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Senate Leaders Reach Funding Deal to Avoid Government Shutdown Before Midterms/ TezzBuzz/ WASHINGTON/ J. Mansour/ Senate leaders unveiled a temporary spending measure that would fund federal agencies through Dec. 11 and avoid a shutdown during the midterm campaign. The bipartisan agreement excludes $1 billion for proposed “Trump-class” battleships and limits transfers of other federal money to the Border Patrol. It also delays a Trump administration rule that would give political appointees greater authority over federal grant awards.

Quick Look

• The Senate bill would fund the government through Dec. 11.
• Federal spending would generally remain at current levels.
• The Senate could vote before beginning its August recess.
• The current fiscal year ends Sept. 30.
• The House passed a similar but not identical measure.
• The Senate rejected $1 billion for “Trump-class” battleships.
• The bill restricts transfers of other federal funds to the Border Patrol.
• The agreement follows two record-breaking shutdowns in 10 months.
• One previous shutdown lasted 43 days.
• A Homeland Security funding dispute took 76 days to resolve.
• Trump proposed a 10% reduction in nondefense spending.
• He also requested a defense spending increase of approximately 44%.
• The bill delays a disputed administration rule governing federal grants.
• Democrats want the grant policy eliminated permanently.
• The White House says the rule would improve accountability.

Deep Look

Senate leaders unveil government funding agreement

WASHINGTON — Senate leaders released a temporary spending bill Sunday designed to keep the federal government operating through the midterm elections and prevent another shutdown during campaign season.

The measure would generally maintain current federal funding levels through Dec. 11.

Senators are expected to consider the proposal before leaving Washington at the end of the week for their traditional August recess.

Many lawmakers facing reelection want to spend the recess campaigning in their states and districts rather than remaining in the capital for another budget confrontation.

Bill would delay funding deadline until December

The temporary measure would extend government funding for more than two months beyond the Sept. 30 end of the fiscal year.

That would move the next shutdown deadline until after the November elections.

The additional time is intended to allow congressional negotiators to complete work on the 12 annual appropriations bills that finance federal departments and agencies.

Congress has repeatedly failed to approve all of those bills before the start of a new fiscal year.

Short-term extensions have therefore become a common way to prevent funding gaps while negotiations continue.

Senate acts unusually early

Congress typically waits until the final days or hours before a deadline to approve temporary spending legislation.

This time, senators are acting approximately two months before current funding expires.

The unusually early action reflects a desire by both parties to remove the threat of a shutdown from the midterm campaign.

It also gives lawmakers time to return to their states without facing an emergency session in September.

The House has already approved a similar funding measure, although important differences between the two versions will need to be resolved.

Senate bill differs from House measure

The House legislation did not include several spending and policy exceptions requested by the White House.

Senators spent recent days negotiating which of those provisions should be added to the final agreement.

Some administration priorities were included, while others were excluded or restricted.

The differences mean the House may need to consider the Senate version or the two chambers could negotiate a compromise before sending the legislation to President Donald Trump.

The immediate goal is to complete that process well before the Sept. 30 deadline.

“Trump-class” battleship money excluded

The Senate agreement does not include the administration’s request for $1 billion to begin constructing proposed “Trump-class” battleships.

Democrats highlighted the exclusion as one of their negotiating victories.

The supplied report does not provide details about the proposed ships, their total expected cost or the administration’s timetable for building them.

The decision does not necessarily prevent Congress from considering battleship funding in later defense appropriations legislation.

It keeps the money out of the temporary bill intended primarily to continue existing government operations.

Border Patrol fund transfers restricted

The Senate bill also includes language intended to stop the administration from moving money from other federal programs to the Border Patrol.

Democrats said the restriction represents another significant difference from the House measure.

Congress normally allocates money to agencies for defined purposes.

Lawmakers have raised concerns that broad transfer authority can allow an administration to expand programs without obtaining specific congressional approval.

The provision seeks to preserve congressional control over how appropriated money is spent.

Thune makes funding bill top priority

Senate Majority Leader John Thune said passing the temporary funding legislation was his principal objective before the August recess.

He cited the effects of two record-setting government shutdowns during the previous 10 months.

Shutdowns can interrupt federal services, delay paychecks, close facilities and create uncertainty for government employees and contractors.

They can also damage public confidence in Congress and the executive branch.

Both parties want to avoid election-year shutdown

Republicans and Democrats have political reasons to prevent another funding crisis before voters go to the polls.

Polling after the previous shutdown suggested that neither party avoided public blame.

That creates a risk for incumbents across the political spectrum.

A shutdown could also distract candidates from their preferred campaign messages and force them to defend Congress’ inability to perform one of its most basic responsibilities.

The temporary agreement allows both parties to postpone their most difficult spending disputes until after Election Day.

Annual appropriations work remains unfinished

Congress uses 12 appropriations bills to fund most federal departments and programs.

Lawmakers have struggled to negotiate and approve those bills before the fiscal year ends.

The temporary measure does not resolve the underlying disagreements.

It merely maintains current funding while appropriators continue working toward full-year legislation.

Those talks are expected to be difficult because Republicans and Democrats remain far apart on defense and domestic spending priorities.

Trump seeks major defense spending increase

Trump has proposed increasing defense expenditures by approximately 44%.

Republicans generally support major increases for the military, although lawmakers may disagree about individual programs and the overall cost.

The president has simultaneously proposed cutting nondefense programs by 10%.

Those categories include a wide range of domestic agencies, public services, research programs and grant initiatives.

Democrats are expected to resist significant reductions in nondefense spending.

The conflicting priorities could produce another intense budget fight in December.

Previous shutdown lasted 43 days

Last fall’s government shutdown lasted a record 43 days.

Democrats sought to extend an expiring health insurance tax credit and refused to support a temporary spending measure that did not include it.

Republicans argued that the tax credit was a separate policy dispute that should not be attached to legislation keeping the government open.

Neither party emerged from the shutdown without political damage.

That experience has increased interest in passing the current funding extension before campaign activity intensifies.

Homeland Security dispute lasted 76 days

A separate battle over funding for the Department of Homeland Security took 76 days to resolve.

Democrats resisted funding U.S. Immigration and Customs Enforcement and the Border Patrol without changes to those agencies’ operations.

Republicans opposed linking the funding to broader immigration enforcement reforms.

The extended dispute highlighted how disagreements over individual departments can delay larger spending packages.

The new Senate bill’s restriction on transferring money to the Border Patrol reflects the continuing conflict over immigration enforcement funding.

Bill delays controversial federal grant rule

The agreement also postpones implementation of a proposed Trump administration policy governing discretionary federal grants.

The rule would require a senior political appointee at each agency to review grant applications.

Critics argue that the language would give political officials too much control over funding decisions traditionally made through professional or scientific review processes.

The rule would not take effect while the temporary spending bill remains in force.

Collins seeks changes to grant policy

Republican Sen. Susan Collins of Maine, chair of the Senate Appropriations Committee, worked with Democrats to delay the rule.

Collins said she sought substantial revisions because of concerns that political review could disadvantage certain communities and research programs.

She warned about its potential to politicize grants and harm rural areas, families and biomedical research.

Her opposition demonstrates that concern about the proposal extends beyond Democrats.

The temporary delay gives Congress and the administration more time to negotiate possible changes.

Schumer calls grant rule “disgraceful”

Senate Democratic Leader Chuck Schumer strongly criticized the administration’s proposal.

Democrats want to prevent the policy from taking effect permanently rather than merely delay it through Dec. 11.

They argue that federal grants should be awarded through standards established by law and professional review, not according to an administration’s political goals.

Republicans rejected language that would have eliminated the rule entirely.

Murray promises continued opposition

Sen. Patty Murray of Washington, the top Democrat on the Appropriations Committee, said she would continue trying to defeat the policy.

The dispute is likely to return when Congress negotiates full-year spending legislation.

Democrats may attempt to include a permanent prohibition in one or more appropriations bills.

Democrats fear grants could reward allies

Democrats argue that the grant rule could allow Trump officials to punish states, universities, organizations or communities considered political opponents.

They also fear the administration could direct money toward favored groups or regions.

Such decisions, Democrats say, could undermine Congress’ constitutional authority over federal spending.

The Constitution gives lawmakers power to appropriate money, although executive agencies often retain discretion over individual awards within programs created by Congress.

The proposed rule has therefore become part of a larger struggle over presidential authority and congressional control of federal funds.

White House cites taxpayer accountability

The White House Office of Management and Budget says the grant-review proposal is intended to strengthen accountability.

Administration officials argue that political appointees should ensure federal money is not wasted or used in ways that conflict with elected leaders’ priorities.

The White House rejects claims that the policy is designed to punish opponents.

The disagreement centers on whether political oversight improves accountability or improperly influences decisions that should be based on expertise, merit and statutory criteria.

Funding deal postpones larger battle

The temporary bill provides Congress with a path to avoid an immediate shutdown but leaves the most difficult issues unresolved.

Lawmakers must still settle disagreements involving military spending, domestic programs, immigration enforcement and presidential control of grants.

Moving the deadline to Dec. 11 means those decisions will come after the midterm elections.

For now, leaders in both parties appear willing to accept a short-term compromise rather than risk a third shutdown during a politically sensitive campaign season.

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