With the U.S. House of Representatives having adjourned last week and not scheduled to reconvene until after the midterm elections, the legislative calendar is narrowing. With limited time remaining in 2026 for both chambers to find consensus and pass legislation, ELFA is closely assessing which issues could advance before the end of the year and which are more likely to carry over for consideration in the 120th Congress.
At the beginning of September, Congress passed a short-term continuing resolution (CR) funding the government through December 12. To avoid a government shutdown, Congress will need to reach agreement on another funding package that extends into the new year and the 120th Congress. The other major must-pass legislative vehicle is the National Defense Authorization Act (NDAA) for fiscal year 2027. ELFA will be monitoring both packages closely, as they could serve as vehicles for policy provisions or riders.
The outcome of the midterm elections will influence which policy priorities receive attention during the post-election legislative session. In assessing what could move before the end of the year, several factors will be important, including programs and authorities that are set to expire, measures that have bipartisan support in both chambers, and proposals that have the support of the White House.
Several key items are scheduled to expire in the coming months. The Surface Transportation Reauthorization, the Farm Bill programs that have been extended since 2018, and several Veterans Affairs (VA) health care and program authorities are set to expire on September 30. The Export-Import Bank’s charter is also scheduled to expire on December 31. With these deadlines looming, Congress could use the larger vehicles and time sensitivity to gain consensus, extending these expiring policies, programs and authorities by attaching them to the end of year CR and NDAA packages.
Beyond these must-address items, other legislation or segmented policy could potentially move as part of the two larger legislative packages. Permitting reform, digital asset market structure legislation, and even legislation addressing the safety and operations of artificial intelligence (AI) laboratories, have been discussed in recent weeks as issues that could receive consideration depending on the post-election composition of Congress and the priorities of congressional leadership.
With 40 days remaining until Election Day and a limited number of legislative voting days before the end of the year, the window for significant legislative action is narrowing. ELFA will continue to engage with regulators and lawmakers and closely track legislation and regulatory developments that could have a direct or indirect impact on the equipment finance industry.
