President Trump predicted Thursday that the U.S. is likely headed toward another shutdown before the funding deadline at the end of January, The Hill reports.

Said Trump: “I think we have a problem, because I think we’re going to probably end up in another Democrat shutdown.”

“Congress is on track to avoid another shutdown, but it needs to clear several hurdles in a short amount of time in order to beat its month-end deadline,” Politico reports.

“The pressure is on the House to pass four of the most challenging spending bills Thursday — to fund the departments of Defense, HHS, Labor, HUD, Transportation, Education and Homeland Security — then bundle them up with the two-bill package the chamber previously passed to fund Financial Services and State-Foreign Operations.”

“Senators will then have one week to take a big swing at passing all six bills before sending them to President Donald Trump’s desk.”

Punchbowl News: “Something shocking is happening in Washington.”

“Since the record 43-day government shutdown ended in mid-November, congressional appropriators are trying to get their power back. And party leaders are pushing hard to give it to them.”

“Battered and bruised following the record-breaking shutdown, a flood of stopgap funding bills and rank-and-file members who refuse to vote for spending bills, House and Senate leaders are on the brink of reaching agreement on a full slate of FY2026 appropriations bills. They’ll still have to pass these bills — more accurately, funding packages — before the end of this month, though.”

“President Donald Trump spoke again about $2,000 tariff rebate checks, though their funding and legality remain questionable,” USA Today reports.

Said Trump: “The tariff money is so substantial. That’s coming in, that I’ll be able to do $2,000 sometime. I would say toward the end of the year.”

“President Trump wants to spend. He also wants, where possible, to avoid congressional interference and bigger deficits. Enter the balance sheet,” Axios reports.

“The president is going through the couch cushions of government — $200 billion from Fannie Mae and Freddie Mac for mortgage bonds, $20 billion from a Treasury fund for Argentina — to advance his policy priorities.”

“Critics say it’s nontraditional at best, and autocrat-adjacent at worst.”

“Child care providers, already under financial strain, face their greatest test yet as the Trump administration imposes new rules and restrictions on funding,” Axios reports.

“Federal money underpins the entire industry — vital to millions of parents trying to manage work and family, across all income levels.”

“The clock is ticking down as lawmakers scramble to avoid a government shutdown and determine whether to extend the expired Affordable Care Act subsidies,” Semafor reports.

Democratic leaders are signaling they’re not willing to leverage votes on spending bills in exchange for action on any of the top issues this month — whether it’s military action in Venezuela, health care subsidies or the mass deportation push by federal agents, NOTUS reports.

The tactic marks a departure from last year, when Democrats triggered a shutdown over expiring Obamacare subsidies.

“Bipartisan congressional appropriators on Monday released a three-bill spending package, marking the first major movement on government funding since last year’s record-breaking shutdown,” Axios reports.

“The government will shut down Jan. 30 if Congress doesn’t pass full-year spending bills or a short-term extension.”

“President Donald Trump and congressional Democrats don’t agree on much. But as Washington barrels toward another government funding deadline on Jan. 30, they are in rare alignment: Neither is eager for another shutdown,” Politico reports.

“Democrats haven’t finalized their strategy but are signaling they will not demand a health care deal in exchange for funding the government, a shift from their October approach that led to the longest shutdown in history. Meanwhile, the White House is privately encouraging congressional Republicans to advance appropriations bills and giving them space to negotiate with Democrats, notably different from the administration’s pre-October shutdown threats.”

“When Republican state Rep. Jim DeSana voted earlier this month to cut $645 million in work project funding, he unknowingly axed about $2 million in state funding meant to repair the roof of a building named after his father,” the Detroit News reports.

“Elon Musk’s Department of Government Efficiency said it made more than 29,000 cuts to the federal government — slashing billion-dollar contracts, canceling thousands of grants and pushing out civil servants,” the New York Times reports.

“But the group did not do what Mr. Musk said it would: reduce federal spending by $1 trillion before October. On DOGE’s watch, federal spending did not go down at all. It went up.”

“How is that possible?”

“One big reason, according to a New York Times analysis: Many of the largest savings that DOGE claimed turned out to be wrong.”

“Congress has adjourned for the holidays having made no tangible progress toward funding the government ahead of a shutdown looming less than six weeks away,” Politico reports.

“The most conspicuous sign that Congress faces real obstacles before the Jan. 30 funding deadline came late Thursday, when Senate leaders gave up on passing a spending package and sent members home for two weeks, despite working for more than a month to appease senators who had objections.”

Politico: “The impediments to reaching a deal that can pass both chambers are more extensive, starting with the fact that Republicans and Democrats on both ends of the Capitol have yet to start negotiating the details of the nine pending funding bills.”

“The lack of bipartisan offer-trading is raising the likelihood of another short-term punt — or another shutdown.”

President Trump’s $1,776 checks for more than a million troops, announced last night, come from Congressionally-allocated reconciliation funds intended to subsidize housing allowances for service members, Defense One reports.