1. Short title This Act may be cited as the Spending Safeguard Act . 2. Spending limitation on direct spending programs (a) Establishment of spending safeguard limitation (1) In general The Director of the Office of Management and Budget shall establish a spending limitation (in this Act referred to as a spending safeguard limitation ) with respect to any direct spending program not later than 90 days after any such program is enacted or reauthorized (as the case may be). (2) Determination of spending safeguard limitation The spending safeguard limitation established under paragraph (1) for a direct spending program shall be equal to— (A) with respect to any such program within budget function 050 (Defense), 550 (Health), 570 (Medicare), 600 (Income Security), 650 (Social Security), or 700 (Veterans Benefits and Services), 120 percent of the cost of the program