The U.S. Senate passed a budget deal early Saturday, narrowly avoiding a federal government shutdown. The bill, approved 85-11, was passed just after the House’s endorsement and now awaits President Joe Biden’s signature.
Without this agreement, millions of federal employees faced unpaid leave or work without pay, while key public services like parks and food aid programs would have shut down. The deal also prevents disruptions in disaster recovery and farm aid.
Negotiations were contentious, collapsing earlier after President-elect Donald Trump and billionaire Elon Musk urged Republicans to oppose initial drafts. The final 118-page “American Relief Act, 2025” excludes Trump’s demand for a debt-limit hike and Democratic initiatives like pay raises for lawmakers, healthcare reforms, and infrastructure funds.
Key allocations include $100 billion for disaster relief and $10 billion for farmers. Democrats criticized Musk’s involvement, labeling him an unelected influencer. Musk, reportedly advising Trump on spending cuts, lobbied against previous bill versions.
Republicans praised House Speaker Mike Johnson, though he faced internal criticism during the process. Johnson called the deal a “crucial resolution” ahead of the GOP’s January agenda, with Trump taking office and Republicans controlling Congress.
The dramatic negotiations signal potential legislative battles as the GOP readies to assert its power.