Overview

• A Republican transition bill fell short in the Senate on Wednesday, the first vote since the funding lapse, leaving the shutdown in place with 55 votes where 60 are required; Republicans hold 53 seats and need Democratic support.
• The Office of Management and Budget directed an orderly shutdown, with hundreds of thousands of federal employees furloughed and essential services such as air traffic control, law enforcement and emergency care continuing.
• Roughly 750,000 federal workers are affected, with steep furlough shares reported at the EPA (about 89%) and the Education Department (about 87%), and contractors warned they may not receive back pay.
• Democrats seek to reverse recent Medicaid cuts, Republicans resist and emphasize immigration, and Democrats dispute claims that federal funds would cover health care for undocumented migrants.
• Public services face delays and closures, the travel industry warns of up to $1 billion in weekly losses and potential flight disruptions, and missed economic data releases could complicate Federal Reserve policy decisions.