On Tuesday, September 5 Congress will return from its August recess. Members will have a full agenda, with Fiscal Year 2018 appropriations for federal agencies and programs, healthcare, and tax reform at the top of the list. Thus far in the FY 2018 appropriations process, the House and Senate have operated with different top-line budget numbers. The differing starting points, and House focus on increasing Defense spending at the expense of other programs, can be seen in the very different funding allocations put forward for agencies and programs of interest –see chart below. 

The chambers will need to settle their differences on the top-line budget in the days ahead, so that final spending bills can be passed and a government shutdown avoided. Work on appropriations for FY 2018 is further complicated by the president's threat to shutdown the government if funding is not provided to support a wall along the southern border. Leaders on Capitol Hill have pushed back on the suggestion of a government shutdown. Despite various challenges to the appropriations process, it’s already clear that Congress intends to reverse many of the cuts to R&D that were proposed by President Trump in the spring.

FY18 Appropriations Process Update – Dollars in thousands