• Congress is back in session with a government shutdown deadline looming.
• President Trump faces legal hurdles after a judge ruled his deployment of troops to Los Angeles was unlawful.
• A federal appeals court blocked Trump’s attempt to use the Alien Enemies Act to deport Venezuelans, escalating legal uncertainty.

WASHINGTON, D.C. (TDR) — Lawmakers returned to Capitol Hill Wednesday facing a crowded agenda and a ticking clock, with just weeks left to strike a deal before the September 30 shutdown deadline. At stake are billions in federal funding, paychecks for government workers, and the political credibility of both parties. For President Trump, the stakes are even higher: a federal judge has ruled his use of the National Guard in Los Angeles violated the Posse Comitatus Act, while an appeals court blocked his effort to deport Venezuelans under the Alien Enemies Act.

A Budget Crisis with No Easy Exit

Congressional leaders know that a shutdown would have immediate consequences. Military families could see delays in pay, federal agencies would grind to a halt, and services ranging from Social Security hotlines to small business loans would face disruption. Economists warn that even a short lapse could rattle markets and weaken confidence at a moment when inflation remains stubborn.

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House Speaker Mike Johnson, trying to project unity, has insisted Republicans will not allow Democrats to “bully us into wasteful spending.” Senate Majority Leader Chuck Schumer countered that hardline tactics risk “turning working Americans into collateral damage.”

The divide reflects deeper fractures within the GOP. Fiscal conservatives are demanding sweeping cuts, particularly in social programs, while defense hawks warn against squeezing the Pentagon as global threats escalate. Democrats, meanwhile, are prepared to hold firm on funding for health care, education, and social safety nets. The standoff sets the stage for a September showdown.

Courts Push Back on Executive Power

The legal turbulence surrounding the administration added new urgency to the Capitol’s return. Earlier this week, U.S. District Judge Charles Breyer ruled that Trump’s deployment of thousands of federalized Marines and National Guard troops to Los Angeles during immigration raids was unlawful, citing the Posse Comitatus Act, which bars military involvement in domestic policing.

“This case makes clear that the president is not above statutory limits,” said Lisa Green, a professor at Georgetown Law. “The judiciary is signaling that executive power cannot simply override constitutional norms.”

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At nearly the same time, the Ninth Circuit Court of Appeals ruled against the administration’s attempt to use the 1798 Alien Enemies Act to deport Venezuelans alleged to have ties to gangs. Judges wrote that the statute, originally designed for wartime conditions, cannot be stretched to cover present-day immigration enforcement. The ruling throws a wrench into the White House’s broader immigration agenda and sets the stage for a likely Supreme Court battle.

Legislative and Legal Agendas Collide

The convergence of legislative deadlines and legal setbacks could reshape fall politics. With government funding on the line, Republicans are weighing whether to rally behind President Trump or distance themselves to protect vulnerable members in swing states. For Democrats, the court rulings offer ammunition to argue that Trump is pursuing unlawful or outdated methods to push his policies.

“The courts are doing what Congress has been too timid to do: rein in an out-of-control executive,” argued Sen. Dick Durbin, the Democratic whip.

But Republicans such as Sen. Lindsey Graham countered that “activist judges are tying the president’s hands at a time when the country faces unprecedented security threats.”

The debate highlights how the balance of powers is playing out not only in Congress but also in the courts. Lawmakers are now pressed to decide whether to align with Trump’s expansive view of executive authority or reassert the institutional role of the legislature.

Looking Ahead

As the shutdown clock ticks down, both parties must weigh political risks. For Trump, legal battles threaten to overshadow his legislative agenda and feed narratives of executive overreach. For Congress, failing to reach a funding deal would confirm public suspicion of dysfunction and irresponsibility.

Financial analysts warn that uncertainty alone could cost taxpayers billions as interest rates rise and agencies prepare contingency plans. Federal workers’ unions are already mobilizing, promising protests if negotiations collapse.

With fall shaping up as a season of high-stakes confrontations, Washington finds itself staring down dual crises: a government on the verge of running out of money and a presidency under judicial fire.

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