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White House holds firm on shutdown, signals federal layoffs and funding cuts

White House Press Secretary Karoline Leavitt said the president has to make tough decisions during the shutdown.
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The White House is standing firm in its position that there will be no negotiations with Democrats while the government remains shut down.

Republican leadership has said such discussions could take place only after the government reopens, but officials have not engaged in any substantive policy talks while the shutdown continues.

In the meantime, the administration has taken steps that appear aimed at increasing pressure on Democrats. On Wednesday, the White House announced the cancellation of tens of billions of dollars in federal grants, much of it directed to Democratic-led states that backed Vice President Kamala Harris in the last election. That includes $18 billion for transportation projects in New York and $8 billion in green energy funding across about 16 states.

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The administration is also weighing mass layoffs of federal employees. President Donald Trump wrote on Truth Social on Thursday that he will meet with Office of Management and Budget Director Russ Vought, who has been leading the push for potential layoffs. Trump said the meeting will determine which “Democrat Agencies” to target, adding that he “can’t believe the Radical Left Democrats gave me this unprecedented opportunity.”

"We're going to look at agencies that don't align with the administration's values, that we feel are a waste of the taxpayer dollar, and look, unfortunately, these conversations are happening because we don't have any money coming into the federal government right now," Leavitt said.

Kevin Hassett, a top White House aide on the National Economic Council, added that the administration is using the tools available to it under the shutdown.

"President Trump, from the beginning, has decided and pushed hard for the cabinet secretaries — that government is too large and that the government can be made smaller," he said. "That's something that's been going on throughout the year. The Democrats, if they continue to shut things down, could actually make that process accelerate."

White House aide Kevin Hassett weighs in on the government shutdown

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