Factbox-What happens if the U.S. government runs out of money on Monday?
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[December 28, 2020]
(Reuters) - U.S. President Donald
Trump's threat not to sign a $2.3 trillion spending package approved by
Congress has already shuttered an emergency unemployment aid program and
threatens a partial federal government shutdown at midnight on Monday.
The bill provides $892 billion in coronavirus relief and $1.4 trillion
to keep regular government operations running through the fiscal year.
Without Trump's signature, Congress would need to pass a stopgap funding
bill that he is willing to sign to keep federal agencies fully
operating.
The Trump administration has not said what it will do if the government
runs out of money, but previous lapses have led to tens of thousands of
non-essential workers being put on leave and others, including those
dealing with public safety, forced to work without pay.
Here's what would likely happen if the White House and Congress cannot
agree on a spending plan:
PANDEMIC ECONOMIC ASSISTANCE: The legislation would provide $600
stimulus checks to millions of struggling Americans. Trump, in one of
his chief criticisms of the bill, has said the payouts are too small and
has demanded the checks be increased to $2000.
Unemployment benefits being paid out to about 14 million Americans
through pandemic programs lapsed on Saturday, but could be restarted if
Trump signs the bill. The bill would keep the benefits going through
mid-March.
The spending package also extends a moratorium on evictions that expires
on Dec. 31, refreshes support for small business payrolls, provides
funding to help schools re-open and aid for the transport industry and
vaccine distribution.
All of the relief programs are at risk unless an agreement can be
reached.
VACCINE DISTRIBUTION: The federal government has already purchased 400
million COVID-19 vaccine doses, or enough for 200 million people, from
Moderna and Pfizer but needs additional funds to purchase more doses. It
also signed contracts with other companies for vaccines that have yet to
be authorized. Private companies, including McKesson, UPS and FedEx, are
distributing the doses but have been relying on staff in the Department
of Defense and the Department of Health and Human Services for support.
States have received $340 million from the U.S. government to help
offset costs they have borne from the vaccine rollout but say they face
a shortfall of around $8 billion. A shutdown would halt plans by
Congress to distribute funding to make up for that shortfall.
HEALTHCARE: Previous shutdowns have led to widespread furloughs for
workers at the Centers for Disease Control and Prevention (CDC), one of
the agencies leading the response to the coronavirus pandemic. A CDC
program to track flu outbreaks was halted during a 2013 shutdown; in
2018, the government kept the program running during another shutdown,
saying "immediate response to urgent disease outbreaks" would continue.
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President Donald Trump poses on the Truman Balcony of the White
House after returning from being hospitalized at Walter Reed Medical
Center for coronavirus disease (COVID-19) treatment, in Washington,
U.S. October 5, 2020. REUTERS/Erin Scott/File Photo
MILITARY: The Defense Department continued operating through the
last shutdown, which stretched 35 days through late 2018 and early
2019. During that period, the United States was unable to send
paychecks to service members and civilian employees. Active-duty
military personnel were considered essential workers; some civilian
employees and contractors were furloughed.
LAW ENFORCEMENT: The FBI and other law enforcement agencies
continued working during previous shutdowns. The FBI Agents
Association said after the last shutdown that funding lapses made it
harder to pursue cases, in part because they were unable to pay
informants. Federal courts largely remained open through the last
shutdown because they had enough money available to sustain them
through the shutdown.
NATIONAL PARKS AND MONUMENTS: National parks and monuments largely
remained open during the last shutdown, though some places, such as
Philadelphia's Independence Hall, closed. Other parks remained open
with limited staffing, leading to complaints about overflowing
trash, uncleaned bathrooms and illegal campsites as visitors fended
for themselves.
FINANCIAL OVERSIGHT: Market regulators were forced to furlough staff
during the last shutdown. The Securities and Exchange Commission
kept sufficient staff in place to monitor markets and "respond to
emergency situations." It continued to accept corporate filings.
MAIL DELIVERY: Deliveries continued as usual during previous
shutdowns because the U.S. Postal Service receives no tax dollars
for day-to-day operations.
TRAVEL: The Transportation Security Administration workers who
screen airline passengers continued working during the last
shutdown. So did air traffic controllers, who the government
considered to be essential employees.
The 2018-2019 shutdown came to an end when absences by air traffic
controllers raised the prospect of many flights into and out of New
York being canceled, provoking a compromise between Trump and
Congress.
(Reporting by Brad Heath, Jonnelle Marte and Carl O'Donnell; Editing
by Scott Malone, Tim Ahmann and Daniel Wallis)
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