It’s been a busy few weeks for the new Administration and the 119th Congress, and there are many moving parts to track. While much of the media and national focus is on actions impacting other federal departments and agencies, our partners at the U.S. Army Corps of Engineers continue to plan and execute projects along the waterway. Here are four issues to highlight:

1. Selection and Confirmation of a new Assistant Secretary of the Army for Civil Works (ASA-CW)

The ASA-CW is integral to the success of the Corps as they are the lead federal official in the Department of the Army representing the Corps in the Pentagon. Mr. Michael Connor has stepped down from this position and other staff members are currently filling those leadership roles until a new ASA-CW is confirmed. This will delay some federal regulatory decisions and implementation guidance related to the Water Resources Development Act. While we don’t expect these delays to have a direct impact on our waterway projects, it could impact how money is allocated in the federal appropriations process.

2. New Agency Director for Office of Management & Budget

With the beginning of the new Trump Administration, Mr. Michael Vaeth is the new acting director for the Office of Management & Budget (OMB). OMB is the largest office within the Executive Office of the President of the United States. OMB’s most prominent function is to produce the president’s budget, but it also examines agency programs, policies, and procedures to see whether they comply with the president’s policies and coordinates inter-agency policy initiatives. The confirmation vote for Russell Vought to be the new Director of OMB could happen as early as tonight (February 6th). Regardless, we expect the President’s 2026 budget to be delayed until mid-March for his new priorities to be included.

3. FY25 Appropriations and the Continuing Resolution through March 14th

As reported previously, the federal government is currently operating under a Continuing Resolution through March 14th that limits the funding available to the Corps and types of projects that can be contracted. Fortunately, AIWW projects that are underway will continue and we are not aware of any additional impacts caused by this delay. However, things could change quickly if Congress cannot agree on another appropriations bill by the March 14th deadline. As of now, the House of Representatives and Senate are in a logjam with how to move forward with the FY25 appropriations and the budget reconciliation process.

The table below reflects the current breakdown of funding as it stands today. In addition, the House and Senate have also included the following amounts in the Additional Dredging Needs funding pots which we are eligible to receive.