H.R. 5405 — Government Shutdown Prevention Act of 2025

This section establishes automatic continuing appropriations in new 31 U.S.C. §1311 for any program, project, or activity lacking a regular appropriation Act or continuing resolution on the first day of a fiscal year, at a rate of operations not exceeding the lower of 94% of the prior fiscal year's regular appropriation level, prior-year continuing resolution level, or most recent level under this section—for an initial 90-day period, after which the rate reduces by 1 percentage point every 90 days (with reductions carrying beyond fiscal year-end). If in effect at fiscal year-end, funding continues into the next fiscal year at the reduced rate. (Thus, the mechanism prevents government shutdowns while imposing escalating funding cuts to incentivize enactment of regular appropriations.) Such appropriations are available until a regular appropriation Act or continuing resolution becomes law; must be apportioned proportionally as in the prior fiscal year; are subject to the prior year's terms and conditions; and prohibit high initial distributions or grants that could preempt final funding decisions. Appropriations for entitlements, other mandatory payments, and Food and Nutrition Act activities continue at levels necessary to maintain current law. Expenditures are charged against final appropriations when enacted, and this section does not apply if another law provides alternative funding or explicitly prohibits it. This section also makes a conforming amendment to the table of sections for 31 U.S.C. chapter 13.