The Government is Shutdown
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October 1, 2025
LAW ALERT
The fiscal year is officially over, and with no agreement between Democrats and Republicans, the federal government has officially shut down. It remains to be seen how long the shutdown will last. During this time, government agencies are not operational, with the exception of work that is deemed essential. However, even essential government workers do not receive pay during a government shutdown and instead receive back pay with the reopening of the government.
In the case of the Department of Education, money for programs that include mandatory funding will continue to be disbursed, meaning that the Department will still distribute the Pell Grant while also expecting student loans to be in repayment. The office of Federal Student Aid is expected to remain open, meaning students will still be able to fill out the FAFSA. In addition, civil rights investigations and grant-making activities will be paused through the shutdown; yet, current grantees will have access to funds that were awarded by the last day of the fiscal year, September 30, 2025. As has been the case in the past, the longer a shutdown lasts, the more programs and federal agencies that may be impacted by the closures, and the more likely it could impact our colleges and students.
What is uncertain is how the Department will move forward with negotiated rule-making for graduate loan caps and the new Repayment Assistance Plan, as passed into law by H.R. 1, the One Big Beautiful Bill. Initially, the Department stated it would continue with negotiated rulemaking virtually, yet it recently announced it would proceed with the process in person.
Please join ACCT's Government Relations Team on October 3rd at 1:00 PM ET as we dive into this government shutdown and what it means for community colleges. Click here to register.
- October 3, 01:00 PM ET: LAW Live Webinar
- October 9, 2:00 PM ET: Building a Bridge to Opportunity: The Rise of Dual Credit Pathways in Texas
- October 15, 2:00 PM ET: California's Bridge to Opportunity: Investments in Dual Credit Pathways
- October 22 - 25: ACCT Leadership Congress
- November 7, 01:00 PM ET: LAW Live Webinar
- December 5, 01:00 PM ET: LAW Live Webinar
Outreach Efforts
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Would you Like a Federal Update Session for Your Team?
Both this new presidential administration and new Congress have brought with them a flurry of developments in the federal landscape that can make keeping up a monumental task. ACCT's Government Relations team is here to help by offering a 45-minute to an-hour federal update session to community college leadership teams who are ACCT members. To request a session, fill out this form and please email publicpolicy@acct.org with any questions.
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