A Government Shutdown Primer

The partisan jabs and lies deflect from important policy differences

Making sense of the federal government shutdown is not a task for the faint of heart. Truth be told, it shouldn’t be a task for anyone. The failure to pass an annual budget is a core responsibility of Congress and the White House. Yet, both parties have built a nearly three-decade long record of failure.

Here are answers to questions that may promote a bit more understanding of the current budget dilemma. First, the technicalities:

Why is the government shut down?

The federal fiscal year ended Oct. 1. As has been the case in every year since 1996 - under both Democrats and Republicans - Congress failed to approve the 12 separate appropriations bills that compose the federal budget. In fact, since 1996, Congress hasn’t passed more than five appropriations bills before the annual deadline.

In most years, failure is papered over with a “continuing resolution” - a CR in congressional jargon. This is a stopgap bill that keeps government running while Congress and the White House figure out a long-term solution. Republicans are proposing a CR that would extend government funding at current levels until Nov. 21. Democrats want to resolve issues important to them, including extending subsidies for those buying insurance in the Affordable Care Act marketplace (Obamacare), as part of a CR deal.

If there is no money to turn on the government lights, why do some programs keep operating?

There are three big buckets of federal spending: discretionary (about 27% of federal spending in FY 24); mandatory (60%); and, interest on the national debt (13%).

Discretionary spending includes major government activities like defense, homeland security, agriculture and other departments many Americans interact with on a day-to-day basis.

Mandatory spending, mostly Social Security, Medicare and Medicaid, have dedicated streams of revenue that assure benefit checks are sent even during a shutdown. However, support services even for these programs may not be available during a shutdown.

Interest in the debt is a legal obligation of the government. It must be paid.

Republicans control Congress and the White House. Why can’t they just pass a budget?

The House of Representatives operates on a majority-rules basis. The party with more seats, in this case the GOP, sets the agenda and can pass legislation, including the budget with a simple majority.

Not so in the Senate. On most issues, the Senate needs 60 votes to end debate on a bill and move it to final consideration. This Senate rule is designed to assure that the minority party has some leverage on critical issues.

The 60-vote requirement is a Senate rule. It is not required by law or the Constitution. The majority party - today, the Republicans - can amend the rule by a simple majority vote. Over the years, both parties have done just that on some issues, especially on confirmation of judicial and Cabinet nominees. But undermining the rule on budget and policy issues is deemed the “nuclear option” and neither party so far has been willing to go there.

The politics of the shutdown raise additional questions.

What makes this shutdown different from others?

Two people are the difference-makers: President Donald Trump and Russell Vought, director of the Office of Management and Budget and the primary author of Project 2025. Both have made it clear that the shutdown is an opportunity to fire government workers and punish states that voted for Kamala Harris in 2024.

Since legislation in 2019, federal workers furloughed during a shutdown are guaranteed their jobs and back pay when the budget impasse ends. President Trump, following Vought’s game-plan, is threatening to permanently dismiss some federal workers.

In addition, Trump is cancelling substantial federal funds designated for blue states. Minnesota, for example, may lose part of a $7.5 billion federal energy infrastructure program. Vought has denigrated these projects as part of a “Green New Scam funding to fuel the Left’s climate agenda.” Calmer voices have said the projects will reduce energy costs, especially for low- and moderate-income consumers.

Are the Trump Administration actions legal? Who knows. Does Trump care? Not much. As he told the assembly of military leaders, Democrats and other political opponents are “vicious people that we have to fight.”

Why are Democrats holding the budget hostage to subsidies that don’t expire until Dec. 31?

Democrats want a permanent extension of the ACA premium subsidies that were included in the 2022 Inflation Reduction Act. Republicans argue that the issue can be resolved before the end-of-year expiration. “Congress has three months to negotiate that. Certainly, we could work on it in the month of October to find some consensus to figure that out,” said House Speaker Mike Johnson.

Sure, that could happen. But from the day the ACA became law, Republicans have spent far more energy on ending the health plan than on improving or even protecting it.

Democrats also point out that while the subsidies don’t expire until the end of the year, open enrollment in the plans begins Nov. 1 in Minnesota and many states and premiums for next year already are being set. Without the subsidies, ACA premiums are estimated to increase by an average of 75%, pushing many people - especially farmers, employees and owners of small businesses and others who don’t receive health coverage through an employer - into the ranks of the uninsured.

Are Democrats extending health coverage to undocumented immigrants?

No. Listen carefully to Republicans. While they complain about free health care for “illegals,” they intentionally are conflating those here illegally with non-citizens. There are many people in the U.S. who are authorized to be in the country even if they aren’t citizens. Under laws passed by both Democrats and Republicans, they are entitled to some federal benefits.

In addition to the ACA subsidies, Democrats are proposing to restore the Medicaid cuts Republicans included in their July One Big Beautiful Bill. The proposal, though, would not allow undocumented immigrants to enroll in federal Medicare and Medicaid. Simply put, they are not eligible for federal benefits.

What’s the impact on the federal debt?

Collectively, the Democratic proposals would add $1.5 trillion to the federal debt over the next decade, according to the Committee for a Responsible Federal Budget. By comparison, the same organization estimates that the Republican One Big Beautiful Bill could add up to $5.5 trillion to the debt over the next decade.

Fair to say that fiscal responsibility is not in the wheelhouse of either party.

Who is winning shutdown politics?

Polls so far consistently have shown that more people blame Trump and Republicans. Of course, that could change in the blink of an eye. And, in today’s polarized political environment, Republicans will believe Republicans and Democrats will stay true to Democrats. Independents? They’re largely disgusted with everyone.

What often is overlooked, though, is the very real impact of the health policies.

The non-partisan and highly respected research and policy organization, KFF, found that 77% of ACA market enrollees, live in states Trump won last year. A survey by KFF found that 78% believe Congress should extend the subsidies, including 82% of independents and 59 % of Republicans.