The main intentions continue to be an extension into March, favored by Republicans, or funding for the remainder of the current fiscal year, favored by Democrats. Image: The Bold Bureau/Shutterstock.com
By: FEDweek StaffUPDATED: With agency funding authority set to expire next Friday (December 20) no strategy has yet emerged for how Congress will respond, although unlike in most past similar situations, alarm bells haven’t been sounding about a potential partial government shutdown if legislators fail to act on time.
Attention on Capitol Hill this week is mainly focused on the “must-pass” DoD authorization bill (see related story)—and, in the Senate, on confirming Biden administration judicial appointees while Democrats still control the Senate.
The main intentions continue to be an extension into March, favored by Republicans, or funding for the remainder of the current fiscal year, favored by Democrats. The former want to put more spending and policy decisions in the hands of the incoming Trump administration with both sides of Congress under GOP control, while the latter want to prevent it.
While Republicans will have a stronger hand starting in January, there have been numerous instances during this Congress with GOP control of the House where Democratic support has been needed to pass any budget measure there, given the hardline positions of about three dozen members of the House Republican caucus.
Although there is little expectation of a shutdown, OMB likely will soon follow the standard procedure of issuing a memo telling agencies to prepare to put their “shutdown contingency plans” into effect if there is a funding lapse. That includes a reminder of obligations to notify employees of whether they would remain on the job with pay (mainly applicable to self-funding agencies or those with multi-year appropriations); remain on the job without pay (mainly applicable to employees whose work involves health, safety or security); or be furloughed without pay.
Boost to Raise Unlikely Despite Calls for Parity
The lack of action on regular spending bills has once again created a scenario in which the White House’s recommendation for a federal raise in January is set to take effect by default, unless Congress sets a figure before year’s end. President Biden has indicated an intent to pay an 2 percent average raise, with 0.3 percentage points of that broken out as locality pay that would yield raises from slightly above to slightly below that average.
Meanwhile, a group of two dozen Democratic Senate and House members has asked Biden to boost the raise to 4.5 percent in the name of parity with most military personnel, who are set to receive a raise of that amount in January (some junior personnel are to receive 14.5 percent). That action would be within Biden’s authority but he has not indicated willingness to pay a higher figure in response to other requests this year from largely the same members of Congress.
While pay parity is commonly practiced there is no formal requirement for it, and agencies would have to fund any larger raise out of projected funding levels that many already have decried as inadequate. That would require them to compensate in other ways, potentially such as hiring freezes.
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Senate Bill Would Override Trump Orders against Unions
Report Describes Impact of Shutdown on Employees, Agencies
TSP Adds Detail to Upcoming Roth Conversion Feature
See also,
How to Handle Taxes Owed on TSP Roth Conversions? Use a Ladder
The Best Ages for Federal Employees to Retire
Best States to Retire for Federal Retirees: 2025
