UNITED STATES: Republicans in control of the US House of Representatives faced setbacks on Tuesday when they were unable to make progress on two spending bills as party discord raised concerns about Congress’s ability to finance the government and prevent a partial shutdown by the end of the month.
In a vote of 214–212, the House rejected a proposal to commence discussions on an $886 billion fiscal 2024 defence appropriations bill. Five staunch conservative Republicans sided with Democrats in opposing this bill from their own party.
Meanwhile, a significant rift within House Speaker Kevin McCarthy’s contentious Republican majority hindered lawmakers from reaching a consensus on a temporary solution to keep federal agencies operational beyond the funding expiration date of September 30.
McCarthy has not been able to gain the support of hardliners who demand guarantees that fiscal 2024 appropriations won’t surpass the $1.47 trillion top line for 2022—a sum that is $120 billion less than what McCarthy and Democratic President Joe Biden agreed upon in May.
The political brinkmanship has started to catch the eye of Wall Street, with rating agency Fitch highlighting the recurring last-minute negotiations that jeopardise the government’s capacity to meet its financial obligations when it downgraded the US debt rating earlier this year, shifting it from the highest AAA rating to AA+.
Tom Cole, a Republican Representative who chairs the House Rules Committee, expressed his exasperation with the minority faction within his party that voted against the measure, which is referred to as a “rule.“
Cole stated that there is nothing in there that anyone has a problem with; they are simply sorting out whatever concerns they have with this bill and this regulation, which he believes is really unfortunate.
The House and the Senate, which are controlled by Democrats, have just under two weeks to prevent a government shutdown by approving either temporary or permanent funding solutions.
However, even if House Republicans had succeeded in pushing forward the defence bill or the short-term funding proposal, they would have encountered strong resistance from congressional Democrats, and the White House has already issued a veto threat against the defence bill.
The House vote on Tuesday ended in a raucous session, with Democrats taunting Republican leaders as they made efforts to convince hesitant members to change their stance before eventually conceding.
Republican Representative Ralph Norman, one of the holdouts, said, “You think it’s fun for me to vote against the rule?” while his colleagues grumbled that such votes weakened Republicans. “But I’m also unwilling to continue as we’ve done and have unlimited spending.”
The vote took place shortly after House Minority Leader Kevin McCarthy postponed a crucial procedural vote on the 30-day temporary measure known as a continuing resolution (CR). He cited the need to grant lawmakers additional time to come to an agreement on the legislation.
The continuing resolution is facing opposition from over a dozen hardline conservative Republicans, which is sufficient to obstruct its progress in the House.
The CR would fund federal agencies until October 31 but would reduce discretionary spending by approximately 8% for agencies excluding defence, veterans affairs, and disaster relief. Additionally, it includes certain immigration restrictions and resumes construction of a U.S.-Mexico border wall.
As the September 30 deadline approaches, lawmakers are exploring alternative solutions to fund the government, with Democratic Senator Patty Murray, who chairs the Senate appropriations committee, telling journalists that she is collaborating on a bipartisan continuing resolution (CR).
Additionally, a bipartisan group in the House known as the Problem Solvers Caucus is actively working on a contingency plan, as several members of the caucus have confirmed to the press.
Republican Representative Brian Fitzpatrick, a member of the Problem Solvers Caucus, said, “Just gotta keep trying to get to yes, and if we can’t, and we’re coming too close to the deadline, then Plan B. Plan B is 218 in the Congress, not the conference.”
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