👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

White House urges Congress to pass short-term government funding, avoid shutdown

Published 08/31/2023, 09:28 AM
Updated 08/31/2023, 12:06 PM
© Reuters. A general view of the White House in Washington, U.S., August 27, 2023. REUTERS/Julia Nikhinson/File photo

By Andrea Shalal and Richard Cowan

WASHINGTON (Reuters) - The White House on Thursday said it was working with Congress to hammer out a short-term funding measure to avoid an Oct. 1 partial federal government shutdown while longer-term spending talks continue.

"It is clear that a short-term continuing resolution (CR) will be needed next month," an Office of Management and Budget (OMB) spokesperson said in a statement. "OMB is providing Congress with technical assistance needed to avoid severe disruptions to government services in the first quarter of the fiscal year."

Current funding for most government programs expires on Sept. 30. If no action is taken before the next fiscal year begins on Oct. 1, large swaths of government functions would shut down.

The Washington Post first reported the OMB comments.

The need for a stop-gap spending bill -- one that might extend through late November or early December -- has been a foregone conclusion for months, and in recent years Congress has struggled over 12 funding bills to keep most federal programs operating.

With only weeks to go before the deadline, the Republican-led House of Representatives has approved only one of those 12 bills. Spending and tax measures normally originate in the House before moving to the Senate.

U.S. Senate Majority Leader Chuck Schumer this month said he and House Speaker Kevin McCarthy had agreed on a stopgap measure.

Senate Republican Leader Mitch McConnell on Wednesday told a business group in Kentucky: "I think we're going to end up with a short-term congressional resolution, probably into December as we struggle to figure out exactly what the government's spending level is going to be."

Such a measure is expected to be attached to new emergency money to pay for natural disasters throughout the United States and to bolster Ukraine's battle against Russia.

© Reuters. FILE PHOTO: The U.S. Capitol Building is seen in Washington, U.S., August 15, 2023. REUTERS/Kevin Wurm/File Photo

In its statement, OMB urged Congress to include emergency supplemental funding in any continuing resolution.

Details still must be worked out amid deep divisions among House Republicans.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.