Unless U.S. House Speaker Kevin McCarthy, R-Calif., can muster the votes to fund the federal government by the end of the week, it could run out of money and shut down by the end of this month.
The stakes of any potential shutdown are high. But according to Vermont’s congressional delegation, they are especially so as the state works to pick up the pieces from this summer’s disastrous flooding.
The Federal Emergency Management Agency’s Disaster Relief Fund — which covers the agency’s emergency response work, as well as the financial support it provides to survivors of natural disasters in the form of individual assistance — is threatening to run dry. And the Vermont delegation has been pushing for any government funding deal to include money to refill its coffers.
In the event of a shutdown, FEMA responders are considered a critical workforce and would therefore continue to serve, even if that means without pay, pending an agreement in Congress to fund the government. That goes for employees currently stationed in Vermont, as well those working elsewhere who are processing Vermonters’ applications and appeals for disaster relief.
“All the staff that we have here in the field are all paid out of the Disaster Relief Fund. So whether there’s a shutdown or not, we continue working,” FEMA’s Vermont federal coordinating officer, Will Roy, told reporters at a press conference in Berlin last week. “And the programs that we have back at headquarters fall under the stipulation that they are critical, and so they continue to work, as well.”
But caught in the crosshairs of Congress’ quibbles over funding the government is President Joe Biden’s $16 billion request to top off FEMA’s Disaster Relief Fund — a request that Vermont’s delegation insists is essential in order to continue issuing aid to flood-impacted Vermonters and local governments.
“The harsh and totally unacceptable reality is, if the fund is empty, there’s no checks to be sent,” U.S. Sen. Peter Welch, D-Vt., told VTDigger on Tuesday.
On Tuesday afternoon, the Senate agreed on language for a continuing resolution that would fund the federal government for 45 days, including a $6 billion top-off to FEMA’s disaster relief fund. Should the continuing resolution pass, the remainder of Biden’s $10 billion ask for the federal agency would be debated for a longer term spending package. The proposal has bipartisan support in the Senate, according to Welch’s office, but faces an uphill battle in the Republican-controlled House.
Already, since Aug. 29, FEMA has been operating its Disaster Relief Fund under stricter “Immediate Needs Funding” measures, according to the agency. Those mean that when the Disaster Relief Fund does not have sufficient funds to fulfill the agency’s full statutory requirements, “FEMA must prioritize lifesaving and life-sustaining activities.” According to a FEMA fact sheet, this includes “Individual Assistance payments directly to survivors for critical needs and housing.”
“Under (Immediate Needs Funding), FEMA prioritizes response and urgent recovery efforts without interruption,” the agency’s website reads. “However, new obligations not necessary for lifesaving and life-sustaining activities will be paused.”
Welch, along with other top Vermont officials — including U.S. Sen. Bernie Sanders, I-Vt., U.S. Rep. Becca Balint, D-Vt. and Republican Gov. Phil Scott — spoke by phone last week with FEMA Administrator Deanne Criswell. According to Welch, Criswell, who had surveyed flood damage in Vermont in July, assured the officials that the Disaster Relief Fund had adequate funds to continue aiding flood-impacted Vermonters — for now.
“There’s money there now, so I don’t want Vermonters to get concerned that there’s an immediate threat,” Welch said. “But this impasse has to be resolved sooner rather than later.”
Criswell herself told reporters at a White House press conference last month that, even with the stricter funding parameters in place, “the work does not stop, right?”
“The projects continue to go underway — our longer-term recovery projects for the variety of disasters that we’ve experienced over the year,” Criswell said at the time. “The obligation or the reimbursement of the funding for those is delayed into the next fiscal year.”
Even with FEMA’s operations continuing in the event of a shutdown, Balint told VTDigger on Monday that she remains concerned about the agency’s efficiency and morale should the federal government grind to a halt.
“We’re concerned that we’re just going to impede FEMA’s ability to get money out the door,” Balint said. “Anytime you’ve got government workers who are being either furloughed or being asked to work without pay, or are literally being asked to stay home and not work — that’s going to impact places like Vermont and Hawaii who are depending on people to be at their desk doing this work.”
Even aside from the high stakes of Vermont’s flood recovery, Welch on Tuesday said a government shutdown threatens the smooth functioning of government services “that we all take for granted.”
“First of all, it’s going to hurt our credit rating, resulting in higher taxpayer costs on our debt burden,” Welch said. “Second, it does create a lot of uncertainty for people who depend on governmental services… to federal workers who don’t get paid… to the the capacity of every agency in government to function.”
“It’s a rolling process of inconvenient disruption. Nothing good comes out of a shutdown,” Welch concluded.
An earlier version of this story incorrectly stated Kevin McCarthy’s political affiliation.
