By Diana George
Copyright timesnownews
WASHINGTON: The United States is once again on the brink of a government shutdown, with the Affordable Care Act (ACA) – popularly known as Obamacare – at the very centre of the political battle. The Senate on Tuesday rejected a Republican funding bill, setting the stage for the federal government to close at midnight (9.30 AM IST), the first shutdown in nearly seven years. What Does It Mean When The Government Shuts Down If lawmakers fail to strike a deal, hundreds of thousands of federal employees will be furloughed or laid off, agencies will suspend “nonessential” operations, and programs from housing to air travel could face immediate disruption. Why Is The US Government Shutting Down? According to an AP report, Senate Democrats blocked the Republican proposal in a 55–45 vote, short of the 60 votes required to move the bill forward. Democrats said they would not agree to a spending bill that excludes extended health care subsidies. Senate Democratic Leader Chuck Schumer argued that Republicans are trying to “bully” Democrats by refusing to negotiate. “We hope they sit down with us and talk,” Schumer said after the vote. “Otherwise, it’s the Republicans will be driving us straight towards a shutdown tonight at midnight. The American people will blame them for bringing the federal government to a halt.” The White House Office of Management and Budget (OMB) quickly told agencies to prepare for an “orderly shutdown.” The Healthcare Demands Fueling The Standoff At the core of the deadlock are expanded ACA tax credits that subsidise health insurance premiums for millions of Americans. These subsidies, first introduced during the COVID-19 pandemic, are set to expire. Democrats want them extended immediately, warning that otherwise, families will face sharp increases in their premiums. House Democratic Leader Hakeem Jeffries declared: “We are not going to support a partisan Republican spending bill that continues to gut the health care of everyday Americans.” Republicans, however, insist that the government must first remain open. Senate Majority Leader John Thune said, “We can reopen it tomorrow” if enough Democrats cross over. He argued that ACA subsidies can be debated separately. Trump Escalates Shutdown Threats President Donald Trump, according to AP, threatened that a shutdown could go beyond furloughs. “Cutting vast numbers of people out, cutting things that they like, cutting programs that they like,” he said on Tuesday, signaling potential layoffs. He also warned, “We’ll be laying off a lot of people. They’re going to be Democrats.” Reuters reported that more than 150,000 federal workers are already leaving payrolls this week under a buyout program – the largest workforce reduction in 80 years – while agencies like the Justice Department and the Social Security Administration have already issued memos blaming Democrats for the crisis. What Happens In A Government Shutdown? If no deal is struck, the federal government will suspend all but “essential” services. Law enforcement, border security, and military operations will continue, but personnel would go unpaid until Congress acts. Programs like scientific research, customer services, pollution cleanups, and small business loans would grind to a halt. The nonpartisan Congressional Budget Office estimates that about 750,000 federal workers could be furloughed daily during a shutdown. Airlines have warned of flight delays, and the Labor Department said it would not issue its monthly unemployment report. Democrats Divided, But Holding The Line Not all Democrats opposed the GOP bill. Senators John Fetterman (Pennsylvania), Catherine Cortez Masto (Nevada), and Independent Angus King (Maine) voted with Republicans. King explained: “Instead of fighting Trump we’re actually empowering him, which is what finally drove my decision.” Still, most Democrats see the healthcare fight as a defining stand against Trump. Senator Peter Welch of Vermont said: “The level of appeasement that Trump demands never ends. So is there a point where you just have to stand up to him? I think there is.” The Last Shutdown And What’s At Stake Now? The US last experienced a shutdown during Trump’s first term in 2018–19, which dragged on for 35 days over border wall funding – the longest in history. That episode cost the US economy $3 billion. This time, according to Reuters, the dispute centers on $1.7 trillion to fund agency operations. Without a resolution, health care costs for 24 million Americans could rise, disproportionately hitting states like Florida and Texas. Democrats insist they must secure guarantees that Trump will not undo subsidies once renewed. “Our guarantee is to the American people that we’re going to fight as hard as we can for their healthcare, plain and simple,” Schumer said. A Political Showdown With High Stakes With midnight approaching, the question on many minds – is there going to be a government shutdown, how long will it last, and what will it mean for everyday Americans – remains unanswered. Thune insisted Democrats are “playing a losing hand,” while Trump mocked Democrats online, posting a fake video of Schumer and Jeffries – prompting Jeffries to denounce it as a “racist and fake AI video.” Schumer fired back: “Less than a day before a shutdown, Trump was trolling on the internet like a 10-year-old. It’s only the president who can do this. We know he runs the show here.” Get Latest News Live on Times Now along with Breaking News and Top Headlines from US News and around the World.
