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O       CONGRESSIONAL BUDGET OFFICE                                 Keith Hall, Director
         U.S. Congress
         Washington, DC 20515


                                      May 30, 2019

       Honorable Jerrold Nadler
       Chairman
       Committee on the Judiciary
       U.S. House of Representatives
       Washington, DC 20515

       Re: H.R. 2821 the American Promise Act of 2019

       Dear Mr. Chairman:

       The Congressional Budget Office and staff of the Joint Committee on
       Taxation (JCT) have completed an estimate of the direct spending and
       revenue effects of H.R. 2821, the American Promise Act of 2019, as
       ordered reported by the House Committee on the Judiciary on May 22,
       2019. On net, CBO and JCT estimate that enacting H.R. 2821 would
       increase budget deficits by $8.3 billion over the 2020-2029 period; on-
       budget deficits would increase by $7.9 billion, and off-budget deficits
       would increase by $0.4 billion over that period. Because enacting the bill
       would affect direct spending and revenues, pay-as-you-go procedures
       apply.1 The pay-as-you-go effects are equal to the change in on-budget
       deficits (see Table 1).

       H.R. 2821 would allow aliens who, as of January 1, 2017, had or were
       otherwise eligible for Temporary Protected Status (TPS) or were eligible
       for Deferred Enforced Departure (DED) to receive lawful permanent
       resident (LPR) status under certain conditions.

       CBO estimates that H.R. 2821 would provide lawful immigration status and
       work authorization to nearly half a million people who otherwise would be
       physically present in the United States without such legal authority.2


       1. A relatively small number of people would be eligible for LPR status under both H.R. 2820
           (the Dream Act) and H.R. 2821 (the American Promise Act), both of which were ordered
           reported by the House Committee on the Judiciary on May 22, 2019. Consequently, if the
           provisions of the two bills were enacted as a single bill, the budgetary effects for that
           combined bill would be smaller than the sum of the budgetary effects of the two bills. CBO
           has not estimated the budgetary effects of a combined bill.
       2. The Administration has proposed to terminate TPS and DED for nationals of several
           countries. That policy is currently subject to a nationwide injunction. Spending and revenues
           in CBO's baseline reflect the expectation that the injunction will eventually be lifted and the
           Administration will implement its proposed policy.

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