In it, but not of it. TPM DC

Congress May Be Headed For Another Government Funding Fight

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AP Photo / J. Scott Applewhite

Speaker John Boehner (R-OH) said Thursday the House will consider a continuing resolution to avert a government shutdown once Congress returns from summer recess on September 8. The funding measure will probably expire in mid-November, Rep. Tom Cole (R-OK), a deputy majority whip, told TPM.

Once Congress returns from the August recess, it'll have a mere 10 working days to agree to a bill before the government partially shuts down. And there are two contentious issues in particular that are roped in with the CR debate.

The first is reauthorization of the Export-Import Bank, which supports billions of dollars in U.S. exports and thousands of American jobs through loan guarantees and other products. Its charter expires on Oct. 1, and many House conservatives, including incoming Majority Leader Kevin McCarthy (R-CA), are enthusiastic about shutting the bank down, bashing it as an emblem of corporate welfare and crony capitalism. Senate Democratic leaders recognize that and may force the issue by attaching renewal of the bank to their CR.

"Well, the thing we'd like to do is pass a long-term approval of the Export-Import Bank but we certainly don't want to let it expire. We're weighing all options," New York Sen. Chuck Schumer, the No. 3 Senate Democrat, told TPM when asked if leadership will attach Ex-Im to the CR.

Passing such a bill through the Senate shouldn't be a problem. Democrats broadly support Ex-Im renewal and a significant number of Senate Republicans do, too. "I think we do need to have an Export-Import Bank because we do need to be global competitively," Sen. Rob Portman (R-OH) said. "We don't want to shoot ourselves in the foot."

The question, in that case, becomes whether House Republican leaders back down and accept such a bill. That would anger conservatives who are campaigning to shut the bank down and cost Republicans some support within their own ranks.

"I think it should be a clean CR," Rep. John Fleming (R-LA) told TPM. "I may end up opposing a CR if it has [Ex-Im] attached to it. Because I oppose the reauthorization."

The second issue is the battle over President Barack Obama's recently proposed rules on coal-fired power plants to combat climate change. Senate Minority Leader Mitch McConnell (R-KY), who faces a tough reelection fight in his coal-heavy state, has aggressively fought to attach his amendment blocking the rule to appropriations legislation — an idea Senate Republicans strongly support — and has vowed to continue offering it on all government funding measures.

The problem is Senate Republicans would arguably feel most of the pain of a government shutdown in the Nov. 4 elections, jeopardizing their chance to win the majority. So it's unclear they'll push the issue. With Majority Leader Harry Reid (D-NV) promising that the amendment won't fly in the Senate, McConnell faces a choice: filibuster government funding legislation or surrender his best opportunity to reverse the climate change rules.

McConnell will want to avoid doing anything that damages his odds of becoming majority leader in January. But his fighting words make it hard to back off.

"Everyone knows the administration’s war on coal jobs is little more than an elitist crusade that threatens to undermine Kentucky’s traditionally low utility rates, splinter our manufacturing base, and ship well-paying jobs overseas," McConnell said Thursday on the Senate floor, promising he'll "keep fighting" for his amendment.

Portman said he's hopeful that because both sides have agreed on how much the government should spend, "I think we can avoid a government shutdown."

Cole, a Boehner ally, also expressed hope Congress can avert a shutdown.

"I think so," the congressman told TPM, although he added that it's not a certainty. "Could you stumble into a bad situation? It's always possible. But I think people are working hard to avoid that sort of thing."