Government Shutdown Imminent?

The government is reaching a deadline to reach an agreement over seven outstanding appropriation bills. Currently, the deadline for these bills is December 21. Congress was able to pass brand new spending bills for various government organizations but were not able to finish the last seven bills before the midterms. As a result, Congress decided to package all seven bills together into a short-term continuing resolution that was set to expire on December 7th. The biggest issue with these bills is the funding for President Trump’s border wall. Trump has said that he’d allow a government shutdown if the spending does not include the 5 billion for the wall. The Democrats have compromised to allow $1.67 billion for enhanced border security.

The impact that this shutdown may have on federal contractors is tough to say. Going by the previous shutdown in 2013 only certain agencies were affected. The ones that were most affected were any agencies involved in disaster recovery, government research, and federal office buildings. For a federal contractor, the shutdown would affect them depending on the requirements and details of their contract. A shutdown can be seen as a nuisance by federal contractors unless the shutdown lasts for weeks. The longer the contractors are off work the more money their company will lose money. The scope of the shutdown will affect all contractors in different ways. Some will go about their day while others would be told to stay home. Essential personnel and federal programs will keep operating due to reserve funds and the Justice Department, which is reviewing the Mueller investigation, would continue operation. However, agencies like national parks would be affected. In the last government shutdown in 2013 the Republicans in the House protested against funding Obamacare. Potentially the shutdown might not occur due to Nancy Pelosi and Charles E. Schumer met with Donald Trump on Tuesday to discuss funding the government. The possibility of a government shutdown seems to be unlikely since Tuesday’s meeting can lead to a compromise. In addition, there is a risk for Trump to antagonize the public if he were to allow a government shutdown. Whatever the case the shutdown overall will not affect vital federal institutions.