Every year, Congress passes and the President signs 12 separate appropriations bills to fund federal agencies and programs for the fiscal year. If Congress fails to enact these appropriations bills by the end of the fiscal year, the government shuts down. This is known as a “government shutdown.” Essential services continue to function and are unaffected by the lack of appropriations, and those programs funded with mandatory fees (such as Social Security and Medicare) also continue.
During a government shutdown, all employees not considered “excepted” are furloughed and do not receive pay until lawmakers pass a new funding package. These employees include FBI investigators, CIA officers and air traffic controllers. Other excepted employees whose work relates to the safety of life or protection of property may stay on the job, but will not be paid until a new funding package is passed. In past shutdowns, these workers have received back pay once a funding bill has been enacted.
In recent years, Congress has enacted several short-term continuing resolutions (CR) to prevent a government shutdown, but it is still possible that the government could close down at any time if there is no agreement on budget legislation. The most recent government shutdown lasted for 35 days and affected a wide range of activities including curtailing food safety inspections, closing national parks and museums, causing air travel delays and long lines at airport security checkpoints, delaying loan approvals for small businesses and delaying immigration hearings.