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US Shutdown Enters Second Week, With No Deal in Sight
Bloomberg Televisionยท2025-10-06 17:58

Government Shutdown & Potential Consequences - A government shutdown appears likely, with a potential White House announcement of mass firings if a vote fails [2][4] - Missed paychecks for federal workers starting October 10th and military members starting October 15th could pressure Democrats to compromise [6][7] - A shutdown could lead to essential workers refusing to work, impacting GDP and potentially forcing a resolution, similar to the 2019 shutdown [7][8] Legislative Maneuvering & Political Strategy - Moderate Republicans are attempting to negotiate a short-term deal and address Obamacare subsidies to avoid escalating rhetoric [4][9] - Republicans may be trying to weaken Chuck Schumer's negotiating position by encouraging Democratic defections [11] - There's a possibility the Senate could change its rules to allow a stopgap spending bill to pass with a simple majority, potentially ending the legislative filibuster [12] - Republicans are wary of changing filibuster rules, fearing future Democratic actions like statehood for D C and Puerto Rico [12] - Republicans are trying to attract a few more Democrats, focusing on appropriators who could secure victories in appropriations bills [13][14] Key Issues & Potential Compromises - Democrats are prioritizing the issue of Obamacare subsidies, with 70-80% of recipients in Republican states [6][15] - A White House proposal to limit Obamacare subsidies to previous enrollees is being considered [16] - A potential compromise involves passing a minibus funding bill for Agricultural Veterans Affairs and other departments, possibly paired with a defense bill and a Labor Health and Human Services bill with increased funding for the National Institutes of Health [5]