CONGRESSIONAL LEADERS ANNOUNCE DEAL IN HOPES OF PREVENTING GOVERNMENT SHUTDOWN

ECA Staff | 01/08/2024

On Sunday, January 7th, House and Senate negotiators announced a spending deal for 2024 appropriations. This is the first step that needs to be taken to avoid a government shutdown. Congress is facing not one, but two deadlines, January 19th and February 2nd.

The first deadline (January 19) includes the funding for Energy and Water Development, Agriculture-FDA, Rural Development, Military Construction-VA, and Transportation-Housing and Urban Development. The second deadline (February 2) includes Defense, Commerce, Justice and Science, Financial Services and General Government, Homeland Security, Interior, Environment and Related Agencies, Labor, Health and Human Services and Education, Legislative Branch, and Foreign Operations. 

House Speaker Mike Johnson and Senate Majority Leader Chuck Schumer agreed to topline numbers for FY 24. These numbers include a total of $1.59 trillion for FY24, $886 billion for defense spending, $704 billion in non-defense spending, and $69 billion side deal in adjustments that will go towards non-defense domestic spending. That side deal brings non-defense spending to approximately $773 billion. 

This deal is the first step towards avoiding a showdown, however, there are still hurdles to fully avoid a shutdown. Congress must pass a series of funding bills or approve a stopgap known as a continuing resolution to extend funding past the current deadlines. Congress has less than two weeks to finalize funding. 

Lawmakers will resume negotiations on Monday. ECA will continue to provide updates on appropriations.