How the Federal Government Shutdown Impacts Coastal Bend Businesses and Military Families

Ginny Cross

VP of Advocacy

Shutdowns are harmful to the economy, the American people, and U.S. national security.

The current federal government shutdown, which began on October 1st after Congress and the Administration failed to reach an agreement on federal funding, has now become the longest full government shutdown on record. This marks the sixth shutdown since 1995, and history shows that each one leaves lasting ripple effects across the economy, including here in the Coastal Bend.

Coastal Bend Businesses Feel the Strain
Small businesses are the backbone of the Coastal Bend economy, and many rely on timely government operations to keep business running smoothly. Federal loan programs, permitting agencies, and contracting offices have slowed or stopped altogether, creating uncertainty for businesses planning to expand, hire, or invest in new projects.

When the government partially shut down from December 2018 to January 2019, economists estimated that it reduced economic output by $11 billion over the following two quarters, $3 billion of which was never regained. For local small businesses the longer this shutdown continues, the harder recovery becomes.

Impact on Military Members and Families
Corpus Christi is proud to be home to Naval Air Station Corpus Christi, NAS Kingsville, Corpus Christi Army Depot, Coast Guard Sector Corpus Christi, Coast Guard Air Station Corpus Christi, and thousands of active-duty service members, veterans, and civilian employees who support our nation’s defense. A prolonged shutdown adds unnecessary uncertainty for these families. Delayed pay, frozen benefits, and limited access to base services strain household budgets and morale.

The ripple effect extends to local businesses including restaurants, retailers, and service providers who rely on steady military spending as part of our regional economy. Simply put, a shutdown disrupts not only government operations but also the economic ecosystem that supports military communities like ours.

Supporting Our Military Community
As the shutdown continues, the Chamber will be contributing to local organizations to support the men and women of our military and Coast Guard and their families. If you would like to contribute, please click here: https://coastguardfoundation.org

A Call for Action
The United Corpus Christi Chamber of Commerce joins the U.S. Chamber of Commerce in urging Congress and the Administration to come together, reach a bipartisan agreement, and restore stability to the federal government. A functioning government is not just about politics. It is about ensuring that businesses can operate, military families are supported, and communities like the Coastal Bend can continue to thrive.

Military and Family Support Resources

  • NAS Red Cross: Provides emergency support, financial aid, and counseling services for military members and their families.
  • Coastal Bend Food Bank: Distributes food and essential supplies to individuals and families in need throughout the Coastal Bend.
  • Military One Source: A Department of Defense resource offering confidential help, financial guidance, and family support.
  • Military Spouse Jobs: Connects military spouses with employment opportunities, training programs, and career resources.

Coastal Bend Business Funding Resources

If you or your business are impacted by the shutdown, please reach out to the United Corpus Christi Chamber of Commerce for support, guidance, or connections to these community resources. Together, we can help our region stay strong and resilient.


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