One issue still to be finalized in the budget process is the size of the January 2006 federal pay raise. The Bush administration favors a lower raise than the 3.1 percent amount working its way through Congress. President Bush did not issue an “alternative” raise recommendation in August as is his prerogative under federal pay law, meaning that the amount he supports by default is 2.1 percent—even lower than the 2.3 percent he recommended earlier this year in his fiscal 2006 budget proposal. The House already has approved a 3.1 percent raise as part of the annual Transportation-Treasury Appropriations bill and the Senate version, which is pending a floor vote, also contains that amount, which would mirror the increase on tap for military personnel.