Little progress has been made in the effort to come to an agreement on Fiscal Year 2026 funding. aWith little time left before the start of the Fiscal Year on October 1, the House and Senate are no closer to a compromise and are in recess all week. Before recessing, the House passed a GOP-drafted “clean” bill to extend government funding until Nov. 21 at current funding levels with no policy changes included.


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Senate Majority Leader John Thune (R-S.D.) is sticking to his ambitious schedule of getting the reconciliation legislation to President Trump’s desk by July 4, even as he faces objections from GOP colleagues and the Senate parliamentarian to key provisions in the bill. Thune is continuing his effort pushing to get the budget reconciliation bill on the floor by the weekend. Republican senators are racing to work out their disagreements over Medicaid, renewable energy tax breaks, state and local tax deductions and a host of other provisions before the bill comes to the Senate floor. Once approved by the Senate, the House must also approve it or send it back with amendments to the Senate.


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