Shutdown day 8: What you need to know
October 8th, 2013
12:59 PM ET
6 months ago

Shutdown day 8: What you need to know

The partial government shutdown is now in its eighth day. While some people aren't feeling the impact yet, effects are hitting communities across the country.

Here's what you need to know.

What's happening in Washington (or, what's not happening)

While Republicans and Democrats are expected to do a lot of talking Tuesday, little of it is with members of the opposite party to work on a way to break the stalemate.

House Speaker John Boehner indicated that he's willing to talk. He told reporters Tuesday he's "not drawing any lines in the sand." "I want to have a conversation," he told reporters in Washington. "It's time to ... resolve our differences."

President Obama called Speaker Boehner Tuesday morning – just minutes after his statement. The president said he is willing to negotiate, but only “after the threat of government shutdown and default have been removed.” In other words, nothing’s changed.

Obama could move the discussion forward when he speaks to reporters Tuesday afternoon.

And Senate Democratic and Republican leaders will also talk to reporters - separately - after their weekly lunches.

Debt ceiling debate: Preaching to the choir

Setting up the next fiscal fight, Senate Democrats could up the ante by filing a bill today that would lift the country's debt limit and force Republicans to go on record as having voted against it. The Treasury runs out of ways to pay its debts sometime after next Thursday, which administration officials say would be catastrophic to the country's economy. But some on the right aren't so sure that would be a bad thing.

The bill would increase the debt ceiling until after the 2014 elections and does not include any of the demands issued by Republicans, such as reductions in government spending and changes to the health care law.

The Senate has not agreed to take up a bill, however, that would provide back pay to furloughed government workers. The House passed it Saturday. The second-ranking Senate Republican, Sen. John Cornyn of Texas, said, "I think it's really premature to be dealing with that until we resolve the underlying problem."

What history says

The White House vows it will not negotiate any policy concessions attached to an increase in the nation's debt ceiling, hoping to avoid a sideshow every time the limit needs to be raised. But there is precedent for Congress to link other issues to such a hike.

• In 1989, the House and Senate agreed to repeal a tax rule approved three years earlier barring discrimination in employer-paid health insurance plans.

• And in 2011, an increase in the debt ceiling was allowed after promised budget cuts outlined in the Budget Control Act.

• Even more, in the 1970s and 1980s, votes on the debt limit included requirements for a balanced budget vote, a cigarette tax and the push for an alternative minimum tax.

Your count seems a bit off

Boehner said he doesn't have the votes to pass a "clean" continuing resolution - a bill with no strings attached that would fund the government for the next month or two.

But CNN surveyed the House and found that 218 lawmakers would support a "clean" government funding bill. CNN has identified 200 Democrats and 18 Republicans who would support such a measure. That is one more than the 217 is the number of votes needed to pass a bill in the House.

Shutdown showdown: Where it's headed

Additionally, if Boehner brought a "clean CR" to the floor, there's a good chance a lot more Republicans would probably join in, one Republican said. But the 17 who said publicly they'd vote for a clean CR declined an opportunity in a procedural vote Monday night to break with their party on the funding issue.

There's your problem right there

John King, CNN chief national correspondent, says the problem with the current stalemate is a lack of trust.

"(W)hat you don't have is that basic trust and the people who matter most - the people who can deliver a deal to the finish line - sitting down together. In part because the president says he won't negotiate at all on the issue of a government shutdown, and he won't negotiate for the debt ceiling increase.

"So, the trust deficit at the moment is still in the way of any progress. We're on Day 8. That debt ceiling deadline (is) now within 10 days from now. The government would run out of money within a week or two of that.

"Forgive me, but you should have Bill Murray come in and do this for the next couple days because it seems like 'Groundhog Day.' "

There's a lot of anger

Most Americans say the partial government shutdown is causing a crisis or major problems for the country, according to a new national poll.

And while the CNN/ORC International survey also indicates that slightly more people are angry at Republicans than Democrats or President Obama for the shutdown, it is clear that both sides are taking a hit.

Huge majorities of Democrats are angry at Republicans, and huge majorities of Republicans are angry at Obama and Democrats. Independents are equally angry at all sides, with 59% of independents very or somewhat angry at Democrats, six in 10 angry at the GOP, and 58% angry at Obama.

What's more, the poll indicates that 18% of the public says the shutdown is a crisis and an additional 49% say the shutdown has caused major problems.

Would a shot of caffeine help?

The Starbucks Corp. CEO is using his megaphone to express his discontent. Howard Schultz urged fellow business leaders to ratchet up the pressure on U.S. political leaders to end the stalemate.

"This weekend I heard from several business leaders who shared their concern about our relative silence and impact in urging the political leadership to act on behalf of the citizenry," he wrote in a letter posted on the company's website. "It is our responsibility to address the crisis of confidence that is needlessly being set in motion."

Government shutdown: What's closed, what's open

And a wealthy couple donated $10 million to reopen shuttered Head Start programs around the country. Laura and John Arnold's donation will allow 7,200 children to return to the early education program for low-income children.

Health concerns

While Washington politicians appear to be playing a game of chicken over who will cave first, a dangerous salmonella outbreak, probably caused from tainted chicken, has affected at least 278 people in 18 states and raises questions about food safety during the partial shutdown.

While the agency is working to contain the problem, the director of the Centers for Disease Control and Prevention, Thomas Frieden, tweeted his frustration with his agency's inability to do its job during the shutdown. "Microbes/other threats didn't shut down. We are less safe," he said via Twitter last week.

Comings and goings

The CDC's 8,754 furloughed workers are a small portion of the approximately 483,000 government employees told to stay at home during the partial shutdown.

After Defense Secretary Chuck Hagel said most of the furloughed civilians at the Defense Department would be called back to work, just 14% of federal workers are now listed as furloughed.

Obama calls Boehner as stalemate continues over shutdown, default

And the Federal Aviation Administration is telling more than 800 employees to return to work, including 600 inspectors and safety staff.

Other agencies are just now beginning their furloughs. The Nuclear Regulatory Commission said Monday it expects to furlough about 3,900 employees at the close of business Thursday if the impasse isn't resolved.

The National Guard is attempting to weather the storm.

In Florida, nearly 1,000 Florida National Guard employees were called back to work Monday, but it could be short-lived.

"We have no money to do operations and maintenance," Major Gen. Emmett Titshaw said. "We can't buy fuel, we can't buy parts, and so we are very limited in our training."

The Guard is facing another shutdown mid-month if money issues and the federal government shutdown aren't resolved.

And in Idaho, half of the state's National Guard - 850 civilian workers - has been furloughed. If there is an emergency, such as a wildfire, the state will step in and provide funding.

No fear, though. Newly elected Republican Rep. Mark Sanford of South Carolina brought the total down a few by recalling all the furloughed workers in his office.

Shutdown meltdown: for the economy

If the weeklong government shutdown stretches to a month, it would cost the economy $50 billion.
That estimate is actually $5 billion lower than the initial estimate of Mark Zandi, chief economist for Moody's Analytics. He lowered his forecast after the Defense Department recalled nearly half of 800,000 federal employees furloughed last week, and it appeared that Congress would quickly approve a measure to pay other furloughed workers retroactively.

That's only the direct impact. There are indirect costs, too.

... for consumers

Fannie Mae and Freddie Mac have relaxed rules that would have kept banks from approving mortgages during the government shutdown.

Typically, Fannie and Freddie require lenders to verify a borrower's income with the Internal Revenue Service before closing on a mortgage. But last week, some lenders reported that they could not approve the mortgages because the shutdown had severely curtailed IRS operations.

The government-backed mortgage giants have since said lenders could continue to issue new loans even without the IRS's confirmation.

... and around the world

China and Japan, which hold a combined $2.4 trillion in U.S. debt, have called for a quick resolution to the crisis and expressed worries about the economic consequences of a default.

In the first official response by China, Vice Finance Minister Zhu Guangyao said that a solution must be found quickly in order to "ensure the safety of Chinese investments" and provide stability for economies around the globe.

A senior Japanese official, speaking to the Financial Times, said that country's Ministry of Finance is "very worried," and cited the market turmoil and "chaos" brought on by the failed House vote to authorize bank bailout funds in 2008.

– CNN's Tom Cohen, Paul Steinhauser, Dan Merica, and Jeanne Sahadi and Chris Isidore contributed to this report.


Filed under: Government Shutdown
soundoff (36 Responses)
  1. Dutch/Bad Newz, VA -aka- Take Back The House -aka- No Redemption Votes

    I know everything I need to know and that's that Virginia is being hit the hardest by this shutdown. But it's all well and good. We have a gubernatorial election next month and the conservative is guaranteed to lose. This is just the beginning republicans. Prepare to reap the whirlwind next November.

    R.I.P.G.O.P. 11/14

    October 8, 2013 01:03 pm at 1:03 pm |
  2. Gurgyl

    I need to know when do the stop cutting salaries, all the benefits of these Congress Al Queda of USA?

    October 8, 2013 01:05 pm at 1:05 pm |
  3. Name jk. Sfl. GOP conservatives,the garbage of America.

    The GOP garbage of America party will lose the house in 2014 midterms. These teabag traitors have no chance of keeping the house we only need to get rid of a few to make the house dem controlled, let the republicans keep a few of their gerrymandered seats!!!!!!!

    October 8, 2013 01:06 pm at 1:06 pm |
  4. Stuffit

    Now, i am sure this cannot be right and would dismiss the report if the regime was not so corrupt, but as I understand it, although all of the open air monuments in Washington are closed to citizens, the mall will be opened to a group that supports the liberal democrat immigration reform bill. H Y P O C R I S Y.

    October 8, 2013 01:06 pm at 1:06 pm |
  5. Tabeth

    John Boehner putting the lives of millions on line...what a self will is that?

    October 8, 2013 01:12 pm at 1:12 pm |
  6. Data Driven

    The first half of this piece is just blah blah political stuff that you don't need to know, beyond the fact that John Boehner continues to be the reason for the shutdown.

    The piece gets informative in the second half, which lists some of the vulnerable people impacted by this attempt at a legislative coup d'etat, and what a sad story it is.

    Bring the vote to the floor, John.

    October 8, 2013 01:13 pm at 1:13 pm |
  7. They ought to change from the elephant to the hippo...

    The number one thing you need to know is that this is a manufactured "crisis" and Boehner is a liar when he said he didn't have enough votes for a clean CR.

    October 8, 2013 01:18 pm at 1:18 pm |
  8. Rick McDaniel

    All we need to know, is that Obama refuses to cut anything, no matter what.........EXCEPT SS for seniors........he always threatens those who have NO OTHER OPTIONS!

    October 8, 2013 01:20 pm at 1:20 pm |
  9. Sniffit

    "Here's what you need to know."

    Haha. Here's what you need to know: CNN is playing the false equivalence game because the GOP/Teatrolls have them too scared to report honestly lest they be accused of "liberal media bias."

    Here's what you need to know: "Both sides" are NOT at fault here.

    Here's what you need to know: "Both sides'" arguments are NOT equal on this.

    Here's what you need to know: "Both sides do it" is a lie because the manner in which this arose (i.e., the hostage taking ransom game) is unprecedented.

    Here's what you need to know: Forced equivalence is, in and of itself, a form of bias.

    October 8, 2013 01:21 pm at 1:21 pm |
  10. luke,az

    "No Balls" Boehner is about to lose his job. This guy is the worst Speaker of the House in the history of the US. Instead of standing up to the tea party, he capitulates. Let the tea party Taliban start their own party. They have infected the Republican party and are ruining our country.

    October 8, 2013 01:25 pm at 1:25 pm |
  11. Larry in Houston

    c'mon bo ner, man -up !! tell your T caucus that your not catering to them anymore !!!

    October 8, 2013 01:30 pm at 1:30 pm |
  12. The Elephant in The Room

    We see time and time again that the majority of Republican Congressmen are as dumb as a bag of Rocks. They are too stupid to have been given the power of their office. They are too lazy to have done the homework to understand thew implications of their Government shutdown. Now we have soldiers that have died whose families won"t get the money needed to claim the bodies, transport them or bury them because odf the Cruz-inspired shutdown. Anmd I"m sure another CYA "mini-resolution" will be coming to deflect crticism of the GOPs ignorance but the point is OPEN THE GOVERNMENT because it is not possible to understand the implications of this shutdown. They can pass anything they want, it still won't stop American troops bodies from languishing in the dessert heat.

    October 8, 2013 01:33 pm at 1:33 pm |
  13. Marie MD

    @Dutch, MD is getting hit hard also.
    We have two neighbors who are both on furlough. One works for NASA and the other is a DOD contractor.
    As far as the eunuch weeper of the house. You know where you can put that finger you are pointing while you see the country and the DOW sink!

    October 8, 2013 01:35 pm at 1:35 pm |
  14. tom l

    Please please please liberals. I'm begging you to open your eyes to this administration. So the National Mall was closed due to the govt shutdown but now it magically opens today for an immigration rally. Wow. And you guys don't think this president isn't as corrupt as any other administration? I guess he meant it when he said "reward your friends and punish your enemies"

    October 8, 2013 02:01 pm at 2:01 pm |
  15. Sam

    This is official US Government (CBO) Data for last 32 years!
    Term President Increase in Debt/GDP
    1981–1985 Reagan 11.30%
    1985–1989 Reagan 9.30%
    1989–1993 Bush Sr. 13.00%
    1993–1997 Clinton -0.70%
    1997–2001 Clinton -9.00%
    2001–2005 Bush 7.10%
    2005–2009 Bush 20.70%
    2009–2013 Obama 18.50%

    October 8, 2013 02:03 pm at 2:03 pm |
  16. Kenny K

    If John B really believe in democracy, he will put the clean CR Bill from the Senate on the floor to be voted on and let it face its fate: PASS or NOT PASS. The Senate voted on House's bill and it faced its fate: NOT PASSED. That is democracy.

    October 8, 2013 02:04 pm at 2:04 pm |
  17. Kenny K

    The Tea Party support is going to loose big time now that people have experienced the effect of "govt should not do anything". They realize that by "govt not doing anything" will hit their pocket and livelihood.

    October 8, 2013 02:09 pm at 2:09 pm |
  18. Wire Palladin, S. F.

    The republican government shut down of government is one of the most ill thought out acts of domestic terrorism we have had to endure. You right wingnuts really need to say "No!" to the Koch brothers, and not the American people.

    October 8, 2013 02:10 pm at 2:10 pm |
  19. Data Driven

    "False equivalence is a form of bias"

    I was going to praise you for that yesterday, Sniffit, before the day ran out. Love it!

    Also, the very notion of "equivalence" - outside of math or other hard science - is empirically false. One side is more right than the other; one side does the wrong thing more often than the other. People who say "they're all the same" or "both sides are to blame" are very lazy, intellectually speaking.

    October 8, 2013 02:14 pm at 2:14 pm |
  20. Cher

    Social Security Administration, Office of Disability, Adjudication and Review, Hearing Office employees' are all being deemed mission essential. They are all getting called today to return to work tomorrow

    October 8, 2013 02:15 pm at 2:15 pm |
  21. Kenny K

    @They ought to change from the elephant to the hippo...

    The number one thing you need to know is that this is a manufactured "crisis" and Boehner is a liar when he said he didn't have enough votes for a clean CR.
    ------------
    If that is how democracy work, we will not be having election in this country because one party can decide base on polls that they cannot win, and decide to postpone or not allow anybody to vote.

    October 8, 2013 02:17 pm at 2:17 pm |
  22. Gurgyl

    @Rick NcDaniel, do you think does any one pay any attention at what you write all bs. You spew venom worst than snake in 21st century knowing no one cares of your skin-color.

    October 8, 2013 02:19 pm at 2:19 pm |
  23. Data Driven

    @tom l.,

    "Please please please liberals. I'm begging"

    Ha ha, that's right, Tom, keep begging. You're rooting for the side that's rebelling against the United States of America. See how far it gets you!

    October 8, 2013 02:26 pm at 2:26 pm |
  24. Sniffit

    "Also, the very notion of "equivalence" – outside of math or other hard science – is empirically false. One side is more right than the other; one side does the wrong thing more often than the other. People who say "they're all the same" or "both sides are to blame" are very lazy, intellectually speaking."

    Indeed. It's the "easy way out" with respect to reasoning your way to an opinion on any of this. It requires no research, no understanding of the facts and no time, thought, effort or objective analysis....just a gut feeling that you're sick of all of it and don't care anymore who is really at fault. It's sort of like when the kids are fighting in the back seat of the car on a long road trip. Mom and/or dad stops giving a crap who started it because they're just too sick, tired anddistracted by other things to care anymore.

    Most importantly: It should be note that engendering such feelings in the public is a win for the GOP/Teatrolls, and should be considered support of the GOP/Teatrolls, because it is their entire foundational core of their party platform that gov't is broken, gov't can do nothing right, gov't cannot be trusted...and oh, hey look, we're going to do everything we can to break it in order to prove that to you. The more people who just throw up their hands and say "I can't take it anymore, I can't trust any of them, I don't want anything to do with it, they're all the same, it's all a farce and it's all broken," the more the GOP/Teatrolls have won.

    October 8, 2013 02:30 pm at 2:30 pm |
  25. Sniffit

    ""Please please please liberals. I'm begging""

    Nope. Sorry. We're done negotiating and begging is just a (really pathetic) form of negotiating. No quarter.

    October 8, 2013 02:32 pm at 2:32 pm |
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