The announcement from the White House on Thursday came after Gruenberg’s tenure became marred by allegations of workplace abuse that led to him to resign.

A longtime financial regulator, Goldsmith Romero is currently a commissioner at the Commodity Futures Trading Commission, the nation’s financial derivatives regulator. She previously worked with the Department of Treasury and was part of the team that handled the Troubled Asset Relief Program, which lent $700 billion to troubled banks during the 2008 financial crisis. She also is a law professor at Georgetown University.

Her previous nominations to the nation’s financial regulators were unanimously confirmed by the Senate.

“She has proven herself to be a strong, independent, and fair regulator who is not afraid to do what’s right,” said Sen. Sherrod Brown, D-Ohio and chair of the Senate Banking Committee, in a statement.

Gruenberg last month said he would resign from the FDIC, after an independent report by law firm Cleary Gottlieb Steen & Hamilton found incidents of stalking, harassment, homophobia and other violations of employment regulations, based on more than 500 complaints from employees.

Complaints included a woman who said she was stalked by a coworker and continually harassed even after complaining about his behavior; a field office supervisor referring to gay men as “little girls;” and a female field examiner who described receiving a picture of an FDIC senior examiner’s private parts.

Republicans have been calling for Gruenberg to step down since the allegations emerged late last year. The White House and Gruenberg resisted those calls partly because the FDIC is led by a five member board, and his resignation would pass control of the agency to the FDIC’s vice chair, who is a Republican. Gruenberg’s resignation would not be official until Goldsmith Romero nomination is finalized.

“FDIC employees deserve a safe workplace that allows them to focus on their important mission to safeguard our country’s financial security. Unfortunately, under the leadership of Chairman Gruenberg, that hasn’t been the case,” said Sen. Tim Scott, the ranking Republican on the Banking Committee, in a statement.

The FDIC is one of several U.S. banking system regulators. The Great Depression-era agency is best known for running the nation’s deposit insurance program, which insures Americans’ deposits up to $250,000 in case their bank fails.

The post Biden to nominate Christy Goldsmith Romero as FDIC chair after abrupt departure of predecessor first appeared on Federal News Network.

Vice Adm. Carl Chebi, head of U.S. Naval Air Systems Command, which has responsibility for the aircraft military-wide, told lawmakers at a House oversight hearing into a series of recent crashes that it will be at least another six to nine months before the command will be able to complete all of the safety and performance assessments for the Osprey.

Over the lifespan of the program, Chebi said a total of 64 service members have been killed in air and ground accidents, and 93 have been injured. In the last two years, four separate crashes killed a total of 20 service members, and two of those crashes involved catastrophic materiel or mechanical failures the program had not experienced before.

Following a November crash off the coast of Japan that killed eight service members, the fleet was grounded for months. The Ospreys started flying again in a very limited format in March and do not perform the full range of missions, including carrier operations, that the aircraft was made to carry out.

In use since only 2007, the Osprey can fly like an airplane and land like a helicopter. Critics say its innovative design has systemic flaws that are driving the unexpected failures.

One of the reasons for the extension of restricted flight: The military is still working to fix a clutch failure that was identified as one of the primary factors in a June 2022 crash that killed five Marines in California.

The clutch component, like many other parts of the aircraft, has been wearing out far faster than expected. This led to an unprecedented dual hard clutch engagement in the 2022 crash, creating a situation in which the pilots had no way to save the aircraft.

The military has not yet said what exact part failed in the November crash, but Chebi told the panel Wednesday that the cause was something “we’d never seen before.”

Rep. Stephen Lynch, a Massachusetts Democrat, told Chebi to reground the entire fleet until all safety issues were fixed.

“What do you think the consequences will be if we have another V-22 go down and we lose more brave Marines or Airmen between now and the time?” Lynch said. “Your whole program’s done. It’s done. If another Osprey goes down, we’re done. This program’s done. So why don’t we ground this now?”

Families of service members killed in Osprey accidents sat behind Chebi as he testified. Each held a photograph of their family member killed, and after the hearing, he stayed to listen as they told him their concerns.

“We’re afraid that they’re aging out, and now we are having all these crashes,” said Bart Collart, whose son Marine Corps Cpl. Spencer Collart was killed in a 2023 Osprey crash off the coast of Australia.

The committee is looking into whether the program has adequate oversight, but to date, it has not received the data and documents it has requested, members said at the hearing.

Among the information that the House Oversight Committee’s Subcommittee on National Security, the Border and Foreign Affairs has requested but has yet to receive is the wear and replacement rates on Osprey proprotor gearboxes, a component that was a factor in the crash off Japan.

Committee members also have asked for internal crash reports that the military conducts with surviving air and ground crews and witnesses. The reports aren’t available to the public and cannot be used to punish a crew — they are in place to identify and quickly share any safety issues among the fleet.

To date, the staffers said they had received about 3,500 pages of documents, but information was redacted, leaving them unable to conduct oversight. The committee staffers spoke on the condition of anonymity to discuss sensitive matters.

The staffers said the documents they have reviewed left them concerned about whether Pentagon leadership has maintained a close watch on the Osprey program. Some of the problems with the aircraft date back a decade or more but still haven’t been fixed.

After mechanical and material failures led to the 2022 Osprey crash in California, the military said it had instituted changes to prevent the issue from happening again.

“However, the recent fatal crash and ongoing investigations suggest that more transparency and rigorous testing is needed to verify these claims,” Rep. Glenn Grothman, a Wisconsin Republican who chairs the committee, said in a statement to the AP ahead of the hearing.

The Marine Corps is planning on using the Osprey through 2050, while Air Force Special Operations Command has already begun to talk publicly about finding another type of aircraft to conduct missions.

Osprey producers Bell Flight, the Boeing Co. and Rolls-Royce, which supplies the engines, are facing a new lawsuit from families of the five Marines killed in the 2022 California crash. The lawsuit alleges that the companies did not address known parts failures or safety issues that were a factor in the crash.

Boeing and Bell have declined to comment, citing the ongoing litigation.

The staffers say the Pentagon has not provided details on what the restrictions are as the aircraft returns to operations.

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The proposed Lava Ridge wind farm has drawn opposition from government leaders, local ranchers, and people who have said, among other things, that the project endangers the Minidoka National Historic Site, where Japanese Americans were detained during World War II.

The agency detailed its preferred alternative to the original plan in its final environmental review released last week. It would decrease the number of wind turbines to 241 from 400 and cap the maximum height of the electricity-generating turbines at 660 feet (201 meters), KTVB-TV reported.

The plan also places the closest turbine to the historic site at 9 miles (14 kilometers) away. The agency said adjusting the corridor configuration aims to help “preserve the visitor experience of the remote nature of the former incarceration site.”

As proposed in 2020, it would have been built within about 2 miles (3.2 kilometers) of the visitor center for the historic site. Nonprofit organization, Friends of the Minidoka, is one group that has been concerned the project could destroy the the experience they want to preserve at the site.

Robyn Achilles, the organization’s executive director, said in a statement that most of the detailed historical research provided by the group to the Biden administration to enable them to better protect the historic site was disregarded in this decision.

The Biden administration “needs to do a better job and make a real commitment to protect Minidoka and our heritage, or we will be dealing with Lava Ridge and other projects forever,” Achilles said.

Idaho Republicans U.S. Rep. Mike Simpson and U.S. Sen. Jim Risch both expressed their continued opposition to the project in social media posts last week.

Risch said he would continue to fight what he called an “unnecessary and ill-begotten project.”

The Biden Administration has prioritized permitting renewable energy projects on public lands by 2025 as part of its response to climate change. Magic Valley Energy, which is a subsidiary of New York-based LS Power, proposed the Lava Ridge energy project and has said it would increase economic activity in the area in part by creating jobs and increasing local government tax revenues.

Luke Papez, senior director of project development for LS Power, said in a statement that the agency’s new preferred alternative appears to strike an appropriate balance between the protection of environmental resources and the need for additional domestic energy production.

The Bureau of Land Management released its draft environmental impact statement in early 2023 with two preferred alternatives. A 90-day comment period then generated more than 11,000 public comments and 1,400 scoping comments, officials said.

The final environmental review’s preferred alternative decreases the “area disturbed” by nearly 50%, from 8,395 acres to 4,492 acres (3,397 hectares to 1,817 hectares).

“The preferred alternative also reduces potential impacts to sage grouse, large wildlife migration routes and winter concentration areas, cultural resources, Jerome County Airport and agricultural aviation uses, public land ranchers, and adjacent private landowners,” BLM’s news release said.

If the new preferred alternative is selected, BLM estimates the project’s construction to generate $21.9 million in tax revenue annually and contribute $138.9 million in total economic output.

The BLM said the preferred alternative was created through engagement with landowners, ranchers, Tribal Nations, federal, state and county elected leaders, organizations, the BLM’s Resource Advisory Council for the area and the National Park Service.

Without any changes, the Bureau of Land Management’s preferred alternative would be finalized in July.

The post Bureau of Land Management shrinks proposed size of controversial Idaho wind farm project first appeared on Federal News Network.

Robert Burke, who served as vice chief of naval operations, faces federal charges including bribery and conspiracy for what prosecutors allege was a corrupt scheme that led to the company hiring him after his retirement in 2022 with a starting annual salary of $500,000. He oversaw naval operations in Europe, Russia, and most of Africa.

Also charged in the case are Yongchul “Charlie” Kim and Meghan Messenger, who are co-chief executive officers of the company. The company is not named in court papers, but Kim and Messenger are named as the CEOs on the website for a company called NextJump, which provides training programs.

“The law does not make exceptions for admirals or CEOs. Those who pay and receive bribes must be held accountable,” said Matthew Graves, the U.S. attorney for the District of Columbia. “The urgency is at its greatest when, as here, senior government officials and senior executives are allegedly involved in the corruption.”

Burke, 62, of Coconut Creek, Florida, made his initial appearance in Miami on Friday but didn’t enter a plea during the hearing, according to defense attorney Timothy Parlatore. The lawyer said Burke will plead not guilty and intends to clear his name at trial.

“I think a jury will see through this,” Parlatore said.

Burke conditionally retired from the Navy on July 31, 2022. Senior officers will often conditionally retire if there are administrative matters pending.

Rear Adm. Ryan Perry said the Department of the Navy has fully cooperated with the investigation.

“We take this matter very seriously and will continue to cooperate with the Department of Justice,” Perry said in a statement.

Kim and Messenger’s company provided a workforce training pilot program to a component of the Navy from August 2018 through July 2019. The Navy terminated the pilot program in late 2019 and directed the company not to contact Burke.

But the two company executives arranged to meet with Burke in Washington, D.C., in July 2021. During the meeting, Kim and Messenger proposed that Burke use his Navy position to steer them a contract in exchange for future employment at the company, the indictment alleges.

In December 2021, Burke ordered his staff to award a $355,000 contract to train personnel under Burke’s command in Italy and Spain, according to the indictment. Burke began working at the company in October 2022.

Parlatore noted that the value of that contract was smaller than Burke’s starting salary.

“There was no connection between this contract and his employment.” Parlatore said. “The math just doesn’t make sense that he would give them this relatively small contract for that type of a job offer.”

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Associated Press writer Lolita C, Baldor in Washington contributed to this report.

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The hearing was called to address oversight of financial regulators, including the Office of the Comptroller and the Federal Reserve, but two days of testimony have largely focused on the workplace culture at the FDIC and failures, according to the report, by Gruenberg to prevent hundreds of instances of harassment and discrimination against employees.

An independent review of the FDIC ‘s workplace culture released last week describes an environment that fostered “hostile, abusive, unprofessional, or inappropriate conduct,” and questions whether the agency’s chairman is able to lead the agency through a cultural transformation.

The report released Tuesday by law firm Cleary Gottlieb Steen & Hamilton cites incidents of stalking, harassment, homophobia and other violations of employment regulations, based on more than 500 complaints from employees.

Complaints included a woman who said she was stalked by a coworker and continually harassed even after complaining about his behavior; a field office supervisor referring to gay men as “little girls”; and a female field examiner who described receiving a picture of an FDIC senior examiner’s private parts.

The FDIC is one of several banking system regulators. The Great Depression-era agency is best known for running the nation’s deposit insurance program, which insures Americans’ deposits up to $250,000 in case their bank fails.

On Thursday, Republican lawmakers roundly called on Gruenberg, who is a Democrat, to resign, after a similar grilling at the House Financial Services Committee on Wednesday. At Thursday’s hearing, Sen. Tim Scott (R-SC) detailed several stories of female FDIC workers who outlined extreme harassment and stalking by their coworkers, complaints that were dismissed by supervisors, according to the report.

“Marty — you’ve heard me say this to you directly — you should resign,” Scott said. “Your employees do not have confidence in you. And this is not a single incident. This spans over a decade-plus of your leadership at the FDIC.”

Gruenberg said in his testimony that he takes “full responsibility to anyone who has experienced sexual harassment, discrimination or other misconduct at the FDIC. I again want to apologize and express how deeply sorry I am.”

Democratic Senators did not call on the agency chairman to resign, but called on Gruenberg to change the agency.

“Chair Gruenberg, it’s up to you to prove to the public and to your employees that you are that leader, and are able to restore confidence in the FDIC,” Committee Chair Sen. Sherrod Brown (D-OH) said.

Sen. John Kennedy said he plans to introduce a bill that will extend the statute of limitations for FDIC employees to file suit over the abuses they experienced while employed at the agency.

“Have you ever heard the expression ‘a fish rots from the head down?’” Kennedy (R-LA) asked Gruenberg, adding, “you’re not going to be able to clean up the FDIC because you’re going to be too busy defending yourself in court.”

Gruenberg heard similar comments to either step down or make serious reforms from Democrats and Republicans on Wednesday, when he appeared in front of the House Financial Services Committee.

“There is a deficit of trust and your credibility has been undermined,” said Rep. Ayanna Pressley, D-Massachusetts, at Wednesday’s hearing.

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The justices ruled 7-2 that the way the CFPB is funded does not violate the Constitution, reversing a lower court and drawing praises from consumers. Justice Clarence Thomas wrote the majority opinion, splitting with his frequent allies, Justices Samuel Alito and Neil Gorsuch, who dissented.

The CFPB was created after the 2008 financial crisis to regulate mortgages, car loans and other consumer finance. The case was brought by payday lenders who object to a bureau rule that limits their ability to withdraw funds directly from borrowers’ bank accounts. It’s among several major challenges to federal regulatory agencies on the docket this term for a court that has for more than a decade been open to limits on their operations.

The CFPB, the brainchild of Democratic Sen. Elizabeth Warren of Massachusetts, has long been opposed by Republicans and their financial backers. The bureau says it has returned $19 billion to consumers since its creation.

Outside the Supreme Court following the decision, Warren said, “The Supreme Court followed the law, and the CFPB is here to stay.”

President Joe Biden, a fellow Democrat who has taken steps to strengthen the bureau, called the ruling “an unmistakable win for American consumers.”

Unlike most federal agencies, the consumer bureau does not rely on the annual budget process in Congress. Instead, it is funded directly by the Federal Reserve, with a current annual limit of around $600 million.

The federal appeals court in New Orleans, in a novel ruling, held that the funding violated the Constitution’s appropriations clause because it improperly shields the CFPB from congressional supervision.

Thomas reached back to the earliest days of the Constitution in his majority opinion to note that “the Bureau’s funding mechanism fits comfortably with the First Congress’ appropriations practice.”

In dissent, Alito wrote, “The Court upholds a novel statutory scheme under which the powerful Consumer Financial Protection Bureau (CFPB) may bankroll its own agenda without any congressional control or oversight.”

The CFPB case was argued more than seven months ago, during the first week of the court’s term. Lopsided decisions like Thursday’s 7-2 vote typically don’t take so long, but Alito’s dissent was longer than the majority opinion, and two other justices, Elena Kagan and Ketanji Brown Jackson, wrote separate opinions even though they both were part of the majority.

Consumer groups cheered the decision, as did a bureau spokesman.

“For years, lawbreaking companies and Wall Street lobbyists have been scheming to defund essential consumer protection enforcement,” bureau spokesman Sam Gilford said in a statement. “The Supreme Court has rejected their radical theory that would have devastated the American financial markets. The Court repudiated the arguments of the payday loan lobby and made it clear that the CFPB is here to stay.”

Jesse Van Tol, president and CEO of the National Community Reinvestment Coalition, said the decision upholding the consumer bureau’s funding structure would have positive effects across the U.S. economy.

“It’s always nice to see the courts get something right — especially in this tawdry circumstance where payday loan predators sought to wriggle out of basic oversight using absurd distortions of law and fact,” Van Tol said in a statement.

While the U.S. Chamber of Commerce and some other business interests backed the payday lenders, mortgage bankers and other sectors regulated by the CFPB cautioned the court to avoid a broad ruling that could unsettle the markets.

In 2020, the court decided another CFPB case, ruling that Congress had improperly insulated the head of the bureau from removal. The justices said the director could be replaced by the president at will but allowed the bureau to continue to operate.

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This story has been corrected to show the bureau spokesman’s surname is Gilford, not Goldford or Gifford.

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Follow the AP’s coverage of the U.S. Supreme Court at https://apnews.com/hub/us-supreme-court.

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The Small Business Administration released its annual scorecard measuring how well federal agencies meet their small business contracting goals each year.

Overall, the federal government has a goal to award 23% of contracts to small businesses. In fiscal 2023, 28.4% of contracts were awarded to small businesses, amounting to $178.6 billion. It’s the third year of exceeding the goal, according to the SBA.

The SBA said the contracts support over a million jobs in industries like manufacturing, construction, and technology.

“Through President Biden’s Investing in America agenda, we have championed initiatives to fuel the nation’s economy – ensuring competition and a level playing field so that small businesses can access the historic level of investments through federal contracting,” said SBA Administrator Isabel Casillas Guzman.

Ten federal agencies received ‘A+’ grades on the annual scorecard. Those included: the SBA, Department of Agriculture, Department of Housing and Urban Development, Department of the Interior, Department of Homeland Security, National Science Foundation, General Services Administration, Department of Commerce, Nuclear Regulatory Commission, and Office of Personnel Management.

Two agencies that received a ‘B,’ the lowest grade awarded: the Environmental Protection Agency and the Department of Health and Human Services.

More information can be found at www.sba.gov/agency-scorecards.

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The order forces the divestment of property operated as a crypto mining facility near the Francis E. Warren Air Force Base. MineOne Partners Ltd., a firm partly backed by Chinese nationals, and its affiliates are also required to remove certain equipment on the site.

This comes as the U.S. is slated on Tuesday to issue major new tariffs on electric vehicles, semiconductors, solar equipment and medical supplies imported from China, according to a U.S. official and another person familiar with the plan.

And with election season in full swing, both Biden and his presumptive Republican challenger, former President Donald Trump, have told voters that they’ll be tough on China, the world’s second-largest economy after the United States and an emerging geopolitical rival.

The Monday divestment order was made in coordination with the U.S. Committee on Foreign Investment in the United States — a little-known but powerful government committee tasked with investigating corporate deals for national security concerns that holds power to force companies to change ownership structures or divest completely from the U.S.

A 2018 law granted CFIUS the authority to review real estate transactions near sensitive sites across the U.S., including F.E. Warren Air Force Base.

MineOne purchased the land that is within one mile of the Air Force base in Cheyenne in 2022, and according to CFIUS, the purchase was not reported to the committee as required until after the panel received a public tip.

The order was vague about the specific national security concerns, with the Treasury Department saying only that there were issues with “specialized and foreign-sourced equipment potentially capable of facilitating surveillance and espionage activities” that “presented a significant national security risk.”

A representative from the firm did not respond to an Associated Press request for comment.

Treasury Secretary Janet Yellen, who serves as the chairperson of CFIUS, said the role of the committee is “to ensure that foreign investment does not undermine our national security, particularly as it relates to transactions that present risk to sensitive U.S. military installations as well as those involving specialized equipment and technologies.”

The committee is made up of members from the State, Justice, Energy and Commerce Departments among others, which investigates national security risks from foreign investments in American firms.

CFIUS directed the sale of the property within 120 days, and that within 90 days the company remove all structures and equipment on the site.

The post Biden blocks Chinese-backed crypto mining firm from land ownership near Wyoming missile base first appeared on Federal News Network.

The new system, called Direct File, is a free online tool. Taxpayers in the selected states who have very simple W-2s and claim a standard deduction may be eligible to use it this tax season to file their federal income taxes. The program will also offer a Spanish version, which will be available starting at 1 p.m. Eastern Time on Tuesday.

“This is a milestone,” said IRS Commissioner Daniel Werfel during a Tuesday press conference to announce the expanded availability of the program. Tax season officially began January 29 and the filing deadline is April 15.

“Direct File marks the first time you can electronically file a tax return directly with the IRS,” Werfel said. “And you can’t beat the price — its free.”

The Treasury Department estimates that one-third of all federal income tax returns filed could be prepared using Direct File and that 19 million taxpayers may be eligible to use the tool this tax season. So far, roughly 20,000 people have participated in the pilot program, according to the IRS, and expect participation to grow to 100,000 filers in the coming weeks.

Certain taxpayers in Florida, New Hampshire, Nevada, South Dakota, Tennessee, Texas, Washington, Wyoming, Arizona, Massachusetts, California and New York can participate. Direct File can only be used to file federal income taxes, taxpayers from states that require filing state taxes will need to do so separately.

“Direct File will offer millions of Americans a free and simple way to file their taxes, with no expensive and unnecessary filing fees and no upselling, putting hundreds of dollars back in the pocket of working families each year, consistent with President Biden’s pledge to lower costs,” said National Economic Advisor Lael Brainard.

Werfel said a component of the program that enhances filers’ usability is the live chat feature that allows taxpayers to interact with the IRS while they complete their taxes.

The Direct File pilot is part of the agency’s effort to build out a new government service that could replace some taxpayers’ use of commercial tax preparation software, such as TurboTax. It’s meant to be simple and provides a step-by-step walkthrough of easy-to-answer questions.

Derrick Plummer, a spokesman for Intuit, said in an email that Direct File “is not free tax preparation but a thinly veiled scheme that will cost billions of taxpayer dollars to pay for something already completely free of charge today.”

“This scheme will cost billions of taxpayer dollars and will be unnecessarily used to pay for something already completely free of charge today,” Plummer said.

Several organizations offer free online tax preparation assistance to taxpayers under certain income limits and fillable forms are available online on the IRS website, but the forms are complicated and taxpayers still have to calculate their tax liability.

When asked whether the Direct File program will likely be built out and available in the 2025 filing season, Werfel said: “I don’t want to prematurely reach a conclusion,” he said, but positive reports from users “have been encouraging.”

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Hussein reported from Washington, D.C.

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The Associated Press receives support from Charles Schwab Foundation for educational and explanatory reporting to improve financial literacy. The independent foundation is separate from Charles Schwab and Co. Inc. The AP is solely responsible for its journalism.

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The Senate met into Wednesday night to pass the bill with an 87-11 tally and send it to President Joe Biden for his signature one day after it passed the House on an overwhelming bipartisan vote. It provides a funding patch into next year, when the House and Senate will be forced to confront — and somehow overcome — their considerable differences over what funding levels should be.

In the meantime, the bill removes the threat of a government shutdown days before funding would have expired.

“This year, there will be no government shutdown,” Senate Majority Leader Chuck Schumer said at a news conference after the bill’s passage.

The spending package keeps government funding at current levels for roughly two more months while a long-term package is negotiated. It splits the deadlines for passing full-year appropriations bills into two dates: Jan. 19 for some federal agencies and Feb. 2 for others, creating two deadlines where there will be a risk of a partial government shutdown.

“Everybody is really kind of ready to vote and fight another day,” Republican Whip John Thune, the No. 2 Republican, said earlier Wednesday.

The two-step approach was not favored by many in the Senate, though all but one Democrat and 10 Republicans supported it because it ensured the government would not shut down for now. Sen. Patty Murray, the Washington Democrat who chairs the Senate Appropriations Committee, voted for the bill but said it would eventually “double the shutdown risk.”

The spending bill also does not include the White House’s nearly $106 billion request for wartime aid for Israel and Ukraine, as well as humanitarian funding for Palestinians and other supplemental requests. Lawmakers are likely to turn their attention more fully to that request after the Thanksgiving holiday in hopes of negotiating a deal.

House Speaker Mike Johnson, who crafted the plan, has vowed that he will not support any further stopgap funding measures, known as continuing resolutions. He portrayed the temporary funding bill as setting the ground for a spending “fight” with the Senate next year.

The new speaker, who told reporters this week that he counted himself among the “arch-conservatives” of the House, is pushing for deeper spending cuts. He wanted to avoid lawmakers being forced to consider a massive government funding package before the December holidays — a tactic that incenses conservatives in particular.

But Johnson is also facing pushback from other hardline conservatives who wanted to leverage the prospect of a government shutdown to extract steep cuts and policy demands.

Many of those conservatives were among a group of 19 Republicans who defied Johnson Wednesday to prevent floor consideration of an appropriations bill to fund several government agencies.

GOP leaders called off the week’s work after the vote, sending lawmakers home early for Thanksgiving. It capped a period of intense bickering among lawmakers.

“This place is a pressure cooker,” Johnson said Tuesday, noting that the House had been in Washington for 10 weeks straight.

The House GOP’s inability to present a united front on funding legislation could undercut the Louisiana congressman’s ability to negotiate spending bills with the Senate.

Republicans are demanding that Congress work out government funding through 12 separate bills, as the budgetary process requires, but House leadership has so far been forced to pull two of those bills from the floor, seen another rejected on a procedural vote and struggled to win support for others.

When it returns in two weeks, Congress is expected to focus on the Biden administration’s requests for Ukraine and Israel funding. Republican senators have demanded that Congress pass immigration and border legislation alongside additional Ukraine aid, but a bipartisan Senate group working on a possible compromise has struggled to find consensus.

Senate Republican Leader Mitch McConnell in a floor speech pledged that Republicans would continue to push for policy changes on the U.S. border with Mexico, saying it is “impossible to ignore the crisis at our southern border that’s erupted on Washington Democrats’ watch.”

One idea floating among Republicans is directly tying Ukraine funding levels with decreases in the number of illegal border crossings. It showed how even longtime supporters of Ukraine’s defense against Russia are willing to hold up the funding to force Congress to tackle an issue that has flummoxed generations of lawmakers: U.S. border policy.

Most Senate Republicans support the Ukraine funding, said Sen. Kevin Cramer, R-N.D., but he added, “It is secondary to securing our own border.”

But the U.S. is already trimming some of the wartime aid packages it is sending Ukraine as funds run low, National Security Council spokesperson John Kirby said from San Francisco, where he accompanied President Joe Biden for a summit of Asia-Pacific leaders.

He said the pot of money available for Ukraine is “withering away, and with it will be a deleterious effect on Ukraine’s ability to continue to defend itself.”

Sen. Michael Bennet, D-Colo., said in a statement that he voted against Wednesday’s funding package because it did not include aid for Ukraine.

Schumer said the Senate would try to move forward on both the funding and border legislation in the coming weeks, but warned it would require a compromise and implored the House speaker, Johnson, to once again work with Democrats.

“I hope the new speaker continues to choose the bipartisan approach,” Schumer said.

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Associated Press writers Mary Clare Jalonick, Darlene Superville and Farnoush Amiri contributed to this report.

The post Congress approves temporary funding and pushes the fight over the federal budget into the new year first appeared on Federal News Network.

The package drops aid to Ukraine, a White House priority opposed by a growing number of GOP lawmakers, but increases federal disaster assistance by $16 billion, meeting Biden’s full request. The bill funds government until Nov. 17.

After chaotic days of turmoil in the House, Speaker Kevin McCarthy abruptly abandoned demands for steep spending cuts from his right flank and instead relied on Democrats to pass the bill, at risk to his own job. The Senate followed with final passage closing a whirlwind day at the Capitol.

“This is good news for the American people,” Biden said in a statement.

He also said the United States “cannot under any circumstances allow American support for Ukraine to be interrupted” and expected McCarthy “will keep his commitment to the people of Ukraine and secure passage of the support needed to help Ukraine at this critical moment.”

It’s been a sudden head-spinning turn of events in Congress ahead of the midnight funding deadline after grueling days in the House pushed the government to the brink of a disruptive federal shutdown.

The outcome ends, for now, the threat of a shutdown, but the reprieve may be short-lived. Congress will again need to fund the government in coming weeks risking a crisis as views are hardening, particularly among the right-flank lawmakers whose demands were ultimately swept aside this time in favor of a more bipartisan approach.

“We’re going to do our job,” McCarthy, R-Calif., said before the House vote. “We’re going to be adults in the room. And we’re going to keep government open.”

If no deal was in place before Sunday, federal workers would have faced furloughs, more than 2 million active-duty and reserve military troops would have had to work without pay and programs and services that Americans rely on from coast to coast would have begun to face shutdown disruptions.

“It has been a day full of twists and turns, but the American people can breathe a sigh of relief: There will be no government shutdown,” said Senate Majority Leader Chuck Schumer, D-N.Y.

The package funds government at current 2023 levels until mid-November, and also extends other provisions, including for the Federal Aviation Administration. The package was approved by the House 335-91, with most Republicans and almost all Democrats supporting. Senate passage came by an 88-9 vote.

But the loss of Ukraine aid was devastating for lawmakers of both parties vowing to support President Volodymyr Zelenskyy after his recent Washington visit. The Senate bill included $6 billion for Ukraine, and both chambers came to a standstill Saturday as lawmakers assessed their options.

“The American people deserve better,” said House Democratic leader Hakeem Jeffries of New York, warning in a lengthy floor speech that “extreme” Republicans were risking a shutdown.

For the House package to be approved, McCarthy was forced to rely on Democrats because the speaker’s hard-right flank has said it will oppose any short-term funding measure, denying him the votes needed from his slim majority. It’s a move that is sure to intensify calls for his ouster.

After leaving the conservative holdouts behind, McCarthy is almost certain to be facing a motion to try to remove him from office, though it is not at all certain there would be enough votes to topple the speaker. Most Republicans voted for the package Saturday while 90 opposed.

“If somebody wants to remove me because I want to be the adult in the room, go ahead and try,” McCarthy said of the threat to oust him. “But I think this country is too important.”

The White House was tracking the developments on Capitol Hill and aides were briefing the president, who was spending the weekend in Washington.

Senate Republican leader Mitch McConnell, who has championed Ukraine aid despite resistance from his own ranks, is expected to keep pursuing U.S. support for Kyiv in the fight against Russia.

“I have agreed to keep fighting for more economic and security aid for Ukraine,” McConnell, R-Ky., said before the vote.

Late at night, the Senate stalled when Sen. Michael Bennet, D-Colo., held up the vote, seeking assurances Ukraine funds would be reconsidered.

“I know important moments are like this, for the United States, to lead the rest of the world,” Bennet said, noting his mother was born in Poland in 1938 and survived the Holocaust. “We can’t fail.”

The House’s quick pivot comes after the collapse Friday of McCarthy’s earlier plan to pass a Republican-only bill with steep spending cuts up to 30% to most government agencies and strict border provisions that the White House and Democrats rejected as too extreme. A faction of 21 hard-right Republican holdouts opposed it.

“Our options are slipping away every minute,” said one senior Republican, Rep. Mario Diaz-Balart of Florida.

The federal government had been heading straight into a shutdown that posed grave uncertainty for federal workers in states all across America and the people who depend on them — from troops to border control agents to office workers, scientists and others.

Families that rely on Head Start for children, food benefits and countless other programs large and small were confronting potential interruptions or outright closures. At the airports, Transportation Security Administration officers and air traffic controllers had been expected to work without pay, but travelers could have faced delays in updating their U.S. passports or other travel documents.

The White House has brushed aside McCarthy’s overtures to meet with Biden after the speaker walked away from the debt deal they brokered earlier this year that set budget levels.

Catering to his hard-right flank, McCarthy had made multiple concessions including returning to the spending limits the conservatives demanded back in January as part of the deal-making to help him become the House speaker.

But it was not enough as the conservatives insisted the House follow regular rules, and debate and approve each of the 12 separate spending bills needed to fund the government agencies, typically a months-long process. In the Senate, all the no votes against the package came from Republicans.

McCarthy’s chief Republican critic, Rep. Matt Gaetz of Florida, has warned he will file a motion calling a vote to oust the speaker.

Some of the Republican holdouts, including Gaetz, are allies of former President Donald Trump, who is Biden’s chief rival in the 2024 race. Trump has been encouraging the Republicans to fight hard for their priorities and even to “shut it down.”

At an early closed-door meeting at the Capitol, several House Republicans, particularly those facing tough reelections next year, urged their colleagues to find a way to prevent a shutdown.

“All of us have a responsibility to lead and to govern,” said Republican Rep. Mike Lawler of New York.

The lone House Democrat to vote against the package, Rep. Mike Quigley of Illinois, the co-chair of the Congressional Ukraine Caucus, said, “Protecting Ukraine is in our national interest.”

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Associated Press writers Colleen Long and Mary Clare Jalonick contributed to this report.

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The White House will tell federal agencies on Friday to prepare for a shutdown, according to an official with the Office of Management and Budget who insisted on anonymity to discuss the upcoming instructions. That’s standard seven days out from a federal disruption.

The Republican McCarthy has repeatedly tried to appease his hard-right flank by agreeing to the steep spending cuts they are demanding to keep government open. But cheered on by Donald Trump, the Republican front-runner for president in 2024, the conservatives have all but seized control in dramatic fashion.

In a crushing defeat Thursday, a handful of Republican hardliners blocked a typically popular defense bill from advancing — the second time this week it was set back, an unheard-of loss for a House speaker.

Even a stopgap bill to keep government funding past the Sept. 30 deadline, called a continuing resolution or CR, is a non-starter for some on the right flank who have essentially seized control of the House.

“This is a whole new concept of individuals who just want to burn the whole place down,” McCarthy said after Thursday’s vote, acknowledging he was frustrated. “It doesn’t work.”

The open revolt was further evidence that McCarthy’s strategy of repeatedly giving in to the conservatives is seemingly only emboldening them, allowing them to run roughshod over their own House majority. Their conservative bills have almost no chances in the Senate.

Trump urged the conservatives to hold the line against the higher funding levels McCarthy had agreed to with President Joe Biden earlier this year and to end the federal criminal indictments against him.

“This is also the last chance to defund these political prosecutions against me and other Patriots,” Trump wrote on social media.

“They failed on the debt limit, but they must not fail now. Use the power of the purse and defend the Country!” the former president wrote.

The White House and Democrats, along with some Republicans, warn that a shutdown would be devastating for people who rely on their government for everyday services and would undermine America’s standing in the world.

“We need the extreme MAGA Republicans to get their act together,” said House Democratic leader Hakeem Jeffries of New York, referring to Trump’s “Make America Great Again” slogan.

“End the civil war,” Jeffries urged the Republicans. “Get your act together.”

But one of Trump’s top allies, Rep. Matt Gaetz, R-Fla., who is leading the hard-right flank, said the House Republicans now have almost no choices left but to spend the time it takes to pass each of the 12 spending bills needed to fund the government — typically a laborious process — even if it means going into a shutdown.

Or they can join with Democrats to pass a CR, which is sure to put McCarthy’s job at risk.

What Gaetz said he, and several others, would not do is vote for a continuing resolution that fails to slash spending.

“I’m giving a eulogy for the CR right now,” Gaetz told reporters after a late afternoon meeting at the Capitol.

“I represent Florida’s first congressional district, where during the shutdown tens of thousands of people will go without a paycheck, and so I know the impact of a shutdown,” Gaetz said. “So it may get worse before it gets better, and I have little to offer but blood, sweat, toil and tears, but that may be what it takes.”

A government closure is increasingly likely as time runs out for Congress to act.

McCarthy’s bid to move ahead with a traditionally popular defense funding bill as a first step toward keeping the government running was shattered, on a vote of 212-216. Five Republicans refused to vote with the increasingly endangered speaker. A sixth Republican voted no on procedural grounds so the bill could be reconsidered.

Moving forward with the defense bill was supposed to be a way for McCarthy to build goodwill among the GOP House majority as he tries to pass a temporary measure just to keep government running for another month. It, too, had catered to other hard-right priorities, such as slashing spending by 8% from many services and bolstering security at the U.S.-Mexico border.

Many on the right flank opposed the deal McCarthy struck with Biden this year over the spending levels and are trying to dismantle it now. They want to see progress on the individual appropriations bills that would fund the various federal departments at the lower levels these lawmakers are demanding.

The morning test vote shattered a McCarthy strategy that had emerged just the night before. Republicans had appeared on track, in a tight roll call, to advancing the measure Thursday. Then the Democrats who had not yet voted began rushing into the chamber.

New York Rep. Alexandria Ocasio-Cortez and fellow Democrats yelled out to hold open the vote. She was a “no.” A few others came in behind her and tipped the tally toward defeat.

The Democrats oppose the military bill on many fronts, including Republican provisions that would gut diversity programs at the Pentagon.

As passage appeared doomed, attention turned to the five Republican holdouts to switch their votes.

GOP leaders spent more than an hour on the floor trying to recruit one of them, Rep. Dan Bishop. R-N.C., to vote “yes.”

“Every time there’s the slightest relief of the pressure, the movement goes away from completing the work,” Bishop said.

When asked what it would take to gain his vote, Bishop said, “I think a schedule of appropriations bills over Kevin McCarthy signature would be meaningful to you to me.”

Others were dug in, including some who had supported advancing the defense bill just two days ago when it first failed.

Rep. Marjorie Taylor Greene, R-Ga., a chief opponent of more aid for Ukraine in the war against Russia, said she voted against the defense bill this time because her party’s leadership refused to separate out the war money. Her stand came as Ukraine’s president, Volodymyr Zelenskyy, was at the Capitol during a high-profile visit to Washington.

McCarthy had pledged to keep lawmakers in session this weekend for as long as it took to finish their work. But they were sent home, told they could be called back on ample notice.

Many Republicans were starting to speak up more forcefully against their hard-right colleagues.

New York Rep. Mike Lawler, who represents a swing district, said he would not “be party to a shutdown.”

“There needs to be a realization that you’re not going to get everything you want,” he said. “Just throwing a temper tantrum and stomping your feet — frankly, not only is it wrong — it’s just pathetic.”

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Associated Press writers Farnoush Amiri, Kevin Freking, Josh Boak and Jill Colvin contributed to this report.

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The White House said Biden nominated Michael G. Whitaker, a former deputy administrator at the FAA. He is currently the chief operating officer of a Hyundai affiliate working to develop an air taxi aircraft.

Whitaker’s nomination had been expected for months, and Biden’s announcement was praised by several industry and labor groups.

The FAA, which regulates airline safety and manages the nation’s airspace, has been run by back-to-back acting administrators since March 2022.

The agency faces a number of challenges including a shortage of air traffic controllers, aging technology, and alarm over close calls between planes at major airports. In addition, Congress is deliberating over legislation that will direct the agency’s operations for the next five years.

Whitaker worked as a lawyer for TWA, which was absorbed by American Airlines, spent 15 years at United Airlines, where he became a senior vice president and oversaw international and regulatory affairs, then moved to InterGlobe, a travel company in India.

He was deputy FAA administrator — a job that does not require Senate approval — from 2013 to 2016. He is currently the chief commercial officer for Supernal, a Hyundai subsidiary that is working on an electric-powered air taxi — which would need FAA certification to fly in the United States.

The White House said Whitaker holds a private-pilot license.

Last year, Biden nominated Denver International Airport CEO Phillip Washington, but he withdrew in March after his nomination stalled in the Senate Commerce Committee. Republicans and independent Kyrsten Sinema argued that Washington lacked adequate aviation experience — his background is mostly in city transit systems, having held the Denver airport job only since mid-2021.

Sen. Ted Cruz of Texas, who led the GOP opposition to Biden’s first pick, gave a noncommittal statement about the second choice.

“We must carefully evaluate Mike Whitaker’s qualifications, experience, and temperament to determine whether he is the right person to lead the agency at this critical juncture,” Cruz said.

The FAA has lacked a Senate-confirmed leader since early last year, when Stephen Dickson, who was chosen by President Donald Trump, quit midway through his five-year term.

Since then, the agency has been run by two successive acting administrators. The first, Billy Nolen, who left FAA in June to join another air taxi company, Archer Aviation, praised Whitaker’s nomination in a recent interview. “I can’t think of a better choice,” he said. “He will do an amazing job.”

Earl Lawrence, a former senior official at the FAA who now works for Xwing, which is developing pilotless planes to carry cargo, said Whitaker’s appointment would be a win for companies making drones and autonomous aircraft — in part because of Whitaker’s time at Supernal.

“He knows how to support the airlines because he worked at the airlines, and he has worked with the drone folks,” Lawrence said. He will “create the environment that it’s OK to move forward” with new technologies.

A range of industry groups praised Whitaker as somebody they can work with — which could raise questions about FAA independence from the companies it regulates.

Nicholas Calio, president of the trade group Airlines for America, said Whitaker has extensive experience including on modernizing the air traffic system. He said Whitaker appreciates “the collaborative partnership between industry and government” to keep air travel safe.

Sara Nelson, president of the Association of Flight Attendants, urged the Senate to confirm Biden’s pick quickly. “Whitaker has the experience to step into the role and immediately lead us forward,” she said.

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This story has been corrected to note that FAA has been run by two successive acting administrators, not three.

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An official with the Office of Management and Budget said lawmakers would very likely need to pass a temporary spending measure in September to prevent a potential partial shutdown. The official was not authorized to discuss the administration’s plans and spoke to The Associated Press on condition of anonymity.

Without such congressional approval, parts of the federal government could shut down when the new budget year begins Oct. 1. That would jeopardize federal programs on which millions of U.S. households and businesses rely. The shutdown is a risk because of disagreements on the annual spending bills to be passed by the Republican-led House and and Democratic-majority Senate. Neither side wants a shutdown despite their differences.

House Republicans are insisting on sharp cuts to many programs, reopening a tense debate about government finances from earlier this year when the White House and Congress reached a compromise in June to extend the government’s legal borrowing authority through January 2025.

White House press secretary Karine Jean-Pierre outlined the administration’s two-front push on government funding at Thursday’s briefing. On August 10, the administration sent Congress a request for supplemental funding that would include money for disaster relief, aid to Ukraine and programs to address fentanyl addiction. The supplemental is separate from Thursday’s request for a short-term funding plan to keep the government open.

As part of the request for short-term funding, the White House Office of Management and Budget is seeking additional adjustments to avoid possible disruptions to food aid for women, infants and children. Without the adjustments, states could put recipients on wait lists and cause them to go hungry, Jean-Pierre said.

“This is something that Congress can do — they can prevent a government shutdown,” Jean-Pierre said. “They need to prevent a government shutdown.”

House Speaker Kevin McCarthy, R-Calif., told Fox News on Sunday that he “would actually like” to have a short-term funding measure because a shutdown “hurts the American public.” He suggested an extension would allow the House to pass its own spending plans and improve its leverage in talks with the Senate.

The Washington Post first reported on Thursday that the White House said Congress should pass a short-term funding measure.

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Since 2019, Iran has seized a series of ships in the strait, the narrow mouth of the Persian Gulf, as part of its efforts to pressure the West over negotiations regarding its collapsed nuclear deal with world powers. Putting U.S. troops on commercial ships could further deter Iran from seizing vessels — or escalate tensions further.

The contemplated move also would represent an extraordinary commitment in the Mideast by U.S. forces as the Pentagon tries to focus on Russia and China. America didn’t even take the step during the so-called “Tanker War,” which culminated with the U.S. Navy and Iran fighting a one-day naval battle in 1988 that was the Navy’s largest since World War II.

While officials offered few details of the plan, it comes as thousands of Marines and sailors on both the amphibious assault ship USS Bataan and the USS Carter Hall, a landing ship, are on their way to the Persian Gulf. Those Marines and sailors could provide the backbone for any armed guard mission in the strait, through which 20% of the world’s crude oil passes.

Iran’s mission to the United Nations did not respond to a request for comment from AP about the U.S. proposal. Hours later, however, Iran’s state-run IRNA news agency acknowledged the proposal, citing this AP report.

Five U.S. officials, who spoke on condition of anonymity to discuss the proposal, acknowledged its broad details. The officials stressed no final decision had been made and that discussions continue between U.S. military officials and America’s Gulf Arab allies in the region.

Officials said the Marines and Navy sailors would provide the security only at the request of the ships involved. One official described the process as complex, saying any deployment likely also would require approval of the country under which the ship is flagged and the country under which the owner is registered. So far, that has yet to happen and it might not for some time, the official said.

At the Pentagon, Brig. Gen. Pat Ryder was asked about the plans and would only say that he has no announcements to make on the matter. More broadly, however, he noted that additional ships, aircraft and Marines have been deployed to the Gulf region, making it easier to respond more quickly to any Iranian provocations.

That effort by U.S. and partners, he said, is aimed at ensuring “the Strait of Hormuz remains open, there’s freedom of navigation, and that we’re deterring any type of malign activity.”

And White House National Security Council spokesman John Kirby, speaking to reporters, underscored the importance of the strait and U.S. concerns about Iranian harassment of vessels there.

“The Strait of Hormuz is a vital seaway that has a huge impact on seaborne trade around the world,” Kirby said. “It’s a critical chokepoint in the maritime world. And we have seen threats by Iran to affect that chokepoint.”

Earlier Thursday, Vice Adm. Brad Cooper, the head of the Navy’s Mideast-based 5th Fleet, met with the head of the Gulf Cooperation Council. The six-nation bloc includes Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.

While a statement from the GCC about the meeting did not hint at the proposal, it did say that Cooper and officials discussed “strengthening GCC-U.S. cooperation and working with international and regional partners.”

The Bataan and Carter Hall left Norfolk, Virginia, on July 10 on a mission the Pentagon described as being “in response to recent attempts by Iran to threaten the free flow of commerce in the Strait of Hormuz and its surrounding waters.” The ships made a port visit earlier this week at Souda Bay, Greece, drawing closer to the Mideast, according to photographs released by the Navy.

Already, the U.S. has sent A-10 Thunderbolt II warplanes, F-16 and F-35 fighters, as well as the destroyer USS Thomas Hudner, and other warships to the region over Iran’s actions at sea.

The deployment has captured Iran’s attention, with its chief diplomat telling neighboring nations that the region doesn’t need “foreigners” providing security. On Wednesday, Iran’s paramilitary Revolutionary Guard launched a surprise military drill on disputed islands in the Persian Gulf, with swarms of small fast boats, paratroopers and missile units taking part.

The renewed hostilities come as Iran now enriches uranium closer than ever to weapons-grade levels after the collapse of its 2015 nuclear deal. International inspectors also believe it has enough enriched uranium for “several” nuclear bombs if it chose to build them. Iran maintains its program is for peaceful purposes, and U.S. intelligence agencies assess Tehran is not pursuing an atomic bomb.

The U.S. also has pursued ships across the world believed to be carrying sanctioned Iranian oil. Oil industry worries over another seizure by Iran likely has left a ship allegedly carrying Iranian oil stranded off Texas as no company has yet to unload it.

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Baldor reported from Washington. Associated Press writers Tara Copp and Aamer Madhani in Washington contributed to this report.

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