House at a STANDSTILL: Democratic Senator Chuck Schumer warns the U.S. is in a ‘dangerous’ situation – with 40 days until government runs out of money, Ukraine funds drying up and NO Speaker

Business in the housing sector is now at a standstill following the ouster of Kevin McCarthy from the presidency – and any legislative movement to prevent government spending within 40 days will be delayed by more than a week.

Pennsylvania Republican Rep. Brian Fitzpatrick warned reporters on Tuesday what would happen if McCarthy were removed: “You all need to know this: If we leave the seat, the government will shut down.”

He also warned that rising interest rates could plunge the US further into debt.

“Our credit will go down, interest rates will go up if they go up one percent, one percent on $33 trillion, what is that? $330 billion.”

“Ukraine will become a victim and lose that war to Russia.”

Congress is running on borrowed time for now: On Saturday, McCarthy introduced a continuing resolution, CR, or emergency bill to extend funding at 2023 levels through Nov. 17, on the floor of the House of Representatives seeking a shutdown at the eleventh hour.

It was that CR that prompted his overthrow: Florida Republican Party Rep. Matt Gaetz had promised to table the motion to vacate the party if McCarthy put a CR on the table.

After McCarthy’s chaotic resignation, Financial Services Chairman Patrick McHenry was named interim speaker. He sent the rank-and-file members home until Tuesday to “cool down” and map out a route on who should be appointed speaker.

Most of the coming week could be consumed by the contentious battle over who will lead the House — with eight of 12 appropriations bills yet to be passed.

Rep. Tom McClintock predicted about McCarthy’s impeachment: “The House of Representatives will be paralyzed, we can expect fruitless votes week after week, with no other business to be transacted.”

Gaetz’s motivation for pushing McCarthy out was because he didn’t want a CR — he wanted the House to only take up twelve separate spending bills.

Senate Majority Leader Chuck Schumer acknowledged that the impeachment created a “dangerous situation.”

“The House of Representatives has come to a complete standstill,” he said in the Senate. “Until Republicans end their power struggle, the House of Representatives cannot vote on bills. No appropriations can be made.”

Spending bills traditionally come out of the House of Representatives before being passed by the Senate. The Senate has not passed any of the four appropriations bills passed by the House.

House Republicans have insisted they will move forward with 12 single-issue spending bills, rather than wading through an overarching omnibus package that would increase or decrease funding for the entire government in a single vote.

But to avoid an omnibus, the House must not only pass the appropriations bills but also work with the Democratic-led Senate to get a version of each bill through the Senate.

Senate Majority Leader Chuck Schumer acknowledged that the impeachment created a “dangerous situation.”

The CR passed by the House and Senate provided $6 billion in disaster relief and reauthorized the FAA through the end of the year. That did not include aid to Ukraine – which now faces an even more uncertain fate in the House of Representatives.

The White House has requested an additional $24 billion for Ukraine. That request will not only be delayed, but could be at the mercy of a speaker less favorable to supporting the war effort than McCarthy.

McCarthy had long pushed for oversight but was not outright against aid to Ukraine.

Judiciary Chairman Jim Jordan, who has emerged as an early front-runner for the next speaker, said he would oppose introducing a Ukraine package.

“The most pressing problem in the minds of Americans is not Ukraine,” he said.

If both chambers cannot agree on spending bills by November 17, the government is at risk of closure again unless Congress passes another CR or an omnibus bill.