House Republicans are navigating a strategic two-step plan to secure government funding, according to information from three credible sources shared with CNN. The urgency arises as Congress approaches yet another spending deadline scheduled for Friday.
The recently elected House Speaker, Mike Johnson, unveiled this plan during a GOP conference call on a Saturday afternoon, emphasizing his stance on the current state of affairs. Johnson, recognizing the complexities of the situation, stated, “I wasn’t the architect of the mess we are in,” as reported by an insider privy to the call.
While Johnson sought to align with the right-wing faction within his conference by proposing the two-step strategy, he did not entirely yield to their demands. Notably absent from the package were the substantial spending cuts advocated by the conservative members. Instead, the plan suggested an extension of funding at its existing levels.
Johnson justified the two-step continuing resolution, stating, “This two-step continuing resolution is a necessary bill to place House Republicans in the best position to fight for conservative victories,” in a statement released on the same Saturday.
The initial bill, covering funding until January 19, encompasses allocations for military construction, Veterans Affairs, transportation, housing, and the Energy Department. The subsequent part of the bill, extending funding until February 2, would encompass the remaining sectors of the government.
Crucially, both bills exclude additional aid for countries such as Israel or Ukraine.
While the two-step approach found favor among Republican hardliners, it faced skepticism from several senators who considered it a convoluted solution. Nevertheless, since the proposed funding maintained current levels for various agencies, it could pose a challenge for Democrats to outright reject.
A Senate Democratic leadership source expressed openness to Johnson’s funding plan, stating, “It’s a good thing the speaker didn’t include unnecessary cuts and kept defense funding with the second group of programs.”
However, the White House press secretary, Karine Jean-Pierre, characterized Johnson’s plan as “a recipe for more Republican chaos and more shutdowns – full stop,” urging House Republicans to prioritize bipartisan efforts to avert a shutdown.
Leading up to the crucial conference call on Saturday, Republicans deliberated on multiple options, including a more straightforward stopgap bill with additional incentives, in addition to the complex two-step approach advocated by Johnson.
Internal divisions within the Republican conference surfaced, with appropriators favoring a “clean” stopgap bill while members of the Freedom Caucus advocated for the laddered approach.
Even within the far-right House Freedom Caucus, there was dissent. GOP Rep. Chip Roy voiced his opposition to Johnson’s plan, citing its failure to incorporate the deep spending cuts demanded by the conservative faction.
House Minority Leader Hakeem Jeffries criticized the prospect of a two-step continuing resolution, deeming it a “right-wing joyride which would crash and burn the economy.”
To advance the bill through the House, Johnson must secure approval for a rule that sets the parameters for a floor debate. As the minority party traditionally votes against the rule, Johnson can only afford to lose four Republican votes to secure approval. Whether hardline Republicans will support the rule remains uncertain, given their opposition to the underlying bill.
Should they fail to pass the rule, an alternative option involves passing it under suspension of the rules, necessitating a two-thirds majority. This would require substantial Democratic support to approve the bill.
As of now, GOP leadership sources have not finalized a decision on the course of action.
Internally, Democrats are critical of Johnson’s strategy, deeming the idea of keeping the government open in two steps as impractical. However, they acknowledge that Johnson avoided incorporating spending cuts, a red line for them.
The pivotal question revolves around how many Democrats will ultimately support the plan, as this could significantly impact the GOP’s floor strategy.
The looming deadline on Friday adds pressure, with the possibility of government operations grinding to a halt if a spending plan is not approved. Essential government functions would persist, but the overall impact of a shutdown on a national scale could result in far-reaching economic consequences, affecting growth, fostering uncertainty, raising unemployment rates, dampening GDP growth, and increasing the cost of borrowing.