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S. 201 - A bill to require agencies submit zero-based budgets.

A bill to require agencies submit zero-based budgets.

Signed Into Law (P.L. 119-32)Last action on Aug 14, 2025Became Public Law No: 119-32.

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Bill text replaced

This bill's text was replaced via an amendment in the nature of a substitute. Some metadata (subjects, policy area, committees) may reflect the original bill and not the current text.

Summary

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.