Federal shutdown impacts on Interior and Reclamation

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  • Nearly 900,000 federal employees furloughed.
  • Bureau of Reclamation keeps water and power operations running.
  • A prolonged shutdown could lead to the suspension of additional projects and services.

Tuesday, October 2, 2025 — The federal government entered a shutdown on October 1 at 12:01 a.m. Eastern time after Congress failed to pass appropriations legislation for the 2026 fiscal year. The shutdown stemmed from disagreements over federal spending, foreign aid rescissions, and health insurance subsidies.

This marks the eleventh federal shutdown in U.S. history, the third under President Donald Trump, and the first since the 2018–2019 closure. Approximately 900,000 federal workers have been placed on furlough, while another 700,000 continue working without pay.

Essential services such as Medicare, Medicaid, the Transportation Security Administration, and Amtrak continue operations. However, many agencies, including the National Institutes of Health, the Centers for Disease Control and Prevention, and the Women, Infants, and Children (WIC) nutrition program, face partial or full suspensions.

The Department of the Interior, which oversees several bureaus and agencies, published a list of Bureau/Office Contingency PlansOpens in a new tab., including a contingency plan for the Bureau of ReclamationOpens in a new tab..

Bureau of Reclamation’s Role.

The Bureau of Reclamation (Reclamation) is responsible for supplying water and power to millions of people, managing dams and flood control systems, and protecting endangered species. It also oversees public access to federally managed lands and environmental systems in partnership with other agencies.

During a shutdown, some staff are designated as “Excepted” to maintain essential operations. Others may continue work with “Exempted” status if supported by non-lapsing funds. The Bureau’s September 2025 contingency planOpens in a new tab. highlights that critical operations will continue, particularly those tied to public safety, dam management, and power production.

Staffing During a Lapse in Appropriations.

Reclamation employs about 4,111 staff nationwide. Of these, an estimated 241 employees face furlough during the initial phase of the shutdown. Meanwhile, more than 3,000 employees are supported by non-lapsing funding sources and will remain at work. An additional 625 employees are retained to protect life and property.

Employees considered essential include:

  • Dam tenders, water schedulers, and treatment plant operators.

  • Power plant operators and dispatchers.

  • Security guards and regional officers protecting facilities.

  • Control center operators ensuring emergency response.

  • IT staff maintaining cyber and industrial control systems.

These employees ensure that water deliveries, power generation, and infrastructure safety remain uninterrupted.

Short-Term vs. Long-Term Shutdown Impacts.

For a short-term lapse (one to five days), the Bureau expects minimal disruption beyond the furloughs. However, if the shutdown extends, additional employees could be furloughed as carryover funding runs out. The plan estimates that two to three months of prolonged shutdown could lead to a full suspension of certain programs.

Activities that will stop during the shutdown include routine administrative work, contract processing, and most official travel. Research activities and noncritical day-to-day functions are also placed on hold.

Returning to Normal Operations.

Once appropriations are restored, Reclamation will notify all furloughed staff to return to duty. Offices and facilities will reopen, projects will resume, and shutdown records will be reconciled. The Bureau also plans to inform outside agencies and partners once operations are fully restored.


FAQ

What is the Bureau of Reclamation?
It is a federal agency under the Department of the Interior responsible for managing water and power infrastructure, including dams, canals, and power plants across the western United States.

Will my water service be interrupted during the shutdown?
No. Water deliveries and power operations continue because these services are considered essential to public safety and are supported by non-lapsing funds.

Which employees are furloughed?
Most administrative and support staff whose positions are not tied to life, property, or essential infrastructure are temporarily furloughed.

What happens if the shutdown lasts for months?
The Bureau anticipates gradually furloughing additional employees as carryover funds are depleted. This could affect long-term projects, research, and routine maintenance.

When will everything return to normal?
Full operations will resume once Congress passes appropriations legislation and the shutdown ends.

Deborah

Since 1995, Deborah has owned and operated LegalTech LLC with a focus on water rights. Before moving to Arizona in 1986, she worked as a quality control analyst for Honeywell and in commercial real estate, both in Texas. She learned about Arizona's water rights from the late and great attorney Michael Brophy of Ryley, Carlock & Applewhite. Her side interests are writing (and reading), Wordpress programming and much more.

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