Federal government shut down was averted, but another may loom
On Saturday, Sept. 30, a federal government shutdown was averted at the 11th hour, but the relief may be short lived.
The bipartisan deal that was signed by President Joe Biden on Saturday night only funds the government until Nov. 17. If Congress doesn’t agree on another funding bill before then, a shutdown could still be possible.
During a government shutdown, some functions of federal agencies will continue. Social security checks will be issued. The U.S. Postal Service will still operate. Essential workers, such as federal air traffic controllers and TSA agents, will still be expected to report to work. But many federal employees also won’t get their paychecks for as long as the shutdown lasts. While back pay is now guaranteed for those directly employed by the federal government, no such assurances exist for contractors. Meanwhile, other functions of government deemed non-essential will cease.
The office of Gov. Mike Dunleavy
has said the state is prepared to keep administering federally funded programs, such as SNAP, for at least as long as the last shutdown. The previous federal shutdown was also the longest in history, lasting for 34 days between December 2018 and January 2019 under President Donald Trump.
“The State of Alaska is prepared to continue state-administered federally funded programs for that length of time,” Dunleavy’s office said in a press release. “If a federal government shutdown were to continue beyond that timeframe, the State will reevaluate the situation if necessary, and prioritize programs that most directly impact the life, health, and safety of Alaskans.”
When an October shutdown seemed likely, the Alaska Division of Public Assistance, or DPA, said it had a plan in place to distribute federal SNAP benefits for at least a month. According to the DPA, Medicaid is funded through the end of the year.
Special Supplemental Nutrition Program for Women, Infants, and
Children, or WIC, benefits have also been funded through the end of the year in Alaska. Norton Sound Health Corporation administers WIC benefits in the Nome region. The hospital issued an announcement that said WIC benefits would not be interrupted in the event of a shutdown, and that the program would continue to enroll new families.
Ron Meehan, the policy and advocacy manager of the Food Bank of Alaska, said that his organization’s
operations wouldn’t be affected, but a shutdown “would still very negatively impact Alaskans.”
“We know that a prolonged shutdown would lead to a spike in need from federal employees,” Meehan said. “We’ve seen that in past shutdowns.”
State employees in Alaska received an email when a shutdown seemed likely last week. The message was intended to ensure they knew a federal shutdown did not mean the state government was shutting down. State employees would not get laid off or furloughed and state functions would continue in the event of a shutdown.
“Should a federal shutdown occur, there would be tangential effects to
State of Alaska services and business,” the email said. “For one example, some federal workers will likely apply for unemployment insurance with our State unemployment insurance office in the Alaska Department of Labor & Workforce Development (DOLWD). Our DOLWD employees who work in that division will notice that impact. In addition, for those State employees who are working on projects or matters directly with federal government or federal contractors, those initiatives/cases/projects may be delayed.”
There is a big federal project that’s about to get underway in Nome: the U.S. Army Corps’ port modification project. Phase 1 of the port expansion has been expected to go out to bid to contractors in early November.
Port of Nome Director Joy Baker said she suspected some of the personnel required to facilitate the solicitation might get furloughed in the event of a shutdown, which potentially could cause some delays.
“The good news is the project funding for Phase 1 is not at risk so the solicitation effort would resume immediately after the shutdown ended,” Baker said last week. “It’s also possible that essential personnel could be retained to keep projects moving forward that are at a critical juncture.”
The shutdown could also impact the work of Alaska Native corporations that participate in federal government contracts. Bering Straits Native Corporation did not have any comment about potential effects at this time.