2025-11-25 07:36:10
End of Year Challenges with Glimpses of Reform on the Horizon for 2026
Government Shutdown and Proposed Policies
On November 12, 43 days into a government shutdown, the House passed a bill negotiated by the bipartisan Senate, to end the government shutdown by extending current funding until January 30, halting the Administration’s “reduction-in-force” layoffs and ensuring back pay for furloughed employees. The new continuing resolution includes Senate versions of full-year appropriations bills for Agriculture, Veterans Affairs and the legislative branch, and a one-year extension of the Farm Bill. The Supplemental Nutrition Assistance Program (SNAP) would be fully funded under the agriculture appropriations measure, and the measure restores the full borrowing cap of $30 billion for the Commodity Credit Corporation. Government funding, outside of these three appropriations, is funded through January 30, including the U.S. Department of Health and Human Services (HHS), which oversees the Low-Income Home Energy Assistance Program (LIHEAP).
While Republicans agreed to hold a December vote on a Democrat Affordable Care Act (ACA) subsidy extension, the overall agreement did not incorporate key Democrat demands, such as extending ACA subsidies, stopping rescissions and impoundments or restoring OBBB Medicaid funding. Consequently, the deal is deeply unpopular with progressives who had hoped for greater GOP concessions. Furthermore, the prospect for the ACA subsidy vote is low because it will require a 60-vote threshold, rather than the 50- vote threshold Democrats had sought, and even if it passes the Senate, it is not guaranteed to pass a vote in the House. The agreement took place against a critical context where air traffic control capacity reached critical levels, leading to ordered flight reductions and more than 50 percent of flights being delayed or canceled, and the Supreme Court delayed the restoration of SNAP benefits pending appeal.
Despite the shutdown, EMA remained busy on Capitol Hill and with the administration. On October 29, Sen. Roger Wicker (R-MS), along with Sens. Marsha Blackburn (R-TN), Katie Britt (R-AL), Bill Cassidy (R-LA), Cindy Hyde-Smith (R-MS), Tom Cotton (R-AR) and Tim Scott (R-SC) sent a letter to members of the Federal Motor Carrier Safety Administration (FMCSA), Derek Barrs and Chief Counsel Jesse Ellison, urging FMCSA to implement a preemptive and proactive policy for hours-of-service (HOS) exemptions to ensure the seamless delivery of essential motor fuels during major disasters, hurricanes and regional emergencies. EMA has been working closely with these Senate offices and FMCSA to advance this priority on behalf of our members.
Looking to 2026 – Surface Transportation Reauthorization
The most recent surface transportation reauthorization was included in the much broader Infrastructure Investments and Jobs Act (IIJA); it expires on September 30, 2026. Throughout 2025 the House Transportation and Infrastructure Committee held hearings to examine different aspects of our highway, transit and rail transportation programs and ensure that Committee Members gather information in preparation for the development of this legislation. Some objectives that have been discussed in relation to a new surface transportation bill are addressing technological developments and future infrastructure needs over the next 20 years, while balancing these large-scale needs with limited funds. During a conversation between House Transportation and Infrastructure Committee Chair Sam Graves (R-MO) and NECRA CEO Jim Matheson some solutions were discussed to mitigate the funding challenges. Permitting reform was raised as a way to reduce project delays and cost escalations. They also discussed how EVs not having to pay fuel taxes reduces state’s funding for transportation infrastructure. Chair Graves highlighted an idea for an EV and Hybrid annual registration fee, that could help offset the loss of tax revenue from these vehicles.
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