US GOVERNMENT ENTERS PARTIAL SHUTDOWN AS CONGRESS MISSES BUDGET DEADLINE
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Agency Report
The United States government entered a partial shutdown on Saturday after Congress failed to approve a 2026 federal budget before a midnight funding deadline, though lawmakers signalled the disruption is likely to be short-lived.
The funding lapse followed a breakdown in negotiations amid Democratic anger over the killing of two protesters in Minneapolis by federal immigration agents, a development that derailed talks over new funding for the Department of Homeland Security (DHS).
Roughly three-quarters of federal operations are affected by the lapse, potentially triggering shutdown procedures across a wide range of agencies, including education, health, housing and defence. Federal departments were expected to begin implementing shutdown plans overnight.
However, congressional leaders from both parties said the Senate’s passage of a compromise package late Friday makes a brief disruption more likely than a prolonged impasse. If the House of Representatives approves the deal early next week as expected, funding could be restored within days, limiting the impact on government services, contractors and federal workers.
Late Friday, the Senate passed legislation clearing five outstanding funding bills to keep most federal agencies operating through September, alongside a two-week stopgap measure to maintain DHS funding while negotiations continue over immigration enforcement policy. The House was out of session as the deadline expired and is scheduled to reconvene on Monday.
President Donald Trump endorsed the Senate deal and urged swift House action, indicating his desire to avoid a prolonged shutdown — the second of his second term — following a record-length shutdown last fall that disrupted federal services for more than a month.
The Senate breakthrough came after Republican Senator Lindsey Graham of South Carolina lifted a procedural hold that had stalled the package. Graham had objected to provisions in the DHS stopgap measure and to House-passed language repealing a rule allowing senators to sue the Justice Department over the seizure of phone records during past investigations. He agreed to release the hold after Senate leaders committed to future votes on legislation he is sponsoring to crack down on so-called “sanctuary cities.”
Democrats, meanwhile, have remained united in opposing additional DHS funding without changes to immigration enforcement following the fatal shootings of Alex Pretti and Renee Good in Minneapolis. Senate Democratic Minority Whip Dick Durbin accused the administration of misusing federal resources.
“Instead of going after drug smugglers, child predators, and human traffickers, the Trump Administration is wasting valuable resources targeting peaceful protestors in Chicago and Minneapolis,” Durbin said in a social media post. “This Administration continues to make Americans less safe.”
The deaths have intensified scrutiny of federal immigration agents, with Democratic leaders calling for tighter oversight, stricter warrant requirements, limits on enforcement tactics and greater accountability.
Republicans remain divided, with some acknowledging the need for reforms following the shootings, while conservatives warn against concessions they say could weaken immigration enforcement. Several have signalled plans to push measures targeting states and cities that limit cooperation with federal deportation efforts.
Although Congress has approved six of the 12 annual funding bills, those measures cover only a minority of discretionary spending. The remaining bills fund large portions of the federal government, making the shutdown potentially significant if it is prolonged.
The Office of Management and Budget said on Friday night that agencies had been instructed to prepare for an “orderly shutdown,” adding, “It is our hope that this lapse will be short.”
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