After 41 days of partial federal closure, the longest government shutdown in US history, the US Senate voted 60–40 to approve legislation to reopen the government, sending the measure to the House of Representatives for a final vote.
The bill extends funding for shuttered agencies through January 30 and pauses efforts to force immediate agency downsizing, according to floor summaries and press briefings.
Highlights
- 60–40 Senate vote to reopen the government; bill now heads to the House for consideration.
- Funding through Jan. 30 with guardrails that defer agency cuts and keep core services running.
- Side talks set up a December debate on expiring health‑insurance tax credits, a key sticking point in the stalemate.
- House leaders are recalling members for a vote; the White House has signaled support for a swift resolution.
What Happened
The Senate cleared a bipartisan package that restores appropriations for affected departments and defers structural cuts until a broader spending deal is negotiated.
The vote capped weeks of stalemate centered on health‑care tax credits, border policy riders, and the scope of interim agency reductions. The measure now awaits action in the House, where leadership has indicated a rapid turnaround for floor consideration.
“The ayes are 60, the nays are 40. The bill, as amended, is passed.” — Presiding officer, final tally
“I know that the strain of these weeks has been immense… We are going to reopen government… ensure that federal employees… will now receive compensation… and we will also be able to celebrate on Veterans Day that we have passed the appropriations bill for the VA.” — Closing floor remarks
“I’m hoping that will be hours and not days, and I urge senators not to stand in the way of final passage.” — Sen. John Thune, floor remarks
What’s in the Bill (at a Glance)
- Continuing funding for shuttered agencies through January 30.
- Temporary pause on immediate federal downsizing mandates, avoiding near‑term layoffs or program cuts while talks continue.
- Scheduling language to revisit health‑insurance tax credits before year‑end, separating that fight from the reopening vote.
Political Math: Why 60 Votes Mattered
The 60‑vote margin means at least a bipartisan bloc broke the impasse, providing political cover in both chambers to end the closure while preserving leverage for December negotiations. By decoupling funding from the most contentious policy riders, leaders created a two‑step path: reopen now, argue policy later.
Markets & Business: Near‑Term Read‑Through
- Rates and bonds: Relief rally potential at the front end; watch bill auctions and T‑bill/O/N RRP dynamics as cash investors normalize.
- Equities: Relief bid in consumer-exposed names and federal contractors, but December’s policy cliff limits follow-through.
- Data flow: Expect economic data calendars to refill as agencies re‑open, reducing uncertainty premiums embedded in risk assets.
- Contractors & grants: A temporary backlog in obligations and payments is likely; cash‑flow management remains critical until full-year appropriations are set.
What to Watch Next
- House timetable and any amendments that could force another Senate vote.
- OMB guidance to agencies on restart procedures and contract resumption.
- December negotiations over health‑insurance tax credits and other riders that were pushed out of the reopening bill.
- Treasury announcements on auction sizes and any adjustments tied to the shutdown period.
