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Provides money from the Treasury for FY2026 to keep members of the Armed Forces paid, and to pay certain Defense and Coast Guard civilian employees and contractors who directly support them, during any lapse in full-year or continuing appropriations. Payments under the law are retroactive to September 30, 2025, and available only until Congress either passes FY2026 appropriations (with or without these pay authorities) or until September 30, 2026.
The bill keeps personnel paid and programs operating through prospective FY2026 funding gaps and gives agencies a clear cutoff date, but shifts near-term costs to taxpayers, reduces congressional leverage over appropriations, and creates retroactive legal and planning risks for individuals, businesses, and agencies.
Military members, certain DoD and Coast Guard civilian employees (when certified), and contractors supporting military operations can continue to be paid during FY2026 funding gaps, preserving incomes and operational continuity.
Federal agencies receive temporary funding and authorities immediately through Sept 30, 2026, allowing programs to continue and giving agencies a clear cutoff date for planning.
Expenditures made under these temporary authorities will be charged to the final enacted FY2026 appropriation, ensuring payments are reconciled to intended accounts once Congress acts.
Taxpayers may face increased near-term federal outlays and pressure on the FY2026 budget or deficit because the Treasury covers pay and other payments during funding gaps.
Programs funded under this Act could be abruptly defunded if final FY2026 appropriations omit those purposes, disrupting services, terminating contracts, and creating transition/restart costs for governments and taxpayers on Sept 30, 2026.
The law's retroactive effective date (Sept 30, 2025) could impose retroactive tax, penalty, or compliance obligations and invalidate relied-upon legal/administrative positions, raising litigation risk and administrative burdens for individuals, businesses, and agencies.
Introduced October 22, 2025 by Daniel Scott Sullivan · Last progress October 22, 2025