Lawmakers Aim to Avoid Federal Shutdown with Temporary Funding Bill

Failure to pass the measure would result in a partial shutdown of federal agencies starting Saturday.

Washington: Leading Republicans and Democrats in the U.S. Congress introduced a stopgap measure on Tuesday to extend federal funding through March 14, seeking to avert a partial government shutdown set to start on Saturday.

The proposed measure would maintain the approximately $6.2 trillion federal budget at current levels, ensuring continued funding for essential programs, including the military, air traffic control, and federal regulators overseeing sectors like drug safety and securities markets.

Rank-and-file members of Congress will review the details of the bill, but opposition from some hardline House Republicans suggests that Democratic votes may be essential for passage. The timeline for a vote in the Republican-controlled House remains uncertain. If approved, the Democratic-majority Senate aims to pass the legislation before Friday’s midnight deadline and send it to President Joe Biden for signing into law.

Emergency Funding and Provisions

The package allocates $100.4 billion in emergency funding for disaster recovery in states such as North Carolina and Florida, as well as regions impacted by western wildfires and other natural disasters. Key allocations include:

  • $29 billion for FEMA’s disaster relief fund.
  • $21 billion for aid to farmers affected by flooding and other losses, with an additional $10 billion in economic assistance.
  • $12 billion in block grants for state and local governments.
  • $8 billion for the Department of Transportation’s highway and road disaster relief.

Defense funding includes nearly $5.7 billion for the Pentagon’s Virginia-class submarine construction, carried out by General Dynamics Corp and Huntington Ingalls Industries, along with $2.9 billion for the Columbia-class submarine program.

Additionally, the bill provides more than $2 billion to support small businesses recovering from disasters and approximately $740 million for NASA facility repairs after recent hurricanes.

A provision in the legislation would authorize year-round sales of E15 gasoline, a higher ethanol blend. The package also includes over $13 million for security enhancements at the residences of U.S. Supreme Court justices.

Potential Shutdown and Political Dynamics

Failure to pass the measure would result in a partial shutdown of federal agencies starting Saturday. House Speaker Mike Johnson, leading a slim 219-211 Republican majority, has often relied on Democratic support to advance significant legislation.

Representative Rosa DeLauro, the leading Democrat on the House Appropriations Committee, expressed support for the spending package, calling it “responsible and necessary.”

Also Read | Canada’s PM Trudeau Grapples with Leadership Crisis After Freeland Resignation

Addressing Federal Debt

The stopgap measure is necessary due to Congress’s failure to pass the 12 annual appropriations bills before the fiscal year began on October 1. While mandatory programs like Social Security and Medicare continue automatically, discretionary programs depend on this funding to operate.

The federal debt, now exceeding $36 trillion, remains a pressing concern. Early next year, Congress will need to address the expiration of a 2023 deal that extended the nation’s debt ceiling, with potential economic consequences if no action is taken.

Extension of Federal Farm Programs

The legislation includes a one-year extension of federal farm programs, covering commodity subsidies and food assistance for low-income individuals. Without this extension, the cost of dairy products like milk and cheese could surge after December 31.

Recent News