The reconciliation process is primarily designed for changes in
mandatory spending, revenues, or the debt limit, not for enacting or rescinding discretionary funding. Discretionary spending, which is subject to the annual appropriations process, is typically not addressed through reconciliation.
Purpose of Reconciliation:
Reconciliation is a special legislative process that allows Congress to pass certain budget-related legislation with simplified procedures, often avoiding filibusters. It's used for changes to mandatory spending (like Medicare, Social Security), revenues (like taxes), and the debt limit.
Discretionary Funding:
Discretionary funding, on the other hand, is controlled through the annual appropriations process, which is how Congress decides how much money to allocate to various government programs.
Byrd Rule:
The Senate's Byrd rule (Section 313 of the Budget Act) further restricts reconciliation by prohibiting the inclusion of extraneous provisions, including those that don't affect spending or revenues.
Rescissions and Reconciliation:
While nothing in the Budget Act explicitly prohibits including provisions to rescind discretionary funding in a reconciliation bill, the restrictions on reconciliation, including the Byrd rule, make it impractical for this purpose.
Alternative to Rescission:
If Congress wants to eliminate discretionary funding, they would typically need to pass a separate appropriations bill or amendment that reduces the funding.
https://www.cbpp.org/research/introduction-to-budget-reconciliation#:~:text=Mandatory%20spending%20is%20determined%20by,%E2%80%9D%20questions%20below%20for%20more.)