House Republicans introduced a spending bill aimed at funding agencies until September 30th, setting the stage for a high-stakes power struggle in Congress.
The move will allow Democrats to support the bill or risk a catastrophic government shutdown on March 15th.
The laws supported by President Donald Trump are expected to face strong opposition from Democrats. House Speaker Mike Johnson will attempt to gather a narrow majority of his party to pass the 99-page bill to the House on Tuesday, perhaps without democratic support. But the fate in the Senate remains uncertain as it requires support from moderate Democrats to reach the required 60 vote threshold.
Despite the division along the party line, the parties indicate that they will not allow government shutdowns. If the bill fails, lawmakers may be forced to take temporary measures to extend funds while negotiations continue since the start of the October fiscal year.
Trump has urged Republican lawmakers to support the measure without opposition, and argued that the country’s finances need to be stabilized.
“Give me months until September, so I can continue to organize the country’s ‘financial homes’,” Trump said in The Truth Society.
The interim bill, drafted in consultation with the White House, allows the administration to continue its cost-cutting efforts under Elon Musk’s controversial Office of Government Efficiency (DOGE). Democrats are trying to impose restrictions on masks’ budgetary powers, but Republicans resisted such efforts.
The bill proposes modest cuts to discretionary spending by the end of the fiscal year. Trump has shown to pave the way for more ambitious fiscal policies, including tax cuts and $2 trillion cuts.
*This is not investment advice.
