Prime Minister Mark Carney is prepared to fight an election over his government’s upcoming budget, scheduled to be presented to Parliament. While the budget, which includes “generational investments” and plans to balance the operating account within three years, is deemed essential by Carney, it lacks guaranteed support from opposition parties, particularly the Conservatives and NDP, who have differing demands and concerns. Carney also confirmed he apologized to U.S. President Donald Trump for Ontario’s anti-tariff ad that disrupted trade talks, an ad that Carney had personally discouraged. Losing the budget vote would trigger an election just months after the last campaign.
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The federal government has been shut down due to an impasse in the Senate over funding bills. Democrats blocked a Republican-backed short-term funding measure, while Republicans rejected a bill proposed by Democrats. Critical services like Social Security will continue, but delays are possible, and approximately 750,000 federal employees may face furlough. The duration of the shutdown and its full impact remain uncertain, with both parties signaling a willingness to stand their ground, making a resolution unclear.
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The U.S. government officially shut down at midnight due to the inability of Congress and the White House to agree on a funding extension. The Republican-controlled Congress, needing Democratic support in the Senate, failed to reach a bipartisan agreement, leading to the shutdown, the first since 2018. Federal employees will face furloughs and potential delayed pay, while essential workers will continue to work without pay. The two parties are fundamentally at odds over healthcare funding and government spending, with no clear path to a resolution and blame being placed on both sides.
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Following the fatal shooting of Charlie Kirk, the Trump administration is requesting an additional $58 million from Congress to enhance security for the executive and judicial branches. This funding request is part of an upcoming stopgap bill, with a deadline of September 30th when current federal spending expires. While supporting expanded security resources for lawmakers, the administration deferred specifics to the legislative branch, and the incident has amplified safety concerns for public officials. This request comes amidst ongoing negotiations over a short-term spending bill, with potential disagreements between Republicans and Democrats over healthcare funding.
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The Trump White House is planning a second rescissions request, potentially targeting the Department of Education, following approval of an initial package by Congress. The administration is also considering “pocket rescissions,” a controversial strategy to declare congressionally approved funds rescinded near the fiscal year’s end, which critics like Bobby Kogan and Senator Susan Collins argue is illegal. This tactic, if employed, would likely lead to a legal challenge, as the Government Accountability Office has previously stated that pocket rescissions violate the Impoundment Control Act. Some senators, including Senator Mike Rounds, advise against the move and suggest using the appropriations process.
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The Senate has approved a bill that would dramatically increase funding for Immigration and Customs Enforcement (ICE), potentially making it the largest interior law enforcement agency in the United States. The legislation, if passed by the House, would allocate approximately $150 billion over four years for Trump’s immigration enforcement agenda, exceeding the annual military budgets of many countries. This funding includes a substantial increase in ICE’s detention budget, as well as allocations for border militarization and grants to states with anti-immigrant policies. The bill is now heading to the House of Representatives, where its fate remains uncertain amid expected opposition.
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The recently passed budget, signed by the president, heavily favors the wealthy through tax cuts while simultaneously cutting healthcare and food programs for the poor. A significant portion of the budget is allocated to expanding Immigration and Customs Enforcement (ICE), creating a massive domestic police force with unprecedented resources and authority. This expansion includes funding for detention facilities, hiring thousands of new agents, and constructing a border wall, further militarizing the border. The budget also increases fees for immigrants, seemingly designed to generate revenue from those most vulnerable. This combination of economic inequality and increased policing foreshadows a potential police state, blurring the lines between military operations and civilian law enforcement to suppress dissent and protect the elite.
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Following the House’s approval of President Trump’s budget, Rep. Alexandria Ocasio-Cortez expressed concerns about the implications of the “Big Beautiful Bill.” She warned the bill’s allocation of $170 billion, including significant increases for ICE, could create a system larger than the FBI and other agencies. Additionally, she noted that the bill is setting the stage for increased detentions and disappearances, foreshadowing a worsening situation. Trump, however, celebrated the bill as the “biggest tax cuts in our country’s history.”
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In a close 51-50 vote, Donald Trump’s controversial bill narrowly passed the Senate, largely due to the support of Alaska Senator Lisa Murkowski. Republicans included provisions benefiting Alaska to secure her vote, but a last-minute change impacted the Medicaid funding that Murkowski was hoping to gain. Despite her reservations about the bill’s readiness, she voted in favor, citing concerns about potential negative impacts on her state. As a result of her vote, Murkowski secured a tax break for Alaskan fishing villages and whaling captains along with an exemption that would apply to 10 states with the highest payment error rates, including Alaska.
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Germany’s Budget Committee approved €3 billion in additional military aid for Ukraine, garnering support from opposition parties but abstentions from the ruling coalition. While the committee’s decision is non-binding, such requests typically receive ministerial approval. This request comes amidst internal government debate, with Chancellor Scholz supporting the aid but only if the “debt brake” is suspended—a measure currently lacking parliamentary support. The €3 billion is supplemental to the €8 billion already allocated in 2024, contrasting with a planned reduction to €4 billion in 2025, reflecting hopes for reduced German contributions.
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John Q. Hosedrinker