A continuing resolution (CR) is a type of legislation that the U.S. Congress passes to provide temporary funding for federal government operations and programs. This measure is used when Congress has not passed all the regular appropriations bills needed to fund the government for the upcoming fiscal year, which begins on October 1st.
Key Features of a Continuing Resolution:
- Temporary Funding: CRs extend funding for government programs at the current or specified levels, usually for a limited time (e.g., weeks or months).
- Prevents Government Shutdowns: By maintaining funding, CRs allow federal agencies to continue operating and providing services when formal appropriations have not been approved.
- Restrictions on New Initiatives: CRs typically do not include funding for new programs or significant changes to existing ones unless explicitly stated.
Why Are Continuing Resolutions Needed?
- Budget Delays: If Congress and the President cannot agree on a budget before the start of the fiscal year, a CR provides a stopgap measure.
- Partisan Disputes: CRs are often used when there are disagreements over spending priorities, allowing more time to negotiate.
Drawbacks of CRs:
- Uncertainty: Short-term funding creates uncertainty for federal agencies and contractors, making long-term planning difficult.
- Inefficiency: Repeated reliance on CRs can hinder effective government operations and decision-making.
Example in Practice:
If the fiscal year starts on October 1st and no budget is passed, a CR might fund the government until December 15th, at which point a new budget or another CR would need to be enacted to prevent a shutdown.