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NH senators help broker deal to extend government funding

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  Published in Politics and Government on Sunday, November 9th 2025 at 21:42 GMT by WMUR
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Government Shutdown Deal Reached – Shaheen Hassan Announces Key Accord

The federal government’s looming shutdown threat has been averted, thanks to a newly negotiated funding package that restores operations through December. The agreement, detailed in a briefing released by the Office of Management and Budget, comes after weeks of tense negotiations between congressional leadership and the White House. Local officials, including state legislator Shaheen Hassan, welcomed the deal as a crucial step toward maintaining essential services for New Hampshire residents.

Background

The United States entered a funding impasse on August 31, 2025, when Congress failed to pass a continuing resolution (CR) to keep federal agencies funded for the remainder of the fiscal year. Without a CR or an appropriations bill, federal employees would lose pay, and critical programs—such as Social Security, Medicare, and federal law enforcement—would halt. New Hampshire’s Department of Health and Human Services, among others, faced potential disruptions that could affect thousands of residents.

The situation escalated on September 6, when the President issued a “temporary shutdown” directive, citing an inability to reach bipartisan agreement. In the days that followed, the House and Senate leaders convened in Washington, D.C., to negotiate a compromise. The result is a CR that extends funding through December 31, 2025, with a few modifications to the budget line items.

Key Elements of the Deal

1. Funding Levels
   The package preserves 95% of the previous year’s discretionary spending while allowing a modest $3.4 billion increase in discretionary funds to address rising healthcare costs.

2. Program Specifics
   - Social Services: Continuation of the federal food assistance program (SNAP) at 100% of the budgeted benefit level.
   - Healthcare: The Medicare program remains fully funded, including the Medicare Advantage cap increase.
   - Law Enforcement: The Department of Justice’s federal law enforcement budget receives a 2% increase to support ongoing investigations.

3. Spending Caps
   The agreement includes a cap on discretionary spending for the next fiscal year at 4.8% of GDP, a figure that was a point of contention between the House (4.6%) and the Senate (5.0%).

4. Oversight Mechanisms
   A joint congressional committee will monitor the implementation of the CR, with quarterly reports to Congress on any discrepancies between actual spending and budgeted amounts.

Reactions from Stakeholders

Shaheen Hassan, a senior member of the New Hampshire House of Representatives and chair of the Committee on Budget, praised the deal as “a pragmatic solution that balances fiscal responsibility with the needs of our citizens.” She added that the agreement’s provisions for healthcare and social services would “prevent a cascade of hardships for vulnerable New Hampshire families.” Hassan emphasized that the state’s budget planners will now have more clarity to prepare for the remaining months of the fiscal year.

Federal officials echoed her sentiments. The White House spokesperson highlighted the “collaborative spirit” that ultimately led to the agreement, noting that the bipartisan approach was necessary to avoid the economic costs associated with a shutdown.

Impact on New Hampshire

The state’s Department of Transportation reported that the funding package ensures that no state-funded highway projects will be delayed. Meanwhile, the Department of Education confirmed that federal grants for schools will continue without interruption, preserving funding for teacher salaries and educational materials. The State Police Division also received confirmation that federal grants for equipment upgrades remain on schedule.

Looking Ahead

While the immediate crisis has been averted, lawmakers have acknowledged that the underlying budgetary differences remain. Both House and Senate leaders have signaled that a more comprehensive appropriations strategy will need to be negotiated before the end of the calendar year. They have also agreed to form a bipartisan task force to examine long-term fiscal sustainability, focusing on entitlement reforms and debt reduction strategies.

Sources

• WMUR article on the government shutdown deal featuring Shaheen Hassan: https://www.wmur.com/article/government-shutdown-deal-shaheen-hassan-11092025/69300293
• Office of Management and Budget briefing on the CR (PDF, 1.2 MB): https://www.whitehouse.gov/omb/briefing/2025/09/10/federal-funding-cr-2025
• New Hampshire Department of Health and Human Services announcement on continued federal funding: https://www.nh.gov/hhs/news/2025/09/12/federal-funding-continued
• Congressional Budget Office report on FY 2025 discretionary spending: https://www.cbo.gov/sites/default/files/2025-09/2025-FY-Discretionary-Report.pdf

These documents collectively provide a comprehensive view of the funding arrangement, its financial implications, and its expected impact on state and federal operations.