On Wednesday, Congressional leaders reached an agreement on funding, averting a potential government shutdown over the weekend. The deal extends the expiration dates for federal finances until later in March, allowing more time for finalizing a $1.7 trillion spending package.
About 20 percent of the federal government, including key departments like Transportation, Veterans Affairs, Housing and Urban Development, and Agriculture, faced closure at 12:01 a.m. Saturday without new spending legislation from Congress.
Under the agreed terms between House and Senate leadership, funding for these departments, along with Commerce, Justice, and Interior, would now expire on March 8, a week later than initially planned. Meanwhile, funding for other government sectors such as Defense and State would be extended until March 22. Two sources familiar with the budget negotiations confirmed these details anonymously due to the delicate nature of the discussions.
The objective is to grant lawmakers more time to finalize comprehensive spending bills for these agencies. However, the agreement necessitates swift action on Capitol Hill to approve the extension, known as a continuing resolution (CR), before the looming deadline on Friday night to avoid even a brief shutdown. Despite reaching a deal, there’s still uncertainty about whether Congress will act in time.
House Speaker Mike Johnson proposed the extension to Democrats on Tuesday, receiving a generally positive response, albeit with reservations.
Senator Jon Tester, the leading Democratic negotiator on the defense appropriations bill, remarked, “If that’s what it takes to get this done, then let’s do it. But this ‘kicking the can down the road’ tactic really needs to stop.”
Congress has resorted to passing three short-term spending bills between September and January. In November, Johnson spearheaded a CR that staggered the expiration dates for federal funding, followed by another extension in January. Lawmakers have struggled to pass spending measures for the entirety of the 2024 fiscal year, which began on October 1, 2023, and ends on September 30.
