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Trump, Russ Vought eye more funding cuts



President Donald Trump made a statement on Thursday regarding the government shutdown, accusing Democrats of giving him an “unprecedented opportunity” to make significant cuts to federal agencies in an attempt to harm his political opponents.

Trump’s comments followed the freezing of approximately $18 billion for infrastructure projects in New York City and the cancellation of around $8 billion for climate-related initiatives in Democratic-leaning states.

Key Democrats leading the shutdown efforts, Sen. Chuck Schumer and Rep. Hakeem Jeffries, both hail from New York.

The decisions to halt funding were announced by Russell Vought, the director of the White House’s Office of Management and Budget.

Trump mentioned that he will be meeting with Vought to discuss potential cuts to “many Democrat Agencies,” describing them as “a political SCAM.”

He also hinted at the possibility of permanent cuts and referenced the firings that were warned in a memo released by Vought’s OMB.

White House officials indicated that layoffs could reach into the thousands.

Trump praised Vought, a key figure in Project 2025, despite distancing himself from the initiative during his presidential campaign.

Read more CNBC government shutdown coverage

The federal shutdown commenced due to the failure of Congress to pass a funding bill past the fiscal year deadline.

Republicans sought a stopgap measure, while Democrats pushed for an extension of Obamacare tax credits in any short-term funding bill.

Treasury Secretary Scott Bessent criticized Democrats for their negotiating tactics, comparing them to “terrorists.”

Despite ongoing discussions, an agreement regarding the ACA credits seemed unlikely.

Past shutdowns have resulted in furloughs for federal workers, with the promise of back pay upon government reopening.

Speculation surrounds the possibility of firings rather than furloughs for certain workers in this shutdown.

Competing funding bills failed to pass the Senate, prolonging the shutdown until at least Friday.

The Senate plans to revisit the stopgap measure on Friday to seek a resolution.

Stay tuned for further updates on this developing situation.

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