WASHINGTON: The Republican-majority U.S. House of Representatives passed a crucial bill to prevent a government shutdown, defying President-elect Donald Trump’s demand for a massive debt ceiling increase. The bill now moves to the Democratic-controlled Senate, which must approve it to prevent funding from expiring at midnight (0500 GMT Saturday).
The White House confirmed that President Joe Biden plans to sign the bill into law if the Senate agrees. The legislation will extend government funding until March 14, providing financial relief for disaster-stricken states and farmers. It includes $100 billion for areas impacted by disasters and $10 billion for farmers facing economic hardships.
However, the bill does not address the debt ceiling, a key issue Trump had pushed Congress to resolve before his inauguration on January 20. The debt ceiling debate remains unresolved, as many Republicans prefer waiting until Trump takes office for negotiations. Trump has called for raising the debt ceiling to avoid potential economic consequences and disruptions.
House Speaker Mike Johnson expressed confidence that Republicans would have more influence over government spending next year, when they hold majorities in both chambers of Congress. With Trump entering the White House, Johnson believes Republicans can play a significant role in shaping the final spending decisions.
“This was a necessary step to bridge the gap,” said Johnson. He emphasized that this legislation sets the stage for Republicans to exert influence over future spending bills. Trump reportedly supports the package, even though it does not address the debt ceiling issue immediately.
The threat of a government shutdown looms large. If no deal is reached by midnight, critical government services, including law enforcement and national parks, would be suspended. Federal employees would face delayed paychecks, while various industries, especially the travel sector, would be severely impacted.
The upcoming debate over the debt ceiling is expected to be contentious. Trump’s call for an increase in the debt ceiling, combined with Republicans’ push for reduced spending, will likely shape negotiations in the new year. Both parties are preparing for intense discussions that could continue well into 2025.
As the deadline approaches, both sides of the political spectrum are preparing for a series of high-stakes negotiations. The resolution of the funding issue is a necessary step to avoid a shutdown and maintain essential government services.
In the coming weeks, the House and Senate will likely engage in further negotiations to finalize spending plans. The outcome of these discussions will have a significant impact on the nation’s economy and federal workers.