In the event of a government shutdown, 31 U.S.C. § 1341 prohibits federal officials from incurring obligations in the absence of appropriations. Federal agencies, including the Federal Energy Regulatory Commission (“FERC” or “Commission”), will be required to furlough the bulk of their staff and halt their nonessential activities. FERC has released its “Plan for Operating in the Event of a Lapse in Appropriations” which details which functions will be halted in the event of a government shutdown. Notably, the Commission will cease the acceptance of public filings and postpone all deadlines and due dates, halt contractual support services, and request a stay in all matters pending before the courts.
During a government shutdown, agencies may only continue to perform essential activities which are necessary to protect public safety or ensure an orderly shutdown. The Commission has a limited number of functions which fall within this exception and its activities will be limited to inspecting and licensing hydroelectric and LNG projects, and monitoring for market manipulation, threats to electrical infrastructure, and bulk power reliability. In addition, due to their status as presidential appointees exempt from furlough, the five Commissioners may continue work and issue decisions on excepted activities.
