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Government shutdown updates: Leavitt says Trump exploring cutting aid to Portland

"We will not fund states that allow anarchy," she told reporters.

Last Updated: October 4, 2025, 8:50 AM EDT

The federal government remains closed amid a bitter impasse on Capitol Hill over competing congressional spending bills.

President Donald Trump and Republicans have cast blame for the shutdown on Democrats' health care demands, while Democrats insist Republicans need to negotiate.

The Trump administration has threatened mass layoffs of some federal workers during the shutdown.

Key Headlines

Here's how the news is developing.
Sep 30, 2025, 1:29 PM EDT

750,000 employees could be furloughed daily if shutdown proceeds

The nonpartisan Congressional Budget Office estimates that if there is a government shutdown, about 750,000 employees could be furloughed each day, with the total daily cost of their compensation estimating $400 million, according to a new report published on Tuesday.

A view of the U.S. Capitol, September 29, 2025 in Washington.
Anna Moneymaker/Getty Images

"The number of furloughed employees could vary by the day because some agencies might furlough more employees the longer a shutdown persists and others might recall some initially furloughed employees," CBO states.

The report also reviews how a government shutdown would impact the economy, income and business activity, military, pay for members of Congress, contracts along with National Parks and monuments.

-ABC News' Lauren Peller

Sep 30, 2025, 1:11 PM EDT

Jeffries reacts to AI-generated video posted by Trump

As the clock ticks down toward a government shutdown, 150 House Democrats, including House Minority Leader Hakeem Jeffries, gathered on the House steps on Tuesday morning ahead of the government funding deadline -- with Jeffries addressing a deepfake video generated by artificial intelligence shared by President Donald Trump.

The video, shared by Trump on Monday night, disparages Jeffries and Senate Minority Leader Chuck Schumer.

House Minority Leader Hakeem Jeffries flanked by Rep. Pete Aguilar and Rep. Katherine Clark arrives to speak on the steps of the Capitol, in Washington, Sept. 30, 2025.
J. Scott Applewhite/AP

"Mr. President, the next time you have something to say about me, don't cop out through a racist and fake AI video. When I'm back in the Oval Office, say it to my face!" Jeffries said.

Jeffries added that Democrats are "ready" to find a bipartisan path to avert a shutdown -- as he sharply criticized House Republicans for canceling votes this week.

-ABC News' John Parkinson and Lauren Peller

Sep 30, 2025, 1:07 PM EDT

Miami Dade College selected as location for Trump's presidential library

Miami Dade College will be the location for President Donald Trump's presidential library, according to an announcement on Tuesday.

The president selected the location after his son Eric Trump -- who is the president of the Library Foundation -- and his team "evaluated multiple sites across President Trump's home state of Florida."

"No monument can fully capture the scale of my father's legacy, but this library will stand as a tribute to the leader who reshaped history and restored America's strength," Eric Trump said in the announcement.

President Donald Trump speaks to senior military leaders at Marine Corps Base Quantico, September 30, 2025 in Quantico, Virginia.
Jim Watson/AFP via Getty Images

The library, which will sit on a 2.63-acre site, will be "visible for miles into the Atlantic" and will be a "bold landmark on Miami's skyline," Eric Trump said.

Sep 30, 2025, 12:51 PM EDT

Trump says shutdown is 'probably likely'

While holding a press conference announcing a deal with Pfizer to lower drug costs, President Donald Trump was asked if a government shutdown is inevitable, to which he replied: "Nothing is inevitable, but it is probably likely."

A portrait of former US President Ronald Reagan hangs behind President Donald Trump as Trump makes an announcement on prescription drugs in the Oval Office of the White House in Washington, September 30, 2025
Brendan Smialowski/AFP via Getty Images

Trump added that "we can do things during the shutdown that are irreversible," as the government funding deadline approaches.

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