Overview
Note: Our appropriations newsletter is usually on hiatus during recess, but fast-moving Department of Homeland Security (DHS) funding negotiations and shifting political dynamics prompted this special, shorter edition. We also note that the White House dropped its fiscal year (FY) 2027 budget request this morning, with more details expected from agencies in the coming weeks.
More DHS Drama. The DHS shutdown has now stretched to 49 days, surpassing all previous partial shutdowns to become the longest in history. While the political dynamics remain fluid, developments over the past week — most notably President Trump's midweek Truth Social post calling for a two-track plan akin to the one the Senate passed last Thursday — have raised hopes for ending the stalemate.
To recap: Last Thursday, the Senate approved its fiscal year (FY) 2026 DHS funding bill. The measure funded most of the department but excluded Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP). That omission drew immediate criticism from House conservatives, who argued it amounted to "defunding law enforcement" and refused to advance the bill, passing instead a 60-day continuing resolution for DHS.
This week, President Trump became more directly involved, publicly endorsing the Senate's two-track approach and instructing Congress to pass a separate reconciliation bill covering CBP and ICE by June 1. His endorsement prompted Senate Majority Leader John Thune (R-SD) and House Speaker Mike Johnson (R-LA) to issue a joint statement backing the plan — a notable reversal for Johnson, who had strongly opposed it just a week earlier. Majority Leader Thune framed the shift as a pragmatic recognition of the political realities, noting Democratic resistance to funding immigration enforcement without added oversight measures.
Yesterday morning, the Senate advanced the DHS bill by unanimous consent. Later in the day, House Republicans held what participants described as a contentious conference call. Many members voiced frustration over the leadership's change in position, and several suggested delaying passage of the Senate bill until reconciliation is underway or completed — a strategy that could keep DHS funding stalled for weeks. Whether the White House would accept such a delay is still unclear.
Speaker Johnson could recall members for a vote during next week's planned recess or wait until the House reconvenes the week of April 13. Republicans will push to hold on DHS funding until they see notable progress on a reconciliation bill. Leadership could also choose to move the bill under suspension of the rules, which would require two-thirds support and make Democratic votes essential.
Accelerated Reconciliation Timeline. President Trump's June 1 deadline for a reconciliation bill to fund ICE and CBP compresses a process that last year took roughly five months. The reconciliation process will likely attract multiple policy add-ons, from the SAVE America Act to additional defense funding. We would also expect discussion from budget hawks about requiring offsets for the package. The combination of a shortened timeline, intra-party disagreements, and complex reconciliation rules presents a challenging path forward, but Trump's direct engagement increases both urgency and political pressure on GOP leadership. We will have much more on this in the coming weeks.
