On Thursday, January 18, 2018, the House voted 230-197 on a continuing resolution (CR) to keep the government funded for four more weeks and extend funding for the Children's Health Insurance Program (CHIP) for six years, along with other measures. The Senate followed with an affirmative vote (97-2) on the motion to proceed to consideration of the package. Uncertainty remains whether the Senate will be able garner 60 votes for final passage before the government shuts down at midnight tomorrow.

In addition to keeping the government open through February 16, 2018, and extending CHIP for six years, the bill would delay three health-related tax provisions imposed by the Affordable Care Act (ACA) and extend anomalies and program extensions from previous CRs, such as the National Flood Insurance Program, while diverting emergency missile defense funding to intelligence activities.

It was initially unclear if the measure had the votes to pass in the House, as members of the Freedom Caucus threatened to withhold their votes until late, hoping to add the House FY2018 defense appropriations bill to the CR. The bill also doesn't contain language related to the Deferred Action for Childhood Arrivals Program (DACA), sought primarily by Democrats in both the House and the Senate.

The proposal now faces opposition in the Senate, where Republicans control just 51 seats. While 18 Democrats supported the stopgap measure in December, many are now threatening to oppose any measure without a deal on DACA, which President Trump has said will end in March without congressional action. Immigration negotiations between Congress and the Trump Administration broke down last week, with some senators saying they would be in favor of a shorter stopgap bill that extends funding for a few days while leaders work out a deal on DACA and spending caps for fiscal 2018 and 2019, hopefully paving the way for a full-year omnibus spending package.

Several Republicans in the Senate are also balking at the CR due to concerns about military spending and the broader spending bill. Republican Senator Mike Rounds (R-SD) and Senator Lindsey Graham (R-SC) have said they will oppose the deal in its current form, while Sen. Rand Paul (R-KY) has also said he won't back any stopgap bill. Senator John McCain (R-AZ) still hasn't returned to Washington due to health issues.

The Senate is preparing for the possibility of staying in session through the weekend to reach agreement. House Republicans are giving themselves procedural leeway for a quick vote on any bill through Saturday, should they need to vote on an amended version of the measure or a new Senate proposal.

Key components of the FY 2017 continuing resolution (CR) include:

— Funding the government through February 16, 2018 at FY2017 levels

— Extending funding for the Children's Health Insurance Program (CHIP) through FY2023, providing $21.5 billion for FY 2018 and increasing to $25.9 billion by FY 2023

— Providing an 11.5 percentage point increase in the federal match rate for CHIP for fiscal 2020, after which the regular match for CHIP would apply, returning to the pre-ACA rate in FY2021

— Extending for two years the moratorium on the 2.3% excise tax imposed on the sale of medical devices (through 2019), retroactive from December 31, 2017

— Delaying implementation of the excise tax on high-cost employer health coverage (the "Cadillac" tax) for an additional two years, until 2022

— Providing a one-year moratorium on the annual excise tax imposed on health insurers for calendar year 2019, which would not affect fee collection for 2018, which is set at $14.3 billion

— Providing instructions for the treatment of divisions C and D as it relates to PAYGO, Senate PAYGO and scorekeeping guidelines.

— Including adjustments related to a missile defense funding waiver, Department of Agriculture Electronic Benefits Transfer summer program, NASA space programs, Department of Energy Office of Inspector General, Small Business Administration 7(a) loans, and adjustments to Section 8 housing voucher program allocations for areas affected by major disasters

— Striking a provision in a prior continuing resolution related to FISA authorization

According to the Congressional Budget Office (CBO), the CHIP extension and ACA tax provisions of the CR would increase the deficit by a net $31.3 billion over 10 years, mostly coming from the tax provisions.

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