Congress was trying to handle its last bill to fund the Iraq war in 2008 before leaving for its Independence Day recess.

The Senate planned to vote Thursday night on continued funding for the Iraq war and on preserving Medicare payments to doctors. But it postponed action on bills dealing with home loans and the administration’s electronic surveillance program.

With lawmakers eager to start their 10-day July break, the Senate planned to vote on a $162 billion war spending bill. If it passes and President Bush signs it, the bill would pay for operations in Iraq and Afghanistan until the next president takes office. It includes a nearly doubling in college aid for troops, plus a 13-week extension of unemployment benefits and $2.7 billion in emergency flood relief for the Midwest.

Last week, the House approved the war funding measure, 268-155. The domestic add-ons were approved separately by a 416-12 vote. The White House has said it supports the combined measure.

Senators also planned to vote on a House-passed bill that would cancel a looming 10.6 percent cut in reimbursement rates for doctors who treat Medicare patients. The cut, scheduled to take effect Tuesday, is triggered by a spending levels that exceeded established goals.

Some of the roughly 600,000 doctors who treat Medicare patients have said they will be reluctant to take on new elderly and disabled patients if the cut goes through. The bill’s proponents were trying to round up the 60 votes needed to pass it in the 100-member chamber under expedited rules.

In the House, lawmakers approved financial help for mass transit systems facing a surge in riders because of high fuel prices. But Republicans blocked Democrats from requiring oil and gas companies to drill on the millions of acres of government land and water on which they already own federal leases.

Senators were unable to resolve differences on the housing and surveillance legislation, which will await them when Congress reconvenes after July 4.

A dispute over taxes continued to stall the mortgage-finance bill, which would allow the government to back $300 billion in cheaper loans for homeowners facing foreclosure. Majorities in both chambers appear to support such a bill. But Senate progress faltered when Sen. John Ensign, R-Nev., insisted on adding $8 billion in tax breaks for renewable energy producers.

The incentives have bipartisan backing. But House Democrats oppose including them without balancing them with higher taxes to prevent an increase in the deficit.