Senate Eyes Narrow Spending Bill as Republicans and Democrats Edge Toward Fragile Deal to End 40-Day Stalemate

Senate Republican Leader John Thune said Sunday that a potential deal to end the 40-day government shutdown is “coming together,” as he announced plans to hold a test vote on a limited spending bill later in the day. The move signals growing urgency within both parties to restore funding for key federal agencies amid mounting economic and political fallout.

Speaking to reporters at the Capitol, Thune said the text of the proposed package could be released “really soon,” with a vote expected four to six hours afterward. The measure would reopen parts of the federal government — including the Departments of Agriculture and Veterans Affairs, as well as the Food and Drug Administration — through September 30, 2026, while keeping most other agencies temporarily funded through January 31, 2026.

“It’s a targeted approach designed to get federal workers back on the job and start rebuilding confidence,” Thune said. “We’re seeing some movement, but we’ll need at least 10 Democratic votes to move forward.”

Whether Democrats will supply those votes remains uncertain. Party leaders have tied their support to an extension of Affordable Care Act (ACA) subsidies for low-income Americans, demanding a one-year continuation in exchange for reopening the government. Republicans have so far resisted that proposal, branding it as “unrelated spending.”

Shutdown Fallout Intensifies as Pressure Mounts on Congress

The Senate’s maneuver comes amid escalating warnings from government agencies and the private sector about the deepening economic toll of the shutdown, now in its sixth week — the longest in U.S. history.

Transportation Secretary Sean Duffy warned Sunday that air traffic could “slow to a trickle” over the Thanksgiving holiday if funding isn’t restored soon. Hundreds of flights were already canceled last week following FAA-mandated airspace cuts caused by staffing shortages at key control centers.

The shutdown’s economic costs have been rising sharply. The Congressional Budget Office (CBO) estimates the stalemate is shaving 1.5 percentage points off quarterly GDP growth and draining $15 billion a week from the U.S. economy. Meanwhile, federal workers remain unpaid, contingency funds are nearly exhausted, and backlogs in tax refunds, small business loans, and federal licensing applications continue to grow.

“Every week this continues, the economic scarring deepens,” said Bethany Howard, senior economist at the Brookings Institution. “We’re past the point of temporary damage — we’re in systemic disruption territory now.”

Political Deadlock and Public Frustration

Despite the growing urgency, the partisan rift over healthcare and fiscal priorities continues to block a full reopening. Democrats, emboldened by a string of state-level election victories last week, have softened their initial demands but remain firm on ACA funding as a condition for any long-term budget deal.

“This is about protecting families and affordability,” said Sen. Patty Murray (D-Wash.), chair of the Senate Appropriations Committee. “We’re open to compromise, but we won’t accept a deal that leaves millions without coverage or assistance.”

Republicans, meanwhile, have sought to reframe the debate around fiscal restraint. Thune’s narrow funding proposal appears designed to test the waters and demonstrate bipartisan willingness to at least partially reopen critical agencies before broader negotiations resume.

President Donald Trump, however, has continued to inject uncertainty into the process. Over the weekend, he chastised Senate Republicans on social media for refusing to eliminate the filibuster rule, which requires 60 votes to advance most legislation. “End the filibuster and fix the shutdown — America is watching!” Trump wrote on Truth Social.

Trump also floated a vague idea to provide direct payments to Americans for healthcare costs, but did not engage with Democratic negotiators.

“He has spent more time golfing over the last several weeks than he has talking to Democrats who represent half of the country,” House Democratic Leader Hakeem Jeffries said on NBC’s Meet the Press. “That’s not leadership — that’s avoidance.”

Markets, Confidence, and the Road Ahead

Investor sentiment has begun to erode as the shutdown drags on. Consumer confidence fell to a three-year low on Friday, according to the University of Michigan’s index, reflecting widespread concern over economic instability, higher prices, and job insecurity.

The bond market has also shown signs of strain, with yields rising on short-term Treasury bills as investors price in potential payment delays. Wall Street analysts say even a narrow spending deal could calm markets temporarily, but a failure to resolve the broader fiscal impasse could trigger credit downgrades and consumer spending shocks by year-end.

Still, Thune struck a cautiously optimistic tone on Sunday, calling the forthcoming vote a “temperature check” on bipartisan cooperation. “It’s not a final deal,” he said, “but it’s a meaningful step toward one.”

Lawmakers remain in Washington through the weekend — at Trump’s insistence — with both parties acknowledging that Thanksgiving travel chaos or social unrest could become the tipping point that finally forces a compromise.

For now, the U.S. government remains in limbo, with millions of workers, businesses, and households caught in the crossfire of Washington’s political brinkmanship.