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The Federal Budget: Spending, Taxes, and Debt

RECA Expansion Could Lead to a Looming Cliff

The Federal Budget: Spending, Taxes, and Debt Policy Rapid Response BlogJune 28, 2025 By Matthew Dickerson
As Congress considers the Senate’s proposed language for the One Big Beautiful Bill, one provision requires greater scrutiny: the expansion of the Radiation Exposure Compensation Act (RECA). While RECA was originally enacted to provide one-time payments to individuals exposed to harmful radiation during nuclear testing, the proposed changes in this bill would create a budgetary cliff.

RECA Restructuring

RECA was designed as a compensation program for individuals impacted by the United States’ atmospheric nuclear tests or uranium mining that occurred between 1942 and 1971. Under the current law, payouts range from $50,000 to $100,000 depending on the category of claimant. Those exposed to radioactive fallout from testing, so-called “downwinders”, receive $50,000 in compensation, on-site participants, can collect $75,000, and uranium workers garner $100,000 in compensation. The program stopped accepting new claimants in 2024, prompting several attempts by Congress to extend and expand it. RECA has given just over $2.6 billion in benefits from 1990 to 2024. The Senate’s proposed changes to RECA would dramatically increase its scope and cost. Compensation amounts would be increased, including raising the payout for on-site participants and downwinders to $100,000. Eligibility would be expanded geographically to include individuals beyond historically tested areas to states such as Idaho, Montana, Colorado, and Missouri. The RECA Trust Fund would be reauthorized to accept new claims until December 31, 2027.

A RECA Revival Should Not be Done in Reconciliation

This approach would impose new costs on taxpayers. Based on cost estimates from a similar expansion attempt in 2023, an expansion of RECA could cost $147.1 billion over the ten years. This is largely due to the extension of geographic eligibility to more areas, the increase in payments to downwinders and on-site participants, and the expense of setting up new systems to process the claims. RECA Cliff 6.28.2025 What makes this provision even more concerning is the built-in budgetary cliff. In two years, the program is scheduled to stop accepting new claims and to sunset the RECA trust fund in three years. The proposed short-term expansion sets up a predictable scenario in which lawmakers will face pressure to renew or further expand RECA every few years to process the claims. The expansion sets the stage for a permanent entitlement program with massive, unfunded liabilities. This is not to say that individuals affected by radiation exposure do not deserve support. Trying to push a RECA expansion through reconciliation, without a long-term funding mechanism or adequate guardrails, risks undermining the very fiscal goals the One Big Beautiful Bill is meant to achieve. At a time when the nation’s fiscal trajectory is already unsustainable, the proposed expansion of RECA requires clear fiscal offsets. Congress should ensure that any reform or extension of RECA is properly funded and debated on its own merits.

Author

Matthew D. Dickerson

Matthew D. Dickerson

Director of Budget Policy

Matthew D. Dickerson is Director of Budget Policy at the Economic Policy Innovation Center (EPIC). Dickerson is recognized as an expert on fiscal policy issues, including the budget, appropriations, and entitlement reform. His articles have been featured in the Wall Street Journal , the Miami Herald , National Review , the Sacramento Bee , the Washington Times , the Baltimore Sun , The Hill , the Washington Examiner , and other outlets. Prior to joining EPIC, Dickerson served as Senior Policy Advisor on the staff of the House Budget Committee, where he helped lead development of the fiscal year 2024 budget resolution. He has a dozen years of experience on Capitol Hill, including as a senior staffer with the Republican Study Committee (RSC), the caucus of conservatives in the House of Representatives. Under four different RSC chairmen, Dickerson held senior level roles including Policy Director and Senior Policy Staff. Additionally, he served as Legislative Director and other policy positions for the late Congressman C.W. Bill Young (R-FL), a former Chairman of the powerful House Appropriations Committee. During his tenure at The Heritage Foundation, Dickerson was Director of the Grover M. Hermann Center for the Federal Budget. In this capacity, he oversaw a team of budget analysts and economists researching diverse subjects including spending, entitlements, budget process, tax, labor, pensions, and infrastructure issues. He has also been a Policy Manager at Americans for Prosperity, where he supervised a team of fellows and analysts covering a variety of federal and state policy issues. Dickerson is a graduate of the College of William and Mary in Virginia and holds a Bachelor of Arts in Government and History.

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