Home NewsSenate Passes $70 Billion ICE and Border Patrol Funding Bill Amid IRS Settlement Fund Dispute

Senate Passes $70 Billion ICE and Border Patrol Funding Bill Amid IRS Settlement Fund Dispute

by Mark Ellison

WASHINGTON – The U.S. Senate passed a $70 billion funding bill for Immigration and Customs Enforcement (ICE) and the U.S. Border Patrol early Friday, June 5, 2026, ending a months-long budgetary deadlock.

The 52-47 vote secures funding for these agencies for the next three years, extending through the end of President Donald Trump’s term. The legislation arrives after weeks of delays and internal Republican friction over a separate $1.776 billion settlement fund.

The final vote occurred just before 5 a.m. on June 5, following an overnight session where Republicans defeated several attempts by both parties to permanently ban the settlement fund intended for political allies who claim they have been politically persecuted.

Conflict Over the IRS Settlement Fund

The legislative process was complicated by the presence of a $1.776 billion fund resulting from a settlement in President Trump’s lawsuit against the Internal Revenue Service (IRS) regarding the leak of his tax returns. Because the fund was created as part of a negotiated legal agreement rather than through the regular appropriations process, it quickly became a proxy fight over whether the president could benefit, even indirectly, from federal dollars while in office.

While acting Attorney General Todd Blanche stated earlier in the week that the fund would not go forward and characterized it as effectively dormant, the issue created a rift among GOP senators during an election year, exposing tensions between senators focused on party loyalty to Trump and those worried about public backlash and precedent.

Senate Majority Leader John Thune, R-S.D., admitted the fund hindered the process. “This would have been done several hours ago if we weren’t having to deal with some of the issues around the fund,” Thune said shortly before midnight on June 4, acknowledging that internal Republican disputes over Trump-related legal matters had slowed a core function of Congress: funding homeland security operations.

The tension escalated on Wednesday, June 3, when President Trump told reporters the settlement is “very important” and stated, “I don’t know” whether it is dead or on hold, adding, “I’d have to ask the lawyers.” The public ambiguity from the president undercut Blanche’s assurances and gave Democrats fresh grounds to argue that Congress, not the Justice Department, needed to close off any potential access to the money.

Failed Amendments and Party Unity

The Senate rejected multiple efforts to restrict or redirect the settlement money, turning the floor debate into a rolling test of party discipline and cross-aisle dealmaking:

  • Democratic Ban: A motion to ban the settlement was narrowly defeated on the morning of June 4. It failed after Senator Bill Cassidy, R-La., voted against it, despite support from Senators Jon Husted, R-Ohio, and Dan Sullivan, R-Alaska. The vote underscored how even modest Republican defections were not enough to overcome unified opposition from pro-Trump conservatives.
  • Tillis Amendment: Senator Thom Tillis, R-N.C., proposed banning the settlement fund and redirecting the money to a Department of Justice anti-fraud fund. More than 10 Republicans supported the move, but it was defeated by a majority of Democrats who argued privately that Republicans should not be allowed to cleanly distance themselves from a fund they had previously tolerated.
  • Cassidy Amendment: Senator Bill Cassidy proposed redirecting payments to law enforcement officers injured during the January 6, 2021, attack on the Capitol. This amendment was defeated by the Republican majority, reflecting concerns among leadership that reopening settlement terms in one high-profile case could invite broader challenges to future executive-branch legal agreements.

Senator Tillis described the fund as a political liability. “If Blanche says this is largely inoperative, why not use this moment to codify that?” Tillis said. “Otherwise, you’re exposing every one of our members who are in cycle to having to deal with this between today and Election Day, and that makes no sense for something that the DOJ says they’re not moving forward with.” His comments captured a core concern among swing-state Republicans: that they will be forced to defend a Trump-linked payout they neither designed nor control.

Senator Cassidy argued that despite the acting Attorney General’s comments, the fund remains part of an active settlement and “absolutely can be used,” raising the prospect that a future Justice Department could interpret the agreement differently if political winds shift.

Senate Minority Leader Chuck Schumer, D-N.Y., criticized the decision to leave the fund intact, stating that Republicans are “leaving taxpayers to rely on nothing more than a promise from Donald Trump’s personal fixer. That is not accountability. That is a permission slip.” Democrats signaled they will continue to press the issue as the bill heads to the House, framing the settlement as a test of congressional oversight over the executive branch.

ICE and Border Patrol Funding History

The enactment of the $70 billion bill resolves a funding blockade that began in early 2026. Under the regular federal appropriations process laid out in the U.S. budget and appropriations statutes, Congress is required to periodically renew funding for immigration enforcement agencies housed within the Department of Homeland Security (DHS). This round turned into an unusually prolonged confrontation over both the tactics used at the border and the larger question of presidential accountability.

Democrats had withheld support for the funding, demanding policy changes following the fatal shootings of protesters Renee Good and Alex Pretti by federal agents in Minneapolis in January. Those incidents intensified longstanding calls from civil-liberties groups and some lawmakers for clearer rules governing when and how federal officers may use force during domestic crowd-control and immigration operations.

The funding timeline for the Department of Homeland Security (DHS) progressed as follows:

  • Mid-February 2026: Funding for ICE and the Border Patrol lapsed after bipartisan negotiations over immigration enforcement tactics failed, prompting contingency planning at DHS and raising fears of disrupted deportation proceedings and border security operations.
  • April 2026: Congress provided funding for the remainder of the Homeland Security Department with Democratic support, but carved out ICE and the Border Patrol as unresolved, leaving line agents and local partners uncertain about long-term staffing and contracting commitments.
  • June 5, 2026: The Senate passed the specific $70 billion bill for ICE and Border Patrol using a procedural maneuver to bypass a filibuster, an acknowledgment by leaders in both parties that allowing an extended enforcement shutdown in an election year was politically untenable.

Democrats have maintained that any funding for the department should include requirements for federal officers to use clearer visual identification, limit deployment in local law-enforcement roles, and increase the use of judicial warrants for arrests away from the border. Those policy riders did not make it into the final Senate package, setting up a potential clash with House Democrats and immigrant-rights advocates who want changes codified, not left to agency guidance.

The bill’s path to the floor was further delayed by a $1 billion proposal for White House security and a ballroom for the president, which was eventually scrapped by Republicans after both fiscal hawks and Democrats cast it as an example of misaligned priorities at a time when Congress was deadlocked over basic public safety and border operations.

Beyond the immediate fight over the IRS settlement fund, the legislation will shape how ICE and Border Patrol carry out enforcement through 2029, influencing detention capacity, technology contracts, and the resources available for asylum processing. The House now faces a compressed window to either accept the Senate bill, attempt to rewrite its enforcement conditions, or risk reopening a high-stakes appropriations battle just months before voters head to the polls.

The legislation now moves to the House of Representatives for consideration, where key committee chairs are already signaling that oversight hearings on the settlement fund and broader DHS enforcement practices will accompany any final vote on the package. A separate House-passed enforcement measure approved earlier this year, which dramatically expanded immigration spending, is likely to serve as a negotiating marker rather than a blueprint, as leaders in both chambers look for a compromise that avoids another funding lapse while addressing voter anger over border security and the rule of law.

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