PSW Weekly Round-Up - 1/26

Legislative Update

Senate. The Senate this week is planning to take up a six-bill package of FY 2026 appropriations bills that includes funding for defense, health, transportation, and homeland security programs, among others. However, with Saturday’s shooting in Minneapolis, Senate Democrats are no longer willing to supply the votes needed to clear the 60-vote hurdle allowing the Homeland Security bill to move forward with the other five bills.

There have been no negotiations between the two parties as to how to resolve the impasse, and any Senate changes to the House-approved package would have to be sent back to the House for a vote. With the House not in session this week, it appears that there will be a partial shutdown when current funding expires at midnight on Jan. 30. The shutdown would affect those programs in the six remaining appropriations bills – Defense, Labor-HHS-Education, Transportation-HUD, Homeland Security, Financial Services-General Government, and National Security-State Department.

Committee Action of Note

Tuesday, January 27

• Senate Agriculture, Nutrition, and Forestry Committee markup to consider the “Digital Commodity Intermediaries Act.”

Wednesday, January 28

• Senate Foreign Relations Committee hearing: “U.S. Policy Towards Venezuela.”
• Senate Environment and Public Works Committee hearing: “To Examine the Federal Environmental Review and Permitting Processes, Part II.”
• Senate Homeland Security and Governmental Affairs Permanent Subcommittee on Investigations hearing: “One Year After Disaster: Experts Weigh in on the Palisades Fire.”

Executive Action of Note

On Jan. 20, President Trump signed an executive order that begins a multi-step process designed to limit home purchases by institutional investors.

• Stopping Wall Street From Competing With Main Street Homebuyers - Jan. 20, 2026
• Continuance of the Federal Emergency Management Agency Review Council - Jan. 23, 2026

Tariff Update

Supreme Court Decision. It appears that it will be several more weeks before the Supreme Court announces its decision on the legality of the President’s tariff authority under the International Emergency Economic Powers Act (IEEPA). The Court has not set a date for its next announcement of opinions, but the next time the justices are scheduled to be back on the bench is Feb. 20.

Political Update

House Special Election. California Gov. Gavin Newsom (D) has set Aug. 4 as the special election date to fill the 1^st District seat of the late Rep. Doug LaMalfa (R-Calif.). A special primary, where all candidates, regardless of party, run on the same ballot, will be held June 2. Should one candidate win more than 50% of the vote, he or she would win the seat and there would be no need for a vote on Aug. 4.

The August election, which is on the latest possible date allowed by California law, is 210 days after LaMalfa’s death on Jan. 6. On Jan. 31, voters in the 18^th District of Texas will elect a successor to the late Rep. Sylvester Turner (D-Tex.), 332 days after his death on March 5, 2025.

www.psw-inc.com