2023 Government Shutdown Update: Everything You Need to Know If Congress Fails To Make a Spending Deal

A Sept. 30 funding deadline is fast approaching as intraparty feuding between moderate and conservative Republicans in the House threatens to lead to a government shutdown.

A small faction of conservative GOP members have blocked consideration of various spending bills, and the Senate is pushing to pass a temporary bill to keep the government open.

Moderate Democrats have offered McCarthy a lifeline to try and avoid the shutdown, but it would be a difficult move for the Speaker to accept politically.

How does a shutdown affect the real world? National Parks close, tens of thousands of federal employees across the country are furloughed and essential research stops.

But some essential workers have to work without pay. Think TSA agents, food safety inspectors, border patrol and active duty military personnel, all working without pay while Congress bickers. Astronauts in the space station still work, but the National Zoo closes down.

As the shutdown looms here is how it would work and what it means for Americans if funding measures are not passed.

What causes or prevents a government shutdown?

The Antideficiency Act of 1884 (amended in 1950) states that federal agencies cannot spend any money without appropriation from Congress. Each fiscal year, the U.S. government runs on 12 appropriations bills passed by Congress and signed by the president. These bills are responsible for determining how much funding each included sector will receive. However, if Congress fails to pass the bills by Oct. 1, the start of the fiscal year, agencies left without appropriations are forced to go into shutdown.

Short-term extensions of government funding can be put into place using Continuing Resolutions or temporary spending bills. This allows for Congress to fund government operations until a specified date, which can have a wide range. One continuing resolution from the 2010 fiscal year lasted for a single day. 

How often is there a government shutdown?

Since 1981, there have been 14 government shutdowns. The longest was during 2018 and tied to Fiscal 2019. The government shuttered for 34 days.

The first government shutdown was in 1974, under President Gerald Ford when he decided to veto the appropriations bill for the Departments of Labor and Health, Education, and Welfare. The the-president reportedly felt "trapped" by the Democrat-controlled Congress. The shutdown ended on Oct. 11 after a continuing resolution was passed.

During President Ronald Reagan's administration, he and the then-attorney general determined that spending without official congressional appropriations was illegal.

How does a government shutdown work?

When the government shuts down, the functions of many federal agencies are suspended. Tens of thousands of employees are furloughed and told not to report to work. A law passed in 2019 allows suspended employees to get back pay once the shutdown ends.

What stays open during a government shutdown? What closes? 

Each federal agency has an individual plan coordinated by the Office of Management and Budget that outlines which services are essential and can function during a shutdown, as well as those that must be discontinued. 

The government must continue to pay Social Security benefits during government shutdowns, as they are permanently authorized and funded — however, Social Security cards are not issued during shutdowns. Medicare benefits also remain uninterrupted during a government shutdown. 

Though air travel continues during a government shutdown, travelers may face significant delays as TSA agents and air traffic controllers have worked without pay during previous shutdowns. Infrastructure projects could also be delayed as the Environmental Protection Agency and Department of Infrastructure reviews experience holdups.

FEMA’s disaster relief efforts could be complicated by a government shutdown as its Disaster Relief Fund would be exhausted and funding for long-term recovery projects would be stopped. FEMA is currently working on disaster recovery efforts in Florida after Hurricane Idalia caused significant damage, as well as Hawaii and California after extensive fires tore through both states.

The National Institutes of Health would delay clinical trials and have to turn away new patients, while the Environmental Protection Agency would stop most inspections at hazardous waste sites and other facilities.  

Recreation facilities funded by the federal government would also be forced to close, meaning tourists would not be able to visit National Park Service or Smithsonian Institution facilities, such as the National Zoo. In 2013, a government shutdown led to a $500 million loss in visitor spending nationwide. 

NASA also shuts down its research facilities, though some employees remain on to monitor and support astronauts working at the International Space Station.

Which employees are considered essential and which aren't during a government shutdown?

Government employees who perform emergency work involving the safety of human life and  the protection of property still report to their job during government shutdowns. This includes law enforcement officers, national security agents, active duty military personnel and federal prison guards.

Essential government employees typically later receive back pay for time spent working during a government shutdown but must work without compensation until appropriated funds become available.

Other government employees are furloughed, meaning they do not report to work and do not receive paychecks. 

How does a government shutdown end?

To end a government shutdown, it takes the same thing to avoid it in the first place — A deal being struck by Congress on federal spending. 

The 2018 government shutdown during former President Donald Trump’s time in the White House, ended after delays hit major airports on the East Coast because unpaid traffic controllers were not returning to work.

Trump conceded on his original threat not to reopen the government until Congress approved more than $5 billion for the border wall, giving in as the effects of the shutdown worsened.