U.S. House Appropriators release minibus funding package
Key Takeaways
On January 11, the U.S. House Appropriations Committee released a “minibus” funding package for the Financial Services-General Government and the National Security-Department of State funding bills ahead of the January 30 federal funding deadline.
What are the Key County Takeaways in the Minibus?
The Financial Services and General Government (FSGG) Fiscal Year (FY) 2026 minibus appropriations package proposes funding for more than $26.5 billion to federal departments and independent agencies responsible for fiscal management, elections, financial regulation, workforce administration, small business support and telecommunications policy. The National Security, Department of State, and Related Programs Appropriations Act, 2026 portion of the package allocates approximately $45 million, and the non-defense portion of the allocation is $26.3 billion.
Collectively, the bill provides over $28 billion in discretionary funding, supporting core federal operations that directly affect state and local governments, including economic development financing, taxpayer services, election administration, broadband oversight and intergovernmental coordination. The majority of the package applicable to counties and local governments are contained within the FSGG. Below is an overview of the key takeaways for counties.
Overview of Financial Services and General Government Appropriations Bill
Counties rely on many of the programs funded through FSGG appropriations bill to administer elections, partner on community and economic development initiatives, assist residents with taxpayer services and coordinate broadband and telecommunications policy. The bill reflects continued federal investment in these core functions while maintaining oversight and accountability requirements.
- U.S. Department of Treasury: $364M
- Supports Treasury functions that affect state and local fiscal administration, including policy development, intergovernmental coordination and technical assistance to state, local and territorial governments.
- Includes policy provisions related to federal financial oversight and reporting that may affect county compliance and grant administration.
- Community Development Financial Institutions (CDFI) Fund: $324M
- Requires not less than 10 percent of awards to support investments serving persistent poverty counties.
- Extends the CDFI Bond Guarantee Program through December 31, 2027
- Sets a $500 million cap on bond to guarantee commitments.
- Counties partner with CDFIs to local and regional economic development, affordable housing, and infrastructure and small business financing.
- Election Assistance Commission (EAC): $68.9M
- Funding supports election security, equipment modernization, cybersecurity and voter access.
- Certain funds remain available through FY 2027, increasing flexibility for local implementation.
- Federal Communications Commission (FCC): $390.2M
- Directs the FCC to review the challenge process associated with the National Broadband Map to ensure accuracy of locations and reported coverage. Counties support an accurate national broadband map that allows for challenges of overstatements of coverage.
- Directs the FCC to ensure all eligible carriers are routing all 988 calls and texts to the 988 Hotline effectively, and to submit a report to Congress within 60 days detailing its findings. Counties support effective access to the 988 Suicide & Crisis Lifeline.
- Internal Revenue Service: $3.04B
- Expands direct hire authority to reduce tax return backlogs.
- Requires enhanced reporting on major IRS IT investments.
- Emphasizes improved IRS help-line services, particularly for victims of identity theft and tax-related fraud.
- Prohibits Treasury and IRS from issuing new or revised broad guidance redefining the standard for 501(c)(4) social welfare organizations.
- This provision directly affects county residents, supports county-administered VITA programs, and impacts county-affiliated nonprofit and civic organizations.
- Office of Personnel Management (OPM): $167.5M
- The proposed bill provides $167.5M in salaries and Expenses and transferred retirement and insurance administrative funding in the amount of $214.6M.
- While primarily federal, OPM programs intersect with intergovernmental workforce systems and benefits administration.
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