08.01.24

Senate Committee Approves FY 2025 Financial Services and General Government Appropriations Bill

Washington, D.C. – The Senate Committee on Appropriations today approved the Fiscal Year (FY) 2025 Financial Services and General Government (FSGG) Appropriations Act, providing support for the administration of the tax code, judicial branch operations, prevention of fraud against consumers and investors, and construction, leasing, and maintenance of most federal office space.

The measure, which was advanced by a unanimous vote of 27-0, provides $21.2 billion in discretionary funding, including $48 million in defense funding and $21.1 billion in non-defense funding.  The bill also includes $492 million in funding provided through the disaster relief cap adjustment.   

"This bill covers a wide swath of federal government funding issues—from anti-terrorism efforts at Treasury to the operation and protection of the Judicial Branch,” said Senator Collins.  “Given increased threats to Supreme Court Justices in recent years, this bill provides increased funding for residential security for justices.”

“I’m pleased to see this legislation advance out of Committee after a productive, bipartisan negotiation,” said Senator Bill Hagerty, Ranking Member of the FSGG Appropriations Subcommittee.  “As Ranking Member of the FSGG Subcommittee, my goal throughout this process has been to advance the most conservative product possible in the Senate.  Although work remains to continue to improve this bill, I look forward to the upcoming negotiations as we work to fund the government later this year.”

Bill Highlights: 

Department of the Treasury: $14.3 billion, including $12.3 billion for the Internal Revenue Services (IRS).  IRS funding is held flat for the third consecutive year. 

  • Office of Terrorism and Financial Intelligence (TFI): $235 million to combat illicit financing and administer economic and trade sanctions.

Executive Office of the President (EOP): $898 million for the EOP, including $290 million for the High Intensity Drug Trafficking Areas (HIDTA) and $109 million for Drug-Free Communities (DFC) programs within the Office of National Drug Control Policy to combat heroin and prescription opioid abuse.

  • Evolving and Emerging Drug Threats: $1.2 million to implement response plans to evolving and emerging drug threats, such as the use of xylazine as a common adulterant in fentanyl.

Judiciary: $8.8 billion for federal court activities, including timely and efficient processing of federal cases, court security, and defender services.

  • Supreme Court Security: $11 million increase above the FY 2024 enacted level for security, specifically for the residential security of the justices.

Inspectors General: $764 million for ten Inspector Generals to reduce waste, fraud, and abuse.

Presidential Transition: $19 million to ensure a smooth transition consistent with the Presidential Transition Act. 

District of Columbia: $52.5 million for educational improvement in D.C. 

  • Maintains funding for the D.C. Voucher — the only federal voucher program in the nation. 
  • The Scholarships for Opportunity and Results (SOAR) Act is part of a three-part comprehensive funding strategy to improve educational outcomes in D.C.  It also provides federal educational funds to D.C. public and public charter schools.  All three programs are each funded at $17.5 million.

Maintains Legacy Riders: The bill retains all long-standing FSGG riders.

The report accompanying the bill also includes provisions that:

  • Encourage the Federal Acquisition Service to take action to ensure that no products from Lorex, Dahua, or Huawei Technology are included on the General Services Administration’s (GSA) online shopping and ordering system.
  • Direct the Treasury Inspector General for Tax Administration (TIGTA) to provide a report to the Committee on the IRS’ controls to prevent the unauthorized transfer of sensitive taxpayer data, including by insider threats.
  • Direct the IRS not to increase audit rates, relative to historic levels, for small businesses and households with income below $400,000.
  • Urge the Office of Personnel Management (OPM) to issue supplemental guidance to agencies to develop detailed policies on determining a teleworker’s official worksite for locality pay.  Locality pay was intended to compensate federal employees for difference in pay relative to similar private sector responsibilities. However, many workers utilizing remote work may conduct most of their work outside their actual duty station necessitating a reevaluation of locality pay.

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