SNAP Funding a Target in Farm Bill Reauthorization
Washington Update
Farm Bill Reauthorization
Congress passed a stop-gap spending bill just before Christmas that extends funding through March and provides lawmakers with additional time to negotiate a new farm bill. The measure includes a one-year extension of the $1.5 trillion legislative package, which is already more than a year overdue. Last updated in 2018, the farm bill will require bipartisan support to advance, even with Republican control of both chambers — a challenge that will test House Speaker Mike Johnson as he navigates competing priorities within his diverse caucus with little room for error.
Nutrition spending is expected to be a contentious issue, with Republicans signaling plans to cut funding for the Supplemental Nutrition Assistance Program (SNAP), which supports over 40 million low-income Americans each month. Ahead of the recent funding extension vote, GOP leaders proposed pairing a $1.5 trillion debt ceiling increase in early 2025 with $2.5 trillion in cuts to mandatory spending, including SNAP. Such measures are likely to face strong opposition from Democrats, nutrition advocates, and some moderate Republicans. A high-stakes debate in 2025 is likely as lawmakers work to finalize this critical piece of legislation.
House Education and Workforce Committee
New leaders are stepping into key education roles in Congress this month. Congressman Tim Walberg (MI) is the new chair of the House Education and Workforce Committee, replacing term-limited Congresswoman Virginia Foxx (NC). In the Senate, Senator Bill Cassidy (LA) now leads the Health, Education, Labor, and Pensions (HELP) Committee, following Republican victories in the 2024 elections. Both will play pivotal roles in advancing the Republican education agenda, including higher education reform and addressing antisemitism on college campuses.
Despite previous efforts, the College Cost Reduction Act, a major higher education overhaul, did not reach the House floor last session but Foxx has pledged to continue working on it. Bipartisan efforts are also expected to persist on a short-term Pell Grant bill, which would allow students to use Pell Grants for workforce education programs as short as eight weeks. Walberg, Congressman Burgess Owens (UT), and Foxx are among its supporters, along with education secretary nominee Linda McMahon.
Department of Labor Secretary Nominee
Lori Chavez-DeRemer, President-elect Donald Trump’s nominee for U.S. Department of Labor (DOL) Secretary, appears on track for Senate confirmation. Her cooperative relationship with organized labor has earned her bipartisan support, setting her apart from other contentious Cabinet picks. However, unions and business groups remain uncertain about her direction for the department, as Trump has yet to nominate candidates for other key DOL positions.
Department of Labor 14(c) Proposal and Overtime Pay Rule
At the end of last year, members of the House Education and the Workforce Committee, led by outgoing Chair Virginia Foxx (NC) and incoming Chair Tim Walberg (MI), sent a letter urging an extension of the comment period on a proposed rule to phase out the 14(c) certificate program. This program permits certain employers to pay individuals with disabilities below the federal minimum wage. The comment period is set to close just days before the transition to the new administration, but any final rule would not be implemented until after the Trump administration takes office. Lawmakers expressed concerns about the timeline, stressing the need for thoughtful consideration of the proposal’s impact on workers and employers.
In another development, Texas District Judge Sam Cummings recently set aside the Department of Labor’s (DOL’s) expanded overtime pay rule. The ruling was in favor of a Texas software firm, agreeing with arguments that DOL exceeded its authority in issuing the rule, which would have made about 4 million more workers eligible for overtime pay. This decision follows a similar ruling by Judge Sean Jordan in November, halting the regulation. DOL has appealed, but with a new administration preparing to take office, a shift in direction is anticipated.
Initial Jobless Claims
In the week ending December 28, the advance figure for seasonally adjusted initial claims was 211,000, a decrease of 9,000 from the previous week's revised level. The previous week's level was revised up by 1,000 from 219,000 to 220,000. The 4-week moving average was 223,250, a decrease of 3,500 from the previous week's revised average. The previous week's average was revised up by 250 from 226,500 to 226,750. The advance seasonally adjusted insured unemployment rate was 1.2 percent for the week ending December 21, a decrease of 0.1 percentage point from the previous week's unrevised rate.
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