Sophia Vomvoris
Sophia serves as a Senior Research Analyst for the firm’s Nonprofit & Public Agencies Practice. In this role, she contributes to the practice’s business development and government relations efforts,
What a Government Shutdown Could Mean for Nonprofits
As the U.S. Congress approaches the September 30 federal funding deadline, uncertainty remains about how the government will be funded for the next fiscal year. Without a continuing resolution or a full appropriations package, the federal government could shut down on October 1, 2025.
For nonprofits that rely on federal funding streams or interact with federally supported services, a shutdown could temporarily interrupt program operations.
The Federal Budget Process: What’s Happening in Congress?
The federal budget process is complex. Its overall impact is straightforward: it determines how billions of federal dollars are distributed to states, localities, and community-based organizations.
In March 2025, Congress passed a full-year continuing resolution to keep programs operating through September 30, 2025. On August 1, 2025, the Senate passed a bipartisan two-bill “minibus” that would fund military construction, veterans’ programs, and the Departments of Agriculture and the Food and Drug Administration. This was the first step toward fiscal year 2026 appropriations, with Senate leaders signaling the bills as part of broader budget negotiations. The House has not acted on the Senate’s package but has passed its own version of the Military Construction, Veterans Affairs, and Related Agencies appropriations bill.
Next steps could include the House:
- Considering the Senate’s minibus,
- Negotiating differences in conference, or
- Proposing a continuing resolution for temporary funding.
For nonprofits, a government shutdown or temporary gap in appropriations may result in delayed reimbursements for grants, interruptions in federally funded programs, and increased demand for community-based services during the funding pause.
Why Advocacy Matters When Talking About Federal Grant Funds
Federal appropriations determine how funds are allocated to programs that provide support for nonprofits. Advocacy in this context means providing intel to decision makers about how funding could affect your nonprofit organization and the community you serve.
By sharing impact data and real-world examples, you can illustrate the role of federal grant programs, describe the outcomes supported by these dollars, and give context that lawmakers may consider when determining funding priorities.
How Do I Engage Effectively with Members of Congress?
At McAllister & Quinn, we help you build relationships with your Members of Congress that make a difference where it matters most. Our strategic, coordinated government relations services ensure that your nonprofit:
- Stays up to date with legislative and public policy changes, especially as the September 30 deadline approaches.
- Shares measurable impact data and real-world success stories to demonstrate the value of federal grant programs. By highlighting program outcomes and community benefits, you provide compelling context that lawmakers and decision-makers can use when setting funding priorities.
- Builds necessary relationships. Even if a continuing resolution is passed, it’s a temporary measure, and we can position your nonprofit to have a seat at the table when it comes to funding conversations.
Although the politics of federal budget negotiations can be difficult to follow, they are an important opportunity to ensure that nonprofit perspectives are included in funding discussions.
No matter what path Congress chooses, you can rely on McAllister & Quinn to help you achieve your funding goals.