President Biden has signed a $1.2 trillion spending bill into law for the United States.
President Joe Biden signed a $1.2 trillion spending bill into law on Saturday, ensuring the funding of the U.S. government for the current fiscal year. The bill, passed by Congress earlier that day, aims to invest in American citizens while strengthening the economy and national security.
President Biden urged Congress to pass other significant bills currently pending in the legislative chambers. The bill garnered widespread support in the Democratic-majority Senate, with a 74-24 vote. It will provide funding for crucial federal agencies such as the Department of Homeland Security, the Department of Justice, the Department of State, and the Treasury Department, which oversees the Internal Revenue Service, until September 30th. However, the bill does not include funding for military aid to Ukraine, Taiwan, and Israel, as that is a separate bill ignored by the Republican-led House of Representatives. The business community expressed support for the passage of the spending bill and remains committed to working with policymakers to advance legislation that offers tax breaks for businesses and low-income families.
Senate leaders dedicated hours to negotiating amendments to the bill on Friday. Unfortunately, these amendments were ultimately rejected, causing a delay in the bill’s passage. Nevertheless, the White House Office of Management and Budget issued a statement expressing confidence in the bill’s prompt passage and assured federal agencies that they would not be ordered to shut down. While Congress managed to pass the bill, the deep partisan divisions within Congress were once again on display, with disagreement even among the Republican majority in the House of Representatives. Representative Marjorie Taylor Greene, a conservative firebrand, threatened to force a vote to remove Speaker Mike Johnson, a fellow Republican, for allowing the bill to pass. The 1,012-page bill allocates $886 billion in funding for the Department of Defense, which includes a pay raise for U.S. troops.
Johnson, who has employed this parliamentary maneuver over 60 times since taking over from Kevin McCarthy in October, relied on it once again on Friday to bypass hardliners within his party. This enabled the bill to pass by a vote of 286-134, with notably more support from Democrats than Republicans.
Over the past six months, the government has been funded by four short-term stopgap measures, illustrating the repeated brinkmanship that rating agencies have warned could harm the creditworthiness of a federal government incurring almost $34.6 trillion in debt.
Republican Senator Susan Collins, one of the main negotiators, referred to this legislation as a national security bill, with 70% of the funding allotted to national defense. This encompasses investments in military readiness, the industrial base, pay, and benefits for servicemembers, and support for our closest allies. Opponents have voiced criticism against the bill, citing concerns over its perceived exorbitant cost and the potential for inflation, as well as the potential loss of paychecks.
The most recent partial federal government shutdown, occurring from December 22, 2018, to January 25, 2019, took place during the presidency of Donald Trump. This record-breaking shutdown was caused by Trump’s unwavering insistence on securing funding for a border wall with Mexico, which proved to be an unattainable objective in negotiations with Democrats.
In the House, the new budget bill received votes from 185 Democrats and 101 Republicans. This outcome prompted hardline conservative Greene to propose a measure aimed at removing Johnson from his position, echoing a similar incident in October where hardliners successfully ousted McCarthy. McCarthy had faced criticism since June for reaching an agreement with Biden on fiscal 2024 spending, which was subsequently enacted on Friday.
Greene clarified that her motion to remove Johnson was mainly intended as a warning rather than an immediate action, formally filing the motion to vacate but refraining from actively pushing for an immediate vote.
Several Democrats announced their support for Johnson if he were to call for a vote on a $95 billion security assistance package for Ukraine, Israel, and Taiwan, a measure that had already received Senate approval. However, it appears unlikely that this proposal will be addressed in the near future, as lawmakers are preparing for a two-week break and will be leaving Washington.
Concerns regarding pockets of Republican resistance to providing additional funding for Ukraine have raised fears about the potential for Russia to severely undermine Kyiv’s defense capabilities. Furthermore, Johnson will face further challenges ahead, as two members of his caucus, Ken Buck and Mike Gallagher, are set to depart, reducing his majority to a precarious 217-213 within a month’s time. Johnson will need to exercise caution, as he can only afford to lose one vote from his party, with all Democrats opposing any given measure.