Home Economy U.S. Senate Moves Closer to Ending Federal Shutdown

U.S. Senate Moves Closer to Ending Federal Shutdown

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U.S. Senate Advances Bill to Reopen Government and End 40-Day Shutdown

The U.S. Senate took a major step on Sunday toward ending the 40-day federal government shutdown, which has disrupted public services, delayed food aid, and caused significant strain across air travel networks.

In a procedural vote, senators advanced a House-passed funding bill that would keep the government open until January 30 and include three full-year appropriations packages. The measure passed 60–40, the minimum required to overcome a filibuster.

If the amended bill passes the Senate, it will still need approval from the House of Representatives before heading to President Donald Trump for his signature—a process expected to take several days.


Senate Reaches Bipartisan Breakthrough

The breakthrough came after Republicans and a small group of Democrats reached a deal that includes a December vote on extending subsidies under the Affordable Care Act (ACA). These subsidies help lower-income Americans afford private health insurance and were a central point of contention in the funding impasse.

“It looks like we’re getting very close to the shutdown ending,” President Trump told reporters at the White House before the vote.

The proposed bill also prevents federal agencies from firing employees until January 30, effectively pausing the administration’s efforts to reduce the federal workforce. It additionally ensures back pay for all federal employees, including military personnel, Border Patrol agents, and air traffic controllers.


Impact and Political Reactions

At the start of Trump’s second term, around 2.2 million civilians worked for the federal government, with at least 300,000 expected to leave by year-end due to restructuring efforts.

The prolonged shutdown has caused ripple effects throughout the economy, disrupting air travel, parks, and nutrition programs, while delaying key economic data releases.

Senate Majority Leader John Thune called Sunday’s vote “a good step forward,” adding that Republican leaders would push for final passage as soon as possible. Democratic Senators Maggie Hassan, Jeanne Shaheen, and Angus King reportedly brokered the compromise deal.

However, not all Democrats supported the measure. Senate Minority Leader Chuck Schumer voted against it, while other Democrats expressed frustration. Representative Ro Khanna criticized Schumer’s leadership, writing on X that he should be replaced if he couldn’t “fight to stop healthcare premiums from skyrocketing.”


Economic Concerns Mount as Shutdown Drags On

The shutdown’s 40th day raised concerns about potential economic damage. White House economic adviser Kevin Hassett warned that continued disruptions could lead to negative growth in the fourth quarter, especially if air travel remains affected during the Thanksgiving holiday period on November 27.

Republican Senator Thom Tillis said the mounting economic and social pressures had finally pushed both parties toward compromise: “Temperatures cool, pressure rises, and suddenly things come together,” he told reporters.


Affordable Care Act at the Center of the Dispute

At the core of the standoff is disagreement over the Affordable Care Act subsidies, which helped double enrollment to 24 million since 2021. Republicans argue that subsidies benefit insurance companies, while Democrats insist they are vital for keeping healthcare affordable.

On Sunday, President Trump reiterated his position on Truth Social, calling the subsidies a “windfall for insurance companies” and a “disaster for the American people.” He said he was open to direct payments to individuals once the government reopens.

Health experts warn that if subsidies expire at the end of this year, Obamacare premiums could more than double on average in 2026. The ACA enrollment period runs through January 15, giving lawmakers a brief window to extend the program.