A point of focus heading into this busy legislative week was whether the House would approve the Senate's FY2026 budget resolution paving the way for a slim reconciliation bill to fund the Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP) agencies of the Department of Homeland Security. But that is only one outstanding question as lawmakers returned to session and aired concerns about Foreign Intelligence Surveillance Act (FISA) reauthorization legislation and the farm bill. And House consideration of a Senate bill to fund the rest of DHS, aside from ICE and CBP, is also in doubt. Responding to a CNN reporter's question Monday, Speaker Mike Johnson (R-LA) said the bill included "problematic language" and was "haphazardly drafted," suggesting the House may change immigration provisions.

May 1 was thought to be a soft deadline for the House to clear the rest of DHS, minus ICE/CBP, measure. Funding for the Department is currently being covered by money set aside in the "One Big Beautiful Bill Act" (OBBBA), but not for much longer. The White House confirmed the urgency, telling Congress in an April 28 Office of Management and Budget memo: "Restoring funding for the Department of Homeland Security (DHS) has never been more urgent, as demonstrated by recent events. DHS will soon run out of critical operating funds, placing essential personnel and operations at risk. Accordingly, the House should promptly pass S. Con. Res. 33, as passed by the Senate, to enable swift advancement of a reconciliation bill … "

The hope among GOP leaders was that Senate progress toward a reconciliation package, including with passage of a budget resolution last week, would encourage the House to vote on a Senate-passed bill to provide the remainder of DHS funding, aside from ICE and CBP. This morning's Wall Street Journal said, "Many House GOP lawmakers remain furious that party leaders agreed to the two-step approach on DHS, after Democrats made clear they wouldn't provide votes for any package that funded immigration enforcement activities … "

On the broader agenda, Semafor April 28 said Republican leaders received pushback from members during a Monday night conference meeting about clearing various agenda items as they stand now: "Heck no. They need to gut FISA and come back with a different product," said Rep. Tim Burchett, R-Tenn., while Rep. Chip Roy, R-Texas, said he still wants "improvements" to the DHS bill. Progress on the farm bill, which has a September 30 deadline along with government funding and the highway bill, was beset by member concerns involving ethanol and pesticides, though the so-called E15 issue may be moved to standalone legislation.

There continues to be a push by conservatives to broaden the scope of the budget resolution beyond ICE and CBP. It's unclear what could be added to the package, which House and Senate Republican leaders want to keep narrow and potentially follow up with a third reconciliation bill after the ICE/CBP measure and last year's OBBBA. Speaker Johnson is expected to soon unveil ideas for a third bill.

Tax — The House was able to come together to approve several Ways and Means Committee bills by unanimous consent April 27:

• H.R. 4930, to expand the sharing of information with respect to suspected violations of intellectual property rights in trade, by Rep. Blake Moore (R-UT)
• H.R. 6956, BARCODE Efficiency Act, to require a scannable code on certain tax returns, by Rep. Brad Schneider (D-IL)
• H.R. 7971, Taxpayer Experience Improvement Act, to boost IRS customer service policies, by Rep. Dave Schweikert (R-AZ)
• H.R. 6495, Taxpayer Notification and Privacy Act, to expand IRS notice requirements for contacting a third party (e.g., employer or bank) for information related to a taxpayer's federal tax liability, by Rep. Greg Steube (R-FL)
• H.R. 5366, Doug LaMalfa Federal Disaster Tax Relief Certainty Act, under which "qualified net disaster losses" would be deductible to the extent they exceed $500 per casualty and without regard to whether aggregate net personal casualty losses exceed 10% of a taxpayer's adjusted gross income, by Rep. Steube
• H.R. 2347, Survivor Justice Tax Prevention Act, by Rep. Lloyd Smucker (R-PA)
• H.R. 5334, SEED Act of 2025, to allow early-childhood educators to deduct classroom expenses from their taxable income, by Rep. Jimmy Panetta (D-CA)
• H.R. 6903, Ensuring Children Receive Support Act, by Rep. Beth Van Duyne (R-TX)
• H.R. 6431, New Opportunities for Business Ownership and Self-Sufficiency Act, to increase the percentage of individuals who may participate in a Self-Employment Assistance (SEA) program, by Rep. Mike Carey (R-OH)

Additionally, H.R. 7959, the IRS Whistleblower Program Improvement Act, to revise the standard for review of whistleblower awards in the Tax Court and allow whistleblowers anonymity in proceedings, by Rep. Mike Kelly (R-PA), was approved by a 346-10 vote.

As has been noted in the tax press, versions of many of the proposals are included in the February 26 "Taxpayer Assistance and Service Act," sponsored by Senate Finance Committee Chairman Mike Crapo (R-ID) and Ranking Member Ron Wyden (D-OR).

Healthcare — On Tuesday, April 28 at 10 a.m., the House Ways and Means Committee held a hearing with health system CEOs. Chairman Jason Smith (R-MO) said in an opening statement, "CEOs representing some of the nation's largest hospitals are before us. But let me be clear, the entire health care system, hospitals, insurance companies, drug manufacturers, pharmacy middlemen, all bear responsibility for the high costs patients face." Democrats, as they have in other recent hearings, continued to highlight Republican health program cuts. Ranking Member Richard Neal (D-MA) said Republicans "ripped coverage from 15 million people and pushed hundreds of hospitals to the brink and then they complain about the problem after it's their tax bill that's going to lead to these massive cuts."

Trade — Yesterday and today (April 28-29), the Office of the United States Trade Representative (USTR) is holding a public hearing on its Section 301 "investigations into 60 economies' acts, policies, and practices related to the failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor." The hearings are not live-streamed.

Separately, USTR April 28 invited public comments on the modernization of the African Growth and Opportunity Act (AGOA), which is authorized through December 31, 2026. The deadline for submission of comments is May 15, 2026.

Energy tax — The IRS has noticed a public hearing on IRC Section 45Z Clean Fuel Production Credit proposed regulations (REG-121244-23) addressing credit eligibility rules, emissions rates, and certification and registration requirements.

On April 27, Rep. Carey introduced a bill (H.R. 8497) to extend biodiesel and renewable diesel incentives.

Global tax — The Treasury Department announced on April 28 that the Unted States and Croatia signed a protocol to amend the income tax treaty between the two countries, which was signed on December 7, 2022. The protocol amends the 2022 treaty, so it aligns with current US tax law.

Elections — There continue to be press stories about the midterm elections, with Democrats perhaps favored to win the House and not shut out of a change in control of the Senate. "With a little more than six months until the midterm elections, anxious Republicans are confronting a foreboding political climate that party leaders fear could lead to a wipeout in the fall if it does not improve," the New York Times reported April 28. "The House is now favored to fall into Democratic hands while control of the Senate — not so long ago seen as a G.O.P. bulwark — is increasingly up for grabs as Democratic candidates up and down the ballot build substantial war chests." The story said that while Republican political strategists describe the current environment in grim terms, "they note that much can change before November, holding out hope that the days of $4 gas and the war in Iran pass before the election."

A story in the Washington Post, "Democrats sense shift in their odds of taking Senate," said, "The GOP remains favored to retain control, given that Democrats would need to win in states that favor Republicans." To gain control of the currently 53-47 Republican-controlled Senate, Democrats would likely need to hold all of their seats and flip four Republican seats, likely by defeating Maine incumbent Susan Collins (R-ME) and winning the North Carolina seat of retiring Senator Thom Tillis (R-NC), plus winning in two more states that President Trump won in 2024, such as Alaska, Iowa, Ohio, and Texas. The story cited as Democrats' best pickup opportunities:

• Maine, where Senator Collins will face the winner of a Democratic primary that includes Governor Janet Mills (D) v. Graham Platner
• Ohio, where Senator Jon Husted (R-OH), who was appointed to the seat previously held by Vice President JD Vance, faces former Senator Sherrod Brown (D-OH)
• North Carolina, where former governor Roy Cooper (D) will face Michael Whatley, a "former Republican National Committee chair endorsed by Trump"

Meanwhile, redistricting efforts in several states currently have netted 10 congressional districts redrawn in Democrats' favor, to nine favoring Republicans. That could change with a Florida special session to consider, as The Hill newspaper reported, a plan by Governor Ron DeSantis that "looks to nab Republicans four extra seats in the House." Republicans currently hold 20 Florida seats, compared to eight held by Democrats.