If Congress and President Donald Trump fail to agree on a new budget by midnight Tuesday, federal agencies will be left without funding.
What will happen during a US government shutdown?
This will result in hundreds of thousands of employees being forced to take unpaid leave, and the operations of many government departments will be disrupted.
Why is the shutdown happening?
Every year, Congress is required to approve spending bills. However, due to political disagreements, this process is being delayed. Short-term funding measures are typically adopted as a temporary solution, but the current law expires on September 30, and an extension agreement has not yet been reached.
Which services will continue to operate?
Social Security, Medicare, and Medicaid will continue to operate, but some employees will be furloughed.
- SNAP and WIC food programs will continue to operate, but with limited funding.
- The US Postal Service will operate as usual, as it is funded separately from the congressional budget.
- Airports – Air traffic controllers and TSA employees will continue to work, but without pay until the crisis ends.
- Military – About 2 million service members will remain on duty, but also without pay.
- Law enforcement agencies (FBI, DEA, Coast Guard) will remain operational.
- Border and immigration – Services will continue to operate, as the administration has declared illegal immigration a national threat.
What will be closed or restricted?
Federal courts – Funds for their operation may run out in just a few days.
The Internal Revenue Service (IRS) – will be open only for a limited time, after which some employees will be furloughed.
Small businesses – No new loans from the Small Business Administration will be issued, except for disaster relief.
Research and reports – The publication of data on the labor market, GDP, and other macroeconomic indicators will be suspended.
Emergency Situation
FEMA has approximately $2.3 billion in reserves. This will allow it to respond to natural disasters, but some employees (approximately 4,000) will also be furloughed.
The United States government has come to a standstill as deep partisan divisions prevent Congress and the White House from reaching a budget agreement. The shutdown has already led to the suspension of key macroeconomic reports, including September’s employment data, while many federal research projects and services have also been put on hold.
