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Congress Passes Continuing Resolution, Averting Government Shutdown

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Impact of Medicaid DSH delay on rural hospitals

Congress Averts Shutdown: Continuing Resolution Funds Government Through March 2025

In a crucial move to prevent a government shutdown, the U.S. Congress successfully passed a second Continuing Resolution (CR) on December 20, extending federal spending until March 14, 2025. This bipartisan effort, approved by overwhelming majorities in both the House and Senate, came just hours before the previous stopgap measure was set to expire.

Key Takeaways

  • The U.S. House and Senate passed H.R. 10545, a second Continuing Resolution, on December 20, 2024.
  • This CR extends federal spending and prevents a government shutdown through March 14, 2025.
  • The measure passed with strong bipartisan support: 366-34 in the House and 85-11 in the Senate.
  • A prior version of the CR, which included some county priorities like workforce and reentry services, was ultimately rejected in favor of a pared-down stopgap.

What’s In The Continuing Resolution?

The Continuing Resolution includes several key provisions of interest to counties and the broader public:

  • Supplemental Funding: Over $100 billion in supplemental funding for critical federal disaster programs, including $29 billion for the Federal Emergency Management Agency’s (FEMA) Disaster Relief Fund.
  • Farm Bill Extension: A year-long extension of the 2018 Farm Bill through September 30, 2025, coupled with $10 billion in economic assistance for agricultural producers facing hardship due to rising input costs and decreasing prices.
  • Medicaid DSH Program: Delays payment reductions for the Medicaid Disproportionate Share Hospital (DSH) Program, which is a vital source of supplemental funding for county-owned hospitals, particularly in rural areas.

Notable Exclusions

It is important to note that the CR does not reauthorize Secure Rural Schools (SRS). This program has historically provided funding to counties impacted by reduced timber harvests since 2000, and its exclusion marks a significant point for affected regions.

Sources

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