The federal government is once again facing the threat of a partial shutdown, as Congress has until Friday, March 1, to reach a spending agreement for the rest of fiscal 2024. According to a report by the Congressional Budget Office, the previous Government shutdown, lasted for 35 days from December 2018 to January 2019.
The current continuing resolution (CR), which is a temporary measure that keeps the government funded at current levels, expires at midnight on Friday.
As of the time of writing, the annual appropriations bill still hasn’t covered the funding of certain departments, such as Agriculture, Veteran Affairs, Energy & Water, Transportation, Housing & Urban Development and, Food & Drugs, as well as several independent agencies.
If lawmakers fail to do so, these agencies will run out of funding and this will affect ;
- Federal Employees: Many government workers deemed “non-essential” may be furloughed without pay, while “essential” employees are required to work without immediate compensation.
- Government Services: Services provided by federal agencies may be halted or significantly reduced, affecting everything from national parks to regulatory agencies.
- Contractors and Businesses: Companies that rely on government contracts may experience delays or cancellations, impacting their revenue and workforce.
- Military and Security: While active-duty military personnel typically continue to work, their pay may be delayed, and non-essential civilian employees may be furloughed as well.
- The Public: American citizens may find access to various services unavailable or delayed, such as passport processing, veterans’ services, or housing and education programs.
A government shutdown would have significant economic repercussions, hampering economic growth due to reduced spending by furloughed workers and uncertainty affecting the broader business community.
