US Government Shutdown Looms as Senate Rejects Competing Funding Bills
Washington D.C. – A US federal government shutdown is increasingly likely as the Senate rejected competing funding proposals this week, deepening a deadlock between Republicans and Democrats. The impasse centers on government funding and disagreements over healthcare provisions, specifically Affordable Care Act (ACA) tax credits.
The current standoff stems from a short-term funding bill proposed by House Republicans, which would only extend funding through November 21st. The White House Office of Management and Budget released a memo on Tuesday arguing federal workers may not be entitled to back pay during a shutdown, despite a 2019 law stipulating they should be.
House Speaker Mike Johnson countered this position on Wednesday, stating, “I think it is statutory law that federal employees be paid. And thatS my position. I think they should be.”
Despite Johnson’s stance on back pay, both parties remain firm in their demands. The House of Representatives passed the GOP’s bill on a near party-line vote last month,and Speaker Johnson has since kept the chamber adjourned in an effort to pressure Senate Democrats into approval.
The speaker has also leveled accusations against Senate Democrats, alleging that majority Leader Chuck Schumer is resisting the republican bill due to fear of a primary challenge from the left wing of his party. ”they are worried about the Marxist flank in their Democrat party,” Johnson said. “He’s terrified that he’s going to get a challenge from his far left…they’re coming for him, and so he has to put up his dukes and show a fight.”
Senator schumer,in a speech on the Senate floor,reiterated Democratic concerns,blaming Republicans for refusing to negotiate on healthcare demands.Senate Majority Leader John Thune indicated he would discuss the ACA tax credit issue, but only after government funding is restored. “We can do both: fix healthcare and reopen the government. This is not an either-or thing, which Republicans are making it. The American people don’t like it,” Schumer stated.
While largely unified behind their leadership, the Republican party experienced a notable dissent on Monday when Representative Marjorie taylor Greene publicly supported negotiations regarding the tax credits. However, no other Republicans have publicly followed suit.
A potential compromise, legislation from Virginia Republican Congresswoman Jen Kiggans to extend the ACA tax credits for a year, has garnered bipartisan support. However, top House Democrat Hakeem Jeffries dismissed the idea on Tuesday, calling it a “nonstarter” and criticizing it as originating from those who “just permanently extended massive tax breaks for their billionaire donors,” referencing the Republican-passed “One Big Gorgeous Bill Act” from earlier this year.
The ongoing deadlock raises the prospect of a government shutdown with potentially widespread impacts on federal services and employees. The situation remains fluid, with no immediate resolution in sight.