Sponsor
Rand Paul
Senator · R-KY
Senator · R-KY
The bill prevents immediate federal shutdowns and protects mandatory and nutrition benefits, at the cost of temporarily capping many discretionary programs near prior-year levels and creating operational, timing, and accountability trade‑offs for governments and agencies.
Federal employees, state and local governments, and the public continue receiving federal programs and services at the start of a fiscal year because agencies can keep operating instead of shutting down.
Low-income individuals and recipients of nutrition/entitlement programs (e.g., SNAP/WIC, mandatory payments) keep receiving their benefits at needed levels because those programs are exempt from the temporary 94% cap.
Taxpayers, small businesses, and state/local governments face reduced sudden service interruptions because most discretionary programs are maintained near prior-year funding (up to 94%), preserving program continuity and predictable administration.
State and local governments, nonprofits, and small businesses could see reduced services, delayed projects, or slower grant activity because non-exempt programs are capped at 94% of prior-year funding.
Taxpayers may experience weaker congressional accountability because automatic temporary funding can reduce pressure on Congress to pass final appropriations on time.
Programs that need early-year lump-sum or front-loaded payments (such as seasonal grants or certain infrastructure programs) — affecting state/local governments and nonprofits — could face operational challenges because the bill prohibits front-loading.
Based on analysis of 2 sections of legislative text.
Creates an automatic continuing appropriation that funds unfunded accounts at up to 94% of the prior-year rate from the first day of a lapse, with exemptions for entitlements and nutrition programs.
Official title: Amend title 31, United States Code, to provide for automatic continuing resolutions.
Introduced February 10, 2025 by Rand Paul · Last progress February 10, 2025
Creates an automatic continuing appropriation that kicks in at the start of a fiscal year if Congress has not enacted a regular appropriation or another continuing resolution for a specific account. The automatic funding provides "such sums as may be necessary" to operate programs at up to 94% of the prior-year rate (with certain technical comparisons), preserves prior-year apportionment shares and terms, and exempts mandatory entitlement payments and Food and Nutrition Act activities from the 94% cap so they continue at required levels. Funds under the automatic authority are available from the first day of the lapse until a regular appropriation or continuing resolution is enacted, may not be used to front-load payments to circumvent final appropriations, and expenditures made under the authority are charged to the applicable annual appropriation once that appropriation or continuing resolution becomes law.