<h1>White House uses federal shutdown to selectively cut grants and projects in opposition areas, risking layoffs and political fallout</h1> The federal shutdown has been embraced by the White House as a chance to cut spending, with targeted cancellations of grants and projects in states that favored the opposition, and threats of mass federal firings. Congressional Republicans say they hold the upper hand but express concern the administration's selective cuts could squander political advantage and complicate negotiations to reopen government. Democrats portray the moves as partisan overreach and tie local GOP lawmakers to resulting job and project losses in competitive districts. The dispute has prolonged talks, risks layoffs and program suspensions, and could produce near-term electoral and legislative repercussions for both parties.