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FY 2015 Appropriations Process in Question

Senate Majority Leader Harry Reid (D-NV) effectively ended debate for now on the FY 2015 Commerce, Justice, Science and Related Agencies (CJS) Appropriations after he was unable to reach an agreement with Republicans over amendments. The CJS bill funds NSF, Census, NIJ and other agencies. The CJS bill, which was being considered as part of a “minibus” including two other “non-controversial” funding bills, was largely seen as a bellwether for gauging the Senate’s appetite for passing funding bills before the end of the federal fiscal year on September 30th and before the November midterm elections.

This all comes just days after the Senate Appropriations Committee indefinitely postponed consideration of their FY 2015 Labor, Health and Human Services, and Education appropriations bill, which includes funding for NIH and Pell Grants. The Senate Labor-HHS-Education subcommittee approved the bill by a voice vote earlier this week and was expected that the full committee would hold a markup on today. There has been no information provided on whether the action will be rescheduled.

It seems that the fate of the FY 2015 appropriations process is unknown; it is unclear when or if either bill will be taken back up in the Senate. And it is becoming more and more clear that we will see a continuing resolution (CR) in September. We will keep you posted on these and other developments.

FY15 Appropriations Update

The unexpected primary election loss by House Majority Leader Eric Cantor (R-VA) could have repercussions on the FY15 appropriations process. Cantor will step down as Leader on July 31st and then serve the remainder of his term. The GOP will hold elections next week to determine who will succeed Cantor as Majority Leader, and that person may have a different opinion on how best to move forward – or not – with FY15 appropriations.

Cantor had been helpful to House appropriators by allowing them floor time with few restrictions on amendments so that they may advance their bills. This is due in large part because the current GOP leaders supported the December budget deal that established overall spending levels for FY15. However, if a more conservative leader emerges from the party’s right flank, which includes members who opposed the spending accord, the individual might have little interest and support for moving FY15 spending bills. Instead, the new leader may favor a continuing resolution (CR) that would keep current funding in place for FY15 and allow for new negotiations in the next Congress, when the GOP might control both the House and Senate.

Meanwhile, the Senate continues to move their FY15 spending bills through the process. Next week they hope to move a package of three largely non-controversial FY15 spending bills as part of a new strategy of clustering funding measures in an effort to save floor time and build bipartisan support. Commerce-Justice-Science, Transportation-HUD, and Agriculture are the three bills to be “clustered” next week.

Unfortunately, the Senate postponed further action on their Labor-HHS-Education measure yesterday. This tends to be the most controversial bill in the appropriations process because it funds many domestic programs that Republicans do not support.

While it is still too early to know for sure, it is looking more and more likely that Congress will approve a CR sometime before the end of the federal fiscal year on September 30th. They will then recess until after the mid-term elections and then return to DC for a lame duck session to complete the FY15 appropriations process – the fate of which will depend on the outcome of the November elections.

The Week Ahead

This week lawmakers continue to debate FY2015 appropriations, student loans, and VA reform.

Tonight, the House will vote on S. 1254, the Harmful Algal Bloom and Hypoxia Research and Control Amendments Act of 2013. The bill would authorize $20.5 million annually through 2018 for the National Oceanic and Atmospheric Administration to reduce the effects of algal blooms and hypoxia in bodies of water.

By mid-week, the Senate will turn its attention to a bill that would allow the nearly 40 million people with more than $1 trillion in student loans to refinance to current lower interest rates. The student loans bill is part of Senate Democrats’ “fair shot” 2014 agenda that included an unemployment insurance extension, minimum wage increase, and pay equity for women. But it is unlikely that enough Republicans will join Democrats to advance the bill, which is paid for by raising taxes on millionaires.

Read more about the week ahead at The Hill.

House Republican leadership has detailed a busy legislative agenda for the remainder of June in a memo sent from Majority Leader Eric Cantor (R-VA) to House Republicans sent Friday. The House will address issues at the Department of Veterans Affairs, three appropriations bills, three tax extender bills, and legislation to make gas and other energy prices cheaper. Notably absent from the agenda: any mention of immigration, an unemployment extension, or the expiring Export-Import Bank. Read the memo at Roll Call.

The Office of Federal Relations continues to advance our appropriations priorities, as well as monitoring legislative efforts on student loans.

Patent Reform Legislation Pulled from Agenda

Consideration of comprehensive patent legislation appears to be off the agenda for the year after Senate Judiciary Committee Chairman Leahy (D-VT) pulled it from his committee’s agenda on Wednesday. He cited frustration with unproductive negotiations as the reason for the turnaround. The measure had been slated for consideration by the committee today but less than 24 hours before the scheduled markup, Leahy announced that members again had failed to reach a compromise and that the bill would be put on hold indefinitely.

One of the biggest areas of disagreement was over fee shifting, the idea of making the losing party in patent lawsuits pay the winner’s legal fees. Earlier this month, Senate negotiators began to coalesce around compromise language from Senators Cornyn (R-TX) and Schumer (D-NY) that included milder litigation reforms. The research university community, along with other major patent holders, successfully advocated against the measure arguing that the bill would cause more problems for universities than it would solve.

It is uncertain if patent reform legislation will return to the congressional agenda this year.

U.S. Department of Education Announces $75 Million First in the World Competition

To spur innovation in higher education aimed at helping more students access and complete a college degree or credential, the U.S. Department of Education announced late last week the availability of $75 million in the First in the World (FITW) program. The grants will fund the development and testing of innovative approaches and strategies at colleges and universities that improve college attainment and make higher education more affordable for students and families. 

The FITW competition aims to increase postsecondary access, affordability, and completion for underrepresented, underprepared, or low-income students at institutions across the country. Colleges and universities are invited to submit proposals addressing key priorities around boosting enrollment and attainment for those students, or minimizing gaps between these students and their peers; improving transfer rates between community college and four-year institutions; increasing enrollment and completion rates among underrepresented, underprepared, or low-income students in Science, Technology, Engineering, and Math (STEM) programs; reducing time to completion; and/or increasing college affordability.

FITW is designed to spur a diverse array of innovative ideas and approaches in order to dramatically improve student learning and outcomes. Applications are available now and due by June 30th. All grants will be awarded by September 2014. The Department will post further information, including information about webinars and other technical assistance, on the FIPSE Web page.