Federal Budget Update

Are we headed for a government shutdown (again)?

We recognize that many of you have questions about the Smithsonian’s federal budget allocation and how the FY25 budget process is going to play out over the coming months. There are still many unknowns, and we do not have a lot of information at the moment. But here is what we can share.

As you probably have heard, Congress has reached a tentative deal on a Continuing Resolution. (Events have overtaken this announcement. As of the time of posting, Dec. 19, there is no agreement on a Continuing Resolution.) Assuming that Congress passes the CR and the President signs it, the Smithsonian will receive funding at current levels through March 14, 2025. After the new year, Congress would then deliberate about next steps, potentially providing a full year FY25 appropriation, or passing another short-term CR. At this point, we do not anticipate a lapse in funding, which is commonly referred to as a government shutdown. We will provide more information if that situation changes.

While operating under a CR, we need to be especially prudent about our use of federal funds. In an environment where the level of our future appropriation is uncertain, we should remain particularly thoughtful about how we spend our resources, including prior year funds. For example, we recommend that units be judicious when backfilling vacancies and awarding new contracts. We also are pausing the processing of federal monetary awards.  Other forms of recognition—including performance awards that do not have a monetary impact (e.g., Time Off, Length of Service, etc.)—can move forward at the discretion of Unit Directors.

We understand that this uncertainty is challenging and are doing our best to adjust our approach as the situation evolves. We are committed to continuing to provide updates in the new year.

Meroë Park
Deputy Secretary and Chief Operating Officer