As Congress approaches a January 30 funding deadline, unresolved spending bills and ongoing debates over earmarks continue to create uncertainty. At the same time, GMA is monitoring key federal issues, from housing and disaster relief to data center policy and transportation funding, that could impact the outlook for Georgia’s cities in 2026.
Government Funding Deadline Approaches
After a contentious 214-212 test vote on Wednesday, House Republicans are expected to pass an appropriations package Thursday that would fund the Departments of Energy, Commerce, Interior and Justice, along with water programs, the EPA and federal science initiatives, through Sept. 30. Six of the 12 annual spending bills remain unresolved as Congress approaches the January 30 government funding deadline.
Congressional earmarks were the primary point of contention for fiscal hardliners on the House floor, with one earmark ultimately removed to secure final approval. Cities should be aware that earmark requests from members of Congress are becoming less reliable as skepticism grows over community funding requests more broadly.
Questions surrounding earmarks will continue to be a hurdle for the House to advance the remaining six spending bills, which include some of the largest budgets for the Departments of Defense, Health and Human Services, Labor, and Education. As a part of the agreement to pass the first package, lawmakers were promised greater access to scrutinize earmarks included in the remaining bills.
Although unlikely, we will closely monitor whether any Georgia earmark requests are affected as negotiations continue.
2026 Federal Outlook for Cities
Besides Congress funding the federal government, GMA will continue monitoring key federal issues impacting Georgia’s cities. This includes the bipartisan-passed ROAD to Housing Act, which could gain momentum in the new year following President Trump’s support for the legislation, as well as his recent calls to rein in Wall Street investment in single-family homes.
GMA will also monitor legislative and regulatory developments related to data centers and AI infrastructure, especially after a Senate committee began the new year by rejecting a proposed pause on data center construction.
FEMA reforms and disaster relief reimbursements will remain a priority as we monitor administrative reforms to FEMA operations and continue supporting cities with long-outstanding Hurricane Helene reimbursements.
Finally, as the Surface Transportation Reauthorization advances, GMA will look for opportunities to advocate for more direct federal funding models for local communities.