Summary
This week, we continue to track key developments regarding the slimmed down budget reconciliation package, expected to only include drug pricing provisions (WHG summary) and a two-year extension to ACA premium subsidy enhancements. The Senate Parliamentarian is expected to review the legislative text later this week to ensure it complies with the Byrd Rule, which prohibits the inclusion of “extraneous matters,” such as provisions that make “incidental” changes to spending or revenue. Given the procedures required for reconciliation, a Senate vote is anticipated the first week of August before recess.
Meanwhile, the House will vote on a six-bill appropriations minibus, which we view as a starting point for negotiations on FY 2023 government funding later this year. Due in part to time constraints and political factors, we anticipate Congress will pass a continuing resolution for FY 2023, level funding the government until at least after the midterm elections and possibly through early December. The Senate Appropriations Committee aims to release their FY 2023 bills by the end of July. Additionally, House Democratic leaders continue to keep the fight for abortion rights and gun safety top of mind.