Congress passed a measure Thursday to avert a government shutdown, delaying key deadlines and buying itself more time to hammer out a broader financing deal.
Facing a weekend deadline, the House of Representatives passed a bill to temporarily fund one set of federal agencies through March 8 and another set through March 22. The bill quickly passed the Senate, which approved it Thursday night, on a 77-13 vote. The bill now goes to President Joe Biden to be signed into law before Saturday’s deadline.
“When we pass this bill, thank God, we will have avoided a lockdown with all its harmful effects on the American people,” Senate Majority Leader Chuck Schumer, the New York Democrat, said just before the vote.
Without any action, a handful of agencies, including the Department of Agriculture, would partially close early Saturday. The remaining agencies, including the Pentagon, will partially close after March 8.
Meanwhile, Congress will aim to pass legislative packages to fund the government for the remainder of the budget year.
Investors may not be hurt by a short shutdown, as SPX shares have risen during previous government shutdowns. But farmers would lose access to loans, initial public offerings could be blocked, and U.S. troops and other federal employees would go without pay.
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Republicans only narrowly control the House, and President Mike Johnson was forced to rely on Democrats to pass the stopgap spending measure. He cleared the House with a vote of 320-99.
The Associated Press contributed to this report.