January 26, 2026
BUDGET & TAXES

Impacts of a Federal Government Shutdown: FAQ

On October 1, 2025, federal lawmakers failed to resolve a budget deadlock to start Federal Fiscal Year (FFY) 2026, resulting in a federal government shutdown. Forty days later, on November 9th, the Senate announced an agreement between Senate Republicans and eight Senate Democrats to temporarily fund the government and that agreement was signed into law by President Trump on November 12th. The funding package provided temporary funding through January 30, 2026, requiring an additional appropriations package by the end of January to prevent another shutdown.

In advance of the next potential shutdown date at the end of the month MTF has prepared this short Frequently Asked Questions brief to answer several key questions regarding the impacts of a government shutdown on Massachusetts.