Congress passes bill to prevent government shutdown ahead of holiday break


Mike Johnson, Speaker of the United States House of Representatives, addresses members of the press at the Capitol, in Washington, DC on December 20, 2024.
Mike Johnson, the Speaker of the United States House of Representatives speaks to reporters on the Capitol in Washington DC, December 20, 2024.

Richard Pierrin / AFP / Getty Pictures

Early Saturday morning, the U.S. Senate passed a bipartisan package of spending to fund federal agencies and prevent a shutdown.

Just before Friday’s deadline for the end of government funding, House lawmakers had reached an agreement over a budget. It is anticipated that the bill will fund the federal government through March. At this time, Republicans are expected to control both chambers and the White House. A shutdown is usually the result of a negotiation between two parties who control the White House, the Senate and/or the House of Representatives.

This bill will prevent a shutdown of the federal government that could disrupt vital services for the U.S. and have a negative impact on its economy.

The federal budget must be submitted before Oct. 1, which is the beginning of the new fiscal year. However, lawmakers passed temporary measures extending the deadline to Dec. 20 to allow time for both parties to agree on how Congress should spend its money. In recent years, this has been a common occurrence. According to an analysis of the Pew Research Center by a non-profit research group, budget bills were only on time four times between 1977 and 2007.

It was a scramble to get the job done this time, despite a seemingly agreed budget agreement last week. The congressional leadership announced on February 2 that they had reached an agreement to fund the federal government until March. However, President-elect Donald Trump and his newly appointed budget advisor, Elon Musk, made statements on social media Thursday that criticized the deal, causing Republicans to pull back.

Trump specifically requested a debt limit extension in his letter to legislators.

UPDATE—Dec. 21 2024: The article was updated on December 21, to reflect that the Senate has approved the bill.

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leadzevs/ author of the article

LeadZevs (John Lesley) is an experienced trader specializing in technical analysis and forecasting of the cryptocurrency market. He has over 10 years of experience with a wide range of markets and assets - currencies, indices and commodities.John is the author of popular topics on major forums with millions of views and works as both an analyst and a professional trader for both clients and himself.

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