‘We can do things’: Trump warns of cuts as US government shutdown looms

Washington: US President Donald Trump warned Democrats that allowing the federal government to shut down would allow his administration to take “irreversible” actions, including cutting programs important to them.

“We can do things during the shutdown that are irreversible, that are bad for them and irreversible by them, like cutting vast numbers of people out, cutting things that they like, cutting programs that they like,” Trump said from the Oval Office.

US President Donald Trump on the South Lawn of the White House on Tuesday.Credit: Bloomberg

“You all know Russell Vought,” Trump added, referring to the director of the Office of Management and Budget. “He’s become very popular recently because he can trim the budget to a level that you couldn’t do any other way.”

Trump did not specify the actions he might take, but he has raised the possibility recently of further downsizing the federal workforce.

At midnight on Tuesday (2pm Wednesday AEST), the US will enter its 15th government shutdown since 1981 – the first in almost seven years – unless Republicans and Democrats in Congress agree on a deal to temporarily fund federal agencies with the start of a new fiscal year.

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No signs pointed to such an outcome, however. Any last-minute agreement would also have to be approved by the Republican-controlled House, which is not due to convene until Wednesday, after funding expires.

The Republican-controlled Senate is expected to vote on a temporary spending bill that has failed once already, with no sign that a second vote will bring success before the midnight deadline.

Democrats want to modify the bill to extend health benefits for millions of Americans that are due to expire at the end of the year. Republicans say they must tackle that issue separately.

Budget-related showdowns have become a routine feature in Washington as the nation’s politics have grown increasingly dysfunctional, though they are often resolved at the last minute. The government’s last shutdown was for 35 days in 2018 and 2019, during Trump’s first term, due to a dispute over immigration.

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At issue now is $US1.7 trillion ($2.6 trillion) that funds agency operations, which amounts to roughly one-quarter of the government’s total $US7 trillion budget. Much of the remainder goes to health and retirement programs and interest payments on the growing $US37.5 trillion debt.

Federal agencies, meanwhile, began to issue detailed plans that would close offices conducting scientific research, customer service, and other activities not deemed essential and send thousands of workers home if Congress does not agree on a fix before funding expires.

Airlines warned that a shutdown could slow flights, while the Labor Department said it would not issue its monthly unemployment report, a closely watched barometer of economic health. The Small Business Administration said it would stop issuing loans, while the Environmental Protection Agency said it would suspend some pollution-cleanup efforts.

The longer a shutdown lasts, the broader the impact.

A White House meeting on Monday between Trump and the leaders of Congress led to no agreement. Trump followed up on it by posting a deepfake video showing manipulated images of Democratic Senate Leader Chuck Schumer appearing to criticise Democrats while top House Democrat Hakeem Jeffries stood next to him, with a crudely drawn sombrero and moustache imposed over his face.

Speaking to reporters outside the US Capitol, Jeffries responded to Trump’s post: “The next time you have something to say about me, don’t cop out through a racist and fake AI video. When I’m back in the Oval Office, say it to my face.”

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