Senate votes to approve government funding deal; Trump names Kevin Warsh as Fed chair nominee
This version of Trump Fed Chair Warsh Senate Government Shutdown Live Updates Rcna255850 - Politics and Government | NBC News Clone was adapted by NBC News Clone to help readers digest key facts more efficiently.
Since the House won't be back in session until Monday, there will be a brief government shutdown this weekend.
Highlights from Jan. 30, 2026...
- BIPARTISAN FUNDING DEAL: The Senate passed legislation this evening that would fund most departments through the end of September. The House could take up the measure as soon as Monday night, meaning a brief government shutdown will begin at midnight.
- EPSTEIN FILES: Deputy Attorney General Todd Blanche held a news conference this morning announcing the release of millions of pages of Jeffrey Epstein files.
- FED CHAIR: President Donald Trump named Kevin Warsh, a former member of the Federal Reserve Board of Governors, as his nominee to serve as chair of the central bank after Jerome Powell’s term ends this year. The choice ends a monthslong search for a successor to Powell, who has resisted fierce White House pressure to lower interest rates.
Trump names veteran economist to lead Bureau of Labor Statistics after firing agency’s chief
Trump announced tonight that he would nominate Brett Matsumoto, a longtime government economist, to lead the Bureau of Labor Statistics after firing the agency’s commissioner in August.
“Brett Matsumoto is a Brilliant, Reputable, and Trusted Economist who will restore GREATNESS to the Bureau of Labor Statistics,” Trump said in a post on Truth Social.
Trump fired former BLS Commissioner Erika McEntarfer in August hours after a dismal government report showed that hiring had slowed significantly in previous months. At the time, Trump claimed without evidence that the data was “rigged” and implied that McEntarfer had manipulated the numbers “for political purposes.”
BLS collects and publishes U.S. economic data on the labor market, inflation and productivity.
House could vote on government funding bill as early as Monday night
House Majority Leader Steve Scalise’s weekly schedule says the House will hold its first vote series at 6:30 p.m. Monday, meaning that’s the earliest lawmakers could vote on the government funding bill passed by the Senate tonight.
A vote on the funding package has not been officially scheduled for Monday, but it is listed as an item that may be considered.
In a statement tonight, House Minority Leader Hakeem Jeffries, D-N.Y., indicated that House Democrats want to see the Trump administration lay out an “ironclad path that dramatically reforms ICE and other DHS agencies.” He said this should be “done before the Congress reconvenes on Monday evening and legislation is brought to the House floor.”
While Jeffries said he spoke to Senate Minority Leader Chuck Schumer and House Speaker Mike Johnson this week about appropriations, he had no direct conversations with the White House about the matter.
IRS says it will continue processing tax returns during government shutdown
The Internal Revenue Service said tonight that its entire workforce will continue working if there is a government shutdown.
Tax season will proceed as normal, the IRS said, thanks to what it called “multiyear non expiring funding.”
The agency said a section of the Inflation Reduction Act makes available supplemental appropriations through Sept. 30, 2031, "for all IRS appropriation accounts." With that funding, it said, the service will not experience a lapse and "normal IRS operations will continue."
The IRS began accepting tax returns for this tax season on Monday morning.
OMB tells agencies to prepare for an 'orderly shutdown'
Russell Vought, director of the Office of Management and Budget, has advised the heads of the office's executive departments and agencies to prepare for an "orderly shutdown," according to a memo obtained by NBC News.
“As it is now clear that Congress will not complete its work before the expiration of appropriations, affected agencies should now execute plans for an orderly shutdown," the memo said.
The memo said it is the office's hope that "the lapse will be short," adding that “the Administration will continue working with the Congress to address recently raised concerns to complete appropriations" for 2026.
While the Senate successfully passed a spending bill earlier this evening, it still needs to agree on a DHS funding bill by Feb. 13 to avoid a shutdown. Any bill to extend that funding will need 60 votes to pass, meaning it will need both Democratic and Republican votes.
Senate passes bill to resolve shutdown clash, punting on DHS for two weeks
With time running out to prevent a government shutdown, the Senate passed legislation tonight that would fund most departments through the end of September, with one exception: the Department of Homeland Security, which oversees immigration enforcement.
DHS is funded on a short-term basis for just two weeks, a demand by Democrats as they insist on changes to rein in ICE and Customs and Border Protection after two high-profile killings of American citizens in Minneapolis by immigration agents.
The vote was 71-29.
The bill is the product of a deal between Trump and Senate Democratic leaders. It now goes to the House, where Speaker Mike Johnson, R-La., told members on a call today that he plans to hold a vote on it Monday, a source with knowledge said. That means there’ll be only a brief shutdown for most of the federal government starting on Saturday when money runs out.
Sen. Lindsey Graham held up shutdown deal over provision to let him and others sue DOJ
Trump and Senate Democrats have a deal to fund most of the government for the rest of the year. But for the past 24 hours, one of Trump’s closest allies, Sen. Lindsey Graham, had been blocking the Senate from quickly voting on the spending package.
Graham, R-S.C., dismissed the bipartisan agreement as a “bad deal” for Immigration and Customs Enforcement officers and other Department of Homeland Security personnel. He’s also furious about language in the deal that would repeal a provision allowing him and other Republican senators to sue the Department of Justice for potentially millions of dollars.
Graham was among eight Senate Republicans who would uniquely benefit from the provision, which allows senators to sue if their phone records were subpoenaed in a probe of Trump’s attempts to overturn the 2020 election without their knowledge. The probe sought records of phone calls, not the contents of the calls or messages.
“I want notification. What senator wouldn’t want notification that they’re looking at your phone?” Graham told reporters last night after he said he would not agree to a speedy vote on the funding deal.
Trump administration officials bail on secretaries of state gathering
Up to three Cabinet officials were expected to address a national conference of state election officials in Washington this afternoon. But ultimately, no one from the Trump administration showed.
White House aide Jared Borg said yesterday that Attorney General Pam Bondi and Homeland Security Secretary Kristi Noem would speak at the annual meeting of the National Association of Secretaries of State (NASS). Secretaries were told that Director of National Intelligence Tulsi Gabbard would also join.
But as the session scheduled for 3 p.m. was set to begin, Mississippi Secretary of State Michael Watson, the chair of NASS, informed a packed ballroom that it wouldn't be happening.
Some of the officials in attendance feared the Trump administration would use the gathering to berate the dozens of states that have refused to hand over state voter rolls to the Justice Department. The conference also took place in the wake of the FBI's raid this week of a Georgia election center for ballots and records related to the 2020 election, which Gabbard was present for.
“It’s so on brand for this administration to inject chaos and confusion into everything,” said Michigan Secretary of State Jocelyn Benson, a Democrat, while leaving the event. “The NASS conferences have always been somewhat kind of mundane, right? We’re not supposed to have fireworks and debates over these types of things, but here we are.”
NASS had informed Democratic secretaries of state that they would not be permitted to ask questions of the Trump officials, which Benson said was an“insulting” decision from an organization that state officials pay into.
“This presumed panel, then canceled, created — sowed a lot of seeds of distrust,” Benson added.
Trump orders up an IndyCar race in Washington
Trump signed an executive order today aimed at launching an IndyCar race on the streets of the District of Columbia this summer during the celebration of America’s 250th birthday.
The order, first reported by NBC News before it was signed, instructs the Interior and Transportation departments, working “in coordination with the Mayor,” to design a race route near the National Mall that “will showcase the majesty of our great city as drivers navigate a track around our iconic national monuments.”
Trump praises Warsh's looks
Taking questions from reporters in the Oval Office, Trump praised his new Fed nominee, Kevin Warsh, as "smart, very good, strong, young, pretty, young." He called him "the central casting guy that people wanted."
"I would say that this was the, you know, perfect candidate," he added. "This was not a surprise or anything. This was the man that's most qualified, top student, best schools. ... Got the whole package. Looks don't mean anything, but he's got the look."
Supreme Court to hear birthright citizenship case in April
The Supreme Court has announced the oral argument lineup for its session beginning March 23, with the blockbuster birthright citizenship case April 1.
The case will determine the lawfulness of Trump's contentious plan to roll back automatic birthright citizenship for nearly anyone born in the United States.
Birthright citizenship has long been understood to be required under the Constitution’s 14th Amendment, which states: “All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States.”
The language was included in the constitutional amendment enacted after the Civil War to ensure that Black former slaves and their children were recognized as citizens.
Florida congressman will try to expel Rep. Cherfilus-McCormick from the House next week
Rep. Greg Steube, R-Fla., said in a post on X that he will bring up a resolution next week to expel Rep. Sheila Cherfilus-McCormick, D-Fla., from the House.
Steube said in November that he would wait until the House Ethics Committee released a report of its investigation into Cherfilus-McCormick before he tried to expel her.
The committee released a report today alleging Cherfilus-McCormick engaged in “extensive misconduct,” including that she used her office for a wide range of personal benefits, such as directing community project funding to a for-profit entity, accepting campaign contributions linked to an official action and other actions.
The report includes a lengthy response in which Cherfilus-McCormick denies the allegations and asks that the charges be dismissed.
Now that the House Ethics Committee released its findings, Steube is moving forward. The Ethics Committee formed an adjudicatory subcommittee that will hold a hearing March 5.
Only six House members in history have been expelled. The most recent was former Rep. George Santos in 2023. Expulsion requires a two-thirds vote in the House.
DOJ's Todd Blanche will hold a news conference this morning about the Epstein files
Deputy Attorney General Todd Blanche is holding a news conference at 11 a.m. related to the Epstein files, two senior administration officials told NBC News.
Lawmakers face deadline to avert partial government shutdown
Lawmakers are facing a midnight deadline to avert a partial government shutdown over the future and funding of Immigration and Customs Enforcement operations and raids in cities across the United States. It comes after the Senate failed to pass a deal to continue to fund the government and comes as a surprise after Trump announced that both sides had come to an agreement on how to move forward. NBC’s Ryan Nobles reports for "TODAY."
New Zealand is latest U.S. ally to decline Board of Peace invitation
New Zealand has decided not to join Trump’s Board of Peace, its foreign minister said, joining more than half a dozen other U.S. allies that have declined their invitations.
Chaired by Trump, the Board of Peace was launched last week at the World Economic Forum in Davos, with dozens of countries invited to join. Though its purpose was originally presented as overseeing the reconstruction and administration of the Gaza Strip, its charter suggests a broader mandate “in areas affected or threatened by conflict,” raising concerns that it could undermine the United Nations.
“A number of states, particularly from the region, have stepped up to contribute to the Board’s role on Gaza, and New Zealand would not add significant further value to that,” Foreign Minister Winston Peters said in a post on X.
For New Zealand, a founding member of the United Nations, “it is important that the Board’s work is complementary to and consistent with the U.N. Charter,” he added. “It is a new body, and we need clarity on this, and on other questions relating to its scope, now and in the future.”
More than two dozen countries have said they will join the Board of Peace, including Middle Eastern powers such as Egypt, Saudi Arabia and Qatar, while a number of U.S. allies in Europe, including Britain, France, Germany and Ukraine, have declined to join at least for now. Others, including China and Russia, remain noncommittal.
Carney says he expects Trump administration to respect Canadian sovereignty
Canadian Prime Minister Mark Carney said he expected the Trump administration to respect Canadian sovereignty after reports that U.S. officials had met with fringe separatists seeking independence for the province of Alberta.
“We expect the U.S. administration to respect Canadian sovereignty,” Carney told reporters, echoing comments by Alberta Premier Danielle Smith. “I’m always clear in my conversations with President Trump to that effect.”
Carney said he and Trump had never discussed the issue of separatism in Alberta, a major oil producer that is generally considered the most conservative Canadian province.
Alberta separatists were buoyed last week when Treasury Secretary Scott Bessent said Albertans were “very independent” and “I think we should let them come down into the U.S.”
“People want sovereignty,” he said. “They want what the U.S. has got.”
Trump, who since returning to office has talked about making Canada the 51st state, has been ratcheting up his rhetoric against the longtime U.S. ally, threatening new tariffs and referring to the Canadian prime minister as “Governor Carney.”
Last night, in his latest trade war move, Trump accused Canada of refusing to certify jets from the U.S. company Gulfstream Aerospace and threatened to impose a 50% tariff on all Canadian aircraft sold in the U.S. in retaliation.
Democratic fault lines emerge over California’s billionaire tax proposal
A proposal to raise taxes on the wealthiest Californians has sharply divided Democrats in the biggest blue state in the country — and is poised to set up a broader debate for the party heading into the next presidential contest.
Clear battle lines have formed in recent weeks among the sprawling field of Democratic candidates in California’s open governor’s race this year, as well as among potential 2028 White House contenders in the state, over a “billionaire tax” that could appear before voters in the fall.
On one side, California Gov. Gavin Newsom, widely seen as a presidential hopeful, has lined up in opposition to the proposed ballot measure. So, too, have a handful of Democrats who are trying to succeed him as governor, including former Rep. Katie Porter, former Los Angeles Mayor Antonio Villaraigosa and former Health Secretary Xavier Becerra. They’ve argued the initiative would drive wealthy investors and tech leaders from the state.
On the other, Rep. Ro Khanna, who has his eye on a future White House bid, and billionaire gubernatorial candidate Tom Steyer have backed the effort, arguing that it would help close income inequality gaps.
Trump threatens tariffs on any country selling oil to Cuba, backing Mexico into a corner
Trump signed an executive order that would impose a tariff on any goods from countries that sell or provide oil to Cuba, a move that could further cripple an island plagued by a deepening energy crisis.
The order would primarily put pressure on Mexico, a government that has acted as an oil lifeline for Cuba and has constantly voiced solidarity for the U.S. adversary even as Mexican President Claudia Sheinbaum has sought to build a strong relationship with Trump.
Trump was asked by a reporter yesterday whether he was trying to “choke off” Cuba, which he called a “failing nation.” “The word ‘choke off’ is awfully tough,” Trump said. “I’m not trying to, but it looks like it’s something that’s just not going to be able to survive.”
Cuban Foreign Minister Bruno Rodríguez condemned the executive order Trump signed yesterday, calling it a “brutal act of aggression against Cuba and its people … who are now threatened with being subjected to extreme living conditions.” He accused the U.S. of resorting to “blackmail and coercion to try to force other countries to join its universally condemned blockade policy against Cuba.”
Elizabeth Warren calls Kevin Warsh's nomination an 'attempt to seize control of the Fed'
Sen. Elizabeth Warren, D-Mass., the top Democrat on the Senate Banking Committee, called Kevin Warsh’s nomination for Fed chair an attempt by Trump to "seize control" of the central bank.
“Donald Trump said anybody who disagrees with him will never be Fed Chairman," Warren wrote. "Former Fed Governor Kevin Warsh — who cared more about helping Wall Street after the 2008 crash than millions of unemployed Americans — has apparently passed the loyalty test.
“No Republican purporting to care about Fed independence should agree to move forward with this nomination until Trump drops his witch hunts of the current Chairman of the Federal Reserve and Governor Lisa Cook,” she wrote.
The current chair, Jerome Powell, said earlier this month that the Justice Department had subpoenaed the central bank with a threat of a criminal indictment related to his congressional testimony earlier this year about renovations to its headquarters.
Trump, meanwhile, has been trying to fire Federal Reserve board member Lisa Cook in a case that is before the Supreme Court. Trump's Justice Department has been investigating an allegation of mortgage fraud against Cook, which she has denied. Members of the Fed board can only be fired for cause. NBC News obtained bank documents earlier this year that appear to contradict the administration's allegation.
Trump says it's 'dangerous' for Britain to strengthen China ties
Trump warned it was “dangerous” for Britain to be getting into business with China, as British Prime Minister Keir Starmer continued a visit to Beijing aimed at resetting his country’s ties with the world’s second-biggest economy.
“It’s very dangerous for them to do that,” Trump told reporters in Washington, without elaborating.
Starmer, the latest in a series of Western leaders to meet with Chinese President Xi Jinping in Beijing, said yesterday that Britain wanted a “more sophisticated” relationship with China after years of tensions. Starmer told reporters before his trip that the U.S. was one of Britain’s closest allies and that London would not have to choose between Washington and Beijing.
Trump, who often touts his “great relationship” with Xi, says he is planning to visit China in April.
Asked about Trump’s comments, a spokesperson for the Chinese Foreign Ministry said Beijing was “willing to strengthen cooperation with all countries in the spirit of mutual benefit and win-win, to bring benefits to the people of all nations.”
Trump sues IRS and Treasury Department for $10 billion over leaked tax records
Trump is suing the IRS and the Treasury Department for $10 billion, alleging they failed to take the necessary steps to prevent a former IRS employee from improperly disclosing his tax returns, and those of his sons and his company, to news outlets.
The lawsuit, filed today at a federal courthouse in Miami, says Trump is suing in his personal capacity, not as president. The other plaintiffs include two of Trump’s sons — Donald Trump Jr. and Eric Trump — and the Trump Organization.
“Defendants have caused Plaintiffs reputational and financial harm, public embarrassment, unfairly tarnished their business reputations, portrayed them in a false light, and negatively affected President Trump, and the other Plaintiffs’ public standing,” the complaint says.
The Treasury and the IRS did not immediately respond to requests for comment last night.
Trump strikes deal with Democrats in government shutdown funding fight
Trump and Senate Democrats struck a deal yesterday to avert a prolonged shutdown for most of the federal government, according to Trump and Senate Minority Leader Chuck Schumer’s office.
The agreement would fund all of the government except for the Department of Homeland Security through September. DHS would operate on a two-week stopgap bill, according to five sources familiar with the agreement, in order to buy time to negotiate changes sought by Democrats following public outrage over the DHS killings of two U.S. citizens in Minneapolis.
Senators had hoped to vote on the deal last night but couldn’t resolve a handful of minor issues; the chamber will now aim to vote on today. The House, which returns to Washington on Monday, would then need to pass the legislation and send it to Trump’s desk for his signature.
Trump taps Kevin Warsh to chair Federal Reserve
Trump plans to nominate Kevin Warsh to the board of the Federal Reserve as a governor and the next chair of the central bank.
If confirmed by the Senate, Warsh would succeed Jerome Powell, whose tenure as chair ends in May. Warsh previously served on the central bank's Board of Governors from 2006 to 2011.
Trump announced the nomination in a post on social media this morning.
“I have known Kevin for a long period of time, and have no doubt that he will go down as one of the GREAT Fed Chairmen, maybe the best,” Trump wrote.
