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Federal Shutdown Looms: Impacts on Agencies, Social Security & Services

Government shutdown impacts/ Social Security shutdown/ federal employee furloughs/ IRS during shutdown/ national park closures/ WASHINGTON/ Newslooks/ J. Mansour/ Morning Edition/ With the government at risk of shutting down at midnight Friday, federal employees face furloughs, and services deemed non-essential may pause. Essential operations like Social Security and Medicare will continue, but disruptions in processing new applications and national park closures are expected. Congressional negotiations remain stalled as the deadline nears.

FILE – The Capitol in Washington, is framed by early morning clouds, March 19, 2024. Congress has until midnight Friday to come up with a way to fund the government, or federal agencies will shutter. It’s up to each federal agency to determine how it handles a shutdown, but there would be disruptions in many services. (AP Photo/J. Scott Applewhite, File)

Government Shutdown Looms: What You Need to Know

Key Highlights

  • Deadline Approaches: Congress must pass funding legislation by Friday to avoid a shutdown.
  • Essential Services: Social Security and Medicare payments will continue, but new applications may face delays.
  • Widespread Impact: National parks, court systems, and tax audits will halt; many federal workers face furloughs.

Federal Shutdown Looms: Impacts on Agencies, Social Security & Services

Deep Look

Understanding a Government Shutdown

A government shutdown occurs when Congress fails to pass funding legislation, causing federal agencies to suspend non-essential operations. With the current continuing resolution expiring Friday, a new measure is needed to avoid closures and disruptions.

What Happens During a Shutdown?

Each federal agency creates its own plan for a shutdown. Here’s how it could impact various sectors:

Key Government Agencies Affected


Will Social Security and Medicare Be Affected?

No. Payments for Social Security and Medicare will continue as they fall under mandatory spending. However, processing new applications could face delays. During the 1996 shutdown, thousands of Medicare applicants were turned away daily.


What Is a Continuing Resolution (CR)?

A CR is a temporary measure that extends federal funding at previous levels to prevent a shutdown while long-term agreements are negotiated. The House failed to pass a Trump-backed CR on Thursday, which included a controversial two-year debt ceiling extension.

What Is an Omnibus Bill?

This all-encompassing funding package consolidates multiple appropriations bills. Republicans opposed an omnibus bill, preferring to defer negotiations until President-elect Trump’s administration takes office.


The Stakes of a Shutdown

The last major government shutdown occurred during Trump’s first term, lasting 35 days over border wall funding. A shutdown could harm federal workers, disrupt services, and shake public trust in governance.

What Happens Next?

Negotiations continue as Speaker Mike Johnson faces pressure to deliver a funding resolution. Whether Congress will act in time remains uncertain.


Key Takeaways

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