Congress strikes deal on $100B in disaster aid and punting funding into March, House GOP leaders say

Congressional leaders have struck a bipartisan deal to push the government funding deadline to March 14 and deliver more than $100 billion in emergency aid for disaster relief, House Republican leaders told their conference Tuesday morning.

The year-end package, which will be the last major legislation Congress clears this year, is expected to include a bill to restrict U.S. investment in China, an extension of expiring health programs, a one-year extension of the farm bill and $10 billion in economic assistance to farmers. The bill will also OK year-round and permanent E15 ethanol sales nationwide, according to four people granted anonymity to discuss the matter.

Speaker Mike Johnson said text of the bill could be released Tuesday, and he is not promising to allow lawmakers a full 72 hours to review the measure ahead of passage, according to two people who attended the closed-door meeting.

If the House passes the package toward the end of the week, it will land in the Senate just ahead of the Friday night government shutdown deadline. On that side of the Capitol, Majority Leader Chuck Schumer said negotiations are still ongoing.

“Obviously we’re getting closer to the Dec. 20 deadline, so time is of the essence for Republicans to reach an agreement with us that we can act on quickly,” he said Tuesday morning.

While a brief funding lapse is still possible, an agreement to fast-track final passage in the Senate is likely since lawmakers are eager to leave town for the holidays.

The inclusion of a policy that would approve increased ethanol sales is a major win for Republicans in corn states, and a large group of GOP senators strongly backed the move, helping Midwest Republicans in the House push the measure into the package. But many House conservatives, who had urged Johnson to forgo the policy and overwhelmingly oppose ethanol subsidies, are livid about its inclusion.

Jordain Carney and Anthony Adragna contributed to this report.