Asking for a change in rules to get a MS rather than end the program with no degree
In addition to the suggestion given in Nicole Hamilton's answer, and provided that you are making good progress in your degree, you still have several options:


You could see if someone else in the department has funding to support another student.
You could see if colleagues in other departments at your institution doing work related to your thesis area.
You could ask if the department will help you in transferring to another program.


The big question here is why you're being let go. If it's really that funds are low, and it's through no fault of your own, then the department owes you the right to continue in the program, or help you to continue your studies. On the other hand, if they're saying "we don't want to spend more money on you," then it'll be a lot harder to get help.

As far as awarding a duplicate degree, that's probably not decided at the department level, but instead probably requires a higher-level signoff.