Congress Advances $900B Defense Authorization and Faces Confirmation Hurdles

The House and Senate have released a compromise fiscal year 2026 defense authorization bill with a $900.6 billion funding authorization, exceeding prior requests and approvals. The bill aims to reform the Pentagon's acquisition process to facilitate faster delivery of equipment to troops, reflecting a focus on efficient defense capabilities. Additionally, the bill incorporates authorizations for intelligence, the Coast Guard, and the State Department, including provisions related to China. While some financial services elements are included, broad housing reforms were excluded, continuing ongoing debates over affordability legislation. In the Senate, confirmation of executive nominees under the new Republican en bloc process faces challenges, notably with the inclusion of the Office of National Drug Control Policy director who is not eligible for expedited consideration. This procedural hurdle impacts the advancement of numerous Trump nominees. Separate Senate activities include consideration of Affordable Care Act tax subsidy extensions, though their prospective success remains uncertain. Upcoming Senate Judiciary subcommittee hearings will feature prominent testimony on the American Music Fairness Act, addressing artist compensation from radio play and highlighting regulatory actions affecting media and economic interests. A related appropriations hearing with U.S. Trade Representative Jamieson Greer may further influence funding and trade policy directions. This suite of legislative and confirmation activities signals sustained attention to defense, regulatory, and economic policy measures with implications for compliance and government operations.