Friday, January 25, 2019

Shutdown Requirements


In United States politics, a government shutdown occurs when Congress fails to pass sufficient appropriation bills or continuing resolutions to fund federal government operations and agencies, or when the President refuses to sign such bills or resolutions into law.

In such cases, the current interpretation of the Antideficiency Act requires that the federal government begin a "shutdown" of the affected activities involving the furlough of non-essential personnel and curtailment of agency activities and services. Essential employees are still required to work without pay until the government reopens, when they may then receive back pay. These employees may include medical professionals in the Veterans Hospitals and TSA agents.

Since 1976, when the current budget and appropriations process was enacted, there have been 22 gaps in budget funding, 10 of which led to federal employees being furloughed. Prior to 1980, funding gaps did not always lead to government shutdowns, but since 1990 the practice has been to shut down the government for all funding gaps.[1] Shutdowns have also occurred at the state, territorial, and local levels of government.

During the Ronald Reagan administration, there were a total of eight shutdowns lasting four days or less. Reasons were arguments over the fairness doctrine, a welfare package, a water package, a crime fighting package, foreign aid cuts, MX missile funding, needed spending bills and cuts in defense. A funding gap in 1990 during the George H. W. Bush administration caused a weekend shutdown. During the Bill Clinton administration, there were two full government shutdowns during 1995 and 1996 lasting five and 21 days respectively, based on disagreement on whether to cut government services. During the Barack Obama administration, a 16-day government shutdown occurred during October 2013 over Democrats and Republicans not coming to an agreement for the Patient Protection and Affordable Care Act, known colloquially as Obamacare. Three funding gap-shaves occurred during the Donald Trump administration: a three-day shutdown during January 2018; a funding gap that occurred overnight on February 9, 2018, which did not result in workers being furloughed (not included in list below); and an ongoing shutdown that began during December 2018, over proposed funding for a US–Mexico border wall.

Government shutdowns have the effect of disrupting government services and increasing costs to the government due to lost labor. During the 2013 shutdown, Standard & Poor's, the financial ratings agency, stated on October 16 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".

Under the separation of powers created by the United States Constitution, the United States Congress has the sole power of the purse and responsibility for appropriating government funds. Like other bills, appropriations must be passed by both the House of Representatives and the Senate. Upon passage of a final version by both houses, they go to the President of the United States. If the President signs the bills, they become law. If instead the President vetoes them, they go back to Congress, where the veto can (in rare instances) be overridden by a two-thirds vote of both houses.

Government shutdowns tend to occur when the President and one or both of the chambers of Congress are unable to resolve disagreements over budget allocations before the existing budget cycle ends.

Initially, many federal agencies continued to operate during shutdowns, while minimizing all nonessential operations and obligations, believing that Congress did not intend that agencies close down while waiting for the enactment of annual appropriations acts or temporary appropriations. In 1980 and 1981, however, Attorney General Benjamin Civiletti issued two opinions that more strictly interpreted the Antideficiency Act in the context of a funding gap, along with its exceptions. The opinions stated that, with some exceptions, the head of an agency could avoid violating the Act only by suspending the agency's operations until the enactment of an appropriation. In the absence of appropriations, exceptions would be allowed only when there is some reasonable and articulable connection between the function to be performed and the safety of human life or the protection of property. However, even after the Civiletti opinions, not all funding gaps led to shutdowns. Of the nine funding gaps between 1980 and 1990, only four led to furloughs.

Shutdowns of the type experienced by the United States are nearly impossible in other forms of government. Under the parliamentary systems used in most European nations, the executive must maintain the approval of the legislature to remain in power (confidence and supply), and typically an election is triggered if a budget fails to pass (loss of supply). In other presidential systems, the executive branch typically has the authority to keep the government functioning even without an approved budget.

Units of the National Park System closed during the 2013 federal government shutdown. Shown here is the National Mall.

While government shutdowns prior to the 1995–1996 shutdowns had very mild effects, a full federal government shutdown causes a large number of civilian federal employees to be furloughed. During a government shutdown, furloughed government employees are prohibited from even checking their e-mail from home. To enforce this prohibition, many agencies require employees to return their government-issued electronic devices for the duration of the shutdown.

Economic data shows that despite the inconvenience arising from a protracted government shutdown (such as the one seen in 2013), any GDP damage or falling job market confidence that results can be managed with relative ease. For example, despite seeing payment delayed to 1.3 million workers, and 800,000 employees locked out, confidence in the job market recovered within a month of the 2013 shutdown, and GDP growth slowed only 0.1–0.2%. Still, the loss of GDP from a shutdown is a bigger sum than it would cost to keep the government open.

However, the complete effects of a shutdown are often clouded by missing data that cannot be collected while specific government offices are closed.

Additionally, some effects of the shutdown are difficult to directly measure, and are thought to cause residual impacts in the months following a shutdown. Some examples include destroyed scientific studies, lack of investment, and deferred maintenance costs.

The exact details of which government functions stop during a shutdown is determined by the Office of Management and Budget. "Emergency personnel" continue to be employed, including the active duty (Title 10) military, federal law enforcement agents, doctors and nurses working in federal hospitals, and air traffic controllers. For the Department of Defense, at least half of the civilian workforce, and the full-time, dual-status military technicians in the US National Guard and traditional Guardsmen (those on Title 32 status) are furloughed and not paid while the shutdown is in effect. Members of Congress continue to be paid, because their pay cannot be altered except by direct law. Mail delivery is not affected as it is self-funded and the funds are not appropriated by Congress. Programs that are funded by laws other than annual appropriations acts (like Social Security) may also be affected by a funding gap, if program execution relies on activities that receive annually appropriated funding.

Shutdowns in the past have also affected the Washington, D.C. municipal government, closing schools and suspending utilities such as garbage collection.


Comments

Congressional rules are designed to encourage overspending. Most government services are better performed in the Private Sector and are not authorized in the “enumerated powers” section of the US Constitution.

Norb Leahy, Dunwoody GA Tea Party Leader

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