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DAY 9: Growing support for military pay, and is the seventh time a charm for the Senate?

 


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AGORA SHUTDOWN UPDATE

October 9, 2025

 

The Senate will try for the seventh time to reopen the government today, and will likely fail for the seventh time. But even as the two sides dig in, momentum is growing for legislation to ensure that the troops are paid even if the shutdown persists.

 

Meanwhile, Democrats are savoring their unity, at least for the moment, while Republicans try to tamp down defections. And the lack of government data on the economy is forcing Wall Street to read tea leaves anywhere they can find them.

 

Below is a roundup of the latest shutdown news.

 

CONGRESS

 

As the government shutdown entered its second week, Democratic lawmakers insisted the tide is shifting toward a deal as some hardline Republicans express support for extending health insurance subsidies, despite blanket opposition from Republican leadership to any agreement in advance of reopening the government.

 

Chuck Schumer ended the last shutdown standoff as a villain to Democrats outraged at his decision to surrender to Republicans. This time, the Senate minority leader has heeded the party base, sparking a showdown that has kept government agencies closed for eight days and counting.

 

Rep. Ken Calvert, the House Republican in charge of defense funding, is throwing his weight behind a bipartisan bill that would allow members of the military to get paid during the government shutdown.

 

Rep. Suhas Subramanyam, D-Va., has brought back a bill from the last government shutdown designed to help protect federal employees and contractors from adverse financial impacts from the current budget impasse.

 

WHITE HOUSE

 

Just one day after taking a different argument, the Trump administration notes federal law guarantees back pay for employees sent home during a shutdown.

 

President Trump said Wednesday that a stand-alone bill to pay military service members during a government shutdown “probably will happen,” contradicting comments from House Speaker Mike Johnson (R-La.) earlier in the day.

 

FEDERAL AGENCIES

 

With the government closed and official data collection on hold, economists on Wall Street and beyond are scrambling to find new sources of information — or any clues, really — on what might be happening in the economy.

 

The IRS is sending mass furlough notices to employees and shuttering most of its operations, now that a government shutdown has extended beyond its initial contingency plan

  

What does a shutdown mean for government contractors, employees, grantees and the general public? Click here for more information.

 

Questions? Comments? Email Agora.

 

 
 
 

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