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ABC News

Government shutdown updates: Leavitt says Trump exploring cutting aid to Portland

PHOTO: White House press secretary Karoline Leavitt speaks in the James Brady Press Briefing Room at the White House, Oct. 3, 2025, in Washington.
3:58
Saul Loeb/AFP via Getty Images
White House: Cuts to federal programs, firings 'very real'
By Kevin Shalvey, Megan Forrester, Ivan Pereira, David Brennan
Last Updated: October 3, 2025, 2:10 PM

The federal government remains closed amid a bitter impasse on Capitol Hill over competing congressional spending bills.

President Donald Trump and Republicans have cast blame for the shutdown on Democrats' health care demands, while Democrats insist Republicans need to negotiate.

The Trump administration has threatened mass layoffs of some federal workers during the shutdown.

Key Headlines

  • House cancels votes next week, including vote on Epstein files
  • Republican senator rebukes Trump targeting blue states
  • Leavitt brushes off criticism of Trump's trolling as firings loom
Here's how the news is developing.

Oct 03, 2025 2:10 PM

Vought cancels federal funding for Chicago transit projects

Vought and the Department of Transportation announced Friday that the federal government would be withholding funds for two Chicago Transit Authority projects, the CTA Red Line Extension and the CTA Red and Purple Modernization Program.

The DOT said it was probing whether CTA was involved with "unconstitutional practices" where it promoted "race- and sex-based contracting and other racial preferences as a public policy."

PHOTO: A Chicago Transit Authority train pulls into the new Damen Ave. station just two blocks from the United Center, Aug. 12, 2024.
Charles Rex Arbogast/AP
A Chicago Transit Authority train pulls into the new Damen Ave. station just two blocks from the United Center, Aug. 12, 2024.
Charles Rex Arbogast/AP

The announcement came days after Vought withheld funding for New York and New Jersey-based transit infrastructure funding for the same reason.

"Together, these critical reviews are intended to ensure no additional federal dollars go towards discriminatory, illegal, and wasteful contracting practices," DOT said in a statement.

Chicago Mayor Brandon Johnson didn't immediately comment.

-ABC News' Ayesha Ali


Oct 03, 2025 1:47 PM

Trump posts more deep fake videos taunting federal cuts, Jeffries

President Donald Trump took to social media Friday to troll Democrats and critics with AI-generated videos.

In one post, the president posted an AI-generated video depicting OMB Director Russ Vought as the Grim Reaper as the administration threatens mass layoffs for federal workers.

PHOTO: President Donald Trump answers questions while childhood cancer survivors and their families gather in the Oval Office at the White House, September 30, 2025 in Washington.
Win McNamee/Getty Images
President Donald Trump answers questions while childhood cancer survivors and their families gather in the Oval Office at the White House, September 30, 2025 in Washington.
Win McNamee/Getty Images

"Russ Vought is the Reaper. He wields the pen, the funds, and the brain. Here comes the Reaper," someone sings in the video as Vought is depicted walking through the Capitol as the character.

In another post, Trump posted another AI video of him hitting House Minority Leader Hakeem Jeffries with a "TRUMP 2028" hat while they were seated in the White House.

Jeffries, who was the subject of a deep fake post by Trump earlier in the week, has not immediately responded.

-ABC News' Lalee Ibssa


Oct 03, 2025 9:55 AM

Senate to again vote Friday on stopgap-funding bills

The Senate is scheduled to reconvene Friday and take up two stopgap-funding bills -- one sponsored by each party -- that could end the government shutdown that began Wednesday.

Friday’s session is scheduled to begin at 11:30 a.m. ET, with voting expected in the afternoon.

PHOTO: A view of the U.S. Capitol dome in Washington, Oct. 2, 2025.
Nathan Howard/Reuters
A view of the U.S. Capitol dome in Washington, Oct. 2, 2025.
Nathan Howard/Reuters
Shutdown in Day 2 with no end in sight, looming federal firings

Democrats on Wednesday blocked, for the third time, a stopgap funding bill offered by Republicans. Democrats are insisting that any solution address their demands on health care before they vote to advance it.

No votes were held on Thursday, as the Senate broke for Yom Kippur.

PHOTO: Senate Majority Leader John Thune speaks during a news conference on the Upper West Terrace of U.S. Capitol Building on October 1, 2025 in Washington, DC.
Andrew Harnik/Getty Images
Senate Majority Leader John Thune speaks during a news conference on the Upper West Terrace of U.S. Capitol Building on October 1, 2025 in Washington, DC.
Andrew Harnik/Getty Images

Senate Majority Leader John Thune on Thursday again placed the blame for the shutdown on Democrats, saying they were "playing a losing game" by not supporting the House-passed Republican bill, which would provide government funding for seven weeks.



Oct 02, 2025 11:37 PM

Trumps and Vances have dinner together

Trump and first lady Melania Trump are having dinner at the Vice President’s Residence with Vice President JD Vance and second lady Usha Vance, the White House confirmed.

-ABC News’ Hannah Demissie


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