US Senate fails to advance Homeland Security funding bill
The US Senate failed to advance a funding bill for the Department of Homeland Security on February 12, 2026, effectively ensuring a shutdown as lawmakers departed for a scheduled recess. The vote, which ended 52 to 47, saw nearly all Democrats oppose the measure due to ongoing disputes over immigration enforcement restrictions. With funding set to lapse on February 13, this would mark the third government shutdown in five months, impacting essential services such as airport security and disaster relief.
U.S. Consumers Bear 90% of Trump Tariff Costs
The Federal Reserve Bank of New York reported that U.S. consumers and businesses are responsible for 90% of the costs associated with tariffs imposed by President Donald Trump, countering claims that foreign companies would bear the burden. The average tariff rate on imported goods rose from 2.6% to 13% in 2025, with the analysis indicating that exporters did not lower prices, resulting in nearly complete pass-through of tariff costs to U.S. import prices.
House Votes to Challenge Trump's Tariffs on Canada
The House voted 219-211 to challenge President Donald Trump's tariffs on Canada, marking a rare bipartisan rebuke from Republicans and Democrats alike. The resolution aims to end the national emergency declared by Trump to impose the tariffs, although actual policy reversal would require the president's approval, which is unlikely. This vote reflects growing unease among lawmakers regarding the economic impact of Trump's trade policies ahead of the midterm elections.
Judge Rules Against Hegseth in Kelly Free Speech Case
A federal judge ruled that Defense Secretary Pete Hegseth cannot penalize Senator Mark Kelly for a video in which he advised servicemembers that they can refuse illegal orders, citing a violation of Kelly's First Amendment rights. U.S. District Judge Richard Leon stated that the Pentagon's actions threatened the constitutional liberties of military retirees and emphasized the importance of their contributions to public discourse. Hegseth announced plans to appeal the ruling.
