Government Shutdown Begins: Here’s What It Means For NYC

NEW YORK CITY — The federal government officially shut down at midnight on Wednesday after lawmakers failed to reach a funding deal.

About 750,000 federal workers, including some from New York City, are expected to be furloughed, and some potentially fired, after President Donald Trump and Congress failed to strike an agreement to keep government programs and services running by Wednesday’s deadline.

Many offices will be shuttered, perhaps permanently, as Trump vows to “do things that are irreversible, that are bad” as retribution. The economic fallout is expected to ripple nationwide.

Republicans crafted a short-term measure to fund the government through Nov. 21, but Democrats insisted the measure address their concerns on health care. They wanted to reverse the Medicaid cuts in Trump's mega-bill passed this summer and extend tax credits that make health insurance premiums more affordable for people who purchase through the marketplaces established by the Affordable Care Act.

The Senate rejected the measure Tuesday on a 55-54 vote that fell short of the 60 votes needed to advance the bill.

New York Senators Charles Schumer and Kirsten Gillibrand both opposed the measure.

Gillibrand, in a statement Wednesday night, blamed Republicans for the shutdown.

"Today, President Trump and congressional Republicans proved that they would rather shut down the government than make Americans’ health care more affordable," Gillibrand said Wednesday.

"If we don’t extend the health care assistance that families rely on, many Americans will have to make impossible choices: pay rent or see a doctor; put food on the table or buy their child’s medication; keep their small business afloat or offer their employees health insurance. This is a Republican-manufactured health care crisis with potentially life-threatening consequences."

Schumer, along with House Democratic Leader Hakeem Jeffries, said they were ready to look for a path forward.

"Democrats remain ready to find a bipartisan path forward to reopen the government in a way that lowers costs and addresses the Republican healthcare crisis. But we need a credible partner," Schumer and Jeffries said in a joint statement Wednesday.

"Over the last few days, President Trump’s behavior has become more erratic and unhinged. Instead of negotiating a bipartisan agreement in good faith, he is obsessively posting crazed deepfake videos."

Here are some things to know:

What Happens In A Shutdown?

When a lapse in funding occurs, the law requires agencies to cease activity and furlough “non-excepted” employees. Excepted employees include those who work to protect life and property. Typically, they stay on the job but don’t get paid until after the shutdown ends.

The White House’s Office of Management and Budget has threatened the mass firing of federal workers in a shutdown. An OMB memo said those programs that didn’t get funding through Trump’s mega-bill this summer would bear the brunt of a shutdown.

That would be a much more aggressive step than in previous shutdowns, when furloughed federal workers returned to their jobs once Congress approved government spending.

What Government Work Will Continue?

A great deal, actually.

FBI investigators, CIA officers, air traffic controllers and agents operating airport checkpoints keep working. So do members of the Armed Forces.

Those programs that rely on mandatory spending also generally continue during a shutdown. Social Security payments continue going out. Seniors relying on Medicare coverage can still see their doctors and health care providers and submit claims for payment and be reimbursed.

Veteran health care also continues during a shutdown. Veterans Affairs medical centers and outpatient clinics will be open, and VA benefits will continue to be processed and delivered. Burials will continue at VA national cemeteries.

Will The Mail Be Delivered?

Yes. The U.S. Postal Service is unaffected by a government shutdown. It's an independent entity funded through the sale of its products and services, not by tax dollars.

What Closes During A Shutdown?

All administrations get some leeway to choose which services to freeze and which to maintain in a shutdown.

The first Trump administration worked to blunt the impact of what became the country's longest partial shutdown in 2018 and 2019. But in the selective reopening of offices, experts say they saw a willingness to cut corners, scrap prior plans and wade into legally dubious territory to mitigate the pain.

Each federal agency develops its own shutdown plan. The plans outline which agency workers would stay on the job during a shutdown and which would be furloughed.

Shutdown Practices In The Past

Some agencies have recently updated plans on their websites. Others still have plans that were last updated months or years ago, providing an indication of past precedent that could guide the Trump administration.

Here are some excerpts from those plans:

Health and Human Services: The agency will furlough about 41 percent of its staff out of nearly 80,000 employees, according to a contingency plan posted on its website. The remaining employees will keep up activities needed to protect human life and property.

Centers for Disease Control and Prevention: The agency will continue monitoring for disease outbreaks. Direct medical services through the Indian Health Service and the National Institutes of Health Clinical Center will remain available. However, the CDC communications to the public will be hampered and NIH will not admit new patients to the Clinical Center, except those for whom it's medically necessary.

Food and Drug Administration: The agency says its “ability to protect and promote public health and safety would be significantly impacted, with many activities delayed or paused.” For example, the agency would not accept new drug applications or medical device submissions that require payment of a user fee.

Education Department: About 1,500 of 1,700 employees, excluding federal student aid workers, will be furloughed. The department will continue to disburse student aid such as Pell Grants and Federal Direct Student Loans. Student loan borrowers will still be required to make payments on their outstanding debt.

National Park Service: As a general rule, if a facility or area is inaccessible during nonbusiness hours, it’ll be locked for the duration of the lapse in funding, according to a March 2024 plan. At parks where it’s impractical or impossible to restrict public access, staffing will vary by park. Generally, where parks have accessible park areas, including park roads, lookouts, trails, campgrounds, and open-air memorials, these areas will remain physically accessible to the public.

Transportation Department: Air traffic controller hiring and field training would cease, as would routine personnel security background checks and air traffic performance analysis, a March 2025 update says.

Smithsonian Institution: The Smithsonian’s National Zoo and Conservation Biology Institute, like all Smithsonian museums, receives federal funding. Thus, during a government shutdown, the zoo — and the rest of the Smithsonian museums — must close to the public, according to the notice.

Economic Fallout Expected To Ripple Nationwide

An economic jolt could be felt in a matter of days. The government is expected Friday to produce its monthly jobs report, which may or may not be delivered.

While the financial markets have generally “shrugged” during past shutdowns, according to a Goldman Sachs analysis, this one could be different partly because there are no signs of broader negotiations.

“There are also few good analogies to this week’s potential shutdown,” the analysis said.

Across the government, preparations have been underway. Trump’s Office of Management and Budget, headed by Russ Vought, directed agencies to execute plans for not just furloughs, as are typical during a federal funding lapse, but mass firings of federal workers. It’s part of the Trump administration’s mission, including its Department of Government Efficiency, to shrink the federal government.

The Associated Press contributed reporting.