Approximately 800,000 federal workers are on involuntary furlough until Congress approves a new government spending bill. The Democrats, who now control the House of Representatives, have been unwilling to go along with the president’s insistence on including over $5 billion to construct a border wall. Trump claims that the wall is a matter of national security, yet no threat to our country has come from anyone crossing the U.S./ Mexico border, and the Democrats in Congress are willing to increase funding to Homeland Security for other means of border security that have been shown to be effective.
In the ranking of states most affected by the shutdown, Maryland is number three. The ranking is based on: (1) federal employment compared with total federal employment; (2) federal contract dollars per capita; (3) the number of families receiving food stamps; (4) real estate as a percentage of gross state product; and (5) access to national parks. Only Washington, DC and New Mexico are more affected than Maryland. So-called blue states are slightly more affected than so-called red states, because federal jobs are more concentrated in Democratic-leaning states.
The agencies most affected by the shutdown are Agriculture, Commerce, Justice, Homeland Security, Housing and Urban Development, Interior, State, Transportation, and Treasury. House Speaker Nancy Pelosi has stated that she plans to introduce legislation to fund parts of the government currently part of the shutdown, including the Treasury Dept. and IRS. The Speaker stated, "This action is necessary so that the American people can receive their tax refunds on schedule. The certainty of the tax returns of hard-working families should no longer be held hostage to the president’s reckless demands."
The shutdown of the Department of Agriculture is probably the one that will have the greatest impact on the Eastern Shore, however, it’s not just federal workers and workers on federal government contracts that are affected by the shutdown. Small businesses in areas where workers are concentrated will also experience loss of income. Those who are waiting for Small Business loans will now have a longer wait. Families who depend on food stamps, with the shutdown of the Department of Agriculture, will suffer as well. In addition, farmers will be waiting on subsidy payments, loans and data they need now to make plans for the spring, according to an article by Rick Barrett. Applications are on hold for a $12 billion emergency aid package for farmers hurt by the retaliatory tariffs from China and other countries that resulted from tariffs imposed by Trump on exports such as soy beans. The shutdown also affects home buyers with mortgages from the USDA, who will not be able to proceed to closing. Other government backed mortgages are not affected so far, according to Janna Herron in USA Today. These include Fannie Mae, Freddie Mac and the VA.
Many national parks and wildlife refuges will remain at least partially open, but with limited access and services. This applies to those on the Eastern Shore, such as Assateague National Seashore, and both Blackwater and Eastern Neck National Wildlife Refuges. Again, small businesses in the area of the parks will no doubt suffer a loss of business.
Sources:
Christal Hayes & Michael Collins, “The government shutdown is tied for the third longest on record with no end in sight,” USA Today, 1/6/2019
Rick Barrett, “Government Shutdown could wreak havoc on farmers and the timiing could hardly be worse,” USA Today and Milwaukee Journal Sentinel, 1/4/2019
Janna Heron, “Government shutdown 2019: Homebuyers with USDA mortgages can’t close on house sales,” USA Today, 1/3/2019
Title image: Pond at Pickering Creek Audubon Center, Talbot Co. Photo: Jan Plotczyk