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What is a Government Shutdown?

Congress must allocate funding to 438 government agencies each fiscal year, which ends at 11:59 p.m. Sept. 30. If lawmakers don't pass those bills before the new fiscal year starts 12 a.m. Oct. 1, those agencies will be unable to continue normal operations.

Current Situation

The University of Kentucky is closely monitoring negotiations in Congress regarding funding for the federal government. At midnight on Oct. 1, 2025 the federal government partially shut down. The impact of a prolonged shutdown will depend on many factors, including the length of time until a deal is reached in Congress and contingency plans for the agencies impacted.

What is the history of government shutdown?

  • This is the 15th shutdown since 1981, according to the Congressional Research Service, many lasting only a day or two. ​

  • The previous shutdown was the longest, lasting 34 days between December 2018 and January 2019. ​

  • The 2018-2019 shutdown cost the economy about $3 billion, equal to 0.02% of GDP, according to the Congressional Budget Office.​

  • The 2018-2019 shutdown furloughed roughly 800,000 of the federal government's 2.2 million employees.​

  • Lawmakers often temporarily push that deadline back by extending agencies’ current funding levels in a continuing resolution so they can continue negotiating.

How will a partial government shutdown impact UK?

  • The impact will depend on the length of a federal government shutdown as well as guidance from each of the federal agencies affected.

  • We are monitoring the situation closely and will provide more information to campus and research community as it becomes available. ​

  • We expect no immediate impact on research funding already in place, but our assessment may change depending on how long a federal government shutdown lasts.

  • Every agency has different procedures and protocols and has been directed to issue their own contingency plans.

Federal Agency FAQs

What is the expected impact on pre-award services?

  • Proposal submissions through Grants.gov, Research.gov, FastLane, ASSIST, NIH Commons, and other federal portals may be delayed or inaccessible.
  • Proposal deadlines may remain in effect unless agencies issue formal extensions. Faculty and research staff should assume deadlines are unchanged unless notified otherwise.
  • New Requests for Applications (RFAs), Program Announcements and solicitations may not be released during the shutdown.

What is the expected impact on post-award services?

  • Processing of new federal awards, amendments and continuations will be delayed.
  • Drawdowns of funds through the Payment Management System may be limited, though existing obligated funds should remain accessible.
  • Increments of funding for subawards will likely not be executed until the shutdown ends.
  • Reporting deadlines (technical, financial and progress reports) may remain in place, though agency staff may not be available to confirm receipt or provide guidance.

What would happen if UK received any “stop work” orders?

  • Stop work orders may be implemented on federal contracts and for subawards issued to UK under prime federal funding. If you receive a stop‐work order, notify the Office of Sponsored Projects Administration (OSPA) at ospa@uky.edu.

What is the expected impact on research conducted in federal facilities or research that includes federal personnel?

  • Awarded projects, housed in a federal facility, may be disrupted during a shutdown.
  • Projects may be disrupted if they include federal personnel, and/or if an award includes restrictive terms and conditions that require administrative action to approve a drawdown of funds.

Contacts

For general questions, contact the Office of the Vice President for Research, vpr@uky.edu, or Office of Sponsored Projects Administration (OSPA), ospa@uky.edu.