More on Federal Funding Impacts

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In follow-up to our last article, we’ve received several requests to talk about impacts to additional departments and agencies. Thank you to everyone who reached out! This week, we’re summarizing impacts at NSF, IMLS, NEH, NEA, and DOL. And, be sure to check out next week’s Grant Round Up. It’s starting to look like some of the program reviews are wrapping up and we may finally start having some opportunities to share with you.

National Science Foundation (NSF): Despite a planned budget increase to $10.2 billion for FY25 that would support approximately 36,200 research grants, the NSF faces uncertainty due to broader federal budget constraints and potential staff reductions that could affect grant administration. The Research and Related Activities account, which funds competitive research grants, is set to increase by 12.1% to $8.05 billion, though proposed federal cuts could impact NSF's ability to fund new projects and maintain current support levels.

Institute of Museum and Library Services (IMLS): Due to a March 14, 2025 executive order, IMLS has placed all employees on administrative leave and halted the processing of 2025 grant applications, effectively freezing its competitive grant programs. The agency is required to reduce services and personnel to minimum legally required functions, which could result in the termination of most grants and creates uncertainty for both new and previously awarded grants.

National Endowment for the Humanities (NEH): While NEH announced $22.6 million in grants for 219 humanities projects at the start of 2025, the March 2025 CR's specific impacts on competitive grant programs remain unclear. The agency continues to focus on funding AI and democracy-related research projects, though recent changes in grant application and review processes may affect how competitive grants are awarded.

National Endowment for the Arts (NEA): The NEA has canceled its Challenge America grant program and modified the Grants for Arts Projects (GAP) category with new eligibility requirements, including a five-year arts programming history requirement. These changes, along with new compliance requirements and shifts in funding priorities toward America250 projects, reflect significant modifications to the agency's competitive grant landscape.

Department of Labor (DOL): The Department of Labor continues to solicit applications for major competitive grant programs, including the State Apprenticeship Expansion Formula grants and Pathway Home 6 grants, with the latter planning to award $25 million across approximately nine grants. The agency is maintaining its focus on workforce development initiatives through competitive grants, including a new technical assistance collaborative with potential funding of up to $1.5 million for the first year.

If you need additional information on any of these departments, don’t hesitate to reach out and if you have additional departments or agencies you’d like us to discuss here, just let us know. We’re here for you. Contact us anytime at customerservice@kfanonprofit.com or through the contact form on our website.

 

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