FY2027 Appropriations Update
August 10, 2026
When Congress returns from August recess, they will have about 15 legislative days left to fund the government before Fiscal Year (FY) 2027 begins on October 1. Before they left DC, both chambers passed their own versions of a continuing resolution (CR) to keep the government funded at FY26 levels until after the November election. The House version, passed on July 21, funds the government until December 4 but doesn’t include necessary technical provisions for CRs known as anomalies. The Senate version, passed on August 8, funds the government through December 11, includes the anomalies and temporarily blocks the Office of Management and Budget (OMB) from finalizing its controversial revisions to the Uniform Grant Guidance while the CR is in place.
The House will return first on August 31 and is expected to consider the Senate version now that it has support from the White House. Nothing is ever guaranteed with Congress, but all signs point to a CR through December. The bigger question is what happens next: Will Congress finish FY27 funding during the lame duck or pass another CR and let the 120th Congress figure it out in January? The election results will heavily influence that decision. Either way, district leaders shouldn’t expect to know how much funding their district will get for SY2027-28 until at least mid-December.
One notable complication for FY27 is the Senate’s inability to put forward bipartisan proposals as they traditionally do. Any final spending bill must have 60 votes in the Senate, which requires some bipartisan support to become law. As a result, the Senate usually develops a bipartisan proposal that leads the negotiations between chambers as they create a final spending package. This year, disagreements between Senate appropriations leaders have stalled that process. Without a bipartisan Senate proposal serving as the foundation for negotiations, lawmakers will have fewer areas of consensus to build a final package, further complicating negotiations and increasing the likelihood of another short-term funding measure.
While Congress will not take further action on FY27 funding during August recess, this is an important time for district leaders to connect with their members of Congress while they are back home. District leaders should share how federal dollars support students and schools and urge lawmakers to protect federal investments in education when they return to FY27 negotiations this fall.
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