President Trump Signs Deal to End Brief Government Shutdown
US President Donald Trump.
US President Donald Trump.(Photo: Reuters) 

President Trump Signs Deal to End Brief Government Shutdown

The US Congress ended a brief government shutdown on Friday by reaching a wide-ranging deal that is expected to push budget deficits into the $1 trillion-a-year zone.

The bill passed by a wide margin in the Senate and survived a rebellion of 67 conservative Republicans in the House of Representatives thanks to the support of some Democrats. Those conservatives were mainly angry about non-military spending increases.

President Donald Trump signed the measure into law on Friday morning, ending a government shutdown that began just after midnight, when Congress was still debating the budget deal.

It was the second shutdown this year under the Republican-controlled Congress and Trump, who played little role in attempts by party leaders this week to end months of fiscal squabbling.

The deal is the fifth temporary government funding measure for the fiscal year that began on 1 October and replenishes federal coffers until 23 March, giving lawmakers more time to write a full-year budget.

It also extends the US government's borrowing authority until March 2019, sparing Washington politicians difficult votes on debt and deficits until after mid-term congressional elections in November.

Once known as the party of fiscal conservatives, the Republicans and Trump are now quickly expanding the US budget deficit and its $20 trillion national debt. Their sweeping tax overhaul bill approved in December will add an estimated $1.5 trillion to the national debt over 10 years.

Nearly $300 billion in new spending included in the bill approved on Friday will ensure the annual budget deficit will exceed $1 trillion in 2019, said the Committee for a Responsible Federal Budget, a private fiscal policy watchdog group in Washington.

Friday’s budget deal allows for $165 billion in additional defense spending over two years that will help Trump deliver on his promise to rebuild the military.

That won over many Republicans but some were still furious over the $131 billion extra made available for non-military spending, including health and infrastructure.

None of the added spending will be offset by budget savings elsewhere or revenue increases, relying instead on government borrowing. There also is no offset reduction for nearly $90 billion in new disaster aid for US states and territories ravaged by hurricanes or wildfires.

(This article has been published in an arrangement with the Reuters and has been edited for length.)

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