Government shutdown averted/ Congress budget deal/ Trump debt ceiling demands/ Speaker Johnson/ bipartisan funding bill/ Newslooks/ J. Mansour/ Morning Edition/ A federal government shutdown was narrowly avoided early Saturday after the Senate approved a bipartisan plan to fund operations through March 14, excluding President-elect Donald Trump’s demand for a debt ceiling increase. House Speaker Mike Johnson pushed the bill through Congress, but divisions within the GOP and Trump’s pressure raised questions about Johnson’s future as speaker and the party’s unity under Trump’s incoming administration.
Government Shutdown Averted: What Happened and What’s Next?
Key Points
- Last-Minute Agreement: Congress passed a 118-page stopgap bill funding the government until March 14, adding $100 billion in disaster aid but excluding Trump’s debt ceiling demand.
- Trump’s Intervention: President-elect Trump and Elon Musk opposed earlier bipartisan deals, demanding a debt ceiling extension until 2029, which Congress rejected.
- Speaker Johnson’s Role: Johnson secured bipartisan support for the stopgap plan, but tensions within the GOP and pressure from Trump put his leadership in jeopardy.
- Next Steps: The debt ceiling debate is deferred to 2025, with Republicans planning significant spending cuts alongside a debt limit increase.
Congress Averts Shutdown After Rejecting Trump’s Debt Ceiling Increase
Deep Look
Averted Shutdown and Congressional Drama
Facing a midnight deadline, Congress passed a short-term funding bill, avoiding a government shutdown that threatened to furlough millions of federal workers and disrupt services nationwide. The measure passed the House with a 366-34 vote and the Senate 85-11 just minutes after the deadline, securing President Biden’s signature to keep the government running.
The bipartisan bill funds federal agencies at current levels and includes $100 billion in disaster aid but omits the debt ceiling extension Trump demanded.
Trump’s Influence on the Process
President-elect Trump and his ally Elon Musk disrupted earlier bipartisan efforts by opposing a 1,500-page omnibus package negotiated by Speaker Johnson and Democratic leaders. Trump insisted on a debt ceiling extension until 2029, vowing to “let the shutdown begin” if his demands were not met.
While Johnson ultimately bypassed Trump’s demands, the incident underscored Trump’s significant influence over Congress, even before taking office.
Challenges for Speaker Johnson
Speaker Johnson, tasked with balancing Trump’s demands and bipartisan governance, faced sharp criticism from both sides. Conservative Republicans opposed the temporary funding measure, while Democrats accused Johnson of caving to Musk’s influence.
Johnson’s position as speaker remains precarious, with some GOP members suggesting Musk for the role during the upcoming House vote on Jan. 3.
What’s Included in the Stopgap Bill
- Funds federal agencies through March 14, avoiding immediate shutdowns.
- Provides $100 billion in disaster relief and $10 billion in agricultural assistance.
- Excludes long-term debt ceiling increases, leaving that debate for 2025.
Despite resolving the immediate crisis, the bill falls short of earlier bipartisan agreements, which included a range of other funding priorities.
Impact on Government Operations
The near-shutdown had federal agencies preparing for potential closures, with millions of workers and military personnel at risk of missed paychecks during the holiday season. The last-minute agreement ensures continued operations, but future negotiations over the debt ceiling could reignite tensions.
Looking Ahead
With the government funded until March, the focus now shifts to the debt ceiling, set to expire on Jan. 1, 2025. Republicans aim to pair a debt limit increase with $2.5 trillion in spending cuts over a decade.
The episode highlights the challenges of GOP governance under Trump, with significant tax cuts, spending reductions, and legislative battles looming in the new year.
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