Lawmakers Release Continuing Resolution as Government Shutdown Looms
Note: This legislation has been pulled by congressional leadership; read more here
On December 17, the House of Representatives released its 1,547 page Continuing Resolution to keep the government funded through March 14th, 2025. The CR is accompanied by the The Disaster Offset and Government Efficiency Act (the DOGE Act) and comes after what has been a week of tension between lawmakers. It is highly unlikely this legislation will be able to overcome partisan congressional headwinds.
The package includes support for FEMA, agriculture, transportation, housing, and water infrastructure but falls short of the $115 billion requested by President Biden. It also addresses semiconductor supply chains, telehealth services, and Medicare payments. Notably, the legislation does not include permitting reform.
The exact timing of the House vote on the stopgap is unclear. Johnson has not committed to adhering to the House GOP conference’s self-imposed 72-hour rule. If the rule is followed, the vote could take place as early as Friday evening. Alternatively, the House may expedite the process by passing the bill under suspension of the rules, which would fast-track legislation but require a two-thirds majority for passage. House Majority Leader Steve Scalise (R-La.) stated that GOP leadership was still deliberating on this approach.
Either process is likely to be a headache for Johnson, as he will probably need to depend once more on Democratic votes to get the bill passed. Some conservatives contend that this process is just another example of the annual year-end legislative rush, one of the key reasons they ousted former House Speaker Kevin McCarthy (R-CA).
This situation could create challenges for Johnson during the Speaker's vote on January 3. With the House of the 119th Congress beginning with 434 members (Rep. Gaetz has already resigned), he can afford to lose only one vote. Some conservatives may use this spending package as leverage against Johnson during the vote.
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Key Features of the Package
Disaster Relief
The bill allocates $100.4 billion for disaster relief, marking the first comprehensive package of its kind in two years. Key allocations include:
$29 billion for FEMA’s disaster relief fund to address immediate needs. This amount falls short of the $40 billion requested by the Biden administration, necessitating further Congressional review during the fiscal 2025 appropriations process.
$21 billion in emergency assistance through the Department of Agriculture to support farmers impacted by disasters and low crop yields.
$12 billion for HUD’s Community Development Block Grant program for disaster recovery.
$8 billion for the Federal Highway Administration to repair roads and bridges affected by disasters.
$2.2 billion for the Small Business Administration’s disaster loan program, which had exhausted funds in October.
Additionally, the package includes language authorizing a 100% federal cost share for rebuilding Baltimore’s Francis Scott Key Bridge, which collapsed earlier this year. The measure also allows the federal government to pursue legal recourse to recover costs from liable parties.
Farm Aid
With the farm bill unresolved, the measure:
Extends existing provisions for one year.
Provides $10 billion in economic aid for farmers to mitigate losses caused by natural disasters, low crop yields, and declining commodity prices.
However, the bill excludes a proposed $14 billion in conservation funding from the Inflation Reduction Act, a contentious point between Democrats and Republicans.
Notably, the inclusion of language to make year-round E15 ethanol sales permanent is seen as a win for biofuel advocates. Still, lawmakers like Representative Marcy Kaptur (D-Ohio) expressed disappointment over the lack of a fully reauthorized farm bill, calling the temporary extension "unfair" to farmers planning for the upcoming year.
Infrastructure and Semiconductor Support
The bill provides:
$3.25 billion for water infrastructure grants to enhance state and tribal water systems.
Provisions for the "Securing Semiconductor Supply Chains Act," directing the Department of Commerce to develop strategies to boost domestic semiconductor production.
Health and Safety Provisions
The measure includes:
An extension of telehealth services and increased Medicare physician payments.
Reauthorization of the Diesel Emissions Reduction Act and the Drinking Water Infrastructure Risk and Resilience Program, allocating $50 million annually through 2027.
Reauthorization of a Department of Homeland Security program allowing federal agencies to coordinate and counter threats from drones, responding to public concerns over recent sightings.
Read the Constitution Partners Analysis on the Health Division
Omitted Provisions
Despite its breadth, the package leaves out several priorities:
Energy Permitting Reform: Bipartisan efforts to overhaul energy permitting laws failed due to disagreements over proposed changes to the National Environmental Policy Act.
Public Lands and Natural Resources Bills: A package of over 150 bills, including forest management legislation and the "EXPLORE Act," aimed at enhancing recreation on public lands, was excluded.
Other Authorizations: Extensions for programs addressing radiation exposure compensation, chemical facility safety, pipeline safety, and Coast Guard operations were omitted.
Additional Provisions
The bill includes language to limit U.S. outbound investment in China, a provision excluded from this year’s National Defense Authorization Act.
On health provisions, it addresses pharmacy benefit managers, increases Medicare doctor payments, and extends telehealth services.
The package mirrors much of President Joe Biden’s supplemental disaster relief request but falls short in some areas, such as FEMA funding. Biden had requested $115 billion, including $40 billion for the FEMA Disaster Relief Fund; the bill provides $29 billion for FEMA.
The stopgap measure also freezes $20 billion in IRS funds, rejecting Biden’s proposal to use those funds.
Non-disaster-related provisions include transferring control of the RFK stadium site to Washington, D.C., paving the way for the Washington Commanders’ potential return to the district from Maryland.