After months of negotiation, Senate leaders announced a sweeping agreement to lift stiff spending caps and stave off a shutdown. Though the legislation faces resistance on the left and
right, Congress is expected to pass the bipartisan package before government funding runs out at midnight Thursday.
Highlights of the budget deal:
— Total cost of the package, including disaster aid and tax provisions, approaches $500 billion
— Raises spending levels by $300 billion over two years. The Pentagon would see a $80 billion boost for
fiscal 2018, and another $85 billion in fiscal 2019. Domestic funding would increase $63 billion in fiscal 2018, and $68 billion in fiscal 2019.
— Raises the debt limit through March 2019, through the midterm elections.
— Provides $89.3 billion in disaster recovery mostly targeted at Texas, Florida, Puerto Rico and the Virgin Islands. The package also includes billions for other disasters, including
wildfires and droughts, going back four years.
— Extends funding for the Children’s Health Insurance Program (CHIP) for an additional four years. The program will now be funded through 2028.
— Revives a bloc of three-dozen tax “extenders,” largely related to energy. Most are retroactive for one year.
— Restores eight tax breaks known as “Medicare extenders,”
including eliminating the Medicare funding cap on physical therapy, a long-sought health policy priority.
— Includes stopgap spending to avert a government shutdown before a midnight Thursday deadline.
