Lawmakers edge closer to deal on government funding

Lawmakers say they are edging closer to a deal to keep the government's lights on in nine days but are still trying to work out differences over disaster aid and potential add-ons to the bill.

There’s some optimism in the Capitol that bill text could arrive as soon as this weekend as the Dec. 20 shutdown deadline quickly approaches, but they’ve also been mum on many of the specifics as spending talks ramp up. 

Disaster aid has been one of the key holdups, as leaders are expected to tack billions of dollars intended for recovery efforts from hurricanes Helene and Milton onto the forthcoming continuing resolution (CR).

“The cake is still being baked. There's a ton of people trying to get in the kitchen, and they're not even into the mixing bowl yet,” Rep. Mark Amodei (R-Nev.), chair of the subcommittee that crafts annual funding for the Federal Emergency Management Agency (FEMA), said Tuesday when asked about disaster aid talks.

Amodei said he thinks “there’s a lot of things” coming together as leadership tries to strike a deal on a stopgap, but he noted “disaster is one of the harder ones.”

The Biden administration has asked for roughly $115 billion in funding for disaster aid in the aftermath of hurricanes Helene and Milton. 

While there is broad bipartisan support for disaster relief, some Republicans have raised concerns with the size and scope of the White House’s request, particularly proposed funding in areas like the Department of Education and the Environmental Protection Agency. 

“Whether the amount is larger or relatively smaller, we're going to have to spend the money sooner rather than later, or later rather than sooner,” Sen. John Kennedy (R-La.), a member of the Senate Appropriations Committee, told The Hill on Tuesday. “We're going to have to spend it because none of those folks in Appalachia and Georgia had any funds.”

However, he also expressed the desire for pay-fors to cover expenses for the relief, saying “there are offsets to be had.” But he added, it’s “not a question of, can they be found, the question is whether people have the political will to do them.”

Kennedy’s sentiment echoes those on the other side of the Capitol, where hard-line conservatives in the House have also been pushing for offsets to cover any disaster aid passed under the current administration. 

“The House should consider only what is absolutely necessary right now to provide critical relief to hurricane victims and farmers, and pay for it with offsets from wasteful spending elsewhere in the government, then wait for President Trump to take office to better manage disaster relief,” the hard-line conservative House Freedom Caucus said last week.

Other Republicans have also expressed interest in offsets, but aren’t yet drawing red lines as officials have warned of dwindling funds in recent weeks. 

“I'm all for paying for as much as we can pay for,” Sen. John Boozman (R-Ark.), another appropriator, told The Hill this week. “On the other hand, there are certain situations where only, only the federal government, can step in and make a difference.”

“And so infrastructure, things like that, we've always, we've always done it. So, I think that we need to do what we need to do,” he said. “But again, as much as we can pay for will be great.”

Kennedy said negotiations over the expected disaster aid ride-on have been more toward the $100 billion level. “It’s a moving target. [Sen. Susan Collins (R-Maine)] is involved in negotiations. We'll know in the next couple of days.”

With little legislative time left on the calendar, senators have signaled some other last-minute pushes that could also ride as part of the forthcoming stopgap measure. 

Senate Agriculture Committee Chair Debbie Stabenow (D-Mich.) told The Hill this week that the goal is for “some kind of extension” for the farm bill, but opened the door for “additional economic assistance” without offering specifics. 

Congressional Democrats say they have also been fighting to protect $20 billion in IRS funding as part of the talks, and other items like dollars for the Social Security Administration could also emerge as areas of focus as discussions continue.

Top negotiators on both sides say Congress is likely on track for a stopgap through sometime in March, although there has been bipartisan resistance to the idea in recent months as many lawmakers have pushed against putting off fiscal 2025 funding work even longer.

“We could have met the December 20 deadline. But there we go,” Rep. Rosa DeLauro (Conn.), the top Democrat on the House Appropriations Committee, told The Hill this week. But she also expressed confidence Congress will finish its work by next March if they lock in the targeted timeline.

“We can get it done. We could have gotten it done.”