There were tough negotiations in Congress on Friday to try to avert the administrative shutdown at the last minute. In order to pass an interim budget, both chambers of Congress must agree; the Republicans of future President Donald Trump also need votes from the Democrats.
Both parties had actually already agreed on a draft this week that would have secured financing until mid-March. However, Trump rejected this as too “costly” and surprisingly made an agreement conditional on the debt ceiling in force in the USA being either abolished or suspended for at least two more years.
The debt ceiling is the legal limit on the amount the U.S. government can borrow to meet its obligations. It was last suspended in June 2023, but that deadline ends on January 1, 2025. Trump would like to see this limit continue to be suspended or eliminated entirely during his first two years in office.
A new draft was available for voting on Friday afternoon, but it did not take Trump’s request into account. A draft taking this requirement into account had previously been rejected by a large majority of MPs, which meant a defeat for Trump.
The draft presented on Friday afternoon provided for $110 billion in disaster relief for those affected by the two devastating hurricanes in the fall, as well as aid for farmers. It was uncertain whether he would be accepted.
Some Republicans fundamentally vote against interim budgets that do not also provide for a reduction in spending. After approval by the House of Representatives, it would still have to pass the Senate, which could take days unless senators decide on an expedited procedure.
In the event of a shutdown, hundreds of thousands of federal employees will be sent on unpaid leave. This leads to restrictions on government services, disruptions to air traffic, for example, and to numerous public facilities such as national parks and state museums.
There have been more than a dozen such shutdowns since 1981, many lasting just a day or two. The longest shutdown occurred in Trump’s first term in office at the turn of the year 2018/2019. The administrative shutdown lasted 35 days.
