A government shutdown occurs when the legislative branch does not pass key bills which fund or authorize the operations of the executive branch, resulting in the cessation of some or all operations of a government.
Government shutdowns in the United States have occurred periodically since 1980, and are the result of failure to pass appropriations bills before the previous ones expire. Shutdowns of the type experienced by the United States are nearly impossible in other forms of government. The most recent shutdown happened in December 2018.
Until the passage of the Fixed-Term Parliaments Act in 2011, government shutdowns in the United Kingdom were impossible due to parliamentary convention. A government which could not command a majority in Parliament would be dismissed, either prior to the seating of Parliament when the Queen's Speech was voted down or later, when a vote of no confidence was tabled and passed, when a Finance Act was voted down, or when a major bill was voted down. [2]
The Fixed-term Parliaments Act, however, abolished these conventions, ensuring that the only way to call new elections was either for the explicit passage of a vote of no confidence or a two-thirds majority in the House of Commons calling for a new election. This led to speculation that a government shutdown could have been possible, with the government holding the House standing through tabled Votes of No Confidence but failing to pass legislation due to internal fighting or the breakdown of a coalition. [3] [4]
An American-style shutdown was also considered to be on the table in the context of Brexit, as some MPs proposed an amendment to "starve the government of cash" and create a "Donald Trump-style shutdown" in the event of a no-deal Brexit. [5] [6] [7]
In 2022, the Fixed-term Parliaments Act was repealed by the Dissolution and Calling of Parliament Act, rendering virtually impossible the eventuality of a government shutdown.
In January 2017 the Assembly of Northern Ireland a power-sharing agreement collapsed, [8] [9] [10] [11] resulting in the national parliament being unable to pass bills, including critical spending bills. In December, this ongoing event almost resulted in an American-style shutdown, with regional civil services set to run out of money within days, but such a shutdown was averted when the British Government stepped in to keep local services funded. [12]
Government shutdowns, in United States politics, refer to a funding gap period that causes a full or partial shutdown of federal government operations and agencies. They are caused when there is a failure to pass a funding legislation to finance the government for its next fiscal year or a temporary funding measure. Ever since a 1980 interpretation of the 1884 Antideficiency Act, a "lapse of appropriation" due to a political impasse on proposed appropriation bills requires that the US federal government curtail agency activities and services, close down non-essential operations, furlough non-essential workers, and only retain essential employees in departments covering the safety of human life and/or protection of property. [13] Voluntary services in these respective essential areas may only be accepted during emergencies. [13] Shutdowns are also possible at occurring within and disrupting state, territorial, and local levels of government.
As of 7 November 2024, since the enactment of the US government's current budget and appropriations process in 1976, there have been a total of 23 funding gaps in the federal budget, of which 10 of these have led to federal employees being furloughed. Prior to 1980, funding gaps did not lead to government shutdowns, until Attorney General Benjamin Civiletti issued two legal opinions requiring the government be shut down when a funding gap occurs. [14] This opinion was not consistently adhered to through the 1980s, but since 1990 all funding gaps lasting longer than a few hours have led to a shutdown.
Some of the most significant shutdowns in U.S. history have included the 21-day shutdown of 1995–1996 during the Bill Clinton administration over opposition to major spending cuts; the 16-day shutdown in 2013 during the Barack Obama administration caused by a dispute over implementation of the Patient Protection and Affordable Care Act; [15] and the 35-day shutdown of 2018-2019 during the Donald Trump administration, the longest shutdown in US history, [16] caused by a dispute over the funding amount for an expansion of the U.S.–Mexico border barrier. [17] [18] On September 30, 2023, a government shutdown was averted just hours before the actual shutdown after a 45 day funding bill passed in both the House of Representatives and the Senate. [19]
Shutdowns cause the disruption of government services and programs, including the closure of national parks and institutions (in particular, due to shortages of federal employees). A major loss of government revenue comes from lost labor from furloughed employees who are still paid, as well as loss of fees that would have been paid during the shutdown. Shutdowns also cause a significant reduction in economic growth (depending on the length of the shutdown). During the 2013 shutdown, Standard & Poor's, the financial ratings agency, stated on 16 October that the shutdown had "to date taken $24 billion out of the economy", and "shaved at least 0.6 percent off annualized fourth-quarter 2013 GDP growth". [20]
An omnibus spending bill is a type of bill in the United States that packages many of the smaller ordinary appropriations bills into one larger single bill that can be passed with only one vote in each house of Congress. There are twelve different ordinary appropriations bills that need to be passed each year to fund the federal government and avoid a government shutdown. An omnibus spending bill combines two or more of those bills into a single bill.
In the United States, a continuing resolution is a type of appropriations legislation. An appropriations bill is a bill that appropriates money to specific federal government departments, agencies, and programs. The money provides funding for operations, personnel, equipment, and activities. Regular appropriations bills are passed annually, with the funding they provide covering one fiscal year. The fiscal year is the accounting period of the federal government, which runs from October 1 to September 30 of the following year.
In the United States, government shutdowns occur when funding legislation required to finance the federal government is not enacted before the next fiscal year begins. In a shutdown, the federal government curtails agency activities and services, ceases non-essential operations, furloughs non-essential workers, and retains only essential employees in departments that protect human life or property. Shutdowns can also disrupt state, territorial, and local levels of government.
The Rohrabacher–Farr amendment is legislation introduced by U.S. Representative Maurice Hinchey in 2001, prohibiting the Justice Department from spending funds to interfere with the implementation of state medical cannabis laws. It passed the House in May 2014 after six previously failed attempts, becoming law in December 2014 as part of an omnibus spending bill. The passage of the amendment was the first time either chamber of Congress had voted to protect medical cannabis patients, and is viewed as a historic victory for cannabis reform advocates at the federal level. The amendment does not change the legal status of cannabis, however, and must be renewed each fiscal year in order to remain in effect.
From October 1 to October 17, 2013, the United States federal government entered a shutdown and curtailed most routine operations because neither legislation appropriating funds for fiscal year 2014 nor a continuing resolution for the interim authorization of appropriations for fiscal year 2014 was enacted in time. Regular government operations resumed October 17 after an interim appropriations bill was signed into law.
In January 2013, the United States reached the, at the time, debt ceiling of $16.394 trillion that had been enacted following a crisis in 2011. President Obama and members of the Democratic Party proposed raising the debt ceiling, with some advocating for its complete dismissal. Members of the Republican Party staunchly opposed raising the debt ceiling unless spending cuts would parallel the bill, including defunding the Affordable Care Act. Previous raises of the debt ceiling have been largely bipartisan without conditions.
The October 2013 mini-continuing resolutions were a set of continuing resolutions that would have provided funding for a limited set of federal agencies during the United States federal government shutdown of 2013. The bills were part of a Republican strategy to fund portions of the government which have bipartisan support, in order to spare those agencies and programs from the effects of the shutdown. The bills all passed the United States House of Representatives during the 113th United States Congress, but were ignored by the United States Senate. These selective continuing resolutions became moot upon the passage of the Continuing Appropriations Act, 2014 which funded the entire government, ending the shutdown.
As a result of conflicts between Democratic President Bill Clinton and the Republican Congress over funding for education, the environment, and public health in the 1996 federal budget, the United States federal government shut down from November 14 through November 19, 1995, and from December 16, 1995, to January 6, 1996, for 5 and 21 days, respectively. Republicans also threatened not to raise the debt ceiling.
The 2017 United States federal budget is the United States federal budget for fiscal year 2017, which lasted from October 1, 2016 to September 30, 2017. President Barack Obama submitted a budget proposal to the 114th Congress on February 9, 2016. The 2017 fiscal year overlaps the end of the Obama administration and the beginning of the Trump administration.
The Further Continuing and Security Assistance Appropriations Act, 2017 is a continuing resolution that extended fiscal year 2017 funding for the United States federal government from December 9, 2016 until April 28, 2017. The bill contains a boost to defense spending as well as bipartisan health programs.
The United States federal budget for fiscal year 2018, which ran from October 1, 2017, to September 30, 2018, was named America First: A Budget Blueprint to Make America Great Again. It was the first budget proposed by newly elected president Donald Trump, submitted to the 115th Congress on March 16, 2017.
The United States federal government shut down at midnight EST on Saturday, January 20, 2018, until the evening of Monday, January 22. It began after a failure to pass legislation to fund government operations and agencies. This stemmed from disputes over the extension of status of persons affected by the Deferred Action for Childhood Arrivals (DACA) immigration policy, and therefore whether those covered under the program should face deportation. There was also a dispute over whether funding should be allocated towards building a Mexico–United States border wall. According to estimates by The New York Times, 692,900 workers were furloughed during the shutdown. It was the first government shutdown under Republican leadership under the White House, House of Representatives, and U.S. Senate.
The United States federal government shutdown for the first time on May 1, 1980, for one day and affected only the Federal Trade Commission (FTC). Congress had allowed its funding to lapse as part of an effort to pass an authorization bill that would limit the FTC's powers, but the Carter Administration for the first time enforced a shutdown of a federal agency based on a new interpretation of the 1884 Antideficiency Act, causing new funding to be approved that evening. The shutdown caused the furlough of 1,600 employees and cost the government $700,000, mostly as a result of lost labor.
The United States federal budget for fiscal year 2019 ran from October 1, 2018, to September 30, 2019. Five appropriation bills were passed in September 2018, the first time five bills had been enacted on time in 22 years, with the rest of the government being funded through a series of three continuing resolutions. A gap between the second and third of these led to the 2018–19 federal government shutdown. The remainder of government funding was enacted as an omnibus spending bill in February 2019.
The United States federal government shutdown from midnight EST on December 22, 2018, until January 25, 2019 was the longest government shutdown in history and the second and final federal government shutdown involving furloughs during the presidency of Donald Trump. It occurred when the 115th Congress and Trump could not agree on an appropriations bill to fund the operations of the federal government for the 2019 fiscal year, or a temporary continuing resolution that would extend the deadline for passing a bill. The Antideficiency Act prohibits federal departments or agencies from conducting non-essential operations without appropriations legislation in place. As a result, nine executive departments with around 800,000 employees had to shut down partially or in full, affecting about one-fourth of government activities and causing employees to be furloughed or required to work without being paid. The Congressional Budget Office estimated the shutdown cost the American economy at least $11 billion USD, excluding indirect costs that were difficult to quantify.
The Government Employee Fair Treatment Act of 2019 (GEFTA) is a United States federal law which requires retroactive pay and leave accrual for federal employees affected by the furlough as a result of the 2018–19 federal government shutdown and any future lapses in appropriations. The Act is an amendment to the Anti-Deficiency Act, which governs federal procedures during a lapse in annual appropriations.
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Three government shutdowns in 1981, 1984, and 1986 involved federal employees being furloughed for brief periods. The shutdowns were generally used by President Ronald Reagan to pressure Congress about specific provisions in appropriations bills, or to encourage Congress to pass the bills more quickly.