Conservatives recoiled at the idea of Mr. Trump embracing what they call amnesty for lawbreakers in granting the Dreamers legal status. The White House said that no deal had been reached. Mr. Trump tweeted: “No deal was made last night on DACA. Massive border security would have to be agreed to in exchange for consent.” He said that would include “the wall.”
The new fiscal year began without Congress passing any of the 12 appropriations bills necessary to fund the government. The federal government was now operating on stopgap bills that maintained spending at the previous year’s levels. Funding for the Children’s Health Insurance Program was allowed to lapse.
With a government shutdown looming, Democrats agreed to a two-week stopgap spending measure that did not include legislation to legalize the Dreamers. The bill gave lawmakers more time to try to work out a bipartisan compromise on the immigration issue.
Democrats and Republicans agreed to another stopgap spending measure without immigration legislation, after securing a promise from Republican leaders to consider an immigration bill if a bipartisan compromise was reached after the first of the year. Passage of the stopgap measure angered some Democrats, who said they should have held out on behalf of the Dreamers.
A bipartisan group of senators announced that they had reached a deal on immigration legislation that would legalize Dreamers, add to border security, end the so-called diversity visa lottery, and consider restoring temporary protections for Haitians and others in the United States because of disasters. Later, in an Oval Office meeting with Senator Richard J. Durbin, Democrat of Illinois, and Senator Lindsey Graham, Republican of South Carolina, to discuss their compromise legislation, Mr. Trump grew angry and derided African nations and disparaged Haiti.
The House passed a one-month stopgap spending measure without addressing the status of the Dreamers. Senate Democrats united around demands that any spending bill must protect the Dreamers, expand federal intervention in the opioid crisis, assist hurricane-battered Puerto Rico, and include an agreement on a longer-term budget deal that would raise strict spending caps on military and nonmilitary spending.
Much of the federal government shut down at midnight after the stopgap spending measure ran out amid gridlock in the Senate. Most Democrats and a handful of Republicans followed the lead of Mr. Schumer, who refused to agree to a short-term spending plan without legislation to protect the Dreamers and address other Democratic priorities. Republicans called it the “Schumer Shutdown.”
The three-day shutdown ended after the Senate reached an agreement that included another short-term measure to fund the government through Feb. 8 and a pledge by Senator Mitch McConnell, the majority leader, to allow an immigration vote in the coming weeks. The temporary deal set the stage for a battle over the Dreamers.
The president proposed immigration legislation that would provide a path to citizenship for nearly 1.8 million young undocumented immigrants in exchange for $25 billion for a border wall and significant changes to limit legal immigration. Mr. Trump called it “extremely generous,” but Democrats, some Republicans and immigrant rights activists rejected it outright.
Even as congressional negotiators closed in on a spending deal that would avoid dealing with the immigration issue, Mr. Trump surprised lawmakers by insisting that he would welcome a shutdown over immigration.
Mr. McConnell and Mr. Schumer announced a deal on a long-term spending plan that would significantly increase both military spending — a key to winning Republican support — and Democratic domestic priorities. The plan, if passed, would officially reject Mr. Trump’s efforts to use the federal budget to reorder the nation’s priorities and attack the bureaucracy.