Blank Rome Government Relations LLC (BRGR) provides the Weekly Washington Update to inform you of recent developments in Congress and Washington. For information on President Trump’s Executive Orders and other actions, please see our Executive Order Tracker.

Top of the News:

Budget, Tax and Small Business

Bipartisan Caucus Wants More HUD Funding in Fight to Add Housing: A bipartisan group of House lawmakers, the Build America Caucus, is urging Congress to provide additional funding, resources, and oversight for the Department of Housing and Urban Development (HUD) so it can effectively implement the recently enacted 21st Century ROAD to Housing Act, a major bipartisan housing package designed to increase housing supply and lower costs. The caucus argues that HUD's ability to carry out the law is at risk because the agency lost roughly 30% of its workforce during federal government downsizing, creating a capacity gap that could undermine efforts to address the nation's affordable housing shortage. Housing advocates are also pressing Congress to fund several new grant programs authorized by the legislation.  

The policy agenda includes several proposals aimed at encouraging housing development and reducing barriers to construction. These include creating federally supported “right to build zones” where qualifying housing projects would receive automatic approval if they meet standardized local rules, steering transit funding toward communities that permit housing near transit hubs, and converting unused government properties into housing. The caucus, led by Representatives Josh Harder (D-CA) and Celeste Maloy (R-UT), has about 40 members and is pursuing a broader pro-growth agenda that also addresses energy, infrastructure, and health care access. (BGOV)

Defense and National Security

President Trump Says US to Consider Permanent Troop Base in Lithuania: President Trump said the United States is open to considering a permanent military base in Lithuania, a proposal that has already received strong backing from the Lithuanian government. Prime Minister Mindaugas Sinkevicius said Lithuania would be willing to cover the costs associated with hosting a permanent U.S. presence, underscoring the country’s desire for closer security ties with Washington. The move would mark a significant shift from the rotational deployment model that has defined the U.S. military presence in the Baltic states since 2014. While Lithuanian officials view a permanent base as a means of strengthening regional deterrence, Russia has warned that expanding NATO military infrastructure closer to its borders would escalate tensions and prompt a response. President Trump’s comments also align with broader efforts to bolster the U.S. military footprint along NATO’s eastern flank, including plans for a new Army base in neighboring Poland. (BGOV) 

Trade and Tariffs

Ambassador Greer Hosts G20 Trade Ministers in Milwaukee: Last week, US Trade Representative Ambassador Jamieson Greer hosted the 2026 G20 Trade Ministerial in Milwaukee. During the ministerial, trade ministers discussed a range of international trade issues, including forced labor in supply chains, reforms to the Most-Favored Nation (MFN) principle, global manufacturing overcapacity, and the use of food and agricultural products as tools of economic coercion. A key outcome was a consensus statement by G20 trade ministers condemning the weaponization of food through coercive trade actions. The meeting also produced the “Milwaukee Framework,” a joint action plan addressing global excess capacity in industries such as steel.  

The event highlighted the Trump administration’s trade agenda and its impact on U.S. manufacturing, steel, and agriculture. Greer hosted meetings with international officials, business leaders, and manufacturers, including visits to Rockwell Automation and Harley-Davidson, emphasizing domestic production, supply chain resilience, and job growth. The ministerial also featured discussions with European and Japanese trade officials, a CEO roundtable, and events focused on expanding market opportunities for American businesses and agricultural exports while showcasing Milwaukee’s manufacturing heritage. (Office of the U.S. Trade Representative Press Release) 

Transportation

Anduril to Invest $3.7B in New Baltimore Shipyard to Build Virginia-Class Submarine Parts: Defense contractor Anduril plans to invest $3.7 billion in a new 2 million-square-foot shipyard facility at Sparrows Point in Baltimore, aimed at manufacturing components for U.S. Navy Virginia-class submarines. The project is backed by up to $2.9 billion through a Navy contract and is expected to create more than 3,000 jobs in Maryland. According to Anduril President and Chief Strategy Officer Chris Brose, the facility, known as Arsenal-2, will help address submarine production shortfalls by increasing production of critical components such as torpedo tubes.  

The investment comes as the Virginia-class submarine program continues to face workforce shortages and supply-chain delays identified by the Government Accountability Office (GAO). Maryland Governor Wes Moore hailed the project as the state's largest private investment and job-creation initiative in more than a decade, emphasizing its economic impact and opportunities for advanced manufacturing employment. Anduril argues that its expertise can help solve production bottlenecks that have slowed submarine deliveries, making the new facility a significant addition to the U.S. defense industrial base. (The Hill) 

Energy and Environment

President Trump Announces Steps to Lower High Cost of Diesel: This week, President Trump announced a series of measures aimed at reducing diesel prices. Among them was an executive order waiving restrictions on the use of tax-free red-dyed diesel, which is traditionally reserved for off-road applications such as farming and construction equipment. The order would allow the fuel to be purchased for broader uses. Trump also indicated that the Treasury Department would review diesel taxes as part of the effort. 

The announcement comes as diesel prices have risen to roughly $6.32 per gallon nationwide, increasing costs for industries such as agriculture and trucking. However, industry analysts questioned the potential impact of the measures. They argued that expanding access to red-dyed diesel is largely symbolic and unlikely to meaningfully lower prices because it does not address broader supply shortages.  (The Hill) 

Energy Permitting Reform Remains a Post-Election Priority: Congressional efforts to advance bipartisan energy permitting reform and address rising energy costs are expected to continue regardless of the outcome of the November elections. While changes in party control could influence approaches to permitting streamlining, energy investment incentives, and congressional oversight, both parties appear aligned on the broader goals of improving energy affordability and strengthening infrastructure resilience. The Senate is scheduled to consider a bipartisan permitting package during the lame-duck session, setting the stage for a potential debate in the House, where opposition from both conservative and progressive members is anticipated. (BGOV) 

Natural Resources and Native American Issues

Alaska Oil and Gas Lease Reinstatement Moots Legal Challenge: The U.S. Court of Appeals for the Ninth Circuit ruled that a legal challenge by environmental and tribal organizations to several oil and gas leases in Alaska’s Arctic National Wildlife Refuge is now moot because the leases have already been reinstated under a new Interior Department decision. The groups had argued that the Biden administration lawfully canceled seven leases in 2023, but after President Trump issued a January 2025 executive order reversing those cancellations and reopening the area to development, the Interior Department reinstated the leases in October 2025. The Ninth Circuit concluded that the original agency action being challenged no longer has any practical effect, vacated the lower court’s decision, and sent the case back with instructions to dismiss it, while noting that this leaves open the possibility of future litigation over the reinstated leases. (BGOV) 

Energy Department Backs Alaska Railbelt Grid Expansion with Defense Funding: The U.S. Department of Energy (DOE) announced its intent to provide up to $150 million in Defense Production Act funding for Alaska’s Beluga-Healy Transmission Project, a major grid infrastructure initiative that will create a second high-voltage transmission connection between Southcentral and Interior Alaska. Combined with $268 million in non-federal funding, the project represents a total planned investment of approximately $418 million and includes construction of about 223 miles of new transmission lines. DOE says the project will improve grid reliability, enhance energy security for critical military installations, lower electricity costs, and provide a more resilient power network serving roughly 75% of Alaska’s population. Administration officials emphasized the project’s importance to national defense, supporting military expansion, resource development, and long-term energy infrastructure needs in Alaska. (U.S. Department of Energy Press Release)