Passing the Fiscal Year 2027 (FY27) federal budget involves the President submitting a proposal (submitted April 2026), followed by Congress passing a budget resolution, adopting 12 subcommittees' appropriations bills, and reconciling differences before October 1, 2026, to avoid shutdowns. The process often involves Continuing Resolutions (CRs).

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Key Steps for the FY27 Federal Budget Process:

• Step 1: Presidential Budget Request (Released April 3, 2026): The President submits a proposal outlining funding priorities for the upcoming fiscal year starting Oct 1, The FY27 request proposes cutting non-defense spending by 10% (73 billion) while increasing defense spending 44% (1.5 trillion)
• Step 1.5: Congressional Budget Resolution: House and Senate Budget Committees draft a non-binding framework setting overall spending limits.
  • House Hearings started on 4/15/26- (to be completed within 60 days)
  • Senate plans to move a budget resolutions the week of 4/20/26 with reconciliation instructions
  • Individual spending bills to be marked up in May 2026

• Step 2: Appropriations Process: Congress drafts 12 appropriations bills covering government functions, starting in the House Appropriations Committee.
  • Late Feb – March: House Appropriations subcommittees begin hearings and mark-up (drafting) the 12 individual bills.
  • May 15: The House may formally begin consideration of appropriations bills.
  • June 10: Deadline for the House Appropriations Committee to report all regular appropriations bills.
  • June 30: Target deadline for the House to pass all 12 appropriations bills.
  • October 1: The new fiscal year begins; the final, enacted budget (or a Continuing Resolution) should be in place to avoid government shutdowns.
• Step 3: Conference Committee: Differences between House and Senate versions are negotiated usually slated to be completed by June 15th.
  • Purpose: To resolve discrepancies between the House-passed and Senate-passed versions of the budget resolution or individual appropriations bills.
  • Timeline: While the deadline is mid-June, budget resolutions are ideally finalized by April 15.
  • Action: A majority of both House and Senate delegations must sign the final conference report, which cannot be amended when it returns to the floors for a final vote.

• Step 4: Congressional Voting: Both houses must pass the final, reconciled funding bills.
  • Process Initiation: Requires a concurrent budget resolution passed by both chambers, which includes instructions for committees to report changes.
  • Senate Procedure: Debate is limited to 20 hours (10 for conference reports), bypassing the need for 60-vote cloture, followed by a "vote-a-rama" where numerous amendments are voted on in quick succession.
  • Final Passage: Requires a simple majority (51 votes) in the Senate.
  • Deadlines: According to, budget resolution action should be completed by April 15, with final reconciliation legislation passed by June 15.
  • Process has been very different from the Norm for FY26
    Congress passed the Fiscal Year 2026 (FY26) budget in phases rather than a single vote, with major funding packages approved between November 2025 and early February 2026 to avoid shutdowns. Key legislation was passed on January 8 and January 15, 2026, with major bills signed by the President on January 23, 2026. Further funding for additional departments was passed in early February.

• Step 5: Presidential Approval: The President signs the bills into law.
  • The President approves bills into law by signing them within 10 days (excluding Sundays) of receiving them from Congress. If the President does not sign or veto the bill within this 10-day period while Congress is in session, it automatically becomes law without their signature.

Key Aspects of Presidential Approval:

• Signatures: A signed bill immediately becomes law.
• No Action: If Congress is in session, inaction for 10 days results in the bill becoming law.
• Pocket Veto: If Congress adjourns within the 10-day period and the President does not sign the bill, it dies (a "pocket veto").
• Veto: The President may veto a bill, returning it to Congress, which requires a two-thirds vote in both houses to override.
• Timing: The 10-day period begins at midnight on the day the bill is presented to the White House.
• Optional Step: Reconciliation: A special process allowing some budgetary changes to pass with a simple majority.
  • Congressional budget reconciliation is a special legislative process under the Congressional Budget Act of 1974 that allows Congress to pass legislation affecting mandatory spending, revenue (taxes), or the debt limit with a simple majority vote in the This process prevents a filibuster, requiring only 51 votes (or 50 plus the Vice President) instead of the typical 60-vote threshold, making it a critical tool for passing partisan fiscal policy, such as the Inflation Reduction Act or 2017 tax cuts.
    • Purpose: Limited to changing laws regarding direct spending, revenues, or the debt limit, typically excluding discretionary spending.
    • Process: Begins with a concurrent budget resolution instructing committees to draft legislation to meet specific budgetary goals.
    • Senate Protection: It allows for a fast-track process with limited debate (20 hours), allowing legislation to bypass the 60-vote filibuster threshold.
    • Byrd Rule Limitations: Under the "Byrd Rule," provisions must be budgetary, meaning they cannot be "extraneous"—not affecting spending or revenue—and cannot increase the deficit beyond a 10-year window.
    • History: Used 28 times since 1974, resulting in 23 enacted laws, according to data from the AAPD.

Timeline and Considerations:

• Start Date: FY27 begins Oct 1, 2026.
• Deadline: If not passed by Oct 1, a Continuing Resolution must be passed to avoid a government shutdown.
• Expected Delays: Given the April 2026 release of the proposal—later than the statutory deadline—Congress may rely on a Continuing Resolution to fund the government, especially due to midterm elections and the late start.