Catalyst Biweekly Policy Briefing Issue XXIV: Stuck at a Standstill

Hi all — Katie here, stepping in while Megan takes a much-deserved sabbatical this month.

Here’s a look at what happened this week. Catch up on our previous installments of this briefing here.

THE FACTS

THE SHUTDOWN

• As of this morning, the federal shutdown has entered its 24th day, making it the second-longest shutdown in history, with negotiations still at a standstill. It reached that mark on October 22, surpassing the 21-day shutdown under President Clinton. The longest shutdown on record remains 35 days, during President Trump’s first term. On Wednesday, the Senate rejected the GOP’s continuing resolution for the 12th time.
• As of this week, about 1.4 million federal workers are going without pay, including 730,000 who are not furloughed and still reporting to work without receiving a paycheck.
  • On October 15, when active-duty military members were set to miss their first paycheck, the president issued an order to pay all troops using other funds available from the Department of Defense. The Pentagon shifted unused money from research and development to pay troops, but it’s unclear how the administration will secure more funds to cover the next payday on October 31.
  • Some affected workers have taken to social media to share their stories.
  • San Diego Rep. Scott Peters and Michigan Rep. Bill Huizenga have introduced the bipartisan No Budget, No Pay Act, which would bar Congress from being paid if it fails to pass a budget on time.
• As of Monday, the federal judiciary has run out of funds to stay fully operational and will continue only with functions required by the Constitution. The Supreme Court ran out of money on October 18 and is now closed to the public. The justices are not expected to return to the bench until November 3.
• The Trump administration tried to turn furloughs into permanent layoffs, but a federal court issued a temporary restraining order (TRO) halting some of the planned layoffs. However, administration officials have continued with others, arguing that many of the roughly 4,000 firings fall outside the scope of the court’s TRO.
  • Alongside layoffs, the administration is cutting numerous programs, primarily in states with Democratic governors or Republican governors who have criticized President Trump. This includes $11 billion in Army Corps of Engineers projects across 12 states and $17 million in environmental grants in San Diego County.
• Airports saw increasing delays over the weekend, adding pressure on legislators to reach at least a short-term funding agreement. About 60,000 aviation workers are currently working without paychecks.
  • Operations at San Diego International Airport remained mostly normal as of Wednesday.
• SNAP benefits, called CalFresh in California, are set to end next week on November 1 if the shutdown persists. This would affect 395,000 people across 240,000 households in San Diego County who rely on the program to feed their families. WIC (Women, Infants, and Children, a nutrition program for low-income pregnant people, new mothers, and young children) will remain temporarily funded through tariff revenues.
  • 2-1-1 San Diego provides outreach, connections, and navigation support to those impacted by this disruption. They launched a Government Shutdown webpage, and shutdown-related food-specific resources can be found here.
  • Governor Newsom is deploying the California National Guard to help with increased food bank distribution needs and is directing $80 million in state funding to support state food assistance programs.
• On Thursday, Democrats and Republicans brought forth different proposals to continue paying troops and other select federal workers. Unable to come to agreement on the details of the bills, the Senate rejected all of them.

Implications for Funders: With the shutdown now in its 24th day, demand for food banks, social services, and mental health support is rising. Funders can help by providing flexible, emergency, or bridge funding to support grantees and local organizations addressing food insecurity and financial stress. Support for navigation and outreach services, like 2-1-1, is also critical to ensure families can access resources quickly and efficiently.​​​​

NONPROFITS & EDUCATIONAL INSTITUTIONS

• The administration has made sweeping changes at the IRS, installing political allies in top positions — a move that could make investigations into left-leaning organizations easier. On Wednesday, Senate Finance Committee Democrats demanded answers from the administration, warning that politically motivated interference in tax enforcement is illegal.
• Earlier this month, the president invited nine universities to sign a “Compact for Academic Excellence in Higher Education,” offering preferential federal funding in exchange for changes to admissions policies, international student quotas, gender definitions, and other campus rules. As of the October 20 deadline, seven of the nine universities rejected the contract, including Brown University, Dartmouth College, MIT, University of Pennsylvania, USC, and the University of Virginia. Following the first rejection by MIT, President Trump opened the invitation to all universities via social media. ​​​​​​

Implications for Funders: IRS changes and federal pressure on universities are creating new challenges for nonprofits and higher education institutions. Funders can play a critical role by providing flexible, unrestricted support to help organizations navigate heightened scrutiny and maintain independence in ways that federal funding may not.

NATIONAL GUARD & ICE

• Over the past two weeks, ICE has increased detentions at the federal building in downtown San Diego, holding some people in the building’s basement for two to five days because the Otay Mesa detention facility is at capacity. On Wednesday, local leaders sent a letter requesting information about who and how many people were being detained there. Representatives Scott Peters and Juan Vargas were denied access to the basement holding facilities on Tuesday, despite federal law granting members of Congress unannounced oversight of ICE facilities.
• On Monday, the San Diego City Council passed the Due Process and Safety Ordinance, which would bar federal law enforcement from entering private areas of city-controlled buildings without a judicial warrant or court order. It would also provide privacy protections for residents using city-run systems, prohibiting the city and its contractors from collecting or sharing protected personal information. The ordinance requires a second vote, likely in November. The County agreed to draft a similar ordinance on Tuesday.
• Plans for a federal deployment of more than 100 Customs and Border Protection agents to San Francisco have been called off after President Donald Trump spoke with San Francisco Mayor Daniel Luire. The cancellation came during a protest at the Coast Guard base in Alameda, where demonstrators attempted to block federal vehicles. Federal agents deployed flash-bang grenades to disperse the crowd, resulting in injuries to at least two protesters.
  • Despite the cancellation of the operation, it remains unclear whether federal agents will continue their presence at Coast Guard Base Alameda or conduct enforcement activities elsewhere in the Bay Area. This comes a few days after the administration’s threat to deploy the National Guard to San Francisco, which Governor Newsom and Attorney General Rob Bonta have said they are prepared to challenge in court.
• On Wednesday, the 9th Circuit Court of Appeals heard arguments on whether the administration illegally deployed the National Guard to Los Angeles, raising questions that could affect other cities where troops have been sent.
  • On Monday, an appeals court allowed the deployment of troops to Portland, Oregon, but because only one of two prior orders barring the deployment was overturned, the administration still cannot officially send the National Guard. A federal judge is holding a hearing today (Friday) to consider whether to overturn the second order and the 9th Circuit is considering whether to rehear the case.
  • The administration also asked the Supreme Court to weigh in on lower court rulings blocking troop deployments in Chicago. If accepted, it would mark the first time the Supreme Court weighs in on the deployment of federal troops against U.S. cities.

Implications for funders: With ICE detentions increasing and potential National Guard deployments looming in multiple cities, immigrant communities and rapid response networks face heightened risk and urgent needs. Funders can help by supporting organizations that provide legal aid, emergency relocation, and direct protection for those at risk of detention.

POLITICAL & CIVIL DEVELOPMENTS

• North Carolina has entered the redistricting debate, passing a map that would add one Republican seat to the U.S. House. This move is likely to face legal challenges under the Voting Rights Act due to reducing the voting power of Black and minority communities. The Supreme Court is expected to rule later this year or next on a case heard earlier in October that would weaken the Voting Rights Act.

• A group in Missouri is attempting to gather enough signatures to put the state’s gerrymandered map on the ballot, allowing voters to decide whether to overturn it.

• California’s special election on Prop 50, which would decide if congressional maps would be redrawn to add Democratic seats to the House to offset Republican ones added elsewhere, is right around the corner. In San Diego, the proposed maps would significantly change the 48th Congressional District.

• On October 18, roughly 7 million people across 2,700 events protested the Trump administration in “No Kings” protests. At least 15 rallies were held across San Diego and Imperial Counties.

• On the same day, sections of the I-5 were closed by the government in a military demonstration featuring Vice President JD Vance and Secretary of Defense Pete Hegseth. Live munitions were fired over the freeway, one striking a California Highway Patrol vehicle.

• On October 15, all but one press outlet walked out of the Pentagon after rejecting agreements that would have restricted their reporting rights. The administration replaced the journalists who left with 60 right-leaning media organizations that agreed to only report on information the administration approved.

RESOURCES

• Learn about the power of data in advocacy: This report shows how the National Council of Nonprofits, United Philanthropy Forum, and Council on Foundations used data to influence key provisions in HR1.

• Explore disruptions to the sector: The Urban Institute released a report outlining how government funding disruptions have affected the nonprofit sector this year.

• Attend the United Philanthropy Forum’s Virtual Policy Institute: The packed agenda has been released for the November 5th event.
• Map the new districts: This mapping tool from The Center for Inclusive Democracy shows how the proposed new districts being voted on in the special election could affect your region.
• Complete the public-private partnerships survey: The United Philanthropy Forum is seeking input on how philanthropy across the country is partnering with the government. Take the survey by October 31.

Talk to you soon,

Katie Janowiak
SVP, Strategy & Impact
Catalyst of San Diego & Imperial Counties