As Congress prepares to pass a continuing resolution to extend federal funding into the coming fiscal year, the White House is expected to send a list of funding “anomalies” to lawmakers to include with the stopgap funding. Funding anomalies are legislative provisions that allow an agency’s current-year coverage and/or rate of operations to differ from the previous year’s levels, or allow for spending on specified items not ordinarily permitted during a CR. While all other Federal departments, agencies, and programs would continue operating under FY24 funding levels, the programs called out in the anomaly list would receive increased funding until full FY25 appropriations are enacted.
The White House’s pending anomaly request is likely to include increases that are similar to what the Biden Administration sought last year, namely additional funding for social security, disaster aid, and assistance for veterans.
Disaster aid: Back in June, the White House requested $4 billion in emergency funding to supplement disaster recovery funding and to support the rebuilding of the Francis Scott Key Bridge in Baltimore. Congress has yet to move on this request. House Appropriations Chair Tom Cole (R-OK) said ahead of August recess that he’s been talking to the White House and Senate about adding that supplemental funding t0 the incoming CR.
Veterans aid: During a significant budget shortfall, the Department of Veterans Affairs needs additional funding by September 20th in order to pay out roughly $3 billion in disability compensation, pension, and education benefits. Conservatives in both chambers will likely take issue with attaching supplemental VA funding to the CR, which many would prefer to vote against. Linking the additional VA money to the stopgap measure could force the hand of GOP hardliners (particularly in the House) and ultimately expedite the passage of a short-term CR.
Social Security: With historically low staffing levels and historically high benefit output, the Social Security Administration will likely seek another significant boost in the forthcoming CR, after the White House requested an additional $15 billion in last year’s CR.
In the coming weeks, the Office of Management and Budget will release a full accounting of the White House’s requested budget anomalies, which could include increases for dozens of federal offices and programs. We’ll provide a full analysis of that document once it’s released.
In additions to the areas listed above, the White House will also likely request additional funding for Ukraine aid, which could further complicate negotiations around a stopgap. In any case, Congress only has 13 voting days upon return from August recess to pass a CR. A key question in that process will be how long Congress chooses to fund the government; either with a short-term patch that would require further negotiations during the lame duck, or punt FY25 appropriations in 2025 after new Members of Congress are sworn in. Waiting to enact FY25 appropriations until the new Congress could trigger an attempt to renegotiate appropriations levels and further delay full passage until the Spring of 2025
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