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The arguments in Washington have finally gotten the attention they so eagerly awaited – the federal government’s shutdown is here.  What does that mean for North Carolina?  Unfortunately, all the states have relied on federal funds too much in recent years leaving certain citizens dependent on the federal budget.  On the bright side, freedom still exists, and some in North Carolina will benefit from this shutdown.

The Good,

There is always a silver lining, and this situation is no different.  Contrary to what media might be reporting, the Blue Ridge Parkway is open and allowing those autumn leaf watchers the opportunity to see the full splendor of the North Carolina mountains.  The shutdown affects federally run facilities within the park such as visitor centers, staffed rest areas, and campgrounds, but the road is open.  This will force travelers to explore some of the small towns off the parkway for meals, restrooms, and shopping.  The Charlotte Business Journal reports:

"Without the convenience of comfort stations every 20 or 30 miles, travelers will want to scope out less obvious places to take a break," says Wit Tuttell, director of tourism marketing for the N.C. Department of Commerce’s Division of Tourism, Film and Sports Development. "The payoff for mapping out the possibilities is discovering some of the small-town gems on the journey."

The Bad,

The greatest impact has been seen in Fayetteville, the major city nearest Fort Bragg.  A study conducted by the Fayetteville Regional Chamber in 2011 showed that more than 37 percent of the region’s business was related to the military.  While the shutdown does not affect active duty military and law enforcement, 14,500 civilian employees have been furloughed, since they are considered non-essential for the safety of life and protection of property.  There is a similar situation at Camp Lejeune.  In the Raleigh area, the Research Triangle Park is home to the largest Environmental Protection Agency (EPA) office outside Washington, D.C.  Those 2,000 workers have also been sent home without pay until the shutdown is over.

State government will be affected; many federal programs are required by federal law but are executed through the states, so the shutdown leaves these programs without funding and employees without pay.  Some programs are jointly funded through both state and federal monies, so employees administering these will continue to work but will have their salaries reduced by the federal amount until a budget is enacted.  The budget director for North Carolina sent a letter to agency department heads on Monday outlining the procedures for shutdown.  The following are the list of federal spending actions that will continue amidst the shutdown:

  1. Programs with multi-year appropriations and indefinite appropriations,
  2. Programs with forward funded appropriations,
  3. Federal grants with prior September 30th funding that is authorized and appropriated,
  4. Functions that address emergency circumstances, such that the suspension of the function would imminently threaten the safety of human life or the protection of property,
  5. Federal programs/grants designated by Office of Management and Budget to continue.

The departments most effected by this shutdown are Health and Human Services, which furloughed 337 workers this week, along with the NC Department of Environment and Natural Resources, the Employment Security Commission, and the Department of Public Safety.

And the Ugly

Some of you might remember the last federal government shutdown that happened in 1995 and 1996, when the Republican controlled Congress saw sparks fly between themselves and then President Bill Clinton.  The shutdown lasted a total of 28 days (Nov 14-19, 1995 and Dec 16, 1995-Jan 6, 1996) and was widely blamed on then Republican Speaker Newt Gingrich.  This time it seems the majority of people are siding with the Republican Congress, and the Democratic Senate and President Obama are the ones being blamed.  So even though it seems the blame has been shifted, we are already at day #3 with no compromise anticipated in the near future.  The last shutdown was for a total of 28 days, and even though all North Carolinians don’t feel it yet, eventually those furloughs in Fayetteville and Raleigh will begin to have an effect.

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