Skip to content

Budget Showdown Intensifies

With just one week remaining before federal funding runs out, a partial government shutdown is looking increasingly likely. On Tuesday night, President Trump abruptly canceled a scheduled meeting with Democratic Congressional leaders Chuck Schumer (D-NY) and Hakeem Jeffries (D-NY). In a post on Truth Social, he wrote, “after reviewing the details of the unserious and ridiculous demands made by the Minority Radical Left Democrats…I have decided that no meeting with their Congressional Leaders could possibly be productive.”

The cancellation came after Trump reportedly met with House Speaker Mike Johnson (R-LA) and Senate Majority Leader John Thune (R-SD). House GOP leaders had expressed concern that a meeting between Democrats and the president could weaken their negotiating position. Democrats quickly responded, accusing Trump of steering the government toward a shutdown.

Currently, the House has passed a Republican-authored Continuing Resolution to keep the government open until November 21. After its passage, Speaker Johnson announced the House would recess until October 1—one day after the shutdown deadline—hoping to pressure Senate Democrats into supporting the bill. Senate Democrats rejected the proposal and introduced their own version, which was then blocked by Senate Republicans, leaving Congress at an impasse.

Any funding bill will require 60 votes in the Senate, but bipartisan talks have stalled. Senate leaders John Thune and Chuck Schumer have refused to initiate discussions, each claiming the other should make the first move. Schumer argues Thune needs Democratic votes and should reach out, while Thune insists Republicans are offering a clean seven-week extension similar to ones Democrats have previously supported.

A key sticking point is the expiration of health insurance subsidies at the end of the year. While there is bipartisan interest in extending them, GOP leaders have rejected including the measure in any short-term funding bill. Speaker Johnson called it “a December policy issue, not a September funding issue.” Democrats and insurers argue the extension is urgent, with open enrollment beginning November 1.

As the deadline approaches, both parties remain entrenched, and federal agencies have begun preparing for a shutdown.

 

Dems Unveil Alternate Funding Proposal

On Wednesday night, Democrats released the text of their own stopgap spending measure aimed at keeping the government funded past the September 30 deadline. The move comes just days after Republicans introduced a separate continuing resolution.

The Democratic proposal would extend funding through October 31—three weeks shorter than the Republican plan, which runs through November 21. It also includes several Democratic priorities that were omitted from the GOP bill, such as:

  • An extension of enhanced Affordable Care Act insurance subsidies set to expire December 31
  • A reversal of Medicaid cuts enacted under the One Big Beautiful Bill Act earlier this summer
  • Stricter limits on how the Trump Administration can allocate federal funds, intended to curb efforts to freeze, redirect, or cancel spending approved by Congress

Any stopgap measure will require 60 votes in the Senate, making bipartisan cooperation essential. Democratic leaders Chuck Schumer and Hakeem Jeffries say their repeated requests to meet with Republican counterparts John Thune and Mike Johnson have gone unanswered—though Thune recently indicated a willingness to talk.

For now, both parties remain largely united behind their respective proposals. With time running short, the risk of a government shutdown looms unless a compromise is reached.

House Republicans Unveil Stopgap Bill

On Tuesday afternoon, House Republican leaders released the text of a stopgap funding bill aimed at keeping the federal government open through November 21. The measure is designed to buy lawmakers additional time to finalize the annual appropriations process.

The bill allocates tens of millions of dollars in enhanced security funding for members of Congress, the Supreme Court, and the Executive Branch. Notably, it omits provisions to renew the expanded Affordable Care Act tax credits—an item backed by Democrats and some vulnerable Republicans.

Support from House Democrats remains uncertain. President Trump has urged congressional Republicans to bypass bipartisan negotiations and push the bill forward without Democratic backing. While GOP leaders believe they have the votes to pass it, internal resistance is emerging, with conservatives such as Rep. Thomas Massie already defecting.

Even if the bill clears the House, it faces an uphill battle in the Senate, where 60 votes are needed—requiring at least some Democratic support. House Republicans hope to pass the measure by Friday, pressuring Senate Democrats to approve it and avoid a government shutdown. However, Senate Democrats, including Minority Leader Chuck Schumer (D-NY), remain wary after facing backlash for supporting a similar bill in March.

Without a stopgap bill, the federal government will run out of funding by October 1st. We will continue to update this page as more information becomes available.

Federal Budget Update

The federal government is set to run out of funding at the end of September, leaving Congress just weeks to avoid a shutdown.

Current funding is provided by a continuing resolution (CR) passed in March that extended government operations through the fiscal year. Lawmakers have increasingly relied on CRs in recent years as partisan divisions have made it difficult to pass the 12 annual appropriations bills on time.

Although Republicans control both chambers, deep divisions remain between the House and Senate. Senate Republicans have advanced bipartisan bills that call for tens of billions more in spending than proposals from House Republicans and the Trump administration.

In the House, GOP lawmakers have been drafting bills with steep cuts but are also moving toward another stopgap resolution. Such a measure could extend funding into mid-November, giving negotiators more time to strike a full-year deal for fiscal 2026.

One option gaining traction would combine a short-term CR with several relatively uncontroversial appropriations bills, including Military Construction–VA, Agriculture, and Legislative Branch. Senior appropriators Sen. Susan Collins (R-ME) and Rep. Tom Cole (R-OK) have endorsed the approach, with Cole signaling he wants the CR to run only through Thanksgiving.

Tensions with the White House are complicating talks. The administration’s recent use of the “pocket rescissions” process to cancel billions in foreign aid has drawn sharp criticism from Democrats, raising doubts about whether bipartisan agreements will hold.

Meanwhile, appropriators are pressing ahead with their individual bills to show progress. The House is set to take up the Energy-Water bill this week, while the Appropriations Committee will vote on the Financial Services measure. In the Senate, the panel plans to advance Homeland Security and State-Foreign Operations next week.

Less than 13 legislative days remain until the funding deadline, meaning lawmakers will have to act quickly to keep the government open.

 

 

Recission Package Passes

Much like the reconciliation bill earlier in the month, the Senate amended the Administration’s recission package and sent it back to the House for final approval. The measure, H.R.4 – Rescissions Act of 2025, has passed the House and is now headed to the President’s desk for signature.

The Administration proposed $9.4 billion in funding already appropriated to claw back claw back $1.1 billion previously allocated to the Corporation for Public Broadcasting, along with $7.9 billion dollars earmarked for international efforts to combat famine and disease.

The House approved the Administration’s proposal. The Senate amendment, which was led by Senator Eric Schmidt (R-MO), would preserve the following funding from cuts:

  • The amendment removes PEPFAR ($400 million) from the rescissions bill.
  • Protects funding for HIV/AIDS, Tuberculosis, Malaria, Maternal and Child Health and Nutrition (including polio) within the Global Health account;
  • Protects funding for countering PRC Influence Fund;
  • Protects funding for aid to Egypt and Jordan; and
  • Protects funding for the administration of U.S. commodity-based food aid, namely Food for Peace the McGovern-Dole.

The House passed the amended proposal.

The final bill is now waiting the President’s signature.