TL;DR: The U.S. Senate rejected both Democratic and Republican funding bills on September 30, 2025, triggering a partial government shutdown due to a standoff over healthcare policy. Around 750,000 federal workers are affected, and no resolution is in sight.
What Happened
- The Senate rejected a Democratic-backed funding bill on September 30, 2025, in a 47-53 vote, failing to reach the 60 votes required to avoid a filibuster.
- A Republican-backed "clean" continuing resolution (CR) also failed the same day, in a 55-45 vote, falling short of the 60-vote threshold.
- As a result, the federal government partially shut down at midnight, the first shutdown since 2018.
- Around 750,000 federal workers are either furloughed or working without pay; essential services like air traffic control continue.
- The shutdown has an estimated economic cost of $400 million per day in lost federal compensation.
Key Issues
- Democrats' demands: Extend Affordable Care Act (ACA) premium subsidies and reverse Medicaid cuts from Trump's "One Big Beautiful Bill Act."
- Republicans' position: Pass a funding bill with no policy changes and negotiate healthcare separately.
- The Democratic CR included ~$1 trillion in healthcare provisions, while the GOP CR (H.R. 5371) would fund the government at current levels until November 21.
Cross-Party Votes
- Three Democrats supported the GOP bill:
- Sen. John Fetterman (PA)
- Sen. Catherine Cortez Masto (NV)
- Sen. Angus King (ME), an independent who caucuses with Democrats
- One Republican opposed the GOP bill:
- Sen. Rand Paul (KY), citing opposition to continued Biden-era funding levels.
Political Reactions
- Sen. Chuck Schumer (D-NY):
- “It’s clear that the way out of this shutdown is to sit down and negotiate with Democrats to address the looming health care crisis that faces tens of millions of American families.”
- “Republicans tried to bully us, and it’s clear they can’t. They don’t have the votes.”
- Sen. John Thune (R-SD):
- “Democrats are well aware of the damage of a government shutdown.”
- Urged moderate Democrats to support the GOP bill and reopen government before negotiating healthcare.
- “This was supposed to be COVID-related. These are expanded ObamaCare tax credits and frankly they’re not tax credits really at all... they are direct subsidies to insurance companies.”
- President Trump:
- Warned of “thousands” of potentially permanent layoffs, especially in blue states.
- Froze $18 billion in infrastructure funds targeting Democratic states.
Current Status (as of October 4, 2025)
- Shutdown entered day 4 with no agreement.
- The Senate reconvened October 3 and plans further votes.
- The Congressional Budget Office warns that if ACA subsidies lapse, healthcare costs could rise in red states.
- Bipartisan calls for compromise continue, but both parties remain publicly firm in their positions.