On Friday, the Senate passed a House-led continuing resolution (CR) which would maintain government spending at fiscal year (FY) 2024 levels until FY 2025 ends on September 30, 2025. The bill, which passed the House of Representatives with a narrow 217-213 vote, made it to the Senate floor for consideration on Friday, just hours before the government was expected to shut down. The measure passed on largely party lines and was ultimately signed into law, avoiding a government shutdown. The bill continues funding for NIH’s base budget at $47.1 billion, which was already at a $400 million or 0.8 percent decrease compared to fiscal year (FY) 2023 levels.
The CR increases defense spending by $6 billion and cuts non-defense spending by $13 billion compared to FY 2024. The cuts to non-defense spending primarily come from the elimination of $15.9 billion in earmarked projects that were initially included in the FY 2025 House and Senate Appropriations bills. For the most part, the bill funds government agencies such as NIH and the Advanced Research Projects Agency for Health (ARPA-H) at FY 2024 funding levels. However, certain programs do have specified cuts in the CR, including the Department of Defense (DOD) Congressionally Directed Medical Research Programs (CDMRP) which will see a 57 percent cut from $1.5 billion to $650 million. The CDMRP funds a variety of research programs including for Alzheimer’s Disease, cancer, epilepsy, and orthotic and prosthetic devices. Further, NIH will see a $280 million reduction to the All of Us Research Program and the BRAIN Initiative, which is the result of a planned decrease from the 21st Century Cures Act funding ramp down.
While the CR references following the authorities and conditions outlined under the FY 2024 appropriations bills, there is no detailed congressional direction consistent with the appropriations bills and related explanatory reports. As such, the Trump Administration will have significant discretion over priorities for funding within agencies and programs. Now that FY 2025 has officially been finalized, Congress will shift its focus to working on a reconciliation package and kickstart the FY 2026 appropriations process.