This bill establishes a mechanism for across-the-board rescissions of federal spending, specifically targeting nonsecurity discretionary appropriations . These appropriations are defined as discretionary funds not included in the security category, as outlined in existing budget control acts. The primary goal is to reduce federal spending by applying a uniform percentage cut to these specific budget areas. The rescissions are implemented on a pro rata basis, meaning they apply proportionally across all affected programs. For fiscal year 2026, a 1 percent cut is mandated, which then increases to 2 percent for fiscal year 2027. Starting in fiscal year 2028 and for every subsequent fiscal year, a 5 percent rescission will be applied to all nonsecurity discretionary appropriations. The Director of the Office of Management and Budget is also required to submit annual reports detailing these rescissions to Congress.