WHAT TO EXPECT DURING A SHUTDOWN:

Recommendations for Federal Funding Applicants and Awardees

September 29, 2025 

WHAT’S HAPPENING TODAY: 

As the Tuesday deadline to fund the government draws closer, President Donald Trump is expected to meet with top congressional leaders at the White House today at 3 PM. The meeting will include House Speaker Mike Johnson (R-LA), Senate Majority Leader John Thune (R-SD), Senate Minority Leader Chuck Schumer (D-NY), and House Minority Leader Hakeem Jeffries (D-NY) to come to an agreement to avert a government shutdown. With just two days remaining to pass a budget, Congress remains divided on the best course of action. The House has approved a Continuing Resolution (CR) to fund the government at existing levels through November 21; however, Senate Democrats are blocking its advance and are insisting on more input into the bill's contents. 

 

WHAT TO KNOW: 

Government shutdowns can cause confusion and uncertainty for organizations seeking to access federal funding programs. While designated “essential government activities” will continue, a government shutdown can pause or delay key activities in the federal grantmaking process. Below is a quick guide to frequently asked questions that will help your organization navigate a shutdown with minimal disruptions. 

PAUSE ON NEW FUNDING ANNOUNCEMENTS: No new NOFOs or RFIs will be released. 

 

DEADLINES REMAIN IN EFFECT: It is safe to assume all deadlines post-shutdown will stay the same with no automatic extensions.  

 

APPLICATIONS DUE DURING THE SHUTDOWN: Deadlines that fall during the shutdown should be adhered to since the portals will still operate.   

 

IMPACT ON CONCEPT PAPERS AND LOIs: Applicants who have submitted a concept paper or LOI may have to wait longer to hear if they are invited to apply, but they should not anticipate deadline extensions. We recommend working on the full application prior to notification, since the time between notification and submission will be condensed.  

 

REIMBURSEMENT DELAYS FOR AWARDEES: For those executing grant awards, there will be a delay in reimbursements, but they still need to meet all contracted metrics and timeline goals. There is no exception due to a shutdown or delayed reimbursement. 

 

SUSPENSION OF PROGRAM Q&As: Funding program Q&As will not be updated during a shutdown.   

 

LIMITED ACCESS TO AGENCY CONTACTS: Program contacts and contracting officers will not be available during the shutdown.  

 

POST-SHUTDOWN PROGRAM DELAYS: Post shutdown, agencies operating on a CR may have delayed program releases due to a different cashflow model. Additionally, agencies have been instructed to consider Reduction in Force (RIF) notices to all employees involved in programs, projects, or activities where their discretionary funding expires on October 1, 2025, there are no other sources of funding available, and the activities do not align with the President’s priorities. It is possible your program contacts may be shifted during this time. 

 

OUR ADVICE:  

Stay compliant. Though the government may shutdown, your applications and funded projects should continue to adhere to submission and reporting deadlines.  

Don’t let a delay derail your progress. It can be easy to let your drafting schedules slip, but once things are up and running again, you may be left scrambling to finalize requirements. 

Use this time to get grant-ready! Prepare for future opportunities by organizing frequently used information or documents, perfect your project budget, or gather letters of support and commitment.  

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