Rep. Edwards' Statement on Government Shutdown and Additional Information

10/1/13

I released the following statement on the shutdown of the federal government.

“I am outraged and saddened by the events that have unfolded in the House of Representatives. Three times, House Republicans have had the opportunity to take up a bill to fund our government, and three times they have insisted on attaching proposals to shut down the government. Tonight, they got their wish.

“Instead of keeping 124,000 Maryland federal employees on the job, Republicans want to put insurance companies back in charge of Americans’ healthcare. Instead of making sure that 443,076 Maryland veterans receive their benefits, Republicans are bowing to the demands of the extreme Tea Party wing of their party.

“The impact of a government shutdown to families in Maryland’s 4th Congressional District and the economy in our region cannot be overstated. The time for political games and fiscal brinksmanship is long over. I will continue to fight to make sure House Republicans take up and pass a clean budget bill that funds our government."

I am also an original cosponsor on H.R. 3223, the “Federal Employee Retroactive Pay Fairness Act”, which would ensure all federal employees receive retroactive pay for the duration of a federal government shutdown, regardless of individual furlough status.

“Republicans are once again threatening to shut down the federal government unless their ideological demands are met. Yet, it is the American people, including millions of federal workers, and the U.S. economy who will pay the price. After three years of a pay freeze, and sequestration that forced many to take unpaid furloughs, this legislation is critical to ensure our federal workers receive the back-pay they deserve if Republicans force a government shutdown. The time is long over-due to provide certainty to our dedicated public servants, who we rely on for public safety, research, and national security. Let’s not let partisan Republican politics trump America’s federal workforce.”

Maryland Information

Please visit the MD Department of Labor, Licensing, and Regulation website for unemployment information in Maryland: (http://www.dllr.state.md.us/employment/unemployment.shtml).

There is also a lot of additional information on the shutdown already on the Department's website: http://www.dllr.state.md.us/employment/uifedshutdownlead.shtml

Here are some answers to some of the most basic questions:

Will unemployment benefits continue during a federal government shutdown?

? Yes. Unemployment compensation is a federal, State program administered by State agencies. In Georgia, the first 14-20 weeks of unemployment are State benefits. In most cases, if there is a short-term, federal government shutdown, unemployment benefits should not be interrupted, but individuals should check with their State agencies for information about their specific concerns.

I am a federal employee. Am I eligible for unemployment benefits?

? Yes, furloughed federal employees are eligible for unemployment benefits. Benefits are administered by State agencies. Please remember that unemployment benefits are distributed weekly, but you must be out of work for a pay period to prove loss of benefits. Also, you cannot receive both unemployment benefits and a federal salary. Please check the Georgia Department of Labor website for eligibility requirements and application procedures.

? The U.S. Department of Labor and OPM issued general guidance.

Will federal employees receive pay for furloughed days?

Unsure. Federal employees should look to OPM and your agency guidelines for answers to this question. I cosponsored bipartisan legislation, H.R. 3223, the Federal Employee Retroactive Pay Fairness Act, and I am fully committed to federal employees being paid retroactively after the government resumes operations. This is what happened after the 1995 and 1996 government shutdowns. Many Members continue to ask the Republican Leadership to pledge to not further punish federal employees; so far, they refuse to commit.

I am a government contractor. What should I expect?

? If you are a government contractor, you should discuss with your management how their government contract is structured. Unfortunately in the 1995 and 1996 shutdowns, contractors were not compensated. Today, there are many more contractors and different types of contract agreements than there were in 1990s. Regardless, you should start researching and planning now.

Will I receive my Social Security payments?

? Yes. Social Security checks will continue to be processed and mailed, but new claims may not be processed, and questions and inquiries may not be answered due to furloughed staff.

Will Veterans’ hospitals continue to operate?

? Yes. VA hospitals will probably remain open, but there may be service or benefit cuts. Please note, however, that VA call centers and hotlines will cease to function.

I am a veteran or military retiree. Will I receive my pension?

? Payments for the month of October are scheduled to be delivered on October 1, 2013. If the shutdown is prolonged, there may be delays in processing future benefits and new claims since VA staff may be furloughed.

? Additionally, the approaching October 17th debt ceiling deadline will also affect the availability of funds to pay retirees.

I am a disabled veteran. Will I receive my benefits on time?

? Claims processing and payments in the compensation, pension, education, and vocational rehabilitation programs are anticipated to continue through late October. However, in the event of a prolonged shutdown, claims processing and payments in these programs would be suspended when available funding is exhausted. There may also be delays in the processing of any new claims for disability compensation, and VA staff may be furloughed.

? Please note that VA call centers and hotlines will cease to function.

I receive Veterans Affairs (VA) life insurance payments. Can I expect to receive my VA life insurance payments on time?

? Maybe; it depends on who administers your VA life insurance program. If your VA life insurance program is administered by Prudential (that is, Servicemembers Groups Life Insurance and Veterans Group Life Insurance) then you should not see any delay in the processing of your VA life insurance claim or payments. VA life insurance programs administered by the Department of Veterans Affairs, however, may be impacted depending upon the shutdown plan for that agency. It is possible the Department of Veterans Affairs may process benefit claims related to deaths so as to avoid causing grieving families any further mental anguish.

I am a veteran student who receives benefits under the GI Bill or the Veterans Educational Assistance Program (VEAP). Will I continue to receive payments on time?

? Maybe, depending on the length of the federal government shutdown. Veteran students receiving monthly stipends under the GI bill and who verified their enrollment at the end of September should receive their regular monthly stipend for the month of October as planned. Please note that the length of the federal government shutdown may delay future monthly stipends. Any educational benefits for veterans based on reimbursement (that is, by bills sent to the Department of Veterans Affairs) may experience delays in processing and payment.

I am a federal government retiree. Will I receive my pension?

? Most likely, yes. If you already receive pension benefits, you should continue to receive payments. The Retirement Fund is not impacted by the lapses in Federal appropriations. Checks are mailed on the first of every month, and benefit checks for the month of October are currently scheduled for October 1, 2013.

? Please note, however, delays in processing existing payments and any new claims remain a possibility as OPM has not made or issued any definitive staffing decisions regarding essential personnel in the event of a federal government shutdown.

? Unfortunately, the approaching October 17th debt ceiling deadline will also affect the availability of funds to pay retirees.

I’m on Medicare. Will I still be able to see my doctor?

? Yes, Medicare patients can still see their health care providers and those providers will continue to submit bills and get paid for their services. Unfortunately, new Medicare beneficiaries might not be accepted into the program.

Will my mail delivery continue?

? Yes. The U.S. Postal Service is self-funded and will continue to deliver mail.

I am a small business who is currently waiting on an SBA loan from the Small Business Administration. Will I still receive the money from my loan on time?

? Maybe, but you should contact your lender immediately. If the SBA has already processed your loan guaranty then your lender should be able to disburse your loan funds to you in a timely manner. Businesses are likely to face delays if the SBA has not yet processed their loan guaranty approval. Again, businesses seeking SBA loans should contact their lender immediately as SBA support services are likely to be suspended during a shutdown.

I am a veteran currently awaiting a VA home loan. Can I expect any delays?

? Maybe. There may be delays in processing VA home loan applications depending on the shutdown plan for the Department of Veterans Affairs. Please check the VA website for the most recent updates.

I am in the middle of buying a home; what should I expect?

? You should contact your lender immediately; individual lenders will decide whether to close or not to close.

? All 80 regional Department of Housing and Urban Development (HUD) offices will close. The Federal Housing Administration (FHA), which insures and guarantees a large number of single-family mortgages and rental and multifamily properties, will stop operations.

I am facing foreclosure on an FHA-backed loan. Does the clock stop?

? Most loss mitigation for homeowners facing foreclosure (including FHA loan modifications, FHA-HAMP, etc.) will continue.

? For a variety of housing questions, the HUD/FHA Resource Center: (800) CALL-FHA (225-5342), and the HUD/FHA National Servicing Center: (877) 622-8525 will be available.

What will happen to colleges and universities?

? Depending on how long the government remains closed, many colleges and universities will probably avoid mass layoffs. Most schools have a mix of federal, state and private funds and will have to be flexible with their revenue to keep the lights on. Unfortunately, colleges and universities may be in the midst of processing federal aid, and many will not be able to process awards for incoming students. Please contact your specific college or university for more information.

I am a United States citizen living abroad. Will the local United States embassy be open?

? Yes. United States embassies will remain open to some degree, but United States citizens living abroad should expect delays in any application or processing requests as staff furloughs are likely.

What other things may happen?

In the case of this shutdown, many more agencies and services – including the U.S. Congress -- would be impacted. The Congressional Research Service prepared a report which I have made available on my website that outlines the causes and effects of a federal government shutdown.

For example, during the 1995 and 1996 government shutdown certain services ceased:

• The Centers for Disease Control and Prevention (CDC) ceased disease surveillance;

• 368 National Park Service sites were closed;

• Veterans services were cut; and

• Tens of thousands visas and passports went unprocessed each day.

Due to the unprecedented scope of this potential shutdown, my staff is working diligently to help constituents answer questions about what services would be suspended.

*Please note, geography matters: If you are a federal employee who works in DC or VA, you need to file your claim in that jurisdiction, not the state of your residence.

QUESTION: "if the federal government shuts down, are the furloughed employees who live in MD eligible for UI benefits?"

ANSWER: Furloughed employees may, depending on circumstances, already be getting benefits and they should continue to file. If they are on partial furlough and not eligible for benefits, they should file a new claim. If they are getting a partial benefit and they become fully unemployed, they should continue to file and report their income which would be reduces or zero. We would adjust the benefits accordingly.

QUESTION: What if retroactive pay is provided?

ANSWER: This would result in an overpayment of benefits and the employee would be responsible to repay the benefits. See the message below that is on our website and our Federal application for benefits:

NOTE: If Federal employees are later paid for time not worked, the payment will be considered back pay and it will result in an overpayment of any unemployment insurance benefits paid

Federal Frequently Asked Questions