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Federal Government Shutdown Update for Monday, Oct. 20: What We Know

The ongoing federal government shutdown, which began just after midnight on October 1, has now entered its third week, becoming one of the longest in U.S. history. As of October 20, 2023, more than 750,000 federal employees have been furloughed, affecting many Americans across various sectors.

Current Status of the Shutdown

The shutdown remains in place due to ongoing budget negotiations between lawmakers. Senate Democrats seek to make tax breaks for 24 million Americans under the Affordable Care Act permanent, while Republicans favor a more segregated discussion on healthcare subsidies.

Democratic Senator Mark Kelly of Arizona has expressed optimism. He believes the government could reopen this week if Republicans agree to negotiate. In contrast, Republican Senator Katie Britt of Alabama insists that Democrats should prioritize reopening the government first.

Key Events to Watch

  • The Senate is scheduled to reconvene on Monday at 5:30 p.m. ET for the 11th time concerning the fiscal budget.
  • If the proposed bill passes and is signed by President Trump, the shutdown could end.
  • Failure to pass the bill may extend the shutdown into a third week.

Impact on Federal Services and Employees

Essential employees, including military personnel and air traffic controllers, are still on duty. Yet, they will not receive pay until a budget deal is reached. Trump’s executive order ensures that active-duty military services are compensated during this period.

Regarding Social Security, the Social Security Administration will still issue retirement and disability benefits but with around 12% of its staff furloughed. Medicare and Medicaid benefits will also continue on schedule.

Food Aid and Nutrition Programs

The Supplemental Nutrition Assistance Program (SNAP) and the Women, Infants, and Children (WIC) program are operational but may face funding challenges for November unless the shutdown is resolved soon.

Air Travel and Security Operations

Despite the shutdown, the U.S. Postal Service remains fully operational as it does not rely on federal funding. However, over 63,000 Transportation Security Administration (TSA) employees are working without pay until the government reopens.

Long-term Implications

This shutdown marks the 15th since 1981 and is set to become the third-longest in U.S. history, trailing only the shutdowns experienced in 1995 and 2018-2019. The financial repercussions continue to extend across various sectors, affecting not only government workers but also small businesses and local economies.

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