Negotiations Continue on FY 2023 Spending Bill; Congress Set to Advance NDAA
December 8, 2022
With just weeks remaining in the 117th Congress, House and Senate leaders continued to chip away at several key legislative priorities, including a year-end budget deal. To date, none of the 12 annual spending bills for the fiscal year that began on October 1 have been signed into law. Instead, the federal government has been operating under a stopgap funding measure that is set to expire on December 16.
By all accounts, party leaders remain committed to passing an omnibus spending package that would fund the entirety of the government through next September. While some progress was made this week, lawmakers have yet to agree on top-line spending levels for fiscal year 2023. Until that agreement is in place, appropriators will be unable to move forward with funding for individual agencies and programs. With only eight days remaining before the current stopgap measure expires, Congress will need to approve another short-term Continuing Resolution (CR) next week or face the prospect of a government shutdown. If congressional leaders ultimately fail to come to an agreement, lawmakers will also have the option of taking up a year-long CR, though this is likely a last resort.
While work continues on the fiscal year 2023 budget, House and Senate negotiators this week unveiled a compromise version of their annual defense policy bill. The proposed fiscal year 2023 National Defense Authorization Act (NDAA), which the House overwhelmingly approved earlier today, would authorize $847 billion for defense programs, or $45 billion more than President Biden requested. The legislation establishes defense policies and restrictions, with the Pentagon’s vaccine mandate emerging as the most politically charged issue during negotiations. The final agreement repeals the vaccine mandate for members of the armed services, though it would not require the administration to reenlist service members who were discharged under the policy.
As one of the final policy bills that must be addressed this year, the NDAA incorporates a number of other non-defense priorities. For starters, the measure includes a final version of this year’s Water Resources Development Act (WRDA) reauthorization. In addition to WRDA, the defense bill includes language addressing homelessness in rural areas. Specifically, the provision would give rural communities three new flexibilities under the Continuum of Care program. Among other things, it would allow payment of short-term emergency lodging, including in motels or shelters, either directly or through vouchers. The bill also would allow reimbursement for certain repairs necessary to make the premises habitable, and provide for capacity building activities, including payment of staff training and retention.
Finally, it should be noted that a number of popular proposals that were potential candidates for inclusion in the NDAA were left on the cutting room floor. Of particular interest to California’s counties, the final legislation does not include a cannabis banking proposal – the SAFE Banking Act (H.R. 1996; S. 910) – that would help state-legal cannabis and ancillary businesses gain improved access to financial services. However, negotiations on a final banking measure are still ongoing, and there is optimism that lawmakers will be able to address the issue before the end of the year.
CSAC-Endorsed FIRE Act Heads to President’s Desk
After some legislative back and forth between the two chambers, the Senate on December 7 gave final approval to legislation, known as the FEMA Improvement, Reform, and Efficiency (FIRE) Act (S. 3092), that would reform the way FEMA responds to wildfires. Among other things, the measure – which was sponsored by Senator Alex Padilla (D-CA) and endorsed by CSAC – would allow the agency to explore ways to pre-deploy resources during red flag warnings. It should be noted that this is a common practice in advance of hurricanes and other natural disasters. The bill also would extend a similar authority to FEMA when short-term weather conditions are conducive to severe wildfires.
In addition, S. 3092 would improve FEMA’s counseling and case management services in underserved and disadvantaged communities, help to ensure relocation assistance is attainable for public infrastructure in fire-prone communities, and examine gaps in support and ways to speed up the federal assistance process. A House companion bill (H.R. 5782) was sponsored by Representatives Zoe Lofgren (D-CA), Jared Huffman (D-CA), Mike Thompson (D-CA), and Jimmy Panetta (D-CA).
A one-pager on the legislation can be accessed here.