Announcement: Congress has until September 30, 2025, to pass a budget to fund the federal government for the next fiscal year. If a budget agreement is not reached and signed by the President, the U.S. Government will shut down until funding is restored. While the Office of Management and Budget (OMB) has not yet issued final guidance to federal funding agencies, past shutdowns provide useful indications of likely impacts.
Resources:
Questions?
For any questions, please contact your DCG Officer.
Area | What to Expect | What Faculty Should Do |
Active Awards | Work may continue under existing award terms unless notified to stop. Faculty at federal labs/ facilities, on cooperative agreements, IPA assignments, or federal contracts may be told to suspend work. No new awards or modifications will be issued. | Continue work unless a Stop Work Order is received or directed otherwise by the sponsor. |
Stop Work Orders | Stop Work Orders may be issued by the sponsor on certain awards. Please be aware that for awards placed under a Stop Work Order, any costs incurred after the effective date may not be reimbursed by the federal sponsor. | Notify your DCG Officer if a stop work order is received. Identify alternative funding sources to cover salaries, benefits, and other expenses for impacted personnel during the stoppage period. |
Proposal Submissions | Federal submission systems (Grants.gov, Research.gov) should remain online, and deadlines still apply. Agency personnel and Help Desks may be unavailable. No new funding opportunities are expected. Peer reviews and study sections will not occur, causing delays. | Submit proposals as usual by deadlines. Anticipate delays in review/start dates. Do not expect new opportunities during the lapse. |
Technical& Financial Reports | If systems remain operational, reports are still due on time. Submissions may not be accepted until operations resume. | Submit reports by the deadline. If errors occur, generate and save a Help Ticket. Email submissions should still be sent on time. |
Prior Approvals | Systems may allow submission of requests, but agency review/approvals will not occur until after the shutdown. | Submit requests if needed but expect processing delays. |
Payments& Cash Flow | Some electronic drawdowns may process, but payments requiring staff intervention will stall. USC is accelerating invoices/drawdowns before Oct. 1. Delays expected for reimbursements. NSF postdocs may miss stipend payments. | Track spending carefully. Identify NSF fellows who may be impacted. Encourage subrecipients/vendors to submit invoices now. |
Agency Visits& Meetings | Agency site visits, reviews, and project status meetings (including virtual) will not occur. Federal staff unavailable for questions. Travel reimbursements for canceled meetings pending further guidance. | Do not expect agency engagement during the lapse. Hold off on scheduling new meetings with federal staff. |