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DHS Funding Stalls: Trump, Democrats Reject Deal

Part of DHS Shutdown Over Immigration Funding Dispute

Araverus Team|Wednesday, March 25, 2026 at 9:01 PM

DHS Funding Stalls: Trump, Democrats Reject Deal

Araverus Team

Mar 25, 2026 · 9:01 PM

DHS Funding · Government Shutdown · Immigration Policy · Political Gridlock

DHS FundingGovernment ShutdownImmigration PolicyPolitical Gridlock

Key Takeaway

Continued government gridlock means operational disruptions for critical federal services and creates uncertainty for the economy. This means the travel and tourism sector, including airlines and airports, faces ongoing revenue losses and operational inefficiencies due to TSA shortages, directly impacting their bottom lines. A prolonged shutdown means broader market sentiment could deteriorate, signaling political instability and affecting investor confidence across various indices.

A proposal to fund the Department of Homeland Security (DHS) is on shaky ground as President Trump and Senate Democrats both decline to embrace the emerging framework, prolonging a 40-day shutdown impacting TSA and other federal employees.

After weeks of negotiations, Senate Republicans previewed a plan to fund the majority of DHS, excluding Immigration and Custom Enforcement's (ICE) enforcement and removal operations division. This GOP plan failed a procedural vote as Democrats demand significant reforms to ICE tactics, citing two U.S. citizens killed in Minneapolis earlier this year.

President Trump, conversely, insists on including an unrelated overhaul of federal elections, the SAVE America Act, vowing not to sign other bills until it passes. The shutdown has led to "highest wait times in history" at airports, with TSA absences topping 40% and 480 officers quitting, according to TSA acting administrator Ha Nguyen McNeil.

Senate Democrats, including Sen. Tim Kaine, advocate funding all other agencies while setting aside ICE, noting ICE officers are paid from $75 billion in separate funds from Congress last summer.

Republicans are now exploring a second reconciliation effort to pass ICE funding and parts of the SAVE America Act without Democratic support, a process Senate Budget Chair Lindsey Graham supports, but Sen. Mike Lee expresses skepticism about its feasibility under Senate rules.

Thread Timeline: DHS Shutdown Over Immigration Funding Dispute

Mar 23, 2026Trump Threatens Airport Disruption with ICE Deployment
Mar 24, 2026Congress Nears DHS Funding Deal, Excludes ICE
Mar 24, 2026Trump Demands Voter ID, Blocks DHS Funding
Mar 25, 2026CLEAR Downloads Surge 630% Amid Airport Chaos
Mar 25, 2026

DHS Funding Stalls: Trump, Democrats Reject Deal(current)

Read More On

Lawmakers accused each other Wednesday of being too politically timid to strike a deal to end the standoff over U.S. immigration enforcementwsj.comDHS funding deal on shaky ground as Trump and Democrats both decline to embrace it - NPRnpr.org