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Government Shutdowns: The Role of Funding Gaps and How to Prevent Them

by Peter

Government Shutdowns: The Role of Funding Gaps

What is a Funding Gap?

A funding gap occurs when the federal government does not have a budget approved by Congress by the beginning of the fiscal year (October 1). This means that federal programs do not have enough money to continue operating.

History of Funding Gaps and Government Shutdowns

Funding gaps have been happening since at least the 1950s, but they did not always trigger government shutdowns. In fact, many federal agencies continued to operate during funding gaps, minimizing nonessential operations while waiting for a budget to be passed.

The Role of Benjamin Civiletti

In the early 1980s, Attorney General Benjamin Civiletti issued two opinions that more strictly interpreted the Antideficiency Act in the context of a funding gap. This led to the requirement that government agencies must shut down during a funding gap, a policy that remains in effect today.

The Antideficiency Act

The Antideficiency Act, originally enacted in 1884, prohibits the government from taking on new contracts or paying federal employees if money has not been specifically set aside for those purposes. Civiletti’s interpretation of the act made it much more difficult for agencies to continue operating during a funding gap.

The Impact of Government Shutdowns

Government shutdowns can have a significant impact on federal programs and employees. Essential services, such as the military and air traffic control, continue to operate, but many other programs are put on hold. Federal employees are furloughed, meaning they are temporarily laid off without pay.

Exceptions to the Shutdown Requirement

There are some exceptions to the requirement that government agencies shut down during a funding gap. These exceptions include:

  • Activities that are necessary to protect life or property
  • Activities that are essential to the functioning of the government
  • Activities that are authorized by law to continue during a shutdown

Potential Solutions to Prevent Future Shutdowns

There are several potential solutions to prevent future government shutdowns, including:

  • Passing a budget before the beginning of the fiscal year
  • Using continuing resolutions to extend funding for essential programs
  • Reforming the budget process to make it more efficient
  • Amending the Antideficiency Act to allow for more flexibility during funding gaps

Conclusion

Government shutdowns are a complex issue with a long history. The role of funding gaps and the interpretation of the Antideficiency Act have played a significant role in the development of the current shutdown policy. By understanding the causes and consequences of government shutdowns, we can work towards finding solutions to prevent them in the future.