WASHINGTON, D.C. – The U.S. federal government has officially shut down after Congress failed to pass a crucial funding measure, marking the first funding lapse since 2019. The impasse stems from a weekslong standoff between Republicans and Democrats over the extension of enhanced Obamacare subsidies, which provide crucial assistance to Americans seeking health insurance.
With no resolution in sight, lawmakers departed the Capitol late Tuesday in deep uncertainty.
The Sticking Point: ACA Subsidies
The core disagreement revolves around enhanced premium subsidies for the Affordable Care Act (ACA). These subsidies, which have made coverage more affordable and led to a record 24 million people signing up for policies in 2025, are set to expire at the end of the year. The nonpartisan resear