Republicans Come Up With New Spending Deal After Musk, Trump Torched Original Plan

WASHINGTON ― House Republicans on Thursday came up with a new plan to fund the government after billionaire Elon Musk and President-elect Donald Trump tanked their first one on Wednesday.

The new bill would fund the government until March, provide billions in disaster assistance and also suspend the federal government’s borrowing limit for two years ― a key Trump demand.

“The newly agreed to American Relief Act of 2024 will keep the Government open, fund our Great Farmers and others, and provide relief for those severely impacted by the devastating hurricanes,” Trump said on his website.

Republicans said the House would vote at 6 p.m., but it’s not clear if the new legislation will win enough support to pass. The government will shut down on Friday night if Congress fails to act.

Democrats said earlier on Thursday they opposed adding the debt limit to the funding package, and they sharply criticized the new plan as soon as details emerged.

“The Musk-Johnson proposal is not serious,” Democratic leader Hakeem Jeffries (D-N.Y.) told reporters. “It’s laughable. Extreme MAGA Republicans are driving us to a government shutdown.”

The previous legislation, the result of a bipartisan negotiation, omitted the debt ceiling provision and also included several other items, including a pay raise for lawmakers, that Musk and fellow billionaire Vivek Ramaswamy trashed as wasteful spending on Wednesday, prompting House Speaker Mike Johnson (R-La.) to abandon the bill.

Republicans seemed to be hoping that either Democrats were bluffing about opposing a debt ceiling increase or that voters would blame them for a government shutdown if the bill fails.

“If Democrats don’t want the government to shut down, they better play ball,” Rep. Anna Paulina Luna (R-Fla.) told reporters.

It’s usually Republicans who oppose raising the debt ceiling, and at least one of them indicated he would continue to do so.

“I am not going to raise or suspend the debt ceiling (racking up more debt) without significant & real spending cuts attached to it,” Rep. Chip Roy (R-Texas) said online in response to news of the deal.