US Senate fails for fourth time to end government shutdown

The US government shutdown entered its third day on Friday after the Senate again failed to pass rival funding bills, while President Donald Trump escalated pressure by freezing $2.1 billion earmarked for Chicago’s transit system.

The Republican plan, which would have temporarily restored funding until late November, fell short of the Senate’s 60-vote threshold in a 54–44 result. A Democratic counterproposal also failed, ensuring that the shutdown will continue at least into next week. The House of Representatives is due to remain adjourned until Monday.

Trump’s administration has now withheld more than $28 billion in federal support for Democratic-led states and cities, including projects for public transport and clean energy. Budget director Russ Vought said Chicago’s funding was suspended to prevent “race-based contracting,” though Democrats accused the president of weaponising federal power for political gain.

Illinois Governor JB Pritzker condemned the freeze as “hostage-taking,” arguing that the move punishes commuters and damages the local economy. Trump has long used Chicago as a rhetorical target, even threatening to deploy National Guard troops there.

The White House has also indicated that further freezes could extend to Portland, Oregon, another Democratic stronghold. According to officials, Trump is also weighing broader federal workforce cuts, having already ordered the departure of 300,000 staff this year.

Republican divisions emerge

While many Republicans applauded Trump’s hardball approach, some warned it could backfire. Senator Thom Tillis, who is participating in informal negotiations, cautioned that stripping funds from opposition states risks creating a “bad-faith environment” that makes compromise harder.

Despite Trump’s tactics, Democrats held firm. Only three crossed the aisle to support the Republican stopgap plan, the same number as in earlier failed votes. Democrats insist that any funding package must also include an extension of pandemic-era health subsidies set to expire in December, which currently help 24 million Americans afford insurance.

Wider impact of the shutdown

Roughly $1.7 trillion in federal agency funding is now frozen, disrupting about a quarter of annual spending. Scientific research, financial oversight and numerous public services have been suspended, while some two million federal employees face missed paychecks if the standoff continues into mid-October.

Military personnel and other “essential” workers, such as airport screeners, remain on duty without pay. Friday’s release of US employment data was also postponed, leaving markets without a key indicator of economic health.

If the shutdown extends beyond Monday, it will rank among the four longest in US history. The record remains the 35-day closure during Trump’s first term in 2018–2019.