Federal Funding Gaps: A Brief Overview
Jessica Tollestrup
Analyst on Congress and the Legislative Process
December 22, 2010February 24, 2011
Congressional Research Service
7-5700
www.crs.gov
RS20348
CRS Report for Congress
Prepared for Members and Committees of Congress
Federal Funding Gaps: A Brief Overview
Summary
The Antideficiency Act (31 U.S.C. 1341-1342, 1511-1519) generally bars agencies from
continued operation in the absence of appropriations. Exceptions are made under the act,
including for activities involving “the safety of human life or the protection of property.” The
interval during the fiscal year when agency appropriations are not enacted into law, either in the
form of a regular appropriations act or a continuing resolution (CR), is referred to as a funding
gap. Although funding gaps may occur at the start of the fiscal year, they also may occur any time
a CR expires and another CR (or the regular appropriations bill) is not enacted immediately
thereafter. Multiple funding gaps may occur within a fiscal year.
When a funding gap occurs, the federal government begins a shutdown of the affected agencies,
entailing the prompt furlough of non-emergencyexcepted personnel and curtailment of agency activities.
The The
general practice of the federal government after the shutdown has ended has been to pay
furloughed employees for time missed, even when no work was performed.
During the 34-year period covering FY1977-FY2010, 17 funding gaps occurred, ranging in
duration from one day to 21 full days. About half of these funding gaps were brief (i.e., three days
or less in duration). Of these, most occurred over a weekend and the disruption in federal
operations was minimal.
Almost all of the funding gaps occurred during the first half of the 34-year period between
FY1977 and FY2010. During the 16-year period covering FY1977-FY1992, 15 funding gaps
occurred. However, only two funding gaps occurred during the remaining 18 years, covering
FY1993-FY2010.
The most controversial funding gaps since FY1977 occurred in late 1995 and early 1996, when
President Bill Clinton and the Republican-controlled Congress engaged in difficult and protracted
negotiations over budget policy, resulting in the veto of a continuing resolution and several
regular appropriations acts for FY1996. Two funding gaps, amounting to five days and 21 days,
ensued leading to the initial furlough of about 800,000 federal employees.
ThereAs of the end of the 2010 calendar year, there have been no funding gaps since the two that
occurred in FY1996 as of the end of the 2010
calendar yearduring FY1996.
This report will be updated as events warrant.
Congressional Research Service
Federal Funding Gaps: A Brief Overview
Contents
Background ................................................................................................................................1
Funding Gaps: FY1977-FY2010 .................................................................................................2
Tables
Table 1. Appropriations Funding Gaps: FY1977-FY2010 ............................................................34
Contacts
Author Contact Information ........................................................................................................45
Acknowledgments ......................................................................................................................45
Congressional Research Service
Federal Funding Gaps: A Brief Overview
Background
The routine activities of most federal agencies are funded annually by one or more of the regular
appropriations acts. When action on the regular appropriations acts is delayed, a continuing
appropriations act is used to provide interim funding. Measures providing continuing
appropriations usually take the form of a joint resolution (rather than a bill) and are referred to as
continuing resolutions (or CRs).1
During the 59-year period covering FY1952-FY2010, all of the regular appropriations acts were
enacted on time in only four instances (FY1977, FY1989, FY1995, and FY1997). No continuing
resolutions were enacted for three of these fiscal years, but continuing resolutions were enacted
for FY1977 to fund certain unauthorized programs whose funding had been dropped from the
regular appropriations acts.2 Further, no continuing resolutions were enacted for FY1953, even
though all but one of the regular appropriations were enacted late. 3
The Antideficiency Act (31 U.S.C. 1341-1342, 1511-1519) generally bars agencies from
continued operation in the absence of appropriations.4 Exceptions are made under the act,
including for activities involving “the safety of human life or the protection of property.”5 The
interval during the fiscal year when agency appropriations are not enacted into law, either in the
form of a regular appropriations act or a CR, is referred to as a funding gap.6 Although funding
gaps may occur at the start of the fiscal year, they also may occur any time a CR expires and
another CR (or the regular appropriations bill) is not enacted immediately thereafter. Multiple
funding gaps may occur within a fiscal year.
In 1980 and 1981, Attorney General Benjamin Civiletti issued opinions clarifying the need for
federal agencies to begin terminating regular activities immediately upon the occurrence of a
funding gap.67 Consequently, when a funding gap occurs, the federal government begins a
shutdown of the affected agencies. A shutdown entails the prompt furlough of non-emergencyexcepted
personnel and curtailment of agency activities, including the provision of many services to the
public. The general practice of the federal government after the shutdown has ended has been to
pay furloughed employees for time missed, even when no work was performed. 7
1
1
For a discussion of continuing resolutions generally, see CRS Report RL30343, Continuing Resolutions: Latest
Action and Brief Overview of Recent Practices, by Sandy Streeter.
2
P.L. 94-473 made continuing appropriations through March 31, 1977. P.L. 95-16 extended the date of the budget
authority contained within P.L. 94-473 through April 30, 1977.
3
Section 1414 of P.L. 82-547 (66 Stat. 661) made regular appropriations enacted late available as of July 1, 1952 (the
first day of FY1953) and ratified any obligations incurred before their enactment.
4
The Antideficiency Act is discussed in CRS Report RL30795, General Management Laws: A Compendium, by
Clinton T. Brass et al. In addition, the Government Accountability Office provides information about the act online at
http://www.gao.gov/ada/antideficiency.htm.
5
See 31 U.S.C. §1342.
6
The text of the opinions is included in Appendix IV and Appendix VIII to then General Accounting Office (now
Government Accountability Office) report PAD-81-31, Funding Gaps Jeopardize Federal Government Operations,
March 3, 1981.
7
For a discussion of federal government shutdowns, see CRS Report RL34680, Shutdown of the Federal Government:
Causes, Processes, and Effects, by Clinton T. Brass.
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Federal Funding Gaps: A Brief Overview
In most cases, funding provided in regular appropriations acts is available to be obligated only in a single fiscal year,
so that in the event that no subsequent budget authority is provided, agencies may not enter into further obligations. In
these instances, budget authority that had previously been enacted and available for obligation for longer periods (e.g.,
multi-year or “no-year” appropriations) would generally remain available. For further information on multi-year and
no-year appropriations, see CRS Report RS20441, Advance Appropriations, Forward Funding, and Advance Funding,
by Sandy Streeter.
7
The text of the opinions is included in Appendix IV and Appendix VIII to then General Accounting Office (now
Government Accountability Office) report PAD-81-31, Funding Gaps Jeopardize Federal Government Operations,
March 3, 1981.
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Federal Funding Gaps: A Brief Overview
public. The general practice of the federal government after the shutdown has ended has been to
pay furloughed employees for time missed, even when no work was performed. 8
To avoid funding gaps and their unwanted consequences, proposals have been offered from time
to time to establish an “automatic continuing resolution” (ACR) that would provide a fallback
source of funding for activities, at a restricted level, in the event the timely enactment of
appropriations is disrupted.89 The funding would become available automatically and remain
available as long as needed so that a funding gap would not occur and the furlough of federal
employees would be avoided (or at least severely limited). Although the House and Senate have
considered ACR proposals in the past, none have been enacted into law.
Funding Gaps: FY1977-FY2010
As Table 1 shows, there were 17 funding gaps during the 34-year period beginning with FY1977 9
FY197710 and continuing through FY2010. The enactment of a CR on the day after the previous CR
CR expired, which has occurred often, is not counted as involving a funding gap. During the past 11
11 fiscal years (covering FY2000-FY2010), for example, “next-day” CRs were enacted 14 times.
Almost all of the funding gaps occurred during the first half of the 34-year period. During the 16year period covering FY1977-FY1992, 15 funding gaps occurred. However, only two funding
gaps occurred during the remaining 18 years, covering FY1993-FY2010.
Multiple funding gaps occurred in four instances: (1) three gaps covering a total of 28 days in
FY1978; (2) two gaps covering a total of four days in FY1983; (3) two gaps covering a total of
three days in FY1985; and (4) two gaps covering a total of 26 days in FY1996.
Six of the funding gaps commenced with the beginning of the fiscal year on October 1. The
remaining 11 funding gaps occurred at least several days after the fiscal year had begun. Nine of
the funding gaps ended in October, four ended in November, three ended in December, and one
ended in January.1011
Funding gaps ranged in duration from one to 21 full days. Six of the seven lengthiest funding
gaps, lasting between 8 and 17 days, occurred between FY1977 and FY1980, before the Civiletti
opinions were issued. After the issuance of these opinions, the duration of funding gaps in general
shortened considerably, typically ranging from one to three days. Of these, most occurred over a
weekend and the disruption in federal operations was minimal.
An important exception to this trend occurred in late 1995 and early 1996, when President Bill
Clinton and the Republican-controlled Congress engaged in difficult and protracted negotiations
over budget policy, resulting in the veto of a continuing resolution and several regular
appropriations acts for FY1996. Two funding gaps, amounting to five days and 21 days ensued,
leading to the initial furlough of about 800,000 federal government employees.11
8
was in late 1995 and early 1996, during the two most recent
funding gaps that occurred between November 13-19, 1995, and December 15, 1995, through
8
For a discussion of federal government shutdowns, see CRS Report RL34680, Shutdown of the Federal Government:
Causes, Processes, and Effects, by Clinton T. Brass.
9
For more information on this topic, see CRS Report RL30339, Preventing Federal Government Shutdowns:
Proposals for an Automatic Continuing Resolution, by Robert Keith.
910
FY1977 marked the first full implementation of the congressional budget process established by the Congressional
Budget Act of 1974, which moved the beginning of the fiscal year to October 1.
1011
The enactment of a series of continuing resolutions for a fiscal year is discussed in CRS Report RL32614, Duration of
of Continuing Resolutions in Recent Years, by Jessica Tollestrup.
11
For a more detailed account of these funding gaps, see the 1995 Congressional Quarterly Almanac, “Overview:
Government Shuts Down Twice Due to Lack of Funding,” pp. 11-3 through 11-6.
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Federal Funding Gaps: A Brief Overview
There have been no funding gaps since the two that occurred in FY1996 as of the end of the 2010
calendar year.
Table 1. Appropriations Funding Gaps: FY1977-FY2010
Fiscal Year
Date Gap Commenceda
Full Day(s) of
Gaps
Date Gap Terminatedb
1977
Thursday, 09-30-76
10
Monday, 10-11-76
1978
Friday, 09-30-77
12
Thursday, 10-13-77
Monday, 10-31-77
8
Wednesday, 11-09-77
Wednesday, 11-30-77
8
Friday, 12-09-77
1979
Saturday, 09-30-78
17
Wednesday, 10-18-78
1980
Sunday, 09-30-79
11
Friday, 10-12-79
1981
—
—
—
1982
Friday, 11-20-81
2
Monday, 11-23-81
1983
Thursday, 09-30-82
1
Saturday, 10-02-82
Friday, 12-17-82
3
Tuesday, 12-21-82
1984
Thursday, 11-10-83
3
Monday, 11-14-83
1985
Sunday, 09-30-84
2
Wednesday, 10-03-84
Wednesday, 10-03-84
1
Friday, 10-05-84
—
—
1986
—
1987
Thursday, 10-16-86
1
Saturday, 10-18-86
1988
Friday, 12-18-87
1
Sunday, 12-20-87
1989
—
—
—
1990
—
—
—
1991
Friday, 10-05-90
3
Tuesday, 10-09-90
1992
—
—
—
1993
—
—
—
1994
—
—
—
1995
—
—
—
1996
Monday, 11-13-95
5
Sunday, 11-19-95
Friday, 12-15-95
21
Saturday, 01-06-96
1997
—
—
—
1998
—
—
—
1999
—
—
—
2000
—
—
—
2001
—
—
—
2002
—
—
—
2003
—
—
—
2004
—
—
—
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Federal Funding Gaps: A Brief Overview
Fiscal Year
Date Gap Commenceda
Full Day(s) of
Gaps
Date Gap Terminatedb
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Federal Funding Gaps: A Brief Overview
January 6, 1996. In the lead-up to the first funding gap, only three out of the 13 yearly
appropriations acts had been signed into law12 and budget authority, which had been provided by
a CR13 since the start of the fiscal year, expired at the end of the day on November 12. On
November 13, President Clinton vetoed a CR14 that would have extended budget authority
through December 1, 1995, because of the Medicare premium increases contained within the
measure.15 The ensuing funding gap resulted in the furlough of around 800,000 federal workers.
After five days, a deal was reached to end the shutdown and extend funding via a CR through
December 15. 16 Agencies that had been zeroed out in pending appropriations bills were funded at
a rate of 75% of FY1995 budget authority. All other agencies were funded at the lower of the
House- or Senate-passed level of funding contained in the FY1996 full-year appropriations bills.
The CR additionally contained an agreement between President Clinton and Congress regarding
future negotiations to lower the budget deficit within seven years.17
During the first and second FY1996 funding gaps, an additional four annual appropriations
measures were enacted, and three others were vetoed.18 The negotiations on the six remaining
bills were unsuccessful before the budget authority contained within the CR expired at the end of
the day on December 15, 1995. Roughly 280,000 executive branch employees were furloughed
during the funding gap between December 15, 1995, and January 6, 1996, government
contractors were reportedly laid off, and the delivery of government services to the public was
delayed. 19 A CR to provide benefits for veterans and welfare recipients and to keep the District of
Columbia government operating was passed and signed into law on December 22, 1995. 20 The
12
The Military Construction Appropriations Act, H.R. 1817 (P.L. 104-32), was enacted on October 3, 1995. The
Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, H.R. 1976
(P.L. 104-37), was enacted on October 21, 1995. The Energy and Water Development Appropriations Act, H.R. 1905
(P.L. 104-46), was enacted on November 13, 1995. The Legislative Branch Appropriations Act, H.R. 1854 (104th
Cong.) was vetoed on October 12, 1995.
13
H.J.Res. 108 (P.L. 104-31).
14
H.J.Res. 115 (1044th Cong.).
15
Message to the House of Representatives Returning Without Approval Continuing Resolution Legislation,”
November 13, 1995, William J. Clinton, Public Papers of the Presidents of the United States, 1995, Book 2, July 1 to
December 31, 1995, p. 1755. See also “Clinton Vetoes Stopgap Bill to Keep Federal Government Open,” CQ Today,
November 14, 1995.
16
H.J.Res. 122 (P.L. 104-56).
17
For a summary of the first FY1996 funding gap and government shutdown, see “Overview: Government Shuts Down
Twice Due to Lack of Funding,” Congressional Quarterly Almanac, 104th Cong., 1st sess. (1995), vol. LI, pp. 11-3
through 11-6; “Special Report – Budget Showdown: Day by Day,” CQ Weekly, November 18, 1995.
18
The Department of Transportation and Related Agencies Appropriations Act, H.R. 2002 (P.L. 104-50), was enacted
on November 15, 1995. The Treasury, Postal Service, and General Government Appropriations Act, H.R. 2020 (P.L.
104-52), was enacted on November 19, 1995. The Legislative Branch Appropriations Act, H.R. 2492 (P.L. 104-53) was
enacted on November 19, 1995. The Department of Defense Appropriations Act, H.R. 2126 (P.L. 104-61), was enacted
on December 1, 1995. The Department of Interior and Related Agencies Appropriations Act, H.R. 1977 (104th Cong.),
was vetoed on December 18, 1995. The Department of Veterans Affairs and Housing and Urban Development, and
Independent Agencies Appropriations Act, H.R. 2099 (104th Cong.), was vetoed on December 18, 1995. The
Department of Commerce and Related Agencies Appropriations Act, H.R. 2076 (104th Cong.), was vetoed on
December 19, 1995.
19
For further information on the effects of the second FY1996 funding gap, see Dan Moran and Stephen Barr, “When
Shutdown Hit Home Ports, GOP Cutters Trimmed Their Sails,” Washington Post, January 8, 1996.
20
H.J.Res. 136 (P.L. 104-69).
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Federal Funding Gaps: A Brief Overview
shutdown officially ended on January 6, 1996, when the first of a series of CRs to reopen federal
government and provide budget authority through January 26, 1996,21 was enacted.22
As of the end of the 2010 calendar year, there have been no funding gaps since the two that
occurred during FY1996.
Table 1. Appropriations Funding Gaps: FY1977-FY2010
Fiscal Year
Date Gap Commenceda
Full Day(s) of
Gaps
1977
Thursday, 09-30-76
10
Monday, 10-11-76
Friday, 09-30-77
12
Thursday, 10-13-77
Monday, 10-31-77
8
Wednesday, 11-09-77
Wednesday, 11-30-77
8
Friday, 12-09-77
1979
Saturday, 09-30-78
17
Wednesday, 10-18-78
1980
Sunday, 09-30-79
11
Friday, 10-12-79
1981
—
—
—
1982
Friday, 11-20-81
2
Monday, 11-23-81
Thursday, 09-30-82
1
Saturday, 10-02-82
Friday, 12-17-82
3
Tuesday, 12-21-82
1984
Thursday, 11-10-83
3
Monday, 11-14-83
1985
Sunday, 09-30-84
2
Wednesday, 10-03-84
Wednesday, 10-03-84
1
Friday, 10-05-84
1986
—
—
—
1987
Thursday, 10-16-86
1
Saturday, 10-18-86
1988
Friday, 12-18-87
1
Sunday, 12-20-87
1989
—
—
—
1990
—
—
—
1991
Friday, 10-05-90
3
Tuesday, 10-09-90
1992
—
—
—
1993
—
—
—
1994
—
—
—
1995
—
—
—
Monday, 11-13-95
5
Sunday, 11-19-95
Friday, 12-15-95
21
Saturday, 01-06-96
1978
1983
1996
Date Gap Terminatedb
21
H.J.Res. 134 (P.L. 104-94). H.R. 1358 (P.L. 104-91) and H.R. 1643 (P.L. 104-92) were also enacted on January 6.
These two CRs provided budget authority for some federal government activities until the end of FY1996.
22
For a summary of the second FY1996 funding gap and government shutdown, see “Overview: Government Shuts
down Twice Due to Lack of Funding,” Congressional Quarterly Almanac, 104th Cong., 1st sess. (1995), vol. LI, pp. 113 through 11-6; “Funding Expires Again in Budget Stalemate.” CQ Weekly, December 23, 1995; “Congress Clears
Bills to Reopen Government,” CQ Today, January 8, 1996.
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Federal Funding Gaps: A Brief Overview
Fiscal Year
Date Gap Commenceda
Full Day(s) of
Gaps
Date Gap Terminatedb
1997
—
—
—
1998
—
—
—
1999
—
—
—
2000
—
—
—
2001
—
—
—
2002
—
—
—
2003
—
—
—
2004
—
—
—
2005
—
—
—
2006
—
—
—
2007
—
—
—
2008
—
—
—
2009
—
—
—
2010
—
—
—
Source: Prepared by the Congressional Research Service.
a.
Gap commenced at midnight of the date indicated. The enactment of a CR on the day after the previous CR
expired, which has occurred often, is not counted as involving a funding gap.
b.
Gap terminated due to the enactment of a continuing resolution or one or more regular appropriations
acts.
Author Contact Information
Jessica Tollestrup
Analyst on Congress and the Legislative Process
jtollestrup@crs.loc.gov, 7-0941
Acknowledgments
The original version of this report was written by Robert Keith, formerly a Specialist in American National
Government at CRS. The listed author has revised and updated this report and is available to respond to
inquiries on the subject.
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