This week Congress finished its work for the year by passing a two-bill package that will avoid a government shutdown and extend several expiring tax provisions. President Trump signed each of the bills on Friday, Dec. 20.

Among the highlights, the “Omnibus” bills would:

• Provide $1.4 trillion to fund federal discretionary programs through Sept. 30, 2020, with roughly half of the amount going to defense programs and $1.375 billion available for “border barriers” sought by the Trump Administration

• extend through May 22, 2020:

  • several expiring Medicare, Medicaid, and other public health programs

  • the Community Health Centers fund

  • current levels of “disproportionate share” hospital payments

  • the Temporary Assistance for Needy Families (TANF) program

  • the Child Care Entitlement grant program

• also extend through Sept. 30, 2020, the National Flood Insurance Program

• extend through Dec. 31, 2020 expiring tax provisions affecting:

  • individuals (relating to mortgage debt forgiveness, mortgage insurance premiums, medical expense deductions, and qualified tuition deductions)

  • businesses (relating to the Work Opportunity tax credit, the Family and Medical Leave tax credit, empowerment zones, and lower excise tax rates for beer, wine, and distilled spirits)

  • energy (relating to biofuels, fuel cells, electric vehicles, and energy efficient homes and buildings) ($39 billion budgetary impact)

• extend for two years:

  • a higher level of Medicaid funding for Puerto Rico and other territories

  • the Secure Rural Schools Program

• extend for seven years:

  • the Terrorism Risk Insurance Program

  • the Export-Import Bank

• extend for ten years the Patient-Centered Outcomes Research Trust Fund

• include permanent changes to law that would:

  • repeal three revenue provisions from the Affordable Care Act – the medical device excise tax, the annual fee on health insurance providers, and the “Cadillac tax” on high cost health coverage – with a projected cost of $377 billion in lost revenue

  • establish disaster relief tax provisions ($12.5 billion in lost revenue over ten years)

• provide new authority to:

  • raise the legal age to purchase tobacco products to 21

  • transfer federal funds to the UMWA pension plan ($5.8 billion over 10 years)

  •  automatically reenroll individuals with health exchange plans if a new plan is not selected

Visit GT’s Hot Off The Hill Blog for a more extensive summary on the Non-Appropriations Provisions of the FY2020 Spending Deal.