Overview

• President Trump called the funding lapse an “unprecedented opportunity” and met OMB Director Russell Vought to target agencies for potential permanent cuts and firings.
• OMB has halted about $18 billion for New York transit and $2.1 billion for Chicago infrastructure, expanding project freezes during the shutdown.
• The White House warned layoffs are “imminent” and likely in the thousands if the closure continues, though no mass firings have been announced.
• Legal and housing advocates say core benefits including Section 8, SNAP, Medicaid, and Social Security should continue at least through October, with rising risk if the shutdown endures.
• Talks show little progress as Senate Republicans lack 60 votes for a stopgap, and partisan agency messages blaming Democrats have prompted Hatch Act concerns.