Washington's Fall Agenda

It has been an action-packed first seven months of the 119th Congress. Lobbyists are fatigued, as are Capitol Hill staff, and all are relieved that Members of Congress have left town for the month of August so we can all catch our breath, assess the activity of the last few months, and plan for the last quarter of 2025. All eyes are now on the fall agenda and beyond into 2026, where some promising legislative vehicles are on deck.

As for post-August recess, Members of Congress return on September 2, facing an immediate deadline to fund the government past September 30. That is when the current Continuing Resolution

(CR) expires. While both chambers have moved on some appropriations measures, the likelihood of acting on all 12 appropriations bills before the end of September is near zero. That means another CR will be required. As of this writing, the odds of a government shutdown appear high, driven by partisan divisions over a recently enacted rescissions package – opposed by Democrats – that claws back about $9 billion in previously appropriated funds. This action followed closely on the heels of the budget reconciliation bill that was also passed despite unified Democrat opposition. A government funding CR will require 60 votes in the U.S. Senate, meaning a handful of Senate Democrats will have to vote for it. Given that Minority Leader Schumer is still taking heat from his caucus for agreeing to the last CR in March and averting a shutdown, the table appears set for a government funding lapse of some duration.

Assuming that a CR comes together at some point, the measure may include an extension of certain Farm Bill programs. The budget reconciliation bill that was signed into law on July 4th addresses major parts of the Farm Bill including commodity support, crop insurance, conservation and food assistance. Importantly, the bill also fully funded USDA trade promotion programs, which support the American Hardwood Export Council (AHEC). However, the bill did not include some key programs we care about. House Agriculture Committee Chairman Glenn “GT” Thompson (R-PA) has signaled his desire to move a “skinny” Farm Bill out of his committee that would reauthorize these remaining programs in the fall. The skinny bill would include the Community Wood and Wood Innovation Grant programs, the Forest Inventory and Analysis program, biomass carbon neutrality language and workforce provisions to help the forestry and forest products sectors.

In the fall, advocacy will heat up around the next highway bill, which is up for reauthorization in 2026. There are several proposals pending and about to be introduced that seek to reform our country’s outdated gross vehicle weight limitations for trucks. One is the bipartisan, bicameral Safe Routes Act (H.R. 2166/S. 1063) that would allow logging trucks traveling at the maximum gross vehicle weight on state roads to access the federal interstate highway system for limited distances when it makes sense to do so. The other is the FRESH Act (Freight Restriction Elimination for Safer Hauling) that will be introduced by Rep. Mike Collins (R-GA) in September. That bill is identical to Safe Routes but would apply weight reform to a broader list of “perishable commodities” of which logs and biomass are included. Folding either of these two proposals into the next highway bill would be a huge win for our sector. Based on conversations we have had with Members and staff on the transportation committees, there seems to be an appetite for addressing truck weight policy in the reauthorization legislation.

A third proposal allowing states to opt-in to a truck weight pilot program, where 6-axle rigs weighing 91,000 pounds would be allowed to operate on the interstate, is also in the mix. This proposal is supported by large manufacturers whose trucks weigh out before they cube out, resulting in half-full rigs leaving warehouses. The Class 1 railroads will continue to oppose all of these bills, but their grip on this space seems to be slipping a bit as Members of Congress increasingly recognize that these truck weight efficiency proposals are reasonable, common-sense reforms to the artificial and outdated gross vehicle weight limit on our country’s interstate highways.

Last but not least, trade and tariff policy will continue to occupy everyone’s attention. The Administration seems confident that negotiations with all interested trading partners should be concluded by the end of October, but that still leaves a tremendous number of details that need to be worked out for each individual agreement. We anticipate the trade story is far from over.

The Federation will continue to actively engage these and other federal issues and report back to the industry. As always, thank you for your support!

By DANA COLE, Executive Director of the Hardwood Federation