Congress passes ambitious spending plan

WASHINGTON - Congress gave final approval Friday to one of the most ambitious legislative packages in years - a $1.1 trillion funding bill that anticipates up to $680 billion in tax breaks and dozens of substantial policy initiatives including an end to a ban on exporting oil.

The measure, which averts another shutdown and keeps the federal government running through September, was sent to President Barack Obama, who signed it.

'I do want to thank Congress for ending the year on a high note,” Obama said. 'I'm not wowed about everything in it - I'm sure that's true for everybody - but it is a budget that, as I insisted, invests in our military and our middle class without ideological divisions.”

A 65-33 Senate vote Friday followed overwhelming passage in the House, 316-113, delivering a rare bipartisan compromise as lawmakers headed out of Washington for the holiday.

Despite the bipartisanship, some worry the provisions will only add to the budget deficit and erode the fiscal discipline House Republicans have championed.

The federal deficit has dropped substantially from its peak of $1.41 trillion in 2009, due to the economic recovery. It was down to $439 billion for the fiscal year that ended Sept. 30.

The congressional Joint Committee on Taxation estimates the legislation passed Friday will increase the 2016 fiscal year budget deficit by $157 billion and by $95 billion in 2017.

Tim Huelskamp of Kansas, a leading House Republican fiscal hawk, said the bill was 'an early Christmas present for Donald Trump” because it will fuel an anti-establishment mood in the country.

Trump is set to hold a rally Saturday afternoon in Cedar Rapids. The Democratic candidates for president are set to appear in a nationally televised debate at 7 p.m. Iowa time Saturday on ABC.

The budget and tax plan:

' Lifts the decades-long ban on U.S. crude oil exports.

' Imposes new U.S. visa restrictions for some foreigners who have visited countries with links to terrorism.

' Extends or make permanent dozens of tax breaks, including some for low-income families, renewable energy development and businesses.

' Reverses automatic 'sequester” cuts that were set to take effect for most government spending, boosting funds for the Pentagon, cancer research and Pell Grants.

The package does not defund Planned Parenthood or undo a ban on federal funding for gun violence research. Republicans punted their fights against Obama's executive actions on climate change and immigration to next year.

Democratic leaders in the House said accepting the oil provision pushed by the GOP was worth what they got.

'They wanted big oil so bad that they gave away the store,” said Minority Leader Nancy Pelosi, the San Francisco Democrat.

But Republican leaders said they, too, were pleased.

'Congress can now move into 2016 with a fresh start,” said House Speaker Paul D. Ryan, R-Wis., whose leadership as the new speaker was tested with the compromise.

One area of bipartisan agreement was the continuation of compensation and health monitoring funds for the families of victims and responders in the Sept. 11, 2001, terrorist attacks.

The package also included cybersecurity reforms that will nudge companies to disclose cyberattacks, and shield them from some liability if they aid government investigations.

Iowa's two senators, Republicans Chuck Grassley and Joni Ernst, opposed the measure. So did most of the presidential candidates serving on Capitol Hill.

Republican Sens. Ted Cruz of Texas and Rand Paul of Kentucky voted against it, as did Sen. Bernie Sanders of Vermont, a contender for the Democratic nomination. Only Sen. Lindsey Graham, R-S.C., voted for it.

Sen. Marco Rubio, R-Fla., missed the vote.

The Tribune Washington Bureau and Reuters contributed to this report.