Negotiations to Raise Caps Inevitable

Senate Majority Leader Indicates
Sequestration Will Be Lifted

Senate Majority Leader Mitch McConnellSenate Majority Leader Mitch McConnell (R-KY) indicated during a press conference on September 16, 2015 that negotiations on a budget deal that would lift sequestration were likely.

“We are inevitably going to end up in negotiations that will crack the Budget Control Act once again. There’s a lot of pressure in Congress to spend more; the administration certainly wants to spend more.”

Senator McConnell said.

Congress approved a “clean” short-term continuing resolution (CR) to keep government programs funded until December 11th. A CR should give Congress more time to negotiate a new budget deal and pass annual appropriations.

“If the eventual 2016 appropriations legislation—full-year CR or otherwise—does not include the necessary increases, tens of thousands of low income families could lose their housing assistance.”

The CBPP says.

Meanwhile, President Barack Obama has said he would veto a CR after December 11th.

A year-long CR, as some have suggested, would harm federal programs significantly. As the Center on Budget and Policy Priorities explains in a September 15 paper, a year-long CR would lock in low sequestration levels and fund non-defense programs at their lowest level in the last 50 years.

Such a CR would require non-defense program cuts while allowing higher defense spending, which “abrogate the parity principle that underlies sequestration and the Budget Control Act.” The White House has consistently indicated that the President will veto FY16 appropriations bills that are based on the sequester figures.

United under the “Caps Hurt Communities” campaign, housing, homeless, and community development advocates made calls to Congressional offices on September 15 and 16 urging their Representatives and Senators to lift the sequester spending caps and fully fund affordable housing and community development programs in FY16.

The Caps Hurt Communities campaign, coordinated by the Campaign for Housing and Community Development Funding, has scheduled a webinar on the importance of raising the spending caps, avoiding a year-long CR, and working with local media to explain the harmful impacts of both the caps and a year-long CR. The webinar will take place on Monday, October 19, 2015 at 3:00 p.m.

Click here to register for the October 19 webinar.

Click here to read the CBPP paper.

Click here to visit the Caps Hurt Communities site.