A significant portion of the U.S. Department of Homeland Security (DHS) ran out of funding after bipartisan negotiations over restrictions on Immigration and Customs Enforcement (ICE) faltered, triggering a partial government shutdown that affects several agencies and operations within the department.

Funding for DHS expired early Saturday after talks between the White House and congressional Democrats broke down.

The impasse centred on Democratic demands for new oversight measures on immigration enforcement, including restrictions on ICE tactics and requirements for warrants, body cameras and identification for agents, in response to high-profile incidents in Minneapolis and broader concerns about enforcement practices.

Republicans and the White House rejected many of these proposals as unworkable or extreme, leaving the standoff unresolved.

As a result of the funding lapse, operations of agencies under the DHS umbrella such as the Transportation Security Administration (TSA), the Federal Emergency Management Agency (FEMA), the U.S. Secret Service and the U.S. Coast Guard are now operating without new appropriations, though most employees designated as essential continue to work without pay.

Lawmakers from both parties have departed Washington for recesses or international engagements, leaving negotiations on hold.

ICE and Customs and Border Protection (CBP) will largely remain operational because they already received substantial funding through last year’s “One Big Beautiful Bill” Act, which provided tens of billions of dollars in appropriations for border enforcement and related activities.

That prior funding ensures core immigration enforcement can continue despite the wider DHS funding lapse.

Officials warn that disruption to functions such as airport security screening, disaster assistance coordination and maritime safety could intensify the longer the shutdown persists, with travel delays, delayed reimbursements to states and strain on frontline personnel among the immediate concerns.

Transportation security officers, for example, may face missed paychecks in coming weeks, potentially leading to staffing challenges.

The shutdown marks the third such lapse under the current presidential term and reflects deepening partisan divisions over immigration policy.

Democratic leaders have pledged not to approve additional funding for DHS without meaningful reforms to enforcement practices, while Republican leaders argue that political demands are being used to leverage unrelated policy changes.

With Congress recessed for at least ten days, analysts expect the partial shutdown to endure unless negotiations resume or a short-term funding measure is agreed.

The budgetary stalemate underscores the challenge of reconciling security priorities with calls for enhanced oversight and reform, particularly in an environment where immigration enforcement has become a flashpoint in national politics.