Week of March 30, 2026
NSDA thanks Paragon Government Relations for all of the exceptional work they did with us and for all special districts across the Country, and we welcome Manatt's team to the family! More on Manatt next week. Below is the inaugural weekly update from Manatt for your reading pleasure.
Congress:
- DHS Appropriations: The Senate early Friday, March 27th, approved a DHS funding package that excludes ICE and parts of CBP. The House could vote on the Senate-passed measure as soon as Friday, but House standing rules may force the vote to Monday. Senate Republican leaders have indicated they will seek to fund immigration enforcement agencies through a second reconciliation bill.
- DHS Shutdown Affects World Cup Preparations: At a House Homeland Security hearing on Wednesday, March 25, TSA acting administrator Ha Nguyen McNeill reported that more than 480 TSA officers have quit, with multiple major airports experiencing 40 to 50 percent callouts among TSA workers since the shutdown began. McNeill warned that, even if new officers are hired, they will not be trained in time to staff screening lanes for the FIFA World Cup. Acting CISA Director Nick Andersen added that the shutdown has stalled planned World Cup security exercises aimed at strengthening cybersecurity coordination with local partners.
- Housing Affordability Package Update: House Republicans have reportedly rejected a Senate Banking Committee offer to include a number of community banking deregulatory measures in pending cryptocurrency legislation. Senate Republicans had offered the banking measures in exchange for House members’ support of the 21st Century ROAD to Housing Act. Rep. Maxine Waters (D-CA-43), the Ranking Member on the House Financial Services Committee, sent a “Dear Colleague” letter on Monday, outlining the need for a formal conference negotiation between the chambers on the housing package.
- House Passes Bills from T&I Committee: On March 24, the House passed several suspension bills out of the Transportation and Infrastructure Committee, including measures to: legalize the use of supersonic aviation (H.R.3410); reauthorize several water quality programs and grants through 2031 (H.R.6422); provide grant eligibility for projects facilitating the relocation of employment opportunities into the U.S. under the Economic Development Administration (H.R.7342); and allow drones to be flown in Class E airspace (H.R.6460).
- Senate Confirms New DHS Secretary: The Senate voted 54-45 on Monday, March 23 to confirm Sen. Markwayne Mullin (R-OK) to be Secretary of DHS. All Republicans except for Sen. Rand Paul (R-KY) voted to confirm; Democratic Sens. John Fetterman (D-PA) and Marin Heinrich (D-NM) split with their party to confirm Mullin.
- Surface Transportation Reauthorization: House Transportation & Infrastructure Committee is planning to mark-up the long-awaited surface transportation reauthorization bill on April 15, 2026. While not officially announced yet, Chairman Graves has given strong indication that the Committee will be ready to mark-up that day. This also follows reports that the Chair is expected to announce that he is not running for election and is set to retire at the end of this Congress.
Trump Administration:
- FEMA Announces BRIC Funding: On Wednesday, March 25, FEMA announced $1B in funding for the BRIC program, prioritizing projects that are ready to implement and incentivize the adoption of hazard-resistant building codes. This funding announcement eliminates phased projects and funding for hazard mitigation planning and non-financial direct technical assistant provisions. Special Districts are eligible through their State processes. Applications are due by July 23, 2026.
- DOT Releases Safe Streets for All NOFO: Transportation Secretary Sean Duffy announced $999.5 million in funding on March 27 for the Safe Streets for All grant program, which seeks to address roadway safety challenges. Program funds will support faster emergency response, more parking for truckers, and modern rail crossings. Applications are due by May 26, 2026.
- GSA/SAM Proposed Rule: Comments are due on the GSA/SAM proposed rule by March 30. Under the current proposal, part of said re-registration process includes a requirement to certify and pledge that the local government, or entity, not undertake certain policies or activities such as DEI and pro-immigration policies.
- FEMA Review Council Executive Order: President Trump signed an executive order (EO) on March 24 further extending the FEMA Review Council through May 29, 2026. The FEMA Review Council is tasked with advising the President on the existing ability of FEMA to capably and impartially address disasters occurring within the United States and issuing recommended changes to FEMA.
- OMB Director Signals Release Date for Budget Request: White House budget director Russ Vought stated that he plans to testify before Congress on April 15 about the Trump administration FY 2027 Presidential budget request. The request was due on February 2 but has not yet been released.