The government shutdown that has lasted close to five weeks is putting food benefits for nearly 42 million Americans through the Supplemental Nutrition Assistance Program (SNAP) in jeopardy in the near term, though a court order instructs the Administration to use emergency funding for the benefits this month. There were no breakthroughs announced over the weekend on the government funding impasse rooted in a partisan dispute over whether to attach an extension of enhanced Affordable Care Act (ACA) premium tax credits. There are elections for Virginia and New Jersey governor and other state contests November 4.

The government funding debate has always focused on sequencing of legislative actions: Republicans won't discuss extending the enhanced premium credits until Democrats provide the necessary votes to reopen the government, while most Senate Democrats won't vote to reopen the government without an extension of the credits. On "Fox News Sunday," House Speaker Mike Johnson (R-LA) suggested it was a problem of the other party's making. "Remember, the Democrats are the ones that created the system that is failing us. They created Obamacare," he said. "They said it was going to bring down costs. It's done exactly the opposite. Premiums, by some estimates, are up 60% since Obamacare was created in 2010. So, it's the Republican Party that is going to bring down the cost, not the Democrats."

President Trump has been traveling in Asia, which led to lowered expectations for any government funding breakthroughs that he would undoubtedly need to be a part of. Now that he is back, Democrats say it is time for him to negotiate. "I hope it ends it this week … We knew this wasn't going to end unless Donald Trump was back in the country. He's now back in the country," Senator Mark Warner (D-VA) said on CBS' "Face the Nation." "It's going to require Trump in the room … The notion of at least sitting down to talk about health care, making sure that $6 billion that is set aside for SNAP benefits gets paid out so people don't go hungry, and we get the government reopened … Come sit down and let's get this resolved."

Asked whether he is optimistic about such a meeting happening this week, Senator Warner said, "Get the darn thing open, deal with the health care cliff. Don't let people go hungry when we've got money set aside on SNAP. That can all be accomplished. Sooner, the better."

Some Republicans said they expect Democrats to look to negotiate after Tuesday's elections. "After New Jersey's gubernatorial race, after Virginia's governor's race, they're going to come out. They're going to look for an exit ramp because they know they're losing," Senator Mark Wayne Mullin (R-OK) said on Fox News on Friday.

Trade — While Treasury Secretary Scott Bessent's Sunday television interviews mostly focused on other burgeoning trade agreements, he was asked on CNN's "State of the Union" about President Trump saying he would impose a 10% additional tariff on Canada because he didn't like an ad featuring President Reagan talking about tariffs. Secretary Bessent said, "Well, he hasn't put on a 10% tariff. He threatened to put on a 10% tariff. It hasn't been put on yet."

On whether the additional tariff might not be imposed, Bessent said, "We will see. I do think it was a big setback for the Canadian government."

The Supreme Court is scheduled to begin consideration of the President's authority to impose tariffs under the International Emergency Economic Powers Act (IEEPA) on November 5.

Tax — While the shutdown having lasted into November makes it increasingly difficult to envision a potential year-end tax bill, it is well-known that members of both parties are interested in rolling back the "One Big Beautiful Bill Act" (OBBBA) 90% deduction limit for gambling losses that takes effect in 2026 and reinstating the prior 100% deduction. Politico Inside Congress this morning reported Sen. Jacky Rosen (D-NV) as saying of the gambling deduction limit, the "Finance Committee has been working on it" as well as members off the panel. The report noted, "Finance Chair Mike Crapo has said he would not oppose an effort to restore the limitation if his colleagues pushed for it, and House Ways and Means Chair Jason Smith has committed to reversing it."

Retirement — Republican Senators Bill Cassidy (R-LA) and Jim Banks (R-IN) last week introduced a pair of bills aimed at preventing retirement fund managers from factoring in environmental, social, and governance (ESG) issues in investment choices:

• S. 3083 (Banks) to ensure that pension plans provide notice to participants and beneficiaries on risks associated with certain investments
• S. 3086 (Cassidy) to clarify the criteria by which a fiduciary may evaluate and select investments based on nonpecuniary factors, and to clarify the application of prudence and exclusive purpose duties to the exercise of shareholder rights

Senator Cassidy had praised the Labor Department's September announcement that it will reconsider the extent to which fiduciaries may prioritize ESG factors in investment decisions. The debate over whether retirement fund managers should be able to consider ESG factors like climate change and labor conditions has amounted to ideological ping-pong since 2020, when the first Trump administration's Department of Labor prohibited fund managers from considering "nonpecuniary" (non-financial) factors. That move was later reversed under the Biden administration's DOL, and the second Trump administration's DOL is now reinstating the prohibition. The House Education and the Workforce Committee in June approved the Protecting Prudent Investment of Retirement Savings Act (H.R. 2988), to specify requirements concerning pecuniary and non-pecuniary factors under the Employee Retirement Income Security Act.

Redistricting — On Friday, October 31, Ohio lawmakers approved a new congressional map that increases chances of Republicans taking over two districts currently represented by Democrats. Republicans currently represent 10 districts in the state, compared with five for Democrats. The new map could make it more difficult for Democratic Reps. Greg Landsman (D-OH) and Marcy Kaptur (D-OH) to win reelection in the Cincinnati area and Toledo, respectively, the Hill reported. The Columbus Dispatch reported that Democrats voted for the new map because it would likely spare Rep. Emilia Sykes (D-OH), who represents a seat in Akron, while keeping a separate seat in Cincinnati competitive.

The Washington Post reported that Democrats in the Virginia Senate on Friday voted to advance a constitutional amendment that could allow the General Assembly to redraw congressional districts next year. Additionally, in Tuesday's elections, California will put the redistricting issue before voters in a referendum that could result in more Democratic seats.

Congress — The House is in recess for a sixth straight week.

The Senate will convene at 3 p.m. today (Monday, November 3) for morning business. At 5:30 p.m., the Senate will vote on cloture (ending debate) on the nomination of Eric Chunyee Tung to be a U.S. Circuit Judge for the 9th Circuit. If cloture is invoked, the confirmation vote will take place Wednesday.

On Tuesday, the Senate will vote on the confirmation of Joshua D. Dunlap to be a U.S. Circuit Judge for the 1st Circuit. Later on Tuesday, the Senate is also scheduled to take another in a series of votes to end debate on the continuing resolution (CR) to fund the government (H.R. 5371). Cloture has failed on several previous votes.