FY 2026 Appropriations Outlook: On Jan. 30, Senate lawmakers reached an agreement and passed a revised package providing full-year FY2026 appropriations for five bills—Defense, Labor-HHS-Education, Transportation-HUD, Financial Services-General Government, and State-Foreign Operations. The measure also continues FY 2025 funding levels for Homeland Security (DHS) funding through a short-term continuing resolution to Feb. 13. Find Out More.
Collins, Moreno Roll Out ACA Compromise: Senate Appropriations Committee Chairwoman Susan Collins (R-ME) and Sen. Bernie Moreno (R-OH) pitched their proposal to extend the Affordable Care Act (ACA) enhanced premium tax credits (eAPTCs) to Senate Democrats last week. The proposal, the Consumer Affordability and Responsibility Enhancement (CARE) Act, would provide a one-year straight extension, followed by a phase out over 2027-2028 and an option for expanded use of Health Savings Accounts after 2026. It would also prohibit the credit for undocumented immigrants and would impose a $5 minimum monthly payment on plans. Find Out More.
Kean Introduces the MAHA Act: Rep. Tom Kean (R-NJ) introduced H.R. 7216, the Make American Housing Affordable (MAHA) Act, which would establish a new tax credit for homebuyers under section 36C. The bill would provide a $5,000 refundable tax credit ($10,000 for joint filers) to eligible individuals who purchase a principal residence in a tax year, provided that no credit was allowed in the previous four years. Find Out More.
Newsom Says California Wealth Tax Will Cause Wealthy Individuals to Flee: Gov. Gavin Newsom (D-CA) criticized the “Billionaire Tax Act” ballot initiative backed by the SEIU-United Healthcare Workers West, warning that it would hasten the migration of wealthy California residents already looking to escape the state’s high taxes and regulations. The ballot initiative would impose a one-time 5% tax on unrealized gains for individuals with net worth exceeding $1 billion as of Dec. 31, 2026. Find Out More.
Khanna Seeking Compromise on Wealth Tax Ballot Measure: Rep. Ro Khanna (D-CA) is pushing for a compromise on the proposed wealth tax ballot initiative amid backlash from industry leaders like Sergey Brin and others, who are funding opposition campaigns and threatening to relocate. Industry and union leaders will meet in late February to explore alternatives such as taxing loans taken out against current assets rather than taxing unrealized gains that may involve illiquid stock, which are intended to address tech concerns over the wealth tax proposal’s potential to force company sales or create other impediments for startups. Find Out More.
Mamdani Resurrects Calls for Tax Increases on Wealthy Individuals: New York City Mayor Zohran Mamdani is calling on Gov. Kathy Hochul (D-NY) to approve increased state aid and tax increases on high earners and corporations in New York City to address the city’s existing $12.6 billion budget gap. He proposed raising income taxes by 2% for those over $1 million, corporate rates by 4%, and a potential one-time 5% wealth tax on billionaires. Find Out More.
Funding moves forward, but Homeland Security talks may trigger another short-term CR. Expanded HSAs, tighter rules, and a ticking clock. See what’s inside the CARE Act. Senate agreement passed, House drama followed. What happens next could matter more than you think. Learn More.
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