October 1, 2013
Last night, Congress failed to come to an agreement on a continuing resolution (CR) to continue funding the federal government into fiscal 2014. As a result, at midnight on October 1, the government shut down for the first time since the shutdowns of 1995-1996. The Office of Management and Budget (OMB) sent official guidance to federal agencies shortly before midnight last night directing them to execute their shutdown plans.
Earlier yesterday, after the Senate rejected amendments to the CR made by the House over the weekend that would have delayed the Affordable Care Act (ACA), among other provisions, the House responded by passing a CR that would have delayed the individual mandate. The measure would have also cancelled health insurance subsidies for Congressional lawmakers, staffers and administration employees while requiring them to purchase health coverage on the new exchanges. The Senate, as expected, again rejected these amendments. As of late last night, the House approved a motion to go to conference with the Senate over a CR, but Senate Majority Leader Harry Reid has indicated that his chamber would reject this request. More continuing resolution votes are possible in both the House and Senate today. At this time, it is uncertain how either chamber will proceed and when Congress will reach a compromise to continue funding day to day operations of many areas of the federal government. As of today, 800,000 federal employees brace for possible furloughs and 1 million more may work without the certainty that they will be paid.
NASBO has compiled documents providing guidance and information related to the federal government shutdown, and will continue to add to this list. These resources are available http://www.nasbo.org/resources/federal-shutdown-information
NASBO will also provide updates as more information becomes available in the Budget Blog and Washington Report.