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Category: Budget

FY 2015 Appropriations Process Stalled

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There are just two weeks left until Congress adjourns for the month of August (August 1st—September 5th). This week lawmakers will return to DC and try to advance a few pieces of legislation – including refilling the Highway Trust Fund and reaching a deal on veterans’ health care legislation – before the end of August.

On the appropriations front, there is not much news to report. With the Senate’s regular appropriations work stalled and an emergency spending request for migrant children taking up time and energy on Capitol Hill, a full government-wide continuing resolution (CR) now appears to be a near certainty for the fall. Congress has until September 30th – the end of the federal fiscal year – to complete appropriations work. Many senior appropriators say they now see a 12-bill CR as a near inevitability. The more pressing question in coming weeks for appropriators will be not if, but how long stopgap legislation would last and if any other provisions, including perhaps some border spending, might be attached to it. If a CR is approved, we are likely to see an omnibus spending bill in the lame-duck session after the midterm elections.

In other news, Cora B. Marrett announced that she will resign her position as Deputy Director of the National Science Foundation (NSF) effective August 24th. Marrett was confirmed as NSF Deputy Director in 2011. She has also served as NSF’s acting director and acting deputy director. Marrett served as the first assistant director for the Social, Behavioral, and Economic Sciences directorate, and as assistant director for the Education and Human Resources directorate.

FY 2015 Appropriations Update

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The Senate’s inability to reach an amendment deal on a three-bill “minibus” could dash hopes for remaining FY 2015 spending bills. Though some Senate Republicans and Democrats say they want to find a way forward to debate fiscal 2015 spending bills, it’s not clear whether they can overcome the substantial distrust that scuttled this week’s attempt to advance the minibus combining three appropriations measures. Several Republicans and Democrats said that they still want to find a way forward, but it’s not clear whether that will be possible. The bill is technically still available for floor debate and Senate leaders had previously set aside next week to work on the package.

The floor setback in followed another blow to the Senate appropriations process on Wednesday night, when the Appropriations Committee postponed a markup of the traditionally bipartisan Energy-Water spending bill, the second such delay in a week. Last week, the panel delayed a planned markup of the more controversial Labor-HHS-Education measure. Appropriations Chairwoman Mikulski (D-MD) said she postponed the markup in consultation with other Democratic leaders because the White House was going to threaten to veto the Energy-Water measure because of a controversial amendment offered by the GOP to block the EPA’s recently announced carbon standards for existing power plants.

Meanwhile, the House is due to pass its fifth FY 2015 spending bill on today. The $570.4 billion Defense bill would increase some Pentagon funding and reverse war policies. House leaders have not settled on which spending bill they will take up after Defense. One option could be the $20.9 billion Agriculture bill that was pulled from the floor last week with GOP leaders focused on the election of a new majority leader and unable to whip against potentially divisive amendments. Another option for House leaders could be to take up their Energy-Water spending bill, which would allow Republicans an opportunity to attach provisions to block the new EPA carbon emission rules.

Whatever bill comes next, the House faces increasingly long odds in meeting appropriators’ goal of passing all twelve FY 2015 spending bills by the August recess – and it is certain that the Senate will be further behind in it’s appropriations work.

FY 2015 Appropriations Process in Question

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Senate Majority Leader Harry Reid (D-NV) effectively ended debate for now on the FY 2015 Commerce, Justice, Science and Related Agencies (CJS) Appropriations after he was unable to reach an agreement with Republicans over amendments. The CJS bill funds NSF, Census, NIJ and other agencies. The CJS bill, which was being considered as part of a “minibus” including two other “non-controversial” funding bills, was largely seen as a bellwether for gauging the Senate’s appetite for passing funding bills before the end of the federal fiscal year on September 30th and before the November midterm elections.

This all comes just days after the Senate Appropriations Committee indefinitely postponed consideration of their FY 2015 Labor, Health and Human Services, and Education appropriations bill, which includes funding for NIH and Pell Grants. The Senate Labor-HHS-Education subcommittee approved the bill by a voice vote earlier this week and was expected that the full committee would hold a markup on today. There has been no information provided on whether the action will be rescheduled.

It seems that the fate of the FY 2015 appropriations process is unknown; it is unclear when or if either bill will be taken back up in the Senate. And it is becoming more and more clear that we will see a continuing resolution (CR) in September. We will keep you posted on these and other developments.

FY15 Appropriations Update

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The unexpected primary election loss by House Majority Leader Eric Cantor (R-VA) could have repercussions on the FY15 appropriations process. Cantor will step down as Leader on July 31st and then serve the remainder of his term. The GOP will hold elections next week to determine who will succeed Cantor as Majority Leader, and that person may have a different opinion on how best to move forward – or not – with FY15 appropriations.

Cantor had been helpful to House appropriators by allowing them floor time with few restrictions on amendments so that they may advance their bills. This is due in large part because the current GOP leaders supported the December budget deal that established overall spending levels for FY15. However, if a more conservative leader emerges from the party’s right flank, which includes members who opposed the spending accord, the individual might have little interest and support for moving FY15 spending bills. Instead, the new leader may favor a continuing resolution (CR) that would keep current funding in place for FY15 and allow for new negotiations in the next Congress, when the GOP might control both the House and Senate.

Meanwhile, the Senate continues to move their FY15 spending bills through the process. Next week they hope to move a package of three largely non-controversial FY15 spending bills as part of a new strategy of clustering funding measures in an effort to save floor time and build bipartisan support. Commerce-Justice-Science, Transportation-HUD, and Agriculture are the three bills to be “clustered” next week.

Unfortunately, the Senate postponed further action on their Labor-HHS-Education measure yesterday. This tends to be the most controversial bill in the appropriations process because it funds many domestic programs that Republicans do not support.

While it is still too early to know for sure, it is looking more and more likely that Congress will approve a CR sometime before the end of the federal fiscal year on September 30th. They will then recess until after the mid-term elections and then return to DC for a lame duck session to complete the FY15 appropriations process – the fate of which will depend on the outcome of the November elections.

The Week Ahead

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This week lawmakers continue to debate FY2015 appropriations, student loans, and VA reform.

Tonight, the House will vote on S. 1254, the Harmful Algal Bloom and Hypoxia Research and Control Amendments Act of 2013. The bill would authorize $20.5 million annually through 2018 for the National Oceanic and Atmospheric Administration to reduce the effects of algal blooms and hypoxia in bodies of water.

By mid-week, the Senate will turn its attention to a bill that would allow the nearly 40 million people with more than $1 trillion in student loans to refinance to current lower interest rates. The student loans bill is part of Senate Democrats’ “fair shot” 2014 agenda that included an unemployment insurance extension, minimum wage increase, and pay equity for women. But it is unlikely that enough Republicans will join Democrats to advance the bill, which is paid for by raising taxes on millionaires.

Read more about the week ahead at The Hill.

House Republican leadership has detailed a busy legislative agenda for the remainder of June in a memo sent from Majority Leader Eric Cantor (R-VA) to House Republicans sent Friday. The House will address issues at the Department of Veterans Affairs, three appropriations bills, three tax extender bills, and legislation to make gas and other energy prices cheaper. Notably absent from the agenda: any mention of immigration, an unemployment extension, or the expiring Export-Import Bank. Read the memo at Roll Call.

The Office of Federal Relations continues to advance our appropriations priorities, as well as monitoring legislative efforts on student loans.