Congressional Budget Office: Appointment
and Tenure of the Director and Deputy
Director
Megan Suzanne Lynch
Analyst on Congress and the Legislative Process
September 2, 2010
Congressional Research Service
7-5700
www.crs.gov
RL31880
CRS Report for Congress
P
repared for Members and Committees of Congress
Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Summary
The requirements regarding the appointment and tenure of the CBO director, which are simple
and straightforward, are set forth in Section 201(a) of the 1974 Congressional Budget Act, as
amended, and codified at 2 U.S.C. 601(a). The Speaker of the House of Representatives and the
President pro tempore of the Senate jointly appoint the director after considering
recommendations received from the House and Senate Budget Committees. The Budget
Committee chairs inform the congressional leaders of their recommendations by letter. The
appointment usually is announced in the Congressional Record.
Section 201(a) requires that the selection be made “without regard to political affiliation and
solely on the basis of his fitness to perform his duties.” Media reports over the years indicate that
the CBO director is selected under informal practices in which the House and Senate Budget
Committees alternate in recommending a nominee to the Speaker and President pro tempore of
the Senate. These reports also indicate that the Speaker and President pro tempore have adhered
to the Budget Committees’ recommendations in making past selections. To the extent that these
practices are informal, there may be disagreement with regard to their operation in the future
selection of a CBO director.
The director is appointed to a four-year term that begins on January 3 of the year that precedes the
year in which a presidential election is held. If a director is appointed to fill a vacancy prior to the
expiration of a term, then that person serves only for the unexpired portion of that term. There is
no limit on the number of times that a director may be reappointed to another term. Section
201(a) also authorizes a CBO director to continue to serve past the expiration of his term until a
successor is appointed. A CBO director may be removed by either House by resolution.
Section 201(a) also provides that the director shall appoint a deputy director. The deputy director
serves during the term of the director that appointed the deputy director (and until his or her
successor is appointed), but may be removed by the director at any time. The deputy director
serves as the acting director if the director resigns, is incapacitated, or is otherwise absent.
Eight persons so far have served as CBO director—Alice Rivlin, Rudolph Penner, Robert
Reischauer, June O’Neill, Dan Crippen, Douglas Holtz-Eakin, Peter R. Orszag, and Douglas
Elmendorf. The most recent director, Douglas Elmendorf, was appointed on January 22, 2009, to
serve out the remaining two years of the term of Peter Orszag, who resigned on November 25,
2008. Eleven persons have served as deputy director; five of them also served as the acting
director (for periods amounting in total to about three years). The current deputy director, Robert
A. Sunshine, was appointed to the position in August 2007; he served as acting director during the
two-month interregnum between directors Orszag and Elemendorf. This report will be updated as
developments warrant.
Congressional Research Service
Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Contents
Background ................................................................................................................................ 1
Appointment Process .................................................................................................................. 2
Record of Appointments and Tenure............................................................................................ 3
Alice M. Rivlin ............................................................................................................... 3
Rudolph G. Penner .......................................................................................................... 3
Robert D. Reischauer ...................................................................................................... 3
June Ellenoff O’Neill ...................................................................................................... 3
Dan L. Crippen ............................................................................................................... 3
Douglas Holtz-Eakin....................................................................................................... 4
Peter R. Orszag ............................................................................................................... 4
Douglas W. Elmendorf .................................................................................................... 4
Tables
Table 1. Terms of the Director of the Congressional Budget Office .............................................. 7
Appendixes
Appendix. Establishment of the Congressional Budget Office Under Section 201(a) of the
1974 Congressional Budget Act ............................................................................................... 8
Contacts
Author Contact Information ........................................................................................................ 8
Acknowledgments ...................................................................................................................... 8
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Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Background
The Congressional Budget Office (CBO) was established by Title II of the Congressional Budget
and Impoundment Control Act of 1974 (P.L. 93-344; July 12, 1974; 2 U.S.C. 601-603). The
organization officially came into existence on February 24, 1975, upon the appointment of the
first director, Alice Rivlin.1
CBO’s mission is to support the House and Senate in the federal budget process by providing
budgetary analysis and information in an objective and nonpartisan manner.2 Specific duties are
placed on CBO by various provisions in law, particularly Titles II, III, and IV of the 1974
Congressional Budget Act, as amended. CBO prepares annual reports on the economic and
budget outlook and on the President’s budget proposals, and provides cost estimates of
legislation, scorekeeping reports, assessments of unfunded mandates, and products and testimony
relating to other budgetary matters.
In addition to statutory duties, CBO is subject to directives included in annual budget resolutions.
The FY2009 budget resolution (S.Con.Res. 70, 110th Congress), for example, imposed a
requirement that the CBO director prepare estimates of the deficit impact of certain legislation in
support of a point-of-order procedure in the Senate against legislation increasing the deficit over
the long term.3
For FY2008, CBO received an annual appropriation of $37.399 million, an amount expected to
support a staff of about 235 full-time-equivalent (FTE) positions. For FY2009, CBO requested an
appropriation of $42.740 million, but continuing appropriations at the FY2008 level were
provided through March 6, 2009 by the Consolidated Security, Disaster Assistance, and
Continuing Appropriations Act, 2009 (P.L. 110-329).4
Eight persons so far have served as CBO director—Alice Rivlin, Rudolph Penner, Robert
Reischauer, June O’Neill, Dan Crippen, Douglas Holtz-Eakin, Peter R. Orszag, and Douglas
Elmendorf. The most recent director, Douglas Elmendorf, was appointed on January 22, 2009, to
serve out the remaining two years of the term of Peter Orszag, who resigned on November 25,
2008. Eleven persons have served as deputy director; five of them also served as the acting
director (for periods amounting in total to about three years). The current deputy director, Robert
A. Sunshine, was appointed to the position in August 2007; he served as acting director during the
two-month interregnum between directors Orszag and Elemendorf.
1 A detailed discussion of the appointment of Alice Rivlin as CBO director and the establishment of the agency is
presented in: Schick, Allen, Congress and Money; Budgeting, Spending and Taxing, The Urban Institute (Washington:
1980); see Chapter V (“The Budget’s New Analysts”), pp. 131-165.
2 For more information on the mission, organization, and policies of CBO, see the agency’s website at
http://www.cbo.gov In addition, the House Budget Committee held an oversight hearing on CBO during the 107th
Congress: Congressional Budget Office Role and Performance: Enhancing Accuracy, Reliability, and Responsiveness
in Budget and Economic Estimates (May 2, 2002).
3 See Section 311 (Senate Point Of Order Against Legislation Increasing Long-Term Deficits), pp. 33-34, in the
conference report to accompany the FY2009 budget resolution, S.Con.Res. 70 (H.Rept. 110-659, May 20, 2008).
4 See CBO Director Orszag’s testimony, Appropriation Request for Fiscal Year 2009, March 12, 2008, on the CBO
website athttp://www.cbo.gov/ftpdocs/90xx/doc9044/03-12-CBO-FY2009.pdf. Also, see Office of Management and
Budget, Budget of the United States Government, Fiscal Year 2009, Appendix, February 4, 2008, pp. 26-27.
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Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Appointment Process
The requirements regarding the appointment and tenure of the CBO director, which are simple
and straightforward, are set forth in Section 201(a) of the 1974 Congressional Budget Act, as
amended, and codified at 2 U.S.C. 601(a) (see the Appendix). The Speaker of the House of
Representatives and the President pro tempore of the Senate jointly appoint the director after
considering recommendations received from the House and Senate Budget Committees. The
Budget Committee chairs inform the congressional leaders of their recommendations by letter.
The appointment usually is announced in the Congressional Record.5
Section 201(a) requires that the selection be made “without regard to political affiliation and
solely on the basis of his fitness to perform his duties.” Media reports over the years indicate that
the CBO director is selected under informal practices in which the House and Senate Budget
Committees alternate in recommending a nominee to the Speaker and President pro tempore of
the Senate. These reports also indicate that the Speaker and President pro tempore have adhered
to the Budget Committees’ recommendations in making past selections. To the extent that these
practices are informal, there may be disagreement with regard to their operation in the future
selection of a CBO director.6
The director is appointed to a four-year term that begins on January 3 of the year that precedes the
year in which a presidential election is held. If a director is appointed to fill a vacancy prior to the
expiration of a term, then that person serves only for the unexpired portion of that term. There is
no limit on the number of times that a director may be reappointed to another term. Section
201(a) also authorizes a CBO director to continue to serve past the expiration of his term until a
successor is appointed.
A CBO director may be removed by either House by resolution.
Section 201(a) also provides that the director shall appoint a deputy director. The deputy director
serves during the term of the director that appointed the deputy director (and until his or her
successor is appointed), but may be removed by the director at any time. The deputy director
serves as the acting director if the director resigns, is incapacitated, or is otherwise absent.
5 For example, see the announcement regarding the appointment of Dan Crippen in the Congressional Record of
February 4, 1999, on p. H422; the appointment of Douglas Holtz-Eakin in the Congressional Record of February 5,
2003, on p. H313; the appointment of Peter R. Orszag in the Congressional Record of January 18, 2007, on p. S731,
and January 19, on p. H764; the appointment of Douglas Elmendorf in the Congressional Record of January 22, 2009,
on p. S759, and January 23, on p. H487.
6 CQ Today, “Democrats to Name New CBO Director,” by David Clarke, November 25, 2008. Further discussions of
informal selection practices may be found in (1) “Amid Criticism, CBO Director O’Neill Forgoes Second Term,” by
David Baumann, National Journal’s Congress Daily, October 28, 1998; (2) “Domenici Recommends Dan Crippen As
New Congressional Budget Office Director,” by Bud Newman, BNA’s Daily Report for Executives, January 14, 1999;
(3) “Crippen Will Be New CBO Director,” by Ethan Wallison, Roll Call, January 14, 1999; (4) “White House
Economist Selected to Replace Crippen at CBO,” by Andrew Taylor, CQ Monitor, January 9, 2003; (5) “Bush
Economist Holtz-Eakin Nominated by Nussle to Become New CBO Director,” by Bud Newman, BNA’s Daily Report
for Executives, January 10, 2003; (6) “Peter Orszag Selected to Head CBO; Formal Appointment Seen In January,” by
Jonathan Nicholson, BNA’s Daily Report for Executives, December 13, 2006; and (7) “Elmendorf Tapped for
Congressional Budget Office,” by Ceci Connolly, Washington Post, December 31, 2008, p. A6; and (8) “Elmendorf
Formally Approved To Take Over Congressional Budget Office,” by Jonathan Nicholson, BNA’s Daily Report for
Executives, January 23, 2009.
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Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Compensation for the director and the deputy director originally was set at Level III and Level IV
of the Executive Schedule (5 U.S.C. 5314), respectively. (For 2009, the annual salary for Level
III is $162,900 and the annual salary for Level IV is $153,200.)7 In order to increase pay for the
director and deputy director, the Consolidated Appropriations Act for FY2000 changed the
compensation of the director to the lower of the highest annual rate of compensation of any
officer of the House or Senate, and changed the compensation of the deputy director to $1,000
less than the annual rate of pay received by the director.8
Record of Appointments and Tenure
Eight persons have served as director of CBO during the nine terms beginning in 1975 (see Table
1):
Alice M. Rivlin
Alice Rivlin served two terms as CBO director, from 1975-1983. Prior to serving as CBO
director, she served as assistant secretary for planning and evaluation with the Department of
Health, Education, and Welfare, and as a senior fellow with the Brookings Institution.
Rudolph G. Penner
Rudolph Penner served as CBO director for one term, from 1983-1987. Previously, he served as
chief economist at the Office of Management and Budget under President Gerald Ford and as
director of tax policy studies with the American Enterprise Institute.
Robert D. Reischauer
Robert Reischauer served two terms as CBO director, from 1989-1995 (he was not appointed
until about halfway into the first four-year term). Mr. Reischauer previously served as CBO
deputy director (under Alice Rivlin) and as a senior vice president of the Urban Institute.
June Ellenoff O’Neill
June O’Neill served as CBO director for one term, covering 1995-1999. Before her appointment
as CBO director, she headed the Center for the Study of Business and Government at Baruch
College and was an adjunct scholar at the American Enterprise Institute.
Dan L. Crippen
Dan Crippen served as CBO director for one term, covering 1999-2003. Prior to his appointment,
he served as chief counsel and economic policy adviser to Senate Majority Leader Howard Baker,
7 Rates of federal pay are provided at the website of the Office of Personnel Management at http://www.opm.gov.
8 See Section 224 of H.R. 3425 (113 Stat. 1501A-299), as enacted into law by cross-reference in Section 1000(a)(4) of
P.L. 106-113 (113 Stat. 1501-1537; November 29, 1999). The provisions were incorporated into Section 201 of the
1974 Congressional Budget Act as Section 5(A) and (B).
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Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
domestic policy adviser to President Ronald Reagan, and, more recently, as a member of the law
firm, Washington Counsel.
Douglas Holtz-Eakin
Douglas Holtz-Eakin served as CBO director for one term (leaving a little more than a year
before the term’s completion). Prior to beginning his term, he served as chief economist for the
Council of Economic Advisers. While director, he was on leave from Syracuse University, where
he held the position of Trustee Professor of Economics at the Maxwell School.
Peter R. Orszag
Peter Orszag served as CBO director for about half of one term. He resigned on November 25,
2008, a little more than two years before the term’s completion. Mr. Orszag previously was the
Joseph A. Pechman senior fellow and deputy director of Economic Studies at the Brookings
Institution, and before that held positions with the President’s Council of Economic Advisers and
National Economic Council.
Douglas W. Elmendorf
Douglas Elmendorf began his service as CBO director on January 22, 2009, about half-way
through the term to which Peter Orszag originally had been appointed. Prior to his appointment,
Mr. Elmendorf was a senior fellow in the Economic Studies program at the Brookings Institution,
serving as the director of the Hamilton Project, and before that, he was a senior economist at the
White House’s Council of Economic Advisers, a deputy assistant secretary for economic policy at
the Treasury Department, and an assistant director of the Division of Research and Statistics at
the Federal Reserve Board.
Eleven persons have served as deputy director of CBO—(1) Robert Reischauer (in two
instances); (2) Robert A. Levine; (3) Raymond Scheppach; (4) Eric A. Hanushek; (5) Edward
Gramlich; (6) Robert Hartman; (7) James Blum; (8) Barry Anderson; (9) Elizabeth Robinson;
(10) Donald B. Marron; and (11) Robert A. Sunshine, the current deputy director. The position
was vacant on two occasions. Five different deputy directors served as acting director, as
discussed below.
As Table 1 shows, the gap between the beginning of a term and the appointment of the director
has varied considerably. Peter Orszag was appointed 15 days after the beginning of his term;
Alice Rivlin, June O’Neill, Dan Crippen, and Douglas Holtz-Eakin were appointed (or
reappointed) within one to three months of the beginning of their terms. Rudolph Penner,
however, was not appointed until nearly seven months after his term had begun (and did not
assume his office until more than a month later). Finally, Robert Reischauer began his first term
more than two years after it had started.
As a consequence of these appointment gaps, incumbent directors have remained in office for
weeks or months after their term has expired or CBO has operated with an acting director. Alice
Rivlin stayed in office for nearly eight months (until August 31, 1983) before her successor,
Rudolph Penner, took over. Rudolph Penner remained in office for about four months (until April
28, 1987), but left long before a new director was appointed; Edward Gramlich, and then James
Blum, served successively as acting director for a period of nearly two years.
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Robert Reischauer stayed on as director for almost two months (until February 28, 1995) before
he was succeeded. June O’Neill stayed in office nearly a month after her term ended (until
January 29, 1999), but left about a week before her successor was appointed; James Blum served
as acting director during the interim. Finally, Barry Anderson served as acting director from the
time that Dan Crippen left office, on January 3, 2003, until Douglas Holtz-Eakin was appointed to
succeed him on February 5, about a month later.
Similarly, appointment gaps may occur when a director resigns before his or her term is
completed. As indicated previously, Douglas Holtz-Eakin resigned on December 29, 2005, a little
more than a year before the completion of his term (on January 3, 2007). The deputy director,
Donald B. Marron, began serving as acting director at that time; he continued in that capacity
until the appointment of Peter Orszag just over a year later.
Peter Orszag resigned on November 25, 2008, a little more than two years before the term’s
completion. On the same day, Robert A. Sunshine, the current deputy director, also began serving
as the acting director; he continued in that role until the appointment of Douglas Elmendorf,
about two months later.9
At the conclusion of a CBO director’s term, the practice of the Senate has been for the chairman
and ranking member of the Budget Committee to introduce a simple resolution commending the
director for his or her service, which the Senate then adopts by unanimous consent. On December
20, 2005, for example, the Senate adopted S.Res. 341, regarding the service of Douglas Holtz-
Eakin as director (the text of the measure is provided in Box 1).10 In the House, the chairman of
the Budget Committee inserted a commendation into the Congressional Record.11
The Senate agreed to a similar resolution commending James Blum for his service as deputy
director.12
9 Congressional Budget Office, CBO Director Orszag Resigns; Sunshine Becomes Acting Director, press advisory,
available on the CBO website at https://www.cbo.gov/communications/advisory/2008-11-25-director.shtml. See also
BNA’s Daily Report for Executives, “President-Elect Vows Spending Reform During Rollout of Key OMB
Appointments,” by Michael Bologna and Jonathan Nicholson, November 26, 2008.
10 For Senate action on S.Res. 341 (109th Cong.), see the Congressional Record, December 20, 2005, pp. S14194-
S14195. For additional examples of commendation resolutions, see (1) S.Res. 81, 104th Congress, commending Robert
Reischauer (Congressional Record, February 27, 1995, p. S3223); (2) S.Res. 39, 106th Congress, commending June
O’Neill (Congressional Record, February 12, 1999, p. S1651); and (3) S.Res. 15, 108th Congress, commending Dan
Crippen (Congressional Record, January 9, 2003, p. S175).
11 See the remarks of Representative Jim Nussle, “Tribute to CBO Director, Dr. Douglas J. Holtz-Eakin, in the
Congressional Record of December 19, 2005, p. E2623.
12 See S.Res. 40, 106th Congress (Congressional Record, February 12, 1999, pp. S1651-52).
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Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Box 1. Text of S.Res. 341, 109th Congress,
Commending Douglas Holtz-Eakin
(Adopted by the Senate on December 20, 2005)
Commending Dr. Douglas Holtz-Eakin for his dedicated, faithful, and outstanding service to his country and to the
Senate.
Whereas Dr. Douglas Holtz-Eakin has served as the sixth Director of the Congressional Budget Office since February
4, 2003 and will end his service on December 29, 2005;
Whereas during his tenure as Director, he has continued to encourage the highest standards of analytical excel ence
within the staff of the Congressional Budget Office while maintaining the independent and nonpartisan character of
the organization;
Whereas during his tenure as Director, he has expanded and improved the accessibility of the Congressional Budget
Office’s work products to the Congress and the public;
Whereas he has expanded and enhanced the agency’s macroeconomic analyses of the range of negative and positive
feedbacks on the economy and budget from fiscal policy changes; and
Whereas he has earned the respect and esteem of the United States Senate: Now, therefore, be it
Resolved, That the Senate of the United States commends Dr. Douglas Holtz-Eakin for his dedicated, faithful, and
outstanding service to his country and to the Senate.
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Table 1. Terms of the Director of the Congressional Budget Office
Term
Director
Date of Appointment
Date Appointment Announced in
Effective Date of
Congressional Record
Appointment
January 3, 1975-January 3, 1979
Alice M. Rivlin
February 24, 1975
February 25, 1975 (page 4151)
February 24, 1975
January 3, 1979-January 3, 1983
Alice M. Rivlin
March 28, 1979
[none]
March 28, 1979
January 3, 1983-January 3, 1987
Rudolph G. Penner
July 20, 1983
July 21, 1983 (page 20285)
September 1, 1983
January 3, 1987-January 3, 1991
Robert D. Reischauera
February 28, 1989
March 2, 1989 (page 3218)
March 6, 1989
January 3, 1991-January 3, 1995
Robert D. Reischauer
November 27, 1991
November 26, 1991 (page 35842)
November 27, 1991
January 3, 1995-January 3, 1999
June Ellenoff O’Neill February
22,
1995
February 22, 1995 (page S2984);
March 1, 1995
February 28, 1995 (page H2373)
January 3, 1999-January 3, 2003
Dan L. Crippenb
February 3, 1999
February 4, 1999 (page H422)
February 3, 1999
January 3, 2003-January 3, 2007
Douglas Holtz-Eakinc
February 5, 2003
February 5, 2003 (page H313)
February 5, 2003
January 3, 2007-January 3, 2011
Peter R. Orszagd
January 18, 2007
January 18, 2007 (page S731);
January 18, 2005
January 19, 2007 (page H764)
Douglas W. Elmendorf
January 22, 2009
January 22, 2009 (page S759);
January 22, 2009
January 23, 2009 (page H487)
Source: Congressional Budget Office and the Congressional Record, various years.
a. Deputy Directors Edward Gramlich and James Blum served successively as acting director between April 28, 1987, when Rudolph Penner left office, and March 6,
1989, when Robert Reischauer’s appointment took effect.
b. Deputy Director James Blum served as acting director between January 29, 1999, when June O’Neill left office, and February 3, 1999, when Dan Crippen’s
appointment took effect.
c. Deputy Director Barry Anderson served as acting director between January 3, 2003, when Dan Crippen left office, and February 5, 2003, when Douglas Holtz-Eakin’s
appointment took effect. Deputy Director Donald Marron served as acting director between December 29, 2005, when Douglas Holtz-Eakin left office, and January 18,
2007, when Peter R. Orszag’s appointment took effect.
d. Deputy Director Robert A. Sunshine served as acting director between November 25, 2008, when Peter Orszag left office, and January 22, 2009, when Douglas
Elmendorf’s appointment took effect.
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Congressional Budget Office: Appointment and Tenure of Director and Deputy Director
Appendix. Establishment of the Congressional
Budget Office Under Section 201(a) of the 1974
Congressional Budget Act
(2 U.S.C. 601(a))
(a) In General.—
(1) There is established an office of the Congress to be known as the Congressional Budget Office (hereinafter in
this chapter referred to as the “Office”). The Office shall be headed by a Director; and there shall be a Deputy
Director who shal perform such duties as may be assigned to him by the Director and, during the absence or
incapacity of the Director or during a vacancy in that office, shal act as Director.
(2) The Director shall be appointed by the Speaker of the House of Representatives and the President pro
tempore of the Senate after considering recommendations received from the Committees on the Budget of the
House and the Senate, without regard to political affiliation and solely on the basis of his fitness to perform his
duties. The Deputy Director shal be appointed by the Director.
(3) The term of office of the Director shall be 4 years and shall expire on January 3 of the year preceding each
Presidential election. Any individual appointed as Director to fill a vacancy prior to the expiration of a term shall
serve only for the unexpired portion of that term. An individual serving as Director at the expiration of a term
may continue to serve until his successor is appointed. Any Deputy Director shal serve until the expiration of the
term of office of the Director who appointed him (and until his successor is appointed), unless sooner removed by
the Director.
(4) The Director may be removed by either House by resolution.
(5)(A) The Director shall receive compensation at an annual rate of pay that is equal to the lower of—
(I) the highest annual rate of compensation of any officer of the Senate; or
(i ) the highest annual rate of compensation of any officer of the House of Representatives.
(B) The Deputy Director shal receive compensation at an annual rate of pay that is $1,000 less than the annual
rate of pay received by the Director, as determined under subparagraph (A).
Author Contact Information
Megan Suzanne Lynch
Analyst on Congress and the Legislative Process
mlynch@crs.loc.gov, 7-7853
Acknowledgments
This report was originally written by Robert Keith, former specialist at the Congressional Research Service.
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