Congressional Act to Prioritize Spending

Congressional Act to Prioritize Spending - Amends the Balanced Budget and Emergency Deficit Control Act of 1985 to extend the discretionary spending caps through FY 2007, earmarking funds for the defense category.

Requires an adjustment for FY 2003 if new budget authority for the Department of Defense to prosecute the war on terrorism is enacted and such funds are not designated as an emergency requirement.

Provides for adjustments for FY 2003 though FY 2007 for new budget authority for grants to States under part B of the Individuals with Disabilities Education Act if certain budget thresholds are met or exceeded.

Provides for adjustments if Federal agencies are charged for and receive new budget authority to implement the accrual accounting of the full cost of Federal retirement and health benefits.

Provides for adjustments for FY 2003 through FY 2007 if the Higher Education Act is amended to make student aid administration subject to annual appropriations.

Provides for an adjustment to the highway category for FY 2003 if a specified obligation limit is exceeded, subject to specified limitations.

Extends the Balanced Budget and Emergency Deficit Control Act of 1985 through FY 2007 (currently set to expire after FY 2002).