How to Read a Continuing Resolution

This guide deconstructs the Continuing Resolution (HR 5371) to reveal how its "anomalies" establish targeted policy choices and funding levels beyond simple maintenance.


On November 12, 2025, Congress passed and the President signed HR 5371 (enacted as Public Law 119-37) — ending the Federal government's longest lapse in appropriations. Instead of passing full appropriations for all twelve annual spending bills, they passed full bills for three departments (Agriculture, Military Construction/VA and Legislative Branch) while extending temporary funding for the other nine through a Continuing Resolution (CR).

If you've never read a CR before, you might assume it's simple: "Keep funding the government at last year's levels until we figure out the real budget." But open up the actual text of HR 5371's CR provisions (Division A), and you'll find 165 sections of dense legislative language, including dozens of "anomalies"—account-specific exceptions that authorize spending above last year's levels, create brand new appropriations, and extend authorizations that would otherwise expire.

This isn't just autopilot funding. It's a carefully negotiated budget document in its own right.

Let me show you how to read one.


1. How to Track a CR: Three Key Questions

When a CR passes, here's what to watch:

1. How long does it last?

HR 5371's CR runs through January 30, 2026. Section 106 is your go-to to track this date.

2. Which accounts are covered?

This CR covers nine of the twelve appropriations bills:

  • Commerce-Justice-Science
  • Defense
  • Energy-Water
  • Financial Services
  • Homeland Security
  • Interior-Environment
  • Labor-HHS-Education
  • State-Foreign Operations
  • Transportation-HUD

The other three (Agriculture, Legislative Branch, Military Construction-VA) got full FY2026 appropriations in the same bill (Divisions B-D). Section 101 will list out which appropriations bills are covered.

3. What are the anomalies?

Read Sections 121–163, in HR 5371. These tell you what's different from last year. Look for:

  • Your agency or program — Is there an anomaly affecting you?
  • Higher spending — Which accounts are authorized to exceed FY2025 levels?
  • New appropriations — What got funded that wasn't funded last year?
  • Authorization extensions — What programs would have expired without this CR?

If you work in federal grants, contracting, or budget analysis, the anomalies are your roadmap to what's actually happening with the money.


2. What Is a Continuing Resolution?

A Continuing Resolution is temporary legislation that keeps federal agencies funded when Congress hasn't passed the twelve regular appropriations bills by the start of the fiscal year (October 1).

Think of it as a legislative placeholder. Instead of debating every line item for every agency, Congress says: "Continue operating at the rate you operated last year, subject to the following conditions and exceptions."

The Senate Appropriations Committee put together a section-by-section for this bill that outlines what each section does. Look for resources like these to help guide you through your read.

The Basic Formula

The core of every CR is Section 101, which establishes the rate for operations:

Appropriations and funds made available and authority granted pursuant to this division shall be available... at a rate for operations as provided in the applicable appropriations Acts for fiscal year 2025.

Translation: Your FY2026 funding = your FY2025 enacted level, prorated by time.

If an account received $365 million in FY2025, it gets approximately $1 million per day under the CR. For a 90-day CR, that's $90 million automatically available—no new budget request, no new appropriations bill.

Why CRs Exist

Appropriations are supposed to be completed by October 1, but they almost never are. In the past 50 years, Congress has passed all appropriations bills on time exactly four times (1977, 1989, 1995, 1997). The rest of the time, they rely on CRs to bridge the gap while negotiations continue.

CRs buy time. But as you'll see, they're also policy vehicles in their own right.


3. Anatomy of a CR: The Four-Layer Structure

HR 5371's CR provisions follow a standard architecture. Understanding this structure helps you navigate any CR.

Layer 0: The Appropriation (Front Matter, Section 5)

Arguably, the most important, yet most overlooked part of this or any appropriations act is the statement of appropriations, which actually appropriates the money. In HR 5371, you can find it in the "front matter"—the sections that appear before Division A.

SEC. 5. Statement of appropriations.

The following sums in this Act are appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2026.

Why it matters: This statement contains the "magic words" that legally appropriate funds from the Treasury. Without it, HR 5371 would just be a list of suggestions—not actual appropriations.

It also establishes the base period of availability—through September 30, 2026—that every account in the entire bill inherits. The layers that follow (Sections 101-163) all build on this foundation, modifying or making exceptions to this base authority.

Constitutional connection: Article I, Section 9 of the Constitution requires that "No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law." Section 5 is where that constitutional requirement is fulfilled.

Layer 1: Boilerplate (Sections 101–115)

These are the standard provisions that appear in almost every CR:

  • Section 101: Pulls in the funding bills from last year and provides funding at the same levels and under the same authority as last year
  • Section 102: Restrictions on Department of Defense projects
  • Section 103: Applies the same terms and conditions as last year
  • Section 104: Prohibition on starting new projects not funded last year
  • Section 105: Technical provision that allows the CR to be charged for certain activities
  • Section 106: Sets the expiration date for the CR. (January 30, 2026)
  • Section 107: When a full-year bill passes, expenses under the CR are charged to it (Sections 105 and 107 go together)
  • Section 108: Exempts CR apportionments from the usual process
  • Section 109: Agencies must treat the CR as temporary and not do anything to force a certain funding level in the full-year bill
  • Section 110: Agencies need to make the most limited funding decisions until there's a full year bill
  • Section 111: Automatic apportionment for mandatory spending
  • Section 112: Allows accounts that pay salaries to use a higher rate to avoid furloughs and layoffs
  • Section 113: Gives waivers for national security programs
  • Section 114: Funds that were designated as disaster or emergency funding last year are so designated this year as well
  • Section 115: Provides flexibility for how rescissions that were continued by Section 101 are implemented during the CR period and requires a report showing how that flexibility was used

Rate of Operations and Automatic Apportionment: OMB Does the Math

When a CR passes, agencies don't follow the usual procedure of submitting an apportionment request and waiting for OMB approval. Section 108 allows for an alternative process. Instead, OMB issues a bulletin that automatically apportions funding. Section 101's "rate for operations" triggers a process: OMB calculates a pro-rata share for every account covered by the CR based on FY2025 funding levels and the CR's duration.

The general formula is:
(Amount from Section 101) X (Days in section 106 ÷ Days in this fiscal year)

This CR goes through January 30, 2026. There are 122 days covered, or 33.42 percent of the fiscal year.

This automation is formalized in OMB Bulletin No. 26-01 issued November 12, minutes after this CR was enacted. It means agencies receive predictable funding within hours after the CR takes effect. In contrast, the normal apportionment process can take a month, according to Circular A-11, Section 120.40.

Why it matters: Automatic apportionment is what keeps the government running smoothly under a CR. Without it, every agency would need to submit apportionment requests for every account simultaneously—a bureaucratic nightmare that would delay actual operations by weeks.

Layer 2: Startup Provisions (Sections 116–119)

These sections are only included when the CR follows a lapse in appropriations:

  • Section 116: Provides retroactive pay for furloughed employees
  • Section 117: Provides retroactive pay for excepted employees
  • Section 118: Reimburses state governments for money they used to operate Federal programs
  • Section 119: Makes the funding start retroactive to the beginning of the fiscal year (October 1).

Layer 3: Special Provision on RIFs (Section 120)

Section 120 of HR 5371 prohibits federal agencies from conducting Reductions in Force (RIFs)—mass layoffs—during the CR period.

(a) Prohibition.—Notwithstanding section 106(1), during the period between the date of enactment of this Act and the date specified in section 106(3) of this Act, no federal funds may be used to initiate, carry out, implement, or otherwise notice a reduction in force to reduce the number of employees within any department, agency, or office of the Federal Government."

In addition, this provision addresses RIFs proposed during the lapse in appropriation and cancels them.

"(e) Notwithstanding section 106(1), any reduction in force proposed, noticed, initiated, executed, implemented, or otherwise taken by an Executive Agency between October 1, 2025, and the date of enactment, shall have no force or effect."

Layer 4: Account- and Program-Specific Anomalies (Sections 121–163)

This is where Congress makes targeted exceptions to the "last year's levels" and "last year's terms" rules. There is a high bar to getting an anomaly included in a continuing resolution. There are 43 anomalies in HR 5371, and they generally fall into five categories:

Type 1: Temporary Authorization Extensions

These extend legal authorities that would otherwise expire during the CR period.

Example (Motor Carrier Safety Assistance Program - Section 163):

"Section 31316(b) of title 49, United States Code, shall be applied by substituting 'March 14, 2026' for 'September 30, 2025'."

Translation: The Motor Carrier Safety Assistance Program's authorization was set to expire on September 30, 2025. This anomaly extends it through March 14, 2026, so states can continue receiving federal grants for truck safety inspections.

Other examples: Agriculture Conservation Experienced Services Program (Section 121), U.S. Parole Commission (Section 123), Defense Production Act (Section 130).

The examples above don't actually amend the autorizing statute ("shall be applied by" vs "is amended"). These sections just say, use this other date and use the existing rules until we get a final bill together.

Type 2: Higher Rate of Operations

These authorize specific accounts to spend more than their FY2025 levels. These are often referred to as a "spend-faster" anomaly. They do not change the total amount available, just allow agencies to spend more than the prorated amount.

Example (Section 147 — FEMA Disaster Relief Fund):

Amounts made available by section 101 to the Department of Homeland Security under the heading “Federal Emergency Management Agency—Disaster Relief Fund” may be apportioned up to the rate for operations necessary to carry out response and recovery activities under the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.).

Translation: Instead of the prorated amount from Section 101, FEMA can spend whatever it needs to respond to natural disasters during the CR.

Other examples: Small Business Loans (Section 138), Essential Air Service (Section 162).

An alternative structure is to limit the increase above the prorated amount.

Example (Section 128 — Air Force E-7 Wedgetail Program):

Notwithstanding sections 102 and 104, amounts made available by section 101 to the Department of Defense for “Research, Development, Test and Evaluation, Air Force” shall be apportioned up to the rate for operations necessary for the E–7 Wedgetail program, in an amount not to exceed $199,676,000, only for the purpose of continued rapid prototyping activities to maintain program schedule and transition to9production for the E–7 Wedgetail program..

Translation: Instead of the prorated amount from Section 101, Air Force can can spend whatever it needs to respond to continue prototyping activities, but no more than $199,676,000.

Type 3: Rate Changes

These adjust how the base "rate for operations" is calculated for specific accounts.

Example (Section 139 — Treasury FinCEN):

Notwithstanding section 101, amounts are provided for “Department of the Treasury—Office of Terrorism and Financial Intelligence—Salaries and Expenses” at a rate for operations of $237,662,000.

Translation: In FY2025, Treasury recieved $226,862,000 for the office. During the CR, the office gets a prorated share of $237,662,000.

Other examples: OPM (Section 135), Treasury-Departmental Offices (Section 137), Indian Health Service (Section 153).

Type 4: Changes in Application of Law

These modify how funds can be used, even if the total amount stays the same.

Example (Section 155 — Head Start):

Notwithstanding section 101, the matter under the heading “Department of Health and Human Services—Administration for Children and Families—Children and Families Services Programs” in title II of division D of Public Law 118–47 shall be applied by adding the following after the second proviso: “Provided further, That for purposes of section 640(a)(2)(B)(v) of such Act, the base grant for each of the Federated States of Micronesia and the Republic of the Marshall Islands shall be $8,000,000, and shall be considered equal to the amount provided for base grants for such jurisdictions under such Act for the prior fiscal year:”.

Translation: HHS needs this new proviso to restart Head Start in Micronesia and the Marshall Islands. The underlying appropriation does not provide this authority. The total amount provided under the section does not change.

Other examples: HUD Housing Vouchers (Section 161).

Type 5: New Appropriations

These create brand new FY2026 funding that didn't exist in FY2025.

Example (Section 143 — Supreme Court Security):

In addition to amounts otherwise provided by section 101 for “The Judiciary—Supreme Court of the United States—Salaries and Expenses”, there is appropriated $28,000,000, for an additional amount for fiscal year 2026, to remain available until expended, for the protection of the Supreme Court Justices, including the purchase and hire of passenger motor vehicles as authorized by 31 U.S.C. 1343 and 1344, to be expended as the Chief Justice may approve.

Translation: This is an appropriation of $28,000,000 for Supreme Court Security, in addition to the amounts they recieved last year for "Salaries and Expenses".

Other examples: Marshals Service (Section 122(b)), Congressional Death Gratuities (Section 156), Capitol Police Mutual Aid (Section 157).


4. Why Anomalies Matter: The Policy Buried in the Details

When you read "the government is operating under a continuing resolution," that sounds like placeholder funding. But look at the examples above:

  • $28M for U.S. Supreme Court Security - This funds expanded security for Supreme Court Justices.
  • $237M for FinCen — This is a good clue that Congress has decided the appropriation amount for this account.
  • $348K for death gratuities — This is ceremonial, usual, and customary, but it's still new money.

These aren't just technical fixes. They're policy choices. And because they're buried in Section 143 or Section 139 of a 165-section CR, they get far less public attention than they would in a standalone appropriations bill. On the other hand, CR anomalies are heavily scrutinized and vetted by OMB, the Appropriations Committees and Congressional Leadership before they're included in a CR.

The other part of the story is what's not included here. Each year, OMB transmits a list of anomalies they're requesting to the Committees on Appropriations. Some make the cut, some don't. Including or not including an anomaly is also a policy choice.


5. Conclusion: CRs Are Budget Documents, Not Just Placeholders

The next time you hear "Congress passed a continuing resolution," don't assume it's just autopilot funding.

A CR is a legislative compromise that reflects political priorities, negotiated trade-offs, and real policy choices. The boilerplate keeps the lights on. But the anomalies—those 43 exceptions buried in Sections 121–163—tell you what Congress actually cares about funding this year.

Want to understand federal spending? Don't just read the top-line numbers. Read the anomalies. That's where specific decisions are made.


What's Next

Next week, we'll cover the Constitutional and legal framework that governs Federal spending.

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