Trump calls for rejection of US spending bill, raising odds of shutdown

His comments have raised the chances of a government shutdown just days before Christmas, a situation that could disrupt services such as air travel, law enforcement, and public services across the country. 

Trump, along with Vice President-elect JD Vance, has criticized the current bill, arguing that it is filled with what they call “Democrat giveaways” and pushing for a different, simpler funding bill.

In just a few days ago, Judge rejects Donald Trump’s appeal in hush money conviction. 

The proposal to extend funding is necessary because Congress has failed to pass full spending bills for the fiscal year that began on October 1. Without an agreement, various government departments and services—ranging from national parks to border control—will start shutting down on Saturday. This would be the first government shutdown since December 2018, which lasted into 2019 and was one of the longest shutdowns in US history.

The current bill, which was introduced earlier this week, is designed to fund government agencies at existing levels and allocate $100 billion for disaster relief efforts. It also includes $10 billion for farm aid, a crucial amount for supporting the agricultural sector. 

However, the bill includes provisions that Trump and his allies argue are unnecessary and controversial. Among these are a pay raise for lawmakers and a provision to crack down on hidden hotel fees. Trump has called out these measures, referring to them as examples of “pork,” a term used to describe government spending that is seen as wasteful or unrelated to the core functions of government.

Trump and Vance have demanded that the bill be stripped down to focus solely on temporary government funding and disaster relief. But beyond that, Trump has added another layer of complexity to the debate by urging lawmakers to use the bill as an opportunity to address the nation’s mounting debt. With the US national debt currently standing at around $36 trillion, Trump and Vance have called for the inclusion of a provision to raise the debt ceiling, a politically difficult task that has to be completed at some point in the near future.

Trump warned that if Democrats do not cooperate with raising the debt ceiling now, it could become an even bigger issue down the road. “If Democrats won’t cooperate on the debt ceiling now, what makes anyone think they would do it in June during our administration?” Trump said in a joint statement with Vance.

The push for including a debt ceiling provision has added tension to an already complicated situation, as lawmakers must now juggle the need to avoid a government shutdown with the urgency of addressing the nation’s debt. Failure to raise the debt ceiling could lead to catastrophic economic consequences, including the potential for the US government to default on its obligations, which would severely hurt financial markets.

The stakes of the negotiations are particularly high for Mike Johnson, who replaced Kevin McCarthy as House Speaker just a few months ago. Johnson, who will face a vote in January to keep his role, is under intense pressure as his leadership is tested by the divisive discussions over the funding bill. If the bill passes despite Trump’s objections, Johnson could face criticism from Republicans, many of whom are upset about the bill’s contents.

The House of Representatives, where Republicans hold a narrow majority, is particularly sensitive to party disagreements. The GOP can only afford to lose three votes from their members on a partisan issue like this. A shutdown could further strain the fragile relationship within the Republican party, as members are deeply divided over the issue of government spending.

Many Republican lawmakers are opposed to temporary funding bills because they typically maintain current spending levels, rather than introducing cuts to reduce the deficit. Additionally, temporary measures are often packed with extra, unrelated spending items that many lawmakers see as wasteful. 

The term “pork” is often used to describe this kind of unnecessary spending. Trump and Vance have strongly criticized this practice, calling for a more focused bill that doesn’t include what they see as unnecessary additions.

Elon Musk, the billionaire CEO of Tesla and SpaceX, has joined Trump in criticizing the funding bill. Musk, who spent over $250 million to support Trump’s 2016 election campaign, has taken on a more active role in pushing for changes to the federal budget. While Musk has no formal expertise in government funding, he has become an influential voice in the debate over how to reduce the size of the federal budget.

Musk has also amplified certain claims about the bill that were not accurate. For example, he argued that the bill would fund a new football stadium in Washington, DC, and that it would support “bioweapon labs.” 

Both of these claims are false. Additionally, Musk said that lawmakers would receive a 40% pay raise under the bill, when in fact the actual increase is under 4%. These kinds of misleading claims have fueled opposition to the bill among conservatives, adding fuel to the fire.

Despite his lack of experience in government, Musk’s statements have helped rally opposition to the bill. He called for lawmakers who vote in favor of it to be voted out of office in two years. Musk’s strong stance against the bill has made him an important ally for Trump and others who are seeking to block it.

If Congress fails to reach an agreement and the government shuts down, the economic impact could be significant. 

A similar shutdown from December 2018 to January 2019 shrank the economy by about $3 billion, according to the Congressional Budget Office. A new shutdown could have similar consequences, hurting not just government workers but also private-sector businesses and individuals who rely on government services.

During a shutdown, federal workers are furloughed or asked to work without pay, and many government services come to a halt. Public parks and museums close, airport security operations are affected, and law enforcement agencies are stretched thin. 

This has a ripple effect on the economy, as private-sector businesses that depend on government activity, such as contractors and service providers, are also hit.