Senate Passes Bill to End U.S. Shutdown; House Vote Next

SECAUCUS, NJ (DTN) – The US Senate has passed a bill the reopen the federal government after a record 41-day shutdown, paving way for the House of Representatives to approve the measure and for President Donald Trump to sign it.

The bill was passed late Monday (11/10) night after eight Democratic senators abandoned their party’s demands for an extension of expiring health insurance subsidies under the Affordable Care Act.

The defecting Democrats agreed instead with Republican senators on a package to fund the government through January and cover spending required for the Department of Agriculture, military construction and other legislative agencies. There will also be retroactive pay for furloughed federal workers and a reversal of layoffs made during the shutdown.

The bill now moves to the House of Representatives, where a vote is expected no sooner than Wednesday. The Republicans only have a slim majority against Democrats in the House, and the vote could be close. President Donald Trump has confirmed he will sign the bill if it passes the House.

The imminent reopening of the government has boosted financial markets, with futures of oil to other commodities and stocks on Wall Street rising for a second straight day. As of last week, the impact of the shutdown had become increasingly dire, with the University of Michigan’s Index of U.S. Consumer Sentiment Index dropping to a three-year low.

The crisis also severely disrupted the aviation sector, with close to 5,400 flights cancelled over the last four days, as between 20% and 40% of air traffic controllers did not turn up at the nation’s 30 largest airports after being unable to work without pay.

In response, the Federal Aviation Administration mandated a 6% reduction of flights on Tuesday and 10% for Friday.