Possible Federal Shutdown Will Have Mild Local Effects, Say Experts

Life won’t change too much in , at least in the short-term, if the federal government does shut down Friday night in the face of a budget impasse, say local government officials and financial experts.

National media outlets reported all day on Thursday that the federal government is close to shutting down if a 6-month federal budget deal cannot be negotiated.

According to a statement from U.S. Rep. Tim Bishop, if a shutdown occurs, “the government stops all non-essential services, while essential services, such as the armed forces, border protection, air traffic controllers, and police and fire departments will continue to operate.” The Postal Service and the Federal Reserve, which are both self-funded, will also continue to operate.

said that it’s unlikely that a federal shutdown will affect the operations of town government in the short-term.

“We receive very little federal support, and [when we do] it is typically in the form of reimbursement,” he said. “Our budget will get us through any difficulties this would present if a shutdown takes place … the state and the county are likely to be more affected than local municipalities.”

an accountant in Southold, said that those who have recently filed tax returns — especially those who have paper filed — might have to wait longer for their refund. But he said he wasn’t too worried.

“It’s all politics,” he said. “You have to take it all with a grain of salt. They’ll find a way to get it done, they always do. Meanwhile, we’ll continue to keep doing what we’re doing.”

Ben Sargent, an accountant in Aquebogue, agreed.

“Unless you work for the government, the likely impact will be refunds coming back slower than usual,” he said. “There is no reason to suspect people won’t get them and as far as I’ve heard, no impact on filing.”

Hundreds of people, many who live in Southold, do work for the federal government on at its long-standing animal disease research center, which is overseen by the Department of Homeland Security. John Verrico, spokesman for the science and technology directorate for Homeland Security, said that "no critical operations would be shut down in any of our facilities." Other inquires regarding the effects of a federal shutdown on Plum Island were not returned by press time.

Rep. Bishop’s statement went on to say that during a shutdown, most non-essential government employees will be furloughed from their jobs, federal employees that are furloughed will not receive pay, and federal contractors will not be paid and will not be eligible for back pay. During the last shutdown in 1996, the government also closed national parks, museums and monuments across the nation.

Rep. Bishop added that those on Social Security should continue to receive regular payments.

“Current law suggests that the Social Security Administration has the authority to continue mailing checks, as was the case during the last government shutdown in 1996,” Bishop said. “Though checks will continue to mail, a number of Social Security employees will be furloughed, which means new Social Security claims may not be processed.”

For more information on what might happen if the federal government shuts down, go to http://www.timbishop.house.gov/index.cfm?sectionid=79&sectiontree=3,79&itemid=1872