Haslam: 10 days until state agencies feel pain of federal shutdown

Just over half of Tennessee’s state agencies will feel some impact if the partial shutdown of the federal government stretches on for more than 10 days, according to the governor’s office.

The state health department would have to reduce staffing for its Women, Infants and Children program after 10 days, and the issuance of handgun permits and commercial driver licenses with hazmat endorsements would be affected due to required background checks, according to the administration.

As Gov. Bill Haslam hinted at yesterday, the Department of Human Services expects a long-term shutdown would mean a shortage in federal funds for food stamps, which would require the department dip into state funds. Payments to managed care organizations under the Medicare program could also be "distrupted," according to the governor's office.

The state’s Economic and Community Development Department would see delays in reimbursements for federally-funded programs, and if the shutdown persists, infrastructure grants to community could be impacted, the state reported.

Eleven other agencies said they expect no impact by the shutdown. Here's the full rundown for all state agencies, per the governor's office.

Federal Government Shutdown Summary

No impact: 11 departments

Some impact: 11 departments (Only if shutdown is longer than 10 days)

Significant impact: 1 department

No Impact

Children's Services


Finance and Administration

Financial Institutions

General Services

Human Resources

Intellectual and Developmental Disabilities




Veteran's Affairs

Some Impact


Some federally-funded food programs may be affected if shutdown lasts longer than one month

Commerce and Insurance

Consumers needing help with the exchange may not be able to reach federal call center staff.  This may cause a significant influx of calls to our Insurance consumer assistance section.  Additionally, (if shutdown is lengthy) Medicare payment to Tennessee MCOs may be disrupted.

Economic and Community Development

Reimbursements may be delayed for federally-funded programs.  If lengthy, grants to communities for infrastructure will be affected.


Impact on technical assistance.  If lengthy, funding to districts may experience delays.

Environment and Conservation

Slower review of permits that require federal review and slower processing of federal grants.


WIC (Women, Infants and Children) program can only sustain a shutdown to approximately October 10th.  A prolonged shutdown could affect personnel as much of the federal funding Health receives covers administrative costs.

Labor and Workforce Development

If longer than 7-10 days, OSHA would need to be funded with state dollars.  If prolonged shutdown, staffing would need to be adjusted.

Mental Health and Substance Abuse Services

Funding available for the next three months.  If prolonged, federal funds would end by approximately January 2014.


Weekend drills and annual trainings will not be conducted.  Students who are in schools will be recalled.  Monthly pay may be affected depending on length of shutdown.


[nothing listed by Haslam administration]

Safety and Homeland Security

Possible impact on the issuance of handgun permits and commercial driver licenses with hazmat endorsements due to background checks.

Significant Impact

Human Services

SSA and SNAP programs can only sustain themselves for a limited period without federal funding.  Federal funds would expire within 10 weeks, with some variations and some state funds still remain.  SSA indicated that they would restore any state funds that are used to cover FFY 14 expenses.  DHS would need to make staffing adjustments downward according to funding streams.