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What does continuing resolution 2026 remove from the previous funding bill

Checked on November 11, 2025
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Executive Summary

The available analyses show that the Continuing Resolution (CR) for FY2026 makes a selective rollback of elements that were present or proposed in earlier funding measures: it rescinds pandemic-era Affordable Care Act (Obamacare) premium subsidies and some healthcare reductions from prior omnibus proposals, while preserving baseline FY2025 funding levels and restoring or protecting benefits for nutrition and federal workers; it also constrains new defense starts and certain multi-year procurements and limits executive withholding authority. In short, the CR removes targeted healthcare subsidy extensions and certain policy riders from the prior bill while keeping overarching agency funding at FY2025 levels and adding temporary protections for employees and social programs. Key reporting and legislative summaries differ on emphasis — some highlight the removal of ACA subsidies and Medicaid cuts, others emphasize preservation of SNAP, worker protections, and Department of Defense procurement limits [1] [2] [3] [4] [5] [6] [7].

1. Battle over Obamacare subsidies — a headline concession that reshapes premiums

Reporting and legislative summaries indicate the CR drops the extension of COVID-era ACA premium subsidies that Democrats had sought to continue into 2026, a change that was central to partisan negotiations. Multiple analyses explicitly state the CR removes those pandemic-era subsidies set to expire at the end of 2025, meaning marketplace subsidies for many enrollees would not be continued in this temporary funding measure, and proponents of the removal framed the subsidies as fiscally expansive or “wasteful” while opponents warned of higher premiums for consumers [1] [2]. The removal reflects a Republican negotiating priority and a Democratic shortfall in securing a long-term health subsidy deal within the stopgap CR, with reporters noting the CR instead punts the issue to a later vote or separate vehicle rather than embedding continued subsidy authority in the continuing appropriation [1] [7].

2. Protections for federal workers and reversal of firings — an immediate labor policy fix

Analyses converge on the CR’s inclusion of provisions that reverse or block mass firings and guarantee retroactive pay for furloughed federal employees, providing a short-term labor protection through January 30, 2026. Sources describe the agreement as undoing firings that occurred during the shutdown, preventing further reductions-in-force (RIFs) while the CR is in effect, and ensuring back pay for those furloughed, which lawmakers framed as necessary to stabilize the workforce and quickly restore agency functions [1] [6] [7]. This inclusion was a legislative priority for Democrats and union advocates; the language limits executive branch flexibility on personnel actions for the CR’s duration and represents a targeted restoration of worker rights within a funding stopgap rather than a broad personnel reform.

3. Nutrition and social program rescues — SNAP, WIC, and veterans’ health reinstated

Multiple analyses note the CR reinstates or protects funding for key social programs, specifically citing Supplemental Nutrition Assistance Program (SNAP), Women, Infants, and Children (WIC), and certain veterans’ healthcare funding that had been imperiled during the shutdown. The CR eliminates expiration threats on SNAP funding and restores continuity for programs that serve low-income households and veterans, representing a policy priority that cut across party lines in practice if not rhetoric; supporters emphasized immediate human impacts while critics argued long-term budget choices still need resolution in full appropriations bills [6] [7]. This indicates the CR was used to prioritize immediate relief for vulnerable populations while leaving structural debates over program scope and funding levels for subsequent negotiations.

4. Defense procurement and spending restraints — preserving Congress’s final say

The legislative text and summaries show the CR restricts new Department of Defense (DoD) “new starts,” multi-year procurements, and accelerations, a move designed to preserve Congress’s prerogative to decide major weapons and acquisition programs in the full FY2026 appropriations process. Analysts describe these restrictions as a routine CR practice to prevent agencies from initiating significant, long-term obligations without annual appropriations scrutiny, and as a deliberate constraint that limits DoD’s ability to obligate funds for certain projects during the continuing resolution [4]. The CR thereby maintains status quo funding while curtailing large contractual commitments, signaling lawmakers’ intent to retain leverage over longer-term defense spending decisions in the regular appropriations process.

5. Policy riders, OMB authority, and what the CR removes beyond dollars

Beyond line-item funding changes, the CR repeals or limits specific policy riders that had appeared in prior omnibus proposals — notably provisions affecting Medicaid funding cuts and Office of Management and Budget (OMB) withholding authority. Sources indicate that the CR undoes certain Medicaid-reduction language and limits OMB’s ability to withhold appropriations, reflecting a bipartisan push to unwind controversial or sweeping statutory changes included in the “One Big Beautiful Bill” and similar packages [5] [3]. This pattern shows the CR functions both as a fiscal bridge and as a vehicle to strip contentious policy changes from prior bills, thereby resetting negotiable terrain for full-year appropriations while keeping immediate government operations funded at prior-year levels.

Overall, the CR for FY2026 functions as a targeted rollback of select healthcare subsidies and policy riders while preserving core funding levels, protecting workers and social programs, and constraining large defense initiations — a compromise that leaves major structural disputes to later appropriations work [1] [2] [3] [4] [5] [6] [7].

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