Congress Sidesteps Shutdown With Over $110 Billion in Disaster Aid and Funding Extension Through March

In a dramatic close to the 118th Congress, the Senate passed a funding patch early Saturday, narrowly averting a government shutdown.

The legislation, finalized after a week of heated negotiations, allocates over $110 billion in disaster aid while maintaining current government funding levels through March 14, 2025.

The measure’s passage caps a chaotic week on Capitol Hill as House Speaker Mike Johnson managed the last-minute demands of President-elect Donald Trump and Elon Musk.

The duo’s influence led to the removal of over 1,000 pages of policies from the original bipartisan bill.

Despite Democratic objections, the modified legislation ultimately secured the votes necessary for passage, thereby averting a government shutdown.

Key Provisions in the Funding Patch to Avert Shutdown

The final bill to avert the shutdown retains critical elements aimed at addressing immediate needs:

• Disaster Relief: Over $110 billion for communities impacted by hurricanes, wildfires, and floods.
• Farm Bill Extension: A one-year extension of agricultural and food policy.
• Government Continuity: Maintains federal funding at current levels through March.

However, significant provisions were removed under Trump and Musk’s influence, including:

• Restrictions on U.S. investments in China.
• Rules to curb deceptive advertising in event ticket sales.
• Reforms targeting pharmacy benefit managers aimed at lowering drug prices.

Lawmakers React to Concessions

Congressional Democrats expressed frustration over the bill’s revisions.

“It feels to me there were a lot of things that were not great for billionaires and corporations that dropped out of this bill. And I don’t think that’s a coincidence,” Sen. Chris Murphy (D-Conn.) said Friday night before voting for the bill.

Republicans shared similar grievances.

Sen. Joni Ernst (R-Iowa) voiced disappointment over the exclusion of language supporting year-round E-15 gasoline sales.

“I’m disappointed that E-15 wasn’t in there, very, very disappointed,” Ernst said.

“But I do know that President Trump has been a great supporter of ethanol. So we’ll readdress it.”

Sen. Ted Cruz (R-Texas) responded to criticism about the removal of his proposed policy to combat revenge porn and non-consensual intimate imagery.

Cruz dismissed claims that its exclusion was tied to Musk’s ownership of a social media platform, stating the omission was “completely unrelated.”

Sen. Josh Hawley (R-Mo.) expressed frustration over the pharmaceutical industry’s lobbying power.

“Well, pharma tends to win, in the end. That’s been a consistent problem up here,” Hawley said.

“So hopefully, in the new Congress, we’ll be able to do something about it.”

Disaster Aid as a Silver Lining

One major success of the legislation is the allocation of over $110 billion in disaster relief.

This funding will aid recovery efforts for communities devastated by Hurricane Helene, Hurricane Milton, and other natural disasters.

The Small Business Administration’s disaster loan program, which ran out of money in mid-October, will be replenished.

This funding halt had paused loans to disaster-hit businesses and homeowners, sparking bipartisan concern.

Sen. Thom Tillis (R-N.C.) lamented the delay in addressing disaster aid.

“I’m frustrated,” Tillis said. “I think that was just an unforced error. We could have done it sooner.”

However, he acknowledged the aid as a significant achievement. “That’s exactly what I’d hoped for,” he added.

Looking Ahead: March Deadline Looms

While the funding patch prevents an immediate government shutdown, it sets the stage for renewed negotiations in March.

The temporary extension gives the incoming Trump administration more leverage in shaping the fiscal 2025 budget.

Sen. Tommy Tuberville (R-Ala.) encapsulated the urgency late Friday, saying, “The president put his stamp on it, so let’s get ‘er done.”

Congress has sidestepped a shutdown for now, but lingering frustrations over the influence of powerful figures and contentious policy removals signal more turbulence ahead.

Also Read: Will Speaker Mike Johnson Survive the Storm? Jan.3 Leadership Challenges Mount Amid Govt Shutdown Chaos