Possible Government Shutdown: Impacts to Brewery Operations

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The U.S. government has until 11:59 p.m. ET on Friday, March 22, to pass the partial fiscal year 2024 spending budget, which includes funding for the Department of the Treasury that oversees the Alcohol and Tobacco Tax and Trade Bureau (TTB). Although the first portion of the spending bill already passed, Congress has been delayed in introducing the second measure due to negotiations on homeland security funding. This delay could potentially result in a partial government shutdown.

If a shutdown occurs, the Brewers Association does not anticipate it will be for an extended period of time, however, it is possible that the TTB will be impacted should a shutdown extend into next week. The TTB employees that approve labels, formulas, and brewer’s notices are considered non-essential, meaning they will not be allowed to work during any potential shutdown. Should a shutdown occur, breweries should be prepared for some delay in approvals.