The US government is closing again? The White House urges Congress to approve a short-term agreement to avoid a shutdown agreement | Congress | The White House
According to the Washington Post, on August 31st local time, the White House stated that it is urging Congress to pass a short-term spending agreement that provides funding for the federal government. This move aims to buy time for legislation to advance a broader spending bill and avoid the government running out of money before the start of the new fiscal year on October 1st.
According to previous reports, on June 3rd, US President Biden signed a bill on the federal government's debt ceiling and budget. According to data from the Congressional Budget Office, the bill will reduce the budget deficit by approximately $1.5 trillion over the next decade.
But previously, American media pointed out that the country's fiscal problems go far beyond that, as federal government spending far exceeds revenue. It is estimated that the budget deficit of the United States in the next decade will reach $20.2 trillion.
On August 31st local time, a spokesperson for the Office of Management and Budget stated, "Although the key task is to continue reaching a bipartisan bicameral agreement on the 2024 fiscal year funding bill, it is clear that a short-term sustained resolution is still needed next month."
The Washington Post reported that this is the second time since 2023 that the US government has fallen into a fiscal crisis. If Congress fails to approve this short-term funding agreement, the government may run out of funds on September 30th, which will threaten its normal operations and trigger some project shutdowns.
The report states that the numerous federal project plans threatened by the depletion of government funds will affect millions of Americans. The White House is requesting Congress to support a series of underfunded federal programs, including an additional $1.4 billion, to prevent the interruption of nutritional aid for low-income families.
The program, known as "WIC," covers women, infants, and children, providing assistance to approximately 6.6 million impoverished families every month. Due to high food prices and increased participation in the program, the existing $5.69 billion budget is no longer sufficient to provide current levels of benefits in the next fiscal year.
White House Press Secretary Jean Pierre stated that this federal funded, state managed program, without this additional $1.4 billion, could potentially "adopt a waiting list system in the next fiscal year, causing women and children to suffer from hunger and pushing vulnerable families into poverty.". In addition, existing participants may also experience a reduction in welfare levels.
According to reports, Republicans represented by U.S. House Speaker McCarthy advocate for significant cuts in government spending, while Democrats including U.S. President Biden hold opposing views. The opposition between the two parties in negotiations on debt and budget bills may threaten many government jobs in the new fiscal year.
According to reports, the Biden administration has explicitly requested that Congress pass a short-term spending agreement that will maintain spending at existing standards while negotiating between the two parties. But Republicans argue that significant cuts would make it impossible to maintain the current level. Taking the WIC plan as an example, data from the Budget and Policy Priorities Center shows that the Republican proposal would result in a budget reduction of approximately $800 million for the project.
In addition, the White House has stated that any funding support as a temporary measure needs to include a series of special budget expenditures to address exceptional issues, including providing $1.9 billion for the Refugee Placement Office. The Biden administration also reiterated its earlier call for Congress to approve an additional $20.6 billion in emergency aid to Ukraine. In addition, it is necessary to provide $12 billion in disaster relief and other domestic funds for disaster events such as the Maui Island fire and Hurricane Adalia.
According to reports, politicians in Washington have long been at odds over budget issues, and in the context of the approaching 2024 US presidential election, the struggle between the two parties may become even more intense.
Earlier this month, McCarthy expressed support for a sustained resolution to provide lawmakers with more time to complete the annual spending agreement. But McCarthy also saw this resolution as a way for the Republican Party to continue its investigation and other work, referring to the ongoing investigation into the Biden family.
"To be honest, this is quite a chaotic situation," said Senate Minority Leader McConnell on August 30th local time when discussing the funding process.
