Congress Faces Midnight Deadline to Avoid Government Shutdown

U.S. Capitol Building with cloudy skies reflecting tension over budget negotiations.

News Summary

As the U.S. Congress approaches a midnight deadline, disagreements over funding and healthcare subsidies threaten to trigger a federal government shutdown. President Trump and congressional leaders failed to reach a compromise, with Republican calls for a short-term funding bill clashing with Democratic demands for extending Obamacare subsidies. The potential shutdown could affect hundreds of thousands of federal workers and critical services, with economic experts predicting significant fallout for the D.C. area and beyond.

Washington, D.C.

The United States Congress has until midnight to reach an agreement to prevent a federal government shutdown. As the deadline approaches, key disagreements over funding and healthcare subsidies are causing a stalemate in the nation’s capital.

President Donald Trump and congressional leaders from both parties recently convened at the White House but left without a compromise, with each side attributing blame to the other. Republicans are urging Senate Democrats to sign a short-term funding bill, but Senate Democrats are holding out to pressure Republicans into extending Obamacare subsidies, which are set to expire at the end of the year.

Concerns about the implications of a potential shutdown are being felt at various levels of government and among state officials. For instance, Pennsylvania Governor Josh Shapiro noted that 7,800 state employees are funded through federal dollars and that the state is currently awaiting information on reimbursement should a shutdown occur. Shapiro has voiced worries about how a shutdown could adversely affect state employee pay.

A government shutdown could lead to hundreds of thousands of federal workers facing mass layoffs. Experts warn that critical operations like FDA inspections could be halted, airlines may experience flight delays due to staffing shortages, and funding for programs like SNAP (food stamps) could dwindle. Although some services will continue, such as those from the Internal Revenue Service and distribution of Social Security benefits, the widespread ramifications of a shutdown could exacerbate existing challenges for many citizens.

Senator John Fetterman of Pennsylvania has underscored the gravity of the situation, asserting that he supports extending ACA tax credits but disapproves of the disruption caused by a government shutdown. In similar sentiments, Pennsylvania Republican Senator Dave McCormick has expressed disappointment over the crisis, indicating that the shutdown would harm the country and attributing responsibility to Democratic lawmakers.

Economic experts predict that the impending shutdown could result in unprecedented fallout, including a potential loss of 18,000 federal jobs and a downturn in professional services and tourism in D.C. The impact may not be confined to federal employees; many federal contractors and service workers are unlikely to receive back pay, thereby worsening their financial predicaments. Heightened uncertainty surrounding employment could lead to mass firings and further strain the job market.

The potential shutdown could also amplify the demand for services from community organizations and nonprofits as more individuals face financial hardship and food insecurity attributable to limited resources. The Smithsonian museums have announced plans to remain open during a federal government shutdown by utilizing prior year’s funds. The Smithsonian typically receives approximately $1 billion in federal appropriations, which covers about two-thirds of its funding.

The current impasse in Congress recalls the last federal government shutdown, which occurred during President Trump’s first term and persisted for 35 days, marking the longest shutdown in U.S. history. As the clock ticks down to the midnight deadline, all eyes are on Congress to see whether the ongoing stalemate will yield a resolution or plunge the government into an unprecedented shutdown.

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Author: STAFF HERE WASHINGTON DC

WASHINGTON DC STAFF WRITER The WASHINGTON DC STAFF WRITER represents the experienced team at HEREWashingtonDC.com, your go-to source for actionable local news and information in Washington, DC, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and regional news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the National Cherry Blossom Festival, Kennedy Center Honors, and the Washington Auto Show. Our coverage extends to key organizations like the Greater Washington Board of Trade and Destination DC, plus leading businesses in government contracting and technology that power the local economy such as Lockheed Martin and Amazon. As part of the broader HERE network, we provide comprehensive, credible insights into the dynamic landscape of the Washington metropolitan area.

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