Government funding plan collapses as Trump makes new demands

WASHINGTON (AP) — President-elect Donald Trump abruptly rejected a bipartisan plan Wednesday to prevent a Christmastime government shutdown, instead telling the House of Representatives Mike Johnson and Republicans to essentially renegotiate — days before a deadline when federal funding runs out.

Trump’s sudden entry into the debate and new demands sent Congress spiraling as lawmakers try to wrap up work and go home for the holidays. That leaves Johnson scrambling to come up with a new plan by Friday’s deadline to keep the government open.

“Republicans need to GET SMART and TOUGH,” Trump and Vice President JD Vance said in a statement.

The president-elect put forth an almost unrealistic proposal that combined some continuation of government funding along with a much more controversial provision to raise the nation’s debt limit — something his own party routinely rejects. “Anything else is a betrayal of our country,” they wrote.

Democrats dismissed the GOP insurgency over gap measurewhich would also have provided about $100 billion in disaster relief to states affected by hurricanes Helen and Milton and other natural disasters.

“House Republicans have been ordered to shut down the government,” said House Democratic Leader Hakeem Jeffries.

“And hurt the working-class Americans they claim to support. You break the bipartisan agreement, you own the consequences that follow.”

Already the massive one 1,500 page bill was on the brink of collapse as hard-right conservatives rejected the increased spending, egged on by Trump’s billionaire ally Elon Musk, who rejected the plan almost as soon as it was announced late Tuesday night.

Rank-and-file lawmakers complained about the extra spending — which includes their first pay raises in more than a decade — a shock after one of the most unproductive, chaotic sessions in modern times. A number of Republicans were waiting for Trump to signal whether they should vote yes or no.

Even the addition of much-needed disaster relief, about $100.4 billion in the wake of hurricanes and other natural disasters that ravaged states this year, plus $10 billion in financial assistance for farmers, failed to win over budget-cutting GOP.

“This should not pass,” Musk wrote on his social media X in the wee hours of Wednesday morning.

The result comes as no surprise to Johnson, who, like other Republican House speakers before him, has been unable to convince his majority to follow the routine needs of federal government operations that the prefer to cut.

It all shows how difficult it will be for Republicans next year, when they take control of the House, Senate and White House, to unite and lead the nation. And that underlines how much Johnson and GOP leaders must depend on Trump’s blessing to see any legislative package across the finish line.

“What does President Trump want Republicans to do: vote on CR or shut down the government? Absent guidance, confusion reigns,” the retiring senator said. Mitt RomneyR-Utah, in a sly post on X.

Musk, who is at the head of his new Ministry of Government Efficiency led the charge against it, warned that “Any member of the House or Senate who votes for this outrageous spending bill deserves to be voted out in 2 years!”

It’s not an idle threat coming from Musk, the world’s richest man, that helped bankroll Trump’s victory and can easily use his America PAC to make or break political careers.

Democratic Rep. Jamie Raskin of Maryland said this is the problem with “an oligarchy, a handful of wealthy people rule everything, and everyone is supposed to live in fear of them; and their wealth becomes an instrument of coercive power over everything.”

Democrats, who negotiated the final product with Johnson and the Senate GOP leadership, are expected to provide enough support to help Johnson secure passage, as is often the case on major bills. Federal government funding runs out at midnight on Friday.

“The sooner Congress acts, the better,” Senate Majority Leader Chuck Schumer said.

The final package extends existing government programs and services at their current operating levels for a few more months until March 14, 2025.

The measure is necessary because Congress has failed to pass its annual appropriations bills to fund all the various agencies of the federal government, from the Pentagon and national security apparatuses to health, welfare, transportation and other routine domestic services. When the fiscal year ended Sept. 30, Congress simply reversed the problem by passing a temporary funding bill that expires Friday.

But the fat bill goes beyond routine funding and addresses several other measures that lawmakers are trying to push through to pass before the end of this congressional session, especially since some elected officials will not return in the new year.

Rep. Anna Paulina LunaR-Fla., a called it essentially a junk sandwich, using an expletive. The chairman of the Freedom Caucus, Rep. Andy HarrisR-Md., said many lawmakers “are a little disappointed with how this last week has worked out.”

And then there is the pay rise.

Some lawmakers expressed concern that the bill disables a wage freeze provision that was included in the previous short-term spending measure. That change could allow a maximum salary adjustment of 3.8%, or $6,600, in 2025, bringing their annual salary to $180,600, according to a report by the Congressional Research Service.

Members of Congress last got a raise in 2009, when pay was increased by 2.8% to $174,000 annually. If member pay had not been frozen since 2009, salaries would be around $217,900.

When adjusted for inflation, wages are down about 31% from 2009, the research report said.

“By what measure do we deserve a pay rise?” said Rep. Ralph Norman, RS.C.

Among other provisions in the package is full federal funding to rebuild Baltimore’s Francis Scott Key Bridge, which collapsed when it was hit by a cargo ship that reported losing power just before the crash. Federal taxpayers will be reimbursed through proceeds from insurance payouts and lawsuits.

And there is also a provision to transfer the land that is the site of the old RFK Stadium from the federal government to the District of Columbia, potentially leading to a new stadium for the Washington Commanders.

In the healthcare area, the legislation seeks to expand the coverage of telehealth agreements to Medicare enrolled and rein in how much money the pharmacy benefits managers – the companies that negotiate how and which drugs are covered by insurance plans – make out of these agreements.

The bill also contains provisions with a focus on countering China, including the expansion of President Joe Biden executive order seeking to limit investment in countries that pose a national security threat to the United States. Blocking China’s high-tech ambitions is one of the few issues that enjoys broad support in Washington from both Republicans and Democrats.

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Associated Press writers Mary Clare Jalonick and Farnoush Amiri contributed to this report.