How Trump and Elon Musk Derailed Bipartisan Plans for a Funding Bill, Putting Shutdown at Risk

President-elect Donald Trump likely dealt a fatal blow to bipartisan budget negotiations in Congress, dismissing the measure as full of giveaways for Democrats after billionaire ally Elon Musk sparked outrage over the bill and encouraged Republican lawmakers who announced their opposition.

Trump's joint statement Wednesday with Vice President-elect JD Vance stopped the bill in its tracks and punctuated a torrent of social media posts from Elon Musk attacking the legislation for what he described as excessive spending.

“Stop the theft of your tax money!” ” Musk wrote on his social media platform

The episode showed the growing political influence of Musk, a huge campaign donor and promoter of pro-Trump messages on X, the social media platform formerly known as Twitter that he purchased in 2022. Trump chose Musk alongside entrepreneur Vivek Ramaswamy to lead the department. of Government Efficiency, a non-governmental task force formed to find ways to lay off federal employees, cut programs and loosen regulations.

Rep. Andy Barr, a Republican from Kentucky, said his office was flooded with calls from constituents.

“My phone was ringing off the hook,” he said. “The people who elected us listen to Elon Musk.”

Elon Musk and President-elect Donald Trump on November 19, 2024 in Brownsville, Texas. Brandon Bell/Getty Images

In addition to maintaining government funding through March, the legislation included $110.4 billion in disaster aid, including $29 billion for FEMA's disaster relief fund, which been depleted following Hurricanes Milton and Helene. The 1,500-page bill also included funding for the reconstruction of Baltimore's collapsed Key Bridge, various health care provisions and an increase in Congressional salaries.

In his statement with Vance, Trump said Republicans should restart negotiations on the legislation, arguing that “anything else is a betrayal of our country.” He also called for including an extension of the debt ceiling while President Biden is in office.

“Raising the debt ceiling is not a good idea, but we prefer to do it on Biden's watch,” they said. “If Democrats won't cooperate now on raising the debt ceiling, what makes you think they would in June under our administration? Let's have this debt ceiling debate now.”

Then, in an interview with CBS News on Thursday, Trump said he thought “the debt ceiling should be removed entirely.”

Trump's opposition to what was seen as must-pass legislation reinjected a sense of uncertainty and brinkmanship that was reminiscent of his first term. It was a dramatic turn of events for House Speaker Mike Johnson, who negotiated the bill and was undermined by Trump as he faces re-election to his post in just weeks. Republicans have a slim majority, raising the possibility of a repeat of the leadership conflicts that paralyzed the House a year ago.

Many lawmakers were in the middle of holiday parties and celebrations with their staffs when Trump spoke out against the legislation.

“I've been here 14 years, OK? So nothing here surprises me anymore,” said Rep. Steve Womack, a senior Republican from Arkansas. “We shouldn’t be in this mess.”

The Biden administration has criticized the possibility of a shutdown.

“Republicans must stop playing politics with this bipartisan deal, or they will harm American workers and create instability across the country,” said White House press secretary Karine Jean-Pierre.

Grover Norquist, president of Americans for Tax Reform and a veteran of budget battles in Washington, expressed concern about the lack of a clear plan to resolve the dispute.

“There has to be a second part of the strategy,” he said.

Norquist expressed enthusiasm for Musk's ability to focus public attention on efforts to reduce the size of government. But he suggested the owner of a space rocket company was not the right person to lead a spending debate in Congress.

“He doesn’t know politics like he knows physics,” he said.

But others were excited about Musk's involvement.

“In five years in Congress, I have been waiting for a fundamental change in the dynamic,” said Rep. Dan Bishop, Republican of North Carolina. “He has arrived.”

Musk began criticizing the measure as soon as it was released Tuesday evening, and he continued to speak out about it Wednesday.

“Any member of the House or Senate who votes for this outrageous spending bill deserves to be voted out in 2 years!” he wrote. He also called it “one of the worst bills ever written.”

Musk has sometimes amplified false claims, such as the idea that the legislation included $3 billion for a new football stadium in Washington. In effect, the legislation would transfer ownership of the land from the federal government to the city, clearing the way for possible development.

This follows a trend observed in CBS News' analysis of his posts during election season, when Musk frequently shared false narratives about the election and amplified right-wing extremist voices to his millions of supporters.

Musk seemed emboldened by experience fighting the funding bill.

“The voice of the people has been heard,” Musk wrote. “It was a good day for America.”

House Democratic Leader Hakeem Jeffries said the consequences would be Republicans' fault.

“You break the bipartisan agreement, you assume the consequences that flow from it,” he wrote on X.

Robert Costa contributed to this report.

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