United States Federal Government Shutdown of 1995 and 1996 - Event

Event

On November 14, major portions of the federal government suspended operations. The Clinton administration later released figures detailing the costs of the shutdown, which included payments of approximately $400 million to furloughed federal employees who did not report to work.

The first budget shutdown concluded with Congress enacting a temporary spending bill, but the underlying disagreement between Gingrich and Clinton was not resolved, leading to the second shutdown.

A 2010 Congressional Research Service report summarized other details of the 1995-1996 government shutdowns, indicating the shutdown impacted all sectors of the economy. Health and welfare services for military veterans were curtailed; the Centers for Disease Control and Prevention stopped disease surveillance; new clinical research patients were not accepted at the National Institutes of Health; and toxic waste clean-up work at 609 sites was halted. Other impacts included: the closure of 368 National Park sites resulted in the loss of some seven million visitors; 200,000 applications for passports and 20,000 to 30,000 applications for visas by foreigners went unprocessed each day; U.S. tourism and airline industries incurred millions of dollars in losses; more than 20% of federal contracts, representing $3.7 billion in spending, were affected adversely.

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