Government Shutdown: What Happened in 1995? – Terra.com
AP
As Americans turn to their local news outlets for more information on the 2011 government shutdown, many may recall that the U.S. has been through this crisis several times before.
The most talked about words today and certainly throughout the weekend will be the looming ‘government shutdown’ that almost seems unavoidable. With the deadline just hours away and no negotiation in sight many Americans wondered how the closures will affect them. Still, this isn’t the first or, even, the second time that the U.S. has faced a shutdown.
In 1995, a very similar scene played out for then President Bill Clinton and House Speaker Newt Gingrich. Clinton was a Democrat in the White House, not unlike our current President Obama, and Gingrich was a Republican leading Congress, not unlike current House Speaker John Boehner. Clinton and Gingrich fought over government spending and several other big issues like Medicaid, Medicare, education, taxes, and the environment.
The federal government shutdown in November 1995 for six days and again in April of 1996. From the six days that the U.S. government was shutdown in 1995, Clinton’s administration released details of what the closures cost American taxpayers. The total: $800 million!
Taxpayers foot the bill for the shutdown, which resulted in outrage. The bill was divided into furloughed payment to federal employees who could not work for the pay at $400 million and $400 million in lost revenue because the IRS enforcement divisions had to close.
So, who do you think wins when there’s a government shutdown?