Capitol agenda: Schumer stops a shutdown

Chuck Schumer has given Senate Democrats an out — drastically lowering the chances of a government shutdown Saturday.

The Senate minority leader, both privately to his caucus Thursday and in a floor speech shortly after, said he would vote to advance a GOP-written stopgap to fund the government through September. He said Republicans’ spending bill is “very bad.” But he argued the “potential for a shutdown has consequences for America that are much, much worse” and would empower President Donald Trump and Elon Musk to further gut federal agencies.

It’s a remarkable shift. Just 24 hours before, Schumer had said Senate Republicans didn’t have enough Democratic support to clear the 60-vote threshold to advance House Republicans’ continuing resolution, or CR.

Senate Majority Leader John Thune has now teed up that procedural vote for 1:15 p.m. — and indicated he’d be willing to give Democrats a poised-to-fail vote on a four-week stopgap as part of a deal to speed up passage for Republicans’ CR. All 100 senators would have to green-light that, and as of Thursday evening, Schumer said there was no time agreement.

Republicans need eight Democrats to join them to advance the CR. There are at least two on board: Schumer and Sen. John Fetterman, who has for days been saying he wouldn’t vote for a shutdown.

But even as Schumer gave Democrats cover, a handful announced or reiterated their “no” votes after his speech. Several have yet to publicly weigh in.

The backlash to Schumer’s call was swift. House Minority Leader Hakeem Jeffries didn’t criticize Schumer directly in private comments to his caucus but said House Democrats “stood on the side of the American people.” And Rep. Jim McGovern said he was “extremely disappointed.”

“It gives them the ability, Elon Musk the ability, to go through and continue to do the shit he’s doing,” McGovern added.

What else we’re watching:

• Trump backs John Thune’s tax plan: Trump indicated to GOP senators during a private meeting Thursday that he supports the Senate majority leader’s plan to use a controversial accounting method that would make trillions of dollars in tax cuts appear to cost nothing — a move that would make it easier to advance the president’s other tax priorities. But House hard-liners remain skeptical of the idea, even as Speaker Mike Johnson has increasingly indicated he’s open to it.
• Crypto bill advances: Senate Banking on Thursday approved digital assets legislation that would create a regulatory structure for stablecoins, marking the first time a Senate panel has ever advanced major crypto legislation. It was one of Congress’ most significant steps yet toward giving the crypto sector a long-sought stamp of legitimacy that could turbocharge its growth. Five Democrats voted for the GOP-led legislation, despite strong opposition from the top Democrat on the Banking panel, Sen. Elizabeth Warren.
• Ted Cruz pushes NIL regulations: The Senate Commerce chair plans to hold hearings and markups on regulating college athletes’ ability to profit off their personal brand — what’s commonly referred to as name, image and likeness issues — and said he’s building bipartisan support on it. Lawmakers are showing increased interest in the topic: House Judiciary is planning a roundtable on it next month.

Meredith Lee Hill, Benjamin Guggenheim, Jordain Carney, Jasper Goodman and Ben Leonard contributed to this report.