WASHINGTON: The US House of Representatives on Thursday (Dec 19) overwhelmingly rejected a Republican-led funding Bill aimed at averting a government shutdown, with federal agencies due to run out of cash on Friday night and cease operations starting this weekend.
The contentious legislation would have kept the government open through mid-March and suspended the country’s borrowing limit for President-elect Donald Trump’s first two years in office.
But dozens of debt hawks in the Republican ranks – unhappy about allowing the national debt to rise unchecked for half of Trump’s term – rebelled against their own leadership to sink the package.
It marked a defeat for the Republican leader, who with tech billionaire Elon Musk – his incoming “efficiency czar” – had thrown his weight behind the plan.
And with party leaders announcing no further votes in the House on Thursday, the race to keep the lights on and prevent 875,000 non-essential workers being sent home over Christmas without pay is set to go down to the wire.
“We will regroup and we will come up with another solution, so stay tuned,” Republican House Speaker Mike Johnson – who led the negotiations – told reporters.
The Bill was supposed to fix a mammoth bipartisan package that Trump and Musk sabotaged on Wednesday amid conservatives’ complaints about unrelated items in the text ballooning its overall cost.
The retooled version was considered under a fast-track method that required two-thirds support but Democrats refused to help Republicans overcome their rank-and-file rebels and it failed to win even a straightforward majority.
“The … proposal is not serious, it’s laughable. Extreme MAGA Republicans are driving us to a government shutdown,” Democratic Minority Leader Hakeem Jeffries said ahead of the vote. The White House described it as a “giveaway for billionaires”.