The House passed a continuing resolution (CR) that will maintain funding for the federal government once FY 2005 ends at midnight tonight, September 30. The Senate passed the spending extension measure this morning, with President Bush expected to sign it into law later in the day.
The CR will maintain funding for all federal programs and projects through November 18, 2005. So far, only two of the FY 2006 appropriations bills have been signed into law: the Interior-Environment measure (PL 109-54) and the Legislative Branch appropriations (PL 109-55) bills. A third, the FY 2006 Homeland Security Appropriations bill, was approved in conference and is expected to reach the House and Senate floors for final passage next week.
The 49-day CR would set spending for all other government programs at the fiscal 2005 rate, the House-passed level for FY 2006 or the FY 2006 Senate-passed level, whichever was the lowest. House Appropriations Chairman Jerry Lewis (Calif.) organized the extension bill in this fashion in an attempt to encourage the Senate to finalize and pass its remaining FY 2006 spending measures individually, rather than combining them into an omnibus bill.
The House passed its versions of all twelve of the FY 2006 appropriations bills before the July 4 recess. The Senate, however, has passed only eight of its FY 2006 appropriations bills, and is working to complete today the floor debate on a ninth, the FY 2006 Defense Appropriations bill.
Despite the discrepancy between House- and Senate-passed FY 2006 spending measures and the outstanding workload that Congress must complete before it adjourns, House and Senate appropriators remain committed to passing all of the FY 2006 spending bills individually.
The House-passed CR has raised some issues for some senators, who have expressed an interest in amending it. One such amendment raised by Sen. Tom Harkin (Iowa) would have restored a 50 percent cut to the Community Services Block Grant (CSBG) program. The amendment failed by a vote of 39-53. The program, funded at $673 million in FY 2005, was cut to $320 million in the House for FY 2006. Passage of the amendment would have resulted in a government shutdown, because the House has already adjourned for the week, making it unlikely that lawmakers could meet to resolve the differences in time.
Sen. Ted Stevens (Alaska) offered an amendment to the FY 2006 Defense Appropriations bill that restores funding to the Community Services Block Grant (CSBG) Program. The amendment was adopted by voice vote. The Senate is unlikely to conclude debate on the FY 2006 Defense spending measure today and will renew floor negotiations on bill next week.
Reconciliation. Congressional leaders still intend to comply with reconciliation instructions outlined in the FY 2006 Budget Resolution. While House and Senate authorizing committees were originally scheduled to report $34.7 billion in spending cuts to their respective budget committees on September 16, that date was pushed back to the week of October 17 to permit lawmakers ample time to respond to Hurricane Katrina.
In the wake of providing disaster aid to the Gulf Coast region, House and Senate leaders have sought to encourage deeper cuts in federal programs to offset the high cost of providing relief and rebuilding the region. Meanwhile House and Senate moderate Republicans and Democrats contend that now is not the time to impose cuts to Medicaid, food stamps, and other programs for the poor that are likely targets of the reconciliation instructions.
Homeland Security. House-Senate conferees approved a $31.9 billion FY 2006 Homeland Security Appropriations bill on Thursday, September 29. The conference report on the bill (H.R. 2360), which was approved by unanimous consent, is expect to come to the House floor sometime next week.
The bill includes $30.8 billion for the Department of Homeland Security (DHS), an increase of $1.4 billion from the FY 2005 level. In a victory for high-risk/high-threat states (such as California) the bill would require that the 60 percent of "basic formula" funding that to date has been allocated solely based on population instead be allocated according to risk factors. The bill will provide $3.3 billion for grant programs directed toward state and local first responders, including nearly identical amounts from two pots: $1.155 billion for risk- and threat-based grants for urban areas, and $1.135 billion for grants that have historically used a federal funding formula that has been heavily skewed to favor small states over large states (and has provided more than six times as much money per capita to Wyoming, North Dakota and Vermont as it has to California, New York, or Texas).
As a result, California’s current 8 percent share could increase to as much as 10-13 percent.
The $1.155 billion for "high-density urban areas" includes $765 million for traditional urban area grants, which DHS distributes according to risk and threat information, plus $150 million for rail security, $175 million for port security, and $65 million for other infrastructure protection activities.
The formula funding portion includes $550 million for basic formula grants, $400 million for the state and local law enforcement terrorism prevention program (LETPP), and $185 million for Emergency Management Performance Grants (EMPG). However, the conference report includes a change that could improve California’s share of these formula funds considerably, by dividing a portion of funds (after large guarantees for small states have been extracted), in part according to risk and threat. In the past, these funds were distributed solely according to state population, with risk factors unaccounted for.
Also within the first responder funding account is $655 million for firefighter grants. Traditionally focused on rural fire departments, the program limits any total grant to $750,000, regardless of whether the recipient is a volunteer fire department in a town of 1,200 people, or a large city department, such as Los Angeles or San Francisco.
The bill also provides $6.3 billion for the Transportation Security Administration (TSA), including $2.5 billion for passenger and baggage screeners, $443 for in-line explosive detection systems, $1 billion for aviation direction and enforcement, and $686 million for air marshals. The majority of the bill’s funding, and 85 percent of the year-over-year increase, will be used to provide $19.1 billion for border protection, immigration enforcement, and related activities.
TANF Extension. The Senate voted Thursday to pass legislation (S. 1778) that would extend the Temporary Assistance for Needy Families (TANF) program for three months, though the House adjourned for the week without acting on the legislation. In addition to extending the program the bill would provide funding for six months of medical assistance to families making the transition from welfare to work. Under current law (PL 109-68), the TANF program will expire December 31. The bill, which would create the 12th extension of TANF, would continue the welfare program until March 31, 2006.
