Knesset legal representative Yitzhak Beret said that while his office had endeavored to develop its reply by the due date, they needed more time because of the complex nature of the hearing.
One petitioner argued that the law violates Israel's democratic principles.
The sister of the disabled soldier had reportedly claimed that Shraga had charged them NIS 1.5 million for services.
If the petition is accepted, it would be the first time the court heard arguments to abolish a matter of a Basic Law.
A danger of giving this advantage to Interior Ministry appointees would be the reduced autonomy of local government from the state, said petitioners.
"As of today, the arrangement that allows ultra-Orthodox yeshiva students to be exempted from service in the IDF is no longer extant," MQG said.
MQG argued that the budget was undemocratic because it would prevent the Knesset from engaging in further challenges and deliberations on the 2024 budget.
The frequent name changes of ministries in recent years have cost the public millions of shekels.
MQG argued that the negotiating parties didn't have a right to degrade the reasonableness standard.
Berland was convicted of sexual assault in 2016 of multiple women and other offenses including fraud, embezzlement, attempted threats, tax offenses and money laundering in 2021.