What does the Government Shutdown Mean for Hollywood?

January 16, 2018
Posted in News
January 16, 2018 Hollywood Chamber of Commerce

What does the Government Shutdown Mean for Hollywood?

With the White House and Congress unable to negotiate funding for the Federal Government, a partial shutdown is in effect.

With a record-breaking government shutdown still in effect, we have the info you need on how it might affect you http://time.com/5498424/shutdown-impacts-tax-refunds-mortgage-loans/

But what does that mean for Hollywood?

More than 800,000 federal employees will be forced to go without pay over the holidays – including 420,000 federal employees who still have to show up to work, including:

  • More than 41,000 Federal Law Enforcement and Correctional Officers, including:
  • Up to 88 Percent of Department of Homeland Security Employees, including:
  • As many as 6,000 Forest Service Firefighters

Food Safety Inspections Will Be Significantly Curtailed.  During a shutdown, the FDA is unable to support the majority of its food safety activities.  It has to curtail its inspections of domestic food facilities.  For example, in the 16-day GOP shutdown in 2013, the FDA had to delay nearly 360 food safety inspections.

Consumer Protection Efforts and Identity Theft Victim Services Will Be Stopped.  Most staff at the Federal Trade Commission, the Consumer Product Safety Commission, and the Federal Communications Commission will be furloughed.  Many services for identify theft victims will halt.  In addition, customer service at the IRS will be suspended.

Small Business Loans Will Be Halted.  A shutdown halts federal loans to small businesses.  During a shutdown, the Small Business Administration stops approving applications for small businesses to obtain loans and loan guarantees, which typically amount to $1 billion per month.  For example, during the 16-day GOP shutdown in 2013, the SBA was unable to process about 700 applications for $140 million in small business loans.

Some U.S. Exports Will Be Delayed in the Middle of the Holiday Season.  For example, the Treasury Department’s Alcohol and Tobacco Tax and Trade Bureau is unable to issue export certifications for beer, wine and distilled spirits during a shutdown because their staff is furloughed.  During the 16-day GOP shutdown in 2013, the Bureau failed to respond to 100 requests from 65 businesses for these certifications.  As a result, more than two million liters of U.S. products were left sitting in ports, unable to ship.

All Visitor Services in the National Parks Will Be Suspended.  While the Trump Administration is claiming that  the National Parks will be “open” in a shutdown (on the grounds that there will not be barriers put up to prevent entry),  the fact is that there will be no services for visitors to National Park Service sites – with restrooms, visitors’ centers, and interpretative programs all closed during a shutdown.  The vast majority of National Park Service employees will be furloughed.  Also, law enforcement staffing will be sharply curtailed, so visitors’ safety will be put at risk.

During A Difficult Time for Farmers, Critical Services Will Be Stopped.  As farmers begin to make their plans for next year’s planting season, the Department of Agriculture will be forced to close Farm Service county offices throughout the nation and stop providing aid to farmers already hard hit by the Trump trade war. With the dramatic drop in commodity prices brought on by the trade war, many farmers have had to rely on USDA as their lender of last resort to help pay the bills and stay afloat.

Home Mortgage Applications Will Be Slowed.  In a shutdown, the Federal Housing Administration (FHA) will see significant delays in loan processing and approvals, due to the required furloughs of most employees.  Thousands of people trying to buy a new home or refinance a FHA-insured mortgage will be put on standby.

Excerpts compiled from communications from the Offices of Representative Adam Schiff and Speaker Designate Nancy Pelosi.


About the Hollywood Chamber of Commerce:

For more than 97 years, the Hollywood Chamber of Commerce has provided leadership, business development resources, networking, and government affairs programs and services to keep the Hollywood business and residential communities safe, relevant and economically vital. Donelle Dadigan is the Chair of the Hollywood Chamber of Commerce Board of Directors 2018-19, and Rana Ghadban is the President/CEO of the Hollywood Chamber of Commerce. For more information please visit www.hollywoodchamber.net.

Follow us on Social Media
Twitter: @HollywoodArea
Facebook: HollywoodChamberCA
Instagram: HollywoodChamberofCommerce
LinkedIn: HollywoodChamberofCommerce