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Trump delays State of the Union Address until shutdown ends

Kera Myers, the wife of a member of the U.S. Coast Guard working without pay during the government shutdown, picks up produce, eggs, milk, bread and other supplies being distributed by Gather food pantry at the U.S. Coast Guard Portsmouth Harbor base in New Castle, New Hampshire, U.S., January 23, 2019. REUTERS/Brian Snyder

By Richard Cowan and John Whitesides

WASHINGTON (Reuters) – U.S. President Donald Trump said in a late night Tweet on Wednesday that he would delay a State of the Union address until the government shutdown was over, responding to House Speaker Nancy Pelosi’s move to obstruct his plans for the speech.

Earlier in the day, Democratic leaders in the House of Representatives floated the idea of ending the partial government shutdown by giving Trump most or all of the money he seeks for security along the Mexican border but for items other than the wall he wants.

As a shutdown that has left 800,000 federal workers without pay hit its 33rd day, Pelosi effectively disinvited Trump from delivering the annual State of the Union address in the House chamber until the government is fully opened.

The Republican president responded to the Democrat speaker with a tweet.

“This is her prerogative – I will do the Address when the Shutdown is over. I am not looking for an alternative venue for the SOTU Address because there is no venue that can compete with the history, tradition and importance of the House Chamber,” the president said in the tweet.

“I look forward to giving a great State of the Union Address in the near future!”

Other leaders in the Democratic-controlled House said they were drafting a funding offer they will likely make to Trump in a letter.

Representative James Clyburn, the No. 3 House Democrat, said Democrats could fulfill Trump’s request for $5.7 billion for border security with technological tools such as drones, X-rays and sensors, as well as more border patrol agents.

Representative Steny Hoyer, the No. 2 House Democrat, said Democrats also would discuss “substantial sums of additional money” for border security as part of a possible deal. He did not say if it would amount to the $5.7 billion sought by Trump.

The president triggered the shutdown last month by demanding money for the wall, opposed by Democrats, as part of any legislation to fund about a quarter of the government. Clyburn’s offer would be a significant monetary increase over bills previously passed by Democrats, which included only about $1.3 billion for this year in additional border security, with none for a wall.

“Using the figure the president put on the table, if his $5.7 billion is about border security then we see ourselves fulfilling that request, only doing it with what I like to call using a smart wall,” Clyburn told reporters.

Republican Representative Tom Cole, a member of the House Appropriations Committee, told reporters the Democratic proposal could help.

“Any movement, any discussion is helpful,” Cole said. “We’ve got to get past this wall-or-no-wall debate.”

The battle over border security and government funding spilled over into a parallel dispute over the president’s State of the Union address. Trump sent a letter to Pelosi on Wednesday saying he looked forward to delivering it as scheduled next Tuesday in the House chamber. Pelosi previously had asked Trump to consider postponing it because security could not be guaranteed during the shutdown.

But Pelosi told Trump on Wednesday the House would not consider a measure authorizing his address until the shutdown ends. “Again, I look forward to welcoming you to the House on a mutually agreeable date for this address when government has been opened,” Pelosi said to Trump in a letter.

In a sign Trump may be bracing for a long shutdown, a senior administration official said agencies without funding had been asked to give the White House a list of programs that could be hurt “within the coming weeks” if the funding lapse continues.

SENATE PLANS VOTES

The U.S. Senate, controlled by Trump’s fellow Republicans, planned votes for Thursday on competing proposals that face steep odds to end the shutdown.

Senate Majority Leader Mitch McConnell plans a vote on a Democratic proposal that would fund the government for three weeks but does not include the $5.7 billion in partial funding for a wall on the U.S.-Mexico border.

Its prospects appeared grim. The House has passed several similar bills but Trump has rejected legislation that does not include the wall funding. McConnell previously said he would not consider a bill that Trump did not support.

McConnell also planned to hold a vote on legislation that would include wall funding and a temporary extension of protections for “Dreamers,” people brought illegally to the United States as children, an offer Trump made on Saturday. Trump’s 2017 plan to rescind protections against deportation for hundreds of thousands of “Dreamers” has been blocked by the courts.

Democrats have dismissed the offer, saying they would not negotiate on border security before reopening the government, and that they would not trade a temporary extension of the immigrants’ protections in return for a permanent border wall they have called ineffective, costly and immoral.

Barclays economists said on Wednesday they reduced their outlook on U.S. economic growth in the first quarter to an annualized rate of 2.5 percent from an earlier projection of 3 percent as a result of the shutdown.

Furloughed federal workers are struggling to make ends meet during the longest government shutdown in U.S. history. Many have turned to unemployment assistance, food banks and other support, or have sought new jobs.

(Reporting by Richard Cowan and John Whitesides; Additional reporting by Yasmeen Abutaleb, Roberta Rampton, Eric Beech, Susan Heavey, Doina Chiacu and Rich McKay; Writing by John Whitesides; Editing by Will Dunham, Peter Cooney & Simon Cameron-Moore)

Trump holds firm on border wall, offers steel option as compromise

U.S. President Donald Trump speaks to the media as he returns from Camp David to the White House in Washington, U.S., January 6, 2019. REUTERS/Joshua Roberts

By Jeff Mason and Ginger Gibson

WASHINGTON (Reuters) – U.S. President Donald Trump pledged on Sunday not to bend in his demand for a wall along the southern border with Mexico but said the barrier could be made of steel instead of concrete as a potential compromise with Democrats who refuse to fund it.

Trump’s comments came at the start of the third week of a partial government shutdown resulting from the dispute that has left hundreds of thousands of federal workers idled or without paychecks.

Trump threatened again, without providing specifics on where the funding would originate, to declare a national emergency as an alternative way to build the wall, depending on the outcome of talks in the coming days.

Democrats have declined to approve the $5.6 billion Trump wants to fulfill a 2016 campaign promise to curb illegal immigration. Led by new Speaker Nancy Pelosi, Democrats passed a bill in the House of Representatives last week to reopen the government without wall funding. Pelosi has called a border wall immoral.

“This is a very important battle to win from the standpoint of safety, number one, (and) defining our country and who we are,” Trump told reporters at the White House before leaving for a short trip to the Camp David presidential retreat.

“The barrier, or the wall, can be of steel instead of concrete if that helps people. It may be better,” he said.

The White House painted that offer, which Trump floated previously, as an olive branch.

In a letter to congressional leaders on Sunday detailing its funding demands, the Trump administration included a request for an additional $800 million to address urgent humanitarian needs at the southern border.

Mick Mulvaney, Trump’s acting chief of staff, told NBC’s “Meet the Press” that agreeing to a steel barrier would allow Democrats to stick to their refusal to fund a wall.

“That should help us move in the right direction,” he said.

House Majority Leader Steny Hoyer did not show his hand when asked whether the White House offer to move away from a concrete structure was evidence of compromise.

“It’ll be discussed,” he said on NBC.

Vice President Mike Pence led a second round of talks with congressional aides on Sunday about the issue, but Trump said he did not expect those talks to produce results, noting that the principals – himself, Pelosi and Senate Democratic leader Chuck Schumer – were the ones who could solve it quickly.

“If we don’t find a solution, it’s going to go on for a long time. There’s not going to be any bend right here,” Trump said.

He later tweeted that the Pence talks were productive. But a Democratic aide familiar with the meeting said Democrats urged the White House to pass measures to reopen the government without wall funding and Pence said Trump would not do that. The aide said no progress was made and no further meetings of the group were scheduled.

OTHER CONCESSIONS?

Democrats could demand other concessions from the White House, such as protections for immigrants brought illegally to the United States as children, known as Dreamers, or changes to other spending provisions. Trump said he wanted to help on the Dreamer issue but preferred to wait for a Supreme Court ruling on it first.

Democratic U.S. Senator Dick Durbin reacted coolly to Trump’s suggestion of declaring a national emergency. “I don’t know what he’s basing this on, but he’s faced so many lawsuits when he ignores the law and ignores tradition and precedent,” Durbin said on CBS’ “Face the Nation.”

Large chunks of the federal government were shut down on Dec. 22 after lawmakers and the president hit an impasse over Trump’s demand that a bill to keep the federal government operational include money to help build a $23 billion wall along the U.S. border with Mexico. About 800,000 government workers are either furloughed or working without pay.

“I can relate,” Trump, a former New York businessman, said when asked if he could relate to the pain of federal workers struggling to pay their bills. “I’m sure that the people that are on the receiving end will make adjustments.” Asked if workers would get paid on Friday, Trump said: “We’ll see whether or not it’s settled.”

Not all Republicans agree with Trump’s insistence on keeping government agencies shuttered until the border debate is resolved.

“It is not a sign of weakness to try to figure out a middle ground, and I think that both sides need to indicate a willingness to listen and to compromise, U.S. Senator Susan Collins of Maine said on NBC. She called the debate over using steel versus concrete “bizarre.”

House Democrats plan to pass a series of bills this week to reopen government, breaking up legislation they have already approved in a bid to get Republicans to agree to reopen certain agencies, Hoyer said on “Meet the Press.”

“We need to open up government and then negotiate. Not the other way around,” he said.

(Reporting by Jeff Mason and Ginger Gibson; Additional reporting by Amanda Becker and Pete Schroeder; Editing by Lisa Shumaker and Peter Cooney)

How partial shutdown of U.S. government could play out

FILE PHOTO: Clouds pass over the U.S. Capitol at the start of the third day of a shut down of the federal government in Washington, U.S., January 22, 2018. REUTERS/Joshua Roberts

WASHINGTON (Reuters) – A partial U.S. government shutdown was widely expected to continue after Congress reconvenes on Thursday, with lawmakers split over President Donald Trump’s demand for $5 billion in taxpayer funding for a proposed Mexican border wall.

The Senate and the House of Representatives were set to meet at 4 p.m. EST on the sixth day of the shutdown and resume debating ways to end it. That will include Senate consideration of a measure already approved by the Republican-controlled House that meets Trump’s wall-funding demand.

For that bill to move forward in the 100-seat Senate, it would need 60 votes. Republicans have only 51 seats, so they will need to try to persuade some Democrats to back the measure.

But Democrats largely oppose Trump’s proposed wall, which he had initially said would be financed by Mexico. They have offered support for $1.3 billion in general border security funding. It was not clear if some compromise could be struck between that offer and Trump’s demand.

Over the weekend, Mick Mulvaney, the acting White House chief of staff, said the White House had made a counter-offer to Democrats on border security. Media reports said Vice President Mike Pence had proposed $2.1 billion in funding.

Last week Trump said his administration was prepared for a lengthy shutdown.

After weeks of failed talks between Trump and congressional leaders, parts of the U.S. government shut down on Saturday, affecting about 800,000 employees of the Departments of Homeland Security, Justice, Agriculture, Commerce and other agencies.

Most of the federal government, which directly employs almost 4 million people, is unaffected. The Defense, Energy, Labor and other departments are funded through Sept. 30.

Even agencies that are affected never totally close, with workers deemed “essential” still performing their duties.

“Non-essential” federal workers at unfunded agencies are on furlough and staying home. Both they and essential employees will not get paychecks after December until the shutdown ends.

“We continue to believe that it is unlikely that Congress will come up with a deal to end the current partial shutdown until well into January,” financial firm Height Securities said in a commentary note on Wednesday.

The 435-seat House was set to reopen on Thursday but on Jan. 3, the 2017-18 Congress will be replaced by the 2019-20 Congress and control of the House will switch to the Democrats from the Republicans. At that time, Representative Nancy Pelosi is expected to take over as House speaker.

She has vowed swift action to fully reopen the government. Barring some sort of deal in the interim, House Democrats expect to vote on a funding bill on Jan. 3, a Democratic aide said.

In the new Congress, Senate Republicans will increase their number of seats to 53 but still will need Democratic support to pass any legislation requiring a 60-vote majority.

Details of the upcoming House bill were unclear but it was unlikely to include wall funding, like an earlier Senate measure. If such a bill were to pass the House and again win support in the Senate, it would then go to Trump.

At that point, he could face a politically difficult choice – back down on his full wall-funding demand or veto the bill and single-handedly extend the partial shutdown.

If he chose the latter, putting his personal stamp on the shutdown, Congress might then move to override his veto, but that would take a two-thirds vote in both the Senate and the House, a challenging hurdle for lawmakers.

(Reporting by Kevin Drawbaugh and David Morgan; Editing by Richard Chang and Bill Trott)

Government workers begin shutdown as Senate vote looms

The U.S. Capitol is lit during the second day of a shutdown of the federal government in Washington, U.S., January 21, 2018.

By Amanda Becker and Richard Cowan

WASHINGTON (Reuters) – Hundreds of thousands of federal workers began shutting down operations on Monday with the U.S. government closed and the Senate prepared to try again to restore funding, if only temporarily, and resolve a dispute over immigration.

As government employees prepared for the first weekday since the shutdown began at midnight Friday, U.S. senators were to vote at midday on a funding bill to get the lights back on in Washington and across the government until early February.

Support for the bill was uncertain, after Republicans and Democrats spent all day on Sunday trying to strike a deal, only to go home for the night short of an agreement.

Federal employees received notices on Saturday about whether they were exempt from the shutdown, White House budget director Mick Mulvaney said. Depending on their schedules, some were told to stay home or to go to work for up to four hours on Monday to shut their operation, then go home. None will get paid.

Senate Majority Leader Mitch McConnell said late Sunday that an overnight vote on a measure to fund government operations through Feb. 8 was canceled and would be held at 12 p.m. EST (1700 GMT) on Monday.

Up until Monday, most federal workers were not directly affected by the shutdown that began at midnight on Friday.

The federal Office of Personnel Management said on its website on Sunday night that “federal government operations vary by agency.”

The Department of Defense published a memo on its website detailing who does and does not get paid in a shutdown and saying that civilian employees were on temporary leave, except for those needed to support active-duty troops.

The Department of Interior led by Secretary Ryan Zinke, offered no guidance on its website, which still had a “Happy Holidays from the Zinke Family” video near the top of the site. The department oversees national parks and federal lands.

The State Department website said: “At this time, scheduled passport and visa services in the United States and at our posts overseas will continue during the lapse in appropriations as the situation permits.”

Markets have absorbed the shutdown drama over the last week, and on Monday morning world stocks and U.S. bond markets largely shrugged off Washington’s standoff even as the dollar continued its pullback. U.S. stock futures edged lower.

‘DREAMERS’ DRAMA

The U.S. government has not been shut down since 2013, when about 800,000 federal workers were put on furlough. That impasse prevented passage of a needed funding bill centered on former Democratic President Barack Obama’s healthcare law.

The problem this time focused on immigration policy, principally President Donald Trump’s order last year ending an Obama program called Deferred Action for Childhood Arrivals (DACA), which gave legal protections to “Dreamer” immigrants.

The “Dreamers” are young people who were brought to the United States illegally as children by their parents or other adults, mainly from Mexico and Central America, and who mostly grew up in the United States.

Trump said last year he would end DACA on March 5 and asked Congress to come up with a legislative fix before then to prevent Dreamers from being deported.

Democrats have withheld support for a temporary funding bill to keep the government open over the DACA issue. McConnell extended an olive branch on Sunday, pledging to bring immigration legislation up for debate after Feb. 8 so long as the government remained open.

Senate Democratic leader Chuck Schumer objected to the plan and it was unclear whether McConnell’s pledge would be enough for Democrats to support a stopgap funding bill.

Congress failed last year to pass a complete budget by Oct. 1, the beginning of the federal fiscal year, and the government has been operating on a series of three stopgap spending bills.

Republicans control both the House of Representatives and the Senate, where they have a slim 51-49 majority. But most legislation requires 60 Senate votes to pass, giving Democrats leverage.

Trump told a bipartisan Senate working group earlier this month that he would sign whatever DACA legislation was brought to him. The Republican president then rejected a bipartisan measure and negotiations stalled.

McConnell had insisted that the Senate would not move to immigration legislation until it was clear what could earn Trump’s support.

Republican Senator Jeff Flake, who is involved in bipartisan immigration negotiations, said McConnell’s statements on Sunday indicated there was progress in negotiations and he urged his Democratic colleagues to approve another stopgap bill.

(Additional reporting by Ginger Gibson and Damon Darlin; Editing by Peter Cooney and Jeffrey Benkoe)