The U.S. federal government shutdown went into effect Oct. 1, and its impacts extend well beyond Washington, D.C., and are expected to affect both the travel and retail industries as well.
In late September, the U.S. Travel Association sent a letter to congressional leadership underscoring the detrimental impacts a government shutdown could have on the travel economy.
“A shutdown is a wholly preventable blow to America’s travel economy — costing $1 billion every week — and affecting millions of travelers and businesses while placing unnecessary strain on an already overextended federal travel workforce,” wrote U.S. Travel Association President and CEO Geoff Freeman.
The U.S. Travel Association also reported that the travel economy is at risk of losing $1 billion a week due to disruptions in air and rail travel along with the closure of some national parks and museums.
The association said a survey from Ipsos also shows that a large majority of Americans believe a U.S. government shutdown will cause economic harm and disrupt air travel. According to the survey:
- 60% of Americans reported that they would cancel or avoid trips by air in the event of a shutdown
- 81% of Americans agree that government shutdowns hurt the economy and inconvenience air travelers
- 88% of Americans agree members of Congress from both parties should work together to avoid a government shutdown
“The longer a shutdown drags on, the more likely we are to see longer TSA lines, flight delays and cancellations, national parks in disrepair and unnecessary delays in modernizing travel infrastructure. Nearly nine in 10 Americans agree Congress should work together to prevent a shutdown,” added Freeman.
Since the federal government shutdown began, several government-owned or funded attractions along with their gift shops have temporarily closed. Destinations such as the U.S. Capitol Visitor Center are closed during the federal government shutdown, according to Destination DC, which serves as a marketing organization for Washington, D.C.
Some federal government-owned attractions remain open, though. The Smithsonian’s museums, research centers and the National Zoo are all open this week, according to a press release on the Smithsonian website. The Smithsonian says its attractions are using prior-year funds to remain open at least through Saturday, Oct. 11.
While National Park Service is affected by the government shutdowns, many national parks are still accessible but may have limited services. Nonprofit-owned shops and visitor centers may still be open at these destinations. As an example, the Grand Canyon National Park is open and accessible, but entrance fees will not be collected, and National Park Service-owned buildings are closed. Grand Canyon Conservancy, a nonprofit operating at Grand Canyon National Park, reports that its operations, retail stores and buildings will remain open at the park.
The National Retail Federation also reports that a government shutdown poses challenges for the retail industry.
“On behalf of our members and the consumers they serve, we urge Congress to act swiftly to reopen the federal government,” NRF says. “With the holiday season fast approaching, the economic uncertainty caused by a government shutdown is both unnecessary and damaging, further eroding consumer confidence at a critical time. While retailers face many external challenges beyond the control of policymakers, this is not one of them. A shutdown is avoidable, and its impact is entirely within the power of Congress to resolve. We respectfully ask that every effort be made to resort full government operations as quickly as possible.”
