Congress unveils $80 billion funding package amid DHS funding standoff

Lawmakers in the House and Senate unveiled a new funding package Sunday night totaling about $80 billion in federal spending, but questions still loom about avoiding another government shutdown at the end of this month.

The package combines two of the 12 annual appropriations bills passed by congress into a so-called “minibus.” It covers State Department and national security related funding, as well as federal financial services and general government operations.

However, funding for the Department of Homeland Security (DHS) was notably left out of the package — which was expected to be part of the legislation earlier this month.

This comes as Democrats threaten to defund the Department of Homeland Security following an incident in Minneapolis in which an ICE agent shot a US citizen in her car. Homeland Security Secretary Kristi Noem and other GOP officials have accused the woman of wrongdoing and hitting the agent with her car, while Democrats accuse Immigration and Customs Enforcement of reckless and unjustified use of force.

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While a DHS funding bill only needs a simple majority to pass in the House, any spending legislation needs at least 60 votes in the Senate — meaning Democratic support is crucial to its passage.

The package releases just over $76 billion in federal funds and is expected to get a vote in the House sometime this week.

The State and Homeland Security bill includes $850 million for the First American Opportunity Fund, which is intended to give the Secretary of State funding to respond to potentially unforeseen circumstances.

Both Republicans and Democrats touted various victories in the legislation, with a summary prepared by Republicans on the House Appropriations Committee stating that the bill supports “President Trump’s America First foreign policy by eliminating wasteful spending on DEI or wake-up programming, climate change mandates, and divisive gender ideologies.”

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Democrats said the bill “supports women globally” by “protecting bilateral funding for Planned Parenthood and UNFPA” and pointed to $6.8 billion for a new account that “supports activities previously funded under development assistance.”

The bill also provides millions in security aid to Israel and Taiwan, among other global partners around the world.

The US Capitol Building in Washington, November 11, 2024. (Stephanie Reynolds/Bloomberg via Getty Images)

The latest bill provides just over $13 billion to the U.S. Treasury for the remainder of fiscal year 2026, while also including a provision that prevents the IRS “from targeting individuals or groups for exercising their First Amendment rights or ideological beliefs,” according to Republicans.

It also provides $872 million for the Executive Office of the President and $9.69 billion in discretionary funding for the federal judiciary.

“Through this package, we advance President Trump’s vision of a golden age defined by security, responsibility, and growth,” House Appropriations Committee Chairman Tom Cole, R-Oklahoma, said in a statement. “Our financial system will be protected, small businesses and entrepreneurs will be supported, and consumer freedom will be protected.”

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“We are protecting our nation on every front – strengthening cyber defenses and dismantling the financial and criminal networks that enable terrorism, drug trafficking and bad actors. Guided by peace through strength, we are realigning our diplomacy and national posture to deter threats before they reach our shores.”

The ranking member of the House Appropriations Committee, Rep. Rosa DeLauro, D-Conn., said the bill “continues Democrats’ rejection of the severe cuts proposed by the Trump White House and Republicans in Congress.”

A source familiar with the discussions told Fox News Digital that negotiators aim to include the DHS funding bill in a separate minibus that also covers defense spending, the Labor Department and the Department of Transportation, among other agencies.

Current federal funding levels expire after January 30. Any potential shutdown would only be partial at this point, given that Congress is on track to pass at least half of the 10 spending bills by then.

Senate Appropriations Committee member Sen. Chris Murphy, D-Conn., did not rule out a shutdown due to the DHS funding crunch in comments to NBC News’ “Meet the Press” on Sunday.

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“[Republicans] Control the House of Representatives, the Senate, and the Presidency. “If they don’t want to work with Democrats and shut down the government, that’s up to them,” Murphy said.

But House Speaker Mike Johnson, R-La., told Fox News on Friday that he did not believe there would be a shutdown but criticized Democrats’ threats to DHS funds.

“I’m concerned about that, and we shouldn’t be reducing Homeland Security funding at a dangerous time,” Johnson said. “We need public officials to allow law enforcement to do their jobs.”

When asked if leaders could prevent a lockdown, he said: “I think we will.”