Duane Morris Government Strategies

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The Week in Washington – 7/26/2019

Congress has been rushing to tie up any loose legislative ends before going into recess, allowing members to return to their states & districts for the August district work period.

The House of Representatives passed legislation raising the debt ceiling and setting the federal budget in a bipartisan deal with President Trump. The bill allows a $324 billion increase in discretionary spending for two years. The deal significantly reduces the chances of defaulting on the U.S. debt or a government shutdown. The deal also puts the federal budget under the Trump administration well on the way to a more than $1 trillion deficit, double the level in 2016.

The bill would avert a default on U.S. debt payments in early September by extending the borrowing limit through July 31, 2021. Congress will still need to pass spending bills adhering to the new $1.3 trillion cap when the new fiscal year begins October 1.

After the August recess, Congress will need to work quickly over September to pass spending bills. The Senate has yet to draft any spending bills, meaning that a stopgap continuing resolution remains a likely outcome.

Categories: Budget & Appropriations, Congress

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