Lawmakers seek to end federal shutdown cycle: What’s open, what closes when the money runs dry

The legislation would shift the start of the federal fiscal year from October 1 to January 1. “This reform will reduce the risk of shutdowns, strengthen fiscal accountability, and improve the way we govern,” said Nadler. That’s the point where in the absence of signed budget bills, the federal government can no longer spend money to operate as usual. When a shutdown occurs, hundreds of thousands of federal employees are furloughed—placed on unpaid leave. “Federal employees are not bargaining chips,” Kelley’s statement said.