Economy, finance and labor

Executive Order 12858: Deficit Reduction Fund

President: Bill Clinton

Created a Treasury accounting mechanism to track the projected deficit reduction from the 1993 budget law through fiscal 1998; the scheduled period ended.

Status: Completed/expired. Is Executive Order 12858 still in effect? No. Executive Order 12858 is completed or expired. See Federal Register record.

What does Executive Order 12858 do?

EO 12858 established a Deficit Reduction Fund account to record revenue increases and spending reductions attributed to the Omnibus Budget Reconciliation Act of 1993. It set cumulative amounts for fiscal years 1994 through 1998, restricted those amounts from being treated as available for new spending, and required annual budget reporting. The order’s finite accounting schedule ended with fiscal year 1998.

Administration position: The order described the account as a guarantee that the 1993 law’s projected savings would reduce the deficit. That was an executive budgeting presentation; actual deficits and debt also depended on later legislation and economic results.
SignedAugust 4, 1993
Responsible officesTreasury and Office of Management and Budget
Scheduled yearsFiscal years 1994–1998

Before and after

Before the order

There was no EO 12858 account tracking the 1993 reconciliation law’s projected deficit reduction.

After the order

Treasury recorded scheduled amounts and presidential budgets reported on the account through the covered period.

Who had to do what

Agency / officeActionTiming / position
TreasuryRecord the defined revenue and spending-reduction amountsDaily during the scheduled years
OMBAdjust the initial amounts for final legislative scoringWithin 30 days of enactment
OMB and PresidentReport the fund’s status in the annual budgetDuring the covered period

What happened next

EO 12858 signed.

The 1993 reconciliation law was enacted and the order took effect.

The final fiscal year in the schedule ended.