Reports R48765

Overview of Continuing Appropriations for FY2026 (Division A of P.L. 119-37)

Published December 15, 2025 · Drew C. Aherne

Summary

On November 12, 2025, the President signed into law H.R. 5371—the Continuing Appropriations, Agriculture, Legislative Branch, Military Construction and Veterans Affairs, and Extensions Act, 2026—as P.L. 119-37. Division A of the act—the Continuing Appropriations Act, 2026—provides continuing appropriations through January 30, 2026, for agencies funded through 9 of the 12 regular appropriations bills. Divisions B-D of the act each include one regular, full-year appropriations act for FY2026, and Divisions E-H include various authorization extensions and other legislative provisions. This report examines only Division A, the “continuing resolution” (CR) portion of the act. The enactment of P.L. 119-37 ended a 42-day lapse in appropriations (a “funding gap”) lasting from October 1, 2025, through November 11, 2025. As none of the regular bills had been enacted prior to the start of FY2026, agencies funded through all 12 regular appropriations bills were required to cease operations of affected activities (a “government shutdown”), except in certain situations when law authorizes continued activity. For most programs, projects, and activities, the CR provides funding from November 12, 2025, through January 30, 2026 (an 80-day, or roughly 11.5-week, period) for agencies to continue operating at the rates, authorities, and conditions as provided for in the Full-Year Continuing Appropriations Act, 2025 (Division A of P.L. 119-4). The Congressional Budget Office (CBO) estimates that the CR provides an annualized amount of $1.560 trillion in discretionary budget authority for FY2026. In the event that one or more regular appropriations bills for FY2026, or an additional CR, are not enacted prior to the expiration of this CR, then another funding gap would occur beginning on January 31, 2026, that could result in a shutdown of most affected activities. The CR includes several provisions related to the period of the funding gap. The act specifies that it provides coverage for the entire period of the funding gap beginning on October 1, covers certain obligations incurred during it and provides for reimbursements to states or other federal grantees for costs incurred during the gap that would have otherwise been paid by the federal government. The CR also provides for backpay for federal workers for the period of the funding gap, reverses reductions in force (RIFs) initiated during it, and prohibits certain RIFs from being initiated for the duration of the CR. As has been typical with CRs, Division A of P.L. 119-37 includes several provisions that are specific to certain agencies, accounts, or programs. These include provisions—known as “anomalies”—that establish exceptions to the general funding and other provisions of the CR for certain accounts or activities, as well as provisions related to amending or extending existing law. The section of this report titled “Agency-, Account-, and Program-Specific Provisions” summarizes each of these provisions included in the CR. CRS experts for the subject matters covered in this report are indicated throughout in the accompanying footnotes. Contact information for these and other CRS appropriations experts can be found in CRS Report R42638, Appropriations: CRS Experts. For general information and historical data on CRs, see CRS Report R46595, Continuing Resolutions: Overview of Components and Practices.

Topics

Budget & Appropriations ProcedureContinuing AppropriationsContinuing Resolutions
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