After forty-three long days of frozen agencies, missed paychecks, and anxious governors, Washington is finally stirring back to life. The Senate’s late-night breakthrough on Monday cracked the stalemate and later today the House is expected to follow suit, bringing an end to the longest government shutdown in American history.

As the federal shutdown enters Day 29, Washington remains gridlocked. Both sides are entrenched, and despite a few quiet back-channel discussions, there is still no clear path forward. With President Trump abroad and Congress at a standstill, the end of this week marks a real breaking point—when millions of Americans will begin to feel the tangible effects of a month-long funding lapse.

We are on Day 15 of the federal shutdown, and Republicans appear to be holding firm. What’s striking this time is how little political pain has surfaced...at least so far. The typical flashpoints that tend to erode GOP resolve, unpaid troops and shuttered state programs, have been largely muted.

This edition looks at how a federal shutdown impacts states and, more importantly, how state leaders can use this moment to advance policies that prevent them from being caught flat-footed the next time Washington stalls.

Earlier this month, the Trump administration released the Spring 2025 Unified Agenda of Regulatory and Deregulatory Actions (Agenda). For state leaders, it is one of the best early indicators of where federal policy is headed and when to weigh in before key decisions are locked in.

We skipped last week’s edition while many of us were together in New Orleans at SPN Annual Meeting, but we’re back on track. Congress is also back in Washington this week, in the midst of the typical year-end budget battle.