October 1, 2025


Capitol in Crisis: Deadlock Persists as Government Shutdown Looms Over Washington

Welcome to the unprecedented standstill in the U.S. government. As the shutdown extends with no resolution in sight, the nation watches closely. Congressional leaders have entrenched themselves, signaling a bleak outlook for any quick solution.

Without a bipartisan meeting scheduled for Wednesday, leaders will instead hold separate press conferences at 10 a.m. They plan to vote an hour later on two conflicting continuing resolutions, but expectations for a breakthrough are low. "It’s in their court to solve it. It’s their shutdown," stated Senate Minority Leader Chuck Schumer. Conversely, Senate Majority Leader John Thune expressed a reluctance to negotiate under current conditions, suggesting that "the negotiation happens when the government opens."

The Senate will pause on Thursday in observance of Yom Kippur, with plans to reconvene Friday and Saturday. Despite the official break, informal discussions are taking place among rank-and-file lawmakers. Senator Susan Collins proposed the reintroduction of the “talking stick” — a tactic used in 2018 to foster dialogue during a shutdown.

On the strategic front, GOP leaders are aiming to sway additional Democratic senators after seeing three cross the aisle in a recent vote. Meanwhile, the White House is expected to intensify pressure on Democrats. OMB Director Russell Vought has already initiated shutdown procedures for federal agencies, echoing President Donald Trump's sentiments that a shutdown could lead to permanent cuts in government, targeting what he referred to as "Democrat things."

In related news, the political landscape sees mixed signals elsewhere. A key Senate committee will hear Coinbase’s VP of Tax Lawrence Zlatkin argue that current tax rules for cryptocurrencies need modernization. Additionally, the administration has pulled back on several high-profile nominations but plans to push forward with over a hundred others, including a significant appointment in the Navy.

As the shutdown drags on, its broader impacts are just beginning to unfold, affecting services and raising concerns about both immediate and long-term consequences for governance and public trust.

For more detailed coverage on how the shutdown is affecting specific agencies and services, see also: [How the shutdown will impact key agencies and services](https://www.politico.com/news/2025/10/01/government-shutdown-2025-whats-still-open-00195598).

Contributions to this report were made by Jordain Carney, Nicholas Wu, Benjamin Guggenheim, and Calen Razor.