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Government Is Closed, But Obamacare Exchanges Are Open

Government terminology is always misleading, with the names themselves meant to describe what the government wants the public to perceive, rather than what it truly means. As of 12:01 AM ET, the government is so-called closed, but the so-called Obamacare exchanges are open. Here is your guide to both misnomers.

Obamacare exchanges are not exactly exchanges, because mandated government-run healthcare does not exactly represent willing, open-market participants freely giving and receiving goods. Nevertheless, Americans can finally log on to the insurance-purchasing websites, or virtual Obamacare exchanges. Given the well-documented software glitches in the prelude to enrollment day, what will happen when millions of Americans jump online is not yet known. However, other questions will have to be answered before federally subsidized coverage begins on Jan. 1, 2014.

One of the most import of the issues is whether or not millions of Americans will find premium costs to be higher or lower compared with customers’ existing policies, as several think-tanks have already forecasted. Another question is whether or not Americans’ confusion about the many mandatory changes to the U.S. health care system remain. The latest Gallup survey found awareness of the new Obamacare exchanges is low among the uninsured, with less than half planning to get coverage through them.

The battle for information and education on the law continues. A new site, OptedOut.org, particularly targets young people to provide answers to the many questions they still have and encourages them to opt-out. They tout the slogan, “Young Americans Had Options Before Obamacare. We Still Do!”

Ultimately, it remains to be seen whether or not the country will benefit in the end, when an estimated 48 million uninsured Americans get access to coverage or will Obamacare kill even more jobs, resulting in the “train wreck” its author called it. The latest CNN poll shows opposition to the law was exploding on the eve of the Obamacare exchanges officially being open for business. Conducted from Sept. 27 – 29, the survey found the gap between Americans who oppose and support the law to be 19 percent, with opposition being at 57 percent to just 38 percent who support the law.

Second, a partial government shutdown does not mean the functions of government cease. Only functions that are deemed “nonessential” services are temporarily discontinued. Even before the deadline, the White House budget office ordered agency heads to execute an “orderly shutdown” of their operations due to lack of funds. If Democrats always make it seem as if the sky is about to fall, Americans will be poisoned by bacteria-laden foods without the FDA, grandma and grandpa will go hungry without their Social Security and veterans  will go without care and compensation, then someone should provide a guide to government shutdowns.

Although it’s been 17 years since the last government shutdown, this is actually the 18th shutdown since 1977. Some of the Democrats’ claims regarding what happens when there is a funding lapse are absolutely ridiculous, with Senator Tom Harkin (D-IA) talking the cake when he claimed that a shutdown would be “as dangerous as the break-up of the Union before the Civil War.” Below is a Q&A provided by the Heritage Foundation, which will put some fears to rest, and hopefully better educate the American public on the realities of a partial government shutdown.

Q: Are government shutdowns and funding lapses unusual?

A: No, such a lapse in funding would be neither unusual nor catastrophic. There have been 17 funding gaps just since 1977 ranging in duration from one to 21 days. Under applicable federal law, operations and services would continue for those essential for “the safety of human life or the protection of property,” as well as those programs funded through multiyear or permanent appropriations.

Q: What actually happens during a so-called government “shutdown?”

A: The truth from the experience of prior shutdowns, applicable federal laws, Justice Department legal opinions, and Office of Management and Budget (OMB) directives, is that crucial government services and benefits would continue without interruption. In fact, as the Justice Department said in a legal opinion in 1995, “the federal government will not be truly ‘shut down’…because Congress has itself provided that some activities of Government should continue.” Any claims that not passing a continuing resolution (CR) will result in a “shutting down” of the government “is an entirely inaccurate description,” according to the Justice Department.

Q: Would retirees and veterans get their benefit checks?

A: Yes, mandatory government payments such as Social Security and veterans’ benefits would continue to be paid. During a prior government shutdown in 1995, 80 percent of Social Security Administration employees kept working because they were considered “essential” to making benefit payments.

Q: Would national security suffer from a shutdown?

A: No, national security, including the conduct of foreign relations by the President, is considered an essential function that would continue.

Q: Would food and drug safety be compromised by a shutdown?

A: No, the federal government would continue to conduct testing and inspection of food, drugs, and hazardous materials, because these are considered essential for the safety of Americans.

Q: Would we still be able to travel?

A: Yes, the government has said during prior shutdowns that the air traffic control system and other transportation safety operations are essential to the safety of the country and would continue to operate. So air traffic controllers would keep directing air traffic at airports around the country, and you would continue to be searched by agents of the TSA when you board a flight.

Q. What would a shutdown mean for implementation of Obamacare?

A. Some parts of Obamacare are funded with multiyear appropriations and would not be affected by a lapse in current funding. Other parts are not. While the Administration may have some funding available to continue to implement those parts of Obamacare, it would not be able to legally implement all of the many different parts of the law. There is no doubt, however, that the President is likely to assert that all of the different parts of the law are “essential” and should continue to operate even without funding.

Q: What happens to federal law enforcement activities?

A: During a shutdown, all federal law enforcement and border control functions continue to operate. So the FBI would continue to make arrests and conduct criminal investigations. The U.S. Border Patrol would continue to patrol the American borders. The federal Bureau of Prisons stays open, and convicted criminals are not released.

Q: Would there be any problems with the Federal Reserve and the Treasury Department’s supervision of our financial system during a shutdown?

A: No, all activities essential to preserving the money and banking system of the U.S., including borrowing and tax collection, would continue. So the IRS would keep on collecting the tax revenues that help pay for the operation of the federal government.

Q: What if there is a natural disaster like a hurricane during a government shutdown?

A: Emergency and disaster assistance are considered essential to protecting life and property, so federal disaster assistance continues during a government shutdown.

Q: Would many federal employees be furloughed?

A: Federal employees who are not considered essential would be furloughed; based on prior funding lapses, this is a relatively small number of employees in comparison to the entire federal workforce. When President Bill Clinton vetoed a continuing resolution in November 1995 in a dispute with the House of Representatives over a balanced budget and welfare reform, only about 800,000 out of a total of almost 4.5 million federal employees were furloughed. In a second funding gap from December 1995 to January 1996, only about 300,000 employees were furloughed. So the vast majority of federal workers will keep right on working.

Also of note, NASA is one those federal government agencies that will experience a near total closure during the shutdown, but it should not endanger American astronauts who are currently in space.

“NASA will shut down almost entirely, but Mission Control will remain open to support the astronauts serving on the space station,” U.S. President Barack Obama said Monday during a statement delivered from the White House.

House Speaker John Boehner was burning the midnight oil – actually, the 1:30 AM oil – when he gave a brief press conference offering the Senate a chance to go into conference in order to “resolve our differences.” But Harry Reid has given no inclination that he is willing to compromise on anything.

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Richard D. Baris

Rich, the People's Pundit, is the Data Journalism Editor at PPD and Director of the PPD Election Projection Model. He is also the Director of Big Data Poll, and author of "Our Virtuous Republic: The Forgotten Clause in the American Social Contract."

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Richard D. Baris

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