US House Votes Again To Continue Federal Government Funding At FY09 Levels
30 October 2009 - 5:12AM
Dow Jones News
House lawmakers Thursday approved a measure continuing federal
government funding at fiscal 2009 levels until mid-December, when
Democrats hope the debate on a health care overhaul will have been
completed.
Without the extension, the federal government would be forced to
shut down Sunday at midnight. It is the second continuation of
federal government funding at last year's levels. The move was made
necessary because the U.S. Senate has still been unable to complete
its appropriations work from fiscal 2009.
The House vote was 247-to-178, with the majority of Republicans
voting against the legislation.
Congress must pass 12 spending bills each year to keep the
various departments and agencies of the federal government running.
In fiscal 2009, which ended Sept. 30, it fell short of this
mark.
This is in no small part due to the focus on piecing together
health care legislation, which has dominated lawmakers' attention
for several months.
The Senate must still take up the bill by the end of the week to
avert a federal government shut down.
The legislation also continues current elevated federal home
loan guarantee levels through 2010. In response to the housing
crisis, the federal government raised the levels of loans that
could be guaranteed by Freddie Mac (FRE) and Fannie Mae (FNM) and
other federal housing agencies. Those levels would revert to their
lower caps by the end of the year without action by Congress to
continue it.
The Treasury issued a statement Thursday urging Congress to
continue the elevated loan guarantees.
The bill also extends until mid-December the highway bill, which
sets the formula for federal reimbursement of state road and bridge
construction projects.
The House and Senate are divided over whether to proceed with
multi-year and costly legislation to reauthorize the highway
program, or to opt for a shorter term measure to delay the more
comprehensive legislation.
Both the Obama administration and the Senate want to delay the
longer reauthorization until after the 2010 election.
The various continuations were attached to one of the 12-must
pass spending bills, one funding the Interior Department and
related agencies in fiscal 2010. That bill allocates $32.2 billion
in spending for initiatives including a program to clean up The
Great Lakes and funding to combat forest fires.
Many House Republicans voted against the measure citing concerns
over the fact that it increases the budgets of the federal agencies
it covers by 17% compared to fiscal 2009.
"The bottom line for me is the conference agreement simply
spends too much money," Rep. Michael Simpson, (R., Idaho), said on
the House floor.
-By Corey Boles, Dow Jones Newswires; 202-862-6601;
corey.boles@dowjones.com