Developments: SEC Announces Plans in the event of a Shutdown
Below is a reprint of what I consider a good overview of the contingency plans for the looming government shutdown announced by the U.S. Securities and Exchange Commission (SEC) written by my colleague Edward Johnsen. In a separate note entitled “Here comes the Shutdown: Key Points” which deals with the mechanics of the shutdown more generally (see link at end of post), Stephen Phillips, another colleague, notes that in the past 36 years, there have been a series of government funding crises in the U.S. including 17 government shutdowns, though none since 1996. In addition, Congress has enacted numerous continuing resolutions during this period to fund operations and avoid shutdowns. Given this history, he notes, that the U.S. government has experience in preparing for funding gaps and government shutdowns. Indeed, since 1980, the U.S. Office of Management and Budget (OMB) has required every department and agency to develop and maintain a plan for “an orderly shutdown” in case of a lack of appropriations.