Last week the U.S. House of Representatives passed a continuing resolution (CR) to keep the government funded through November 21, 2025. However, the CR legislation was not passed in the U.S. Senate, failing with a vote of 44-48. The House and Senate have now adjourned for recess this week without finding a path forward to keep the government funded past September 30, 2025.

The first Trump administration saw two government shutdowns. The first was brief and mostly fell over a weekend, January 19 – 22, 2018. The second, from December 22, 2018, through January 25, 2019, was the longest in US history at 35 days. It was a partial shutdown, given that five of the 12 annual appropriations bills had already been enacted. The shutdown only impacted agencies whose funding was part of the seven unenacted bills, including HHS.

Although there are ongoing discussions among Republican and Democratic leaders, the Senate is not currently slated to return to Washington until September 29, and the House may not return until October. If an agreement on funding legislation is not reached by September 30, there will be a government shutdown.

Potential Impacts to IDD services, given past experience, although it could change under the Trump administration:

• Medicaid will continue to fund services, and state will receive Medicaid payments, however, if the shutdown is longer than the end of the quarter, it is unknown if payments continue.
• A percentage of DHS staff, including CMS staff will be furloughed, therefore, approvals for waivers and other services may not be available.
• The Administration for Community Living has traditionally received funding during a shutdown.
• SAMHSA has historically continued substance abuse and mental health programs during previous shutdowns, including those that provide critical behavioral health resources in the event of a natural or human-caused disaster, such as disaster behavioral health response teams, the disaster distress helpline that provides crisis counseling to people experiencing emotional distress after a disaster, and the 988 lifeline to connect people in crisis with life-saving resources.
• A shutdown could impact the regulatory process. For example, if there were pending rulemaking, the Center for Medicare and Medicaid Services (CMS) staff who work on these rules, along with the Office of Management and Budget staff who review the regulations before they are released, could be furloughed in the event of a shutdown.
• Center for Medicare & Medicaid Innovation activities are funded by a separate appropriation and have historically continued.
• There are a number of health programs that have funding that expires on 9/30/25, including Medicare telehealth programs, community health centers – (FQHC’s in NJ) and DSH payments to hospitals.