The US Capitol building in Washington, DC, US, on November 2, 2025. (Photo: REUTERS/Kent Nishimura)

Federal agencies have been largely paralyzed since Congress failed to pass a new funding bill before the September 30 deadline.

The budget deadlock is threatening key social-welfare programs and escalating into a serious crisis. Roughly 1.4 million federal employees, including air-traffic controllers and airport security TSA workers, have been furloughed or are now working without pay.

Though there have been indications that some moderate Democrats and Republicans want to negotiate, neither side is willing to compromise on the heart of the deadlock – the dispute over healthcare spending.

Democrats have refused to back a government funding measure without an agreement to extend expiring subsidies under the Affordable Care Act. Meanwhile, Republicans have insisted they will not negotiate on the subsidies until the government reopens.