Why does a government shutdown happen?
A government shutdown occurs when Congress doesn’t enact the 12 annual appropriation bills. These are bills that set levels of funding for various federal agencies and programs. When that happens federal agencies must stop all functions until Congress acts.
Federal agencies aren’t allowed to spend any money without a different approval from Congress. If legislators enacts some appropriations bills but not all twelve, agencies without the appropriation bills have to shut down. That is known as a partial shutdown.
A shutdown can cause a disturbance in the sectors of the economy. For example, a Partnership for Public Service report noted that the last government shutdown stopped two major Small Business Administration loan programs. Those programs, in most cases, distribute almost $200 million dollars a day to small and midsize U.S. businesses. Not having access to such loans delays business plans. Additionally, it causes economic difficulty for thousands of entrepreneurs and their employees. Also, shutdowns impact regulatory offices. Such as the alcohol and tobacco tax, and the Trade Bureau in the Department of Treasury.
What happens during the shutdown?
When the shutdown happens staff members who work for the government are ordered not to work. The staff will be paid after the shutdown is done. The staff is paid when the shutdown is done because of a law made in the year 2019. Staff members who work for law enforcement continue to work but they don’t receive a salary. They keep working until the Congress does something about the shutdown.
Shutdowns can possibly slow the process of request for government benefits. They also lead to closed visitor centers and bathrooms at parks. A government shutdown also can lower the amount of food examinations and other problems. They are adequate enough that the White House Office of Management plans that the government keep in case of a shutdown.
Courts
In 1981, an attorney stated the president is able to continue his duty while a shutdown happens. Because of what the attorney said, lawyers and Congress decided they can continue to work as well. However, a few judicial and congressional staff are suspended from working.
Additionally, the Administrative Office of the U.S. Courts prolonged work during a shutdown. They draw payments they have gathered from not having any new hires and non case related travel.
Congress
The White House has already threatened to veto the defense bill. The resolution agreement is unlikely to be successful with Democrats and become a law. It would force a spending amount of more than 8% on agencies besides the defense department and Department of Veterans Affairs. That also includes immigration and border security restrictions. But that would also mean there no funding’s for Ukraine.
The Republican-controlled House and Democratic-led Senate have until September 30, 2023 to pass spending legislation that President Joe Biden can sign into a law. McCarthy who has a 221-212 majority will be okay with losing less than four votes to pass legislation. Which is what the Democrats unite in opposing.
Written by Markita Thomas
Sources :
Brookings – What is a government shutdown ? And why are we likely to have another one ?
The Peter G. Peterson Foundation – Four reasons why a government shutdown is harmful
The Guardian – Republicans seem even further from resolutions as US shutdown deadline nears
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Inset Image Courtesy of fdecomite Flickr Page – Creative Commons License
