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What’s Next to Fund the Federal Government

January 08, 2024

This weekend, federal leaders said they had reached an agreement on an overall spending level of $1.66 trillion for 2024 as they look to prevent a government shutdown later this month.

Congress returns this week and faces two fast-approaching deadlines to fund the government for the fiscal year. During November, Congress passed a continuing resolution to fund select areas (military construction, veterans’ affairs, transportation, housing, and the energy department) through January 19, and the rest of the government through February 2.

Here’s what you need to know:

  • The deal:  The full details of the topline agreement have not been released, and there were discrepancies in the respective announcements from Republican ($704 billion) and Democratic leadership ($772 billion) about the size of the non-defense discretionary funding.
  • What it means:  An agreement on a topline number is a key starting point as lawmakers now move to negotiate the terms of the deal for 2024.
  • Key for health care:  Lawmakers will likely take up a few health care priorities that remain unresolved from the 2023 legislative session, including potential cuts to the Medicaid Disproportionate Share Hospital (DSH) program and a site-neutral payment policy for physician administered Medicare Part B drugs.
  • Timeline:  Congress must pass a deal by next Friday to avert a partial shutdown.
  • Quotable:  “The bipartisan funding framework congressional leaders have reached moves us one step closer to preventing a needless government shutdown and protecting important national priorities,” President Joe Biden said in a statement this weekend.

HAP will continue to monitor the latest legislative activity in Washington and provide updates to members. For questions, contact John Myers, vice president, federal advocacy.