119-hr-6500119th CongressWALLET

Continuing Appropriations and Extensions Act, 2027

Sponsored By: Representative Smith, Jason [R-MO-8]

Became Law

Summary

Keeps federal funding at FY2026 levels through the earlier of enactment of FY2027 appropriations or December 11, 2026. It uses targeted apportionments, limited augmentations, rescissions, and operational rules to sustain programs and avoid service gaps while Congress completes FY2027 bills.

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  • Families and housing: Prevents rental assistance terminations during 2026 funding gaps and expands emergency housing vouchers. HUD unobligated balances are rescinded and replaced, and a $6.3 million Flex Sub loan appropriation is available through September 30, 2029.
  • Veterans and health: Extends a broad set of Department of Veterans Affairs health, housing, and benefits authorities through December 11, 2026 and sets funding mechanics for the October 1 to December 11, 2026 extension period.
  • Defense and procurement: Bars use of the continuing funds to start new production or raise production rates above FY2026 levels and carries forward shipbuilding cost‑overrun funds within per‑program caps. It also authorizes up to $2.9 billion in Defense‑wide procurement funding at an operations rate for national security systems.

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Bill Overview

Analyzed Economic Effects

23 provisions identified: 16 benefits, 4 costs, 3 mixed.

One-time payments to two families

The law pays $174,000 to Alfredia Scott, widow of former Representative David A. Scott. It also pays $174,000 to the heir at law of former Senator Lindsey O. Graham. These are one‑time payments.

Faster funding for disasters and wildfires

FEMA can quickly use Disaster Relief Fund money for response and recovery under the Stafford Act. Wildfire suppression funds at Interior and the Forest Service can also be released up to normal operating rates. These flexibilities run through December 11, 2026 and help speed aid to communities after fires, storms, and other disasters.

Targeted defense procurement flexibility

Defense‑Wide procurement can be released up to $2.853 billion for National Security Systems. The Navy can fund prior‑year cost growth on named ship programs, each capped at listed amounts. Two earlier provisions swap "reimbursements" for "advances," changing how certain payments are made.

Highways and transit funding extended

Surface transportation programs continue from October 1 to December 11, 2026. States and transit agencies receive funding equal to 72/365 of their 2026 levels and use the same rules. Trust fund spending for highways, boating, and tank cleanups runs to December 12, 2026. Older FTA capital grants from 2018–2021 can be liquidated through fiscal year 2031, and some unused highway funds are re‑issued for use through September 30, 2027.

More support for veterans and caregivers

The law adds money for veteran services through December 11, 2026. It provides $130,191,781 for supportive services to very low‑income veteran families in housing. It funds adaptive sports with $3,156,165, and rural mental health outreach with $236,713. It also adds $1,972,603 for mental health support for family caregivers of veterans, and $986,302 for grants that help homeless veterans with special needs.

More SBA loan capacity through December

The SBA can apportion more funds to meet higher demand for 7(a) guarantees and related small‑business lending. This applies from enactment through December 11, 2026. It can help more small firms secure SBA‑backed financing.

Planned grant rule rewrite is paused

A planned update to the Uniform Guidance for federal awards does not take effect through December 11, 2026. Agencies cannot issue or finalize that rule, or any similar rule, during this period. This keeps current grant and audit rules in place for governments, universities, nonprofits, and other recipients.

More money for Calfed Bay-Delta projects

Authorized funding for the Calfed Bay‑Delta program increases to $40 million during this law’s covered period. The money supports water and ecosystem projects through December 11, 2026.

Rural flights and FAA research continue

Essential Air Service subsidies keep small and rural flights running through December 11, 2026. Unused FAA research funds are re‑issued and remain available through September 30, 2027 for the same research work.

More funds to run IHS clinics

Indian Health Service gets $75,774,000 and Indian Health Facilities get $8,296,000 to staff and operate facilities opened, renovated, or expanded in 2022, 2026, and 2027. This funding runs through December 11, 2026 and supports care at those locations.

HUD funds continue; small-property debt relief

HUD can use prior‑year unobligated funds during fiscal year 2027 to keep programs moving. It also re‑issues canceled fair housing and homeless assistance balances so the same money stays available through September 30, 2027. HUD may fully satisfy Flex Sub loan debts for eligible small, nonprofit‑owned assisted properties from 2027 to 2029. To qualify, a property must have 1–99 assisted units, at least $1,500,000 unpaid principal, nonprofit ownership, a 2025/2026 REAC score of 90+, and a 2025/2026 management score of “above average” or “superior.”

Chemical fees end December 11, 2026

The law ends a Toxic Substances Control Act fee authority on December 11, 2026, unless Congress renews it. After that date, affected chemical industry fees under that authority stop.

Key security and cyber powers extended

Defense Production Act authority stays active until December 11, 2026. Cyber threat‑information sharing authority also continues through that date. A related fiscal‑year reference in prior law is updated to apply in fiscal year 2027.

Nuclear security and waste projects continue

The law prevents shutdowns in key nuclear security projects and studies. It keeps design‑build work and site upgrades moving at named National Nuclear Security Administration locations. It also allows long‑lead procurements for the WIPP hoisting project, with notice to Congress after each use.

VA hospital copays stay in place

The VA keeps its authority to collect hospital and nursing home copays through December 11, 2026. Veterans who owe copays continue to pay under current rules until that date.

Customs fees for importers extended

The law extends customs user-fee authority through March 31, 2032. Businesses that import goods keep paying the merchandise processing fee and related user fees until that date. Rates and formulas stay the same. The change takes effect upon enactment.

D.C. can spend its 2027 budget

The District of Columbia may spend its local funds at the rate set in its Fiscal Year 2027 Local Budget Act. This applies to programs listed in the 2026 DC appropriations, subject to the law’s general funding cutoff rules.

More Medicaid funds for N. Mariana Islands

Medicaid funding for the Northern Mariana Islands increases by $21.4 million for services in fiscal year 2026. The money remains available until spent and counts for 2026 services even if paid in 2027.

No pay raise for Congress

Members of Congress do not receive a cost‑of‑living pay increase while this law is in effect. The freeze lasts through December 11, 2026.

Medicare Improvement Fund cut $21 million

The Medicare Improvement Fund is reduced from $2.062 billion to $2.041 billion. This trims the fund by $21 million.

Funds to host G7 finance meetings

Treasury can use departmental funds to host the G7 Financial Summit and related activities. This supports planning and operations for meetings proposed in the fiscal year 2027 President’s Budget.

Flood insurance dates aligned to law

Two National Flood Insurance Program rules now use this law’s end date instead of September 30, 2026. If the law took effect after September 30, 2026, the change applies as of that date. This aligns NFIP timing with the current funding window.

Patent fee authority date set

The law sets December 11, 2026 as the key date for USPTO fee‑setting authority. This clarifies timing for patent filers and businesses that plan around future patent fees.

Sponsors & CoSponsors

Sponsor

Smith, Jason [R-MO-8]

MO • R

Cosponsors

  • Rep. Smith, Adrian [R-NE-3]

    NE • R

    Sponsored 12/9/2025

Roll Call Votes

All Roll Calls

Yes: 889 • No: 112

house vote • 9/1/2026

On Motion to Suspend the Rules and Concur in the Senate Amendments

Yes: 370 • No: 48

senate vote • 8/8/2026

On Passage of the Bill H.R. 6500

Yes: 90 • No: 6

senate vote • 8/3/2026

On Cloture on the Motion to Proceed H.R. 6500

Yes: 89 • No: 4

house vote • 1/12/2026

On Motion to Suspend the Rules and Pass, as Amended

Yes: 340 • No: 54

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