Fri Dec 20 20:46:01 UTC 2024: ## US Government Shutdown Looms as Congress Fails to Pass Spending Bill

**Washington D.C.** – The United States is teetering on the brink of a government shutdown as a last-minute budget deal remains elusive. Funding expires at 12:01 AM EST on Saturday, and unless Congress passes a spending bill, non-essential government functions will cease.

While White House Press Secretary Karine Jean-Pierre expressed optimism earlier today, negotiations between Democrats and Republicans have been fraught with recriminations. The impasse centers on a proposed budget bill, becoming a final power struggle between outgoing President Joe Biden and President-elect Donald Trump.

Trump, who is set to retake office on January 20th, played a key role in derailing a bipartisan bill earlier this week. He insisted that any shutdown should occur under Biden’s administration. This stance, coupled with opposition from Republicans like Elon Musk, led to the collapse of the bipartisan agreement. The 1547-page bipartisan bill included $10 billion in farm aid, $100 billion for disaster relief, and various other provisions. Republicans criticized its length and content, calling it filled with “Democratic giveaways.”

Trump subsequently promoted a significantly shorter, 116-page alternative. Crucially, this bill proposed lifting the debt ceiling until 2027—a demand not originally part of the budget negotiations but a key Trump objective to avoid handling the debt ceiling crisis after taking office. This Trump-endorsed bill failed to pass the House on Thursday.

Democrats criticized Republicans for using the debt ceiling as a bargaining chip in the spending bill and warned that abolishing it entirely could pave the way for Trump to enact significant tax cuts.

The failure to reach a consensus leaves the government facing a shutdown. Hundreds of thousands of non-essential federal employees could be furloughed, potentially impacting services like food safety inspections, court proceedings, and national parks. The Supplemental Nutrition Assistance Program (SNAP) could also be affected.

The potential economic consequences are substantial, recalling the 34-day shutdown in 2018-2019 under Trump’s first term, which cost billions of dollars in GDP. The current political climate is equally tense, with several Republican officials facing criticism and potential repercussions. The situation highlights the increasing frequency and high stakes of government shutdowns in recent US politics.

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