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Government shutdown begins as lawmakers fail to reach deal to extend funding

Government shutdown begins after Congress fails to pass funding bill | Special Report 05:53

Follow Wednesday's live updates on the shutdown here. See earlier developments below.

What to know about the government shutdown:

  • The federal government began to shut down at 12 a.m. on Wednesday as lawmakers failed to resolve a dispute over spending, leading to the first lapse in funding in nearly seven years.
  • A House-passed GOP bill to extend current spending levels for seven weeks failed again in the Senate, where Republicans need Democratic support to approve spending. Democrats are demanding the extension of health care tax credits in exchange for their support.
  • Without a deal, funding lapsed at nearly every agency and department as the clock struck midnight. 
  • Agencies will begin implementing shutdown procedures on Wednesday morning to keep or send hundreds of thousands of workers home on furlough. Essential employees and those whose duties are funded through other means will stay on the job. Almost no federal workers, whether they are furloughed or not, will be paid until Congress reaches a deal. They will all receive back pay once the shutdown is over.
  • The last government shutdown began at the end of 2018 and was the longest in history, lasting for 34 days. The effects of this lapse could be widespread, depending on how long it lasts. The Congressional Budget Office predicted that the cost of paying furloughed employees alone would amount to roughly $400 million a day.
 

White House blames shutdown on Democrats

The White House was quick to point the finger of blame for the shutdown at Democrats.

A post on X at 12:06 a.m. showed a digital time of all zeroes and the words Democrat shutdown in all capital letters, followed by an exclamation point.

By Brian Dakss
 

Harris says "Republicans are in charge. …This is their shutdown"

In a post on X shortly after the shutdown began, former Vice President and Democratic presidential nominee Kamala Harris pinned the blame directly on the GOP, saying, "President Trump and Congressional Republicans just shut down the government because they refused to stop your health care costs from rising.

"Let me be clear: Republicans are in charge of the White House, House, and Senate. This is their shutdown."

By Brian Dakss
 

Johnson says "Democrats have officially voted to CLOSE the government"

In a post on X after the shutdown began, Johnson argued Democrats have "officially voted to CLOSE the government."

"The only question now: How long will Chuck Schumer let this pain go on — for his own selfish reasons?" the House Speaker wrote.

By Joe Walsh
 

Top Democrats say they "remain ready to find a bipartisan path forward to reopen the government"

Minutes after the government shutdown began, Schumer and Jeffries said they "remain ready to find a bipartisan path forward to reopen the government," but they "need a credible partner."

"Over the last few days, President Trump's behavior has become more erratic and unhinged. Instead of negotiating a bipartisan agreement in good faith, he is obsessively posting crazed deepfake videos," the two Democratic leaders said in a joint statement, referring to a seemingly AI-generated video of Schumer and Jeffries that Mr. Trump posted Monday.

Democrats have sought to negotiate with the GOP over health insurance subsidies as part of any deal to fund the government, but Republicans argue that issue should be handled separately. Shortly before the shutdown began, Johnson told reporters: "There's nothing to negotiate."

By Joe Walsh
 

Government shutdown begins

The federal government has now formally entered its first shutdown in almost seven years, after lawmakers failed to reach a deal on a funding bill by midnight.

Federal agencies are expected to cease all non-essential functions, sending most government employees home. Certain essential workers will be told to keep reporting to work without pay. And in an unusual development, the Trump administration has told agencies to consider drawing up plans for layoffs.

The shutdown will continue until Congress passes a bill to fund the government. The two parties remain at odds: Republicans are pushing to fund the government at current levels until Nov. 21, but Democrats want a shorter-term bill with several concessions, including an extension of health insurance tax credits. Both the GOP and Democratic plans failed in a pair of final Senate votes Tuesday.

By Joe Walsh
 

Government website blames shutdown on "radical left." Ethics group calls it a "blatant violation."

The U.S. Department of Housing and Urban Development on Tuesday posted a banner in large type on its homepage blaming the shutdown on the "Radical Left," an allegation that an ethics group said was a "blatant violation" of the Hatch Act. 

"The Radical Left are going to shut down the government and inflict massive pain on the American people unless they get their $1.5 trillion wish list of demands," the message reads. "The Trump administration wants to keep the government open for the American people."

A complaint filed Tuesday with the U.S. Office of Special Counsel by the nonprofit consumer advocacy group Public Citizen alleged that the banner on HUD's website was a "blatant violation" of the Hatch Act, describing it as "highly partisan" and seeking to "idolize the Trump administration…without attributing any blame for the lack of compromise causing the shutdown."   

The Hatch Act is a federal law passed in 1939 that "limits certain political activities of federal employees as well as some state, D.C., and local government employees who work in connection with federally funded programs," according to OSC.

CBS News has reached out to HUD and the White House for comment.

Read more here

By Faris Tanyos
 

Jeffries blasts Trump: "We just don't have serious negotiating partners"

House Minority Leader Hakeem Jeffries said on CNN late Tuesday that Democrats want to strike a deal with Republicans to fund the government, but "Republicans have adopted a my-way-or-the-highway approach."

"They basically have said, 'take it or leave it,'" the top House Democrat added.

Jeffries also criticized President Trump's role in the negotiations, calling him an "unserious individual" and faulting his "erratic, unhinged behavior." Jeffries pointed to a fake video that Mr. Trump posted depicting Jeffries and Schumer on Monday, hours after the two leaders met with the president.

"We just don't have serious negotiating partners right now on the other side of the aisle, because they're engaging in this erratic behavior," said Jeffries.

By Patrick Maguire
 

Johnson suggests no late-night negotiations: "There's nothing to negotiate"

As the midnight deadline to avert a government shutdown looms, House Speaker Mike Johnson suggested to reporters that no late-night negotiations are taking place.

"There's nothing to negotiate. There's nothing I can give," Johnson said.

Johnson also blamed Schumer for the impasse.

"He's making a personal, selfish decision to close the government, to give himself some sort of political cover," Johnson told reporters, alleging the top Senate Democrat is "worried about his own political future" and guarding against a primary challenge from the left.

By Jaala Brown
 

Trump posts images of congressional leaders in Oval Office

President Trump has shared images that appeared to be from his Oval Office meeting Monday with House and Senate leadership.

The images show an animated discussion between the top Republicans in Congress, House Speaker Mike Johnson and Senate Majority Leader John Thune, and their Democratic counterparts, House Minority Leader Hakeem Jeffries and Senate Minority Leader Chuck Schumer. 

Mr. Trump sits behind the Resolute Desk, which is topped by Trump 2028 hats — a reference to his on-and-off musings about seeking a constitutionally impermissible third term.

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Trump is pictured in the Oval Office, with House Minority Leader Hakeem Jeffries in the foreground. White House
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From left to right: Senate Majority Leader John Thune, House Speaker Mike Johnson and Senate Minority Leader Chuck Schumer. White House
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From left to right: House Speaker John Thune, Senate Minority Leader Chuck Schumer and House Minority Leader Hakeem Jeffries. White House
By Joe Walsh
 

"When you shut it down, you have to do layoffs," Trump says

President Trump told reporters the federal government may "have to do layoffs" if the government shuts down.

"The Democrats want to shut it down, and so when you shut it down, you have to do layoffs," he told CBS News senior White House correspondent Weijia Jiang in an Oval Office event before the Senate rejected two bills to keep the government open. "So we'd be laying off a lot of people that are going to be very affected. And they're Democrats, they're going to be Democrats."

The White House's Office of Management and Budget has told federal agencies to consider whether to lay off staff in the event of a shutdown. In the past, the federal government has temporarily furloughed workers during shutdowns or told them to work without pay, rather than carrying out permanent layoffs.

By Joe Walsh
 

Schumer: Republicans need to negotiate with Democrats for their votes

Senate Minority Leader Chuck Schumer, a New York Democrat, said the defeat of the Republican measure twice in the Senate proves that Republicans have to negotiate with Democrats to move forward. 

"Two times, Republicans have failed to get enough votes to avoid a shutdown," Schumer told reporters after votes on competing funding bills. "They've got to sit down and negotiate with Democrats to come to a bill that both parties can support." 

"We hope they sit down with us and talk, otherwise it's the Republicans who will be driving us straight toward a shutdown tonight," he added. 

Schumer would not go as far as saying that the GOP bill will never succeed in getting the 60 votes it needs for passage. 

"Our guarantee is to the American people that we're going to fight as hard as we can for their health care. Plain and simple," he said. 

By Caitlin Yilek
 

Senate is done for voting for the night

The Senate will not hold further votes Tuesday night, according to Senate Majority Leader John Thune, essentially guaranteeing that a shutdown will start at midnight. The South Dakota Republican said the Senate would return Wednesday, when three votes are expected after 11 a.m. and more votes are possible later in the day. 

By Caitlin Yilek
 

Agencies "should now execute their plans for an orderly shutdown," OMB says

The White House's Office of Management and Budget released a memo directing agencies to begin shutting down nonessential functions, minutes after the Senate voted down measures to keep the government open.

"President Trump supports passage of H.R. 5371, but it is now clear that Democrats will prevent passage of this clean CR prior to 11:59 pm tonight and force a government shutdown," the memo said, referring to the GOP proposal that has passed the House but has not made it out of the Senate. "As such, affected agencies should now execute their plans for an orderly shutdown." 

"It is unclear how long Democrats will maintain their untenable posture, making the duration of the shutdown difficult to predict," it said. 

By Caitlin Yilek
 

Thune suggests more Democrats could flip to supporting GOP bill

In remarks at the Capitol after the votes, Senate Majority Leader John Thune, a South Dakota Republican, called on Democrats to break with their party to support the GOP bill. 

"Democrats may have chosen to shut down the government tonight, but we can reopen it tomorrow," Thune said. "All it takes is a handful of Democrats to join Republicans to pass the clean, nonpartisan funding bill that's in front of us." 

Thune indicated "some conversations" were happening with "some Democrats" who are "very unhappy with the situation that they're in." He pointed to the three Senate Democrats who voted in favor of the GOP bill, saying, "tonight was evidence that there was some movement there." Five more Democrats would need to vote in favor of the bill for it to pass.

"I really hope that some of them will join us to reopen the government," he said. "Five Democrats have the power tomorrow to reopen the government, and I hope they're listening, and I hope they have the courage to actually do it." 

Senate Majority Whip John Barrasso of Wyoming said that Republicans would continue to offer a clean continuing resolution in the days or weeks ahead. 

By Caitlin Yilek
 

Democratic Sen. Catherine Cortez Masto explains why she voted for GOP bill

Sen. Catherine Cortez Masto of Nevada, one of three Democratic senators to break with her party to support the GOP funding bill, said she did so because a shutdown "would hurt Nevada families and hand even more power to this reckless administration." 

"President Trump and Congressional Republicans are already hurting Nevadans who are dealing with high costs, an economic slowdown, and a looming health care crisis. This administration doesn't care about Nevadans, but I do," she said in a statement. "We need a bipartisan solution to address this impending health care crisis, but we should not be swapping the pain of one group of Americans for another." 

Cortez Masto voted against the GOP bill earlier this month.

By Caitlin Yilek
 

GOP government funding bill fails in Senate, paving way for shutdown

The Republican measure to fund the government for seven weeks stumbled for a second time in the Senate, making it all but certain that the government begins to shut down at midnight. 

The bill failed in a 55 to 45 vote. 

Democratic Sens. John Fetterman of Pennsylvania, Catherine Cortez Masto of Nevada and Angus King of Maine (an independent who caucuses with Democrats) supported the measure. Earlier this month, Fetterman was the only Democrat to vote in favor of the measure.

Republican Sen. Lisa Murkowski of Alaska, who voted against the bill earlier this month, also voted in favor this time. 

Sen. Rand Paul of Kentucky was the sole Republican "no" vote. 

By Caitlin Yilek
 

Senate votes again on House-passed GOP measure to prevent shutdown

The Senate is voting for a second time this month on a GOP measure to keep the government funded until Nov. 21. 

Both the House and Senate voted on the bill on Sept. 19, but it only cleared the House. In the Senate, it failed by a vote of 44 in favor to 48 opposed. 

With hours to go until a shutdown, the Senate is trying again. But Republicans will need at least a handful of Democrats to come on board to hit the 60-vote threshold it needs to pass.

By Caitlin Yilek
 

Democrats' measure to keep government open falls short for second time

As expected, the Democrats' counterproposal to keep the government open fell short of the 60-vote threshold needed for passage. It failed in a party-line vote of 47 in favor to 53 opposed.

By Caitlin Yilek
 

Senate voting on Democrats' bill to keep government funded

The Senate has begun voting on a counterproposal from Democrats to keep the government open through October — several weeks shorter than the House-passed Republican measure. 

It also would make permanent the enhanced tax credits for people who buy health insurance through the Affordable Care Act marketplaces. It's a nonstarter for most Republicans. 

The vote is expected to fall short of the 60-vote threshold, as it did on Sept. 19. 

By Caitlin Yilek
 

Murkowski says she will now support House-passed bill

Republican Sen. Lisa Murkowski of Alaska said she will now vote in favor of the GOP bill to avert a shutdown that passed the House earlier this month. 

"I don't think we will have a different outcome than what we saw 10 days ago," she said, referring to an earlier vote on the measure that Murkowski voted no on. "There's going to be a little bit of a different outcome because I will support the House bill." 

The GOP's measure would extend government funding until Nov. 21.

Murkowski said she is changing her vote because time has run out to negotiate. 

"I had objected to it last time because I thought we, with 10 days left, we should have enough time to perhaps negotiate something that was actually going to get us to 60 votes," she said. "It looks at this point in time that unless there's been a miracle in the past two and a half hours, I think we're going to go into a shutdown." 

Murkowski and Sen. Rand Paul of Kentucky were the only two Republicans to vote against the measure earlier this month. 

By Grace Kazarian
 

Unions sue Trump administration over potential layoffs of federal workers during shutdown

A group of unions representing federal workers sued the Trump administration over a recent memo saying agencies should consider layoffs in the event of a government shutdown.

The White House Office of Management and Budget told federal agencies last week to examine whether to implement reduction-in-force plans — a federal term for layoffs — in the event of a shutdown. Typically during shutdowns, the government temporarily furloughs staff or directs them to work without pay, rather than laying them off permanently. It's unclear whether any agencies will actually cut staff.

In a lawsuit filed Tuesday in the U.S. District Court for the Northern District of California, the American Federation of Government Employees and the American Federation of State, County and Municipal Employees argued the government doesn't have the legal right to carry out reductions-in-force because of a shutdown.

"These actions are contrary to law and arbitrary and capricious, and the cynical use of federal employees as a pawn in Congressional deliberations should be declared unlawful and enjoined by this Court," the lawsuit read.

The unions asked the court to vacate the administration's memo on reductions-in-force and declare that the administration had "exceeded statutory authority, acted contrary to law, and acted in an arbitrary and capricious manner" through the guidance.

By Joe Walsh
 

Trump says "a lot of good can come from shutdowns"

After signing executive actions at the White House, the president took questions from reporters on the impending shutdown. Mr. Trump said a "lot of good can come from shutdowns" because the administration can "get rid of" Democratic policies.

"We're doing well as a country so the last thing we want to do is shut it down," the president told reporters. "But a lot of good can come down from shutdowns. We get rid of a lot of things that we didn't want, and they'd be Democrat things. But they want open borders, they want men playing in women's sports, they want transgender for everybody. They never stop. And they don't learn. We won an election in a landslide, they just don't learn. So we have no choice. I have to do that for the country." 

By Kathryn Watson
 

Nearly all Homeland Security workers to be exempt from furlough

The vast majority of Department of Homeland officials will be exempted from furlough if the government shuts down, according to the department's plans

Of about 272,000 employees, DHS expects about 258,000 to be "excepted," with another roughly 2,000 called back if the shutdown lasts longer than five days. 

Excepted agencies and functions include the U.S. Coast Guard, U.S. Secret Service, law enforcement, port of entry processing and inspection, counterterrorism and emergency preparedness and response.

By Nicole Sganga
 

Schumer: "Republicans have until midnight to cut the garbage and get serious"

Senate Minority Leader Chuck Schumer said at a news conference at the Capitol that "Republicans have until midnight to cut the garbage and get serious with us about solving the health care crisis," showing no signs of caving on his demands. 

The New York Democrat said lawmakers are nearing the shutdown deadline "simply because the Republicans are not serious about keeping it open." And he spoke of the meeting with President Trump and other congressional leaders Monday. Sitting in the room, he said, "it was very clear, behind closed doors, that the president hasn't fully grasped the magnitude of the disaster he's causing Americans."

"Democrats do not want a shutdown," Schumer said. "We stand ready to work with Republicans to find a bipartisan compromise, and the ball's in their court."

Schumer refuted the GOP assertion that Democrats are seeking to give tax credits to undocumented migrants. He said that notion is "absolutely false," and "one of the big lies they tell so they don't have to discuss the issue."

The minority leader also pinned the blame for a shutdown on Speaker Mike Johnson for keeping the House away from Washington until after the funding deadline.

"Who wants a shutdown?" Schumer said. "There's no better proof than the fact that Speaker Johnson sent everybody home this week, ensuring a shutdown no matter what the Senate did."

"The House Republicans should be here, but they're home," he said. 

By Kaia Hubbard
 

Senate to vote on dueling continuing resolutions beginning at 5:30 p.m.

The Senate will take up competing continuing resolutions to keep the government open at approximately 5:30 p.m. on Tuesday, according to a notice from Majority Whip John Barrasso's office.. Senators will first vote on the Democratic proposal to extend government funding, then take up the GOP proposal, which has already passed the House. Each vote will need 60 votes to succeed. 

The chamber took identical votes on Sept. 19, and both bills failed, leading to the current stalemate.

By Stefan Becket
 

Thune says shutdown is "totally avoidable," appeals to "reasonable" Democrats

Senate Majority Leader John Thune called a shutdown "totally avoidable" Tuesday afternoon, while appealing to "reasonable" Democrats who could help propel a GOP-led bill to extend government funding to passage. 

"I'm hoping there are Democrats out there who are reasonable and understand what's at stake here," Thune said at his weekly news conference in the Capitol. "This is totally avoidable, it is a decision they're going to have to make, and if the government shuts down, it is on the Senate Democrats."

Thune, a South Dakota Republican, cited Democrats' previous support for extending government funding in previous situations.

"I think what's changed is, President Trump is in the White House," Thune said. "That's what this is about, this is politics. And there isn't any substantive reason why there ought to be a government shutdown."

Thune said, "ladies and gentlemen, there isn't anything here to negotiate."

"This is a routine funding resolution to keep the government open so that we can continue our appropriations work and fund the government the old-fashioned way," he said. 

By Kaia Hubbard
 

Johnson's office showcases video of Democrats condemning shutdowns

House Speaker Mike Johnson of Louisiana places a television in the doorway of his Capitol office in Washington, D.C., on Sept. 30, 2025, showing video of Democrats discussing a government shutdown.
House Speaker Mike Johnson of Louisiana places a television in the doorway of his Capitol office in Washington, D.C., on Sept. 30, 2025, showing video of Democrats discussing a government shutdown. Chip Somodevilla / Getty Images

Just inside the doorway of House Speaker Mike Johnson's office in the Capitol sits a large TV that is playing on loop a video of Democrats condemning shutdowns and the pain shutdowns inflict on everyday Americans. 

"Democrats on shutdowns in their own words," the text on screen says, before showing footage of Rep. Alexandria Ocasio-Cortez, Senate Minority Leader Chuck Schumer, House Minority Leader Hakeem Jeffries, House Democratic Whip Katherine Clark and Rep. Ayanna Pressley. 

"Under President Trump their tune has suddenly changed," it reads. 

The video then cuts to news clips of Democrats opposing the Republican measure to keep the government funded. 

By Caitlin Yilek
 

Jeffries to host 24-hour livestream on government funding

House Democratic Leader Hakeem Jeffries will launch a 24-hour livestream at 2 p.m. today on his YouTube channel where members are encouraged to join to discuss the state of play on government funding.

The stream is billed as an all-day event "to highlight why Democrats are holding the line against Trump and extreme MAGA Republican efforts to rip away healthcare from millions of Americans," per the description listed on his channel.

By Patrick Maguire
 

Senators to watch in the vote on government funding

When the Senate votes later Tuesday on a Republican measure to keep the government open, all eyes will be on nearly a dozen senators who could help determine the fate of the bill ahead of the midnight deadline. 

In March, when Congress was considering another continuing resolution, 10 Democratic senators helped advance the Republican bill, setting it up for final passage. Those senators are:

  • Catherine Cortez Masto of Nevada 
  • Dick Durbin of Illinois 
  • John Fetterman of Pennsylvania 
  • Kirsten Gillibrand of New York 
  • Maggie Hassan of New Hampshire 
  • Angus King of Maine (an independent who caucuses with Democrats) 
  • Gary Peters of Michigan 
  • Brian Schatz of Hawaii 
  • Chuck Schumer of New York 
  • Jeanne Shaheen of New Hampshire 

During a Sept. 19 vote on the latest Republican bill, all Democrats but Fetterman voted against its passage. Fetterman said Monday he will continue to vote in favor. 

In the Sept. 19 vote, Republican Sens. Lisa Murkowski of Alaska and Rand Paul of Kentucky joined Democrats in opposing the bill.

By Caitlin Yilek
 

Trump says "we'll probably have a shutdown," threatens "irreversible" cuts

President Trump, speaking to reporters in the Oval Office, said "we'll probably have a shutdown," and said he might use a funding lapse to make "irreversible" cuts to health care-related programs.

Asked about Democrats' posture in the funding fight at a news conference on a drug pricing deal with Pfizer, Mr. Trump said that "we don't want it to shut down" but suggested the administration could take steps that it wouldn't be able to otherwise.

"We can do things during the shutdown that are irreversible, that are bad for them and irreversible by them," the president said, referring to Democrats. "Like cutting vast numbers of people out, cutting things that they like, cutting programs that they like."

Mr. Trump said OMB Director Russell Vought "can trim the budget to a level that you couldn't do any other way."

"So they're taking a risk by having a shutdown," the president said. "Because of the shutdown, we can do things medically and other ways, including benefits, we can cut large numbers of people out, we don't want to do that, but we don't want fraud, waste and abuse." 

Asked whether a shutdown is inevitable, the president said "nothing is inevitable, but I would say it's probably likely."

By Kathryn Watson
 

CBO estimates 750,000 employees could be furloughed in shutdown, costing $400 million a day

The Congressional Budget Office estimated on Tuesday that about 750,000 federal employees could be furloughed under a government shutdown, and the total daily cost of their compensation would be around $400 million. Furloughed employees receive back pay at the end of shutdowns.

The analysis came in a letter to Sen. Joni Ernst, an Iowa Republican who requested the figures. CBO noted that the number of furloughed employees could "vary by the day" due to some agencies opting to furlough more employees if a shutdown drags on, while others could bring back employees who were initially furloughed.

CBO noted that the effects of a shutdown "depend on its duration and on an Administration's

decisions about how to proceed." The letter cited the OMB memo sent to federal agencies last week telling them to consider reduction-in-force notices, or layoffs. The budget office said a reduction in the number of federal employees "would reduce the daily cost of compensation for furloughed workers."

The administration could also use funds from the One Big, Beautiful Bill Act to "continue activities" at various agencies where the funds have been appropriated, the budget office said, including the Defense Department, Treasury, Homeland Security and the Office of Management and Budget. 

The budget office said the effects of a shutdown on the economy "would depend on its extent and duration," noting that the shutdown that lasted from December 2018 until January 2019 caused a permanent loss of about $3 billion.

By Kaia Hubbard
 

Republican refuses to recognize House Democrats' request for unanimous consent

Rep. Rosa DeLauro of Connecticut, the top Democrat on the House Appropriations Committee, was expected to ask for unanimous consent to pass Democrats' counterproposal to avert a shutdown during a short "pro forma" session in the House attended by dozens of Democrats. 

But the presiding Republican, Rep. Morgan Griffith of Virginia, declined to recognize DeLauro and gaveled out. It led to loud protests from Democrats, who yelled "shame on you!" and "do your job!" 

Pro forma sessions, which take place when the House is on recess, are usually sparsely attended and only last a few minutes. 

Democrats' bill, which has not received a vote in the House and failed in the Senate, would keep the government funded until Oct. 31 and would permanently extend enhanced tax credits for Americans who purchase health care through the Affordable Care Act marketplaces. It would also roll back cuts to Medicaid that were part of Mr. Trump's "big, beautiful bill" passed earlier this year and restore funding for public radio and TV stations that was cut earlier this year in a rescissions package. 

By Caitlin Yilek
 

Why ACA tax credits for 22 million Americans are at the center of the shutdown drama

A possible shutdown on Wednesday could hinge on a deal to maintain a tax credit that helps 22 million Americans lower their health insurance costs when they buy policies through the Affordable Care Act's marketplaces. 

Known as the enhanced premium tax credit, the subsidy has been used by millions of low- and middle-class households since it was authorized under the American Rescue Plan Act in 2021. Since then, spurred by the tax credit, the number of people who have enrolled in ACA marketplace health insurance plans has almost doubled, according to health care publication KFF.

But it is set to expire at the end of 2025, and leading Democratic lawmakers are making a funding deal to keep the government open contingent on Republicans agreeing to extend the credit. 

Even as the outcome of the funding negotiations in Washington, D.C., remains uncertain, expiration of the premium health care credits could inflict financial pain on millions of Americans, experts told CBS News. 

"Insurers are already preparing to send notices to households that they will see increases starting in January 2026," said Alex Jacquez, chief of policy at Groundwork Collaborative, a liberal economic advocacy group, and former a White House economic official under former President Joe Biden, on a conference call Friday to discuss the tax credit. 

Read more here.

By Aimee Picchi
 

Durbin says White House meeting was "an opportunity that was missed"

Sen. Dick Durbin, an Illinois Democrat, told reporters that Monday's meeting at the White House "was an opportunity that was missed."

"The gathering in the White House was a chance for the legislative leaders, with the president, to avoid a government shutdown, and there wasn't any follow-up whatsoever," he said. 

Durbin, the No. 2 Senate Democrat, voted in March to advance a measure to keep the government funded. He told reporters "I don't think so" when asked whether he would do the same this time around. 

Durbin said he asked Schumer when the next meeting on government funding will be with leaders. He said Schumer told him there's no meeting scheduled that he knows of. 

"But there should be," Durbin added.

Durbin called a government shutdown "unfair" for federal workers: "It shouldn't happen, and I wish we could sit down and avoid it, and we should have done it a long time ago."

By Grace Kazarian
 

Thune outlines post-shutdown timeline in the Senate

Thune told reporters at the Capitol that if lawmakers fail to avert a government shutdown, the Senate will observe the Jewish holiday, Yom Kippur, but he would "expect additional votes throughout the week." Yom Kippur begins at sundown on Wednesday and ends Thursday evening.

"I would expect additional votes on opening up the government," Thune said. 

By Kaia Hubbard
 

Thune and Schumer debate government funding on Senate floor

Senate Majority Leader John Thune and Minority Leader Chuck Schumer debate government funding on Senate floor on Tuesday, Sept. 30, 2025.
Senate Majority Leader John Thune and Minority Leader Chuck Schumer debate government funding on Senate floor on Tuesday, Sept. 30, 2025. Senate TV

Majority Leader John Thune and Minority Leader Chuck Schumer got into a rare direct back-and-forth on the Senate floor ahead of the shutdown deadline.

"Democrats have a choice to make. They can shut down the government and subject the American people to all the problems that come with a shutdown, many of which, as I've said, they've enumerated in the countless quotes they've made in the past," Thune said. "Or they can join Republicans to pass a clean, nonpartisan short-term funding bill and keep the government's lights on. For the sake of the American people, Mr. President, I really hope they choose the latter."

Thune yielded the floor, at which point Schumer borrowed the chart Thune was referring to, which showed that 100% of Democrats had voted for nearly every Biden-era continuing resolution. Schumer agreed with the figures, but said the context was different. 

"Yes, that's true. Guess why? In each case, Democrats negotiated with Republicans and said, let's have a bipartisan bill. The leader says it's a clean bill. It's a partisan bill. Not once were Democrats asked for what input should be in the bill. We were not told about it. We were not asked about it," he said. "You cannot pass legislation in the Senate, when it comes to appropriations, unless it is bipartisan."

As Thune stood at his desk across the aisle from Schumer, the Democratic leader reiterated his position that his party wants to extend health care tax credits and restrict the president's ability to rescind funding.

"To say the appropriations process is working is wrong. It's not working," Schumer said.

"The way that we've done it — and it's a different business model than the one he used — we actually have the Appropriations Committee sit down, and the date that they came up with, Nov. 21, was agreed upon by the House and Senate appropriators, Republican and Democrat," Thune said, referring to the date that funding would be extended to under the House-passed continuing resolution.

"The Democrat leader and his colleagues have the same leverage on November the 21st. This is a short-term CR. This is what we do all the time around here," Thune continued, holding up a copy of the bill and pointing it at Schumer. "We have until the end of the year to fix the ACA credit issue, and we're happy, as I said yesterday and I've said on multiple occasions, to sit down with you to do that."

Thune then walked off the floor as Schumer reclaimed his time.

By Stefan Becket
 

HUD website displays banner blaming shutdown on "radical left"

The homepage for the Department of Housing and Urban Development is now displaying a red banner that places the blame for the looming government shutdown on Democrats. 

It reads: "The Radical Left are going to shut down the government and inflict massive pain on the American people unless they get their $1.5 trillion wish list of demands. The Trump administration wants to keep the government open for the American people."

By Melissa Quinn
 

Shutdown would lead to at least 494,879 federal employees being furloughed

Barring a last-minute deal to fund the government, at least 494,879 federal employees would be placed on furlough beginning as soon as Wednesday, according to a CBS News review of guidance documents issued so far by federal departments and agencies.

At least 1.4 million employees will be considered "excepted" and required to still show up to work. Both groups would miss paychecks if the shutdown stretches on too long but would receive back pay once a funding bill is passed.

The White House Office of Management and Budget has required all departments and agencies to post their shutdown plans on their websites, but many have not done so as of Wednesday morning. 

Of the 15 Cabinet-level departments, 10 have released updated contingency plans for a shutdown. Some, like the Agriculture, Transportation and Interior Departments, have plans from previous funding fights listed on their sites, and it's unclear if those plans would be used now. Many independent executive branch agencies have not released their contingencies.

The departments that have released figures for upcoming furloughs include the Departments of Defense and Veterans Affairs, the two largest civilian employers of the federal government.

Here's a rundown of the numbers from departments and independent agencies that have released their plans, with links to the documents below:

By Stefan Becket
 

Jeffries: "We are in this fight until we win this fight"

House Minority Leader Hakeem Jeffries reiterated the Democrats' position with just hours to fund the government on Tuesday, flanked by House Democrats on the steps of the Capitol. 

"We are in this fight until we win this fight for the people," Jeffries said of the Democrats' health care push.  

"In just a few days, notices will go out to tens of millions of Americans because of the refusal to extend the Affordable Care Act tax credits which will result in tens of millions of Americans experiencing dramatically increased premiums, copays and deductibles," he said.

Jeffries said "our position is a simple one: Cancel the cuts, lower the cost, save health care." 

"That's what this fight is all about," he said. 

Still, Jeffries said Democrats are ready to find a bipartisan path forward to fund the government. But he said, "Here's what we're not going to do: We're not going to support a partisan, Republican spending bill that continues to gut the health care of the American people." 

The minority leader also responded to the video Mr. Trump posted late Monday, saying, "Mr. President, the next time you have something to say about me, don't cop out through a racist and fake AI video. When I'm back in the Oval Office, say it to my face."

By Kaia Hubbard
 

Trump again suggests Canada should "just join our country … become the 51st state"

COPY: Mr. Trump continued baiting Canada, which he has said wants to join the U.S., though Canadian Prime Minister Mark Carney said in an Oval Office meeting in May that his country is "not for sale, ever." 

"Canada called me a couple of weeks ago — they want to be part of it," Mr. Trump claimed. "To which I said, why don't you just join our country? You become the 51st state and you get it for free." 

Mr. Trump said he didn't know if "that made a big impact," but he said "it made a lot of sense" because of his tariffs. In August, he imposed a so-called reciprocal tariff of 35% on Canadian goods. 

By Caroline Linton
 

Blumenthal says shutdown is a "self-inflicted, totally unnecessary avoidable wound" by Trump

Sen. Richard Blumenthal, a Connecticut Democrat, said Mr. Trump's move to post a fake video of Democratic leaders Monday night indicates that the president "has no expectation or desire to avoid a shutdown."

"President Trump evidently wants it, otherwise he wouldn't have posted what he did last night, which was really despicable in its use of AI to distort a colleague's position," Blumenthal said. 

The Connecticut Democrat said "this kind of shutdown is a self-inflicted, totally unnecessary, avoidable wound that Donald Trump, not necessarily my Republican colleagues, but Donald Trump is bringing on the American people."

"That post last night shows where his heart is," Blumenthal said. "He wants to mock, he wants vengeance and vanity, and using the government for those ends, I think, will be seen by the American people as a profound disgrace and shame."

By Grace Kazarian
 

How would a government shutdown impact the U.S. military?

During a government shutdown, all active-duty personnel, as well as National Guard who are currently deployed, must carry out their assigned duties with their pay delayed until the shutdown is over. Civilian personnel whose work the Defense Department considers essential, or "excepted," will also continue to work, while other civilians are furloughed for the duration of the shutdown. 

"After the government shutdown, all government employees will automatically receive back pay, based on the terms of the Government Employee Fair Treatment Act of 2019," said Seamus Daniels, a fellow for Defense Budget Analysis at the Center for Strategic and International Studies.

Active-duty service members won't get paid on time unless Congress passes a separate piece of legislation, as it did in 2013 with the "Pay Our Military Act," which ensured military pay and allowances continued during a government shutdown. 

Read more here.

By Eleanor Watson
 

Trump on laying off federal workers amid shutdown: "We may do a lot"

President Trump, asked by CBS News' Nancy Cordes outside the White House how many federal workers the administration plans to lay off if there's a shutdown, replied, "We may do a lot, and that's only because of the Democrats."

The White House's Office of Management and Budget sent a memo to federal agencies last week telling them to consider reduction-in-force notices, or layoffs, for employees in programs, projects or activities that received discretionary funding as the shutdown deadline approached. The RIF notices would come in addition to any furlough notices directing federal workers to stay home from work without pay if Congress fails to extend government funding by the deadline.

By Gabrielle Ake
 

Johnson: Democrats are "pursuing a very reckless strategy right now"

Asked on CNBC's "Squawk Box" whether he thinks lawmakers will avert a shutdown, House Speaker Mike Johnson said, "You know me, I'm an optimist. But I am a little skeptical this morning."



"Whether or not the government shuts down at midnight is entirely up to two people, it's Chuck Schumer and Hakeem Jeffries — primarily Chuck Schumer," Johnson, a Louisiana Republican, said. 

Johnson said Democrats are "pursuing a very reckless strategy right now," adding "for the life of me, I cannot understand what they hope to accomplish other than giving themselves temporary political cover from the far-left portion of their base who are demanding that they fight Trump."

"There is no basis whatsoever for them to oppose this continuing resolution," Johnson said. 

By Kaia Hubbard
 

Senate to vote on House-passed measure to fund the government

Senate Majority Leader John Thune of South Dakota speaks to reporters outside the White House in Washington, D.C., on Sept. 29, 2025, after a meeting with Congressional Democrats and President Trump.
Senate Majority Leader John Thune of South Dakota speaks to reporters outside the White House in Washington, D.C., on Sept. 29, 2025, after a meeting with Congressional Democrats and President Trump. Win McNamee / Getty Images

The Senate is expected to again vote on a House-passed measure that would keep the government funded until Nov. 21 at some point on Tuesday.

After the House passed the continuing resolution earlier this month, the measure fell short in the Senate, where a 60-vote threshold is needed to advance most legislation. With 53 Republicans, the GOP needs support from Democrats to fund the government. 

Democrats put forward their own proposal earlier this month, which also failed in the Senate. The measure would keep the government funded until Oct. 31 and includes one of their key priorities — extending expiring health insurance subsidies.

Whether more Democrats are willing to back the House-passed bill to keep the government funded this time around remains to be seen. 

Senate Majority Leader John Thune told reporters on Monday that he planned to bring up the bill for a vote Tuesday, saying that it's "up to Democrats" whether a shutdown is averted. 

"We have a clean, short-term bipartisan CR sitting at the desk," he said. "It's up to them."

By Kaia Hubbard
 

Trump posts fake video of Jeffries and Schumer outside White House; Jeffries calls it "disgusting"

Hours after meeting at the White House with the top two congressional Democrats, President Trump posted a fake video to Truth Social mocking the lawmakers.

The video, which appeared to be generated by AI, shows Schumer and Jeffries standing outside the White House, but splices in fake audio of Schumer claiming Democrats' plan is to "give all these illegal aliens free health care." Jeffries, meanwhile, is shown with a moustache and a sombrero, and the Mexican hat dance plays in the background.

In an interview later Monday with MSNBC's Lawrence O'Donnell, Jeffries called the video "disgusting," adding: "Bigotry will get you nowhere."

Schumer responded to the video by writing on X: "If you think your shutdown is a joke, it just proves what we all know: You can't negotiate. You can only throw tantrums."

Mr. Trump has posted fake images on Truth Social in the past. Over the weekend, he posted a cartoon of him firing his foe, Federal Reserve Chair Jerome Powell. The president hasn't attempted to fire Powell.

CBS News has reached out to the White House for comment. 

By Joe Walsh
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