Potential impact of government shutdown

Funding for government agencies expired at midnight on Tuesday, Sept. 30, triggering a federal government shutdown.

While the situation in Washington creates uncertainty for many federally funded programs, the immediate impact on the University of Michigan’s research and operations has been limited. Most federally sponsored projects that are already underway are continuing without interruption, and faculty should not experience major disruptions in the short term.

That said, federal agencies cannot issue new grants, renew existing awards, or provide administrative support during a shutdown. Agency staff will be unavailable to process contracts, answer questions, or update resources until funding is restored.

To support continuity, the Office of the Vice President for Research has developed guidance for the U-M research community, including answers to frequently asked questions about the shutdown. The Office of Government Relations also remains in regular contact with campus stakeholders and policymakers to monitor developments and share updates as the situation evolves.

We are also tracking how prolonged agency staffing shortages could affect compliance reporting, grant closeouts, and interagency reviews.

For more information, the American Council on Education has developed a resource page outlining how the shutdown may affect higher education institutions across the country.

Updated: Oct. 13, 2025