why is the government shutting down

why is the government shutting down

Understanding the Reasons Behind Government Shutdowns

1. Introduction to Government Shutdowns

Answers to these and related questions are hampered by insufficient information and partisan spin. The most straightforward agreement to avoid or end a government shutdown is a “clean” continuing resolution (CR) – one without any conditions, limitations, or exceptions. Since this is a rare occurrence, it remains naïve to believe there will be agreement on all stipulations for future CRs, particularly if different political parties control Congress and the presidency and no change to the legislative process has been made. This timely essay presents a brief history of government shutdowns and why Congress repeatedly resorts to them, with some questions suggested for research and policy assessment at the end. Future editions in the series will address economic, management, administrative, and fiscal related government shutdown questions.

If government funding is renewed, which fiscal year will it cover? Should Congress consider more than one year, such as two or three years, of future funding for certain departments and agencies in order to avoid repetitive and continuous conflicts? Should continuing resolutions cover all departments and agencies or should Congress consider passing bills for only a few of the departments or agencies first? Should interest on the national debt continue to be paid after a debt limit is reached? Should a closed government result in negative administrative and economic consequences for workers, citizens, tourists, taxpayers and financial markets? What is the cost of a closed government, and how can public information and reporting on the effects of a closed government lessen those costs? Can other types of sanctions override the debt limit, such as a salary or travel freeze for members and their staff, stock market sanctions or other better policy mechanisms?

2. Factors Leading to Government Shutdowns

Factors leading to the shutdowns include control of the presidency and Congress by different political parties; limited time to negotiate due to the presidential transition period; changes in the political party responsible for the government; the president’s perception of bargaining strength derived from the public and from Congress’ political position, including perceived rewards and costs. Variables important in the bargaining over appropriations legislation and whatsoever that lead to prolonged negotiations are identified and analyzed across the 14 appropriations gaps and 4 resulting shutdowns.

Government shutdowns occur mainly because of both authorization and appropriation issues. Authorization gaps arise when Congress does not pass an affirmative authorization for an agency or it delays doing so. Appropriation gaps occur when agency funding is not available for the entire fiscal year; that is, Congress does not enact annual appropriations for some or all federal agencies. Shutdowns typically occur by failure to enact regular appropriations for one or more government departments or agencies and failure to enact continuing appropriations or a continuing resolution for the agency. Of the 14 identified appropriations gaps that have occurred, 4 have resulted in shutdowns ranging in length from 8 to 21 days.

3. Impacts of Government Shutdowns

The effect of government shutdowns generates a demanding question. The consequence of halting thousands of employees amounts to millions of days of lost wages, as federal workers are not paid during the shutdown. If employees are not paid, then how can the shutdown be classified as a furlough and not a firing? The sudden lack of pay creates massive amounts of hardship for federal employees due to their inability to meet basic living expenses. Prior research has indicated that the inability for many federal employees to fulfill basic living expenses is at least partially due to “compulsive behaviors repeated over an extended period of time in reaction to being severely upset or agitated.”

The 2018-2019 shutdown is a prime example of the potential dangers associated with government shutdowns. The impacts of government shutdowns vary depending on the length, reason, and agency affected. Routine government shutdowns, which occur with greater frequency, impact one or a few agencies that rely heavily on the appropriations process. The impact of these shutdowns is limited, as the remainder of the government continues normal operations. More comprehensive government shutdowns, like the 2018-2019 event, have a wide-ranging effect. Due to the length and size of the halt in operations, there are broader negative impacts covering economic, financial, moral, and national security components. Though a lengthy shutdown is not frequent, understanding the impact of a full government shutdown and ways that any potential negative consequences can be limited is essential.

4. Strategies to Prevent Government Shutdowns

2) The appropriations process. The development of subcommittee 302(b) allocations comes into play when the actual spending plan is developed at the subcommittee and then the committee level. All 12 subcommittees in both the House of Representatives and Senate determine how to allocate their subcommittee totals, generally considered to be the amount allocated by the 302(b) allocations. It could be lower or higher, but the cap makes substantial amendment of these totals difficult. Both chambers rely primarily on the use of steamroller tactics to ensure that the leadership plan passes and can become law. It mainly starts with the Rules Committee, although leadership rules may be developed in either the Rules Committee, the House and Senate leadership offices, or both. Once supreme domination is exhibited in the Rules Committee, the defense of the spending program steps behind the curtain.

1) Spending caps expose significant divides in achieving totals. Spending caps commonly set limits in two different ways for proposed spending. The regular federal budget process allocates allowed appropriations totals to each subcommittee on a first-come, first-served basis under a separate and determined category. Anything that comes in beyond the total cannot significantly influence the spending plan to become law. Invitees almost always equal the total from the chair and ranking member. These are predetermined before any hearing or vote on the budget law or resolution. The specifics are kept closely held, particularly on the spending total of the allocation of what is known as the 302(a) allocation. It is important in the politics of appropriations. It is how a tangible limit is placed on ultimate budget spending totals.