The federal government was headed toward a shutdown with Senate Democrats blocking a spending bill approved by the House this week and favored by Republicans.
With the deadline set for Friday, March 14, 2025, neither side in this standoff of budget priorities has budged, leaving millions of Americans to wonder what’s next.
What’s Holding Up the Deal?
The House Republicans approved a continuing resolution to fund the government through September 30, but Senate Democrats oppose the bill, contending it disproportionately favors military spending while cutting key domestic programs in health care and education.
Here’s where both sides stand:
- Republicans propose an increase in defense and border security funding with corresponding cuts in social programs.
- Democrats object to sacrificing essential public services to a partisan budget and support a short-term CR that would provide additional time to negotiate.
- President Joe Biden has signaled he would sign a temporary spending extension but also warned that he would veto any bill that cuts deeply into social safety nets.
What’s at Stake in a Possible Shutdown
Lawmakers have until midnight Friday to reach a deal or the government will enter a partial shutdown that will affect millions of Americans. What’s at stake:
- Federal Employees: Hundreds of thousands of federal employees would go on unpaid furlough, while employees deemed essential-like military personnel and TSA agents-would be forced to work without receiving pay immediately.
- Public Services: Delays or closures of national parks, passport offices, and other federal agencies could occur.
- Economic Impact: Prolonged shutdowns would have a potential impact on the financial markets, a slowdown in government-assisted programs, and uncertainty for businesses.
- Social Security and Medicare: Both would remain operational, but the processing for any new claims and benefits would be considerably slowed because of administrative delays.
What Happens Next?
With hours left before the deadline, Senate Majority Leader Chuck Schumer and Minority Leader Mitch McConnell are struggling to reach a compromise. Democrats want a funding extension to provide time for further negotiations, while Republicans continue to insist on their proposed budget. Some lawmakers, although aware of the uncertainty, remain optimistic that a last-minute deal can be reached.
Approval of the short-term CR would keep the government funded as Congress works its way toward a long-term deal; if the standoff continues, a shutdown would most likely begin immediately when the deadline expires.
As the standoff continues, all eyes rest on the Senate as it yet remains to be seen whether it will avert a crisis or allow the government to grind to a halt.
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