires the President's budget submission to contain such estimate as well. Requires the Congressional Budget Office annual report on fiscal policy to the Budget Committees to include an estimate of the amount of debt obligations required to be retired for the relevant fiscal year under this Act.

Directs the Secretary to report to Congress a plan to change the composition of the debt issued under public debt provisions to accommodate the debt reduction and control schedule set forth in this Act most efficiently. Requires the Comptroller General to report to Congress on the efficacy of such plan and possible alternatives.

Requires the Secretary, the chairman of the Federal Reserve Board, and the Comptroller General to report to Congress on the fiscal, monetary, and other budget and economic consequences and considerations resulting from this Act that might require further legislative action. Directs such officials to report to Congress recommendations on the optimal long-term size and composition of Federal publicly-held debt and proposals for changes in current programs and practices necessary to accommodate such a level of debt. Provides for annual updates or revisions of such reports.

(Sec. 5) Amends the Congressional Budget Act of 1974 to provide a point of order in the House of Representatives or Senate against consideration of any concurrent resolution on the budget (or related amendment or conference report) that would result in a projected deficit for the first fiscal year of the resolution. Permits a waiver or suspension of such point of order in the Senate only by an affirmative vote of three-fifths of the Members. Requires the same majority in the Senate to sustain an appeal of the ruling of the Chair on such point of order.

(Sec. 6) Prohibits the Director of OMB from making any estimates of changes in direct spending outlays under the Gramm-Rudman-Hollings Act resulting from this Act's enactment.

Amends the Gramm-Rudman-Hollings Act to bar any reduction of payments to retire the public debt under this Act from being made under any sequestration order under such Act.

(Sec. 7) Applies the amendments made by this Act to FY 2002 and thereafter.