US Congress approves spending extension, avoiding shutdown

The 85-to-11 vote came shortly after the midnight deadline, preventing a potential government shutdown that would have disrupted services and services just before the holidays.

The bill, which was also approved earlier in the House, provides USD 100 billion in disaster relief for communities still recovering from storms, while delaying major budget decisions until 2025, when the incoming Republican-controlled Congress will take office.

Senate Majority Leader Chuck Schumer, a Democrat from New York, described the measure as a compromise that avoided a crisis but still included key provisions for American families. "Though this bill does not include everything Democrats fought for, there are major victories in this bill for American families," Schumer said.

He pointed to the inclusion of "emergency aid for communities battered by natural disasters" and the prevention of "draconian cuts" to government programs as notable achievements. The legislation also extends farm programs for one year and includes USD 10 billion in direct aid for farmers.

The bill's passage brought an end to several days of turmoil over the looming shutdown, which had become a focal point of partisan disagreement. President Biden signed the bill into law soon after it passed in the Senate, ensuring that the government would remain funded despite the past week's chaotic political battles.

Earlier in the week, tensions had risen when House Republicans initially included a provision to suspend the federal debt limit in the proposed funding bill. However, this provision was ultimately removed after pushback from Republican lawmakers, leading to a major defeat on the House floor, reported the New York Times.

Speaker Mike Johnson of Louisiana, who had been in communication with President-elect Donald Trump and billionaire Elon Musk about the negotiations, confirmed that both men were aware of the direction the discussions were taking. "He knew exactly what we were doing and why," Johnson said of Trump. "This is a good outcome for the country."

The bill, while providing short-term funding, did not address the contentious issue of the federal debt ceiling, which has been a point of contention among Republicans.

With the debt ceiling issue unresolved, Republicans have signalled their intention to address it in early 2025 through a separate legislative package, along with other budgetary concerns. "House Republicans agree to raise the debt limit by USD 1.5 trillion in the first reconciliation package, with an agreement that we will cut USD 2.5 trillion in net mandatory spending in the reconciliation process," Republican leadership stated in a proposal, as per the New York Times.

Despite the last-minute compromises, the passage of the bill highlighted ongoing divisions within the Republican Party, as well as between the two chambers of Congress. While the Senate passed the measure with relative ease, the House had faced significant opposition from both sides of the aisle. Democrats, despite dissatisfaction with the final version, supported the bill to avoid a shutdown and potential economic turmoil.

"House Democrats have successfully stopped extreme MAGA Republicans from shutting down the government, crashing the economy and hurting working-class Americans all across the land," said Representative Hakeem Jeffries, the Democratic leader.

"House Democrats have successfully stopped the billionaire boys' club, which wanted a USD 4 trillion blank check by suspending the debt ceiling." (ANI)