US Senate rejects bill to end government shutdown as it enters third week

The US Senate on Tuesday rejected a bill to reopen the government for the eighth time, meaning that lawmakers are still far from reaching a consensus, and the shutdown will continue into its third week.

In a 49-45 vote, senators approved the GOP's continuing resolution, which would keep the government afloat until the end of November, well short of the 60 votes required to move forward.

The government shutdown revolves around a debate over health care policy—particularly the Affordable Care Act subsidies that are expiring for millions of Americans who rely on government aid to purchase their own health insurance.

Democratic senators are demanding an extension of health insurance tax credits as a condition for their support and have shown no sign of backing down. However, Republicans argue that the issue can be addressed later.

Led by President Donald Trump, the Republican Party, which controls both the House and the Senate, must persuade enough Democrats to back the short-term funding measure.

But Tuesday's vote showed Democrats and Republicans remain locked in a stalemate as their sharp disagreements on the key budget items continue.

Shutdown grinds into a third week

Now in its 14th day, the federal closure is quickly becoming one of the longest government shutdowns in recent times.

Congress failed to meet the 1 October deadline to pass the annual appropriations bills needed to fund the government, as Democrats demanded a deal to preserve expiring health care funds that subsidise people's insurance premiums under the Affordable Care Act.

On Tuesday, House Speaker Mike Johnson said he has nothing to negotiate with the Democrats until they vote to reopen the government. But there are no signs so far of that happening.

The Republican speaker welcomed OMB’s latest actions to pay some workers and fire others.

“They have every right to move the funds around,” Johnson said at a press conference at the Capitol. If the Democrats want to challenge the Trump administration in court, Johnson said, “Bring it.”

With Congress at a standstill — the Republican-led House refusing to return to session and the Senate stuck in a loop of failed votes to reopen government as Democrats demand health care funding — the budget office quickly filled the void.

Federal employees are usually placed on furlough during a funding lapse and are often compensated with back pay if government funding is restored.

However, late last week, the office of budget head Russ Vought announced that the force reductions had started. There are currently about 750,000 workers on furlough.