Contents of Senate’s FY 2026 Budget Resolution
TL/DR –
The US Senate has adopted its Fiscal Year 2026 budget resolution, designed to fund the Immigration and Customs Enforcement agency and Border Security Operations. However, the budget lacks any plan to address the growing national debt. The budget resolution allows for up to $140 billion to be added to primary deficits through FY 2035, calls for $1.2 trillion of additional defense spending over a decade, and plans for the projected deficit to move towards 3% of GDP by FY 2029, relying on $9.7 trillion of unspecified savings through FY 2035.
Senate Adopts FY 2026 Budget Resolution to Kickstart Reconciliation Process
On the last night, the U.S. Senate adopted its Fiscal Year (FY) 2026 budget resolution, which primarily serves as the start of the reconciliation process. However, this late budget resolution fails to address the increasing national debt or provide a comprehensive budgetary plan. Rather, it is designed principally to aid the reconciliation legislation, which will fund the Immigration and Customs Enforcement (ICE) agency and Border Security Operations (BSO). This replaces the typical appropriations.
Main Provisions in the FY 2026 Budget Resolution
The FY 2026 budget resolution encompasses the following key points:
- It allows for the draft of reconciliation legislation that could add up to $140 billion to primary deficits through FY 2035. $70 billion is allocated to both the Judiciary and Homeland Security Committees.
- The resolution proposes an additional $1.2 trillion in defense spending over the next ten years. This will increase defense budget authority by more than $250 billion (27%) between 2026 and 2027.
- The projected deficit is expected to reach 3% of the Gross Domestic Product (GDP) by FY 2029 and beyond. This relies heavily upon $9.7 trillion of completely unspecified savings through FY 2035 for achievement.
- It involves the waiver of various budget enforcement tools, such as Senate Pay-As-You-Go (PAYGO) rules and budgetary points of order against increasing deficits.
Press reports and member comments suggest that the reconciliation process is intended to provide $70 billion for total ICE and BSO funding over 3.5 years, which would otherwise be funded via ordinary appropriations.
Implications of Reconciliation Instructions
Despite the enactment
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