Information provided to members by OGR.

Washington enters the week of Jan. 12 amid a convergence of major policy debates, political tensions, and high-stakes negotiations. As appropriators work to meet a Jan 30 government funding deadline, Congress is advancing FY 2026 spending packages against a backdrop of heightened controversy around health care, war powers, digital assets, and immigration enforcement.
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Lawmakers are making progress on bipartisan, bicameral “minibus” appropriations packages, with the House and Senate each advancing multi-bill funding measures. A final minibus, expected to include Defense, Labor-HHS, and Transportation-HUD, remains under negotiation. However, disagreements surrounding the Homeland Security funding bill, intensified by recent events involving ICE, make it increasingly likely that at least one funding bill will require a short-term continuing resolution.

Beyond appropriations, congressional committees are preparing for action on several major policy priorities later this year, including surface transportation reauthorization, digital assets market structure legislation, and a new farm bill. At the same time, the Senate is navigating debates over health care subsidies, war powers related to Venezuela, and advancing crypto market structure proposals through key committee markups.

The House returns this week facing continued challenges with a narrow majority, while leadership works to advance trade legislation, workforce-related proposals, and the next appropriations package. Committees are also beginning early work on transportation policy and broader affordability initiatives.

​This post provides a high-level overview of Congress this week. IPA members receive the full OGR Big Picture analysis, including detailed legislative outlooks, political risk assessments, and implications for the payments industry.

Information provided to members by OGR.

As Congress returns for the second session of the 119th Congress, lawmakers are confronting an unexpectedly volatile start to the year. A major foreign policy development, the U.S. military and law enforcement capture of Venezuela’s former President Nicolás Maduro, has immediately reshaped Washington’s agenda and injected new complexity into already delicate legislative negotiations.

In the opening days of the session, Congress is expected to focus on oversight questions surrounding the operation, including its legal justification, succession planning in Venezuela, and broader geopolitical implications. While Republican control of Congress likely limits the risk of aggressive oversight, the issue has the potential to complicate near-term dealmaking, particularly around national security and defense funding.

A Politically Charged Year Ahead

Beyond the immediate foreign policy shock, Congress is entering a highly charged year with midterm elections looming. Lawmakers will soon return to familiar fault lines, including government funding, healthcare, affordability, and the scope of executive authority. While bipartisan legislative wins remain possible in areas such as housing, surface transportation, or infrastructure permitting, both parties are increasingly focused on energizing their bases ahead of November.

Government Funding Pressures Intensify

Government funding remains the most urgent must-pass item on Congress’s agenda. Roughly 90 percent of discretionary spending is currently operating under a Continuing Resolution set to expire at the end of January. While appropriators have reached agreement on top-line spending levels, timing constraints make it unlikely that all remaining appropriations bills will be finalized before the deadline.

Lawmakers are weighing a range of options, including another short-term Continuing Resolution or a year-long extension, an approach gaining traction among House Republicans. Early movement on a bipartisan minibus package may offer insight into whether Congress can avoid another funding cliff in the near term.

A Changing Political Landscape

Compounding these dynamics is a growing wave of retirements in the House. With nearly 10 percent of members announcing they will not seek reelection, and a significant increase compared to recent cycles, both parties are already deeply engaged in candidate recruitment and fundraising efforts. Despite the elevated number of departures, relatively few seats are expected to be truly competitive, underscoring how narrowly divided the House remains.

This post provides a high-level overview of Congress this week. IPA members receive the full OGR Big Picture analysis, including detailed legislative outlooks, political risk assessments, and implications for the payments industry.