What to know about the current funding crisis

Lawmakers Navigate Federal Funding Challenges

The federal government is currently operating under the second continuing resolution (CR) of the fiscal year, passed on Dec. 20 in a bipartisan vote—366-34 in the House and 85-11 in the Senate.

Current Funding Extension and Additional Measures

As is typical of CRs, the measure extended funding levels from the previous fiscal year’s budget, which were set in the bipartisan Fiscal Responsibility Act. Additionally, the December CR included more than $100 billion in disaster relief funding and a yearlong extension of the 2018 Farm Bill.

Push for a Yearlong CR

House Republican leadership has indicated plans to pass a “yearlong” CR, which would extend the fiscal year 2024 funding levels through the end of fiscal year 2025 (Sept. 30) rather than passing new appropriations bills. Meanwhile, Republican and Democratic appropriators, including Oklahoma Rep. Tom Cole, continue negotiating top-line spending numbers for potential FY 2025 appropriations bills, in case the yearlong CR fails and Congress is forced to pass individual spending measures instead.

Democratic Opposition and Funding Concerns

Democrats oppose the idea of a yearlong CR and are expected to vote against it. They worry that former President Donald Trump, if re-elected, could use executive authority to cut funding for agencies and programs he opposes. Appropriations bills typically include specific directives on how funds must be spent, which would limit the president’s discretion.

Republican Resistance and Speaker Johnson’s Strategy

Some Republicans are also pushing back against the yearlong CR. Rep. Thomas Massie (R-Ky.) has said he will vote against it because it does not reflect spending reductions tied to cuts made by the Department of Government Oversight and Efficiency (DOGE). If Massie remains a "no" and no Democrats support the measure, every other Republican would have to vote in favor for it to pass.

Speaker Mike Johnson (R-La.) told reporters Thursday he believes he has the votes needed for passage.

Fiscal Responsibility Act and Potential Spending Cuts

Under the Fiscal Responsibility Act, negotiated by former Speaker Kevin McCarthy and President Biden, if Congress fails to pass appropriations bills and the government remains under a CR by April 30, funding levels will automatically revert to fiscal year 2023 levels.

While some hardline conservatives welcome the potential spending cuts, many Republicans argue they would significantly impact defense funding. Unconfirmed reports suggest the White House budget office has given verbal assurances that it would "turn off" this sequestration measure if the yearlong CR passes.

The debate over federal funding continues as lawmakers weigh the risks and potential consequences of long-term temporary spending measures.