Salaries of Members of Congress: Current Procedures and Recent Adjustments

Publication Date: December 2003

Publisher: Library of Congress. Congressional Research Service

Author(s):

Research Area: Government

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Abstract:

Congressional debate on salary increases for Members of Congress generally focuses on the adequacy of their current pay, the costs associated with being a Member of Congress, and prevailing economic and budgetary conditions.

The U.S. Constitution, in Article I, Section 6, authorizes compensation for Members "ascertained by law, and paid out of the Treasury of the United States." Throughout American history, Congress has relied on three different methods in adjusting salaries of Members. Stand-alone legislation, the most frequently used method, was last used to provide increases in 1990 and 1991. It was the only method used by Congress until 1967, when Congress established the commission procedure.

The second method, under which annual adjustments took effect automatically unless disapproved by Congress, was established in 1975. From 1975-1989, these annual adjustments were based upon the rate of annual comparability increases given to the General Schedule federal employees. This method was changed by the 1989 Ethics Act to require that the annual adjustment be based on certain elements of the Employment Cost Index.

Under this revised process, annual adjustments were accepted eight times and denied five times. From 1989 to January 2003, the salary of Representatives increased from $96,600 to $154,700, and the salary of Senators from $98,400 to $154,700. Members last received a pay adjustment in January 2003, based upon the formula established in 1989, increasing by 3.1% to $154,700 from $150,000.

In January 2004, Members are scheduled to receive a 2.2% annual adjustment, increasing their salary to $158,100. It is possible that Members will receive a 1.5% increase instead, if Congress does not approve the conference report on an omnibus spending bill by the end of 2003.

The third method for adjusting Members' pay is adjustments made pursuant to recommendations from the President. These guidelines are based on the recommendations of a Citizens' Commission on Public Service and Compensation. Although the Citizens' Commission was to have convened in 1993, it did not and has not met since then. There is no current plan to use the procedure.

This report describes the methods by which Members' pay can be adjusted, the most recent changes to these methods in 1989, and congressional actions on Members' pay issues since the late 1980s. Although the report covers pay adjustments for all Members, it does not address the differing pay rates for House and Senate leadership positions. Table 1 provides Members' payable salary rates, effective dates, and statutory authorities for 1789-2003.