Government Shutdown Averted: Bipartisan Bill Passes with Hours to Spare

What is a Government Shutdown?

A government shutdown is a suspension of government operations that occurs when Congress fails to pass a budget or continuing resolution to fund the government.

During a shutdown, non-essential government services are suspended, and employees are furloughed without pay.

What Was at Stake?

The stopgap bill signed by President Biden averted a government shutdown that would have taken effect on March 1, 2023.

A shutdown would have suspended operations for approximately 25% of the federal government, including:

• National parks
• Museums
• Social Security Administration
• Environmental Protection Agency
• Food and Drug Administration

Impact of a Shutdown

Government shutdowns have significant economic and social consequences:

• Furloughed workers lose income and benefits.
• Businesses that rely on government contracts face disruptions.
• Essential services, such as law enforcement and emergency response, may be impacted.
• According to the Congressional Budget Office, a one-month shutdown would cost the U.S. economy $6 billion.