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Information Sources for Policymakers: Congressional Budget Office 101

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Presentation by Lara Robillard, an analyst in CBO’s Budget Analysis Division, to the Academy Health 2021 Health Policy Orientation.

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Information Sources for Policymakers: Congressional Budget Office 101

  1. 1. AcademyHealth 2021 Health Policy Orientation April 29, 2021 Lara Robillard, Principal Analyst Budget Analysis Division Information Sources for Policymakers: Congressional Budget Office 101 For further information about the venue, see https://tinyurl.com/u27pc8xa.
  2. 2. 1 CBO provides the Congress with nonpartisan analysis of the effects of legislation on the federal budget. CBO also provides the Congress with regular projections of the economy, as well as of federal spending and revenues. And CBO produces reports and analysis about issues of interest to policymakers, such as climate change, unemployment, and health care. Mission and Responsibilities
  3. 3. 2 About 265 people work at CBO. The Director is appointed jointly by the Speaker of the House and the president pro tempore of the Senate, in consultation with the Chairs of the budget committees. CBO is strictly nonpartisan; conducts objective, impartial analysis; and hires its employees solely on the basis of professional competence, without regard to political affiliation. The Budget Analysis Division, with about 90 people, is the largest division at CBO. Most BAD analysts have master’s degrees in public policy, public affairs, economics, or a related field. The other divisions consist mostly of people with Ph.D.s in economics or a field related to their expertise. The agency also employs lawyers, information technology experts, human resources staff, administrative staff, and others. Structure
  4. 4. 3 CBO is required to produce a cost estimate for every bill ordered reported out of a committee. For matters related to health, the relevant committees are Energy and Commerce and Ways and Means in the House and Health, Education, Labor, and Pensions (HELP) and Finance in the Senate. CBO staff also work with Congressional staff to provide technical assistance as legislation is developed. Each year, the agency provides roughly 700 formal cost estimates and fulfills thousands of requests for technical assistance. CBO also prioritizes requests from the budget and appropriations committees. Responsibilities
  5. 5. 4 Each winter (usually January), CBO publishes a baseline, which is a projection of federal spending and revenues over the following 10 years if current laws and regulations did not change. The agency typically updates that baseline twice each year: when the President’s budget is released and in the summer. Those updates are usually published in March and August. The baseline serves as a starting point for the Congress as it considers legislation. CBO estimates the effects of proposed legislation relative to its baseline, and the budget committees typically select the March baseline as the “scoring baseline.” Responsibilities (Continued)
  6. 6. 5 The program divisions at CBO provide other analytic work for the Congress. Recent reports from the program divisions include: ▪ The Distribution of Household Income, 2017 ▪ Policies to Achieve Near-Universal Health Insurance Coverage ▪ Key Methods That CBO Used to Estimate the Effects of Pandemic-Related Legislation on Output Responsibilities (Continued)
  7. 7. 6 CBO’s work is nonpartisan, and the agency does not make recommendations about legislation or policy. CBO focuses on data and transparency in its work. All formal cost estimates are available on CBO’s website. The agency publishes working papers and reports to offer insight into its analytic methodology, as well as spreadsheet models and code for microsimulation models. For more information, visit www.cbo.gov. Processes

Presentation by Lara Robillard, an analyst in CBO’s Budget Analysis Division, to the Academy Health 2021 Health Policy Orientation.

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