Current Situation
Congress is approaching a fiscal deadline of September 30, after which existing federal funding will expire unless a stopgap funding measure is passed. Earlier today, Republican leadership in the House approved extending government funding at current levels through November 21, while Democrats are pushing for alternative legislation that includes additional healthcare spending. The two parties are expected to remain deadlocked, increasing the risk that non-essential federal services may be disrupted if an agreement is not reached before the deadline.
Why Brewers Should Care
A government shutdown could create serious challenges for small producers across the brewing industry. The Alcohol and Tobacco Tax and Trade Bureau (TTB) would lose “non-essential” personnel, disrupting services such as label and formula approvals, brewer’s notices, and other types of permits and approvals. While the collection of federal excise taxes would continue, other essential administrative functions would likely be delayed or suspended.
If you are starting or expanding your business, new or pending Small Business Administration (SBA) loans could be stalled, as banks may not receive loan approvals during a shutdown. Payments on existing loans would continue.
What Brewers Can Do
Preparation is the most effective tool to mitigate these risks. Submitting applications to the TTB well in advance can reduce potential delays. Although the agency’s goal to turnaround label and formula approvals is 15 days, current processing times are considerably shorter (approximately two days for malt beverage labels and one day for formulas). Acting early ensures that your brewery is better positioned if a shutdown occurs.
Brewers should also proactively engage with other federal agencies they work with. Reach out to your agency contacts and ask whether contingency plans are in place and whether your business will be directly affected. Having this information now can provide peace of mind and allow you to focus on broader industry challenges.
Stay Engaged
Shutdowns and other federal legislative developments directly affect breweries and the industry at large. To ensure your perspective is represented, consider attending the 2026 Hill Climb in Washington, D.C., this February. Participation provides an opportunity to engage with lawmakers on the issues most critical to your business and to the future of independent brewing.
