CNN
—
President-elect Donald Trump sent a letter to Capitol Hill on Wednesday, significantly raising the possibility of a government shutdown just before Christmas, while also making his clearest call to date for a dramatic showdown with Democrats over spending. sent a signal.
President Trump and Vice President-elect J.D. Vance on Wednesday harshly criticized the federal government funding deal through March 14, orchestrated by Republican House Speaker Mike Johnson, just days before the shutdown deadline. It undermined support for the plan across the Capitol.
Mr. Trump and Mr. Vance criticized the bill for containing what they said were Democratic priorities, but also brought up the politically thorny issue of the U.S. debt ceiling. The country is expected to reach this cap after reinstatement in the new year.
“Republicans want to support farmers, pay for disaster relief, and set our country for success in 2025,” Trump and Vance said in a statement. “The only way to do that is through a temporary funding bill with no aid from Democrats, combined with raising the debt ceiling. Anything else is a betrayal of our country.”
Within hours, House Majority Leader Steve Scalise told reporters that the funding plan had been officially scrapped.
Scalise said he had not spoken directly to President Trump as of Wednesday night, no new deal had been reached, and as a last-minute response for the president-elect, Republicans are trying to figure out how to raise the debt ceiling with government funding. He said he was debating whether to tie the two. request.
“We’re going to continue working through the night and into the morning to get an agreement on the floor,” the Louisiana Republican said as he left the Capitol late Wednesday, adding, “We’re not there yet.”
“We’re going to work it out. We’ll have to see, hopefully tomorrow,” Scalise said.
Multiple sources told CNN that throughout the day Wednesday, President Trump privately disavowed the spending deal in conversations. The opposition sparked a fight among Republicans on Capitol Hill, who said Trump’s opposition was the final death sentence for Johnson’s spending deal. It also raised questions about whether the Louisiana Republican could win President Trump’s support in his election for speaker, which is just over two weeks away.
Prime Minister Boris Johnson released his government funding document on Tuesday night, but faced withering criticism from the right wing of his party for being too supportive of Democratic priorities. Democrats will likely be needed to pass the bill in both chambers.
That was followed by an 11th-hour statement from Mr. Trump and Mr. Vance, urging Republicans to take a tough approach on spending. They called on Republicans to include a call for a debt limit discussion in the bill to keep the government open.
“Republicans have to be smart and tough. If Democrats threaten to shut down the government if we don’t give them everything they want, call their bluff,” Trump and Vance said in a statement.
“Let’s have this discussion now,” they write about the debt limit. “And we should pass a streamlined spending bill that doesn’t give Chuck Schumer and the Democrats everything they want.”
Despite a bipartisan agreement already in place, a grenade thrown into a last-minute spending fight dramatically increases the risk of a Capitol shutdown. Democratic leaders quickly echoed Trump’s new demands for a “streamlined” spending deal that strips out the multibillion-dollar package that House Minority Leader Hakeem Jeffries had already negotiated with Johnson. He indicated that he had no intention of doing so.
“House Republicans have been ordered to shut down the government and hurt the working class Americans they claim to support,” Jeffries wrote in a post to X, calling for an agreement with Johnson. It sent a clear signal that the party would not cooperate in redressing the votes for the Republican bill that ignored the bill. “If you break a bipartisan agreement, you bear the consequences.”
House Democrats are scheduled to hold a caucus in the morning, according to a Democratic official. Senate Democrats, who also need to pass the bill before funding runs out on Saturday, vowed to stick to the deal Wednesday night, and after gathering on the chamber floor, they said it was agreed and a vote could not be taken. He said the time had come.
Vance, who left his office on Capitol Hill less than an hour after issuing a joint statement with President Trump, said he supports a clean continuing resolution (CR) only as it relates to raising the debt ceiling.
“What the president believes is that he should support a clean CR as long as it includes raising the debt ceiling,” Vance said in response to a question from CNN. “That’s the president’s position, and we’re going to promote that.”
Late Wednesday night, the vice president-elect told reporters as he left Johnson’s office that they had had a “productive conversation,” but said Republicans were still “part way through” negotiations.
“But I think we can solve some problems here, and we’ll continue to work on them,” Vance said.
President Trump’s last-minute stand against Johnson’s spending plan sparked an avalanche on Wednesday afternoon, meaning that even if Republicans control both houses of Congress next year, Trump’s second term will only last for one year. This suggests that he may suffer from the same chaotic governance style that he displayed during his term.
Mr. Johnson and his leadership team currently have no clear path forward, according to multiple Republican officials. It’s a surprising reversal from hours earlier, when members of Johnson’s leadership team were feeling largely positive about how the bill would make its way through the Republican Party, many of the same people said.
But that support soared by Wednesday afternoon, as Elon Musk, a key ally of President Trump, suggested that Republican lawmakers who support the deal should be prioritized. One House Republican official said the plan “fell apart” in the wake of Musk’s post, and calls to lawmakers’ offices skyrocketed.
“All of the things that we didn’t know about are now on the table and all of a sudden we’re on this issue, and we could have less than 24 hours to vote,” Texas Republican Rep. Michael Cloud told CNN. There is,” he said. “This is all about Washington and all the things we have promised not to stand for.”
Many Republicans called for aid for disasters and farmers, but many conservatives were also upset that Johnson had allowed such a large package to be rushed through at the end of the year.
Support for the bill began to erode as Musk pressured Republicans to vote against it, even though lawmakers appeared to be holding their ground publicly.
“You’ll see the new strength of Mr. Elon,” said Republican Rep. Byron Donald of Florida, who opposes the spending bill and hopes Mr. Musk’s pressure campaign will sway his colleagues.
Moderate Republican Rep. Don Bacon of Nebraska, who supports the policy, told CNN that it was “not the right time” for Musk to announce his opposition so quickly, given the many “victories” for the Republican Party. “It’s too early,” he said.
“He should have gotten his facts,” Bacon added.
Republican Rep. Robert Aderholt of Alabama, ranking member of the House Appropriations Committee, said it would be “very difficult” to pass a debt limit bill by Friday’s deadline, but President Trump wants it to pass. If so, he said, “I think we should probably consider it.” ”
“It’s complicated enough without that,” House Armed Services Committee Chairman Mike Rogers said of linking the two.
Senate Republicans similarly ruled out passing the new bill.
Republican Sen. Mike Rounds of South Dakota expressed some skepticism about the move, telling CNN, “I’m open to the idea, but I don’t know how to do it.”
Sen. Susan Collins of Maine, the incoming chair of the Senate Appropriations Committee, said she was surprised by President Trump’s debt ceiling call and said she “didn’t see the rationale for him” to make such an addition. He said he raised his hand when asked if he wanted to do so. Realistic.
As Collins walked with reporters, he passed outgoing Senate Republican leader Mitch McConnell, who quipped, “Well, this is what’s going to happen next year.”
The debt ceiling, which was suspended in June 2023 by the bipartisan Fiscal Responsibility Act, would be reinstated on January 2nd. In that case, the Treasury would have to use cash on hand and so-called extraordinary measures to continue making payments. Pay the nation’s bills on time and in full. These efforts will likely continue for several months, perhaps into the summer, giving Congress time to act to avoid a first-ever debt default.
The 2023 deal will take months to develop, bring the country uncomfortably close to default, cause global economic turmoil, and severely impact the finances of many Americans.
The debt ceiling established by Congress is the maximum amount the federal government can borrow to finance debt already approved by lawmakers and the president. Because the United States spends more than it takes in, resulting in a budget deficit, the Treasury has to borrow to pay its bills.
The national debt currently stands at $36.2 trillion.
This story has been updated with additional developments.
CNN’s Morgan Rimmer, Ted Barrett, Tami Luby, Claire Foran and Kit Maher contributed to this report.
