Sneak Preview: ED Grantees Should Expect Delays in Agency Responses Post-Shutdown

(The following was excerpted from a recent Thompson Grants Compliance Expert article.) Staffing cuts at the Department of Education (ED) earlier this year and during the federal government shutdown are expected to create further delays in response to queries and funding requests from ED recipients of federal funding, even after the government returns to work. However, attorneys with the Bruman Group during an Oct. 29 webinar encouraged school districts to continue to submit reports as required during the shutdown and adequately document their funding requests.

Julia Martin, Esq., director of policy and governmental affairs for the Bruman Group, explained that current funding for the 2025-2026 school year was previously approved by Congress as federal funding for federal fiscal year (FY) 2025. However, the shutdown stems from the lack of Congress to agree on appropriations legislation for FY 2026, which would provide funding to states in July 2026 for school year 2026-2027. “We know you want to prepare your budgets and your approaches to programs for next year, and it is more helpful to have [anticipated FY 26 funding totals], but Congress is stalled on FY 2026 federal funds,” she said, referring to the government shutdown that began Oct. 1.

While the impacts of the shutdown may have been minimal for the first few days, the extended length of the shutdown is having more of an effect on programs overseen by ED and other federal agencies because they are not operating as normal, Martin added. Congress also hasn’t reached agreement on any short-term funding measure to reopen the federal government or even a way to approve a smaller group of appropriation bills to fund certain agencies. “Congress does not have a clear vision to end the shutdown,” she said.

This is further complicated by the Trump administration’s efforts to reduce the federal workforce, calling for a reduction in force (RIF) at ED and other agencies. Martin said ED has experienced two rounds of RIFs. During the first one earlier this year, the department lost about 40% of its staff, leaving about 2,450 employees. During the shutdown, the agency has issued a “notice of intent to RIF” that affected another 465 staff. However, there have been recent lawsuits related to this latest round of RIFs, including a ruling Oct. 29 in the U.S. District Court of San Francisco that ordered a preliminary injunction to pause these RIFs.

(The full version of this story has now been made available to all for a limited time here.)
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