United States Government Shuts Down Due to Funding Disagreements

Rep. Mike Lawler confronts House Minority Leader Hakeem Jeffries after a House Democrats news conference in the Capitol Visitor, October 8, 2025./Courtesy of ABC News

By: Key Jones-Ford

 After the United States (U.S.) Senate failed to reach a funding agreement by midnight of Oct. 1, the federal government shut down at 12:01 AM. 

   According to ABC News, the shutdown occurred due to the failure of two proposals. One was a Democrat-backed bill; this bill would have extended subsidies covered under the Affordable Care Act and reversed earlier implemented cuts to Medicaid. The second bill was a Republican-backed measure to continue funding for seven more weeks. 

   “We want to sit down and negotiate, but the Republicans can’t do it in their partisan way, where they just say it’s our way or the highway,” said U.S. Senator and House Minority Leader Chuck Schumer [D-NY] in a press conference a day before the shutdown. 

   Republicans, on the other side, currently blame Democrats and appear to be acting in retaliation as such. Reuters reported that U.S. President Donald Trump’s administration froze $26 billion for Democratic-leaning states in response to the shutdown. This includes $18 billion in infrastructure funding for New York and roughly $8 billion in funding for green-energy in several other Democratic-led states, such as California and Illinois. 

   Amid the shutdown, several employees are at risk of being furloughed–suspended due to economic conditions–and several others will be working without a known date of when they will be paid. The Guardian reported that roughly 4,000 workers have been laid off as per threats made by Russell Vought, director of the Office of Management and Budget (OMB).

   “Let’s be blunt: nobody’s forcing Trump and Vought to do this,” Senator Schumer said in a statement given to The Guardian. “They don’t have to do it; they want to. They’re callously choosing to hurt people – the workers who protect our country, inspect our food, respond when disasters strike. This is deliberate chaos.”

   Director Vought’s actions are also opposed by U.S. Senator and Chair of the Senate Appropriations Committee Susan Collins [R-ME]. In a statement published on the Senate Appropriations Committee website, she said, “I strongly oppose OMB Director Russ Vought’s attempt to permanently lay off federal workers who have been furloughed due to a completely unnecessary government shutdown caused by Senator Schumer. […] Arbitrary layoffs result in a lack of sufficient personnel needed to conduct the mission of the agency and to deliver essential programs, and cause harm to families in Maine and throughout our country.”

   In addition, CNN reports that the Internal Revenue Service (IRS) has furloughed over 34,400 members of its staff. Gibson Jones, the local National Treasury Employees Union chapter president and IRS employee, told CNN, “We’re in a government shutdown over money, and the people who could be out there collecting more money for the federal government have been furloughed. They’ve essentially halted these revenue and tax collection functions.”

   According to NBC News, President Trump has directed the current Secretary of Defense Pete Hegseth to ensure military personnel will be paid by Oct. 15. 

   “We have identified funds to do this, and Secretary Hegseth will use them to PAY OUR TROOPS,” Trump wrote in a post on Truth Social. 

   The Defense Department has yet to comment. 

 The White House’s website features a page titled “Government Shutdown Clock”. “Democrats Have Shut Down the Government,” the text below the clock reads. The page contains maps to determine the economic impact of all states due to the shutdown, along with another map that reads state letters of support for a clean Continuing Resolution (CR). 

   Social Security, Medicaid, and Supplemental Nutrition Assistance Program (SNAP) recipients will not feel any direct impact. These are “mandatory programs,” although some of their functions and services could slow down. NPR reports that the longer the shutdown continues, SNAP and the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) could see funds run out in certain states.    

   NPR also reported the Federal Emergency Management Agency (FEMA) will continue to operate, though the Disaster Relief Fund, the main source of funding for FEMA, is “running dangerously low and needs congressional approval for additional funds.”

   ABC 7 News reported that all Smithsonian institutes around Washington, DC will be closed as well due to a lapse in funding as a result of the shutdown. This includes the National Zoo, although the Smithsonian has stated the animals will continue to be fed and cared for.

   The United States Postal Service will be completely unaffected and remain in operation. 

   CUNY Chancellor Félix V. Matos Rodríguez sent an email to all students stating that the shutdown will result in several challenges, but financial aid will not be affected in terms of payout or allocation for the current year, and the FAFSA form for the 2026-27 school year is open. 

   “I want you to know that we are communicating with federal officials and closely monitoring any potential impacts of a sustained shutdown on the operation of our University and on members of our community whose employment, or that of a furloughed relative, may be impacted,” said Chancellor Matos Rodríguez.  

 The last government shutdown was under President Trump’s leadership. Lasting 35 days from Dec. 22, 2018, to Jan. 25, 2019, it was recorded as the longest government shutdown in the United States. The shutdown occurred due to a dispute over the border wall that President Trump had previously wanted to build, dividing Mexico and the United States. 

 ABC News currently has a live page with all updates regarding the shutdown. 

 

This is a developing story. The Vanguard will continue to report on the shutdown as more information is revealed.

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