The federal government shutdown continues with no agreement in sight. On Thursday this week, the Senate once again did not advance the House-passed stopgap funding bill. The House remains out of session, at the direction of Speaker Mike Johnson. Negotiations over Affordable Care Act (ACA) subsidies—the central issue in the shutdown debate—remain largely unchanged from last week. Earlier in the week, Senate Majority Leader John Thune told reporters he had offered Democrats a vote on a one-year extension of the enhanced Obamacare premium tax credits, in exchange for support to reopen the government. Speaker Mike Johnson later stated that Senate Minority Leader Chuck Schumer declined Thune’s offer. Schumer, however, told reporters that Thune had not presented a formal proposal—leaving negotiations at a standstill. Amid the stalemate, lawmakers are predicting a prolonged shutdown. One Senator told reporters he expects the shutdown to last until at least November 1, when the open enrollment period for Obamacare subsidies begins. Meanwhile, others predict the shutdown may last at least through Mid-November.
Reductions in Force (RIF)
Last Friday, the Trump Administration began laying off thousands of federal employees in an effort to pressure Democrats amid the ongoing government shutdown. The scale of the layoffs came into focus later that day, when the Administration disclosed that seven agencies had begun dismissing more than 4,000 workers. The reductions followed a September OMB memo directing agencies to identify programs for possible Reductions in Force (RIFs) that no longer had discretionary funding, lacked other funding sources, and were considered inconsistent with the President’s priorities. The White House has indicated that additional RIFs will continue in the coming days, with most separations taking effect within 60 days of notice issuance.
USDA & DOI Shutdown Plans
Both the U.S. Department of Agriculture (USDA) and Department of the Interior (DOI) are continuing to operate under their contingency plans, maintaining only essential services and emergency functions. USDA has furloughed nearly half its workforce, suspending most new Rural Development loans and grants, technical assistance, and long-term wildfire mitigation activities, while continuing critical functions such as wildfire response, Section 521 Rental Assistance payments, and nutrition safety net programs. The Forest Service is prioritizing active wildfire and disaster response, law enforcement, and property protection; however, preventive and cooperative forest management work is “on hold”. Within DOI, agencies including the Bureau of Land Management, Bureau of Reclamation, U.S. Fish and Wildlife Service, and National Park Service are maintaining life-safety and energy-related operations but have halted most permitting, grantmaking, visitor services, and non-critical conservation activities. These operational limits are expected to delay project timelines and intergovernmental coordination until funding is restored.
Additional details on the Reductions in Force are available here, and more about the USDA and DOI shutdown plans can be viewed here.
Contact RCRC Senior Vice President of Government Affairs, Mary-Ann Warmerdam, for more information.