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US House Approves Budget Deal to Prevent Government Shutdown

House legislation passed with bipartisan support sets stage for negotiations in the Senate amid potential challenges from the former president and high-profile billionaire.

Source: bbc.co.uk1 min read
US House Approves Budget Deal to Prevent Government Shutdown
Image via bbc.co.uk

In brief

In a recent move to prevent a looming government shutdown, the Republican-controlled U.S. House of Representatives has passed a budget plan by a margin of 366 to 34. This bipartisan agreement was reached mere hours before a midnight deadline and will now head to the Democratic-majority Senate for approval before it can be signed into law by President Joe Biden. The budget, titled the "American Relief Act, 2025," had faced considerable hurdles earlier in the week after key figures, including former President Donald Trump and billionaire entrepreneur Elon Musk, urged Republicans to reject a previous funding proposal.

The successful vote represents the third attempt in the week to navigate through a budget solution, following a failed attempt backed by Trump earlier in the week. Notably, the approved deal excludes Trump’s demanded debt-limit provision, which created friction with Democrats and entrenched Republicans concerned about fiscal discipline. Prior drafts also included provisions aimed at providing federal funds for infrastructure, healthcare reforms, and measures against misleading advertising, all of which have been stripped from the final proposal.Despite some dissent within the Republican ranks—34 members voted against the bill—all attending Democrats showed support for the funding measure. While Trump has yet to publicly address the outcome, the Biden administration expressed approval of the compromise. Amid the budget negotiations, Musk's involvement drew criticism from Democrats, emphasizing the influence of an unelected billionaire in legislative matters.As the legislative session concludes, House Speaker Mike Johnson endorsed the bipartisan effort, framing it as a positive step toward a new beginning for the upcoming year. Johnson has reportedly maintained communication with both Trump and Musk throughout the budget discussions. Musk subsequently praised Johnson’s leadership, acknowledging significant improvements in the bill's scope during negotiations.Government officials previously warned of the dire consequences of a shutdown, which could disrupt pay for millions of federal workers and impact vital assistance programs for farmers and disaster recovery efforts. The last federal shutdown occurred during Trump’s presidency in 2019, lasting a historical 35 days. As tensions remain high within Congress, the forthcoming negotiations in the Senate could signify the start of an increasingly contentious political landscape.

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