A government shutdown occurs when Congress fails to pass a budget or a continuing resolution (CR). This results in some federal agencies and departments being forced to stop operating until the funding issue is resolved. Some of the agencies affected are those whose operations are deemed essential such as border protection, air traffic control, law enforcement and medical services including Medicare and Medicaid. Mandatory programs that are funded through permanent user fees such as visa fees also continue. Additionally, courts and congressional staff are protected based on a 1980 legal opinion.
Over two million people across the nation work for the federal government and miss a paycheck during a shutdown. This puts financial stress on their households and has a negative impact on local economies.
The impact on low-income communities is significant. Many of the federal programs impacted are vital to these residents, including food assistance and housing assistance. The loss of these programs can lead to hunger, homelessness and a loss in economic activity. This impact is multiplied when the length of a shutdown goes beyond just a few days.
The longer this shutdown continues, the more low-income families’ wages, nutrition, health, mobility, and safety will needlessly hang in the balance. The harm and uncertainty caused by this callous policy will take years to repair. The best way to avoid a government shutdown is for Congress and the president to reach agreement on full-year spending or, at the very least, to pass a short-term CR that extends funding through September 30.